Footnotes

Chapter 1 - Background to the inquiry

[1]        Senate Finance and Public Administration References Committee, Government Advertising and Accountability, December 2005, p. 51.

[2]        An interesting exposition of some of the implications of this judgement may be found in Submission 10 (Professor Lindell).

[3]        Senate Finance and Public Administration References Committee, Government Advertising and Accountability, December 2005, p. xxiii.

Chapter 2 - Outcome budgeting and reporting

[1]        Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-2002, Department of the Parliamentary Library, 28 May 2002, p. 33.

[2]        Professor Allan Barton, Accrual Accounting and Budgeting Systems Issues in Australian Governments, Paper presented to the Annual Congress of the European Accounting Association, Dublin, March 2005, pp 11-12.

[3]        Commonwealth Department of Finance, The New Financial Reports of Agencies, Commonwealth of Australia, Canberra, July 1994, p. 9, quoted in Professor Allan Barton, Accrual Accounting and Budgeting Systems Issues in Australian Governments, Paper presented to the Annual Congress of the European Accounting Association, Dublin, March 2005, p. 7.

[4]        Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-02, Department of the Parliamentary Library, 28 May 2002, p. 30.

[5]        The Hon John Fahey, House of Representatives Hansard, 12 December 1996, pp 8345-8346, quoted in Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-02, Department of the Parliamentary Library, 28 May 2002, p. 31.

[6]        An element that continues under the new legislative regime is that the determinations made by the Finance Minister under the amended Financial Management and Accountability Act that establish, vary or abolish Special Accounts are disallowable instruments.

[7]        Department of Finance and Administration, The Outcomes and Outputs Framework Guidance Document, November 2000, p. 5.

[8]        Department of Finance and Administration, The Outcomes and Outputs Framework Guidance Document, November 2000, pp 3-4.

[9]        Department of Finance and Administration, The Outcomes and Outputs Framework Guidance Document, November 2000, pp 4-5.

[10]      Department of Finance and Administration, The Outcomes and Outputs Framework Guidance Document, November 2000, p. 5.

[11]      Professor Stephen Bartos, Director, National Institute for Governance, University of Canberra, Submission 5, p.15.

[12]      Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007.

[13]      Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007, pp 31-33.

[14]      Professor Barton, Submission 8, pp 8-9.

[15]      Professor Barton, Submission 8, p. 9.

[16]      Ms Campbell, Committee Hansard, 8 September 2006, pp 21-22; Mr McPhee, Committee Hansard, 27 November 2006, p. 12.

[17]      Department of Finance and Administration, Supplementary Submission 6b, [p. 3.]

[18]      Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-02, Department of the Parliamentary Library, 28 May 2002, p. 32.

[19]      ANAO, Submission 4, pp 5-6.

Chapter 3 - Proliferation of Funding Sources

[1]        Professor Lindell, Submission 10, p. 4.

[2]        Australian National Audit Office (ANAO), Financial Management of Special Appropriations, Audit Report No. 15 of 2004-2005, p. 11.

[3]        The Parliamentary Library in response to client requests has adopted in its regular Bills Digests the practice of identifying provisions in bills that would impose or change a Special Appropriation.

[4]        Australian National Audit Office (ANAO), Financial Management of Special Appropriations, Audit Report No. 15 of 2004-2005, p. 14.

[5]        ANAO, Submission 4, p. 35.

[6]        Professor Bartos, Submission 5, p. 9.

[7]        Ms Kathryn Campbell, General Manager, Financial Management Group, Department of Finance and Administration, Committee Hansard, 8 September 2006, p. 22.

[8]        ANAO, Submission 4b, [p. 15.]

[9]        Professor Bartos, Committee Hansard, 12 October 2006, p. 4.

[10]      Mr Mike Louden, Acting General Manager, financial Management Group, Department of Finance and Administration, Committee Hansard, 27 November 2006, p. 4.

[11]      Senate Finance and Public Administration Legislation Committee, Budget estimates 2006-07, June 2006, p. 8.

[12]      Australian National Audit Office (ANAO), Agency Management of Special Accounts, Report No. 24, 2003-2004, p. 11.

