Overview
The FMA Act Determination 2010/08 was enacted on 23 April 2010, by the authority of the Minister for Finance and Deregulation under the Financial Management and Accountability Act 1997. The objective of this instrument was to address the transfer of functions between the Insolvency and Trustee Service Australia (ITSA) and the Attorney-General’s Department (AGD). Specifically, the determination transferred the bankruptcy policy function from ITSA to AGD, enabling ITSA to focus on its core service delivery and regulatory functions. This change was implemented to enhance the efficiency and effectiveness of the respective departments by clearly delineating their roles and responsibilities. The effect of this transfer is a reallocation of $407,375 from the departmental item for ITSA to that of AGD in the Appropriation Act (No. 1) 2009-2010. The instrument was prepared with consultation from ITSA and AGD, in accordance with the Legislative Instruments Act 2003.
Scope and Application
The FMA Act Determination 2010/08 pertains to the transfer of specific financial appropriations from the Insolvency and Trustee Service Australia (ITSA) to the Attorney-General’s Department (AGD) as per Section 32 of the Financial Management and Accountability Act 1997. The instrument, issued under the authority of the Minister for Finance and Deregulation, aims to amend the Appropriation Act (No. 1) 2009-2010, thereby reallocating $407,375 from ITSA to AGD. This amendment reflects the reassignment of the bankruptcy policy function from ITSA to AGD, allowing ITSA to focus on service delivery and regulatory activities. The application of this Determination is strictly limited to the financial appropriations mentioned and does not extend to other functions or entities outside the specified context. It is a legislative instrument that is subject to the provisions of the Legislative Instruments Act 2003, which mandates consultation with the affected entities, ITSA and AGD, during its preparation.
Key Provisions
The FMA Act Determination 2010/08 (section 32) addresses the transfer of functions and associated appropriations from the Insolvency and Trustee Service Australia (ITSA) to the Attorney-General’s Department (AGD). Specifically, it involves the reallocation of $407,375 from the departmental item for ITSA to that of AGD as per the Appropriation Act (No. 1) 2009-2010. This transfer aligns with the April 14, 2010, order that reassigned the bankruptcy policy function from ITSA to AGD, thereby enabling ITSA to focus on its service delivery and regulatory functions.
Under this Act, the entities involved, ITSA and AGD, must adjust their departmental items to reflect the financial changes specified. The determination requires ITSA to reduce its appropriation by $407,375, and AGD to correspondingly increase its appropriation by the same amount. These changes are intended to ensure that the departments' financial allocations match their revised operational scopes.
The Act imposes clear obligations on both ITSA and AGD to comply with the reallocated appropriations as detailed in the Appropriation Act. ITSA must ensure that its reduced appropriation reflects its streamlined functions post the transfer of the bankruptcy policy function, while AGD is required to account for the additional funds to support its new responsibilities. Both departments are expected to adhere to the financial management practices as outlined under the FMA Act.
Failure to comply with the provisions of this Act could lead to legal and financial repercussions. However, the specific consequences for non-compliance are not detailed within the Act itself. The Act relies on the broader legislative framework provided by the FMA Act and the Legislative Instruments Act 2003 for enforcement and penalties, which may include civil or criminal actions depending on the nature and extent of the breach. The penalties for non-compliance are not explicitly stated within this Determination but would be subject to the applicable legislative standards and judicial interpretation.