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Appropriation Bill (No. 3) 1993-94



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House: House of Representatives

Portfolio: Finance

Commencement: Royal Assent

Purpose

To authorise the Minister for Finance to issue an additional $542 111 000 from the Consolidated Revenue Fund in addition to the funds appropriated by the Appropriation Act (No. 1) 1993- 94.

Background

Annual authorisations for expenditure are contained in the Appropriation Act (No. 1), which authorises expenditure for the ordinary services of government, and the Appropriation Act (No. 2), which deals with expenditure on capital works and services, payments to the States and other purposes not authorised by special legislation. The Parliamentary Departments are covered by the

Appropriation (Parliamentary Departments) Act. Additional appropriations may be sought in further Appropriation Bills, usually known as the additional estimates, when the appropriation sought in the Appropriation Acts is insufficient for the financial year.

The Appropriation Acts lapse on 30 June at the end of the relevant financial year, and authorisation for expenditure between the end of the financial year and the passage of the next years Appropriation Acts is contained in the Supply Acts, which are normally passed a month or so before the Appropriation Acts lapse. 1

The major additional appropriations sought by this Bill include:

* Department of Defence - $175 665 000. The major items for which additional funds are sought are: `Defence Facilities' ($88 592 000); and `Defence Housing' ($71 692 000). It is stated in the Second Reading Speech to this Bill that the additional amount sought for `Defence Facilities' is `largely due to the payment of the Defence capital contribution for the Russell Offices redevelopment; higher than previously anticipated expenditure on the acquisition of accommodation in Sydney; and costs associated with the connection of sewerage systems at Holdsworthy/Moorebank.';

* Department of Employment, Education and Training - $81 216 000. The major items for which additional funds are sought are: `Administrative - Running Costs' ($28 275 000); and `Labour Market Program Assistance to Jobseekers and Industry' ($49 299 000);

* Department of Human Services and Health - $77 267 000. The major items for which additional funds are sought are: `Services for Families with Children (including expenditure under the Child Care Act 1972) - Child Care Fee Relief' - ($42 080 000); and `Australian Hearing Services Authority - For expenditure under the Hearing Services Act 1991 ($15 210 000). It is stated in the Second Reading Speech to this Bill that the $42 080 000 sought for child care fee relief, `reflects growth in average fee relief and in the number of private sector places', and the $15 210 000 sought for payment to Australian Hearing Services is `mainly due to higher than anticipated demand following the extension of pensioner fringe benefits from 1 April 1993.'; and

* Attorney- General's Department - $20 258 000. The major items for which additional funds are sought are: `Australian Federal Police - Running Costs' ($3 046 000); and `National Native Title Tribunal - Running Costs' ($3 386 000).

Main Provisions

Commencement: This proposed Act will commence on the day it receives the Royal Assent ( clause 2).

Issue and Application of $542 111 000: The effect of clause 3 will be to authorise the Minister for Finance to issue an additional $542 111 000 from the Consolidated Revenue Fund for 1993- 94.

Appropriation of $542 111 000: The effect of clause 4 will be to deem the sum of $542 111 000 to have been appropriated from 1 July 1993 for purposes listed in the Schedule to this Bill. The Schedule lists the Departments and programs to which funds are allocated.

The remaining main provisions of this Bill deal with changes in the allocation of funds within Departments.

Endnotes

1. For additional information on the Commonwealth budgetary process see: Denis W. James, An Overview of the Commonwealth Budgetary Process, 2nd Edition, Parliamentary Research Service - Department of the Parliamentary Library, October 1991.

Ian Ireland (Ph. 06 2772438)

Bills Digest Service 18 February 1994

Parliamentary Research Service

This Digest does not have any official legal status. Other sources should be consulted to determine the subsequent official status of the Bill.

Commonwealth of Australia 1994.

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Published by the Department of the Parliamentary Library, 1994.