Financial Management and Accountability Act 1997 Determination 2013/19 — Section 32 (Transfer of Functions from DEEWR to PM&C)

EXPLANATORY STATEMENT

Financial Management and Accountability Act 1997

FMA Act Determination 2013/19 — Section 32 (Transfer of Functions from DEEWR to PM&C) (the Determination)

Purpose of the Determination

The Determination is made under section 32 of the Financial Management and Accountability Act 1997 (FMA Act), to adjust amounts appropriated to particular agencies in response to the Administrative Arrangements Order made on 18 September 2013.

The Determination further adjusts appropriations to support functions relating to indigenous affairs transferring to the Department of the Prime Minister and Cabinet from the former Department of Education, Employment and Workplace Relations, in respect of that agency’s Outcome 1, Outcome 2 and Outcome 3.

A new Outcome 2 for the Department of the Prime Minister and Cabinet (PM&C) was created in FMA Act Determination 2013/13 — Section 32 (Transfer of Functions from Social Services to PM&C). Table 8 in Schedule 2 to the Determination contains a new item for PM&C. The text for Outcome 2 is the same as the text of Outcome 7 of the former Department of Families, Housing, Community Services and Indigenous Affairs, and relates to indigenous affairs activities.

This Outcome should be read alongside the text in note 5 at the end of Appropriation Act (No. 2) 2013-2014. This text explains that where a new outcome is inserted, which substantially corresponds to the text of an existing outcome for an Agency, the new outcome is to be read as including activities indicated in the relevant Portfolio Budget Statements in respect of the existing outcome.  Accordingly, the amount appropriated to Outcome 2 for PM&C may be applied for the purpose of undertaking the activities in the PBS of 2013-2014 for Outcome 7 of the former Department of FaHCSIA. The amount appropriated to Outcome 2 for PM&C may also be applied for the purpose of undertaking the activities in relation to indigenous affairs indicated in the PBSs for 2013-2014 of:

-          the Attorney-General’s Department, in respect of that agency’s Outcome 1;

-          the former Department of Education, Employment and Workplace Relations, in respect of that agency’s Outcome 2;

-          the former Department of Resources, Energy and Tourism, in respect of that agency’s Outcome 1; and

-          the former Department of Sustainability, Environment, Water, Population and Communities, in respect of that agency’s Outcome 5.

Schedule 2 of the Determination reflects the title of the Minister and the Department consistent with the Administrative Arrangements Order.

This Determination is the third transfer of appropriations in relation to the transfer of indigenous functions. An initial transfer of appropriations commenced on 1 November 2013, under FMA Act Determination 2013/13 — Section 32 (Transfer of Functions from Social Services to PM&C) and a second transfer of appropriations commences on 1 December 2013, under FMA Act Determination 2013/15— Section 32 (Transfer of Functions from DRALGAS to Health and PM&C).

The further movement of appropriations will occur in due course.

Transfer of Functions generally

Section 32 of the FMA Act enables the Finance Minister to determine that one or more Schedules to one or more Appropriation Acts are amended in a specified way in relation to the transfer of a function from one Agency to another.

Under section 62 of the FMA Act, the Finance Minister has delegated the power to make determinations under section 32 to the Secretary of the Department of Finance. Under section 53 of the FMA Act, the Secretary has, in turn, sub‑delegated this power to certain Senior Executive Service officials within the Department of Finance, including the official who made the Determination.

The Determination is a legislative instrument for the purposes of section 5 of the Legislative Instruments Act 2003.

Statement of Compatibility with Human Rights

A Statement of Compatibility with Human Rights is not required for the Determination. 
Subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 requires a Statement of Compatibility with Human Rights for all legislative instruments subject to disallowance under
section 42 of the Legislative Instruments Act 2003. A determination under section 32 of the FMA Act is exempt from disallowance under subsection 32(7) of the FMA Act. As such, a Statement of Compatibility with Human Rights is not required.

Consultation and Impact

Consistent with Part 3 of the Legislative Instruments Act 2003, PM&C, the Department of Education, and the Department of Employment were consulted in the preparation of the Determination.

Summary of Changes

The Determination affects Schedule 1 to the Appropriation Act (No. 1) 2013-2014 in the following way, which results in no change to the total amount appropriated by Parliament:

The Determination also affects Schedule 2 to the Appropriation Act (No. 2) 2013-2014 in the following way, which results in no change to the total amount appropriated by Parliament: