The requirement, in our words
Section 75 applies when a function moves from one non-corporate Commonwealth entity to another, whether the first is abolished or the transfer happens for another reason. The Finance Minister may determine that an appropriation, or part of one, moves with the function, and may modify the Schedules to the Appropriation Acts. A determination is a legislative instrument. The DDA needs its own appropriation to commit relevant money from 1 July 2027; without a determination or another funding mechanism, the work may move before the money does.
What the provision is doing
The section exists so that a machinery-of-government change does not leave a new entity without the money to perform the transferred functions. It is a Finance Minister power, not a DDA decision. The governance team job is to know whether a determination has been made, what it covers and what the DDA must do on day one. The determination can also modify the Schedules to the Appropriation Acts, so the finance team should read it beside the portfolio budget statement and the opening position rather than as a standalone instrument.
What good practice looks like
Ask Finance for the section 75 status and record the answer.
What changed
The explanatory statement says the DDA integrates three existing Defence capability delivery groups. Those groups are part of the Department of Defence, itself a non-corporate Commonwealth entity. The DDA is another one. That is the section 75 fact pattern. The instrument itself does not appropriate money and does not mention section 75; the funding has to be traced separately.
Evidence an auditor or portfolio reviewer asks for
| Category | Record to keep | Retention |
|---|---|---|
| Determination | The section 75 determination, or a written status advice from Finance if no determination has been made, with the date and the functions covered. | Permanent entity record. |
| Appropriation map | A map from the Defence appropriation and cost centres to the DDA, with the amount, the function and the responsible finance officer. | Seven years. |
| Finance correspondence | The correspondence with the Department of Finance on the transfer, the estimates and the opening position. | Seven years. |
Common gaps
- The team assumes Defence's appropriation automatically covers the DDA after 1 July 2027.
- No one checks whether a section 75 determination has been made before the first commitment.
- The appropriation map stops at the portfolio level and does not reach cost centres.
- The watch does not include the legislative instrument register for section 75 determinations.
What to do before 1 July 2027
- Ask Finance for the section 75 status and record the answer.
- Build the appropriation map from Defence cost centres to the DDA.
- Add the legislative instrument register to the monthly watch.
- Test a commitment on day one with the finance system and the delegation.
Dates and cross-references
Commences: 1 July 2027, stated in section 2 of F2026L01074. Retention: Seven years.
Read with: financial-reporting, schedule-1-item-1.
Source
This page reads Public Governance, Performance and Accountability Amendment (Defence Delivery Agency) Rules 2026 (F2026L01074) and its explanatory statement, against the PGPA Act 2013 and the PGPA Rule 2014 Compilation No. 64. Retrieved 2026-10-20. The requirement above is our own statement, not the instrument wording. Not legal advice; does not certify.