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PORTFOLIO BUDGET STATEMENTS 2008-09
BUDGET RELATED PAPER NO. 1.8
FINANCE AND DEREGULATION PORTFOLIO
BUDGET INITIATIVES AND EXPLANATIONS
APPROPRIATIONS SPECIFIED BY OUTCOMES
AND OUTPUTS BY AGENCY
© Commonwealth of Australia 2008
ISBN 978 1742 077635
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THE HON LINDSAY TANNER MP
Minister for Finance and Deregulation
Member for Melbourne
President of the Senate
Australian Senate
Parliament House
CANBERRA ACT 2600
Speaker
House of Representatives
Parliament House
CANBERRA ACT 2600
Dear Mr President
Dear Mr Speaker
I hereby submit Portfolio Budget Statements in support of the 2008-09
Budget for the Finance and Deregulation portfolio.
These statements have been developed, and are submitted to the
Parliament, as a statement on the outcomes for the portfolio.
I present these statements to provide accountability to the Parliament
and, through it, the public.
Yours sincerely
Lindsay Tanner
Parliament House, Canberra ACT ~ Telephone: (02) 6277 7400 ~ Facsimile: (02) 6273 4110
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Abbreviations and conventions
The following notation may be used:
NEC/nec
..
na
nfp
$m
$b
not elsewhere classified
nil
not zero, but rounded to zero
not applicable (unless otherwise specified)
not for publication
$ million
$ billion
Figures in tables and in the text may be rounded. Figures in text are generally
rounded to one decimal place, whereas figures in tables are generally rounded to the
nearest thousand. Discrepancies in tables between totals and sums of components are
due to rounding.
Enquiries
Should you have any enquiries regarding this publication please contact
Michael Burton, Chief Financial Officer in the Department of Finance and Deregulation
on (02) 6215 3518.
A copy of this document can be located on the Australian Government Budget website
at: http://www.budget.gov.au.
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USER GUIDE
TO THE
PORTFOLIO BUDGET
STATEMENTS
USER GUIDE
The purpose of the 2008-09 Portfolio Budget Statements (PB Statements) is to inform
Senators and Members of Parliament of the proposed allocation of resources to
Government outcomes by agencies within the portfolio. Agencies receive resources
from the annual appropriations acts, special appropriations (including standing
appropriations and special accounts), and revenue from other sources.
A key role of the PB Statements is to facilitate the understanding of proposed annual
appropriations in Appropriation Bills No. 1 and No. 2 2008-09 (or Appropriation Bill
[Parliamentary Departments] No. 1 2008-09 for the parliamentary departments). In
this sense the PB Statements are Budget related papers and are declared by the
Appropriation Acts to be ‘relevant documents’ to the interpretation of the Acts
according to section 15AB of the Acts Interpretation Act 1901.
The PB Statements provide information, explanation and justification to enable
Parliament to understand the purpose of each outcome proposed in the Bills.
As required under section 12 of the Charter of Budget Honesty Act 1998, non-general
government sector entities are not consolidated into the Commonwealth general
government sector fiscal estimates and accordingly, these entities are not reported in
the PB Statements.
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User Guide Portfolio Budget Statements
STRUCTURE OF THE PORTFOLIO BUDGET STATEMENTS
The PB Statements have been revised for the 2008-09 Budget, with significant changes
made to reduce the work load on agencies and to provide Parliament with more
targeted and comprehensive information on government expenditure.
Included below is a brief outline of each section of the revised document.
Portfolio overview
The portfolio overview is largely unchanged with portfolio departments required to briefly
outline the responsibilities of the portfolio, list the relevant agencies and Ministers and the
resources available.
Agency Resources and Planned Performance
A statement (under the name of the agency) for each agency within the Portfolio.
Section 1: Agency
overview and
resources
•
This section includes three components:
–
1.1 Strategic Direction for 2008-09;
–
1.2 Resource Statement; and
–
1.3 Measures Table.
• The intention of section one is to provide readers with an
overview of the functions and responsibilities of the agency, its
contribution towards its outcomes for the budget year and the
resources available.
• In the Strategic Direction for 2008-09 agencies are to present
a narrative approach rather than being restricted to a fixed
number of headings. The key emphasis is on telling the agency
‘story’: the key strategies it is implementing to achieve its
outcomes, what is involved and how success and progress are to
be measured.
• The agency resource statement and measures table
summarise resource information into two tables. Agencies are to
use the new agency resource statement which details the source
and nature of all resources available to the agency. Budget
measures information is to reflect the information covered in
Budget Paper 2, with the output group against which the
measures are to be pursued included to improve crossreferencing.
