FINANCIAL FRAMEWORK LEGISLATION AMENDMENT BILL (NO. 2) 2013

2010-2011-2012-2013

The Parliament of the

Commonwealth of Australia

HOUSE OF REPRESENTATIVES

Presented and read a first time

Financial Framework Legislation

Amendment Bill (No. 2) 2013

No. , 2013

(Finance and Deregulation)

A Bill for an Act to amend the law relating to

finance, and for other purposes

i Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Contents

Short title ........................................................................................... 1

Commencement ................................................................................. 1

Schedule(s) ........................................................................................ 2

Schedule 1--Amendments of Acts

Part 1--Commonwealth companies

Administrative Decisions (Judicial Review) Act 1977

Financial Management and Accountability Act 1997

Part 2--Australian Government Disaster Recovery Payments

Social Security Act 1991

Part 3--Judges' pensions

Judges' Pensions Act 1968

Part 4--Remuneration Tribunal

Remuneration Tribunal Act 1973

Schedule 2--Amendments of regulations

Financial Management and Accountability Regulations 1997

Schedule 3--Loss relief relating to the transfer of assets from

the MSB Fund to the ARIA Investments Trust

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 1

A Bill for an Act to amend the law relating to

finance, and for other purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Financial Framework Legislation

Amendment Act (No. 2) 2013.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

2 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day this Act receives the Royal Assent.

2. Schedule 1,

Parts 1 and 2

The day after this Act receives the Royal

Assent.

3. Schedule 1,

Part 3

The later of:

(a) the day after this Act receives the Royal

Assent; and

(b) the day Schedule 1 to the Judges and

Governors-General Legislation

Amendment (Family Law) Act 2012

commences.

4. Schedule 1,

Part 4

The day after this Act receives the Royal

Assent.

5. Schedules 2

and 3

The day after this Act receives the Royal

Assent.

Note:

This table relates only to the provisions of this Act as originally

enacted. It will not be amended to deal with any later amendments of

this Act.

(2) Any information in column 3 of the table is not part of this Act.

Information may be inserted in this column, or information in it

may be edited, in any published version of this Act.

3 Schedule(s)

(1) Each Act, and each set of regulations, that is specified in a

Schedule to this Act is amended or repealed as set out in the

applicable items in the Schedule concerned, and any other item in a

Schedule to this Act has effect according to its terms.

(2) The amendment of any regulation under subsection (1) does not

prevent the regulation, as so amended, from being amended or

repealed by the Governor-General.

Amendments of Acts Schedule 1

Commonwealth companies Part 1

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 3

Schedule 1

Amendments of Acts

Part 1

Commonwealth companies

Administrative Decisions (Judicial Review) Act 1977

1 After paragraph (he) of Schedule 1

Insert:

(hea) decisions under section 39B of the Financial Management

and Accountability Act 1997;

Financial Management and Accountability Act 1997

2 At the end of Part 5

Add:

39B Supplementary powers to form companies etc.

Formation of company etc.

(1) If:

(a) apart from this subsection, the Commonwealth does not have

power to:

(i) form a company; or

(ii) participate in the formation of a company; and

(b) if the company were to come into existence, the company

would be a company:

(i) that is specified in the regulations; and

(ii) whose objects or proposed activities are specified in the

regulations;

the Commonwealth has power to:

(d) participate in the formation of the company;

as the case may be.

Acquisition of shares in company etc.

(2) If:

Schedule 1 Amendments of Acts

Part 1 Commonwealth companies

4 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(a) apart from this subsection, the Commonwealth does not have

power to:

(i) acquire shares in a company; or

(ii) become a member of a company;

in circumstances that would result in the company becoming

a Commonwealth company; and

(b) both:

(i) the company is specified in the regulations; and

(ii) the company's objects or proposed activities are

specified in the regulations;

the Commonwealth has power to:

(d) become a member of the company;

as the case may be, in circumstances that would result in the

company becoming a Commonwealth company.

Finance Minister's power

(3) A power conferred on the Commonwealth by subsection (1) or (2)

may be exercised on behalf of the Commonwealth by the Finance

Minister.

Note:

For delegation by the Finance Minister, see section 62.

Executive power of the Commonwealth

(4) This section does not, by implication, limit the executive power of

the Commonwealth.

Definitions

(5) In this section:

acquire includes acquire by subscription.

