Commonwealth Numbered Acts

Housing Assistance Act 1981 No. 70 of 1981 - SCHEDULE 1

SCHEDULE 1
Section  4 
  AN AGREEMENT made the             day of             One thousand nine

hundred and eighty-     between-


THE COMMONWEALTH OF AUSTRALIA of the first part,

THE STATE OF NEW SOUTH WALES of the second part,

THE STATE OF VICTORIA of the third part,

THE STATE OF QUEENSLAND of the fourth part,

THE STATE OF SOUTH AUSTRALIA of the fifth part,

THE STATE OF WESTERN AUSTRALIA of the sixth part,

THE STATE OF TASMANIA of the seventh part, and

THE NORTHERN TERRITORY OF AUSTRALIA of the eighth part.

WHEREAS:

                (A)  the Commonwealth and the States of Australia have from
                     time to time entered into agreements for the purpose of
                     the provision by the States with financial assistance
                     from the Commonwealth of housing for persons who are in
                     need of governmental assistance if their housing
                     requirements are to be met;

                (B)  by an agreement dated the seventeenth day of October
                     1978, being the agreement authorised to be executed on
                     behalf of the Commonwealth by the
                     Housing Assistance Act 1978 of the Commonwealth
                     Parliament and being the last of the agreements referred
                     to in recital (A), provision was so made with respect to
                     the three years commencing on the 1st July 1978;

                (C)  the Commonwealth and the Northern Territory of Australia
                     entered into an agreement dated the eleventh day of March
                     1980 in relation to the funding of welfare housing in the
                     Northern Territory with respect to the two years
                     commencing on the 1st July 1979;

                (D)  the Ministers of the respective governments throughout
                     Australia who are responsible for housing have agreed
                     upon the provision of rental housing assistance and home
                     purchase assistance in the various States and in the
                     Northern Territory during the five years commencing on
                     the 1st July 1981;

                (E)  the Ministers have affirmed and augmented principles that
                     apply to the provision of housing assistance under
                     agreements of the nature aforesaid, namely-

   (a)  housing assistance will-

        (i)    facilitate home ownership for those able to afford it but not
               able to gain it through the private market;

        (ii)   provide adequate rental housing for those of the community who
               are deemed to be in need of governmental assistance at a price
               that is within their capacity to pay; and

        (iii)  provide assistance for home ownership and assistance with
               rental accommodation in the most efficient way and thus to
               exclude from eligibility those not in need, to minimise
               continued availability of assistance to those no longer in need
               and to accord benefits which are designed so that assistance
               being provided is related to the particular family's or
               individual's current economic and social circumstances;

   (b)  benefits which are available are offset to the minimum extent
        practicable by poor location of dwellings, an inadequate range of
        choice of dwellings and stigmatisation of those who are to receive
        benefits;

   (c)  clear recognition is accorded to the separate but complementary roles
        of-

        (i)    construction and acquisition of dwellings;

        (ii)   management of the rental operations; and

        (iii)  sales of dwellings;

   (d)  maximum social benefit is sought from previous investment in housing;

   (e)  design, style and siting of public housing will to the maximum extent
        practicable-

        (i)    support the energy conservation policies of the governments;
               and

        (ii)   reflect the need for accessibility and suitability for
               habitation by handicapped persons;

   (f)  tenant participation in public housing policies and estate management
        is encouraged; and

   (g)  the States will be able to exercise maximum autonomy and flexibility
        in the administrative arrangements necessary to achieve these
        principles;

                (F)  it is proposed that in order to implement the agreement
                     of the Ministers the Commonwealth will grant to the
                     States financial assistance under section 96 of the
                     Commonwealth of Australia Constitution and like
                     assistance to the Northern Territory and that the terms
                     and conditions on which the grant of financial assistance
                     should be made are those set out in this agreement;

                (G)  the Commonwealth and the States and the Northern
                     Territory wish to vary in certain respects the operation
                     of the agreements which have been entered into as
                     aforesaid; and

                (H)  the Parliament of the Commonwealth has authorised the
                     execution by and on behalf of the Commonwealth of this
                     agreement and the provision of financial assistance to
                     the States in accordance with its provisions:

NOW IT IS HEREBY AGREED as follows:

PART I-OPERATION OF AGREEMENT

1. (1) This agreement shall come into force in respect of the Commonwealth and
of a State when it has been signed on behalf of the Commonwealth and has been
signed on behalf of the State with the authority of the Parliament of the
State or, having been signed on behalf of the State without the authority, is
approved by the Parliament of the State.

