Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2017-2018 (No. 3)

Administered by Department of Finance

Legislation au F2018L01742 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

Public Governance, Performance and Accountability Act 2013

Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 20172018 (No. 3) (the amendment determination)

Purpose of the determination

The amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act), to adjust amounts appropriated to non-corporate Commonwealth entities, in response to the commencement on 1 July 2018 of the Intelligence Services Amendment (Establishment of the Australian Signals Directorate) Act 2018.

The amendment determination modifies the Appropriation Acts to support functions transferred to the Australian Signals Directorate from the AttorneyGeneral’s Department, to consolidate responsibility for a variety of cyber security-related functions in the Australian Signals Directorate as an independent statutory agency. This included responsibilities for the functions previously performed by CERT Australia (the national computer emergency response team) within the AttorneyGeneral’s Department.

The amendment determination results in no change to the total amount appropriated by Parliament.

Commencement

The amendment determination commences on the day after it is registered.

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, subdelegated this power to certain officials within the Department of Finance, including the official who made the determination.

The amendment determination amends the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 20172018, 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 modifies the definition of Appropriation Act, in section 4 of the Determination, to include all 20172018 Appropriation Acts to date.

2.                   Item 2 of the amendment determination removes the word “and” from subparagraph 5(i)(i).

3.                   Item 3 of the amendment determination adds paragraphs 6(2)(c) and 6(2)(d) to subsection 6(2) of the Determination.

4.                   Paragraph 6(2)(c) has effect as if a departmental item for the Australian Signals Directorate were included in Schedule 1 to the Appropriation Act (No. 1) 20172018 within the Defence Portfolio. Due to the establishment of the Australian Signals Directorate and the transfer of functions from the AttorneyGeneral’s Department, this amendment determination has effect as if the Australian Signals Directorate were included in the Appropriation Act (No. 1) 20172018.

5.                   Subsection 6(3) of the amendment determination then establishes that this departmental item for the Australian Signals Directorate, which has effect because of this amendment determination, commences as a nil amount.

6.                   Paragraph 6(2)(d) has effect as if the following outcome were included in Schedule 1 to Appropriation Act (No. 1) 20172018 for the Australian Signals Directorate:

 

Outcome 1

Defend Australia from global threats and advance our national interests through the provision of foreign signals intelligence, cyber security and offensive cyber operations, as directed by Government

7.                   Item 4 of the amendment determination repeals and substitutes item 2 in the table in subsection 6(3) of the Determination. The item affects the relevant appropriation item in Schedule 1 to the Appropriation Act (No. 1) 20172018 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

Attorney-General’s Department

Departmental item

-35,003,435.00

-5,517,552.00

-40,520,987.00

Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.

8.                   Item 5 of the amendment determination adds item 24 to the table in subsection 6(3) of the Determination. The item affects the relevant appropriation item in Schedule 1 to the Appropriation Act (No. 1) 20172018 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 ($)

24

Australian Signals Directorate

Departmental item

0.00

+5,517,552.00

+5,517,552.00

Note: A positive amount reflects an increase in an appropriation item and a negative amount reflects a decrease in an appropriation item.

9.                   Item 6 of the amendment determination adds section 9 to the Determination, which applies to appropriation items in Schedule 2 to the Appropriation Act (No. 4) 20172018.

10.               Paragraph 9(2)(a) has effect as if an other departmental item for the Australian Signals Directorate were included in Schedule 2 to the Appropriation Act (No. 4) 20172018 within the Defence Portfolio. Due to the establishment of the Australian Signals Directorate and the transfer of functions from the AttorneyGeneral’s Department, this amendment determination has effect as if the Australian Signals Directorate were included in the Appropriation Act (No. 4) 20172018.

11.               Subsection 9(3) of the amendment determination then establishes that this other departmental item for the Australian Signals Directorate, which has effect because of this amendment determination, commences as a nil amount.

12.               The table at subsection 9(3) affects relevant appropriation items in Schedule 2 to the Appropriation Act (No. 4) 20172018 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 ($)

1

AttorneyGeneral’s Department

Other departmental item (Equity Injections)

0.00

-2,531,000.00

-2,531,000.00

2

Australian Signals Directorate

Other departmental item (Equity Injections)

0.00

+2,531,000.00

+2,531,000.00

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 2017-2018 (No. 3) was enacted to address the transfer of functions from the Attorney-General’s Department to the Australian Signals Directorate, which was established under the Intelligence Services Amendment (Establishment of the Australian Signals Directorate) Act 2018. This amendment was necessary to consolidate responsibility for cyber security-related functions within the Australian Signals Directorate as an independent statutory agency, including those previously managed by CERT Australia. The amendment determination was made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act) by the Secretary of the Department of Finance, on behalf of the Finance Minister, and ensures that the total amount appropriated by Parliament remains unchanged. The amendment determination involves modifying the Appropriation Acts to reflect the transfer, with the commencement of the determination occurring on the day after its registration. It should be noted that a Statement of Compatibility with Human Rights is not required for this amendment determination as it is exempt from disallowance under the PGPA Act.

Scope and Application

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2017-2018 applies to the appropriation adjustments related to the transfer of certain functions from the Attorney-General’s Department to the Australian Signals Directorate (ASD). This amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 and modifies the relevant Appropriation Acts to reflect the establishment of ASD as an independent statutory agency. The determination includes modifications to the definitions, the insertion of new items, and changes to the amounts transferred for both departmental and other items within the specified appropriation acts. It is pertinent to the entities involved in the transfer of functions, namely the Attorney-General’s Department and the ASD, and affects appropriations within the Defence Portfolio. The amendment ensures that there is no change to the total amount appropriated by Parliament while realigning the responsibilities and funding to better align with the ASD's role in cyber security. The determination operates under the Commonwealth jurisdiction and comes into effect on the day after it is registered.

Key Provisions

The main operative sections of the Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2017-2018 (No. 3) modify the appropriation amounts for certain entities in response to the transfer of functions to the Australian Signals Directorate. Specifically, section 4 modifies the definition of "Appropriation Act" to include all 2017-2018 appropriation acts to date. Section 5(i)(i) removes a redundant word, while sections 6(2)(c) and 6(2)(d) adjust the appropriation items for the Australian Signals Directorate to reflect the transferred functions. Additionally, section 9 introduces a new appropriation item for the Australian Signals Directorate within the Defence Portfolio. These sections ensure that the financial allocations are aligned with the new organisational structure and responsibilities. The obligations and requirements imposed by the amendment determination on the parties and entities it governs include the requirement to adjust the appropriation amounts for the Australian Signals Directorate and the Attorney-General’s Department to reflect the transfer of cyber security-related functions. The amendment determination mandates that the Australian Signals Directorate's departmental item in the Appropriation Act (No. 1) 2017-2018 starts with a nil amount but includes an outcome for the provision of foreign signals intelligence, cyber security, and offensive cyber operations. Conversely, the Attorney-General’s Department's appropriation is reduced by the amount transferred to the Australian Signals Directorate. These adjustments ensure that the financial resources are accurately allocated to support the new responsibilities of the Australian Signals Directorate. The amendment determination does not specify any new offences, penalties, or civil/criminal consequences for breaches. However, non-compliance with the appropriations as adjusted by this determination could potentially lead to financial mismanagement and accountability issues under the Public Governance, Performance and Accountability Act 2013. The Finance Minister, who has the authority to make such determinations under section 75 of the PGPA Act, ensures that these adjustments are legally binding and that entities must adhere to the new appropriation amounts as specified. Any failure to comply with the appropriations could result in administrative or legal consequences under the relevant legislation.

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