Commonwealth company has the same meaning as in the

Commonwealth Authorities and Companies Act 1997.

3 At the end of section 62

Add:

Amendments of Acts Schedule 1

Commonwealth companies Part 1

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 5

(3) The Finance Minister must not delegate any of the Finance

Minister's powers under section 39B to an official unless the

official is a Chief Executive.

4 Transitional

pre-commencement formation of companies

etc.

(1)

This item applies to action taken, or purportedly taken, by the

Commonwealth before the commencement of this item if, assuming

that:

(a) both:

(i) section 39B of the Financial Management and

Accountability Act 1997 as amended by this Schedule;

and

(ii) the amendments of the Financial Management and

Accountability Regulations 1997 made by Schedule 2 to

this Act;

had been in force when the action was taken or purportedly

taken; and

(b) if the name of a company changed after the action was taken

or purportedly taken--a reference in Schedule 1B to the

Financial Management and Accountability Regulations 1997

to the company under its new name were read as a reference

to the company under its former name;

the action would have been authorised by subsection 39B(1) or (2) of

the Financial Management and Accountability Act 1997 as amended by

this Schedule.

(2)

The action has, and is taken to have had, effect, after the

commencement of this item, as if it had been taken under

subsection 39B(1) or (2), as the case may be, of the Financial

Management and Accountability Act 1997 as amended by this Schedule.

Schedule 1 Amendments of Acts

Part 2 Australian Government Disaster Recovery Payments

6 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Part 2

Australian Government Disaster Recovery

Payments

Social Security Act 1991

5 At the end of Part 2.24

Add:

Division 3--Recoverable payments etc.

1061PAAA Recoverable payments

(1) If, apart from this subsection, the Commonwealth does not have

power under the social security law to pay an amount (the relevant

amount) to a person (the recipient) purportedly as an Australian

Government Disaster Recovery Payment, then the Commonwealth

may pay the relevant amount to the recipient.

Recovery

(2) If a payment is made under subsection (1) to the recipient, the

relevant amount:

(a) is a debt due to the Commonwealth by the recipient; and

(b) may be recovered by the Secretary, on behalf of the

Commonwealth, in a court of competent jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

1061PAAB Recoverable death payments

(1) If, apart from this subsection, the Commonwealth does not have

power under the social security law to pay an amount (the relevant

amount) in any of the following circumstances:

(a) the relevant amount is deposited to an account kept in the

name of a deceased person;

(b) the relevant amount is deposited to an account kept in the

names of a deceased person and another person;

deceased person;

Amendments of Acts Schedule 1

Australian Government Disaster Recovery Payments Part 2

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 7

the Commonwealth may pay the relevant amount in the

circumstances mentioned in paragraph (a), (b) or (c), so long as:

(d) on the last day on which changes could reasonably be made

to the payment of the relevant amount, no Department

official knew that the deceased person had died; and

(e) apart from this subsection, the relevant amount would have

been payable as an Australian Government Disaster

Recovery Payment to the deceased person if the deceased

person had not died.

Note:

For Department official, see section 1061PAAE.

(2) If a payment is made under subsection (1), the relevant amount is

taken to have been paid to the deceased person's estate.

Recovery

(3) If a payment is made under subsection (1), the relevant amount:

(a) is a debt due to the Commonwealth by the legal personal

representative of the deceased person; and

(b) may be recovered by the Secretary, on behalf of the

Commonwealth, in a court of competent jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

1061PAAC Reports about recoverable payments and recoverable

death payments

(1) During the applicable publication period for a reporting period, the

Secretary must cause to be published, in such manner as the

Secretary thinks fit, a report that sets out:

(a) both:

(i) the number of payments made under

subsection 1061PAAA(1) during the reporting period;

and

(ii) the total amount of those payments; and

(b) both:

(i) the number of payments made under

subsection 1061PAAB(1) during the reporting period;

and

(ii) the total amount of those payments.

Schedule 1 Amendments of Acts

Part 2 Australian Government Disaster Recovery Payments

8 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(2) However, a report is not required if:

(a) the number mentioned in subparagraph (1)(a)(i) is zero; and

(b) the number mentioned in subparagraph (1)(b)(i) is zero.

Deferred reporting

(3) Paragraph (1)(a) of this section does not require a report to deal

with a payment unless, before the preparation of the report, a

Department official was aware the payment was made under

subsection 1061PAAA(1).

