2017/00324183

Financial Management

2017

This is an accurate reproduction of the authorised records authority content, created for accessibility purposes

Introduction

The National Archives of Australia (National Archives) has developed this records authority to set out the requirements for keeping or destroying records for the general administrative function of Financial Management.

This records authority is based on the identification and analysis of the Financial Management function. The records authority sets out those records that need to be retained as national archives and specifies the minimum length of time that temporary records need to be kept. This records authority gives agencies permission under the Archives Act 1983, for the destruction of the temporary records described after the minimum retention period has expired. Retention periods for these temporary records are based on: an assessment of business needs; broader organisational accountability requirements; and community expectations.

As changes in circumstances may affect future records management requirements, this records authority may occasionally be amended by the addition of new classes and the variation of existing classes. The National Archives will notify agencies of any such changes.

Application of this Authority

1. The National Archives is progressively reviewing and retiring the Administrative Functions Disposal Authority (2010) and AFDA Express (2010 amended 2013) and will periodically issue revised functions that will ultimately comprise the revised version of AFDA Express Version 2. To aid agencies with implementation of the revised AFDA Express Version 2 functions, the Archives will permit agencies the option of using either the existing AFDA functions or the newly issued revised functions until 1 July 2019 (by which time all revised functions are expected to be have been issued).
2. This authority supersedes the classes 1214–1215, 1217–1226, 1228, 1230–1246, 1248–1276, 1278, 1289–1291 and 20936–20938 in the FINANCIAL MANAGEMENT function of the Administrative Functions Disposal Authority (2010) and classes 20259 and 20260 in the FINANCIAL MANAGEMENT function of AFDA Express (2010 amended 2013). The superseded record classes cannot be used to sentence records after 1 July 2019.
3. This authority should be used in conjunction with records authorities issued to agencies for their core business and other General Records Authorities issued by the National Archives.
4. This records authority is to be used to determine how long records must be kept. Records are to be matched to the relevant core business and records class in the records authority.
   • Where the minimum retention period has expired and the records are not needed for agency business they should be destroyed as authorised in this records authority.
   • Records that have not reached the minimum retention period must be kept until they do.
   • Records that are identified as Retain as National Archives (RNA) are to be transferred to the National Archives for preservation.
5. The Normal Administrative Practice (NAP) provision of the Archives Act 1983 gives agencies permission to destroy certain types of records without formal authorisation. This usually occurs where records are duplicated, facilitative or for short-term use only. NAP does not replace arrangements in this records authority but can be used as a tool to assist in identifying records for destruction together with this records authority and with records authorities specifically issued to an agency. The National Archives recommends that agencies develop and implement a Normal Administrative Practice policy. Advice and guidance on destroying records as a normal administrative practice and on how to develop a NAP policy is available from the National Archives' website at www.naa.gov.au.
6. Records that are reasonably likely to be needed as evidence in a current or future judicial proceeding or are subject to a request for access under the Archives Act 1983, the Freedom of Information Act 1982 or any other relevant Act must not be destroyed until the action has been completed.
7. Records subject to a disposal freeze must not be destroyed until the freeze has been lifted. Further information about disposal freezes and whether they affect the application of this authority is available from the National Archives website at www.naa.gov.au.
8. Where the method of recording information changes (for example from a manual system to an electronic system, or when information is migrated from one system to a new system) this records authority still applies, provided the records document the same core business. The information must be accessible for the period of time prescribed in this records authority. There is a need to maintain continuing access to the information, including digital information, for the periods prescribed in this records authority or until the information is transferred into the custody of the National Archives.
9. In general, retention requirements indicate a minimum period for retention. Agencies may extend minimum retention periods if there is an administrative need to do so, without further reference to the National Archives. Where an agency believes that its accountability will be substantially compromised because a retention period or periods are not adequate, it should contact the National Archives for review of the retention period.
10. Records in the care of agencies should be appropriately stored, managed and preserved. Agencies need to meet this obligation to ensure that the records remain authentic and accessible over time. Under Section 31 of the Archives Act 1983, access arrangements are required for records that become available for public access including those records that remain in agency custody.
11. Appropriate arrangements must be made with the National Archives when records are to be transferred into custody. The National Archives accepts for transfer only those records designated as national archives, and in line with an approved transfer schedule.
12. Under some classes the transfer of custody and ownership of Commonwealth records is directed in the disposal action. This authority permits the transfer of these records under Section 24(2)(b) of the Archives Act 1983, subject to them no longer being needed as evidence for further Commonwealth liability (eg for compensation issues). If there are any doubts in relation to this requirement, copies should be made of the records before they are transferred.
13. Advice on how to use this authority is available from your agency's records manager. If there are problems with the application of the authority that cannot be resolved, please contact the National Archives.

