(1) If a party to an arrangement under section 34 is a State or Territory:
(a) the terms and conditions on which money may be payable by the Commonwealth under the arrangement must be set out in a written agreement between the Commonwealth and the State or Territory; and
(b) the State or Territory must comply with the terms and conditions.
(2) If a party to an arrangement under section 34 is a corporation to which paragraph 51(xx) of the Constitution applies:
(a) the terms and conditions on which money may be payable by the Commonwealth under the arrangement must be set out in a written agreement between the Commonwealth and the corporation; and
(b) the corporation must comply with the terms and conditions.
(3) Without limiting subsection (2), the terms and conditions must provide for the circumstances in which the corporation must repay amounts to the Commonwealth.
(4) An agreement under subsection (1) or (2) may be entered into on behalf of the Commonwealth by a Minister or an accountable authority of a non - corporate Commonwealth entity.
Note: For the power to delegate, see section 36.
(5) This section does not, by implication, prevent an
arrangement under section 34 between the Commonwealth and a person
other than a State or Territory or a corporation to which paragraph
51(xx) of the Constitution applies from being made subject to terms and
conditions.