Chapter 1Budget estimates 2023–24
1.1The Senate Legal and Constitutional Affairs Legislation Committee (the committee) examined the proposed 2023–24 expenditure for the Home Affairs portfolio and the Attorney-General's portfolio at public hearings held on 22–25May 2023 and 4 August 2023.
1.2This report does not attempt to analyse the evidence presented to the committee; however, it does outline the key issues considered by the committee during its examination of the 2023–24 expenditure.
Referral of documents
1.3On 9 May 2023, the Senate referred the following documents to committees for examination and report:
Particulars of proposed expenditure in respect of the year ending on 30June2024;
Particulars of certain proposed expenditure in respect of the year ending on 30 June 2024;
Particulars of proposed expenditure in relation to the parliamentary departments in respect of the year ending on 30 June 2024;
Particulars of proposed additional expenditure in relation to the parliamentary departments in respect of the year ending on 30 June 2024;
Particulars of proposed additional expenditure in respect of the year ending on 30 June 2024 [Appropriation Bill (No. 3) 2023–24];
Particulars of certain proposed additional expenditure in respect of the year ending on 30 June 2024 [Appropriation Bill (No. 4) 2023–24].
1.4The Portfolio Budget Statements (PBS) for 2023–24 were tabled in the Senate on the same day.
Portfolio oversight
1.5The committee is responsible for examining the proposed expenditure of the departments and agencies within the Home Affairs and Attorney-General's portfolios.
Questions on notice
1.6In accordance with Standing Order 26(9)(a), the committee has drawn the attention of the departments and their agencies to the agreed deadline of Friday,14 July 2023 for the receipt of answers to questions taken on notice.
1.7This report has been prepared without reference to any responses to questions on notice.
1.8Tabled documents from the hearing, along with responses to questions on notice and additional information provided to the committee, are tabled in the Senate and uploaded to the committee's website.
Extension to the reporting date
1.9The Senate determined that the committee would report on its considerations of the 2023–24 proposed Budget expenditure on 27 June 2023.
1.10On 14 June 2023, the committee requested an extension of time to report to allow inclusion of the additional hearing required for the Budget Estimates 2023–24 round.
1.11On 1 August 2023, the committee requested a further extension of time to report to accommodate the additional hearing required for the Budget Estimates2023–24 round.
Hansard transcripts
1.12A transcription of the committee's hearings is made via the Committee Hansard, which is published on the estimates webpage.
1.13References in this report are to the proof Committee Hansard. Page numbers may vary between the proofs and the final versions of the Committee Hansard.
Home Affairs portfolio
1.14At its hearings on 22 and 23 May 2023, the committee examined the outcomes of the Home Affairs portfolio. Evidence was presented by Senator the Hon Tim Ayres, representing the Minister for Home Affairs, the Minister for Cyber Security and the Minister for Immigration, Citizenship and Multicultural Affairs. Senator the Hon Murray Watt, Minister for Emergency Management, also presented evidence on behalf of the Minister for Home Affairs, the Minister for Cyber Security and the Minister for Immigration, Citizenship and Multicultural Affairs. Senior officers from the Home Affairs portfolio gave evidence, including the Secretary of the Department of Home Affairs, Mr Michael Pezzullo AO.
1.15The committee took evidence from the following departments and agencies:
Department of Home Affairs (including Australian Border Force (ABF));
National Emergency Management Agency (NEMA); and
Australian Security Intelligence Organisation (ASIO).
Department of Home Affairs (including Australian Border Force)
1.16Mr Pezzullo AO, Mr Michael Outram APM, Commissioner of the ABF, and Rear Admiral Justin Jones CSC, Commander Operation Sovereign Borders Joint Agency Task Force and Commander Maritime Border Command, made opening statements.
