Financial Management and Accountability Amendment Regulations 2000 (No. 3)

Overview

The Financial Management and Accountability Amendment Regulations 2000 (No. 3) were enacted to amend the Financial Management and Accountability Regulations 1997 under the Financial Management and Accountability Act 1997. The problem or gap these regulations address is the need to ensure certain agencies operate with financial independence from their parent departments, as stipulated by the Act. Enacted by the Minister for Finance and Administration, these regulations aim to align the financial management practices of specific agencies with the overarching objectives of the Act, ensuring that they are prescribed correctly and operate effectively within the framework of financial accountability. This is achieved by amending the Schedule to the Principal Regulations to include new agencies and redefine existing ones, ensuring they are appropriately recognised as separate entities under the Act.

Scope and Application

The Financial Management and Accountability Amendment Regulations 2000 (No. 3) amends the Financial Management and Accountability Regulations to alter the definition of "Agency" under the Financial Management and Accountability Act 1997. These regulations apply to prescribed agencies, which include not only Departments of State and Departments of the Parliament but also other organisational units regarded as separate agencies within their respective departments. The amendments, effective from the date of gazette, specifically address the listing of agencies in Schedule 1 to the Principal Regulations. Notably, the Dairy Adjustment Authority is newly included as a prescribed agency, ensuring it is financially independent from the Department of Agriculture, Fisheries and Forestry. Furthermore, the regulations update the Insolvency and Trustee Service to specify a "Chief Executive" rather than the "Inspector-General in Bankruptcy", reflecting changes in the operational structure of these entities. This amendment extends the application of the Act to these newly defined agencies, ensuring they comply with the financial management and accountability requirements set forth by the legislation.

Key Provisions

The Financial Management and Accountability Amendment Regulations 2000 (No. 3) primarily amend the Financial Management and Accountability Regulations 1997, with specific focus on updating Schedule 1 to include additional agencies that are prescribed for the purposes of the Financial Management and Accountability Act 1997. This regulatory amendment is necessary to ensure that all relevant agencies are appropriately identified and defined under the Act. Regulation 1 simply states the name of these regulations, clarifying that they are an amendment to the existing regulations. Regulation 2 sets the commencement date of these amendments as the date of their gazette. Regulation 3 then directs that these changes apply to the Financial Management and Accountability Regulations 1997. The obligations and requirements imposed by these regulations are primarily administrative and definitional. They ensure that certain agencies are formally recognised and defined under the Act, which is crucial for the purposes of financial management, accountability, and reporting. For example, by amending Schedule 1, these regulations specify the Dairy Adjustment Authority as a prescribed agency, thereby granting it financial independence from the Department of Agriculture, Fisheries and Forestry. Similarly, the regulations update the Insolvency and Trustee Service to specify a Chief Executive, replacing the previous role of the Inspector-General in Bankruptcy. These changes aim to clarify the administrative and financial responsibilities of these agencies within the framework of the Act. Under the Financial Management and Accountability Act 1997, non-compliance with the regulations can result in significant consequences. While the regulations themselves do not explicitly state penalties, the overarching Act does provide for various enforcement mechanisms. For instance, breaches of the Act's provisions can lead to civil or criminal liability, depending on the nature and severity of the breach. The Act allows for penalties to be imposed, including fines and imprisonment, for those found guilty of certain offences. The exact penalties are not detailed in the regulations but are subject to the general provisions of the Act, which can include substantial financial penalties and potential imprisonment terms for serious offences.