(2) This agreement shall come into force in respect of the Commonwealth and
the Northern Territory when it has been signed on behalf of the Commonwealth
and has been signed on behalf of the Northern Territory.

(3) Notwithstanding that in this agreement all the States of New South Wales,
Victoria, Queensland, South Australia, Western Australia and Tasmania and the
Northern Territory are named as parties, this agreement shall operate as an
agreement between the Commonwealth and the party or parties in respect of
which it comes into force as fully and effectually as if the party or parties
in respect of which it comes into force were the only party or parties so
named other than the Commonwealth.

2. Acts and things provided for by this agreement which have been done or
carried out by or with respect to a State or the Northern Territory in
accordance with and in anticipation of its coming into force in respect of
that State or Territory shall be deemed to have been done or carried out under
this agreement as if it were in force at the relevant time or times in respect
of that State, or that Territory, as the case may be.

PART II-PARTIES

3. (1) In this agreement, subject to this clause and except where the context
otherwise indicates-

   (a)  ''the Commonwealth'' means the Commonwealth of Australia as the party
        to this agreement;

   (b)  each State named as a party in respect of which the agreement comes
        into force is referred to as a ''State'' and, except where the context
        otherwise indicates, ''the States'' means all of those States; and

   (c)  ''the Northern Territory'' means the Northern Territory of Australia
        as the party to this agreement, being the body politic established by
        section 5 of the Northern Territory (Self-Government) Act 1978 of the
        Commonwealth Parliament.

(2) A reference to a State in this Part and in the succeeding clauses of this
agreement shall, except where the contrary intention appears and according to
the requirements of the context, be deemed to include a reference to the
Northern Territory.

4. Where in an existing Housing Agreement included in the Schedule the word
''State'' or the expression ''the States'' means a State or the States in
respect of which that Agreement is in force, that word and that expression
shall mean respectively, for the purposes of the operation of that Agreement,
a State or the States in respect of which this agreement has come into force.

PART III-INTERPRETATION

5. (1) In this agreement-

'the Minister' means the Minister of State of the Commonwealth for the time
being responsible for the administration of this agreement for the
Commonwealth; and

'the State Minister' means the Minister of State of a State for the time being
responsible for the administration of this agreement for the relevant State.

(2) A reference in this agreement to a Minister includes a Minister or other
member of the Federal Executive Council or Minister of the relevant State, as
the case may require, acting on behalf of or for the time being acting for the
Minister referred to.

6. In this agreement, unless the contrary intention appears or the context
otherwise requires-

'dwelling' means a dwelling-house or flat and includes such fences,
outbuildings and other improvements and such connexions for sewerage,
drainage, water, electricity, gas and other services as are provided or are
reasonably required to be provided for the dwelling-house or flat;

'home purchaser' includes a purchaser of a dwelling under Part X of this
agreement;

'housing' means residential housing including dwellings and other forms of
residential accommodation;

'previous housing arrangements' means the provisions in relation to housing
that were made by the existing Housing Agreements and by the States Grants
(Housing) Act 1971, the Housing Assistance Act 1973 and the Housing 
Assistance Act 1978 of the Commonwealth Parliament;

'rental housing' means housing for rental which has been provided under the
previous housing arrangements or is provided under this agreement and ''rental
dwelling'' means a dwelling that is included in rental housing;

'the Commonwealth Act' means the legislation of the Commonwealth Parliament by
which this agreement is authorised to be executed by or on behalf of the
Commonwealth;

'the existing Housing Agreements' means the Agreements set out in the Schedule
and where the singular is used means such one or other of those Agreements as
the context requires; and

'year' means a period of twelve months commencing on the first day of July.

