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Legislative Assembly for the ACT: 1997 Week 13 Hansard (2 December) . . Page.. 4353 ..

MR OSBORNE (continuing):

Mr Speaker, I consoled myself with the thought that there were almost no standing appropriations here in the ACT. At least here we were attempting to live by the letter and the spirit of the law. Then, when this amendment Bill came forward, I had a closer look at the original Act, the Financial Management Act 1996, and guess what I found? Section 6 of the Act does as it should and restates the clear intention of the Constitution when it says:

No payment of public money shall be made otherwise than in accordance with an appropriation.

But, Mr Speaker, the very next section is titled "Payments authorised on lapse of appropriation" and it goes on to say that, in the absence of an Appropriation Bill passed by the Assembly, the Treasurer can just carry on regardless. "For how long can the Treasurer carry on without an Appropriation Bill passed by the Assembly?", I hear you ask, Mr Speaker. Six months. Yes, Mr Speaker, in the ACT the Treasurer is, in some circumstances, allowed to spend half the Territory's budget - that is about $600m - without reference to the parliament. That is, in effect, a standing appropriation of 50 per cent of the ACT's budget.

In the amendment before us today, Mr Speaker, the Government seeks the power to let departments draw down 3 per cent of their budgets in anticipation of the Appropriation Bill. My staff, Mr Speaker, have been briefed on this and I am fully aware of the accounting reasons behind these amendments. I will not oppose them, but I am uneasy about them and sound a warning to both major parties. If, by some fluke, I am returned to this Assembly next year, do not expect to drink from this well again. I will not allow these provisions to be increased again so that, over time, we give departments ever greater latitude. I do not really care what sound accountancy reasons are put up next time - history shows that there will be a next time - to increase a department's ability to anticipate appropriations.

That is because - and I would like the Liberals to listen hard to this, because they do not seem to understand it - you are not a business. Government is not a business, and you are not chief executives, no matter what you think. The standards required of you are infinitely greater and more onerous than those required of a business. You are dealing with public money and that is a sacred trust. In an effort to control what the Executive does, the people set up parliaments. Mr Speaker, parliaments are frustrating, I agree. They are slow. They are irritating. They often mean, dare we say it, that you cannot run your government as you please. Mr Speaker, I think we should all thank God for that.

MRS CARNELL (Chief Minister and Treasurer) (8.54), in reply: Mr Speaker, taking into account the time, I thank members for their support for this Bill in principle, and I will speak more when I move the amendments.

Question resolved in the affirmative.

Bill agreed to in principle.

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