State Services Authority

Supporting Government Serving Victorians

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Introduction
Building and Renewing the Board
On Board
Operations of the Board
Compliance and accountability
Frequently Asked Questions
Dictionary of Common Terms
Reference List
Good practice guide on governance for Victorian public entities
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Dictionary of Common Terms

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a

TermMeaning
accountabilityThe responsibilities of individuals and entities for a task or activity.
administrative actionIn the Ombudsman Act 1973 is any action relating to a matter of administration, and includes a decision and an act; the refusal or failure to take a decision or to perform an act; the formulation of a proposal or intention; and the making of a recommendation (including a recommendation made to a Minister).

Ombudsman Act 1973 s. 2
Administrative OfficeA body or group existing as an Administrative Office in relation to a Department by virtue of an Order made under s. 11 of the Public Administration Act 2004
Order is by Governor in Council
advisory committeeA committee established by a Minister to provide advice to the Minister.
The functions and powers of an advisory committee are limited when compared to the functions and powers of entities with the power to make decisions.
agencyGenerally a public entity.
In the Freedom of Information Act 1982 (FOI) a Department, council or a prescribed authority.

FOI s. 5
allegationA declaration or assertion that an incident has occurred.
Appropriation(s)An annual Act (i.e. 'the Budget') which authorises the Government to spend an amount of money from the Consolidated Fund for specified purposes.
Audit ActAudit Act 1994
authorityUsually a synonym for an entity.
In the context of the Audit Act 1994 it is a department, a public body, an entity (other than a department or public body) of which the State or a public body has control.

Audit Act 1994 s. 3

In context of Ombudsman Act it includes a Government Department, a Public Statutory Body and a municipal council.

Ombudsman Act 1973 s. 2

In context of the Financial Management Act 1994 (FMA) it is a Department or a person or body prescribed as an authority for the purposes of the FMA.

FMA s. 3

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b

TermMeaning
BoardFor a public entity this means in the case of a public entity that has a governing body (called by whatever name), that governing body; and in any other case, the members of the public entity or, in the case of a Commissioner entity, the person who comprises the Commissioner entity.

PAA s. 4(1)
Board SecretaryAn employee of an entity whose duties in whole or in part are to act as secretary to the Board of the entity.
body corporateAn organisation that exists as a separate legal entity in its own right.

See unincorporated association
body unincorporate or unincorporated bodySee unincorporated association
Budget sector agenciesAll agencies of the State Government funded wholly or substantially from public revenue. These are mainly Departments. Also known as Inner Budget Agencies.

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c

TermMeaning
CabinetThe principal decision making body of the Government. It consists of all Ministers of the Crown and the Parliamentary Secretary of Cabinet (also known as Cabinet Secretary). The Premier, as the leader of the Government is the Chair of Cabinet. Cabinet is a formal meeting of Ministers but has no legal powers or status.
CEOChief Executive Officer
CFAOChief Finance and Accounting Officer

FMA ss. 4, 43
civil actionA legal action by an entity or a person (the plaintiff) against another entity or person (the defendant) seeking a legal remedy such as damages or an injunction. The purpose is most frequently to obtain compensation for a wrong suffered by the plaintiff at the hands of the defendant or to prevent the defendant from performing an act detrimental to the interests of the plaintiff.
code of conduct (sometimes Code of Conduct)A code of conduct issued under s. 63 of the PAA.

PAA s. 63 provides as regards codes of conduct that the Public Sector Standards Commissioner may prepare and issue codes of conduct based on the public sector values. A code of conduct is binding on any public official or class of public official to whom it applies. A contravention of a code of conduct by a public official who is bound by the code is capable of constituting misconduct.
Commissioner entityA public entity that consists of, or the governing body of which consists of, only one person.

PAA s. 4(1)
common lawLaw that originated in the English courts, which continues to develop today, and which applies to everyone. Common law is altered by legislation or by court decisions. Sometimes known as 'judge-made law'.
companySee body corporate.
complaintIn the Ombudsman Act is a complaint to the Ombudsman in respect of an administrative action.

