Financial Management and Audit Regulations 1990

Financial Management and Audit Regulations 1990

I, the Governor in and over the State of Tasmania and its Dependencies in the Commonwealth of Australia, acting with the advice of the Executive Council, hereby make the following regulations under the Financial Management and Audit Act 1990 .

P. H. BENNETT

Governor

By His Excellency's Command,

M. W. FIELD

Treasurer

PART 1 - Preliminary

1.   Short title

These regulations may be cited as the Financial Management and Audit Regulations 1990 .

2.   Commencement

These regulations take effect on the day fixed for the commencement of the Financial Management and Audit Act 1990 .

3.   Interpretation

In these regulations –

the Act means the Financial Management and Audit Act 1990 ;

chairman means chairman of an investigation committee;

inquiry means an inquiry directed to be held under section 59 or 63 of the Act;

investigating officer means the Auditor-General, the Secretary, a Head of Agency or a member of the council, board, trust, trustees or other governing body of a public body who, pursuant to section 59 or 63 of the Act, has directed that an inquiry be held;

investigation committee means an investigation committee appointed by an investigating officer under regulation 11 ;

officer, in relation to an inquiry under section 63 of the Act, includes an employee of a public body.

PART 2 - Financial Management

Division 1 - Treasurer's statements

4.   Treasurer's quarterly statements

For the purposes of section 25 of the Act, a statement of the receipts and expenditure of the Consolidated Fund shall specify –

(a) a summary of receipts to the Consolidated Fund for the financial year to the end of the quarter to which the statement relates and stating in relation to each amount shown the appropriate amount specified in a statement accompanying a Bill for the relevant Appropriation Act as mentioned in section 9 of the Public Account Act 1986 in respect of that financial year; and

(b) a summary of expenditure from the Consolidated Fund for the financial year to the end of that quarter and stating in respect of each amount shown the appropriate amount specified in an Appropriation Act for that financial year; and

(c) the balance of the Consolidated Fund as at the end of that quarter including, where appropriate, details of any consequential financing arrangements made.

5.   Treasurer's annual statements

For the purposes of section 26 of the Act, the financial statements for the Public Account may be expressed to the nearest $1 000 and shall specify in respect of each financial year –

(a) a summary showing the balance of the Consolidated Fund and the Special Deposits and Trust Fund as at the end of that financial year together with a statement showing the cash, advances and investments representing that balance; and

(b) a summary of transactions of the Consolidated Fund for that financial year showing receipts of a recurrent nature, receipts of a capital nature, expenditure for recurrent services and expenditure for works and services; and

(c) a comparison of the actual receipts of a recurrent nature with the corresponding amounts in the estimated receipts of a recurrent nature contained in each statement referred to in section 9 of the Public Account Act 1986 accompanying a relevant Bill for an Appropriation Act; and

(d) a comparison of the actual receipts of a capital nature with the corresponding amounts in the estimated receipts of a capital nature contained in each statement referred to in paragraph (c) ; and

(e) a comparison of expenditure from the Consolidated Fund for each division shown in the Appropriation Act for that financial year with the amounts appropriated or estimated for each division for that financial year; and

(f) a statement of any excess expenditure incurred during that financial year under section 10 , 11 or 12 of the Public Account Act 1986 , section 16 of the Financial Management and Audit Act 1990 or any other written law; and

(g) a summary of receipts and expenditure of the Special Deposits and Trust Fund for that financial year showing for each classification the balance at the end of that financial year and the comparative balance at the beginning of that financial year; and

(h) a summary of the State Debt and summaries of all borrowings classified by year of maturity on behalf of the State by the Commonwealth or by the Tasmanian Public Finance Corporation and all borrowings from any other source; and

(i) a summary of indebtedness of statutory authorities to the State as at the end of the financial year and a summary of transactions during that financial year in respect of each debt; and

(j) such other information as is required by any written law to be included or that the Treasurer considers should be included so as to present fairly the transactions for that financial year and the financial position of each of the funds of the Public Account at the end of that financial year.

