Financial Management and Accountability Act 1997 Determination 2012/19 - Section 32 (Transfer of Functions from DPMC to DRALGAS)

Overview

The Financial Management and Accountability Act 1997 Determination 2012/19, made on 13 June 2012, addresses the financial implications of transferring functions related to Arts, Culture and Sport from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Regional Australia, Local Government, Arts and Sport (DRALGAS). This instrument was enacted under the authority of subsection 32(2) of the FMA Act, with the power delegated by the Minister for Finance and Deregulation to the Secretary of the Department of Finance and Deregulation. The purpose of this determination is to amend the Appropriation Acts to reflect the financial changes due to the function transfer, including adjustments to departmental and administered items to align with the new allocation of responsibilities. The determination ensures that the financial resources are appropriately re-allocated, maintaining the integrity of budget management and accountability in accordance with the Act.

Scope and Application

The Financial Management and Accountability Act 1997 Determination 2012/19 pertains to the transfer of specific functions from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Regional Australia, Local Government, Arts and Sport (DRALGAS). This determination is instrumental in effectuating the reallocation of appropriations as a result of this transfer. It involves amendments to the Appropriation Acts for the financial years 2010-2011 and 2011-2012, which include adjustments to the departmental and administered items to reflect the transfer of responsibilities related to the Arts, Culture and Sport functions. The changes encompass reductions and increases in appropriations for DPMC and DRALGAS respectively, ensuring that the financial allocations align with the new functional responsibilities. This determination is a legislative instrument under the Legislative Instruments Act 2003 and is exempt from disallowance, thereby streamlining the transition of these functions and their associated appropriations.

Key Provisions

The Financial Management and Accountability Act 1997 Determination 2012/19 involves significant amendments to several appropriation acts to facilitate the transfer of functions from the Department of the Prime Minister and Cabinet (DPMC) to the Department of Regional Australia, Local Government, Arts and Sport (DRALGAS) (section 32). Specifically, it reduces the departmental and administered items for DPMC and increases the corresponding items for DRALGAS to reflect the transfer of appropriations related to Arts, Culture, and Sport functions. Under the Financial Management and Accountability Act 1997, the Minister for Finance and Deregulation, or a delegated official, has the authority to make these amendments (subsections 32(2) and 53). This Determination results in specific financial adjustments across different appropriation acts. For instance, in Appropriation Act (No. 1) 2010-2011, the departmental item for DPMC is reduced by $5,297,078.34, while the administered item alongside Outcome 3 for DPMC is reduced by $889,659.76, and the administered item alongside Outcome 4 for DRALGAS is increased by the same amount (Schedule 1). Similar adjustments are made in Appropriation Act (No. 3) 2010-2011 and Appropriation Act (No. 1) 2011-2012 to reflect the transfer of additional responsibilities and appropriations (Schedules 2 and 3). The obligations imposed by this Determination require the DPMC and DRALGAS to comply with the financial adjustments specified in the amended appropriation acts. This includes ensuring that the reduced allocations for DPMC and the increased allocations for DRALGAS are accurately reflected in their respective budgets and financial records. Both departments are expected to adhere to the changes outlined in the Determination to ensure a seamless transfer of functions and appropriations. The Determination does not specify particular offences, penalties, or consequences for non-compliance with the financial adjustments. However, given the nature of the Financial Management and Accountability Act 1997, any failure to comply with the appropriations adjustments could potentially result in broader financial management and accountability issues, which might be subject to review or audit under the FMA Act. The Determination itself is exempt from disallowance under subsection 32(7) of the FMA Act, meaning it cannot be annulled by a resolution of either House of Parliament.