Financial Management and Accountability Amendment Regulations 2002 (No. 2)

Overview

The Financial Management and Accountability Amendment Regulations 2002 (No. 2) were enacted by the Australian Parliament to address the need for updating the list of prescribed agencies under the Financial Management and Accountability Act 1997. These regulations, issued under the authority of the Minister for Finance and Administration, reflect changes in the organisational structure and names of certain agencies to ensure that the Act accurately captures all entities required to adhere to its financial management and accountability provisions. The policy objective of these amendments is to maintain the integrity and effectiveness of financial oversight mechanisms within the government by ensuring that all relevant agencies are appropriately prescribed under the Act. The Regulations specifically address the incorporation of the Australian Protective Service within the Australian Federal Police, the establishment of the CrimTrac Agency, CSS Board, and PSS Board as separate prescribed agencies, and the renaming of the Australian Geological Survey Organisation to Geoscience Australia. These changes are intended to streamline the application of the Act to various agencies involved in the management of public funds, ensuring compliance and accountability across the board.

Scope and Application

The Financial Management and Accountability Amendment Regulations 2002 (No. 2) amends the Financial Management and Accountability Act 1997 by introducing new prescribed agencies and modifying existing ones to ensure the Act's provisions are comprehensively applied across relevant entities. These Regulations apply to various agencies and bodies responsible for managing public money, including the Australian Federal Police (AFP), which now includes the Australian Protective Service staff, and three new prescribed agencies: the CrimTrac Agency, the CSS Board, and the PSS Board. These prescribed agencies are subject to the Act's requirements for financial management and accountability, which govern the handling of public funds and the reporting of financial activities. The Regulations also reflect the renaming of the Australian Geological Survey Organisation to Geoscience Australia, ensuring consistency in the Act's references. The jurisdictional reach of these Regulations is federal, impacting agencies and bodies operating under Commonwealth law. Any exclusions, exemptions, or thresholds are not specified in the explanatory statement but would typically be detailed within the Regulations themselves or any subordinate instruments.

Key Provisions

The Financial Management and Accountability Amendment Regulations 2002 (No. 2) amend the existing framework of the Financial Management and Accountability Act 1997, with a focus on broadening the scope of prescribed agencies. Section 65(1) of the Act empowers the Governor-General to make regulations necessary for the Act's implementation, and these regulations specifically target the prescribed agencies, including the Australian Federal Police (AFP). Under the new regulations, the AFP will now include the staff of the Australian Protective Service, and references to the Australian Federal Police Act 1979 will be updated accordingly (Schedule 2, Items [1] and [5]). Additionally, three new prescribed agencies have been introduced to enhance the regulatory framework. These new prescribed agencies are the CrimTrac Agency, the CSS Board, and the PSS Board. The CrimTrac Agency, established on 14 June 2000 as an Executive Agency under the Public Service Act 1999, will now be a separate entity from the Attorney-General's Department for the purposes of the Act (Schedule 2, Items [2] and [4]). The CSS Board and PSS Board, both statutory bodies created under the Superannuation Act 1976 and Superannuation Act 1990 respectively, will now be subject to the Act in their management of public money, including administration expenses (Schedule 2, Item [3]). Furthermore, the Australian Geological Survey Organisation (AGSO) will now be known as Geoscience Australia, reflecting the name change that occurred on 12 April 2002 (Schedule 1, Items [1] and [2]). The obligations imposed by these regulations are primarily directed at ensuring that the new prescribed agencies adhere to the financial management and accountability standards set forth in the Act. The inclusion of the Australian Protective Service within the AFP means that its financial activities will now be subject to the same scrutiny and reporting requirements as the rest of the AFP. For the CrimTrac Agency, the CSS Board, and the PSS Board, this means they will have to comply with the Act's provisions on the management and reporting of public money, ensuring transparency and accountability in their financial dealings. The renaming of AGSO to Geoscience Australia is a procedural change that will reflect the entity's current name in all legislative references. The regulations also establish consequences for non-compliance with the Act's provisions. While specific offences and penalties are not detailed in the explanatory statement, breaches of the Financial Management and Accountability Act 1997 can lead to both civil and criminal penalties. Civil penalties may include fines and other monetary sanctions, while criminal offences could result in imprisonment, depending on the severity and nature of the breach. The exact penalties would be determined based on the specific provisions of the Act that are violated, and the circumstances surrounding each case.