7. In this agreement, unless the contrary intention appears-

   (a)  a reference to a Part or to a clause is to a Part or to a clause of
        this agreement, as the case may be;

   (b)  a reference to a sub-clause is, unless otherwise indicated, to the
        relevant sub-clause of the clause in which the reference appears;

   (c)  the Schedule referred to is the Schedule to this agreement;

   (d)  words importing the masculine gender also import the feminine and,
        where appropriate, the neuter; and

   (e)  words in the singular number include the plural and vice versa.

PART IV-OBJECTIVE OF AGREEMENT

8. The objective of this agreement is the provision by the States and by the
Northern Territory with financial assistance from the Commonwealth of housing
assistance for rental housing and for home purchase in accordance with, and in
fulfilment of, the principles set out in recital (E).

PART V-FINANCIAL ASSISTANCE

9. (1) In order to assist the States in the achievement of the objective of
this agreement, the Commonwealth will, upon and subject to the provisions of
this agreement, provide to the States during the years of this agreement
financial assistance for housing purposes (hereinafter in this agreement
referred to as ''financial assistance'') by way of interest bearing repayable
advances (''loan assistance'') and interest free non-repayable grants
(''grants'').

(2) The years of this agreement shall be the five years commencing on the
first day of July in the years 1981, 1982, 1983, 1984 and 1985.

10. The Commonwealth will provide base financial assistance to the States in
respect of each year of this agreement amounting to Two hundred million
dollars ($200,000,000) and consisting of-

   (a)  Fifty-four million dollars ($54,000,000) by way of grants identified
        as being for rental housing assistance to disadvantaged categories of
        persons in accordance with Part XI; and

   (b)  One hundred and forty-six million dollars ($146,000,000) by way of
        loan assistance for rental housing assistance and home purchase
        assistance in accordance with this agreement.

11. The Commonwealth may provide to the States, out of moneys appropriated by
the Commonwealth Parliament for the purpose, in addition to base financial
assistance, financial assistance for home purchase assistance and rental
housing assistance, including rental housing assistance to disadvantaged
categories of persons in accordance with Part XI, in such proportions by way
of grants and loan assistance or in such combinations of those forms of
assistance as are from time to time determined by the Minister.

12. In and for the purposes of this agreement-

   (a)  financial assistance to be provided under clause 10 is referred to and
        shall be known as ''base financial assistance'';

   (b)  financial assistance in addition to base financial assistance is
        referred to and shall be known as ''additional financial assistance'';

   (c)  grants of base financial assistance under paragraph (a) of clause 10
        and of additional financial assistance that are identified as being
        for rental housing to disadvantaged categories of persons in
        accordance with Part XI are referred to and shall be known as
        ''earmarked grants''; and

   (d)  financial assistance other than earmarked grants is referred to and
        shall be known as ''untied assistance''.

13. Financial assistance shall be allocated between the States in such manner
as is provided by the Commonwealth Act and it shall be a condition with
respect to the provision of untied assistance that a State will match the
amount of that financial assistance from its own resources in accordance with
Part VI.

PART VI-STATE MATCHING FUNDS

14. (1) A State will provide from its own resources during each year of this
agreement and apply in accordance with this Part funds (''matching funds'')
equivalent in amount to the amount of untied assistance that is provided to
the State during that year.

(2) Each State will by the fifteenth day of October in each year of this
agreement furnish to the Commonwealth for the agreement of the Minister
proposals for the provision and application of matching funds during that
year.