1.17Key issues discussed included:
number of staff currently in acting roles at the deputy secretary, first assistant secretary, or assistant secretary levels;
total departmental resourcing for 2022–23 compared to 2023–24;
contracts between the Department of Home Affairs and PricewaterhouseCoopers (PwC);
Mr Pezzullo's ANZAC Day message;
matters relating to the Parliamentary Liaison Network, including the definition of a constituent, current service standards for calls and email responses, number of staff engaged in the team, and opportunities for members of parliament to provide feedback;
a document published on the Department of Home Affairs website titled 'A migration system for a more prosperous and secure Australia';
engagement of the Office of Parliamentary Counsel to draft legislation;
engagement between the Minister for Home Affairs and the Department of Home Affairs in relation to the redesignation of Nauru as a regional processing country;
the Department of Home Affairs' integrity and anti-corruption measures and the introduction of the National Anti-Corruption Commission (NACC);
removal of Dahua cameras from the buildings leased by the Department of Home Affairs;
matters relating to the report into the Violent Extremism Risk Assessment 2 Revised (VERA-2R) tool written by Dr Emily Corner (the Corner report) and the nondisclosure of that report in legal proceedings;
security screening in regional airports;
the government assistance measure that enables the Minister for Home Affairs to request that the Australian Signals Directorate (ASD) assists in the defence of critical infrastructure networks under section 35AB of the Security of Critical Infrastructure Act 2018 (SOCI Act);
powers relating to the installation of system information software under section 30DJ of the SOCI Act;
the development of the 2023–2030 Cyber Security Strategy, funding for cybersecurity measures, and the 2020 Cyber Security Strategy;
national security and resilience;
fire risk in the Tasmanian Wilderness World Heritage Area;
initiatives to counter ransomware;
the Online Content Incident Arrangement with social media companies;
the establishment of a National Office of Cyber Security and a national cyber coordinator;
the role of the National Office of Cyber Security in relation to the Latitude data breach;
the Independent Review into Home Affairs' Cyber Incident Management of the Optus and Medibank breaches undertaken by Ms Rachael Falk;
the review of violent extremism risk assessment tools in Division 104 control orders and Division 105A post-sentence orders conducted by the Australian Institute of Criminology and the Corner report into VERA-2R;
the Centre of Excellence for Countering Violent Extremism Research, Risk Assessment and Training;
the suspension of the use of drones manufactured by DJI by the Department of Home Affairs and ABF;
powers under the SOCI Act to blacklist the use of certain technologies by critical infrastructure providers;
action taken by the Department of Home Affairs following the decision by international jurisdictions to blacklist a number of applications from government devices;
foreign interference in the tertiary education sector;
the legal basis for the 'hack the hackers' joint initiative between the ASD and Australian Federal Police;
termination of the Cyber Hub program;
the use of artificial intelligence technologies by employees and officials within the Department of Home Affairs;
foreign interference conducted by the Islamic Republic of Iran and advice provided by the Department of Home Affairs in relation to proscribing the Islamic Revolutionary Guard Corp (IRGC) as a terror organisation;
the US government's request for the extradition of Mr Daniel Duggan;
Twitter's engagement with the Australian government on matters relating to data security, content moderation, and misinformation and disinformation;
repatriation of Australian citizens who are related to Islamic State in Iraq and Syria (ISIS) fighters from Syria;
the monitoring of high-risk terrorist offenders once their term of imprisonment has concluded;
the provision of advice to government in relation to Safer Communities Fund grants;
foreign interference risks posed to the referendum on an Aboriginal and Torres Strait Islander Voice to Parliament (the Voice);
the calculation of net overseas migration (NOM) and factors that contribute to it;
the effect of migration on matters relating to housing;
the effect of the aged-care industry labour agreement, the Pacific Engagement Visa, Temporary Protection Visa (TPV), and the Safe Haven Enterprise Visa on the permanent migration program;
consultation on changes to the temporary skilled migration income threshold;
matters relating to asylum seekers in Papua New Guinea (PNG) and Nauru, including the number remaining in each country and the engagement that the Department of Home Affairs has with the United Nations High Commissioner for Refugees (UNHCR) in PNG;
funding for program 2.4: Unauthorised Maritime Arrival Offshore Management;
contracts between the Department of Home Affairs and Radiance International for garrison and welfare services in Nauru;
the aged-care industry labour agreement;
third country refugee resettlement agreements;
requirement for some permanent residents to apply for a police check from foreign jurisdictions when applying for Australian citizenship;
conversion of TPVs to permanent protection visas (PPVs);
applications for humanitarian visas from Afghan nationals;
engagement that the Department of Home Affairs and the Hon Andrew Giles MP, the Minister for Immigration, Citizenship and Multicultural Affairs, have had with the UNHCR;
consultation on the humanitarian visa program;
the refusal of the Indian government to grant exit permits to Myanmar nationals who have been granted humanitarian visas;
matters related to the direct pathway to Australian citizenship for New Zealand citizens living in Australia, including the financial modelling associated with it and whether new citizens will be eligible to vote in the Referendum on the Voice;
matters related to public interest criterion 4007 in the Migration Regulations 1994 including removals from Australia, obligations under the United Nations Convention on the Rights of Persons with Disabilities, and consultation on updating or removing it;
subclass 300 Prospective Marriage and subclass 309 Partner (Provisional) visas for applicants from Afghanistan;
the possibility of reform to the family reunion visa system;
alleged criminal infiltration of Australian air and sea ports;
importation of illicit drugs, tobacco, and nicotine vapes;
media reporting relating to the alleged interception of a boat under Operation Sovereign Borders (OSB) and allegations of upgrades to security and facilities on Christmas Island;
the former employment of Mr Stephen Mitchell by the Department of Home Affairs;
comments made by the UN Special Rapporteur on Torture regarding the detention of refugees;
variations in expenditure for program 3.4: Border enforcement over the forward estimates;
compliance activities related to the illicit importation of vape products;
transitory persons in held detention in Australia; and
enforcement and compliance activities in relation to foreign workers.
