2018

THE LEGISLATIVE ASSEMBLY FOR THE
AUSTRALIAN CAPITAL TERRITORY

APPROPRIATION BILL 2018-2019 

EXPLANATORY STATEMENT

Presented by
Mr Andrew Barr MLA
Treasurer

APPROPRIATION BILL 2018-2019 

The Appropriation Bill 2018-2019 is the mechanism for the appropriation of monies to ACT Government agencies for the 2018-19 financial year.

Under Section 58 of the Australian Capital Territory (Self-Government) Act 1988, public money may not be issued or spent except as authorised by law.  Under section 6 of the Financial Management Act 1996 (FMA), no payment of public money may be made unless it is in accordance with an appropriation.  Section 8 of the FMA provides for separate appropriations to be made under an Appropriation Act in respect of each territory entity.  This Bill satisfies the provisions of each of these Acts.

The Bill provides for appropriations for:
(a) any controlled recurrent payments to be provided to a Territory entity;
(b) any capital injection to be provided to Territory entities; and
(c) payments to be made by Territory entities on behalf of the Territory.

Monies are appropriated to directorates, which have been established by the Administrative Arrangements and guidelines issued under Section 133 of the FMA.  Appropriations are also made to Territory authorities and Territory-owned corporations.

The Bill includes an appropriation of $53 394 000 for the Treasurer’s Advance.  This amount will enable me, as Treasurer, to authorise expenditure in excess of that appropriated, or not provided for by an appropriation, if there is an urgent and unforeseen need for the expenditure (as per section 18 of the FMA).  Consistent with that section, the amount proposed to be appropriated in 2018-19 represents almost one per cent of the total amount to be appropriated under this Bill, the Appropriation Bill 2018-2019 and also the Appropriation (Office of the Legislative Assembly) Bill 2018-2019.

Details of the Bill are set out below:

APPROPRIATION BILL 2018-2019

Clause 1 cites the short title of the Act as being the Appropriation Act 2018 ‑2019 as it relates to the 2018-19 financial year.

Clause 2 provides that the Act commences on 1 July 2018.

Clause 3 refers to the legislative basis for making appropriations.

Clause 4 deals with definitions for the purposes of the Bill.

Clause 5 deals with interpretation for the purposes of the Bill.

Clause 6 provides for the appropriation of $5 364 461 000 for controlled recurrent payments, capital injections and payments on behalf of the Territory, in the 2018 ‑19 financial year.

Clause 6 (1) provides for appropriations to Territory entities.

Clause 6 (2) provides for the appropriation of the Treasurer’s Advance.

Clause 7 declares that all capital injection appropriations listed in Schedule 1, except those made to the Superannuation Provision Account are for, or partly for, the net cost of purchasing or developing assets.

Clause 8 gives effect to Section 17 of the FMA, which allows for on-passing increases to Commonwealth grants identified in the Budget Papers.  This clause applies Section 17 of the FMA to all Territory entities identified in Schedule 1, except those listed in the clause, which includes the appropriation to the Treasurer’s Advance.

Clause 9 gives effect to Section 17A of the FMA, which allows for an increase in a specified appropriation to make payments to the Commonwealth for the provision of a service.

Clause 10 declares that appropriations made to the Superannuation Provision Account are superannuation appropriations for the purposes of the Territory Superannuation Provision Protection Act 2000.

Schedule 1 details the Territory entities and the amounts that are appropriated in the 2018-19 financial year for:
(a) controlled recurrent payments;
(b) capital injections; and
(c) payments on behalf of the Territory.

for each Territory entity.