(3) Matching funds in respect of a State may include-

   (a)  surpluses resulting from rental housing assistance activities by the
        State under Commonwealth-State housing arrangements;

   (b)  revolving funds resulting from home purchase assistance activities
        under previous housing arrangements and under this agreement;

   (c)  allocations from-

        (i)    consolidated revenue funds;

        (ii)   loan funds;

        (iii)  trust funds and other special accounts in the public account of
               the State to the extent that those funds have been financed
               from State resources, including deposits with the State
               Treasury;

        (iv)   borrowings by instrumentalities of the State under the terms of
               the Commonwealth-State arrangements associated with the
               Financial Agreement and known as the Gentlemen's Agreement; and

        (v)    appropriation from surpluses of authorities and
               instrumentalities of the State other than those referred to in
               paragraphs (a) and (b) of this sub-clause; and

   (d)  other sources at any time agreed upon between the Minister and the
        State Minister.

(4) Except as provided in sub-clause (3) matching funds shall not be derived
from financial assistance under this agreement.

15. (1) Matching funds in respect of a State other than those referred to in
paragraphs (a) and (b) of sub-clause 14 (3) shall be expended by the State on
welfare housing programs of the State as from time to time agreed between the
Minister and the State Minister.

(2) Matching funds other than those referred to in paragraphs (a) and (b) of
sub-clause 14 (3) shall not be required to be expended by a State on welfare
housing programs to which this agreement applies.

16. As soon as practicable after a year of this agreement a State will furnish
to the Commonwealth a statement which shows particulars of the expenditure by
the State of matching funds during the year on programs agreed upon by the
Minister and the State Minister and which is certified as to its correctness
by a person appointed by the State Minister for that purpose.

PART VII-FINANCIAL ASSISTANCE ARRANGEMENTS

17. (1) Each State will, not later than the thirtieth day of November
preceding the beginning of a year of this agreement, inform the Minister of
the amounts of financial assistance that the State wishes the Commonwealth to
provide to it in respect of the year for home purchase assistance and rental
housing assistance programs and at the same time will provide estimates of
financial performance and planned programs for that year.

(2) The Minister and the State Minister will consult as appropriate concerning
the provision of financial assistance to the State, including additional
financial assistance, in respect of the year in accordance with Part V.

(3) In those consultations consideration shall be given to State requirements
and practices but for the purposes of the provision of additional assistance
regard shall not be had to any operating surpluses on rental housing
assistance operations or on home purchase assistance operations under previous
housing arrangements or under this agreement.

18. Financial assistance in respect of a year of this agreement shall be made
available to a State during that year by equal monthly instalments unless
otherwise agreed between the Minister and the Treasurer of the State.

19. The State Minister will determine the allocation between home purchase
assistance and rental housing assistance of the total amount of loan
assistance and of grants of untied assistance to be provided by the
Commonwealth to a State in a year of this agreement and may at any time during
a year vary the determination in respect of that year.

PART VIII-INTEREST AND REPAYMENTS OF LOAN ASSISTANCE

20. (1) Each payment of loan assistance to a State or so much of each payment
as for the time being remains unrepaid to the Commonwealth will, until
repayment as provided in clause 21, bear interest at the rate of 41/2 per
centum per annum computed from the date upon which the payment is made.

(2) A State will on the thirty-first day of December and the thirtieth day of
June of a year during which payments of loan assistance are made to the State
under this agreement pay to the Commonwealth the interest that has accrued on
those payments up to the date of the payment of the interest.

21. Each State will repay to the Commonwealth the amount of each payment of
loan assistance to the State and will pay interest thereon as provided in
clause 20, other than that payable under sub-clause 20 (2), by equal annual
instalments of principal and interest so that the amount of the payment,
together with the interest, will be repaid in 53 years from the beginning of
the year next succeeding the year of this agreement in respect of which the
payment was made, the first such instalment being payable on or before the end
of the year next succeeding the year of this agreement in respect of which the
payment was made.

22. Accounting procedures in respect of the repayment by a State of loan
assistance will be as agreed upon between the Minister for Finance of the
Commonwealth and the Treasurer of the State or, in default of agreement, as
determined by the Minister for Finance of the Commonwealth.

PART IX-HOME PURCHASE ASSISTANCE

23. (1) The Home Purchase Assistance Account established by each State in
pursuance of the 1978 Housing Agreement with respect to the States and the
1980 Housing Agreement with respect to the Northern Territory shall continue
to be operated by the State for the purpose of this agreement and shall be
''the Account'' referred to in this Part.

