Update on Government Sector Finance Act 2018 Financial Leadership - PowerPoint PPT Presentation

Update on Government Sector Finance Act 2018 Financial Leadership Committee (Cluster CFO’s) 10 July 2019 Angela McIlwain, Director Sector Outcomes and Performance, P&B angela.mcilwain2@treasury.nsw.gov.au

The GSF Act… An Act to establish a framework for government sector financial and resource management in NSW Production Cost • The Act consolidates and The Act covers: • The Act was assented in October replaces financial provisions in • GSF Agencies 2018 four Acts. • Ministers • Accountable Authorities • Staged commencement of Act • Contains 10 Parts including • Government Officers provisions over five key phases scope and key concepts, • Includes Secretaries and persons budget, appropriations, handling government resources • Supplemented by Regulations & expenditure and gifting, financial (including contractors and Treasurer’s Directions services, banking and consultants) arrangements, reporting and performance information. NSW Treasury 2

Staged Commencement… The provisions of the Act are being commenced over five* key stages 1 Jul 1 Jul 1 Jul 1 Dec 1 Jul 2022 2019 2021 2018 2020 Phase 1 Commenced Phase 2 Commenced Phase 3 Phase 4 Phase 5 Commencement Commencement Commencement  Gifts and Act of Grace Payments  Preliminary & Key Concepts  Budget, Appropriations and Special Deposit  Roles and responsibilities  Financial Reporting (excluding  Annual Reporting – FY20/21  Reporting of Special Deposit Accounts  Delegations Account (SDA), under Part 7 – SDA reporting) - FY19/20 signed off under GSF  Expenditure & Gifts (Act of Grace  Information Sharing signed off under GSF FY21/22 signed off under GSF Payments, payment of tax equivalents to  Performance Information  Consolidted Government Treasurer etc)  Financial Services and Arrangements Reporting - FY19/20 signed off  Expenditure and Gifts (budget controls, under GSF authorisation of expenditure etc)  Administration & Enforcement Provisions • Provide for sub-delegations • Agencies have authority to spend own • Roles and responsibilities defined - source revenues (as defined in the Accountable Authorities, Government Regulations) with the introduction of Officers etc (enable Cluster deemed appropriations. operations) • New provisions for agencies on making • Agencies required to keep performance gifts and acts of grace. information (TD to provided) • Treasurer has more options for contracting banking services. NSW Treasury 3 * Provisions proposed to commence after 1 December 2018 are subject to Treasurer's and Executive Council’s approval

Where are we now… Provisions and Regulation as part of phase 2 commenced on 1 July Key provisions of GSF Act GSF Amendment Regulation 2019 now effective now effective includes includes  Prescribes the certain kinds of government money  Part 4 Budget, Appropriations and Special Deposits Account – received or recovered by GSF Agencies to be deemed including introduction of deemed appropriation appropriation money (for purposes of section 4.7 of the Division 5.2 Gifts and act of grace payments – including gifts of  Act) government property and introduction of statutory power for  Provides for circumstances in which a GSF Agency Minister to make an act of grace payment may establish and operate a working account and kinds  Section 5.4 & 5.3 - deals with the payment to the Treasurer of of money that can be deposited in the account tax-equivalents and financial distributions  Provides for the Treasurer to issue a TD in relation to  Section 9.15 – creates debt to the Crown for certain kinds of additional matters concerning securities. contraventions of section 5.6 involving gifts of government property  Various provisions of the GSF Repeal and Amendment Act to NSW Treasury 4 mirror commencement of GSF Act

What do Cluster CFO’s need to do… Your role in GSF implementation Key actions specific to 1 July commencement  Review ‘own-source’ money and check the Regulation to ensure they are within the scope of deemed appropriations  For any SDA’s within your Cluster, ensure that a responsible manager has been appointed and appropriate records are maintained.  Identity your GSF Agencies, Accountable Authority, Responsible Minister and Government Officers within your Cluster (post MoG)  Review existing delegations within your Cluster – ensure they reflect post-MoG and leverage opportunity for flexibility and streamlining Ongoing actions  Ensure you are engaging with GSF Agencies in your Cluster, particularly in relation to 1 July commencement  Familiarise yourself with the Regulations and material available on the GSF website NSW Treasury 5

Where can you go for more information… GSF Website contains a number of resources to assist in GSF implementation  Website contains factsheets, videos, FAQs and other supporting material  New resources have been made available to support commencement of phase 2 provisions & Regulation  Interactive ‘ Guide to understanding the GSF Act’ is now available  Contact legislation@treasury.nsw.gov.au or your relationship lead NSW Treasury 6

What is next…  Developing and finalising supporting instruments (Treasurer’s Directions and TPPs)  Updating the GSF Agency List and other material that will be made available on the website  Engagement on future direction and strategic work plan  Consideration of communication & engagement approach NSW Treasury 7