Department of Foreign Affairs and Trade
Notes to and Forming Part of the Financial Statements
Note 29: Appropriations
| Note 29A: Annual Appropriations (‘Recoverable GST exclusive’) | ||||||||
| Annual Appropriations for 2015 | ||||||||
| Appropriation Act | PGPA Act | Appropriation applied in 2015 (current and prior years) | Section 51 determin-ations3 | |||||
|---|---|---|---|---|---|---|---|---|
| Annual Appropriation1 | AFM | Section 74 | Section 75 | Total appropriation | Variance2 | |||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | |
| Departmental | ||||||||
| Ordinary annual services | 1,377,404 | – | 97,699 | – | 1,475,103 | (1,551,490) | (76,387) | (88) |
| Other services | ||||||||
| Equity | 121,064 | – | – | – | 121,064 | (100,837) | 20,227 | (7,809) |
| Total departmental | 1,498,468 | – | 97,699 | – | 1,596,167 | (1,652,327) | (56,160) | (7,897) |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered items4 | 4,532,643 | – | – | – | 4,532,643 | (4,415,427) | 117,216 | (1,878) |
| Payments to corporate | ||||||||
| Commonwealth entities | 138,865 | – | – | – | 138,865 | (138,865) | – | – |
| Other services | ||||||||
| Administered assets and liabilities | 212,698 | – | – | – | 212,698 | (568,245) | (355,547) | – |
| Total administered | 4,884,206 | – | – | – | 4,884,206 | (5,122,537) | (238,331) | (1,878) |
| 1. In 2014-15, there were adjustments that met the recognition criteria of a formal addition or reduction in revenue but at law the appropriations had not been amended before the end of the reporting period as Departmental appropriations do not lapse at financial year end. The adjustments were: – a reduction to revenue of $1,240,276 relating to the Passport Funding Agreement, – a reduction to revenue of $3,136,493 relating to no-win/no-loss funding for FBT payable on living away from home allowance, and – an addition to revenue of $23,015,091 relating to no-win/no-loss funding for foreign exchange. |
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| The net increase in appropriations of $18,638,322 is expected to be applied to Appropriation Act (No 3) 2015-16. | ||||||||
| 2. Variances in appropriation may result from using prior year non-lapsed appropriations to fund operating and capital expenditure incurred in the current financial year, making payments for benefits to be received in future years and where obligations in the current financial year are not settled by financial year end. | ||||||||
| 3. The reduction of $88,000 against departmental ordinary annual services is the net effect against revenue in 2014-15 comprised of a reduction of $643,000 relating to the Passport Funding Agreement offset against an increase in revenue of $555,000 for the Intercountry Adoption – national support service measure included in 2014-15 Appropriation Act (No 5). The reduction of $7,809,000 against departmental equity relates to the change in scope of the diplomatic accommodation project in Kabul. The reduction of $1,878,000 against administered items is the net effect of an approved movement of funds and transfer of the Tasmanian Regional Tourism Package to Austrade offset by an increase in expenditure on Australia’s payments to international organisations. | ||||||||
| 4. Comsuper spends money from the Consolidated Revenue Fund on behalf of DFAT in accordance with the Papua New Guinea (Staffing Assistance) Act 1973. In 2014-15 Comsuper drew down $7,771,622 from DFAT’s administered appropriation. This is included in the appropriation applied amount above. | ||||||||
| Annual Appropriations for 2014 – DFAT | ||||||||
| Appropriation Act | FMA Act | Total appropriation | Appropriation applied in 2014 (current and prior years) | |||||
|---|---|---|---|---|---|---|---|---|
| Annual Appropriation1 | Appropriations reduced2 | Section 30 | Section 31 | Section 323 | Variance4 | |||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | |
| Departmental | ||||||||
