Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 (No. 11)

Overview

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 (No. 11) was enacted to modify the Appropriation Acts in response to the transfer of business registry functions from the Australian Securities and Investments Commission (ASIC) to the Australian Taxation Office (ATO) under the Modernising Business Registers program. This 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, who was delegated this power by the Finance Minister. The purpose of the amendment is to ensure the smooth transition of functions without altering the total amount appropriated by Parliament. The amendment determination introduces no new policy objectives but aims to align appropriations with the new administrative arrangements, maintaining the integrity of the budgetary framework while facilitating the program's objectives. The determination was made in consultation with the affected entities, ensuring that their interests and operational requirements are considered in the legislative changes.

Scope and Application

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 applies to the transfer of appropriated funds between non-corporate Commonwealth entities in response to specific legislative changes, including the commencement of the Treasury Laws Amendment (Registries Modernisation and Other Measures) Act 2020 and the appointment of the Commissioner of Taxation as the Commonwealth Registrar of the Australian Business Registry Services. This amendment determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 and is designed to support the transfer of the administration of business registry functions from the Australian Securities and Investments Commission to the Australian Taxation Office as part of the Modernising Business Registers program. It is important to note that this amendment results in no overall change to the total amount appropriated by Parliament. The amendment determination is applicable nationally, as it concerns the administration of Commonwealth funds across various entities, and it operates within the framework of the Public Governance, Performance and Accountability Act. The amendment determination does not require a Statement of Compatibility with Human Rights as it is exempt from disallowance under the Public Governance, Performance and Accountability Act.

Key Provisions

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 (No. 11) primarily modifies the appropriations of non-corporate Commonwealth entities to facilitate the transfer of business registry functions from the Australian Securities and Investments Commission (ASIC) to the Australian Taxation Office (ATO) (s. 1). This transfer is part of the Modernising Business Registers program and was necessitated by the commencement of the Treasury Laws Amendment (Registries Modernisation and Other Measures) Act 2020 on 4 April 2021, and the appointment of the Commissioner of Taxation as the Commonwealth Registrar of the Australian Business Registry Services on the same date (Explanatory Statement). Specifically, the determination transfers $5,048,475.69 from ASIC to the ATO, as shown in items 56 and 57 of the amendment (s. 1). The amendment determination imposes several obligations on the entities it governs. It requires ASIC to transfer a specific appropriation amount to the ATO, reflecting the reallocation of business registry functions (s. 1). The ATO, in turn, must accept this appropriation and use it in accordance with the purpose specified by the amendment determination. Both entities are obligated to ensure that the transfer of funds is accurately reflected in their respective financial records and that any changes are communicated to relevant stakeholders. The determination also mandates that the total amount appropriated by Parliament remains unchanged, ensuring fiscal responsibility and transparency (s. 1). The amendment determination does not specify any offences, penalties, or civil or criminal consequences for non-compliance. However, failure to adhere to the requirements of the determination could potentially lead to broader accountability issues under the Public Governance, Performance and Accountability Act 2013 (PGPA Act). This could include investigations, audits, or other corrective measures by the relevant authorities to ensure compliance with the Act's provisions (s. 107, s. 109). While specific penalties are not outlined in the amendment determination, non-compliance with the PGPA Act could result in administrative or legal consequences depending on the severity and nature of the breach. The amendment determination is made under the authority of section 75 of the PGPA Act, which allows the Finance Minister to modify appropriations in relation to the transfer of functions between non-corporate Commonwealth entities (s. 75). This power has been delegated to the Secretary of the Department of Finance, who has further sub-delegated it to certain officials within the department (s. 107, s. 109). The determination amends the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 2019-2020, which is a legislative instrument under the Legislation Act 2003 (s. 8). The amendment determination was prepared in consultation with the affected entities, consistent with the requirements of the Legislation Act 2003 (s. 9).