Ombudsman Act 1973 s. 2
conflict of interestA real, perceived or potential conflict between the personal or business interests of a member and the member's duty to act in the interests of the entity.
consentRefers to express or implied consent

Information Privacy Act 2000 s. 3
COOChief Operating Officer
Corporate Governance HandbookKey corporate governance documents collated into a single volume and provided to Board members
corporationSee body corporate
Corporations ActCorporations Act 2001
corrupt conductIn the Whistleblowers Protection Act 2001 is conduct of a person (whether or not a public officer) that adversely affects, or could adversely affect, either directly or indirectly, the honest performance of a public officer's or public body's functions; or conduct of a public officer that amounts to the performance of any of their functions as a public officer dishonestly or with inappropriate partiality; or conduct of a public officer, a former public officer or a public body that amounts to a breach of public trust; or conduct of a public officer, a former public officer or a public body that amounts to the misuse of information or material acquired in the course of the performance of their functions as such (whether for the benefit of that person or body or otherwise); or a conspiracy or attempt to engage in the conduct referred to above.

Whistleblowers Protection Act 2001 s. 3(1)
criminal penaltyA penalty in the form of a fine or sentence of imprisonment, whether or not suspended in its operation.
criminal prosecutionA legal action by the Crown against a person or persons or an entity (the defendant) that involves an allegation of criminal conduct by the defendant that, if proved beyond reasonable doubt, could result in a criminal penalty.
CrownFormal term for the ultimate source of the authority of the law in a geographical jurisdiction. In Victoria the Crown is said to exist as 'the Crown in right of Victoria'.

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d

TermMeaning
DepartmentA Department existing by virtue of an Order made under s. 10 of the PAA.

PAA ss. 4(1), 10
Department HeadA person employed as a Department Head under s. 12 of the PAA.

PAA s. 4(1)
directionAn instruction directed towards a Board, or officers of an entity by a Minister or other public official with power to issue directions. The power to issue a direction may stem from legislation but a Minister has an innate power to issue relevant and lawful directions to an entity within the Minister's responsibility. An entity must abide by a lawful direction addressed to it.
directorIn relation to a public entity, means a member of the Board of the public entity.

PAA s. 4(1)
DPC GuidelinesGuidelines for the Appointment and Remuneration of Part-Time Non-Executive Directors of State Government Boards and Members of Statutory Bodies and Advisory Committees.

Located on website of the Department of Premier and Cabinet.

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e

TermMeaning
enabling legislationSee establishing legislation
entityA body that may consist of one or more persons. It may be a body in the public sector or the private sector. It may be a statutory corporation, other corporation or company or an unincorporated association.

In the Audit Act 1994 entity has the same meaning as in the accounting standard that applies for the purpose of deciding whether a company has to prepare consolidated financial statements under the Corporations Act 2001.
Establishing legislationAn Act of Parliament, set of regulations, statutory instrument or other document setting out the powers, functions and organisational structure of an entity.
Executive CouncilEstablished under s. 87 of the Constitution Act 1975. It exercises the chief executive authority in the State. It consists of all Ministers but a quorum consists of the Governor and two Ministers.
exempt bodiesA Parliamentary committee; or a Local Council; or a court; or the Office of Public Prosecutions or the Committee for Public Prosecutions; or a university; or a body to which, or to the governing body of which, the government of another jurisdiction, or a person appointed or body established under the law of another jurisdiction, has the right to appoint a member, irrespective of how that right arises.

PAA s. 4(1)

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f

TermMeaning
FMAFinancial Management Act 1994
FMCFFinancial Management Compliance Framework
FOIFreedom of information. FOI aims to extend as far as possible the right of the community to access information in the possession of the Government of Victoria and other bodies constituted under the law of Victoria for certain public purposes by making available to the public information about the operations of agencies and, in particular, ensuring that rules and practices affecting members of the public in their dealings with agencies are readily available to persons affected by those rules and practices; and creating a general right of access to information in documentary form in the possession of Ministers and agencies limited only by exceptions and exemptions necessary for the protection of essential public interests and the private and business affairs of persons in respect of whom information is collected and held by agencies.

Freedom of Information Act 1982 s. 3(1)
FOI ActFreedom of Information Act 1982

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g

TermMeaning
Government Business EnterprisesStatutory authorities, State bodies established under the State Owned Enterprises Act 1992, commercial bodies established under the Corporations Act 2001 or specific legislation.
Governor in CouncilWhere the Governor exercises powers at a meeting of the Executive Council.

