Commonwealth Numbered Acts

BASS STRAIT SEA PASSENGER SERVICE AGREEMENT ACT 1984 No. 167 of 1984 - SCHEDULE

SCHEDULE
Section  3  AN AGREEMENT made the 7th day of September One thousand nine
hundred and eighty-four between-THE COMMONWEALTH OF AUSTRALIA (in this
agreement called "the Commonwealth") of the one part, and THE STATE OF
TASMANIA (in this agreement called "the State") of the other part.
WHEREAS-

                (A)  the Commonwealth and the State have agreed that there is
                     a need to replace the Bass Strait passenger ship "Empress
                     of Australia" used to provide passenger shipping services
                     between Melbourne in the State of Victoria and Devonport
                     in the State of Tasmania;

                (B)  the State has requested the Commonwealth to provide
                     financial assistance towards the cost of the purchase and
                     the modification of the "Nils Holgersson" as a
                     replacement ship for the "Empress of Australia" and the
                     provision of upgraded terminal facilities in Melbourne
                     and Devonport to satisfactorily handle the replacement
                     ship;

                (C)  the Commonwealth in response to the request of the State
                     has decided to make available upon appropriate terms and
                     conditions an amount not exceeding Twenty-six million
                     dollars ($26,000,000.00);

                (D)  the State is arranging for the purchase and the
                     modification of the replacement ship and the upgrading of
                     terminal facilities;

                (E)  on or about 5 June 1984 the Commonwealth in anticipation
                     of this agreement taking effect made an interest free
                     payment to the State of an amount of Nine hundred and
                     fifty-eight thousand and seventy-three dollars
                     ($958,073.00) to enable the State to make a preliminary
                     part payment of the purchase cost of the ship; and

                (F)  the Commonwealth has agreed to request the Parliament of
                     the Commonwealth to authorise the grant of financial
                     assistance to the State to the extent and upon the terms
                     and conditions set out in this agreement.

NOW IT IS HEREBY AGREED as follows:
1. (1) In this agreement, unless the contrary intention appears-

"financial year" means a period of twelve months ending on 30 June;

"the Minister" means the Minister of State for Transport of the Commonwealth
and includes any other Minister of State of the Commonwealth however
designated or member of the Federal Executive Council who may from time to
time be responsible for the functions relevant to this agreement for which the
Minister of State for Transport at the date of this agreement is responsible;

"the service" means the Bass Strait passenger shipping service between
Victoria and Tasmania; and

"the ship" means the ship known at the date of this agreement as the "Nils
Holgersson".

(2) For the purposes of this agreement, unless the context otherwise requires,
a reference to-

   (a)  a clause refers to the relevant clause of this agreement and a
        reference to a sub-clause refers to a sub-clause of the clause
        specified in that reference or, if no clause is so specified, then to
        the sub-clause of the clause in which the reference appears;

   (b)  expenditure upon or in connexion with the purchase of the ship shall
        include the costs of transporting the ship from that location overseas
        where delivery is taken of it on behalf of the State upon purchase to
        that Australian port from which it is to commence providing the
        service;

   (c)  the modification of the ship shall mean the making of all
        modifications needed to crew and passenger accommodation and to
        satisfy the requirements of the Navigation Act 1912 of the
        Commonwealth; and

   (d)  the upgrading of terminal facilities shall mean the making of all
        alterations to the terminal facilities in Melbourne and in Devonport
        as are needed for each of those facilities to be able to
        satisfactorily handle the ship.

2. This agreement shall have no force or effect and shall not be binding on
either party until it has been approved by the Parliament of the Commonwealth.
3. (1) Subject to compliance by the State with the provisions of this
agreement, the Commonwealth shall, in accordance with and subject to the
provisions of this agreement, provide financial assistance by way of a
non-repayable, interest free grant for the purpose of meeting or reimbursing
expenditure on or in connexion with the purchase and the modification of the
ship and the upgrading of terminal facilities.

(2) The financial assistance to be provided under sub-clause (1) (which is
hereinafter referred to as "the financial assistance") shall-

   (a)  not exceed in aggregate an amount which is equal to Twenty-five
        million forty-one thousand nine hundred and twenty-seven dollars
        ($25,041,927.00); and

   (b)  be applied by the State, first, in respect of the expenditure on or in
        connexion with the purchase and the modification of the ship, and
        secondly, as to the balance (if any) remaining, in respect of the
        expenditure on or in connexion with the upgrading of terminal
        facilities.