Division 2 - General

6.   Salaries and allowances of employees payable fortnightly

(1)  In this regulation –

allowances means allowances in the nature of salary;

employee means an employee within the meaning of the Tasmanian State Service Act 1984 ;

State Service holiday means –

(a) a bank holiday under the Bank Holidays Act 1919 ; or

(b) a holiday appointed under section 75(3) of the Tasmanian State Service Act 1984 .

(2)  Except as provided in this regulation, the salaries and allowances of employees are payable fortnightly on the Wednesday of each alternative week (in this regulation referred to as

pay-day) in respect of the pay period ending on that day.

(3)  Subject to subregulation (4) , where a pay-day falls on a day that is a State Service holiday –

(a) throughout the State, payment under subregulation (2) shall be made to all employees; or

(b) in a particular locality of the State, payment under that subregulation shall be made to the employees employed in that locality –

on the nearest preceding day that is not a State Service holiday or a Sunday.

(4)  Where a pay-day falls on –

(a) a day during the period commencing on Christmas Day and ending on 2 January next following; or

(b) a day considered by the Treasurer to be inappropriate for arranging payment of salaries and allowances –

payment may be made on such other day within the fortnightly period as the Treasurer directs.

(5)  The Treasurer may from time to time make such requirements in respect of the payment of salaries and allowances as the Treasurer considers desirable.

(6)  The first payment of salaries and allowances under this regulation shall be 2 weeks after the last such payment under regulation 28 of Schedule II to the Audit Act 1918 .

7.   Salaries of employees – method of calculation

(1)  In this regulation –

employee means an employee within the meaning of the Tasmanian State Service Act 1984 ;

holidays means days that are prescribed as holidays for the purposes of penalty rates under a relevant award;

relevant award means an award made by the Australian Industrial Relations Commission or the Tasmanian Industrial Relations Commission and in force.

(2)  Except in the case of an employee to whom subregulation (3) applies –

(a) an employee's fortnightly pay is 1/26th of the employee's annual rate of pay, subject to all deductions that may be properly made; and

(b) an employee's daily rate of pay is 1/10th of the employee's fortnightly pay calculated in accordance with paragraph (a) .

(3)  Subject to all deductions that may properly be made, where an employee is rostered for duty on regular afternoon or night shifts or regular shifts that extend over weekends and holidays –

(a) the employee's daily rate of pay is 1/260th of the employee's normal salary rate multiplied by such appropriate penalty rate as applies in respect of each day on which the employee works as is prescribed by a relevant award; and

(b) the employee's fortnightly pay shall be determined by adding together the daily rates payable in respect of each day within the pay period.

(4)  An amount calculated for the purpose of subregulation (2) or (3) shall be calculated to the nearest cent.

8.   Advances to Heads of Agencies

(1)  The Treasurer may, on application by a Head of Agency, make an advance to that Head from any money lawfully at the disposal of the Treasurer of such amount and on such terms and conditions as the Treasurer may determine to meet any expenditure to be incurred by that Head.

(2)  Where an advance is made under subregulation (1) to a Head of Agency, the Head shall ensure that –

(a) the advance is credited to a bank account established in accordance with section 11 of the Act and that the requirements of that section are complied with; and

(b) separate accounting records are maintained in respect of each such advance so as to show full details of all money advanced under subregulation (1) , of all expenditure of that money and of any money paid by way of reimbursement of that advance.

(3)  The Head shall provide to the Treasurer –

(a) on or before 14 July in each year, a certificate showing how each advance made under subregulation (1) was represented on 30 June last preceding; and

(b) at any other time when so required by notice in writing given by the Treasurer, a certificate showing how each advance so made was represented on a date specified in the notice.

(4)  A certificate under subregulation (3) shall be in such form as the Treasurer directs.

(5)  The Treasurer may at any time require repayment of an advance made under subregulation (1) by the Head of Agency to whom the advance was made.