| Ordinary annual services1 | 993,488 | – | – | 108,082 | 331,784 | 1,433,354 | (1,324,335) | 109,019 |
| Other services | ||||||||
| Equity | 62,110 | – | – | – | 14,523 | 76,633 | (51,318) | 25,315 |
| Total departmental | 1,055,598 | – | – | 108,082 | 346,307 | 1,509,987 | (1,375,653) | 134,334 |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered items5 | 620,125 | (1,019,899) | 86,892 | – | 3,493,566 | 3,180,684 | (2,886,789) | 293,895 |
| Payments to CAC Act bodies | 82,121 | – | – | – | – | 82,121 | (82,121) | – |
| Other services | ||||||||
| Administered assets and liabilities | 2,196,366 | – | – | – | 594,223 | 2,790,589 | (260,198) | 2,530,391 |
| Payments to CAC Act bodies | 2,697 | – | – | – | – | 2,697 | (2,697) | – |
| Total administered | 2,901,309 | (1,019,899) | 86,892 | – | 4,087,789 | 6,056,091 | (3,231,805) | 2,824,286 |
| 1. In 2013-14, there were adjustments that met the recognition criteria of a formal addition and reduction to revenue (in accordance with FMO Div 101) but at law the appropriations had not been amended before the end of the reporting period. The adjustments were: – a reduction to revenue of $2,788,954 relating to the Passport Services Purchasing Agreement, – a reduction to revenue of $842,416 relating to no-win/no-loss funding for security projects, – an addition to revenue of $38,335,383 relating to no-win/no-loss funding for foreign exchange, and – a reduction to revenue of $13,444,225 relating to no-win/no-loss funding for FBT payable on living away from home allowance. |
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| 2. Appropriations reduced under Appropriation Acts (Nos. 1, 3, 5) 2013-14: sections 10, 11, 12 and 15 and under Appropriation Acts (Nos. 2, 4, 6) 2013-14: sections 12, 13, 14 and 17. Departmental appropriations do not lapse at financial year-end. However, the responsible Minister may decide that part or all of a departmental appropriation is not required and request the Finance Minister to reduce that appropriation. The reduction in the appropriation is effected by the Finance Minister’s determination and is disallowable by Parliament. As with departmental appropriations, the responsible Minister may decide that part or all of an administered appropriation is not required and request that the Finance Minister reduce that appropriation. For administered appropriations reduced under section 11 of Appropriation Acts (Nos. 1, 3, 5) 2013-14 and section 12 of Appropriation Acts (Nos. 2, 4, 6) 2013-14, the appropriation is taken to be reduced to the required amount specified in former Table E of this note once the annual report is tabled in Parliament. All administered appropriations may be adjusted by a Finance Minister’s determination, which is disallowable by Parliament. The amount reduced for administered items includes $998,642,000 in savings related to the stabilisation of the Official Development Assistance (ODA) Budget as announced by the Government on 18 January 2014. | ||||||||
| 3. The international development and aid function was assumed from AusAID due to the Administrative Arrangements Order issued on 18 September 2013, which integrated the activities of AusAID with DFAT. AusAID ceased to be an entity on 1 November 2013. Remaining 2013-14 appropriations were transferred to DFAT under a determination under s. 32 of the FMA Act on 31 October 2013. | ||||||||
| 4. Variances in appropriation may result from using prior year non-lapsed appropriations to fund operating and capital expenditure incurred in the current financial year, making payments for benefits to be received in future years and where obligations in the current financial year are not settled by financial year end. | ||||||||
| 5. Comsuper spends money from the Consolidated Revenue Fund on behalf of DFAT in accordance with the Papua New Guinea (Staffing Assistance) Act 1973. In 2013-14, from 1 November 2013 onwards, Comsuper drew down $5,477,823 from DFAT’s administered appropriation. This is included in the appropriation applied amount above. | ||||||||