National Emergency Management Agency
1.18The Coordinator-General of NEMA, Mr Brendan Moon AM, made an opening statement.
1.19Key issues discussed included:
responses to natural disasters in the Northern Rivers region of New South Wales, the Kimberley region of Western Australia, and the area around Burketown in Far North Queensland;
the role of the National Disability Insurance Agency in disaster response;
the Recovery Support Officer network;
data related to applications for the Disaster Recovery Allowance (DRA) and the Disaster Recovery Payment (DRP) that followed the monsoon and flooding in Far North Queensland between December2022 and March2023;
funding for the remediation of high-priority floodwater infrastructure, including the flood gauge network, particularly in northern Australia;
Public Safety Mobile Broadband initiative;
data related to applications for the DRA and the DRP that followed Tropical Cyclone Ellie between December 2022 and February 2023;
bushfire preparedness in the Tasmanian Wilderness World Heritage Area;
the purpose of the additional funding provided to NEMA in the Budget;
applications for the Disaster Ready Fund and the betterment arrangements that NEMA has entered into with some states;
the national emergency stockpile and the national emergency messaging system;
funding for the DRA; and
natural disaster warnings sent via mobile phone.
Australian Security Intelligence Organisation
1.20Key issues discussed included:
funding for ASIO in the Budget 2023–24, particularly in relation to the oversight of intelligence agencies;
use of drones manufactured by DJI by ASIO;
the alleged operation of unauthorised foreign police stations in Australia;
allegations of foreign intelligence agencies attempting to recruit Australian citizens travelling overseas;
the public disclosure of foreign interference attempts;
the Director-General of Security's annual threat assessment and the risk of foreign interference, espionage, and terrorism;
Neo-Nazi activity in Australia and the proportion of ASIO's counterterrorism investigation case load dedicated to Neo-Nazi groups;
ideologically-motivated and politically-motivated extremism;
gain-of-function virology research;
the Australian Security Intelligence Organisation Amendment Bill 2023, resourcing for security vetting services, and the planned introduction of the Top Secret-Privileged Access security clearance;
the prosecution of foreign intelligence agents found to be operating in Australia;
foreign interference and espionage directed at the Australian defence industry; and
the request to extradite Mr Daniel Duggan to the United States.
Attorney-General's portfolio
1.21At its hearings on 23, 24, and 25 May and 4 August 2023, the committee examined the outcomes of the Attorney-General's portfolio. Evidence was provided by Senator the Hon Murray Watt and Senator the Hon Anthony Chisholm on behalf of the Attorney-General. Senior officers of the Attorney‑General's portfolio also gave evidence, including the Secretary of the Attorney-General's Department, Ms Katherine Jones PSM.
1.22The committee took evidence from the following department and agencies within the Attorney-General's portfolio:
Australian Human Rights Commission (AHRC);
Office of the Australian Information Commissioner (OAIC);
Office of the Special Investigator (OSI);
Attorney-General's Department (AGD);
Administrative Appeals Tribunal (AAT);
Australian Financial Security Authority (AFSA);
Australian Federal Police (AFP);
Australian Law Reform Commission (ALRC);
Australian Transaction Reports and Analysis Centre (AUSTRAC);
Office of the Inspector-General of Intelligence and Security (IGIS);
Office of Parliamentary Counsel (OPC);
Federal Circuit and Family Court of Australia;
Federal Court of Australia;
Commonwealth Director of Public Prosecutions (CDPP);
Australian Commission for Law Enforcement Integrity (ACLEI);
Independent National Security Legislation Monitor (INSLM);
Commonwealth Ombudsman;
Australian Criminal Intelligence Commission (ACIC) and the Australian Institute of Criminology (AIC).
Australian Human Rights Commission
1.23The President of the AHRC, Emeritus Professor Rosalind Croucher AM, made an opening statement.
