Annual Report
2012–13

Glossary of key terms

Administrative Arrangements Order (AAO): an order, issued from time to time by the Governor-General on advice from the Prime Minister, which establishes the matters or outcomes to be dealt with by each Department of State and the Acts to be administered by each Minister.

Agency: a Department of State, Department of Parliament and prescribed agency under the Financial Management and Accountability Act 1997.

Budget: the Australian Government Budget sets out the fiscal and economic outlook for Australia, and includes expenditure and revenue estimates for the current financial year, the budget year and the three forward financial years.

Central Agency: the Department of the Prime Minister and Cabinet, the Departments of Finance and Deregulation and the Treasury.

Chief Executive’s Instruction: instructions and guidance provided for accountability requirements under the Financial Management and Accountability Act 1997.

Closing the Gap: a commitment by all Australian governments to improve the lives of Indigenous Australians, and in particular provide a better future for Indigenous children. A national integrated Closing the Gap strategy has been agreed through COAG.

Commonwealth Procurement Rules (CPRs): establishes the core procurement policy framework and articulates the Government’s expectations for all agencies subject to the Financial Management and Accountability Act 1997 and their officials, when performing duties in relation to procurement.

Council of Australian Governments (COAG): the peak intergovernmental forum in Australia, comprising the Prime Minister, State Premiers, Territory Chief Ministers and the President of the Australian Local Government Association.

enterprise agreement (EA): an agreement about the terms and conditions of employment, made under the Fair Work Act 2009, pertaining to the relationship between the employee and employer. The current EA for the Department is PM&C Enterprise Agreement 2011–14.

Expenditure Review Committee of Cabinet: the Cabinet committee responsible for examining all expenditure proposals in light of the Government’s overall fiscal strategy.

G20: the Group of Twenty (G20) is the premier forum for international economic cooperation. The G20 is a group of 19 countries and the European Union. G20 Leaders, Finance Ministers and Central Bank Governors meet regularly to address global economic and financial challenges.

Intergovernmental Agreement (IGA): a mechanism that allows for policy or project collaboration between the Commonwealth and the State and Territory Governments, defining the roles and responsibilities of each party and the agreed objectives and outcomes.

Key performance indicators: used to assess and monitor the Department’s performance and to provide a record of our progress towards supporting the Government to meet its policy objectives, how public money was spent and whether planned achievements were on track.

machinery of government (MOG) changes: organisational or functional changes affecting the Commonwealth. Common examples of MOG changes include changes to the AAO following a Prime Ministerial decision to abolish or create a department or to move functions/responsibilities between departments or agencies and the creation of new statutory agencies or executive agencies, or abolition of such agencies.

Mid-Year Economic and Fiscal Outlook: updates the economic and fiscal outlook from the previous Budget. It is released each year by the end of January or six months after the last Budget, whichever is later.

National Partnership Agreement (NPA): a mechanism that allows for policy or project collaboration between the Commonwealth and the State and Territory Governments. A NPA generally provides for financial transfers between the Commonwealth and the States to support this collaboration.

National Security Committee of Cabinet (NSC): focuses on major international security issues of strategic importance to Australia, border protection policy, national responses to developing situations and classified matters relating to the Australian Intelligence Community.

non-ongoing employee: an Australian Public Service employee who is employed for a specific term or task, or for duties that are irregular or intermittent as per paragraph 22(2)(a) of the Public Service Act 1999.

not-for-profit sector: the not-for-profit sector is made up of a diverse range of entities. Called by many different names – third sector, voluntary sector and the social economy – the sector comprises organisations established for a community purpose, whether altruistic or mutual in nature.

Portfolio Additional Estimates Statements (PAES): statements that inform Senators, Members and the public of changes since the Budget to the proposed allocation of resources to government outcomes.

Portfolio Budget Statements (PBS): explains the provisions of the Appropriation Bills (Budget Bills) – that is, where appropriated funds are to be spent.

portfolio agencies: government agencies in a portfolio, which are accountable to a Minister. For a list of the Prime Minister’s portfolio agencies, see ‘the portfolio’.

Royal Commission: a government inquiry established by the Governor-General pursuant to the Royal Commissions Act 1902.

secondee: an employee of other agencies/organisations who continues to be employed and paid by their home agency/organisation, under their terms and conditions of employment whilst working in PM&C. Secondees are often used where PM&C is working with the secondee’s home agency/organisation on a particular issue or piece of work.

Senate Estimates: estimates of government expenditure are referred to Senate committees as part of the annual budget cycle.