Note:

For Department official, see section 1061PAAE.

(4) Paragraph (1)(b) of this section does not require a report to deal

with a payment unless, before the preparation of the report, a

Department official was aware the payment was made under

subsection 1061PAAB(1).

Note:

For Department official, see section 1061PAAE.

(5) For the purposes of this section, if:

(a) a payment was made under subsection 1061PAAA(1) or

1061PAAB(1) in a reporting period; and

(b) either:

(i) because of subsection (3) of this section,

paragraph (1)(a) of this section did not require a report

to deal with the payment; or

(ii) because of subsection (4) of this section,

paragraph (1)(b) of this section did not require a report

to deal with the payment; and

becomes aware that the payment was made under

subsection 1061PAAA(1) or 1061PAAB(1), as the case may

be;

the payment is subject to a deferred reporting obligation in

relation to the later reporting period.

Note:

For Department official, see section 1061PAAE.

(6) If one or more payments made under subsection 1061PAAA(1)

during a reporting period are subject to a deferred reporting

obligation in relation to a later reporting period, the Secretary must,

during the applicable publication period for the later reporting

period:

Amendments of Acts Schedule 1

Australian Government Disaster Recovery Payments Part 2

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 9

(a) prepare a report that sets out:

(i) the number of those payments; and

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Secretary thinks fit, the paragraph (a) report.

(7) If one or more payments made under subsection 1061PAAB(1)

during a reporting period are subject to a deferred reporting

obligation in relation to a later reporting period, the Secretary must,

during the applicable publication period for the later reporting

period:

(a) prepare a report that sets out:

(i) the number of those payments; and

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Secretary thinks fit, the paragraph (a) report.

Reporting period

(8) For the purposes of this section, a reporting period is:

(a) a financial year; or

(b) if a shorter recurring period is prescribed in an instrument

under subsection (9)--that period.

(9) The Minister may, by legislative instrument, prescribe a recurring

period for the purposes of paragraph (8)(b).

Applicable publication period

(10) For the purposes of this section, the applicable publication period

for a reporting period is the period of:

Schedule 1 Amendments of Acts

Part 2 Australian Government Disaster Recovery Payments

10 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(a) 4 months; or

(b) if a lesser number of months is prescribed, in relation to the

reporting period, in an instrument under subsection (11)--

that number of months;

beginning immediately after the end of the reporting period.

(11) The Minister may, by legislative instrument, prescribe a number of

months, in relation to a reporting period, for the purposes of

paragraph (10)(b).

1061PAAD Review of decisions

Part 4 of the Social Security (Administration) Act 1999 does not

apply to a decision under this Division.

1061PAAE Department official

For the purposes of this Division, Department official means an

official (within the meaning of the Financial Management and

Accountability Act 1997):

(a) who:

(i) is in the Department or is part of the Department; or

(ii) is a Departmental employee (within the meaning of the

Human Services (Centrelink) Act 1997); and

(b) whose duties consist of, or include, matters relating to

Australian Government Disaster Recovery Payments.

Amendments of Acts Schedule 1

Judges' pensions Part 3

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 11

Part 3

--Judges' pensions

Judges' Pensions Act 1968

6 After section 20

Insert:

20A Recoverable payments

(1) If, apart from this subsection, the Commonwealth does not have

power under this Act to pay an amount (the relevant amount) to a

person (the recipient) purportedly as a benefit, then the

Commonwealth may pay the relevant amount to the recipient.

Recovery

(2) If a payment is made under subsection (1) to the recipient, the

relevant amount:

(a) is a debt due to the Commonwealth by the recipient; and

(b) may be recovered by the Secretary of the Department, on

behalf of the Commonwealth, in a court of competent

jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

Appropriation

(3) For the purposes of subsection 12A(5), if a payment under

subsection (1) of this section relates to a benefit under

subsection 12A(2), the payment is taken to be a benefit under

subsection 12A(2).

(4) For the purposes of section 14 (other than paragraph (a) of that

section), if a payment under subsection (1) of this section relates to

a pension under this Act, the payment is taken to be a pension

under this Act.

(5) For the purposes of subsection 17AB(7), if a payment under

subsection (1) of this section relates to an amount under

subsection 17AB(6), the payment is taken to be an amount under

subsection 17AB(6).

