Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 (No. 8)

Administered by Department of Finance

Legislation au F2020L00836 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 20192020 (No. 8) (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 Machinery of Government changes.

On 5 December 2019, the Governor-General made a new Administrative Arrangements Order (AAO) to replace the AAO made on 29 May 2019. The new AAO commenced on 1 February 2020. The amendment determination modifies the Appropriation Acts to reflect the transfer of responsibility for:

  • information and communications technology supporting the delivery of services and payments to the community from the Department of Social Services to Services Australia; and
  • National Redress Scheme and Hearing Australia support services from Services Australia to the Department of Social Services.

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, 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 201920 (the Determination), 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 repeals and substitutes two items in the table in subsection 6(4) of the Determination. The items affect the relevant appropriation items in Schedule 1 to the Supply Act (No. 1) 20192020 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 ($)

7

Department of Social Services

Departmental item

-7,661,514.70

-7,056,736.84

-14,718,251.54

28

Services Australia (Executive Agency)

Departmental item

+132,104,981.90

+7,056,736.84

+139,161,718.74

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 of the amendment determination repeals and substitutes one item in the table in subsection 7(4) of the Determination. The item affects the relevant appropriation item in Schedule 2 to the Supply Act (No. 2) 20192020 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 ($)

10

Services Australia (Executive Agency)

Other departmental item (Equity Injections)

+1,785,178.62

+3,311,301.65

+5,096,480.27

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

3.      Item 3 of the amendment determination adds one item in the table in subsection 7(4) of the Determination. The items affects the relevant appropriation item in Schedule 2 to the Supply Act (No. 2) 20192020 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 ($)

11

Department of Social Services

Other departmental item (Equity Injections)

0.00

-3,311,301.65

-3,311,301.65

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

4.      Item 4 of the amendment determination repeals and substitutes one item in the table in subsection 8(4) of the Determination. The item affects the relevant appropriation item in Schedule 1 to the Appropriation Act (No. 1) 20192020 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 ($)

30

Services Australia (Executive Agency)

Departmental item

+2,485,382,051.41

+21,639,229.31

+2,507,021,280.72

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

5.      Item 5 of the amendment determination adds one item in the table in subsection 8(4) of the Determination. The items affects the relevant appropriation item in Schedule 1 to the Appropriation Act (No. 1) 20192020 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 ($)

53

Department of Social Services

Departmental item

0.00

-21,639,229.31

-21,639,229.31

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

6.      Item 6 of the amendment determination repeals and substitutes one item in the table in subsection 9(4) of the Determination. The item affects the relevant appropriation item in Schedule 2 to the Appropriation Act (No. 2) 20192020 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 ($)

11

Services Australia (Executive Agency)

Other departmental item (Equity Injections)

+78,963,788.07

+1,770,130.50

+80,733,918.57

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

7.      Item 7 of the amendment determination adds one item in the table in subsection 9(4) of the Determination. The item affects the relevant appropriation item in Schedule 2 to the Supply Act (No. 2) 20192020 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 ($)

16

Department of Social Services

Other departmental item (Equity Injections)

0.00

-1,770,130.50

-1,770,130.50

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 2019-2020 (No. 8) was enacted to adjust appropriations for non-corporate Commonwealth entities following Machinery of Government changes, specifically in response to the Administrative Arrangements Order made on 5 December 2019. This amendment determination, made under section 75 of the Public Governance, Performance and Accountability Act 2013, ensures that the transfer of responsibilities for information and communications technology, the National Redress Scheme, and Hearing Australia support services are reflected in the appropriation allocations without altering the overall amount appropriated by Parliament. The determination was made by officials within the Department of Finance, pursuant to delegations from the Finance Minister, and it commenced on the day after registration. It is important to note that no Statement of Compatibility with Human Rights was required for this amendment, as determinations under section 75 of the PGPA Act are exempt from disallowance.

Scope and Application

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 amends the Appropriation Acts to reflect the transfer of responsibilities between non-corporate Commonwealth entities, as mandated by the Administrative Arrangements Order made on 5 December 2019. This amendment determination applies to the transfer of functions related to information and communications technology supporting the delivery of services and payments to the community from the Department of Social Services to Services Australia, as well as the National Redress Scheme and Hearing Australia support services from Services Australia to the Department of Social Services. The amendment determination does not alter the total amount appropriated by Parliament but instead modifies specific appropriation items to align with the new administrative arrangements. The determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013, which enables the Finance Minister to adjust appropriations in response to changes in government machinery. The amendment determination is effective from the day after its registration and amends the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 2019-20, a legislative instrument under the Legislation Act 2003. No Statement of Compatibility with Human Rights is required as the determination is exempt from disallowance. Consultation with the affected entities was conducted in accordance with the Legislation Act 2003.

Key Provisions

The main operative sections of the Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2019-2020 (No. 8) (the amendment determination) are those that modify the appropriation items in the Appropriation Acts. Specifically, section 6(4) of the amendment determination repeals and substitutes two items, section 7(4) modifies one item and adds another, section 8(4) amends one item and adds another, and section 9(4) amends one item and adds another. These modifications reflect the transfer of responsibilities for information and communications technology supporting the delivery of services and payments to the community, as well as the National Redress Scheme and Hearing Australia support services, from the Department of Social Services to Services Australia and vice versa. The amendment determination imposes certain obligations and requirements on the entities it governs. Firstly, the Department of Social Services and Services Australia must ensure that the transfer of responsibilities and corresponding appropriations are accurately reflected in their respective accounts and records. They must also comply with any additional instructions or requirements provided by the Secretary of the Department of Finance or the relevant officials within the Department of Finance. Furthermore, both entities must maintain proper documentation and evidence of the transfers and any associated financial transactions. Breaches of the provisions outlined in the amendment determination may result in civil or criminal consequences, although no specific offences, penalties, or maximum penalties are mentioned in the text. However, it is important to note that the determination is made under section 75 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act), and any non-compliance with the Act or its regulations may be subject to penalties under those provisions. Additionally, failure to comply with the requirements of the amendment determination may also result in administrative consequences, such as audits, investigations, or other corrective actions taken by the relevant authorities.

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