Overview
The Financial Management and Accountability Act 1997, enacted by the Commonwealth Parliament, was designed to ensure that public funds are managed effectively and that there is accountability for financial management within the Commonwealth government. The Act addresses the need for clear and efficient financial controls and reporting mechanisms. The 2010 Determination under this Act, specifically the 2010/21 amendment concerning the transfer of functions from the Department of the Treasury to the Department of Sustainability, Environment, Water, Population and Communities (DSEWPaC), aims to reallocate budgetary provisions following a restructuring of ministerial portfolios. This change reflects the transfer of responsibilities for population policy and affordable housing to DSEWPaC, as outlined in the Administrative Arrangements Order of 2010. The policy objective is to ensure that the financial resources align with the new departmental functions and responsibilities.
Scope and Application
The Financial Management and Accountability Act 1997 Determination 2010/21 pertains to the reallocation of specific financial resources from one government department to another. Pursuant to the authority granted under section 32(2) of the Financial Management and Accountability Act 1997, this instrument facilitates the transfer of a $938,000 departmental item from the Department of the Treasury to the Department of Sustainability, Environment, Water, Population and Communities. This determination follows the restructuring of ministerial portfolios and departmental renamings as outlined in the Administrative Arrangements Order of 2010, which mandated the transfer of certain functions related to population policy and affordable housing to the latter department. The instrument does not explicitly state any exclusions or exemptions and applies solely to the financial reallocations specified, impacting the budgetary allocations as listed in the Appropriation Act (No. 1) 2010-2011. The geographic and jurisdictional scope is limited to the Commonwealth level, specifically affecting the financial arrangements between the two named departments.
Key Provisions
The Financial Management and Accountability Act 1997 Determination 2010/21, specifically section 32, facilitates the transfer of a function from the Department of the Treasury (TREASURY) to the Department of Sustainability, Environment, Water, Population and Communities (DSEWPaC). This determination, which was made on 20 October 2010, modifies the Appropriation Act (No. 1) 2010-2011 by transferring $938,000.00 from TREASURY to DSEWPaC. The adjustment affects the departmental items in the appropriation act, reducing the allocation for TREASURY and increasing it for DSEWPaC.
The obligations under this determination primarily concern the transfer of financial responsibilities and budget allocations between the two departments. The determination ensures that the financial resources are correctly reallocated to reflect the changes in departmental functions and responsibilities as per the Administrative Arrangements Order (AAO) of 14 September 2010. This AAO resulted in the renaming and restructuring of ministerial portfolios, with specific functions related to population policy and affordable housing being transferred to DSEWPaC.
In terms of compliance, the determination requires both departments to adhere to the updated budget allocations as reflected in the Appropriation Act (No. 1) 2010-2011. This includes ensuring that financial management practices and reporting align with the new budgetary framework. Moreover, the departments involved must comply with the legislative process outlined in the Financial Management and Accountability Act 1997, which includes appropriate delegations and approvals from the Minister for Finance and Deregulation, the Secretary of the Department of Finance and Deregulation, and relevant officials within the Finance Department.
Failure to comply with the provisions of this determination could result in financial mismanagement and misallocation of government funds, which may lead to legal and administrative repercussions. Although specific offences and penalties are not detailed in the provided text, breaches of financial management and appropriation acts can generally lead to civil or criminal consequences, depending on the nature and severity of the breach. These consequences could include fines, sanctions, and potential legal action against the responsible officials. The maximum penalties for such breaches can vary, but they are typically significant, reflecting the importance of maintaining the integrity of government financial processes.