Overview
The Financial Management and Accountability Act 1997, enacted by the Parliament of Australia, was introduced to address the need for effective financial management and accountability within the Commonwealth government. This Act provides the legislative framework for the management of public money and the accountability of government agencies. The 2010 Determination, numbered F2010L03156, specifically amends the Appropriation Act (No. 1) 2010-2011 to transfer a specific appropriation amount of $611,000 from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Infrastructure, Transport, Regional Development and Local Government (DITRDLG). This transfer was necessitated by the restructuring of ministerial portfolios and renaming of departments on 14 September 2010, which saw the DPMC transferring the functions of the Commonwealth Co-ordinator General to DITRDLG, now known as the Department of Infrastructure and Transport. The policy objective of this Determination is to ensure that the necessary financial resources align with the newly assigned functions within the government structure.
Scope and Application
The Financial Management and Accountability Act 1997 Determination 2010/36, specifically Section 32, pertains to the transfer of certain functions and their associated financial appropriations from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Infrastructure and Transport (DITRDLG). This legislative instrument was created under the authority of the Financial Management and Accountability Act 1997, with the power to amend Appropriation Acts being delegated from the Minister for Finance and Deregulation through the Secretary of the Department of Finance and Deregulation to specific officials within the Department of Finance. The purpose of this particular instrument is to transfer $611,000 of the Departmental item from the DPMC to the DITRDLG, reflecting the transfer of the functions of the Commonwealth Co-ordinator General. The geographic reach of this Act is national, as it involves the reallocation of functions and appropriations between departments within the Australian government. No exclusions or exemptions are specified in this instrument, and its application is restricted to the financial appropriations outlined in the Appropriation Act (No. 1) 2010-2011.
Key Provisions
The main operative sections of the Financial Management and Accountability Act 1997 Determination 2010/36 (FMA Act) focus on the transfer of appropriations from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Infrastructure and Transport (DOIT). Specifically, section 32(2) of the FMA Act provides the legislative authority for the Minister for Finance and Deregulation to amend Appropriation Acts to facilitate the transfer of functions between agencies (section 32). Schedule 1 of this Instrument amends the Appropriation Act (No. 1) 2010-2011, transferring $611,000 from the Departmental item of DPMC to that of DOIT. This transfer reflects the reallocation of functions relating to the Commonwealth Co-ordinator General.
The obligations and requirements imposed by the Act on the relevant parties primarily involve ensuring the smooth transfer of appropriations and functions. Under the FMA Act, the Secretary of the Department of Finance and Deregulation has been delegated the power to amend appropriation acts in line with these transfers (section 62). This delegation has further been passed to certain officials within Finance (section 53). The departments involved, DPMC and DOIT, must cooperate in the transition, ensuring that the transferred funds and functions are appropriately accounted for and managed within the new department. Additionally, the Act requires that any such amendments to appropriation acts are communicated clearly and in accordance with the legislative requirements, ensuring that all stakeholders are informed of the changes.
In terms of offences, penalties, or consequences for breach, the Act itself does not specify particular penalties for failing to comply with the provisions of the determination. However, breaches of the Financial Management and Accountability Act 1997 could potentially result in civil or criminal penalties depending on the nature of the breach. Under the FMA Act, breaches could lead to significant financial penalties or even criminal charges if the breach is deemed to be fraudulent or involves serious misconduct. The maximum penalties for breaches of the FMA Act can include fines and imprisonment, though the specifics would depend on the severity and nature of the breach. It is also worth noting that failure to comply with appropriation acts could lead to administrative consequences, including audits and financial reviews to ensure compliance with budgetary processes.