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i

TermMeaning
improper conductIn the Whistleblowers Protection Act 2001 is corrupt conduct; or a substantial mismanagement of public resources; or conduct involving substantial risk to public health or safety; or conduct involving substantial risk to the environment. The conduct must be of a kind that that would, if proved, constitute a criminal offence; or reasonable grounds for dismissing or dispensing with, or otherwise terminating, the services of a public officer who was, or is, engaged in that conduct.

Whistleblowers Protection Act 2001 s. 3(1)
incorporated companySee body corporate
indemnityLegal exemption from liability to pay damages or compensation
individualIn the Information Privacy Act 2000 means a natural person.

That is, an individual cannot be a body corporate. IPA s. 3
information privacyThe protection provided under the Information Privacy Act 2000 in relation to personal information.
Information Privacy PrinciplesThe principles set out in Schedule 1 of the Information Privacy Act 2000.
instrumentA document signed by an authorised person which has a legal effect. It may have various effects such as conferral of powers or functions, or creation of guidelines for the exercise of a power or function.
IPAInformation Privacy Act 2000
IPPsSee Information Privacy Principles

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l

TermMeaning
legislationAn Act of Parliament, regulation, by-law, ordinance, statutory instrument or any determination in writing published pursuant to an Act of Parliament or one of the other forms of legislation mentioned above.

 

m

TermMeaning
memberMember of Board of an entity possibly referred to as a director.
MinisterMember of the elected Government appointed by the Governor to be responsible for one or more portfolios.
Ministerial responsibilityA convention providing that Ministers are individually responsible to Parliament for their actions and those of their agencies.

 

n

TermMeaning
non-Budget sectorAgencies that do not meet the criteria to be regarded as Budget sector agencies and which usually earn at least 50% of their revenue from commercial activities.
non-executive directorA Board member who is not an employee of the entity.

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o

TermMeaning
Order in CouncilAn Order made by the Governor in Council usually under a particular section in legislation.

 

p

TermMeaning
PAAPublic Administration Act 2004
participating bodyIn the Victorian Managed Insurance Authority Act 1996 (VMIA) is a statutory authority that in the current or any previous financial year has received more than 50% of its funding from the Consolidated Fund; or a body corporate (other than a statutory authority) that in the current or any previous financial year has received more than 50% of its funding from the Consolidated Fund; and in which the State has a controlling interest; a person or body declared under section 4 of the VMIA Act1996 to be a participating body.

VMIA Act 1996 s. 3
personA natural person or a body corporate
personal informationInformation or an opinion (including information or an opinion forming part of a database), that is recorded in any form and whether true or not, about an individual whose identity is apparent, or can reasonably be ascertained, from the information or opinion, but does not include information of a kind to which the Health Records Act 2001 applies.

IPA s.3
portfolio MinisterThe Minister responsible for the portfolio in which an entity is located.
PRAPublic Records Act 1973

PRA s. 2
prerogative officeAn office under the Crown (other than a statutory office) to which the right to appoint is vested in the Governor in Council.

PAA s. 4(1)
public assetsAssets nominally the property of a Department or public entity.
public entityA body, whether corporate or unincorporated
(a) that is established-
    (i) by or under an Act (other than a private Act) or the Corporations Act; or
    (ii) by the Governor in Council; or
    (iii) by a Minister;
and

(b) in the case of a body corporate, the right to appoint a majority of the directors of which is vested in the Governor in Council or a Minister; and
(c) that has a public function to exercise on behalf of the State or is wholly owned by the State; and
(d) in the case of a body that does not have any function to exercise other than the provision of advice or a report to any person or body-
    (i) has written terms of reference guiding its operation; and
    (ii) is required to provide the advice or report to a Minister or the Government; and
    (iii) is declared to be a public entity for the purposes of this Act
(A) by the establishing legislation; or
(B) by an Order under sub-section (3)
but does not include-
(e) an exempt body; or
(f) a special body in its capacity as a special body; or
(h) a body, or a class of body, that is declared by an Order under sub-section (2) not to be a public entity for the purposes of the PAA

PAA s. 5
public entity HeadCEO (called by whatever name) of a public entity.