Schedule 1 Amendments of Acts

Part 3 Judges' pensions

12 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Benefit

(6) For the purposes of this section, benefit means:

(a) a pension under this Act; or

(b) a benefit under subsection 12A(2); or

20B Recoverable death payments

(1) If, apart from this subsection, the Commonwealth does not have

power under this Act to pay an amount (the relevant amount) in

any of the following circumstances:

(a) the relevant amount is deposited to an account kept in the

name of a deceased person;

(b) the relevant amount is deposited to an account kept in the

names of a deceased person and another person;

deceased person;

the Commonwealth may pay the relevant amount in the

circumstances mentioned in paragraph (a), (b) or (c), so long as:

(d) on the last day on which changes could reasonably be made

to the payment of the relevant amount, the Secretary of the

Department did not know that the deceased person had died;

and

(e) apart from this subsection, the relevant amount would have

been payable as a benefit to the deceased person if the

deceased person had not died.

(2) If a payment is made under subsection (1), the relevant amount is

taken to have been paid to the deceased person's estate.

Recovery

(3) If a payment is made under subsection (1), the relevant amount:

(a) is a debt due to the Commonwealth by the legal personal

representative of the deceased person; and

(b) may be recovered by the Secretary of the Department, on

behalf of the Commonwealth, in a court of competent

jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

Amendments of Acts Schedule 1

Judges' pensions Part 3

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 13

Appropriation

(4) For the purposes of subsection 12A(5), if a payment under

subsection (1) of this section relates to a benefit under

subsection 12A(2), the payment is taken to be a benefit under

subsection 12A(2).

(5) For the purposes of section 14 (other than paragraph (a) of that

section), if a payment under subsection (1) of this section relates to

a pension under this Act, the payment is taken to be a pension

under this Act.

(6) For the purposes of subsection 17AB(7), if a payment under

subsection (1) of this section relates to an amount under

subsection 17AB(6), the payment is taken to be an amount under

subsection 17AB(6).

Benefit

(7) For the purposes of this section, benefit means:

(a) a pension under this Act; or

(b) a benefit under subsection 12A(2); or

20C Reports about recoverable payments and recoverable death

payments

(1) During the applicable publication period for a reporting period, the

Secretary of the Department must cause to be published, in such

manner as the Secretary of the Department thinks fit, a report that

sets out:

(a) both:

(i) the number of payments made under subsection 20A(1)

during the reporting period; and

(ii) the total amount of those payments; and

(b) both:

(i) the number of payments made under subsection 20B(1)

during the reporting period; and

(ii) the total amount of those payments.

(2) However, a report is not required if:

(a) the number mentioned in subparagraph (1)(a)(i) is zero; and

Schedule 1 Amendments of Acts

Part 3 Judges' pensions

14 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(b) the number mentioned in subparagraph (1)(b)(i) is zero.

Deferred reporting

(3) Paragraph (1)(a) of this section does not require a report to deal

with a payment unless, before the preparation of the report, a

designated Department official was aware the payment was made

under subsection 20A(1).

(4) Paragraph (1)(b) of this section does not require a report to deal

with a payment unless, before the preparation of the report, a

designated Department official was aware the payment was made

under subsection 20B(1).

(5) For the purposes of this section, if:

(a) a payment was made under subsection 20A(1) or 20B(1) in a

reporting period; and

(b) either:

(i) because of subsection (3) of this section,

paragraph (1)(a) of this section did not require a report

to deal with the payment; or

(ii) because of subsection (4) of this section,

paragraph (1)(b) of this section did not require a report

to deal with the payment; and

official becomes aware that the payment was made under

subsection 20A(1) or 20B(1), as the case may be;

the payment is subject to a deferred reporting obligation in

relation to the later reporting period.

(6) If one or more payments made under subsection 20A(1) during a

reporting period are subject to a deferred reporting obligation in

relation to a later reporting period, the Secretary of the Department

must, during the applicable publication period for the later

reporting period:

(a) prepare a report that sets out:

(i) the number of those payments; and

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

Amendments of Acts Schedule 1

Judges' pensions Part 3

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 15

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Secretary of the Department thinks fit, the paragraph (a)

report.

(7) If one or more payments made under subsection 20B(1) during a

reporting period are subject to a deferred reporting obligation in

relation to a later reporting period, the Secretary of the Department

must, during the applicable publication period for the later

reporting period:

(a) prepare a report that sets out:

(i) the number of those payments; and

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Secretary of the Department thinks fit, the paragraph (a)

report.

