Commonwealth Numbered Acts

STATES GRANTS (GENERAL PURPOSES) ACT 1990 No. 101, 1990 - SECT 11

11. (1) Financial assistance to which a State is entitled under this Act in
relation to the grant year is granted on the following conditions:

   (a)  that the State will pay to the Commonwealth the amount (if any)
        determined by the Education Minister on or before31 March 1991 as
        representing the State's share of the costs of any
        unfunded superannuation liabilities of higher education institutions
        in the State, being liabilities required to be discharged during the
        grant year;

   (b)  that the Treasurer may, after 31 May 1991, deduct from payment due to
        the State under this Act any amount that is payable by the State to
        the Commonwealth under paragraph (a) and remains unpaid.

(2) The amount to be determined under paragraph (1) (a) in relation to a State
is the amount that equals the sum of:

   (a)  the amount worked out using the formula:
ETP X SRC
where:

"ETP" (Estimated Total Payments) means the estimated total of the payments
required to be made during the grant year in discharge of
unfunded superannuation liabilities of higher education institutions in the
State attributable to service before 1 January 1974;

"SRC" (State Recurrent Costs) means the fraction representing, as nearly as is
practicable, the proportion of the recurrent costs of higher education in the
State borne by the State in the period during which that service was being
performed; and

   (b)  the amount by which the estimated total of the payments required to be
        made during the grant year in discharge of unfunded
        superannuation liabilities of higher education institutions in the
        State attributable to service on or after 1 January 1982 exceeds the
        sum of:

   (i)  the amount that would be the estimated total of such payments if the
        benefits provided under superannuation schemes under which those
        liabilities arise were reduced to a level that could be financed by a
        long-term employer contribution at the rate of 14% of members'
        salaries; and

   (ii) any amount that the Education Minister determines is appropriate
        having regard to relevant industrial awards relating to
        superannuation.

(3) An amount deducted under paragraph (1) (b) from payment due to a State is
taken to have been paid by the State to the Commonwealth under paragraph (1)
(a).

(4) In this section:

"higher education institution" has the same meaning as in the Employment, 
Education and Training Act 1988 .