PAA s. 4(1)
public functionA function that advances the public interest by providing for services or benefits for members of the public, or assisting in gathering public revenue.
public funds or public moneyFunds provided from, or intended for, the Consolidated Fund.
public officerIn the PRA is any person employed in a public office.

PRA s. 2

In the Whistleblowers Protection Act is, relevantly, a member of Parliament; a councilor; a member, officer or employee of a public body other than a university; a member of the governing body of a public body other than a university; the holder of an office established by or under an Act to which the right to appoint is vested in the Governor in Council or a Minister; a member of the teaching service within the meaning of the Teaching Service Act 1981. It does not include a person specified in section 4(2) of the Whistleblowers Protection Act 2001.

Whistleblowers Protection Act 2001 s. 3(1)
public officialIn the PAA is, relevantly, a public sector employee; the holder of a statutory office or a prerogative office; a director of a public entity.

PAA s. 4(1)
public purposeA purpose for an initiative that advances the public interest by providing for services or benefits for members of the public, or assisting in gathering public revenue.
public recordIn the PRA is any record made or received by a public officer in the course of their duties; and any record made or received by a court or person acting judicially in Victoria. It does not include a record which is beneficially owned by a person or body other than the Crown or a public office or a person or body referred to in section 2B of the PRA; or certain prescribed records.
Public Records OfficeFor the better preservation management and utilisation of the public records of the State there has been established an Office known as the Public Records Office.

PRA s. 3
public sectorThe sector that comprises the public service, public entities, and special bodies

PAA s. 4(1)
Public Sector AgencyFor the purposes of the Standing Directions of the Minister for Finance, Government Departments and public bodies are collectively termed “Public Sector Agencies”.

Clause 1.1 of the Standing Directions of the Minister for Finance
public sector body HeadIn relation to a public service body, the public service body Head; in relation to a public entity, the public entity Head; in relation to a special body, the special body Head.

PAA s. 4(1)
public sector employeeAn employee; or a person employed by a public entity or special body.

PAA s. 4(1)
public sector employment principlesThe principles set out in s. 8 of the PAA.

PAA s. 4(1),8

As set out in s. 8 the principles are: employment decisions are based on merit; public sector employees are treated fairly and reasonably; equal employment opportunity is provided; public sector employees have a reasonable avenue of redress against unfair or unreasonable treatment; in the case of public service bodies, the development of a career public service is fostered.
Public Sector Standards CommissionerMember of SSA who performs role 2 of the SSA, ie to promote high standards of integrity and conduct in the public sector

PAA ss. 61, 62
public serviceThe public service of Victoria, ie the persons employed under Part 3 of the PAA

PAA ss. 4(1), 9
public service bodyA Department; or Administrative Office; or the SSA

PAA s. 4(1)
public service body HeadIn relation to a Department, the Head of that Department; or in relation to an Administrative Office, the Head of that Administrative Office; or in relation to the SSA, the CEO of that Authority.

PAA s. 4(1)
public statutory authorityIn the Audit Act an authority established by legislation.
Public Statutory BodyIn the Ombudsman Act is a body of persons, whether corporate or unincorporate, constituted or established under an Act for a public purpose, in respect of which the Governor in Council or a Minister has a right to appoint all or some of its members and includes State Trustees.

Ombudsman Act s. 2

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q

TermMeaning
quasi-judicial BoardA Board with tribunal-like powers. It makes administrative decisions which might in other circumstances be made by a court. Such Boards are created to deal with disputes or to make legal determinations more quickly and with less formality than a court.

 

r

TermMeaning
recordIn the PRA is any document within the meaning of the Evidence Act 1958.

PRA s. 2
responsible MinisterSee portfolio Minister
risk managementThe culture, processes and structures that prevent the chance of something happening that will have an adverse impact on a public entity's objectives.

Standards Australia definition

 

s

TermMeaning
small entityA public entity that satisfies any criteria relating to assets, income or turnover prescribed for this purpose; or which has no control over the expenditure of public funds. It does not include a public entity, or a class of public entity, that is declared under section 75(c) of the PAA not to be a small entity for the purposes of Part 5 of the PAA.

