Overview

The Financial Management and Accountability Act 1997, enacted by the Parliament of Australia, establishes the framework for the financial management and accountability of Commonwealth entities, including the creation of Special Accounts to manage specific funds. Determination 2006/14, issued under this Act, establishes the Other Trust Moneys – Office of Workplace Services Special Account, enabling the Office of Workplace Services to temporarily hold moneys on behalf of persons or entities not subject to the FMA Act. This Special Account is intended to facilitate the temporary holding of miscellaneous funds, such as found moneys and workers' compensation payments, and to ensure that these funds remain with the relevant agency even if the Office of Workplace Services changes its name. The determination specifies the nature of amounts that may be credited to, and debited from, the account, subject to parliamentary disallowance and oversight as per the FMA Act.

Scope and Application

The Financial Management and Accountability Act 1997 Determination 2006/14 pertains to the establishment of a Special Account, specifically the Other Trust Moneys – Office of Workplace Services Special Account. This determination applies to the Office of Workplace Services and its successor agencies, enabling it to temporarily hold funds on behalf of individuals and entities not subject to the Financial Management and Accountability Act 1997. The Special Account is intended to manage small miscellaneous amounts, such as money found by Commonwealth officials or payments related to workers' compensation from Comcare. The determination outlines the permissible uses for the funds held within the account and mandates that the account remain with the relevant agency even if the Office of Workplace Services changes its name. The establishment of such a Special Account requires an appropriation under section 20 of the FMA Act, and any changes to the account's establishment or variation must be tabled in Parliament, subject to potential disallowance within five sitting days. Conversely, the abolition of the account does not necessitate tabling in Parliament.

Key Provisions

The main operative sections of the Determination 2006/14, as referenced in the Financial Management and Accountability Act 1997 (FMA Act), establish a Special Account called the Other Trust Moneys – Office of Workplace Services Special Account. This Special Account is intended to enable the Office of Workplace Services to temporarily hold amounts on behalf of persons or entities that are not subject to the FMA Act (subsection 20(1)). The determination also specifies the nature of amounts that may be credited to, and the purposes for which amounts may be debited from, this Special Account (clause 5). The determination ensures that the Office of Workplace Services can manage and expend these amounts appropriately, in accordance with the rules set out in the determination. The Act imposes specific obligations and requirements on the parties and entities it governs. Under section 20 of the FMA Act, the establishment of a Special Account, such as the Other Trust Moneys – Office of Workplace Services Special Account, requires an appropriation by the Parliament for the specified purpose. Furthermore, section 22 of the FMA Act mandates that any determination establishing or varying a Special Account must be tabled in each House of Parliament, allowing for a disallowance period of five sitting days. If not disallowed, the determination comes into effect on the calendar day after the disallowance period has expired. The determination must also specify the nature of amounts that may be credited to and the purposes for which amounts may be debited from the Special Account, ensuring transparency and accountability in the handling of these funds. In terms of offences, penalties, or civil/criminal consequences for breach, the Explanatory Statement does not detail specific offences or penalties related to the establishment or operation of the Other Trust Moneys – Office of Workplace Services Special Account. However, under the FMA Act, breaches of financial management and accountability requirements can lead to civil or criminal penalties. For instance, section 14 of the FMA Act outlines offences such as misapplying Commonwealth moneys, which can result in significant penalties. Additionally, section 16 of the FMA Act allows for the imposition of pecuniary penalties for non-compliance with certain financial management requirements, with penalties that can be substantial depending on the nature and seriousness of the breach. The exact penalties would depend on the specific circumstances and provisions of the FMA Act and any related legislation.