Reporting period

(8) For the purposes of this section, a reporting period is:

(a) a financial year; or

(b) if a shorter recurring period is prescribed in an instrument

under subsection (9)--that period.

(9) The Minister may, by legislative instrument, prescribe a recurring

period for the purposes of paragraph (8)(b).

Applicable publication period

(10) For the purposes of this section, the applicable publication period

for a reporting period is the period of:

(a) 4 months; or

Schedule 1 Amendments of Acts

Part 3 Judges' pensions

16 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(b) if a lesser number of months is prescribed, in relation to the

reporting period, in an instrument under subsection (11)--

that number of months;

beginning immediately after the end of the reporting period.

(11) The Minister may, by legislative instrument, prescribe a number of

months, in relation to a reporting period, for the purposes of

paragraph (10)(b).

Designated Department official

(12) For the purposes of this section, designated Department official

means an official (within the meaning of the Financial

Management and Accountability Act 1997) who is in the

Department or is part of the Department.

Amendments of Acts Schedule 1

Remuneration Tribunal Part 4

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 17

Part 4

Remuneration Tribunal

Remuneration Tribunal Act 1973

7 Before section 17

Insert:

16A Recoverable payments

(1) If, apart from this subsection, the Commonwealth does not have

power under this Act to pay an amount (the relevant amount) to a

person (the recipient) purportedly as a benefit, then the

Commonwealth may pay the relevant amount to the recipient.

Recovery

(2) If a payment is made under subsection (1) to the recipient, the

relevant amount:

(a) is a debt due to the Commonwealth by the recipient; and

(b) may be recovered by the Chief Executive (as determined

under the Financial Management and Accountability Act

1997) of the relevant agency, on behalf of the

Commonwealth, in a court of competent jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

(3) If:

(a) a payment is made under subsection (1) to the recipient; and

(b) the recipient is receiving, or is entitled to receive, a benefit;

then:

(d) such part of the relevant amount as the Chief Executive (as

determined under the Financial Management and

Accountability Act 1997) of the relevant agency determines;

may, if the Chief Executive so directs, be recovered by deduction

from that benefit, unless the recipient is a Justice or Judge of a

federal court.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

Schedule 1 Amendments of Acts

Part 4 Remuneration Tribunal

18 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Appropriation

(4) For the purposes of subsection 7(13), if a payment under

subsection (1) of this section relates to remuneration (including

salary) or an allowance under subsection 7(9), the payment is taken

to be remuneration or an allowance under subsection 7(9).

(5) For the purposes of subsection 7(13), if a payment under

subsection (1) of this section relates to reimbursement under

subsection 7(10), the payment is taken to be reimbursement under

subsection 7(10).

Benefit

(6) For the purposes of this section, benefit means:

(a) remuneration (including salary) or an allowance under

subsection 7(9); or

(b) a reimbursement under subsection 7(10).

Relevant agency

(7) For the purposes of this section, the relevant agency, in relation to

a recovery under this section of the whole or part of a relevant

amount, means:

(a) the Agency (as defined by section 5 of the Financial

Management and Accountability Act 1997) that paid the

relevant amount under subsection (1) on behalf of the

Commonwealth; or

(b) if a different Agency is prescribed in an instrument under

subsection (8)--the Agency.

(8) The Minister may, by legislative instrument, prescribe an Agency

(as defined by section 5 of the Financial Management and

Accountability Act 1997) for the purposes of paragraph (7)(b).

16B Recoverable death payments

(1) If, apart from this subsection, the Commonwealth does not have

power under this Act to pay an amount (the relevant amount) in

any of the following circumstances:

(a) the relevant amount is deposited to an account kept in the

name of a deceased person;

Amendments of Acts Schedule 1

Remuneration Tribunal Part 4

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 19

(b) the relevant amount is deposited to an account kept in the

names of a deceased person and another person;

deceased person;

the Commonwealth may pay the relevant amount in the

circumstances mentioned in paragraph (a), (b) or (c), so long as:

(d) on the last day on which changes could reasonably be made

to the payment of the relevant amount, the Chief Executive

(as determined under the Financial Management and

Accountability Act 1997) of the relevant agency did not know

that the deceased person had died; and

(e) apart from this subsection, the relevant amount would have

been payable as a benefit to the deceased person if the

deceased person had not died.

(2) If a payment is made under subsection (1), the relevant amount is

taken to have been paid to the deceased person's estate.