(2) The moneys in the Account shall be available for home purchase assistance
in accordance with this Part.

24. (1) Each State will pay into the Account-

   (a)  payments of loan assistance and grants made to the State that are
        allocated for home purchase assistance in accordance with this
        agreement; and

   (b)  funds from any other source which the State decides to apply on home
        purchase assistance under this agreement.

(2) The Account shall also be credited with moneys received in the course of
home purchase assistance operations provided for by this Part and shall be
debited with management costs and other outgoings in respect of those
operations.

(3) The excess of the amounts that are received into the Account over payments
that are made from the Account in accordance with sub-clause (2) shall be
separately identified by the State to the Commonwealth.

25. (1) A State may use moneys standing to the credit of the Account of the
State for-

   (a)  making repayments of principal and payments of interest in respect of
        loan assistance under this agreement or, where accounts under previous
        housing arrangements have been combined into the Account, repayments
        of principal and payments of interest in respect of loan assistance by
        the Commonwealth to the State which have been allocated for home
        purchase assistance under those arrangements;

   (b)  making repayments of principal and payments of interest in respect of
        any State funds allocated for home purchase assistance in accordance
        with paragraph (b) of sub-clause 24 (1);

   (c)  meeting expenditure by the State in providing and administering loans
        to approved lending authorities;

   (d)  making loans to-

        (i)    terminating building societies or co-operative housing
               societies;

        (ii)   a lending authority of the State approved by the State
               Minister;

        (iii)  registered co-operative organizations approved by the State
               Minister, not including permanent building societies; and

        (iv)   such other bodies or organizations, including permanent
               building societies, as are from time to time agreed upon
               between the Minister and the State Minister,

for on-lending to home purchasers;

   (e)  providing a subsidy to eligible home purchasers or such lending
        institutions as are from time to time agreed upon by the Minister and
        the State Minister to reduce the interest cost of loans to the end
        borrowers of the loans;

   (f)  financing the construction or purchase of dwellings for sale to
        persons who are eligible for home purchase assistance under this
        agreement; and

   (g)  such other purposes as are from time to time agreed upon between the
        Minister and the State Minister.

(2) In this clause references to societies are to societies registered as
societies referred to under the relevant legislation of the State.

26. The rate of interest that is charged by the State in respect of so much as
is for the time being outstanding on a loan to an agency of the State for the
purposes of paragraphs (d), (f) or (g) of clause 25 shall-

   (a)  be not less than 5 per centum per annum until the end of the first
        year that wholly occurs after the loan is made;

   (b)  be increased by 1/2 per centum per annum at the end of the first year
        that wholly occurs after the loan is made and by 1/2 per centum per
        annum at the end of each subsequent year of the loan until a rate
        equivalent to 1 per centum per annum below the then current
        Commonwealth Savings Bank rate for housing loans is reached; and

   (c)  thereafter be varied for any year of the loan according to any
        variation for the time being of that Commonwealth Savings Bank rate.

27. (1) Subject to this clause, it shall be a matter for the State, as it sees
fit, to determine the conditions of eligibility and the amounts and conditions
that are to apply in respect of loans to persons who are to receive home
purchase assistance under this agreement and under previous housing
arrangements.

(2) The conditions of eligibility shall be such that assistance is provided to
those persons who are not able to obtain mortgage finance assistance in the
open market or from other sources.

(3) In determining the amount of a loan and of the repayments, regard shall be
had to family income, assets of the borrower and size and standard of the
dwelling.

28. The State will adopt policies and practices with regard to persons who
receive home purchase assistance which are best suited to the achievement of
the objective of this agreement with respect to the principles set out in
recital (E) which relate to home purchase assistance and may, where
practicable, have regard to flexible lending practices, including those known
as-

   (a)  escalating interest loans with income geared starts;

   (b)  deferred interest repayment loans;

   (c)  income geared repayment loans;

   (d)  high start loans; and

   (e)  second mortgage lending,

and provision for variation in repayment in the event of hardship.