1.24Key issues discussed included:
the financial position of the AHRC, external partnerships, and average staffing level;
recruitment process for the appointment of new commissioners;
racism in the media;
assessments on the wellbeing of children in the Northern Territory;
employment rights;
progress on initiatives to address workplace sexual harassment and sexual consent education;
the Australian Child Maltreatment Study and initiatives to address community disadvantage;
the position of the AHRC and commissioner's on the referendum on the Voice and the Uluru Statement from the Heart;
the Convention on the Rights of Persons with Disabilities and public interest criterion number 4007 within the Migration Act 1958;
discrimination and vilification of LGBTIQA+ people;
budget for the Office of the National Children's Commissioner;
recommendations made by the United Nations Permanent Forum on Indigenous Issues in relation to the abolition of children's prisons;
potential reforms and harmonisation of laws relating to powers of attorney;
recent work of the AHRC on the issue of ageism; and
the tasering of a resident at Yallambee Lodge aged care facility in Cooma, New South Wales.
Office of the Australian Information Commissioner
1.25The Australian Information Commissioner and Privacy Commissioner, MsAngelene Falk, tabled an opening statement.
1.26Key issues discussed included:
the legal matter before the Federal Court of Australia involving Mr Rex Patrick and the Australian Information Commissioner;
the referral of a freedom of information (FOI) request concerning the Prime Minister's diary to the AAT;
the number of outstanding FOI review matters;
the resignation of Mr Leo Hardiman PSM KC as FOI Commissioner and the proposed changes he suggested to the Information Commissioner review process;
staff allocated to the FOI branch and budgetary considerations;
privacy complaints related to the crime intelligence platform Auror; and
the invitation that TikTok made to the OAIC for a tour of its transparency and accountability centre and the United Kingdom Information Commissioner's investigation into TikTok.
Office of the Special Investigator
1.27The Special Investigator, Mr Chris Moraitis PSM, tabled an opening statement.
1.28The key issue discussed related to the operation and investigation of Joint Prioritised Effects Lists in Afghanistan.
Attorney-General's Department
1.29The Secretary of the Attorney-General's Department, Ms Katherine Jones PSM, made an opening statement.
1.30The key issues discussed included:
openness and transparency practices of AGD;
contracts between the AGD and PwC;
resourcing for the AHRC;
the Men's Rights Agency;
resourcing for the OAIC;
the Solicitor-General's and the Office of Legal Services Coordination’s advice in relation to the Inquiry into the Appointment of the Former Prime Minister to Administer Multiple Departments (the Bell inquiry);
legal matters involving Mr Clive Palmer or companies under his control and the Commonwealth of Australia, the State of Western Australia, and the involvement of the Hon Mr Christian Porter;
the employment of Mr Stephen Mitchell by the AGD;
statistics related to the employment of First Nations people within the AGD;
engagement between the AGD and the National Indigenous Australians Agency in relation to the Voice;
the use of permanent stays by institutions in legal proceedings, particularly in relation to cases involving child sexual abuse;
raising the age of criminal responsibility;
the Better, Safer Future for Central Australia funding package, the National Justice Reinvestment program, and the National Legal Assistance Partnership;
racism awareness training in the AGD;
the resignation of the former President of the AAT, the Hon Justice Fiona Meagher;
funding for legal aid commissions;
funding to support people with disability to participate in the Royal Commission into Violence, Abuse, Neglect and Exploitation of People with Disability;
appointments or reappointments to the AAT since the adoption of the Guidelines for appointments to the AAT and in respect to series of complaints about AAT members;
recommendations on the family law system from the ALRC and the Joint Select Committee on Australia’s Family Law system;
budget allocations to the states and territories to strengthen sexual assault and consent laws, and for the ALRC to review justice responses to sexual violence;
recommendations about the lobbyist code of conduct;
advice provided by the Solicitor-General regarding the Voice referendum;
budget allocation towards the Anti-Slavery Commissioner;
funding allocation for the NACC;
the inquiry by the ALRC into laws relating to religious educational institutions;
matters regarding the operation and investigation of the Foreign Influence Transparency Scheme framework relating to the Parliamentary Joint Committee on Intelligence and Security and individuals involved with the Australian China Economics, Trade and Culture Association;
matters relating to terrorist organisations, convictions surrounding terrorist activities and counter-terrorist measures;
costs of prosecution for whistle-blower cases;
extradition laws in relation to the case of Mr Daniel Duggan;
banning of TikTok on government issued devices;
outcomes of the Police Ministers Council meeting relating to the National Firearms Register; and
the procurement of Hunter-class frigates.