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User Guide Portfolio Budget Statements
Agency Resources and Planned Performance (continued)
Section 2: Outcomes
and planned
performance
• The outcomes section has undergone significant change to
re-orientate agency reporting towards their results in contributing
to outcomes and away from focusing on the activities and
processes of agencies.
• The outcome resource statement provides lower level
resourcing information for general users at the results level,
grouped by output group rather than appropriation type as has
been the case previously.
• Following the outcome resource statement agencies will use
output groups for each outcome to group their intended
contributions and the performance indicators used to assess the
agency’s effectiveness. By focusing on the results and impacts
agencies are making towards outcomes, the revised PB
Statements will be more focused on how agencies contribute to
outcomes rather than detailing activities.
Section 3: Explanatory
tables and budgeted
financial statements
• This section has been reworked to increase the readability of
technical financial information. The section now includes:
–
an explanation of any differences at agency level
between the information included in the Budget Papers and the
PB Statements arising from the use of the GFS and AAS
accounting methodologies; and
–
explanatory tables to provide supplementary
information on the reconciliation between total available
appropriation and outcome attribution, the re-phasing and use of
appropriations, special account flows and Australian Government
Indigenous Expenditure.
• It should also be noted that the capital budget statement and
the property, plant, equipment and intangibles statements are no
longer mandatory in the financial statements. This change has
been made because for the majority of agencies the information
provided was of little value. Agencies with significant investment
programs and/or balance sheets may continue using the
statements to better explain their overall position.
Glossary and
acronyms
Explains key terms relevant to the Portfolio.
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CONTENTS
Portfolio Overview......................................................................................................... 1
Finance and Deregulation Portfolio Overview ................................................................. 3
Agency Resources and Planned Performance .......................................................... 7
Department of Finance and Deregulation ....................................................................... 9
Australian Electoral Commission .................................................................................. 59
Australian Reward Investment Alliance ........................................................................ 87
ComSuper ................................................................................................................... 103
Future Fund Management Agency.............................................................................. 123
Glossary and Acronyms ........................................................................................... 141
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PORTFOLIO OVERVIEW
FINANCE AND DEREGULATION PORTFOLIO OVERVIEW
MINISTERS AND PORTFOLIO RESPONSIBILITIES
The Finance and Deregulation portfolio occupies a central position in government.
The Hon Lindsay Tanner MP is the responsible Portfolio Minister. Senator the
Hon John Faulkner is the Special Minister of State and the Hon Dr Craig Emerson MP
is the Minister Assisting the Finance Minister on Deregulation. The Minister for
Superannuation and Corporate Law, Senator the Hon Nick Sherry, has been
authorised to act on behalf of the Minister for Finance and Deregulation on matters
relating to the Australian Government’s civilian superannuation and Act of Grace
payments under the Financial Management and Accountability Act 1997 (FMA Act).
The portfolio is diverse, providing a wide range of services and support to
government. Broadly this includes the provision of budget and financial management
services and advice, electoral services and support, government on-line delivery and
information and communication technology (ICT) management, non-defence asset
management, asset sales, the administration of the government’s general insurance
fund and superannuation schemes as well as the administration of parliamentarians’
entitlements. In addition, the portfolio has responsibility for reducing government
regulation and the evaluation and audit of indigenous programs and operations.
Details of the Finance and Deregulation portfolio agencies follow and their outcome
statements are presented in Figure 1 on page 5.
Department of Finance and Deregulation
As one of the Australian Government’s central agencies, the Department of Finance
and Deregulation (Finance) plays an important role in assisting the government to
achieve its objectives in a wide range of policy and program areas. Finance’s role is to
help the government shape and deliver its agenda, particularly its fiscal and economic
agendas, by providing high quality advice and services.
Australian Electoral Commission
The Australian Electoral Commission (AEC) provides the Australian people with an
independent electoral service that meets their needs, encourages them to understand
and participate in the electoral process, and supports free and fair electoral processes
throughout the world.
Australian Reward Investment Alliance
The Australian Reward Investment Alliance (ARIA) administers the Commonwealth
Superannuation Scheme (CSS), the Public Sector Superannuation Scheme (PSS), and
the Public Sector Superannuation accumulation plan (PSSap), in accordance with the
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relevant Acts and Trust Deeds made pursuant to the PSS Act and PSSap Act, and is
responsible for the management and investment of the CSS, PSS and PSSap funds.
ARIA has delegated the bulk of its general administration powers and responsibilities
to the Commissioner for Superannuation.
ComSuper
The Commissioner for Superannuation, through ComSuper, provides administrative
services for the defined contribution and the defined benefit superannuation schemes
for the Australian Government’s public sector and Australian Defence Force
employees.