4. The Commonwealth shall, subject to the provisions of this agreement, at the
request of the State from time to time, make payment to the State of the
financial assistance at such times and in such amounts as the Minister
considers appropriate.
5. (1) The State shall furnish to the Minister such documents and other
evidence to support a request by the State for payment of the financial
assistance as the Minister may reasonably request, whether the request by the
Minister is made before or after the Commonwealth has made that payment.

(2) Any statement of expenditure by the State forwarded to the Commonwealth in
connexion with a request for payment of the financial assistance shall be in
accordance with a form approved by the Minister and accompanied by a
certificate of the Auditor-General of the State certifying, to the extent
practicable, that, in his or her opinion, the amounts shown in the statement
were expended for the purposes of this agreement.
6. The Minister may at such times and in such amounts as he or she thinks fit
make advances to the State on account of an amount that may become payable to
the State under clause 4.
7. The State shall ensure that an amount or any part of an amount paid or
advanced to the State under this agreement is not used or applied except for
the purpose of meeting or reimbursing expenditure of the character specified
in sub-clause 3 (1).
8. (1) Payment to the State under this agreement of any amount (including an
advance) is subject to the condition that the State shall repay to the
Commonwealth on demand by the Minister the amount by which at the time of the
demand the total of the amounts (including advances) paid to the State under
this agreement exceeds the total of the amounts that have become payable to
the State under clause 4.

(2) The Minister may deduct any amount repayable by the State by virtue of the
condition set out in sub-clause (1) from an amount of the financial assistance
payable by the Commonwealth to the State under this agreement.
9. The State shall from time to time at the request of the Minister furnish to
him or her such information as he or she may reasonably require for the
purposes of or in relation to this agreement.
10. The State agrees that in return for the financial assistance it shall for
a period of not less than ten (10) years commencing on the date upon which the
ship commences to provide the service conduct the service at its own expense.
11. The State undertakes to ensure that the ship or any other ship or ships
used to provide the service are each maintained in good working condition and
kept insured to full insurable value against all risks against which it is
customary in the shipping industry to insure.
12. (1) The accounts, vouchers, documents and other records relating to
expenditure for the purposes of this agreement shall be subject to audit.

(2) Until such time as the total amount of the financial assistance to be
provided to the State under this agreement has been provided by the
Commonwealth and supporting evidence to the satisfaction of the Minister in
relation to all amounts paid or advanced is furnished by the State, a report
on the audits and on the financial statements in respect of each financial
year shall be furnished by the Auditor-General of the State to the Minister as
soon as possible after the completion of the financial year indicating, inter
alia-

   (a)  whether in the opinion of the Auditor-General the financial statements
        are based on proper accounts and records and are in agreement with
        those accounts and records; and

   (b)  whether in the opinion of the Auditor-General the expenditure of
        moneys is in accordance with this agreement and including reference to
        such other matters arising out of the audits and financial statements
        as the Auditor-General of the State considers should be reported to
        the Minister.

13. Any notice, request or other communication given or made to the State for
the purposes of this agreement on behalf of the Commonwealth or the Minister
shall be deemed a sufficient notice, request or communication if it is in
writing signed by or on behalf of the Minister and any notice, request or
other communication given or made to the Commonwealth or the Minister for the
purposes of this agreement on behalf of the State shall be a sufficient notice
if it is in writing signed by or on behalf of the appropriate Minister of the
State. IN WITNESS WHEREOF this agreement has been executed by the parties as
at the day first above written. SIGNED for and on behalf of THE COMMONWEALTH
OF AUSTRALIA by the HonourablePETER FREDERICK MORRIS, Minister of State for
Transport, in the
presence of-                                             PETER  MORRIS

R. W. J. MORRIS SIGNED for and on behalf of THE STATE OF TASMANIA by the
Honourable FRANCIS ROGER GROOM, Minister for Transport, in the presence
of-                                                    F.  ROGER  GROOM

R. TAYLOR