Administrative Appeals Tribunal
1.31The key issues discussed related to the resignation of the Honourable Justice Fiona Meagher, and matters relating to the staffing of the AAT with reference to appointments as well as bullying and harassment claims. Other matters discussed related to the Migration Review Tribunal, Refugee Review Tribunal, and the Robodebt report.
Australian Financial Security Authority
1.32The Chief Executive Officer of the AFSA, Mr Tim Beresford made an opening statement.
1.33The key issues discussed related to key performance indicators relating to risk assessments and insolvencies. Other matters discussed included recommendations from the Whittaker review and the Parliamentary Joint Committee on Corporations and Financial Services.
Australian Federal Police
1.34The Commissioner of the Australian Federal Police, Mr Reece Kershaw APM, made an opening statement.
1.35The key issues discussed included:
matters relating to PwC contracts and referrals;
matters relating to countering foreign interference;
clarification of the term ‘issues motivated individual’;
budget constraints on various programs, the cost of policing, and employment of the future workforce;
employee mental health and people leaving the police force;
cooperation and memoranda of understanding with Myanmar and Singaporean police;
matters relating to bribing officials on Nauru and Operation Regatta;
high-risk technology vendors;
investment in the Pacific;
the operation of Operation Aquila and Operation Guardian;
the memorandum of understanding between the AFP and the National Supervisory Commission in China;
the NACC;
money laundering and terrorist funding;
cybercrime;
conflicts of interest in relation to PwC;
the meeting of Five Eyes law enforcement partners regarding foreign interference;
the AFP's use of surveillance technology, particularly Auror;
matters related to an FOI about allegations of misconduct or corrupt conduct by officers;
investigations related to individuals in the Australian Defence Force who have committed war crimes;
the Australian Taxation Office referral relating to matters involving PwC; and
the AFP’s investigation into child abuse in relation to an arrest made in Queensland and international jurisdictions.
Australian Law Reform Commission
1.36The key issue discussed related to the extension provided for the inquiry into religious educational institutions and anti-discrimination laws report. The other matters discussed related to the recent inquiry into responses of the criminal justice system to sexual violence.
Australian Transaction Reports and Analysis Centre
1.37The Chief Executive Officer of the Australian Transaction Reports and Analysis Centre, Ms Nicole Rose PSM made an opening statement.
1.38The key issues discussed included:
matters related to the appointment of an external auditor to Gold Corporation, trading as Perth Mint;
the cyberhub trial of which AUSTRAC was a part; and
tranche 2 money-laundering reforms.
Office of the Inspector-General of Intelligence and Security
1.39The key issue discussed related to resourcing and staffing capabilities to meet development goals. The other matter discussed related to issues surrounding the oversight of technological expertise, both internally and externally.
Office of Parliamentary Counsel
1.40The key issue discussed was the drafting of legislation relating to the prohibition of Nazi symbols and the Voice referendum.
Federal Circuit and Family Court of Australia
1.41The key issues discussed included:
matters relating to the Lighthouse Project;
matters relating to the number of cases and workload present in the agency in particular reference to changes to the Family Law Act 1975; and
the venue for hearing matters in Burnie.
Federal Court of Australia
1.42The key issue discussed was the Australian Public Service Commission’s investigation into the appointment and recruitment of two registrars.
Commonwealth Director of Public Prosecutions
1.43The key issues discussed included the management of the case known as Operation Deacon and budgetary measures allocated for strengthening Australia’s arrangements for high-risk terrorist offenders.
Australian Commission for Law Enforcement Integrity
1.44The Integrity Commissioner of the Australian Commission for Law Enforcement Integrity, Ms Jaala Hinchcliffe, made an opening statement.
1.45The key issues discussed related to staffing, key performance indicators, and the overall transition into the NACC. Other matters related to a series of complaints that the AFP keep referring.
Independent National Security Legislation Monitor
1.46The key issue discussed was the VERA-2R program, with particular reference to correspondence between the Department of Home Affairs and the AIC.
Commonwealth Ombudsman
1.47The key issues discussed related to the budget funding constraints on the National Preventive Mechanism and the Optional Provision to the Convention Against Torture. Other matters discussed concerned the legislation of the NACC.
Australian Criminal Intelligence Commission and the Australian Institute of Criminology
1.48The Acting Chief Executive Officer of the Australian Criminal Intelligence Commission, Mr Matt Rippon, tabled an opening statement.
1.49The key issue discussed was the correspondence between the AIC and the Department of Home Affairs regarding the VERA-2R report.
Acknowledgement
1.50The committee thanks the ministers and officers who provided evidence and support for the committee’s hearings.
Senator Nita Green
Chair