[13]      An example of a Special Account is the Comsuper Special Account which had an opening balance of $4.7 million at the beginning of 2006-2007. It is estimated that the Account's receipts for the 2006-2007 financial year will amount to $60.5 million and payments will be $60.4 million.

[14]      An interesting example of a Special Account established by an Act other than under the FMA Act is the FFMA Account which was established by the Future Fund Act 2006.

[15]      The Regulations and Ordinances Committee has given only one notice for a disallowance motion under section 22. That was given in the previous Parliament and concerned a matter which was resolved when DoFA provided amended supporting documentation.

[16]      See, for example, Consolidated Financial Statements for the Year ended 30 June 2005, circulated by Senator the Honourable Nick Minchin, Minister for Finance and Administration, December 2005, Note 44 to the financial statements, pp 184-222.

[17]      Australian National Audit Office (ANAO), Agency Management of Special Accounts, Report No. 24, 2003-2004, p. 11.

[18]      ANAO, Submission 4, p. 37.

[19]      ANAO, Supplementary Submission 4b, [p. 17.]

[20]      ANAO, Submission 4, p. 36.

[21]      Mr Ian McPhee, Auditor-General, Australian National Audit Office, Committee Hansard, 27 November 2006, p. 13.

[22]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 14.

[23]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 17.

[24]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 19.

[25]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 19.

[26]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, pp. 26, 118, 121.

[27]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 27.

[28]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 26, 28.

[29]      ANAO, Submission 4, p. 38.

[30]      ANAO, Submission 4, p. 32.

[31]      ANAO, Submission 4, p. 34.

[32]      ANAO, Submission 4, p. 32-33.

[33]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 28.

[34]      Australian National Audit Office (ANAO), Management of Net Appropriation Agreements, Audit Report No. 28, 2005-2006, p. 28.

[35]      ANAO, Submission 4, p. 33.

[36]      ANAO, Submission 4, p. 33.

[37]      ANAO, Submission 4, p. 33.

[38]      Mr Louden, Committee Hansard, 27 November 2006, p. 4.

[39]      'Carryovers' in this report is used in a general sense to describe unspent funds from the annual appropriations. The Auditor-General explained that what is involved is really the authority to spend funds that have been carried over from many years.

[40]      ANAO, Submission 4, pp 4-5.

[41]      Maurice Kennedy, Cheques and Balances, Department of the Parliamentary Library, Research Paper N0. 16, 2001-2002, pp 41-43.

[42]      Maurice Kennedy, Cheques and Balances, Department of the Parliamentary Library, Research Paper N0. 16, 2001-2002, pp 41-43.

[43]      Mr Ian McPhee, Auditor General, Committee Hansard, 27 November 2006, p. 7.

[44]      Mr Harris, Submission 7, p. 1.

[45]      Mr Harris, Submission 7, p. 2.

Chapter 4 - Tax expenditures, AFM, GST and ordinary annual services

[1]        Australian Department of the Treasury, 2006 Tax Expenditures Statement, Dec 2006, p. 1.

[2]        Australian Department of the Treasury, 2005 Tax Expenditures Statement, Dec 2005, p. 2.

[3]        Additional quantitative information on tax expenditures may be found in the annual publication of the Productivity Commission, Trade and Assistance Review, which assesses assistance provided to industry by tax concessions.

[4]        Australian Department of the Treasury, 2006 Tax Expenditures Statement, Dec 2006, p. 2.

[5]        Dr Mark Burton, Submission 3, p.4.

[6]        Dr Burton, Submission 3, pp 6-7.

[7]        Professor Bartos, Submission 5, p. 12.

[8]        Mr Paul McCulloch, Acting Executive Director, Revenue Group, The Treasury, Correspondence, 9 January 2007.

[9]        Mr Paul McCulloch, Acting Executive Director, Revenue Group, The Treasury, Correspondence, 9 January 2007.

[10]      ANAO Supplementary Submission 4b, [p. 14.]

[11]      Harry Evans, ed., Odgers' Australian Senate Practice, 11^th edition, Department of the Senate, 2004, p. 273.

[12]      Consolidated Financial Statements for the year ended 30 June 2005, Circulated by Senator Nick Minchin, Minister for Finance and Administration, December 2005, Commonwealth of Australia, 2005, p. 33.

