Overview
The Financial Management and Accountability Act 1997 (FMA Act) was enacted to ensure the proper management and accountability of Commonwealth funds. The 2010 Determination, specifically F2011L00063, addresses the need to reallocate appropriations in response to changes in administrative arrangements and ministerial portfolios. This legislative instrument was introduced to facilitate the transfer of functions and their associated appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (DPMC), as mandated by the Administrative Arrangements Order of 2010. The determination was made by the Secretary of the Department of Finance and Deregulation, as delegated by the Minister for Finance and Deregulation under section 32(2) of the FMA Act. The policy objective is to ensure that the reallocation of budgetary responsibilities aligns with the restructured ministerial portfolios, thereby maintaining the integrity and efficiency of financial management within the government.
Scope and Application
The Financial Management and Accountability Act 1997 Determination 2010/40 pertains to the transfer of specific appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (DPMC) as part of a restructuring of ministerial portfolios and departmental renaming. This determination applies to the financial allocations for certain functions related to the National Compact, Volunteering and Philanthropy; Repatriation of Indigenous Remains; and the Volunteer Management Program & Indigenous Repatriation. The geographic reach of this Act is national, affecting federal departments. The determination specifies the transfer of $1,022,567.34 from the departmental item of FaHCSIA to that of DPMC, $75,000.00 from the administered item for Outcome 3 of FaHCSIA to the administered item for Outcome 1 of DPMC, and $439,991.33 from the administered item for Outcome 7 of FaHCSIA to the administered item for Outcome 2 of DPMC. This transfer is executed within the framework of the Appropriation Act (No. 1) 2010-2011, and the determination is a legislative instrument under the Legislative Instruments Act 2003. No exclusions, exemptions, or thresholds are explicitly stated in the text, and the application of the Act is direct without further extension or restriction by subordinate instruments.
Key Provisions
The main operative sections of this instrument (Schedule 1 of the Appropriation Act (No. 1) 2010-2011) detail the transfer of specific appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (DPMC). Specifically, section 1(a) transfers $1,022,567.34 from the departmental item of FaHCSIA to the departmental item of DPMC. Section 1(b) transfers $75,000.00 from the administered item for Outcome 3 for FaHCSIA to the administered item for Outcome 1 for DPMC. Lastly, section 1(c) transfers $439,991.33 from the administered item for Outcome 7 for FaHCSIA to the administered item for Outcome 2 for DPMC. These transfers relate to functions associated with the National Compact, Volunteering and Philanthropy; Repatriation of Indigenous Remains; and the Volunteer Management Program & Indigenous Repatriation.
The Act imposes certain obligations and requirements on the parties involved in the transfer of these functions. Firstly, the Minister for Finance and Deregulation is authorised under section 32(2) of the Financial Management and Accountability Act 1997 (FMA Act) to determine the amendment of appropriation acts in relation to the transfer of functions from one agency to another. This power has been delegated to the Secretary of the Department of Finance and Deregulation (Finance) under section 62 of the FMA Act, and further to certain officials within the Finance department under section 53 of the FMA Act. The instrument must also be prepared in consultation with the affected departments, as required by Part 3 of the Legislative Instruments Act 2003, ensuring that FaHCSIA and DPMC were consulted in its preparation.
In terms of consequences, the instrument itself does not explicitly outline offences or penalties for breaches. However, the Financial Management and Accountability Act 1997 provides a framework within which breaches of the Act or its regulations could lead to civil or criminal penalties. Such penalties could include fines and imprisonment, depending on the nature and severity of the breach. The specific penalties for any breach would be determined according to the relevant sections of the FMA Act and any other applicable legislation. The Financial Management and Accountability Act 1997 is a robust legislative framework designed to ensure proper financial management and accountability within the Australian government.