Public Administration Act 2004 s. 4(1)
SOEAState Owned Enterprises Act 1992
special bodyA department of the Parliament of Victoria; the Electoral Boundaries Commission; the office of the Health Services Commissioner; the office of the Ombudsman; the Office of Police Integrity; the office of the Privacy Commissioner; the State Coroner's Office; VCAT; the Victorian Auditor-General's Office; the Victorian Electoral Commission; Victoria Police; a body that is declared by an Order by the Governor in Council to be a special body for the purposes of the PAA.

An Order cannot be made in relation to an exempt body.

The Governor in Council may, by Order declare a body specified above not to be a special body for the purposes of the PAA.

PAA s. 6
special body HeadCEO (by whatever name called) of a special body.

PAA s. 4(1)
special inquiryAn inquiry into a public service body, public entity or special body conducted by the SSA under s. 52 of the PAA
SSAState Services Authority established by Division 1 of Part 4 of the PAA

Functions in Division 2 of Part 4 of the PAA
stakeholderA party which has an interest in the work of an entity.
stakeholder MinisterA Minister who is a stakeholder in relation to a public entity or a particular public entity project.
stakeholder organisationAn organisation that is a stakeholder in relation to a public entity or a particular public entity project.
stakeholder representativeA Board member who represents a stakeholder in their Board work.
StateState of Victoria
State bodyUnder the State Owned Enterprises Act 1992 (SOEA) the Governor in Council, by Order published in the Government Gazette, may establish, for the purposes of the SOEA, a State body by a name specified in the Order. A State body established under this section is a body corporate with perpetual succession.

SOEA ss. 3, 14
State business corporationA statutory corporation declared by Order in Council under s. 17 of the SOEA to be a State business corporation.

SOEA s. 3
State owned companyA company declared by Order in Council under s. 66 of the SOEA to be a State owned company

SOEA s. 3

For such an Order the shares in the company must be held only by one or more of the State, a nominee of the State, a statutory corporation, a nominee of a statutory corporation, a State owned company or a nominee of a State owned company (SOEA s. 66).

Under SOEA s. 69, the principal objective of each State owned company is to perform its functions for the public benefit by operating its business and pursuing its undertaking as efficiently as possible consistent with prudent commercial practice and maximising its contribution to the economy and well being of the State.
state owned enterpriseIs a State business corporation or a State owned company or a State body.

SOEA s. 3
State Services AuthorityAuthority established by Division 1 of Part 4 of the PAA

Functions in Division 2 of Part 4 of the PAA
statement of corporate intentA corporate document first required of certain entities under the SOEA. They are now used more widely. They consist, in respect of the financial year to which one relates and for each of the two following financial years, the objectives of the corporation and of its subsidiaries; the main undertakings of the corporation and of its subsidiaries; the nature and scope of the activities to be undertaken by the corporation; the accounting policies to be applied in the accounts; the performance targets and other measures by which the performance of the corporation and of its subsidiaries may be judged in relation to their stated objectives; the kind of information to be provided to the Treasurer and the portfolio Minister by the corporation during the course of those financial years, including the information to be included in each half-yearly report; such other matters as may be agreed on by the Treasurer, the portfolio Minister and the Board from time to time.

SOEA s. 42
statutory corporationA body with its own legal identity created by legislation.
statutory instrumentAn instrument promulgated under legislation.
statutory officeAn office established by or under an Act to which the right to appoint is vested in the Governor in Council or a Minister.

PAA s. 4(1)
subordinate instrumentSee legislative instrument

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u

TermMeaning
unincorporated associationAn association or body which exists legally only through those who belong to the association. A partnership is an example of an unincorporated association.

See body corporate.

 

v

TermMeaning
VCATVictorian Civil and Administrative Tribunal
Victorian WorkCover AuthorityManages Victoria's workplace safety system. It promotes a culture of safety through public awareness programs, education and other communication activities.
VMIAVictorian Managed Insurance Authority
VMIA ActVictorian Managed Insurance Authority Act 1996

 

w

TermMeaning
whistleblowerAn individual who engages in an act of whistleblowing.
whistleblowingAn individual's act of disclosing in good faith to a public entity or to the Ombudsman the individual's belief that the public entity or an employee or Board member of the public entity has engaged in improper conduct.
WorkSafe VictoriaIs Victorian WorkCover Authority's prevention arm, aiming for significant reductions in workplace death, injury and disease.

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Last Updated: 03/16/2009.
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