Department of Home Affairs 2020-21 Annual Report

1 Annual Report2020 21 Annual Report2020 21ii2020 21 Annual Report Commonwealth of Australia 2021 With the exception of the Coat of Arms, the entity s logo, third party content and where otherwise stated, all material presented in this publication is provided under a Creative Commons Attribution Australian Licence. To the extent that copyright subsists in a third party, permission will be required by a third party to reuse the Commons Attribution Australia Licence is a standard form licence agreement that allows you to copy, distribute, transmit and adapt this publication provided that you attribute the details of the relevant licence conditions are available on the Creative Commons website, as is the full Creative Commons legal Commonwealth s preference is that you attribute this publication (and any material sourced from it) using the following wording: Commonwealth of Australia 2021, Department of Home Affairs , 2020 21 Annual used as supplied Provided you have not modified or transformed the material in any way (including, for example, by changing the text, calculating percentage changes, graphing or charting data, or deriving new statistics from published statistics), the Department prefers the following attribution:Source.

2 Department of Home of the Coat of ArmsThe terms under which the Coat of Arms can be used are detailed at: officerRequests for information about this Report should be directed to:Evaluation, Performance and Reporting Performance, Governance and Inquiries Department of Home Affairs PO Box 25, BELCONNEN, ACT 2616(02) 6264 1111 Online versions of the Annual Report are available on the Department s website at: ISSN 2209-2625 (print) ISSN 2209-2633 (online)P 21-02412 iii THE HOME Affairs PORTFOLIOThe Portfolio structure 30 June 2021 The Department of Home Affairs Secretary: Michael Pezzullo AO The Australian Border Force Commissioner: Michael Outram APM The Australian Transaction Reports and Analysis Centre Chief Executive Officer: Nicole Rose PSM The Australian Security Intelligence Organisation Director General of Security: Mike Burgess The Australian Federal Police Commissioner: Reece P. Kershaw APM The Australian Criminal Intelligence Commission Includes the Australian Institute of Criminology Chief Executive Officer: Michael Phelan APM The Office of the Special Investigator Director-General: Chris Moraitis PSM iv2020 21 Annual ReportTHE Department OF HOME Affairs AND AUSTRALIAN BORDER FORCEOur PurposesNational Security: Protect Australia from national security and criminal threats through effective national coordination, policy and strategy development, emergency management, and regional cooperation.

3 Prosperous and United: Support a prosperous and united Australia through effective coordination and delivery of immigration and social cohesion policies and and Customs Operations: Advance a prosperous and secure Australia through trade and travel facilitation and modernisation, and effective customs, immigration, maritime and enforcement activities across the border secure Australia that is prosperous, open and together with the trust of our partners and community to keep Australia safe and secure, and support a cohesive and united Australia open for global Role and functionsThe Department of Home Affairs (the Department ) is responsible for central coordination, and strategy and policy leadership, in relation to cyber and critical infrastructure resilience and security, immigration, border security and management, law enforcement and counter-terrorism, emergency management, the protection of our sovereignty, citizenship and social cohesion. The Australian Border Force (ABF) works domestically and internationally to secure Australia s air, maritime and land domains, and to identify, mitigate and respond to threats before they reach the physical Australian border.

4 The ABF s frontline officers play a crucial role in managing the movement of all goods across our borders, balancing the needs of facilitating legitimate trade while protecting Australia from illicit goods such as drugs, weapons and counterfeit products. The Department and the ABF work collaboratively to achieve sustainable joint outcomes across the border continuum, from immigration and the facilitation of legitimate trade and travel through to national and border security. vi2020 21 Annual ReportAuthorityThe Secretary of the Department , Michael Pezzullo AO, is the Accountable Authority for both the Department and the ABF under the Public Governance, Performance and Accountability Act 2013. The Commissioner of the ABF, Michael Outram APM, is a statutory appointee and leads the operational functions of the ABF. The approach, which is supported by legislative and administrative arrangements, encompasses the individual and joint responsibilities and accountabilities of the Secretary and the Commissioner of the environmentAs a global organisation, the Department and the ABF bring together 13,775 staff based in Australia and across 40 cities around the Department s operating environment is characterised by increasing complexity and volume and as a result of the ongoing impacts of COVID-19, requires us to continuously adapt our business model.