29. Each State will in respect of each year furnish to the Commonwealth by the
thirtieth day of November next occurring after that year a financial statement
in respect of operations of the Account which shows the origin of funds
received and the manner in which funds were applied and which is certified as
to its correctness by a person appointed by the State Minister for that
purpose.

PART X-RENTAL HOUSING ASSISTANCE

30. Funds available to a State during any year for its rental housing
assistance program (for the purposes of this Part referred to as ''rental
housing assistance funds'') shall consist of-

   (a)  in respect of a year of this agreement, payments of loan assistance
        and grants that are made under this agreement for rental housing
        assistance; and

   (b)  in respect of any year-

        (i)    any surplus during the year of revenue, after allowing for
               rental rebates, over outgoings incurred or provided for,
               arising from rental housing operations of the State under this
               agreement or previous housing arrangements and to which this
               agreement applies;

        (ii)   subject to paragraph (e) of clause 36, net proceeds from sale
               of rental dwellings; and

        (iii)  any other funds which the State allocates for rental housing
               assistance under this agreement.

31. Without by this clause conveying any implication that funds are to be made
available by the Commonwealth for, or are to be applied by a State for, any
particular purpose or in any order of priority, the purposes for which rental
housing assistance funds may be used by the State include the following-

   (a)  to meet the costs of and associated with the acquisition, planning and
        development of land primarily for residential development;

   (b)  to pay for the construction or acquisition of housing;

   (c)  to repay the principal of and pay interest on loan assistance to the
        State for rental housing assistance;

   (d)  to provide funds to such voluntary, non-profit, charitable bodies and
        other housing management bodies or groups as are approved by the State
        Minister;

   (e)  to enable housing to be let to such charitable bodies and other
        organisations as are approved by the State Minister for the provision
        of assistance to disadvantaged persons;

   (f)  to engage in urban renewal activities related to public housing;

   (g)  to allocate funds to local government bodies for the provision of
        rental housing where the State Minister considers that it would be
        more appropriate for such rental housing assistance to be carried out
        by those bodies;

   (h)  to make payments for, or provide bridging finance for, the provision
        of open space, landscaping, community facilities and for costs
        associated with land development, including contributions to headworks
        and reticulation of services;

        (i)    to undertake research and policy development in relation to
               matters not funded by the Australian Research Council;

   (j)  to undertake and participate in joint ventures, co-operative
        enterprises or similar arrangements in order that public housing
        developments may be integrated with private housing and to achieve a
        desirable socio-economic mixture of housing;

   (k)  to lease housing from the private housing sector;

   (l)  to provide housing advisory services related to public housing;

   (m)  to provide rental subsidy for eligible persons renting private
        housing; and

   (n)  any other purposes agreed upon between the Minister and the State
        Minister.

32. The conditions of eligibility of persons for rental housing assistance
shall be determined by the State and shall ensure that assistance is directed
to those applicants most in need of such assistance.

33. The State will in respect of the rent for its rental dwellings apply a
policy directed to the progressive movement during the term of this agreement
of the rent for each dwelling to charging market rent and will review rents at
least annually.

34. (1) Rental rebates are to be granted to tenants who are not able to afford
to pay the rent determined in accordance with clause 33.

(2) A uniform rental rebate policy shall be developed by the Commonwealth and
the States and shall be applied by each State for the calculation of rental
rebates.

35. (1) Where in respect of any year the rental housing operations of the
State result in a surplus of revenue after allowing for rental rebates over
outgoings, that surplus shall be separately identified to the Commonwealth and
shall be included in rental housing assistance funds as provided in paragraph
(b) (i) of clause 30 for application in accordance with clause 31.

(2) Outgoings for the purposes of this clause shall consist of those normally
incurred or provided for in rental housing operations and shall include
repayments of principal and interest, maintenance, dwelling improvements,
municipal rates and administrative expenses.

