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Authority and Automation in Public-Sector Payments
Why eligibility logic does not equal permission to disburse
Public-sector payment systems operate under strict statutory authority, delegated decision rights, and defined accountability. When funds are disbursed incorrectly, harm occurs immediately and trust erosion follows. In this context, action is permitted only when authority is explicitly resolved at the point of execution.
This context explains why automation and eligibility logic must remain subordinate to explicit mandate in government benefit and disbursement systems.
Similar structural risk arises in AI-assisted documentation workflows. Once narrative material is generated without resolved authority conditions, later escalation does not retroactively alter its governance classification. Architectural control must attach at the moment of formation.
Operating reality
Public-sector payment systems typically involve:
- large beneficiary populations
- recurring and high-volume disbursements
- statutory eligibility conditions
- limited tolerance for error
Once funds are released:
- recovery is slow or impossible
- harm is social, not just financial
- accountability is public and political
As a result, authority to act must be established before disbursement.
Structure vs mandate
Modern public-sector systems use:
- eligibility rules
- income and status verification
- risk and anomaly detection
- optimisation for timeliness and efficiency
These mechanisms generate structural determinations, not permission.
Eligibility or confidence scoring does not, by itself, authorise payment, suspension, or recovery.
Authority boundary
Authority to disburse public funds is defined by:
- legislation and regulations
- delegated decision rights
- approved operational processes
- accountable officials and agencies
Automation may support these processes, but it does not replace statutory authority.
When this boundary is blurred, failure modes include:
- wrongful payments
- unlawful suspensions
- hardship and reputational damage
- post-hoc reviews that cannot undo impact
Why post-hoc review is insufficient
In public-sector payments:
- audit does not prevent harm
- explanation does not restore trust
- review does not negate consequences
Correctness must be enforced before action, not reconstructed afterward.
This distinguishes legitimate automation from unsafe delegation.
SCIA alignment
In SCIA terms:
- legislation and policy define the FIELD
- eligibility models and rules are EMBEDDINGS
- program stability reflects COHERENCE
- statutory delegation defines AUTHORITY
- disbursement or suspension is ACTION
SCIA exists to prevent authority, structure, and action from collapsing under automation pressure.
Related contexts
- Authority Before Action as a Structural Constraint
- Ontology vs Embedding — Why structure does not imply authority
- SCIA in the National Electricity Market
- Authority and Automation in Real-Time Payments
Governance Context
Arqua's work in this domain reflects engagement with governance questions around execution authority and AI-mediated action in high-consequence systems, where legitimacy must be established before action occurs.
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