5 This heightened operating environment requires the Department and the ABF to pivot and respond to multi-faceted threats and risks, which has become the tempo of our normal course of business. The Department continues to assess and forecast changes to our operating environment to ensure we remain vigilant and responsive to emerging and ongoing threats and position ourselves for future StrategyThroughout 2020 21, the Department and the ABF continued to align its activities to the Department of Home Affairs 2020 21 Corporate Plan, Future Ready 2025 and the People Strategy 2025. These key strategy documents alongside the ABF s Realising our Full Potential, have guided our work, our resourcing and our operational posture. viii2020 21 Annual ReportREADER S GUIDEThis is the Annual Report from the Secretary of the Department of Home Affairs (the Department ) and the Commissioner of the Australian Border Force (ABF), and is presented to the Minister for Home Affairs for the financial year ending 30 June 2021.

6 The Annual Report also includes the Secretary s fraud certification as the Department s Accountable Authority. The Report presents the Department s and the ABF s performance for 2020 21, and has been prepared in accordance with the Department of Finance s Resource Management Guide No. 135 Annual Report for non-corporate Commonwealth entities, issued in April structurePart 1: OverviewPart 1 contains a review of the financial year by the Secretary of the Department and the Commissioner of the ABF. It demonstrates outcomes delivered throughout 2020 21 and highlights key developments, achievements and environmental 2: Annual Performance StatementPart 2 supports the Enhanced Commonwealth Performance Framework by summarising the Department s performance as set out in the Department of Home Affairs 2020 21 Corporate Plan and 2020 21 Portfolio Budget Statements. It also acquits performance against the 2020 21 Portfolio Additional Estimates Parts 3 and 4: Report on financial performance and financial statementsParts 3 and 4 contain discussion and analysis of the Department s financial performance, including the audited financial statements and a Report by the 5: Management and accountabilityPart 5 encompasses the governance framework, fraud and risk management arrangements, human resources, procurement initiatives and purchasing practices.

7 Part 5 also includes relevant information on external scrutiny, workforce planning, workplace health and safety, client services, advertising and market research, ecologically sustainable development and environmental performance, grants programs and consultancy and non-consultancy contracts. Part 6: AppendicesPart 6 provides supplementary information, including material errors from the Department of Home Affairs 2019 20 Annual Report , tables relating to the Report on financial performance, and information on legal services 7: Reference materialPart 7 contains the abbreviations, glossary of key terms, alphabetical index and the compliance index, which includes the list of requirements under the Public Governance, Performance and Accountability Rule 2014. x2020 21 Annual ReportLETTER OF TRANSMITTALThe Hon Karen Andrews MP Minister for Home Affairs Parliament House Canberra ACT 2600 The Hon Bridget McKenzie MP Minister for Agriculture, Drought and Emergency Management Parliament House Canberra Act 2600 The Hon Alex Hawke MP Acting Minister for Immigration, Citizenship, Migrant Services and Multicultural Affairs Parliament House Canberra Act 2600 The Hon Jason Wood MP Assistant Minister for Customs, Community Safety and Multicultural Affairs Parliament House Canberra Act 2600 Dear Ministers,I am pleased to present the Department of Home Affairs Annual Report 2020 21 for the reporting period ending 30 June 2020, as required by subsection 46(1) of the Public Governance, Performance and Accountability Act 2013.

