Glossary

Activities The actions/functions performed by entities to deliver government policies.
Additional Estimates Appropriation Bills that seek appropriation authority from Parliament for the additional expenditure of money from the Consolidated Revenue Fund (CRF), in order to meet requirements that have arisen since the last Budget. Further annual appropriation Bills can be introduced during the year if required. These Bills are called the Additional Estimates Appropriation Bills (after MYEFO) or Supplementary Additional Estimates Appropriation Bills (at the same time as bills for the next budget).
Administered Item Revenues, expenses, assets and liabilities that the executive government controls, but which an agency or authority manages on the government's behalf.
Administrative Arrangements Order The functions and activities of the government are administered in accordance with an administrative arrangement order (AAO) issued from time to time by the government and signed by the Governor-General. An AAO establishes the principal matters or government outcomes to be dealt with by each department of state, and the Acts of Parliament to be administered by each minister.
Annual Appropriation Annual Appropriation Acts provide annual funding for government operations and programs; for investment in assets; or to reduce liabilities. Bills proposing appropriations for the forthcoming financial year are introduced into Parliament on budget night. The annual Appropriation Bills propose specified amounts of appropriation for expenditure by entities to carry out the government's outcomes.
Appropriation An amount of public monies the Parliament authorises for spending (that is, funds to be withdrawn from the CRF). Not only does an appropriation authorise the Australian Government to withdraw monies, but it also restricts the expenditure to the particular purpose specified.
Budget Paper 1 (BP1) The Budget Strategy and Outlook provides an overview of the economic and fiscal outlook, summarises the Government's fiscal strategy, and outlines key Budget priorities.
Budget Paper 2 (BP2) The Budget Measures provides comprehensive information on all government decisions that involve changes to its revenue, expense and investing activities since the last MYEFO.
Budget Paper 3 (BP3) Federal Financial Relations includes information on revenue provision and payments (GST and specific purpose payments), as well as an overview of fiscal developments in the states and territories.
Budget Paper 4 (BP4) Agency Resourcing shows, for each entity, estimated expenses for each special appropriation Act, estimated balances and flows for all special accounts, estimated resourcing by type of appropriation, and estimated average staffing levels in the public sector.
Central Entities Refers to the Department of the Prime Minister and Cabinet, the Department of the Treasury, and the Department of Finance.
Consolidated Revenue Fund (CRF) The CRF is established by section 81 of the Constitution and consists of all revenues and moneys raised or received by the executive government of the Commonwealth. The CRF is self-executing in nature, which means that all money forms part of the CRF automatically upon receipt by the Commonwealth.
Corporate Commonwealth Entity A Commonwealth entity that is a body corporate under the PGPA Act.
Departmental Capital Budget Departmental (or Administered) Capital Budget (DCB/ACB) are provided to non-corporate Entities (as an equity injection) that receive government funding to meet the costs associated with the replacement of minor assets (assets valued at $10 million or less) or maintenance costs that are eligible to be capitalised. The funding for depreciation, amortisation and make-good expenses was replaced with a DCB in the 2010–11 Budget.
Departmental Item Resources (assets, liabilities, revenues and expenses) that the entity's Accountable Authority controls directly. This includes outsourced activities funded and controlled by the entity. Examples of departmental items include entity running costs, accrued employee entitlements and net appropriations. A departmental item is a component of a departmental program.
Entities Commonwealth entities and Commonwealth companies as defined under the Public Governance, Performance and Accountability Act 2013(PGPA Act) that are within the General Government Sector (GGS).
Estimated Actual Details of the current year's estimated final figures as included in the Budget documentation. As the Budget is released in May each year, but the financial year does not end until 30 June, the current year numbers that are used for comparison with Budget amounts can only be estimates.
Expenses not requiring appropriation in the Budget year Expenses where there is a government policy not to fund those expenses within the year; where the funding has been provided in a prior year but the expense will be incurred in the current year; items which do not or will not involve a cash flow impact (such as bad debt expenses); or where the expenses reflect the usage of services or resources provided free of charge. : e.g. Australian National Audit Office (ANAO) audit services—the ANAO does not charge for audit services however the expense must be recognised. From the 2018–19 MYEFO, movements of Administered funds that can be met from a prior year appropriation are not re-appropriated in the year required. Such expenses are reflected as ‘Expenses not requiring appropriation in the Budget year’.
Executive Agency An agency designated, in an executive order made by the Governor-General-in-Council, as separate from a department, for staffing and accountability and reporting purposes, under the Public Service Act 1999.