Future Fund Management Agency
The Future Fund Management Agency (FFMA) has a role in managing investments on
behalf of government. The FFMA invests to accumulate assets for the purpose of
offsetting the unfunded superannuation liabilities of the Australian Government
which will fall due on future generations. The FFMA scope has broadened to also
include managing investments to grow other Australian Government Asset Funds as a
means to provide financing sources for substantial future investments in the
Australian economy.
CHANGES IMPACTING ON THE PORTFOLIO
Following an amendment to the 25 January 2008 Administrative Arrangements Order
(AAO) on 1 May 2008 the National Archives of Australia (the Archives) transferred
from this portfolio to the Prime Minister and Cabinet portfolio. For further
information on the Archives please refer to the Prime Minister and Cabinet portfolio
2008-09 PB Statements.
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Figure 1: Finance and Deregulation portfolio structure and outcomes
Minister Assisting the Finance Minister on
Deregulation
The Hon Dr Craig Emerson MP
Special Minister of State
Senator the Hon John Faulkner
Minister for Finance and Deregulation
The Hon Lindsay Tanner MP
Minister for Superannuation and Corporate
Law1
Senator the Hon Nick Sherry
Department of Finance and Deregulation
Portfolio Secretary: Dr Ian Watt
Outcome 1
Sustainable government finances.
Outcome 2
Improved and more efficient government operations.
Outcome 3
Efficiently functioning Parliament.
Outcome 4
Effective and efficient use of information and communication
technologies by the Australian Government.
Australian Electoral Commission
Electoral Commissioner: Mr Ian Campbell PSM
Outcome 1
Australians have an electoral roll which ensures their voter
entitlement and provides the basis for the planning of electoral events
and electoral redistributions.
Outcome 2
Stakeholders and customers have access to and advice on impartial and
independent electoral services and participate in electoral events.
Outcome 3
An Australian community which is well informed about electoral matters.
Australian Reward Investment Alliance
Chairman: Ms Susan Doyle
Outcome 1
Effective and efficient administration of Australian Government
superannuation schemes.
ComSuper
Commissioner for Superannuation: Mr Leo Bator
Outcome 1
Superannuation administration services that meet the expectations of
Government, scheme trustees, employers, members and beneficiaries.
Future Fund Management Agency
Chief Executive Officer: Mr David Murray
Outcome 12
Managing and growing publicly funded investments to meet future
financial needs and contribute to the prosperity of future generations of
Australians.
1 The Minister for Superannuation and Corporate Law has been authorised to act on behalf of the Minister for Finance and Deregulation on
matters relating to government superannuation and Act of Grace payments under the Financial Management and Accountability Act 1997.
2 The FFMA scope has broadened to include managing investments to grow other Australian Government Asset Funds as a means to provide
financing sources for substantial future investments in the Australian economy. The Outcome Statement has been revised to allow for this.
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PORTFOLIO RESOURCES MADE AVAILABLE IN THE BUDGET YEAR
Table 1: Portfolio resources made available in the Budget year
Appropriation
(3)
Bill No. 1 Bill No. 2
$000
$000
Department of Finance and
Deregulation
Administered appropriations
Departmental appropriations
Total:
Australian Electoral
Commission
Administered appropriations
Departmental appropriations
Total:
Special
$000
Receipts (1) (2)
Total (4)
$000
$000
200,086
225,045
425,131
1,839
196,154
197,993
7,225,711
7,225,711
33,424
185,074
218,498
7,461,060
606,273
8,067,333
91,255
91,255
2,197
2,197
9,000
9,000
12,930
12,930
115,382
115,382
Australian Reward
Investment Alliance
Administered appropriations
Departmental appropriations
Total:
-
-
-
17,228
17,228
17,228
17,228
ComSuper
Administered appropriations
Departmental appropriations
Total:
7,079
7,079
6,050
6,050
-
76,546
76,546
89,675
89,675
Future Fund Management
Agency
Administered appropriations
Departmental appropriations
Total:
-
3,523,234
3,523,234
Resources available within Portfolio:
3,523,234
3,523,234
11,812,852
Notes:
1 Departmental and administered receipts from other sources (i.e. other than appropriation amounts) that
are available to be used.
2 Departmental receipts excludes proceeds from the Australian Government's non-Defence property
divestment program within Australia, which are returned to the Budget.
3 Under the appropriation structure, Bill No. 2 includes Specific Purpose Payments (SPPs), New Agency
Outcomes (NAOs), administered capital and departmental capital via departmental injections and loans.
4 Refer to Budgeted Income Statement in each agency section of this document for application of agency
resources.
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