Recovery

(3) If a payment is made under subsection (1), the relevant amount:

(a) is a debt due to the Commonwealth by the legal personal

representative of the deceased person; and

(b) may be recovered by the Chief Executive (as determined

under the Financial Management and Accountability Act

1997) of the relevant agency, on behalf of the

Commonwealth, in a court of competent jurisdiction.

Note:

See also section 47 of the Financial Management and Accountability

Act 1997 (duty to pursue recovery of a debt).

Appropriation

(4) For the purposes of subsection 7(13), if a payment under

subsection (1) of this section relates to remuneration (including

salary) or an allowance under subsection 7(9), the payment is taken

to be remuneration or an allowance under subsection 7(9).

(5) For the purposes of subsection 7(13), if a payment under

subsection (1) of this section relates to reimbursement under

subsection 7(10), the payment is taken to be reimbursement under

subsection 7(10).

Schedule 1 Amendments of Acts

Part 4 Remuneration Tribunal

20 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Benefit

(6) For the purposes of this section, benefit means:

(a) remuneration (including salary) or an allowance under

subsection 7(9); or

(b) a reimbursement under subsection 7(10).

Relevant agency

(7) For the purposes of this section, the relevant agency, in relation to

a payment or recovery under this section of the whole or part of a

relevant amount, means:

(a) the Agency (as defined by section 5 of the Financial

Management and Accountability Act 1997) that paid the

relevant amount under subsection (1) on behalf of the

Commonwealth; or

(b) if a different Agency is prescribed in an instrument under

subsection (8)--the Agency.

(8) The Minister may, by legislative instrument, prescribe an Agency

(as defined by section 5 of the Financial Management and

Accountability Act 1997) for the purposes of paragraph (7)(b).

16C Reports about recoverable payments and recoverable death

payments

(1) During the applicable publication period for a reporting period, the

Chief Executive (as determined under the Financial Management

and Accountability Act 1997) of the relevant agency must cause to

be published, in such manner as the Chief Executive thinks fit, a

report that sets out:

(a) both:

(i) the number of payments made under subsection 16A(1)

during the reporting period; and

(ii) the total amount of those payments; and

(b) both:

(i) the number of payments made under subsection 16B(1)

during the reporting period; and

(ii) the total amount of those payments.

(2) However, a report is not required if:

Amendments of Acts Schedule 1

Remuneration Tribunal Part 4

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 21

(a) the number mentioned in subparagraph (1)(a)(i) is zero; and

(b) the number mentioned in subparagraph (1)(b)(i) is zero.

Deferred reporting

(3) Paragraph (1)(a) of this section does not require a report to deal

with a payment unless before the preparation of the report, an

official (as determined under the Financial Management and

Accountability Act 1997) of the relevant agency was aware the

payment was made under subsection 16A(1).

(4) Paragraph (1)(b) of this section does not require a report to deal

with a payment unless before the preparation of the report, an

official (as determined under the Financial Management and

Accountability Act 1997) of the relevant agency was aware the

payment was made under subsection 16B(1).

(5) For the purposes of this section, if:

(a) a payment was made under subsection 16A(1) or 16B(1) in a

reporting period; and

(b) either:

(i) because of subsection (3) of this section,

paragraph (1)(a) of this section did not require a report

to deal with the payment; or

(ii) because of subsection (4) of this section,

paragraph (1)(b) of this section did not require a report

to deal with the payment; and

under the Financial Management and Accountability Act

1997) of the relevant agency becomes aware that the payment

was made under subsection 16A(1) or 16B(1), as the case

may be;

the payment is subject to a deferred reporting obligation in

relation to the later reporting period.

(6) If one or more payments made under subsection 16A(1) during a

reporting period are subject to a deferred reporting obligation in

relation to a later reporting period, the Chief Executive of the

relevant agency must, during the applicable publication period for

the later reporting period:

(a) prepare a report that sets out:

(i) the number of those payments; and

Schedule 1 Amendments of Acts

Part 4 Remuneration Tribunal

22 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Chief Executive thinks fit, the paragraph (a) report.