Forward Estimates Period The three years following the Budget year. For example, if 2019–20 is the Budget year, 2020–21 is forward year 1, 2021–22 is forward year 2 and 2022–23 is forward year 3. This period does not include the current financial year or the Budget year.
General Government Sector (GGS) A Government Finance Statistics (GFS) classification of all entities that are controlled and largely funded by the Australian Government. The GGS provides public services that are mainly non-market in nature and for the collective consumption of the community, or involve the transfer or redistribution of income. These services are largely financed through taxes and other compulsory levies, user charging and external funding. This sector comprises all government departments, offices and some other bodies.
Government Finance Statistics (GFS) A reporting framework that is a specialised statistical system designed to support economic analysis of the public sector. It allows for comprehensive assessments of the economic impact of government and is consistent with international statistical standards of the International Monetary Fund and the System of National Accounts.
Measure A new policy or savings decision of the government with financial impacts on the government's underlying cash balance; fiscal balance; operating balance; headline cash balance; net debt or net worth. Such proposals are normally made in the context of the annual Budget, and are typically published in BP2, in the MYEFO and in the Pre-election Economic and Fiscal Outlook (PEFO).
Mid-Year Economic and Fiscal Outlook (MYEFO) The MYEFO provides an update of the government's Budget estimates by examining expenses and revenues in the year to date, as well as provisions for new decisions that have been taken since the Budget. The report provides updated information to allow the assessment of the government's fiscal performance against the fiscal strategy set out in its current fiscal strategy statement.
National Partnership payments Commonwealth payments to states and territories made in accordance with Part 4 of the Federal Financial Relations Act 2009(FFR Act). The Minister may determine that an amount specified in the determination is to be paid to a State specified in the determination for the purpose of making a grant of financial assistance to support the delivery by the State of specified outputs or projects; or facilitate reforms by the State; or reward the State for nationally significant reforms.
Non-Corporate Commonwealth Entity A Commonwealth entity that is not a body corporate.
Official Public Account (OPA) The Commonwealth's central bank account. The OPA is one of a group of linked bank accounts, referred to as the Official Public Account Group of Accounts. OPAs are maintained with the Reserve Bank of Australia, as required by subsection 53(3) of the PGPA Act.
Outcomes The results, impacts or consequences of actions by the Australian Government on the Australian community that the government wishes to achieve. For reporting purposes, outcomes equate to major activities in AASB 1052 (section 20).
Portfolio Budget Statements (PB Statements) Budget related paper detailing Budget initiatives and explanations of appropriations specified by outcome and program by each entity within a portfolio.
Program Activity that delivers benefits, services or transfer payments to individuals, industry and/or the community as a whole, with the aim of achieving the intended result specified in an outcome statement.
Program support The entity's running costs allocated to a program. This is funded through an entity's departmental appropriations. Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change.
Public Governance, Performance and Accountability Act 2013 (PGPA Act) The PGPA Act replaced the Financial Management and Accountability Act 1997 (FMA Act) and the Commonwealth Authorities and Companies Act 1997 (CAC Act) on 1 July 2014. As the primary piece of Commonwealth resource management legislation, the PGPA Act establishes a coherent system of governance and accountability for public resources, with an emphasis on planning, performance and reporting. It applies to all Commonwealth entities and Commonwealth companies.
Special Account A type of special appropriation, which can only be established by a written determination of the Finance Minister (section 78 of the PGPA Act) or through an Act of Parliament (section 80 of the PGPA Act). Special Accounts allow money in the CRF to be acknowledged as set-aside (hypothecated) for a particular purpose. Amounts credited to a Special Account may only be spent for the purposes of the Special Account.
Special Appropriations (including Standing Appropriations) Authority within an Act (other than the annual Appropriation Acts) to spend money from the CRF for particular purposes. For special appropriations, the authority to withdraw funds from the CRF does not generally cease at the end of the financial year.

Standing appropriations are a sub-category consisting of ongoing special appropriations—the amount appropriated will depend on circumstances specified in the legislation.
Statutory Agency A statutory authority identified in an Act as a ‘Statutory Agency’ for the purposes of the Public Service Act.
Statutory Authority An Australian Government body established through legislation for a public purpose. This can include a body headed by, or comprising, an office holder, a commission or a governing board.
Underlying cash balance A cash measure that shows whether the government has to borrow from financial markets to cover its activities. Underlying cash balance equals operating receipts, less operating payments, less investment in non-financial assets, less Future Fund receipts.

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Budget 2019-20