Commonwealth Numbered Regulations - Explanatory Statements

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FINANCIAL FRAMEWORK (SUPPLEMENTARY POWERS) AMENDMENT (2015 MEASURES NO. 8) REGULATION 2015 (SLI NO 149 OF 2015)

EXPLANATORY STATEMENT

 

Select Legislative Instrument No. 149, 2015

 

Issued by the Authority of the Minister for Finance

 

Financial Framework (Supplementary Powers) Act 1997

 

Financial Framework (Supplementary Powers) Amendment

(2015 Measures No. 8) Regulation 2015

 

The Financial Framework (Supplementary Powers) Act 1997 (the FF(SP) Act) confers on the Commonwealth Government (the Commonwealth), in certain circumstances, powers to: make arrangements under which money can be spent; or to make grants of financial assistance; and to form, or otherwise be involved in, companies.  The arrangements, grants, programmes and companies (or classes of arrangements or grants in relation to which the powers are conferred) are specified in the Financial Framework (Supplementary Powers) Regulations 1997 (the Principal Regulations).  The FF(SP) Act applies to Ministers and the accountable authorities of non-corporate Commonwealth entities, as defined under section 12 of the Public Governance, Performance and Accountability Act 2013

 

Section 65 of the FF(SP) Act provides that the Governor-General may make regulations prescribing matters required or permitted by that Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to that Act.

 

Section 32B of the FF(SP) Act authorises the Commonwealth to make, vary and administer arrangements and grants specified in the Principal Regulations.  Section 32B also authorises the Commonwealth to make, vary and administer arrangements for the purposes of programmes specified in the Principal Regulations.  Schedule 1AA and Schedule 1AB to the Principal Regulations specify the arrangements, grants and programmes. 

 

Schedule 1 to the Regulation amends Schedule 1AB to the Principal Regulations to establish legislative authority for spending by the Commonwealth for:

         the Australian Children's Music Foundation to assist the Foundation to improve equity of access to, and participation and engagement in, music education by Australian students in schools with a significant proportion of disadvantaged students, schools with a significant proportion of Aboriginal and Torres Strait Islander students, and juvenile justice centres (Education and Training portfolio); and

         the Schools Pathways Programme which aims to raise students' awareness of possible career opportunities and knowledge of defence industry pathways whilst increasing the number of high school students undertaking science, technology, engineering and mathematics subjects in participating schools (Defence portfolio).

 

Details of the Regulation are set out at Attachment A.  A Statement of Compatibility with Human Rights is at Attachment B

 

The Regulation is a legislative instrument for the purposes of the Legislative Instruments Act 2003. 

 

The Regulation commences on the day after registration on the Federal Register of Legislative Instruments. 

 

Consultation

 

In accordance with section 17 of the Legislative Instruments Act 2003, consultation has taken place with the Department of Defence and the Department of Education and Training.

 

A regulation impact statement is not required as the Regulation only applies to non-corporate Commonwealth entities and does not adversely affect the private sector. 

 

 


Details of the Financial Framework (Supplementary Powers) Amendment (2015 Measures No. 8) Regulation 2015

 

Section 1 - Name

 

This section provides that the title of the Regulation is the Financial Framework (Supplementary Powers) Amendment (2015 Measures No. 8) Regulation 2015.

 

Section 2 - Commencement

 

This section provides that the Regulation commences on the day after it is registered on the Federal Register of Legislative Instruments. 

 

Section 3 - Authority

 

This section provides that the Regulation is made under the Financial Framework (Supplementary Powers) Act 1997.

 

Section 4 - Schedules

 

This section provides that the Financial Framework (Supplementary Powers) Regulations 1997 are amended as set out in the Schedules to the Regulation.

 

Schedule 1 - Amendments

 

Item 1 - Part 3 of Schedule 1AB (at the end of the table)

 

This item adds new table item 8 to Part 3 of Schedule 1AB to establish legislative authority for the Commonwealth to provide funding to the Australian Children's Music Foundation (the ACMF).  This funding will be administered by the Department of Education and Training.

 

The funding will be provided to assist the ACMF to improve access to, and participation and engagement in, music education by Australian students in schools with a significant proportion of disadvantaged students, schools with a significant proportion of Aboriginal and Torres Strait Islander students, and juvenile justice centres.  The ACMF is a not-for-profit company incorporated under the Corporations Act 2001 and is registered with the Australian Charities and Not-for-profits Commission.  The ACMF provides music education programmes and instruments to disadvantaged, and Aboriginal and Torres Strait Islander school students across Australia.  The funding will improve access, participation and engagement by supporting and expanding on the ACMF's existing programmes.

 

Funding to the ACMF will be provided in accordance with the Commonwealth Grants Rules and Guidelines, the Department of Education and Training's Secretary Instructions and delegations on the expenditure of relevant monies as required by the Public Governance, Performance and Accountability Act 2013.  The decision-maker for the funding will be the Minister for Education and Training.

 

Given the targeted, non-competitive, nature of the funding to be provided for the ACMF, merits review is not applicable.

