Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2023-2024 (No. 3)

Administered by Department of Finance

Legislation au F2023L01387 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 20232024 (No. 3)

Purpose of the determination

Section 75 of the Public Governance, Performance and Accountability Act 2013 (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. The power in section 75 recognises that the Executive Government will from time to time choose to reorganise the administration and delivery of its functions with commensurate transfers of resources, including appropriations, between entities.

Subsection 75(7) of the PGPA Act provides that a determination made under subsection (2) is a legislative instrument, but that section 42 (disallowance) of the Legislation Act 2003 does not apply to the determination. The Explanatory Memorandum for the Public Governance, Performance and Accountability Bill 2013 provides (at paragraph 370) that determinations made under section 75 are exempt from disallowance as the changes effected by determinations made under section 75 are in the nature of administrative changes only, relating to the Executive Government’s decisions about the allocation of functions to particular entities.

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.

On 16 October 2023, the Office of the Inspector-General of Aged Care (the Office) commences as a non-corporate Commonwealth entity for the purposes of the finance law, following the commencement of the Inspector-General of Aged Care Act 2023. Funding to establish the Office was provided to the Department of Health and Aged Care in the 2022-23 October Budget.

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2023-2024 (No. 3) (the amendment determination) amends the Public Governance, Performance and Accountability (Section 75 Transfers) Determination 20232024 (the principal determination) to reflect the transfer of appropriations between the Department of Health and Aged Care and the Office. The amendment determination does not change the total amount appropriated by the Parliament.

The principal determination modifies the 2023-24 Appropriation Acts to, among other things, increase or decrease appropriation items for affected entities due to the transfer of functions between them.

The 2023-24 Appropriation Acts include:

  • the Appropriation Act (No. 1) 2023-2024; and
  • the Appropriation Act (No. 2) 2023-2024.

The amendment determination is a legislative instrument for the purposes of section 8 of the Legislation Act 2003.

Commencement

The amendment determination commences on 16 October 2023.

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 made under subsection 75(2) 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 section 17 of the Legislation Act 2003, the affected entities were consulted in the preparation of the amendment determination.

Summary of amendments

  1. Item 1 of Schedule 1 to the amendment determination has effect as if Schedule 1 to the Appropriation Act (No. 1) 2023-2024 included a departmental item for the Office and the outcome for the Office as set out in paragraph 5(2B)(b).  
  2. Item 2 of Schedule 1 to the amendment determination adds items 9 and 10 at the end of the table in subsection 5(3) of the principal determination and has effect as if appropriation items in Schedule 1 to the Appropriation Act (No. 1) 2023-2024 were increased or decreased in accordance with the table included in the subsection. If an appropriation item exists only because of the principal determination, the increase is from a nil amount. The amendment determination does not change the total amount appropriated by the Parliament.

Item

Entity

Appropriation item

Previous increase/ decrease by the principal determination

($)

Current increase/ decrease by the amendment determination

 ($)

Total increase/ decrease by the principal determination

($)

9

Department of Health and Aged Care

Departmental item

0.00

-5,000,000.00

-5,000,000.00

10

Office of the Inspector-General of Aged Care

Departmental item

0.00

+5,000,000.00

+5,000,000.00

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 2023-2024 (No. 3) was enacted to address the administrative changes required in the allocation of appropriations following the establishment of the Office of the Inspector-General of Aged Care as a non-corporate Commonwealth entity. This determination, made under section 75 of the Public Governance, Performance and Accountability Act 2013, modifies appropriations between the Department of Health and Aged Care and the new Office, ensuring that the total amount appropriated by the Parliament remains unchanged. The amendment determination, which exempts from disallowance under the Legislation Act 2003, is a legislative instrument reflecting the Executive Government's decision to reorganise functions and resources. It was prepared in consultation with the affected entities, as mandated by the Legislation Act 2003, and it comes into effect on 16 October 2023.

Scope and Application

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2023-2024 (No. 3) applies to appropriations between the Department of Health and Aged Care and the Office of the Inspector-General of Aged Care, both of which are non-corporate Commonwealth entities. The amendment determination modifies appropriations outlined in the Appropriation Act (No. 1) 2023-2024 and the Appropriation Act (No. 2) 2023-2024 to reflect the transfer of functions between these entities. Specifically, it reduces the departmental item for the Department of Health and Aged Care by $5,000,000.00 and increases the departmental item for the Office of the Inspector-General of Aged Care by the same amount, while maintaining the total appropriations as initially determined by Parliament. The amendment determination does not change the overall amount appropriated by Parliament. The authority to make this amendment lies with the Secretary of the Department of Finance, who has been subdelegated this power by the Finance Minister, as per the Public Governance, Performance and Accountability Act 2013. The amendment determination came into effect on 16 October 2023, the same day the Office of the Inspector-General of Aged Care commenced operations as a non-corporate Commonwealth entity.

Key Provisions

The Public Governance, Performance and Accountability (Section 75 Transfers) Amendment Determination 2023-2024 (No. 3) amends the principal determination to adjust appropriations between the Department of Health and Aged Care and the Office of the Inspector-General of Aged Care. Specifically, it introduces a departmental item for the Office of the Inspector-General of Aged Care and adjusts the appropriation items accordingly (see Item 1 and Item 2 of Schedule 1). These changes reflect the transfer of functions from the Department of Health and Aged Care to the Office of the Inspector-General of Aged Care. The amendment determination imposes certain obligations on the entities involved. The Department of Health and Aged Care must decrease its appropriation item by $5,000,000.00, while the Office of the Inspector-General of Aged Care must see an increase of $5,000,000.00 in its appropriation item (see Items 9 and 10 of Schedule 1). These adjustments must be made in accordance with the amendment determination, ensuring that the total amount appropriated by Parliament remains unchanged. There are no explicit offences or penalties outlined in the amendment determination itself. However, the amendment determination is a legislative instrument under the Legislation Act 2003, and any failure to comply with the requirements of the determination could potentially lead to legal consequences. Given the nature of the changes, non-compliance could result in administrative penalties or legal actions to enforce the adjustments mandated by the determination. The amendment determination is effective from 16 October 2023. This date is critical as it marks the commencement of the Office of the Inspector-General of Aged Care as a non-corporate Commonwealth entity and aligns with the transfer of appropriations between the Department of Health and Aged Care and the Office. Ensuring that all adjustments are made by this date is essential to comply with the requirements of the determination.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.