(7) If one or more payments made under subsection 16B(1) during a

reporting period are subject to a deferred reporting obligation in

relation to a later reporting period, the Chief Executive of the

relevant agency must, during the applicable publication period for

the later reporting period:

(a) prepare a report that sets out:

(i) the number of those payments; and

(ii) the total amount of those payments; and

(iii) the reporting period during which the payments were

made; and

(b) if a report is required under subsection (1) in relation to the

later reporting period--include the paragraph (a) report in the

subsection (1) report; and

the Chief Executive thinks fit, the paragraph (a) report.

Reporting period

(8) For the purposes of this section, a reporting period is:

(a) a financial year; or

(b) if a shorter recurring period is prescribed in an instrument

under subsection (9)--that period.

(9) The Minister may, by legislative instrument, prescribe a recurring

period for the purposes of paragraph (8)(b).

Applicable publication period

(10) For the purposes of this section, the applicable publication period

for a reporting period is the period of:

(a) 4 months; or

Amendments of Acts Schedule 1

Remuneration Tribunal Part 4

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 23

(b) if a lesser number of months is prescribed, in relation to the

reporting period, in an instrument under subsection (11)--

that number of months;

beginning immediately after the end of the reporting period.

(11) The Minister may, by legislative instrument, prescribe a number of

months, in relation to a reporting period, for the purposes of

paragraph (10)(b).

Relevant agency

(12) For the purposes of this section, the relevant agency means:

(a) the Agency (as defined by section 5 of the Financial

Management and Accountability Act 1997) that is responsible

for making payments under subsection 16A(1) or 16B(1) on

behalf of the Commonwealth; or

(b) if a different Agency is prescribed in an instrument under

subsection (13)--the Agency.

(13) The Minister may, by legislative instrument, prescribe an Agency

(as defined by section 5 of the Financial Management and

Accountability Act 1997) for the purposes of paragraph (12)(b).

Schedule 2 Amendments of regulations

24 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Schedule 2

Amendments of regulations

Financial Management and Accountability Regulations 1997

1 After regulation 22AA

Insert:

22AB Supplementary powers to form companies etc. (Act s39B)

(1) For subparagraphs 39B(1)(b)(i) and (2)(b)(i) of the Act, each item

of Schedule 1B specifies a company.

(2) For subparagraphs 39B(1)(b)(ii) and (2)(b)(ii) of the Act, each item

of Schedule 1B specifies objects or proposed activities of the

company specified in the item.

2 After Schedule 1A

Insert:

Schedule 1B--Companies and objects or

proposed activities

Note:

See regulation 22AB.

Companies and objects or proposed activities

Item

Company

Objects or proposed activities

NBN Co Limited

To roll out, operate and maintain a

wholesale-only national broadband network.

Low Carbon Australia

Limited

To act for public charitable purposes including

the principal purpose of preserving and

enhancing the Australian natural environment

by supporting households, business and

non-government and government organisations

take action to increase energy efficiency and

reduce carbon emissions.

AAF Company

To:

(a) take over the management and trusteeship of

the funds and other assets and liabilities of

the unincorporated fund known as the

Amendments of regulations Schedule 2

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 25

Companies and objects or proposed activities

Item

Company

Objects or proposed activities

"Army Amenities Fund" and be manager

and trustee of that fund in place of the

trustees in place as at the date and time

immediately prior to the incorporation of the

Company; and

(b) promote and support the objects of the Army

Amenities Fund which are to provide

amenities for members of the Australian

Army.

Australian Strategic

Policy Institute Limited

To function as a strategic policy research centre,

independent of Government, providing

policy-relevant research and analysis to better

inform Government decisions and public

understanding of defence and strategic issues.

RAAF Welfare

Recreational Company

To:

(a) provide access to discounted recreational

accommodation for RAAF members, their

families and other eligible persons; and

(b) manage and promote RAAF Welfare

Recreational Company owned recreational

facilities for RAAF members, their families

and other eligible persons; and

provision of, recreational facilities and

services to RAAF members.

Australian Institute for

Teaching and School

Leadership Limited

To provide national leadership for the

Commonwealth, state and territory governments

in promoting excellence in the profession of

teaching and school leadership.

Aboriginal Hostels

Limited

To provide and facilitate accommodation and

related services to Indigenous Australians.

Outback Stores Pty Ltd

To:

(a) improve access to affordable healthy food

for Indigenous communities; and

(b) provide store management and support

services to Indigenous communities.

Australian River Co

Limited

To manage the residual legal and insurance

matters of the sale of the company's coastal

vessels.