[13]      In his Independent Audit Report on the Consolidated Financial Statements for the year ended 30 June 2005 the Auditor-General stated that the non recognition of GST revenue and expenses 'does not accord with Australian Accounting Standard AAS 31 Financial Reporting by Governments which requires that all of the Government's assets, liabilities revenues and expenses be recognised in its financial statements'.

[14]      Department of Finance and Administration, Submission 6, p. 16.

[15]      Department of Finance and Administration, Submission 6, p. 16.

[16]      Department of Finance and Administration, Submission 6, p. 17.

[17]      ANAO, Submission 4, p. 29.

[18]      ANAO, Submission 4, p. 30.

[19]      Clerk of the Senate, Submission 1, p. 4.

[20]      Professor Bartos, Submission 5, p. 10.

[21]      Clerk of the Senate, Submission 1, p. 4.

[22]      Clerk of the Senate, Submission 1, p. 4.

[23]      Clerk of the Senate, Submission 1, p. 4.

[24]      Department of Finance and Administration, Submission 6, p. 8.

[25]      Clerk of the Senate, Committee Hansard, 8 September 2006, p. 14.

[26]      Clerk of the Senate, Committee Hansard, 8 September 2006, p. 7.

[27]      Professor Bartos, Submission 5, p. 10.

[28]      Professor Bartos, Submission 5, pp. 10-11.

[29]      ANAO, Submission 4, p. 40.

[30]      Clerk of the Senate, Submission 1, p. 8.

[31]      Senator Murray, Committee Hansard, 12 October 2006, p. 14.

[32]      Professor Lindell, Submission No. 10, p. 10.

Chapter 5 - Improving transparency and specificity of budget documents

[1]        Senate Finance and Public Administration Legislation Committee, The Format of the Portfolio Budget Statements: Third Report, November 2000, p. 39.

[2]        Mr Ian McPhee, Committee Hansard, 8 September 2006, p. 36.

[3]        Joint Committee of Public Accounts and Audit, Report 388 Review of the Accrual Budget Documentation, June 2002, p. xxi.

[4]        JCPAA Report 388: Review of the Accrual Budget Documentation – Government response to recommendations of a policy nature, Senate Hansard, 13 May 2003, p. 10580.

[5]        Senate Finance and Public Administration Legislation Committee, The Format of the Portfolio Budget Statements: Second Report, October 1999, p. 28.

[6]        Senate Finance and Public Administration Legislation Committee, The Format of the Portfolio Budget Statements: Third Report, November 2000, p. 40.

[7]        Senator the Hon. Christopher Ellison, Minister for Justice and Customs, Senate Hansard,
8 February 2001, p. 21745.

[8]        Appropriation Act (No. 1)2006, ss. 4(1).

[9]        Senate Finance and Public Administration Legislation Committee, The Format of the Portfolio Budget Statements: Third Report, November 2000, pp 16-17.

[10]      In its recent report on the application of the outcomes and outputs framework ANAO also has suggested that the provision of forward estimates on the basis on which Parliament appropriates funds should be further considered in any future review of the framework. Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007 p. 93.

[11]      See Budget Paper No. 1 2005-2006, pp 6-13.

[12]      See, for example, Australian National Audit Office, Submission 4, p. 9.

[13]      Professor Stephen Bartos, Submission 5, p.2.

[14]      Maurice Kennedy, Cheques and Balances: Research Paper No. 16 2001-2002, Department of the Parliamentary Library, p. 34.

[15]      John Wanna, Joanne Kelly & John Forster, Managing Public expenditure in Australia, Allen & Unwin, St Leonards, NSW, p. 301.

[16]      Joint Parliamentary Committee of Public Accounts and Audit, Report 388 Review of the Accrual Budget Documentation, June 2002, p. 11.

[17]      Professor Lindell, Submission 10, p. 9.

[18]      Professor Lindell, Submission 10, p. 9.

[19]      Audit Report No. 31of 2005-2006, Roads to Recovery, Australian National Audit Office, 1 March 2006.

[20]      ANAO, Supplementary Submission 4b, [p. 12.]

[21]      Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-02, Department of the Parliamentary Library, 28 May 2002, p. 40.

[22]      Australian National Audit Office, Submission 4, p. 23.