Contact Information

For assistance with this authority or for advice on other records management matters, please contact National Archives' Agency Service Centre.

Authorisation

Person to whom notice of authorisation is given:

Heads of Commonwealth institutions under the Archives Act 1983.

Purpose:

Authorises arrangements for the disposal of records in accordance with paragraph 24(2)(b) of the Archives Act 1983.

Application:

All records relating to the following general administrative business area: Financial Management.

This authority gives permission for the destruction, retention or transfer to the National Archives of Australia of the records described. This authority will apply only if these actions take place with the consent of the agency responsible for the administrative business documented in the records.

Authorised by:

Teressa Ward

Assistant Director-General

National Archives of Australia

28 September 2017

Classes

Financial Management

The function of managing the organisation's financial resources includes establishing, operating, and maintaining accounting systems, controls and procedures, financial planning and analysis, framing budgets and budget submissions, obtaining grants, managing funds in the form of allocations from the Consolidated Revenue Fund and revenue from charging, trading and investments, and allocation and spending of funds to support the performance of agency functions. It also includes the monitoring and analysis of assets to assist the delivery of economic and social services to government, industry and the community.

The core activities include:

• keeping the agency's principal accounting records, including managing the agency's revenue and expenditure;
• collecting and analysing information on financial transactions and on the financial position and operating results of the agency;
• implementing, maintaining and monitoring accounting systems and internal financial controls;
• providing and receiving advice;
• negotiating, establishing, managing and reviewing agreements and contracts;
• establishing and managing the agency's asset register;
• budgeting and allocating funds, including production of whole of agency budget estimates;
• managing taxation matters;
• establishing agency bank accounts and managing banking activities, including managing credit card accounts;
• adopting fraud control measures and identification of specific instances of fraud;
• preparing and compiling financial statements, showing income and expenditure, assets and liabilities;
• preparation and payment of money, including checking invoices, paying accounts, settling claims, paying grants to external recipients, and paying salaries and allowances;
• receiving monetary payments, including receipt of dividends and revenue from agency activities;
• managing financial transactions associated with monetary donations made or received by the agency, including results of fundraising;
• managing grant funding received by the agency;
• planning, conducting and facilitating audits;
• managing incidental benefits received by agency personnel (eg frequent flyer points);
• inventory management supporting the financial management function (eg inventories of cab charge vouchers);
• managing debt recovery; and
• treasury management, including managing the agency's funds, trusts, investments, unclaimed moneys and loans.

The performance of the function is supported by general activities such as:

• developing policies and procedures;
• establishing, managing and participating in committees and meetings;
• fulfilling compliance requirements, including fiscal, legal, regulatory and quality standards and requirements;
• delegating powers and authorising actions;
• planning and reporting;
• handling internal enquiries;
• evaluating and reviewing; and
• identifying, assessing and managing risks.

Cross references to AFDA Express records authority

For managing the acquisition of goods and services to support the performance of agency business, including leasing, tendering and contracting-out arrangements, use PROCUREMENT.

For the management of an agency's internal audit committee, use STRATEGIC MANAGEMENT.

For records documenting the management of non-monetary donations (eg equipment, land) received from public sources, use EXTERNAL RELATIONS.

For records relating to the management of broad strategies for the prevention of fraud and the agency's fraud control plan, use STRATEGIC MANAGEMENT.

For investigations into fraud allegations made against an employee, use PERSONNEL MANAGEMENT.

For the overall management of grant applications made by the agency, use STRATEGIC MANAGEMENT.

For grant applications made by the agency for non-government funding, use EXTERNAL RELATIONS.

For records specific to an employee, such as group certificates, overtime forms, tax declaration forms, and records of superannuation deductions, use PERSONNEL MANAGEMENT.

For stocktake listings of moveable assets owned by the agency, use ASSET MANAGEMENT.

For the acquisition, maintenance, use and disposal of land and buildings (ie non-moveable assets), use PROPERTY MANAGEMENT.

For establishing the overall goals and objectives of an agency and the allocation of resources, use STRATEGIC MANAGEMENT.

Cross references to other records authorities

For developing and executing contracts under seal or deeds, including signed joint venture contracts under seal, use CONTRACTS UNDER SEAL/DEEDS.

For establishing, awarding and managing grants, fellowships and scholarships, use General Records Authority 28 - GRANT MANAGEMENT.

For the transfer of records to contractors providing services on behalf of or to Government under outsourcing arrangements, use General Records Authority 40.