EXPLANATORY STATEMENT
Public Governance, Performance and Accountability Act 2013
Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2016-2017 (No. 6) (the amendment determination)
Purpose of the determination
The amendment determination modifies the 2016-2017 Appropriation Acts to transfer appropriations in relation to shared services functions:
from the Department of Education and Training to the Department of Employment and the Department of Finance; and
from the Department of Employment to the Department of Finance.
The amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) to amend the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 2016‑2017 (the Determination).
The amendment determination results in no change to the total amount appropriated by Parliament.
Commencement
The amendment determination commences on the day after registration.
Authority for the determination
Section 75 of the PGPA Act enables the Finance Minister to determine that one or more Schedules to one or more Appropriation Acts are modified in a specified way in relation to the transfer of a function from one non-corporate Commonwealth entity to another.
Under section 107 of the PGPA Act, the Finance Minister has delegated the power to make determinations under section 75 to the Secretary of the Department of Finance. Under section 109 of the PGPA Act, the Secretary has, in turn, sub‑delegated this power to certain officials within the Department of Finance, including the official who made the determination.
The amendment determination amends Public Governance, Performance and Accountability
(Section 75 Transfers) Determination 2016-2017, which is a legislative instrument for the purposes of
section 8 of the Legislation Act 2003.
Statement of Compatibility with Human Rights
A Statement of Compatibility with Human Rights is not required for the amendment 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 Legislation Act 2003. A determination, including an amendment determination, under section 75 of the PGPA Act is exempt from disallowance under subsection 75(7) of the PGPA Act. As such, a Statement of Compatibility with Human Rights is not required.
Consultation
Consistent with Chapter 3, Part 1 of the Legislation Act 2003, the affected entities were consulted in the preparation of the amendment determination.
Summary of Modifications
1. Item 1 of the amendment determination adds items to the table in subsection 6(4) of the Determination. The items affect relevant appropriation items in Schedule 1 to the Supply Act (No. 1) 2016‑2017 in the following way:
Item | Entity | Appropriation item | Amount previously transferred by the Determination ($) | Amount transferred by the amendment determination ($) | Amended amount transferred by the Determination ($) |
9 | Department of Education and Training | Departmental item | 0.00 | -9,137,000.00 | -9,137,000.00 |
10 | Department of Finance | Departmental item | 0.00 | +1,574,000.00 | +1,574,000.00 |
11 | Department of Employment | Departmental item | 0.00 | +7,563,000.00 | +7,563,000.00 |
Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.
2. Item 2 repeals and substitutes items to the table in subsection 7(4) of the Determination. The items affect relevant appropriation items in Schedule 1 to the Appropriation Act (No. 1) 2016‑2017 in the following way:
Item | Entity | Appropriation item | Amount previously transferred by the Determination ($) | Amount transferred by the amendment determination ($) | Amended amount transferred by the Determination ($) |
2 | Department of Finance | Departmental item | -4,602,000.00 | +474,000.00 | -4,128,000.00 |
3 | Department of Employment | Departmental item | +5,253,000.00 | -474,000.00 | +4,779,000.00 |
Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.
Overview
The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2016-2017 (No. 6) amends appropriations related to shared services functions between certain government departments. Enacted under section 75 of the Public Governance, Performance and Accountability Act 2013, this amendment was introduced to address the need for reallocating resources more effectively within the government, ensuring that shared services functions are managed by the most appropriate departments. This amendment ensures that the total amount appropriated by Parliament remains unchanged while reassigning specific appropriations to better align with the functions and responsibilities of the involved departments. The determination was made by the Finance Minister under the authority delegated by the Secretary of the Department of Finance, in line with the legislative framework set by the PGPA Act. The purpose is to facilitate a more efficient allocation of resources without altering the overall budget approved by Parliament.
Scope and Application
The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2016-2017 pertains to the modification of appropriations in relation to shared services functions, specifically transferring appropriations from the Department of Education and Training to the Department of Employment and the Department of Finance, and from the Department of Employment to the Department of Finance. This amendment is made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) and is designed to modify the 2016-2017 Appropriation Acts without altering the total amount appropriated by Parliament. The amendment determination is applicable across the Commonwealth and involves entities such as the Department of Education and Training, the Department of Employment, and the Department of Finance. It does not require a Statement of Compatibility with Human Rights, as it is exempt from disallowance under subsection 75(7) of the PGPA Act. The amendment determination also notes that affected entities were consulted in its preparation.
Key Provisions
The main operative sections of the amendment determination are found in Item 1 and Item 2, which modify appropriations previously determined in the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 2016-2017 (subsections 6(4) and 7(4)). Specifically, Item 1 affects Schedule 1 to the Supply Act (No. 1) 2016-2017, reducing the appropriation item for the Department of Education and Training by $9,137,000 and increasing the appropriation items for the Department of Finance and the Department of Employment by $1,574,000 and $7,563,000 respectively (subsection 6(4)). Item 2 similarly affects Schedule 1 to the Appropriation Act (No. 1) 2016-2017, reducing the appropriation item for the Department of Finance by $4,128,000 and increasing the appropriation item for the Department of Employment by $4,779,000 (subsection 7(4)).
The amendment determination imposes specific obligations on the entities it governs, namely the Department of Education and Training, the Department of Employment, and the Department of Finance. These obligations include the management and administration of appropriations as modified by the determination. The entities must ensure that the transferred funds are used in accordance with the purposes specified in the relevant appropriation acts and comply with any additional directives issued by the Department of Finance. Furthermore, they are required to maintain accurate records of the appropriations and their usage, providing regular reports to the Department of Finance as needed.
Breaching the obligations set out in the amendment determination can result in significant legal consequences. While the amendment determination itself does not explicitly outline specific offences or penalties, breaches of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) can lead to various civil and criminal penalties. For instance, under the PGPA Act, individuals or entities found to have misused public funds can face fines and imprisonment. The maximum penalties can vary depending on the severity of the breach, with significant financial penalties and lengthy prison terms possible for serious offences. Additionally, the determination can also lead to administrative consequences, such as the withholding of future appropriations or other corrective actions taken by the Department of Finance.
It is important to note that the amendment determination does not require a Statement of Compatibility with Human Rights as it is exempt from disallowance under the PGPA Act. Furthermore, the affected entities were consulted during the preparation of the amendment determination, in line with the requirements of the Legislation Act 2003. This ensures that the interests of the entities are considered and any potential issues are addressed before the determination takes effect.