36. Each State will determine a policy for the sale of rental dwellings that
is consistent with the objective of facilitating home ownership and is upon
and subject to the following conditions-

   (a)  all sales of dwellings shall be at market value or replacement cost,
        on the basis of a cash transaction, but not so as to preclude the
        State, if it so wishes, from providing a credit to the tenant in
        recognition of improvements that the tenant has made to the dwelling;

   (b)  home purchase assistance funds may be used to provide finance for the
        purchase of dwellings;

   (c)  all proceeds from sales of dwellings shall be separately identified to
        the Commonwealth;

   (d)  net proceeds from sales of dwellings shall generally be applied to
        construct or purchase replacement dwellings which can be included in
        rental dwellings for the purpose of this agreement; and

   (e)  without prejudice to the generality of (d), net proceeds from sales of
        dwellings may also be applied for specific housing purposes provided
        for in this agreement.

37. Each State will in respect of each year furnish to the Commonwealth by the
thirtieth day of November next occurring after that year a financial statement
in respect of operations of its rental housing assistance program during that
year which shows the origin of funds received and the manner in which those
funds were applied and which is certified as to its correctness by a person
appointed by the State Minister for that purpose.

PART XI-EARMARKED GRANTS

38. The Minister will, in writing under his hand, identify grants to a State
as being for rental housing assistance to persons (referred to as
''disadvantaged persons'') of the following disadvantaged categories-

   (a)  those in receipt of any of the following pensions, benefits or
        allowances under the Social Services Act 1947-

        (i)    age or invalid pension under Part III;

        (ii)   widow's pension under Part IV;

        (iii)  supporting parent's benefit under Part IVAAA;

        (iv)   special benefit under Division 6 of Part VII;

        (v)    sheltered employment allowance under Part VIIA; or

        (vi)   training allowance under section 135D payable in respect of a
               period during which any pension, benefit or allowance referred
               to in a preceding sub-paragraph payable to the person is
               suspended in accordance with that section;

   (b)  those in receipt of a service pension under section 84 or 85 of the
        Repatriation Act 1920 and, in the case of a person who is in receipt
        of a pension under section 85 of that Act, is qualified under
        sub-section 85 (2) of that Act to receive that pension;

   (c)  Aboriginals in need of rental housing assistance; or

   (d)  after consultation with the State Minister, any person included in a
        class of persons which is declared by the Minister in writing under
        his hand, to be persons in need of assistance to which this Part
        relates.

39. (1) Rental dwellings provided with earmarked grants may be sold by a State
subject to and in accordance with the provisions of clause 36.

(2) The net proceeds of sale of a rental dwelling under this clause shall be
applied only to provide rental housing assistance to persons of the same
category as that of the persons to whom rental housing assistance for the
provision of the dwelling was granted to the State by the Commonwealth.

(3) This clause shall apply to rental dwellings that have been provided from
grants made by the Commonwealth to a State under Part III of the Housing 
Assistance Act 1978 .

40. A State will furnish to the Commonwealth, as soon as practicable after the
end of each financial year, a statement setting out the amounts of earmarked
grants expended by the State during the financial year for a purpose referred
to in clause 38 and which is certified as to its correctness by a person
appointed by the State Minister for that purpose.

PART XII-SUPERSESSION OF PREVIOUS HOUSING ARRANGEMENTS

41. The provisions of this agreement with respect to rental housing and home
purchase assistance shall, except as provided herein, supersede the provisions
of the existing Housing Agreements to the intent that this agreement will
provide the arrangements between the Commonwealth and each State in relation
to the provision of rental housing, including the sale of housing so provided,
and to the provision of assistance for home purchasers under the previous
housing arrangements and this agreement.

PART XIII-OBSERVANCE OF AGREEMENT

42. The Commonwealth shall provide for or secure the performance by it and its
authorities of the obligations of the Commonwealth under this agreement and
each of the States shall provide for or secure the performance by the State
and its authorities of the obligations of the State under this agreement.

43. A State shall determine an agency or agencies (including bodies or
organisations that are not authorities of the State) for the performance of
this agreement on behalf of the State and acts and things that are done by or
with respect to the agency or agencies so determined shall, for the purposes
of this agreement, be deemed to have been done by or with respect to the
State.