| Annual Appropriations for 2014 AusAID – (1 July 2013 to 31 October 2013) | ||||||||
| Appropriation Act | FMA Act | Total appropriation | Appropriation applied in 2014 (1 July 2013 to 31 October 2013) (current and prior years) | |||||
| Annual Appropriation | Appropriations reduced1 | Section 30 | Section 31 | Section 322 | Variance3 | |||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | |
| Departmental | ||||||||
| Ordinary annual services | 365,993 | – | – | 6,110 | (331,784) | 40,319 | (124,799) | (84,480) |
| Other services | ||||||||
| Equity | 14,523 | – | – | – | (14,523) | – | – | – |
| Total departmental | 380,516 | – | – | 6,110 | (346,307) | 40,319 | (124,799) | (84,480) |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered items4 | 4,595,104 | (1) | 15,725 | – | (3,490,978) | 1,119,850 | (1,235,760) | (115,910) |
| Other services | ||||||||
| Administered assets and liabilities | 604,144 | – | – | – | (594,223) | 9,921 | (86,068) | (76,147) |
| Total administered | 5,199,248 | (1) | 15,725 | – | (4,085,201) | 1,129,771 | (1,321,828) | (192,057) |
| 1. Appropriations reduced under Appropriation Acts (Nos. 1, 3, 5) 2013-14: sections 10, 11, 12 and 15 and under Appropriation Acts (Nos. 2, 4, 6) 2013-14: sections 12, 13, 14 and 17. Departmental appropriations do not lapse at financial year-end. However, the responsible Minister may decide that part or all of a departmental appropriation is not required and request the Finance Minister to reduce that appropriation. The reduction in the appropriation is effected by the Finance Minister’s determination and is disallowable by Parliament. As with departmental appropriations, the responsible Minister may decide that part or all of an administered appropriation is not required and request that the Finance Minister reduce that appropriation. For administered appropriations reduced under section 11 of Appropriation Acts (Nos. 1, 3, 5) 2013-14 and section 12 of Appropriation Acts (Nos. 2, 4, 6) 2013-14, the appropriation is taken to be reduced to the required amount specified in former Table E of this note once the annual report is tabled in Parliament. All administered appropriations may be adjusted by a Finance Minister’s determination, which is disallowable by Parliament. | ||||||||
| 2. The international development and aid function was assumed from AusAID due to the Administrative Arrangements Order issued on 18 September 2013, which integrated the activities of AusAID with DFAT. AusAID ceased to be an entity on 1 November 2013. Remaining 2013-14 appropriations were transferred to DFAT under a determination under s. 32 of the FMA Act on 31 October 2013. | ||||||||
| 3. Variances in appropriation may result from using prior year non-lapsed appropriations to fund operating and capital expenditure incurred in the current financial year, making payments for benefits to be received in future years and where obligations in the current financial year are not settled by financial year end. | ||||||||
| 4. Comsuper spends money from the Consolidated Revenue Fund on behalf of AusAID in accordance with the Papua New Guinea (Staffing Assistance) Act 1973. In 2013-14, from 1 July 2013 to 31 October 2013, Comsuper drew down $2,979,827 from AusAID’s administered appropriation. This is included in the appropriation applied amount above. | ||||||||
| Note 29B: Departmental and Administered Capital Budgets (‘Recoverable GST exclusive’) | ||||||||
| Capital Budget Appropriations for 2015 | ||||||||
| 2015 Capital Budget Appropriations | Capital Budget Appropriations applied in 2015 (current and prior years) | |||||||
|---|---|---|---|---|---|---|---|---|
| Appropriation Act | PGPA Act | Total Capital Budget Appropriations | Payments for non-financial assets2 | Payments for other purposes | Total payments | Variance3 | ||
| Annual Capital Budget | Section 75 | |||||||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | ||
| Departmental | ||||||||