9.   Retention of records

An officer or an employee of a public body shall not destroy or otherwise dispose of any accounting or other records kept for the purpose of the Act, the Treasurer's Instructions or any other written law unless the destruction or disposal is in accordance with a direction given by the State Archivist pursuant to the Archives Act 1983 and with the approval of the Auditor-General.

PART 3 - Recoveries and write-offs

10.   Notice by investigating officer

(1)  On directing that an inquiry be held, the investigating officer shall cause to be served on the officer to whom the inquiry relates a notice –

(a) specifying the name, office and address of the investigating officer; and

(b) informing the officer of the direction that an inquiry be held pursuant to section 59 or 63 of the Act, as the case may be; and

(c) specifying details of the loss, deficiency, destruction or damage intended to be the subject of the inquiry; and

(d) specifying the names of the members of the investigation committee appointed under regulation 11(a) or (b) and inviting the officer to nominate within a period of 7 days from the date of service of the notice a person to be a member under regulation 11(c) ; and

(e) advising the officer of a right to make an oral or written submission in reply to the charge within a period specified in the notice; and

(f) specifying the place, date and time appointed for the holding of the inquiry, which date shall be not later than 14 days after the expiration of the period specified in paragraph (e) ; and

(g) specifying an address at which that submission should be made or to which it should be sent.

(2)  A notice under subregulation (1) shall be accompanied by a copy of section 59 or 63 of the Act, as may be appropriate, and a copy of this Part.

11.   Appointment of investigation committee

Where an inquiry is directed to be held, the investigating officer shall appoint an investigation committee to conduct the inquiry and the committee shall consist of –

(a) a chairman; and

(b) a person who is not an officer performing duties in the agency or public body in which the officer was employed at the time of the relevant loss, deficiency, destruction or damage; and

(c) one of the following persons:

(i) a person nominated by the employee organization of which the officer is a member;

(ii) a person nominated by the officer;

(iii) in the absence of any such nomination or the unavailability of the person so nominated an additional person appointed in accordance with paragraph (b) .

12.   Notice of inquiry to be given to Auditor-General

An investigating officer who is not the Auditor-General shall, on directing that an inquiry be held, inform the Auditor-General in writing of the circumstances of the loss or damage to which the inquiry relates.

13.   Conduct of inquiry

(1)  At an inquiry –

(a) the procedure to be followed is within the discretion of the chairman; and

(b) the proceedings shall be conducted in private with as little formality and technicality, and with as much expedition, as the requirements of the Act and a proper consideration of the matters being investigated permit; and

(c) the investigation committee is not bound by rules of evidence but shall proceed in accordance with the principles of natural justice; and

(d) the investigation committee is entitled to full and free access to accounts and records relating to the relevant incident, loss or damage and may make copies of, or take extracts from, any such accounts and records; and

(e) any reasonable request by the officer for a witness to be examined shall be granted.

(2)  If it appears to the chairman that a witness or any other person who is an officer but not the officer to whom the inquiry relates may have caused or contributed to the relevant loss, deficiency, destruction or damage, the chairman shall forthwith advise the investigating officer that the officer may have caused or contributed to the relevant loss, deficiency, destruction or damage and the investigating officer shall take any action considered necessary in accordance with section 59 or 63 of the Act.

14.   Inquiries and recommendations as to liability

(1)  On completing an inquiry, the chairman shall prepare and submit to the investigating officer a report in writing stating –

(a) the response, if any, of the officer to a notice given to the officer under subregulation (2) ; and

(b) all relevant facts and findings –

and which may also recommend that the officer be held liable to pay an amount, determined in accordance with regulation 15 , to the Crown or public body, as the case may be.

(2)  Before making a report that includes a recommendation that an officer be held liable to pay an amount under section 59 or 63 of the Act, the chairman shall serve the officer with a notice giving the officer an opportunity to advance in writing within 14 days of the service of the notice, a statement specifying –

(a) any reasons why such a recommendation should not be made; or

(b) any mitigating facts or circumstances which the officer wishes to be taken into account.