44. If the Minister, in writing under his hand, informs the Treasurer of a
State he is satisfied that the State has failed to ensure that an amount of
financial assistance provided to the State has been applied for the purposes
and in the manner provided for by this agreement with respect to that
financial assistance, the State will repay that amount, or such part of that
amount as the Minister thinks reasonable, to the Commonwealth.

45. If a State fails for any reason to meet the requirement for the provision
by it of matching funds in accordance with Part VI with respect to any
financial assistance that has been provided to it, the State will upon request
by the Minister, in writing under his hand, repay to the Commonwealth the
amount of that financial assistance or so much of that amount as is specified
in the request.

PART XIV-SUPPLY OF INFORMATION

46. A State Minister will, upon request by the Minister, supply to the
Minister such information relevant to the operation of this agreement in
respect of the State as is reasonably so requested.

PART XV-VARIATION OF AGREEMENT

47. (1) The provisions of Parts VII, IX, X or XI of this agreement may be
varied as between the Commonwealth and a State by agreement in writing between
the Minister and the State Minister.

(2) A copy of an agreement or copies of the documents which constitute an
agreement under sub-clause (1) shall be tabled in the Parliaments of the
Commonwealth and of the State within 15 sitting days of respective Parliaments
from the date upon which the agreement is made.

(3) An agreement under sub-clause (1) shall not affect the operation of this
agreement as between the Commonwealth and the States other than that with
which the agreement has been made.

PART XVI-REPRESENTATION AND COMMUNICATIONS

48. (1) The Commonwealth shall, subject to sub-clause (2), be represented for
the purposes of this agreement by the Department of Housing and Construction
and the Minister shall notify the State Minister of the address of that
Department and of any change at any time of that address.

(2) In the event that the administration of this agreement for the
Commonwealth is allocated to a Minister other than the Minister for Housing
and Construction, the Commonwealth shall be represented by the Department
administered by that other Minister and that Minister shall notify the State
Minister of the address of that Department.

49. The State shall, be represented for the purposes of this agreement by the
Department administered by the State Minister and the State Minister shall
notify the Minister of the address of that Department and of any change at any
time of the Department or of the address.

50. (1) A notice or other communication under or in connexion with this
agreement shall be duly given if it is in writing signed by or on behalf of,
or attributed to, the head of the Department by which it is given and
addressed to or delivered at the address of the Department to which it is
directed.

(2) For the purposes of this clause writing includes a teleprinter message and
the address for such a message shall be the teleprinter address of the
receiving Department.

(3) A notice or other communication shall be given under this clause when it
is received in the appropriate form by the Department to which it is directed.

SCHEDULE
Clause 6
Existing Housing Agreements

1. The 1945 Agreement
Agreement made 19 November 1945 between the Commonwealth and the States to
which Tasmania is not now a party-Act No. 44 of 1945.

2. The 1955 Agreement
Supplemental Agreement made 16 April 1955 between the Commonwealth and the
States other than Tasmania-Act No. 12 of 1955.

3. The 1956 Agreement
Agreement made 13 February 1957 between the Commonwealth and the States-Act
No. 43 of 1956.

4. The 1961 Agreement
Agreement made 4 October 1961 between the Commonwealth and the States-Act No.
31 of 1961.

5. The 1966 Agreement
Agreement made 21 December 1966 between the Commonwealth and the States-Act
No. 24 of 1966.

6. The 1973 Agreement
Agreement made 17 October 1973 between the Commonwealth and the States-Act No.
43 of 1973.

7. The 1974 Agreement
Supplemental Agreement made 20 December 1974 between the Commonwealth and the
States-Act No. 102 of 1974.

8. The 1978 Agreement
Agreement made 17 October 1978 between the Commonwealth and the States-Act No.
79 of 1978.

9. The 1980 Northern Territory Agreement
Agreement made 11 March 1980 between the Commonwealth and the Northern
Territory.

IN WITNESS WHEREOF etc.