| Ordinary annual services | ||||||||
| Departmental Capital Budget1 | 53,032 | – | 53,032 | (58,508) | – | (58,508) | (5,476) | |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered Capital Budget1 | 2,293 | – | 2,293 | (184) | – | (184) | 2,109 | |
| 1. Departmental and Administered Capital Budgets are appropriated through Appropriation Acts (Nos. 1, 3, 5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts. For more information on ordinary annual services appropriations, please see Note 29A: Annual Appropriations. | ||||||||
| 2. Payments made on non-financial assets include purchases of assets, expenditure on assets which has been capitalised, costs incurred to make good an asset to its original condition, and the capital repayment component of finance leases. | ||||||||
| Capital Budget Appropriations for 2014 – DFAT | ||||||||
| 2014 Capital Budget Appropriations | Capital Budget Appropriations applied in 2014 (current and prior years) | |||||||
| Appropriation Act | FMA Act | Total Capital Budget Appropriations | Payments for non-financial assets4 | Payments for other purposes | Total payments | Variance | ||
| Annual Capital Budget | Appropriations reduced2 | Section 323 | ||||||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | |
| Departmental | ||||||||
| Ordinary annual services | ||||||||
| Departmental Capital Budget1 | 38,181 | – | 10,133 | 48,314 | (48,769) | – | (48,769) | (455) |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered Capital Budget1 | – | – | 2,280 | 2,280 | (773) | – | (773) | 1,507 |
| 1. Departmental and Administered Capital Budgets are appropriated through Appropriation Acts (Nos. 1, 3, 5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts. For more information on ordinary annual services appropriations, please see Note 29A: Annual Appropriations. | ||||||||
| 2. Appropriations reduced under Appropriation Acts (Nos. 1, 3, 5) 2013-14: sections 10, 11, 12 and 15 or via determination by the Finance Minister. | ||||||||
| 3. The international development and aid function was assumed from AusAID due to the Administrative Arrangements Order issued on 18 September 2013, which integrated the activities of AusAID with DFAT. AusAID ceased to be an entity on 1 November 2013. Remaining 2013-14 appropriations were transferred to DFAT under a determination under s. 32 of the FMA Act on 31 October 2013. | ||||||||
| 4. Payments made on non-financial assets include purchases of assets, expenditure on assets which has been capitalised, costs incurred to make good an asset to its original condition, and the capital repayment component of finance leases. | ||||||||
| Capital Budget Appropriations for 2014 AusAID – (1 July 2013 to 31 October 2013) | ||||||||
| 2014 Capital Budget Appropriations | Capital Budget Appropriations applied in 2014 (1 July 2013 to 31 October 2013) (current and prior years) | |||||||
| Appropriation Act | FMA Act | Total Capital Budget Appropriations | Payments for non-financial assets4 | Payments for other purposes | Total payments | Variance | ||
| Annual Capital Budget | Appropriations reduced2 | Section 323 | ||||||
| $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | $’000 | |
| Departmental | ||||||||
| Ordinary annual services | ||||||||
| Departmental Capital Budget1 | 12,242 | – | (10,133) | 2,109 | (2,109) | – | (2,109) | – |
| Administered | ||||||||
| Ordinary annual services | ||||||||
| Administered Capital Budget1 | 2,505 | – | (2,280) | 225 | (225) | – | (225) | – |
| 1. Departmental and Administered Capital Budgets are appropriated through Appropriation Acts (Nos. 1, 3, 5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts. For more information on ordinary annual services appropriations, please see Note 29A: Annual Appropriations. | ||||||||
| 2. Appropriations reduced under Appropriation Acts (Nos. 1, 3, 5) 2013-14: sections 10, 11, 12 and 15 or via determination by the Finance Minister. | ||||||||