Schedule 2 Amendments of regulations

26 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Companies and objects or proposed activities

Item

Company

Objects or proposed activities

ASC Pty Ltd

To safely build and maintain Australia's

frontline naval ships and submarines.

Medibank Private

Limited

To operate as a private health insurer and

engage in related activities.

Moorebank Intermodal

Company Limited

To facilitate the development and operation of

an intermodal freight terminal at Moorebank,

New South Wales.

Aged Care Standards and

Accreditation Agency

To:

(a) manage and carry out the accreditation

process for residential aged care services in

accordance with the Aged Care Act 1997

and the accreditation standards set out in the

Quality of Care principles; and

(b) promote high quality residential aged care;

and

care quality by identifying best practice and

providing information, education and

training to industry.

General Practice

Education and Training

Limited

To ensure high quality general practice

education and training across Australia that is

responsive to the existing and changing needs of

the community and individual sections of the

community.

IIF Investments Pty Ltd

To invest in IIF licensed funds as defined in the

IIF program, Policies and Practices Direction

No. 1 of 1997.

Australian Rail Track

Corporation Limited

To:

(a) provide seamless and efficient access to

users of the interstate rail network; and

(b) improve interstate rail infrastructure; and

operating and safe working procedures.

National Australia Day

Council Limited

To:

(a) inspire national pride and spirit to enrich the

life of the nation by working with and for

the people of Australia to unite all

Australians in celebration with a focus on

Amendments of regulations Schedule 2

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 27

Companies and objects or proposed activities

Item

Company

Objects or proposed activities

Australia Day; and

(b) promote the meaning of Australia Day; and

achievement by recognising excellence and

service to communities and the nation.

Australia Business Arts

Foundation Ltd

To promote and develop Australian culture and

links between Australian culture and the

humanities in Australia, particularly in a manner

which affects or involves as many Australians

as possible.

Australian Sports

Foundation Limited

To assist community organisations to raise

funds for the development of Australian sport.

Bundanon Trust

To:

(a) establish and maintain at "Bundanon" a

permanent home for the retention and

display of art works of the Trust; and

(b) establish and maintain a public art gallery, a

venue for music, dance and performance

works and a creative and working art

environment; and

Schedule 3 Loss relief relating to the transfer of assets from the MSB Fund to the

ARIA Investments Trust

28 Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013

Schedule 3

Loss relief relating to the

transfer of assets from the MSB Fund

to the ARIA Investments Trust

1 Loss relief relating to the transfer of assets from the MSB

Fund to the ARIA Investments Trust

Object

(1)

The object of this item is to provide for loss relief relating to the transfer

of assets from the MSB Fund to the ARIA Investments Trust.

Transfer of net capital loss

(2)

Each of the following is transferred from the MSB Fund to the ARIA

Investments Trust:

(a) any of the MSB Fund's net capital losses for income years

earlier than the 2011-12 income year, to the extent that the

loss was not utilised before the end of 11 May 2012 (an

earlier year net capital loss);

(b) a net capital loss the MSB Fund would have made for the

2011-12 income year if it were assumed that the income year

had ended at the end of 11 May 2012 (a transfer year net

capital loss).

Effect of transferring a net capital loss

(3)

To the extent that an earlier year net capital loss is transferred to the

ARIA Investments Trust:

(a) the MSB Fund is taken not to have made the loss for that

earlier income year; and

(b) an amount equal to the transferred amount is taken to be a

capital loss made by the ARIA Investments Trust for the

2011-12 income year.

(4)

To the extent that a transfer year net capital loss is transferred to the

ARIA Investments Trust:

(a) the sum of the MSB Fund's capital losses for the transfer

year is reduced by an amount equal to the transferred

amount; and

Loss relief relating to the transfer of assets from the MSB Fund to the ARIA

Investments Trust Schedule 3

Financial Framework Legislation Amendment Bill (No. 2) 2013 No. , 2013 29

(b) an amount equal to the transferred amount is taken to be a

capital loss made by the ARIA Investments Trust for the

2011-12 income year.

Interpretation

(5)

An expression used in this item and in the Income Tax Assessment Act

1997 has the same meaning in this item as it has in that Act.

Definition

(6)

In this item:

MSB Fund has the same meaning as Fund has in the Military

Superannuation and Benefits Act 1991.

Commonwealth of Australia Bills

FINANCIAL FRAMEWORK LEGISLATION AMENDMENT BILL (NO. 2) 2013