(3)  A notice under subregulation (2)  –

(a) shall be in writing; and

(b) shall include details of the grounds on which the chairman proposes to make a recommendation; and

(c) shall state the amount which the chairman recommends should be recovered from the officer.

(4)  The chairman shall give due consideration to any response received from an officer on whom a notice has been served under subregulation (2) .

(5)  In determining the amount that an officer is liable to pay under section 59 or 63 of the Act, the investigating officer shall have regard to mitigating facts or circumstances relevant either to the loss, deficiency, destruction or damage and shall determine the liability of the officer to pay as so much only of the amount which, but for this subregulation, the officer would be liable to pay as is just and reasonable having regard to those mitigating facts or circumstances.

15.   Liability for losses arising from misconduct, negligence, &c., of officers

(1)  Where, for the purposes of section 60 or 64 of the Act, it is found that an officer has, by misconduct or performance of duties in a grossly negligent manner or by failure to take such steps as were reasonable in the circumstances, caused or contributed to or failed to prevent the loss, deficiency, destruction or damage that was the subject of the inquiry, the officer is liable to pay to the Crown or public body –

(a) in the case of loss or deficiency in money, the amount of the loss or deficiency; or

(b) in the case of loss or destruction of property, the value of the property lost or destroyed; or

(c) in the case of damage to property, the expense of repairing the damage to the property or the value of the property, whichever is the less.

(2)  Where the negligence or misconduct of an officer was not the sole cause of any loss, deficiency, destruction or damage of the kind referred to in subregulation (1) , the officer is liable under that subregulation to pay to the Crown or public body so much only of the amount that but for this subregulation would be payable as is just and equitable having regard to the officer's share of responsibility for the loss, deficiency, destruction or damage.

(3)  For the purposes of this regulation, an officer shall be taken to have performed duties in a grossly negligent manner if the officer has displayed in the performance of those duties a deliberate or serious disregard of reasonable standards of care.

16.   Limitation on powers of the Crown and public bodies

(1)  An inquiry shall not be instituted, or if instituted shall not proceed, if any other proceedings, whether civil or criminal, are pending in respect of the loss, deficiency, destruction or damage that is the subject of the inquiry.

(2)  After the determination of any such other proceedings an inquiry shall not be instituted or shall not proceed, as the case may require, unless no remedy was available to the Crown or public body for recovery of the loss, deficiency, destruction or damage which was the subject of the other proceedings.

(3)  Subject to subregulation (4) , it is not competent for the Crown or a public body to commence or continue legal proceedings (other than criminal proceedings) against a person in respect of the person's liability for a loss of, or deficiency in, money, or the loss or destruction of, or damage to, property, after the person has paid to the Crown or a public body, in respect of that liability, an amount equal to the assessed amount of the loss, deficiency, destruction or damage.

(4)  Subregulation (3) does not prevent the Crown or a public body from continuing proceedings instituted against an officer under section 61 or 65 of the Act before the payment was made for the purpose only of obtaining an order in respect of the costs of the proceedings.

17.   Write-offs

(1)  For the purposes of section 62 of the Act –

(a) the maximum amount which may be written off by an appropriate Minister in respect of a single item of property or a single transaction of revenue or other debut due to the Crown is $2 000; and

(b) the maximum amount which may be written off by a Head of Agency in respect of a single item of property or a single transaction of revenue or other debt due to the Crown is $500.

(2)  In the application of subregulation (1) to a single item of property –

(a) the amount which may be written off in respect of that property shall be taken to be –

(i) if no written down cost is available for that property, the net realizable value of that property; or

(ii) if a written down cost is available for that property, that written down cost or the net realizable value of the property, whichever is the higher; and

(b) the net realizable value of that property shall be taken to be the available market value of that property or an appraisal by a person who, in the opinion of the Minister or Head of Agency, has special expertise for giving such an appraisal.

Displayed and numbered in accordance with the Rules Publication Act 1953.

Notified in the Gazette on 31 October 1990

These regulations are administered in the Department of Treasury and Finance.