| 3. The international development and aid function was assumed from AusAID due to the Administrative Arrangements Order issued on 18 September 2013, which integrated the activities of AusAID with DFAT. AusAID ceased to be an entity on 1 November 2013. Remaining 2013-14 appropriations were transferred to DFAT under a determination under s. 32 of the FMA Act on 31 October 2013. | ||||||||
| 4. Payments made on non-financial assets include purchases of assets, expenditure on assets which has been capitalised, costs incurred to make good an asset to its original condition, and the capital repayment component of finance leases. The amount above for AusAID is for the period 1 July 2013 to 31 October 2013. | ||||||||
| Note 29C: Unspent Annual Appropriations (‘Recoverable GST exclusive’) | |||
| 2015 $’000 |
2014 $’000 |
||
|---|---|---|---|
| Departmental | |||
| Appropriation Act (No. 1) 2010-111 | – | 10,557 | |
| Appropriation Act (No. 2) 2010-111 | – | 31,189 | |
| Appropriation Act (No. 4) 2010-111 | – | 473 | |
| Appropriation Act (No. 2) 2011-121 | – | 70,884 | |
| Appropriation Act (No. 1) 2012-13 | – | 9,066 | |
| Appropriation Act (No. 2) 2012-13 | – | 30,892 | |
| Appropriation Act (No. 4) 2012-13 | – | 2,350 | |
| Appropriation Act (No. 1) 2013-142 | 801 | 382,266 | |
| Appropriation Act (No. 1) 2013-14 – Departmental capital budget | – | 9,568 | |
| Appropriation Act (No. 2) 2013-14 | 4,564 | 75,252 | |
| Appropriation Act (No. 3) 2013-14 | – | 21,573 | |
| Appropriation Act (No. 4) 2013-14 | – | 938 | |
| Appropriation Act (No. 1) 2013-14 – Cash at bank and on hand | – | 65,478 | |
| Appropriation Act (No. 1) 2014-153 | 234,674 | – | |
| Appropriation Act (No. 1) 2014-15 – Departmental capital budget | 4,092 | – | |
| Appropriation Act (No. 2) 2014-154 | 80,816 | – | |
| Appropriation Act (No. 3) 2014-15 | 53,420 | – | |
| Appropriation Act (No. 4) 2014-15 | 40,104 | – | |
| Appropriation Act (No. 1) 2014-15 – Cash at bank and on hand | 83,349 | – | |
| Total departmental5,6 | 501,820 | 710,486 | |
| 1. On 1 July 2014, the commencement of the PGPA Act resulted in Appropriation Acts prior to 1 July 2012 being no longer available to agencies. The impact on DFAT was to remove access to unspent annual departmental appropriations for 2010-11 and 2011-12. The total amount of appropriations repealed was $113,103,237. | |||
| 2. Appropriation Act (No.1) 2013-14 includes $0.801 million that has been quarantined. This amount does not form part of the appropriation receivable at Note 7, however as this amount has not been formally reduced it is included in the balance in Note 29C. | |||
| 3. Appropriation Act (No.1) 2014-15 includes $0.088 million that was permanently quarantined under section 51 of the PGPA Act constituting a permanent loss of control. This amount does not form part of the appropriation receivable at Note 7, however as this amount has not been formally reduced it is included in the balance in Note 29C. | |||
| 4. Appropriation Act (No.2) 2014-15 includes $7.809 million quarantined under section 51 of the PGPA Act constituting a permanent loss of control. This amount does not form part of the appropriation receivable at Note 7, however as this amount has not been formally reduced it is included in the balance in Note 29C. | |||
| 5. DFAT has in place a number of no-win/no-loss funding agreements due to the complex and variable environment the department operates in overseas. Adjustments relating to these no-win/no-loss agreements are recognised as formal additions or reductions in DFAT’s accounts. However, these formal additions or reductions are not represented in Note 29 as they have not been formally adjusted by law. In 2014-15 DFAT has included in Note 7 an appropriation receivable of $18,638,322 which is the net effect of the reduction relating to the Passport Funding Agreement of $1,240,276 and $3,136,493 for the FBT payable on living away from home allowance and an increase to revenue of $23,015,091 relating to funding for foreign exchange. It is expected that this amount will be applied to Appropriation Act (No. 3) 2015-16. | |||