[23]      Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007, p. 31.

[24]      Professor Stephen Bartos, Submission 5, p. 11.

[25]      Ms K Campbell, Committee Hansard, 8 September 2006, p. 21.

[26]      See Professor Bartos, Submission 5, p. 11.

[27]      Australian National Audit Office, Submission 4, p. 23.

[28]      Department of Finance and Administration, Submission 4b, [p. 5.]

[29]      Professor Bartos, Submission 5, p. 11.

[30]      Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007, p. 31.

[31]      See Ms Campbell, Committee Hansard, 8 September 2006, p. 20.

[32]      ANAO, Supplementary Submission 4b, [p. 12.]

[33]      Mr McPhee, Committee Hansard, 27 November 2006, p. 9.

[34]      John Wanna, Joanne Kelly & John Forster, Managing Public Expenditure in Australia, Allen & Unwin, St Leonards, NSW, p. 304.

[35]      'Administered item' and 'departmental item' are defined respectively in the Acts by reference to an amount set out in the Schedule under 'Administered Expenses' and as the total amount set out under 'Departmental Outputs'.

[36]      ANAO, Submission 4, pp 14-15.

[37]      ANAO, Supplementary Submission 4b, [p. 9.]

[38]      ANAO, Supplementary Submission 4b, [pp 9-10.]

[39]      Professor Bartos, Submission 5, pp. 7-8.

[40]      Professor Bartos, Submission 5, p. 8.

[41]      Mr Harris, Submission 7, p. 4.

[42]      Professor Barton, Accrual Accounting and Budgeting Systems Issues in Australian Government, Submission 8a, p. 22.

[43]      Professor Barton, Submission 8, p. 1,

[44]      Professor Barton, Submission 8, p. 3.

[45]      Professor Barton, Correspondence, 28 August 2006.

[46]      Professor Bartos, Submission 5, pp 11-12.

[47]      ANAO, Supplementary Submission 4b, [p. 13.]

[48]      Professor Bartos, Submission 5, p. 13.

[49]      ANAO, Supplementary Submission 4b, [p. 16.]

[50]      Mr Harris, Submission 7, pp. 1-2.

[51]      Professor Bartos, Submission 5, p.13.

[52]      Professor Bartos, Submission 5, p.13.

[53]      Professor Barton, Submission 8, p. 3.

[54]      Professor Barton, Committee Hansard, 12 October 2006, p. 23.

[55]      ANAO, Supplementary Submission 4b, [p. 20.]

[56]      Department of Finance and Administration, Supplementary Submission 4b, [p. 7.]

[57]      ANAO, Supplementary Submission 4b, [p. 20.]

[58]      Maurice Kennedy, Cheques and Balances, Research Paper No. 17 2001-02, Department of the Parliamentary Library, 28 May 2002, pp 40-41.

[59]      ANAO, Submission 4, pp 24-25.

[60]      ANAO made recommendations with regard to PBS performance indicators in its report on the outcomes/outputs framework which has also been discussed earlier in this report. (See Australian National Audit Office (ANAO), Application of the Outcomes and Outputs Framework, Audit Report No. 23 2006-2007, p. 31.

[61]      ANAO, Submission 4, p. 25

Chapter 6 - Improving Parliamentary oversight

[1]        Senate Finance and Public Administration Legislation Committee, The Format of the Portfolio Budget Statements: Third Report, November 2000, p. 42.

[2]        Professor Bartos, Submission 5, p. 10.

[3]        ANAO, Supplementary Submission 4b, [p. 15.]

[4]        ANAO, Supplementary Submission 4b, [p. 2.]

[5]        Senator Murray, Committee Hansard, 8 September 2006, p. F&PA pp 9-10.

[6]        Clerk of the Senate, Supplementary Submission 1a, pp 1-2.

[7]        Clerk of the Senate, Submission 1a, p. 3.

[8]        ANAO, Submission 4, p. 15.

[9]        Professor Lindell, Submission 10, p. 9.

[10]      P Brazil and B Mitchell (eds), Opinions of the Attorneys-General of the Commonwealth of Australia vol 1: 1901-1914, Opinion No. 48, 59 dated 25 February 1902, quoted in Professor Lindell, Submission 10, p. 5.