 

Funding will come from the Quality Outcomes Sub-programme, which is part of
Programme 1.3: Early Learning and Schools Support which comes under Outcome 1.  The Quality Outcomes Sub-programme is described in the Portfolio Budget Statements 2015-16, Budget Related Paper No. 1.5, Education and Training Portfolio at pages 28 to 32.

 

Noting that it is not a comprehensive statement of relevant constitutional considerations,
the purpose of the item references the following powers of the Constitution:

*         the external affairs power (section 51(xxix));

*         the races power (section 51(xxvi));

*         the social welfare power (section 51(xxiiiA)); and

*         the Territories power (section 122).

 

Item 2 - Part 4 of Schedule 1AB (at the end of the table)

 

This item adds a new table item 107 to Part 4 of Schedule 1AB to establish legislative authority for government spending on the Schools Pathways Programme, which will be administered by the Department of Defence (Defence).

 

The Schools Pathways Programme aims to raise students' awareness of possible career opportunities and knowledge of defence industry pathways whilst increasing the number of high school students undertaking science, technology, engineering and mathematics subjects in participating schools.

 

The objectives of the Schools Pathways Programme are to provide linkages and enhance work and career pathways into the Australian defence industry and to address specific skills gaps in Australian defence industry capability.  The programme will expand the pool of potential workers from which the Australian defence industry can recruit, including by supporting studies, experiences and educational endeavours in science, technology, engineering and mathematics for students.

 

To achieve these objectives, the programme will fund grants that support the development or continuation of an educational programme that encourages the uptake of science, technology, engineering and mathematics subjects and promotes the opportunity of possible career pathways into Defence and the defence industry sector.  These education programmes will achieve this by:

a)      raising awareness of, and promoting, the opportunities and employment pathways in schools for school leavers into Defence and the defence industry;

b)      engaging with the defence industry to create practical educational experiences for students.

 

Grant guidelines, application details and eligibility criteria will be publicly available on the Department of Defence website (www.defence.gov.au).  Reporting will be in accordance with the Commonwealth Grants Rules and Guidelines.

 

The decision-maker for the programme will be the Minister for Defence or an authorised delegate.  All grants will be undertaken in accordance with relevant legislation and policies, including the Public Governance, Performance and Accountability Act 2013 and the Commonwealth Grants Rules and Guidelines.

 

The nature of the funding under this programme will be targeted and ad-hoc, and an appeals and review process will be outlined in the grant guidelines.

 

Funding will come from the Industry Skilling Program Enhancement (ISPE) Programme's Sub-activity for the Schools Pathways Programme.  This programme comes under Programme 1.3: Provision of Policy Advice and Management Services of the Defence Materiel Organisation.  ISPE is part of the Defence Industry Policy Statement 2010.  Funding details for grants, including for ISPE, are set out in Table 98: Approved Grants for 2015-16, at page 207 of the Portfolio Budget Statements 2015-16, Budget Related Paper No. 1.14A, Defence Portfolio.  From 1 July 2015, the Defence Materiel Organisation, formerly a listed entity within Defence, became part of Defence.

 

Noting that it is not a comprehensive statement of relevant constitutional considerations, the objective of the item references the following powers of the Constitution:

*         the defence power (section 51(vi));

*         the social welfare power (section 51(xxiiiA)); and

*         the external affairs power (section 51(xxix)).


Statement of Compatibility with Human Rights

 

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Financial Framework (Supplementary Powers) Amendment (2015 Measures No. 8) Regulation 2015

 

This Regulation is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

Overview of the Legislative Instrument

 

Section 32B of the Financial Framework (Supplementary Powers) Act 1997 (the FF(SP) Act) authorises the Commonwealth Government (the Commonwealth) to make, vary and administer arrangements and grants specified in the Financial Framework (Supplementary Powers) Regulations 1997 (the FF(SP) Regulations) and to make, vary and administer arrangements and grants for the purposes of programmes specified in the Regulations.  Schedule 1AA and Schedule 1AB to the FF(SP) Regulations specify the arrangements, grants and programmes.  The FF(SP) Act applies to Ministers and the accountable authorities of non-corporate Commonwealth entities, as defined under section 12 of the Public Governance, Performance and Accountability Act 2013

 

The Regulation amends Schedule 1AB to the FF(SP) Regulations to establish legislative authority for spending by the Commonwealth for:

         the Australian Children's Music Foundation to assist the Foundation to improve equity of access to, and participation and engagement in, music education by Australian students in schools with a significant proportion of disadvantaged students, schools with a significant proportion of Aboriginal and Torres Strait Islander students, and juvenile justice centres (Education and Training portfolio); and

         the Schools Pathways Programme which aims to raise students' awareness of possible career opportunities and knowledge of defence industry pathways whilst increasing the number of high school students undertaking science, technology, engineering and mathematics subjects in participating schools (Defence portfolio).

 

The items specified in Schedule 1AB are the responsibility of the relevant Ministers who have portfolio responsibility for the matters.

 

Human rights implications

 

The Regulation does not engage any of the applicable rights or freedoms.

 

Conclusion

 

This Regulation is compatible with human rights as it does not raise any human rights issues.

 

 

Senator the Hon Mathias Cormann

Minister for Finance


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