| 6. The international development and aid function was assumed from the Australian Agency for International Development (AusAID) due to the Administrative Arrangements Order issued on 18 September 2013, which integrated the activities of AusAID with DFAT. AusAID ceased to be an entity on 1 November 2013. At 31 October 2013 there were no unspent appropriation balances held by AusAID. | |||
| DFAT | AusAID1 31 October |
||
| 2015 | 2014 | 2013 | |
| $’000 | $’000 | $’000 | |
| Administered | |||
| Appropriation Act (No. 1) 2010-111 | – | – | 38,311 |
| Appropriation Act (No. 3) 2010-111 | – | – | 148,493 |
| Appropriation Act (No. 2) 2010-111 | – | – | 142,699 |
| Appropriation Act (No. 4) 2010-111 | – | – | 221,415 |
| Appropriation Act (No. 1) 2011-121 | – | – | 3,179 |
| Appropriation Act (No. 2) 2011-121 | – | – | 3 |
| Appropriation Act (No. 1) 2012-131 | – | – | 206,773 |
| Appropriation Act (No. 2) 2012-131 | – | – | 486,732 |
| Appropriation Act (No. 1) 2013-14 | – | 1,015,299 | 1 |
| Appropriation Act (No. 1) 2013-14 – Administered capital budget | 1,322 | 1,507 | – |
| Appropriation Act (No. 2) 2013-14 | – | 590,169 | – |
| Appropriation Act (No. 3) 2013-14 | 286,637 | 289,243 | – |
| Appropriation Act (No. 4) 2013-14 | 2,174,844 | 1,940,222 | – |
| Appropriation Act (No. 5) 2013-14 | – | 7,963 | – |
| Appropriation Act (No. 1) 2013-14 – Cash at bank and on hand | – | 16,414 | – |
| Appropriation Act (No. 1) 2014-152 | 120,459 | – | – |
| Appropriation Act (No. 1) 2014-15 – Administered capital budget | 2,293 | – | – |
| Appropriation Act (No. 3) 2014-15 | 617 | – | – |
| Appropriation Act (No. 1) 2014-15 – Cash at bank and on hand | 1,832 | – | – |
| Total administered | 2,588,004 | 3,860,817 | 1,247,606 |
| 1. The unspent annual administered appropriations for 2010-11, 2011-12 and 2012-13 were not transferred to the department through a section 32 determination from the former Australian Agency for International Development (AusAID). These amounts were subsequently appropriated to the department through Appropriation Act (No 4) 2013-14 following integration on 1 November 2013. | |||
| 2. Appropriation Act (No.1) 2014-15 includes $1.878 million permanently quarantined under section 51 of the PGPA Act that constitutes a permanent loss of control. As this amount has not been formally reduced, by law, prior to 30 June 2015 they are included in the balance in Note 29C. | |||
| Note 29D: Special Appropriations (‘Recoverable GST exclusive’) | ||||
| Appropriation applied | ||||
|---|---|---|---|---|
| 2015 | 2014 | |||
| Authority | Type | Purpose | $ | $ |
| Export Finance and Insurance Corporation Act 1991 s.54(10), Administered |
Unlimited Amount | For the payment by the Commonwealth to Efic of amounts equal to the amount of capital determined by the Efic Board as necessary to overcome the inadequacies, in the moneys or other assets of Efic to meet the expected liabilities, losses or claims against Efic | – | – |
| Financial Management and Accountability Act 1997 s.28(1), Administered1 | Refund | To provide an appropriation where an Act or other law requires or permits the repayment of an amount received by the Commonwealth and apart from this section there is no specific appropriation for the repayment | – | 1,036,205 |
| Public Governance, Performance and Accountability Act 2013 s. 77, Administered1 | Refund | To provide an appropriation where an Act or other law requires or permits the repayment of an amount received by the Commonwealth and apart from this section there is no specific appropriation for the repayment | 944,683 | – |
| Total special appropriation applied | 944,683 | 1,036,205 | ||
| 1. DFAT uses s. 77 of the PGPA Act (formerly s. 28(1) of the FMA Act) to make refunds of passport fees in certain circumstances, where there is no other specific appropriation available to make the repayment. | ||||