Commonwealth Numbered Acts

DAIRY ADJUSTMENT ACT 1974 No. 166 of 1974 - SECT 11

11. (1) The arrangements may provide for-

   (a)  the making of loans by the State or an authority of the State to the
        owners of uneconomic dairy farms for the purpose of meeting, in the
        case of a particular farm, the cost of converting the farm, wholly or
        in part, to a rural use other than dairying by one or more of the
        following methods-

        (i)    the acquisition of land adjoining, or within a reasonable
               working distance of, the farm for the purpose of working that
               land and land comprised in the farm as a single unit;

        (ii)   the improvement of, or the erection of structural improvements
               on, land comprised in the farm, including any land referred to
               in sub-paragraph (i);

        (iii)  the purchase of livestock or equipment;

   (b)  the making of loans by the State or an authority of the State to the
        owners of uneconomic dairy farms that are, wholly or in part, being
        converted to a rural use other than dairying for the purpose of
        meeting, in the case of a particular farm, the whole or a part of the
        cost of carrying on the farm during the period of conversion; and

   (c)  where milking plant or dairy bails on an uneconomic dairy farm that
        is, wholly or in part, being converted to a rural use other than
        dairying will lose some or all of its or their value to the owner of
        the farm after the conversion of the farm has been effected-the
        payment by the State or an authority of the State to the owner of the
        farm of an amount in respect of that loss of value.

(2) Where the arrangements make provision in accordance with sub-section (1),
the arrangements shall further provide that the assistance specified in that
sub-section shall not be given in the case of a particular farm unless the
State Minister concerned or the authority of the State is satisfied that-

   (a)  the proposed use of land comprised in the farm (including any land
        proposed to be acquired) will be a more practicable and economic use
        of the land than dairying;

   (b)  there is a reasonable prospect that, by reason of the assistance, the
        farm (including any land proposed to be acquired) will produce a
        reasonable level of income, being a level ascertained in the manner
        provided by or under the agreement in which the arrangements are set
        out; and

   (c)  the owner to be assisted has been unable to obtain a loan on
        reasonable terms from normal financial sources for the purposes for
        which the assistance is to be given.