42Payments to corporate Commonwealth entities

42 Payments to corporate Commonwealth entities

Guide to this section

The purpose of this section is to set out the reporting and disclosure requirements for appropriations where they are received by non‑corporate Commonwealth entities on behalf of, and to be paid to, corporate Commonwealth entities.

Generally, corporate Commonwealth entities are not able to directly access the Consolidated Revenue Fund (CRF) and any appropriations are paid to the non‑corporate Commonwealth entity (i.e., portfolio department) of the corporate Commonwealth entity and then paid across to the corporate Commonwealth entity.

As the receiving non‑corporate Commonwealth entity has no control over the appropriation it receives on behalf of the corporate Commonwealth entity, the appropriation is classified as an administered appropriation and reported as such.

(1) An amount appropriated to a non‑corporate Commonwealth entity for payment to a corporate Commonwealth entity (either through annual or special appropriations) is an administered appropriation to the non‑corporate Commonwealth entity and is recognised and disclosed accordingly. (2) Payments from a non‑corporate Commonwealth entity to a corporate Commonwealth entity in the nature of: (a) equity injections are an increase to the carrying amount of the administered investment of the non‑corporate Commonwealth entity; (b) loans to corporate Commonwealth entities must be accounted for as loans receivable by the relevant non‑corporate Commonwealth entity regardless of whether the loan is made directly by the OPA or through the non‑corporate Commonwealth entity; (c) interest repayments must be recorded as revenue in the non‑corporate Commonwealth entity’s administered accounts, regardless of whether the interest is paid directly to the OPA or through the non‑corporate Commonwealth entity; and (d) other payments (i.e., not in the nature of equity injections or loans) are recorded as expenses by the non‑corporate Commonwealth entity.