Overview
The Financial Management and Accountability Act 1997 (FMA Act) was enacted to ensure that the Commonwealth’s financial resources are managed in a way that is accountable, transparent, and efficient. The Act provides the legislative framework for the financial management of the Commonwealth Government, including the appropriation of funds and the accountability of government agencies. The FMA Act addresses the need for a robust system of financial management and accountability to ensure that public funds are used effectively and efficiently. This legislation was introduced by the Australian Parliament to provide a comprehensive legal framework governing the financial operations of the Commonwealth.
The Financial Management and Accountability Act 1997 Determination 2010/42 – Section 32 (Transfer of functions from FaHCSIA to DHS) was made by the Secretary of the Department of Finance under the authority granted by the FMA Act. This determination facilitates the transfer of appropriations related to the governance and communication functions of the Family Assistance Office from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of Human Services (DHS). The purpose of this instrument is to amend the Appropriation Act (No. 1) 2010-2011 to reflect the transfer of these functions and the associated budget allocation. This determination ensures that the financial resources are correctly allocated to the department responsible for the transferred functions, thereby maintaining financial accountability and transparency in the management of public funds.
Scope and Application
The Financial Management and Accountability Act 1997 Determination 2010/42 – Section 32 (Transfer of functions from FaHCSIA to DHS) applies to the transfer of appropriations within the Commonwealth government, specifically relating to the transfer of governance and communication functions of the Family Assistance Office from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of Human Services (DHS). The geographic reach of this legislation is limited to the national jurisdiction of Australia, as it pertains to the reallocation of financial resources between Commonwealth departments. The instrument is designed to ensure that the necessary appropriations are correctly assigned following the transfer of specified functions between these departments, thereby maintaining financial accountability and integrity. This Determination does not exclude or exempt any specific entities or transactions but rather provides a mechanism for the amendment of appropriations as required by the transfer of functions. The application of this Determination is extended through the subordinate instruments as specified in the Financial Management and Accountability Act 1997, allowing for the precise allocation of funds in accordance with departmental restructuring.
Key Provisions
The Financial Management and Accountability Act 1997 Determination 2010/42 (F2011L00065) pertains specifically to the transfer of functions and appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of Human Services (DHS). Section 32 of the Financial Management and Accountability Act 1997 (FMA Act) empowers the Minister for Finance and Deregulation to amend appropriations to facilitate the transfer of functions between departments. In this case, the instrument transfers $139,952.00 from FaHCSIA to DHS, reflecting the reallocation of resources to support the governance and communications of the Family Assistance Office within DHS.
This determination imposes obligations on both FaHCSIA and DHS to ensure a seamless transition of functions and appropriations. The Department of Finance and Deregulation, as the entity responsible for implementing this transfer, must ensure that the appropriation is accurately reflected in the Appropriation Act (No. 1) 2010-2011. FaHCSIA must ensure that the transferred funds are properly accounted for and that any services or functions previously managed under the transferred appropriation are adequately transitioned to DHS. DHS, on the other hand, must be prepared to manage the new appropriation and ensure that it is used for the intended purpose of supporting the governance and communications of the Family Assistance Office.
Failure to comply with the provisions of this determination could lead to significant consequences. While the determination does not explicitly state the penalties for non-compliance, breaches of the Financial Management and Accountability Act 1997 may lead to both civil and criminal penalties. Under the FMA Act, civil penalties can include fines up to $21,000 for corporations and $4,200 for individuals, with additional penalties for ongoing breaches. Criminal penalties may apply for more serious breaches, such as fraud or corruption, potentially leading to imprisonment. The precise penalties depend on the nature and severity of the breach, but the overarching principle is to ensure accountability and adherence to the financial management requirements of the Act.