8 The Report has been prepared pursuant to the requirements for Annual reports approved by the Joint Committee of Public Accounts and Audit, and as prescribed in the Public Governance, Performance and Accountability Rule 2014 (the Rule). I, the Secretary, as the accountable authority, certify that the Department has prepared fraud and corruption risk assessments and a fraud and corruption control plan that comply with the requirements of Section 10 of the Rule. The Department and the ABF have fraud prevention, detection, investigation, reporting and data collection procedures and processes in place that align with the requirements of the Commonwealth Fraud Control Framework 2017. I have taken all reasonable measures to minimise the incidence of fraud within the Department and the ABF, and to investigate and recover the proceeds of fraud against the sincerelyMichael Pezzullo AO Secretary, Department of Home Affairs 7 September 2021xi LETTER OF ENDORSEMENTThe Hon Karen Andrews MP Minister for Home Affairs Parliament House Canberra ACT 2600 The Hon Bridget McKenzie MP Minister for Agriculture, Drought and Emergency Management Parliament House Canberra Act 2600 The Hon Alex Hawke MP Acting Minister for Immigration, Citizenship, Migrant Services and Multicultural Affairs Parliament House Canberra Act 2600 The Hon Jason Wood MP Assistant Minister for Customs, Community Safety and Multicultural Affairs Parliament House Canberra Act 2600 Dear Ministers.

9 I am pleased to endorse the Department of Home Affairs Annual Report 2020 21 as an appropriate an accurate representation of the Australian Border Force s contribution to the performance of the Department of Home Affairs for the reporting period ending 30 June 2020. As an independent statutory office holder with operational control of the Australian Border Force, I have supported the Secretary of the Department of Home Affairs in complying with the requirement of section 10 of the Public Governance, Performance and Accountability Rule 2014 relating to fraud and corruption. Within the Australian Border Force, we continue to implement fraud prevention, detection, investigation, reporting and data collection procedures and processes that align with the requirements of the Commonwealth Fraud Control Framework 2017. I commend to you the Department of Home Affairs Annual Report 2020 sincerelyMichael Outram, APM Commissioner, Australian Border Force 16 September 2021xii2020 21 Annual ReportCONTENTSThe Home Affairs Portfolio iiiThe Department of Home Affairs and Australian Border Force ivReader s Guide viiiLetter of Transmittal xLetter of Endorsement xiPart 1: Overview 1 About the Portfolio 2 About the Department 4 Secretary s Review 13 About the Australian Border Force 19 Commissioner s Review 24 Part 2: Annual Performance Statement 33 Statement by the Accountable Authority 34 Purpose 1: National Security 37 Purpose 2: Prosperous and United Society 81 Purpose 3: Border and Customs Operations 118 Part 3: Report on Financial Performance 159xiii Part 4: Financial Statements 163 Independent Auditor s Report 164 Statement by the Secretary and Chief Finance Officer 168 Financial Statements 169 Notes to and Forming Part of the Financial Statements 180 Part 5.

10 Management and Accountability 237 Enterprise Governance 238 External Scrutiny 252 Client Service 264 Human Resource Management 270 Work Health and Safety 284 Procurement, Assets and Grants 289 Ecologically Sustainable Development and Environmental Performance 296 Part 6: Appendices 299 Appendix A: Correction of Material Errors 300 Appendix B: Report on Financial Performance 301 Appendix C: Workforce Profile 309 Appendix D: Salary and Classification Rates 320 Appendix E: Legal Services Expenditure 326 Appendix F: Administration of the Office of the Migration Agents Registration Authority 327 Appendix G: Information Publication Scheme 330 Appendix H: AusCheck Branch Reporting 331 Appendix I: Security of Critical Infrastructure ACT 2018 2020 21 Annual Report 332 Appendix J: Telecommunications Sector Security Reforms 2020 21 Annual Report 338 Part 7: Reference Material 349 Abbreviations and Acronyms 350 Glossary 353 PGPA Rule List of Requirements 356 Index 363xiv2020 21 Annual ReportFiguresFigure 1: The Department at a glance 5 Figure 2: The ABF at a glance 20 Figure 3: Office and post locations 29 Figure 4: Department of Home Affairs Enterprise Governance Arrangements, as at 30 June 2021 239 Figure 5: ABF governance arrangements 242 Figure 6: Audit and Risk Committee details 245xv TablesTable 1: Department organisational structure 6 Table 2: Australian Border Force organisational structure 21 Table 3: Performance against metrics by category and purpose 35 Table 4: Outcome, program and purpose structure 36 Table 5: Purpose 1 Performance framework 37 Table 6.