Commonwealth Numbered Acts Commonwealth Numbered Acts(1) The responsible Ministers may, by writing, make rules for ascertaining the maximum amount that can be debited from the Fund Account during a financial year for the following purposes:
(a) making grants of financial assistance to eligible higher education institutions in relation to capital expenditure;
(b) making grants of financial assistance to eligible higher education institutions in relation to research facilities;
and must make at least one such rule before 1 July 2008.
Note 1: For variation and revocation, see subsection 33(3) of the Acts Interpretation Act 1901 .
Note 2: See also section 53 (additional obligations of responsible Ministers).
(2) Rules under subsection (1) are to be known as the Maximum Grants Rules .
Criteria etc.
(3) Subject to subsection (5), in making rules under subsection (1), the responsible Ministers must have regard to:
(a) the objective that, over the medium to long term, grants authorised under section 45 should not result in the balance of the Fund falling below the real value of the Government contributions to the Fund Account; and
(b) the objective of moderating volatility in maximum grants amounts from financial year to financial year;
and must not have regard to any other matters.
Note: For medium to long term , see subsection (8).
(4) The responsible Ministers must not make rules under subsection (1) that are inconsistent with this Act.
(5) The maximum amount that can be debited from the Fund Account during a financial year for the following purposes:
(a) making grants of financial assistance to eligible higher education institutions in relation to capital expenditure;
(b) making grants of financial assistance to eligible higher education institutions in relation to research facilities;
must not exceed the accumulated nominal earnings of the Fund as at the start of the financial year.
Note: For accumulated nominal earnings , see section 49.
Consultation
(6) Before making rules under subsection (1), the responsible Ministers must:
(a) consult the Education Minister; and
(b) consult the Future Fund Board in relation to any implications for the performance of Future Fund Board's Higher Education Endowment Fund investment functions.
Legislative instrument
(7) Rules made under subsection (1) are legislative instruments, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to the rules.
Medium to long term
(8) For the purposes of this section, the medium to long term is a period of 5 years or longer.