Commonwealth Numbered Regulations - Explanatory Statements

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CONSTRUCTION INDUSTRY REFORM AND DEVELOPMENT REGULATIONS 1992 NO. 356

EXPLANATORY STATEMENT

Statutory Rules 1992 No. 356

(Issued by the Authority of the Minister for Industrial Relations)

Construction Industry Reform and Development Act 1992

Construction Industry Reform and Development Regulations

Section 56 of the Construction Industry Reform and Development Act 1992 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.

The Act received Royal Assent on 20 May 1992. Subsection 2(2) of the Act provides that, if it is not proclaimed within 6 months of Royal Assent, the Act commences on the first day after the and of that period. By virtue of subsection 2(2), the Act including section 56 commenced on 20 November 1992.

The Act establishes two bodies known as the Construction Industry Development Council (the Council) and the Construction Industry Development Agency (the Agency). The primary purpose of the Council is to act as a national forum for the construction industry in Australia and the purpose of the Agency is to promote and facilitate reform of the construction industry in Australia.

The Agency is a body corporate. It has a limited life and is to cease to exist on 1 July 1995. A Board of the Agency has been established to provide policy and direction for the Agency. An interim Board of the Agency was established in 1991. This body will cease to operate on the commencement of the Act.

The Act provides for membership of both the Council and the Agency and ensures that both bodies are representative of the interests of the industry. The Act also provides for financial and reporting requirements for the Agency.

The purpose of the proposed Regulations is to make provisions in relation to the membership of the Council, to prescribe allowances to be paid to members of the Board of the Agency and to prescribe reporting requirements for the Agency. Details of the proposed regulations are attached.

The regulations wore made under section 4 of the Acts Interpretation Act 1901. Section 4 authorises the making of regulations under an Act before the provision containing the regulation making power in the relevant Act comes into effect. Regulations made in those circumstances commence on the same day as the provision authorising the making of regulations.

The Regulations commenced on 20 November 1992.

ATTACHMENT

Regulation 1:       Citation

This gives the short title of the regulations.

Regulation 2:       Interpretation

The term "the Act" is defined as meaning the Construction Industry Reform and Development Act 1992.

Regulations 3 to 7:        Membership of the Council

Section 6 of the Act provides that the Council is to consist of members representing the government; and a prescribed minimum number representing the Commonwealth, the States and the 'Territories, prescribed industry bodies, the Australian Council of Trade Unions and prescribed trade unions.

Regulation 3 prescribes a minimum number of eight members to represent the Commonwealth.

Subregulation 4(1) prescribes a minimum of five members to represent the governments of the States and the Territories.

Paragraph 5(1)(a) prescribes a minimum of ten members to represent prescribed industry bodies. Paragraph 5(1)(b) provides that the industry bodies contained In Schedule 1 to the Regulations are prescribed.

Subregulation 6(1) provides that at least one member is to represent the Australian Council of Trade Unions.

Paragraph 7(1)(a) prescribes a minimum of seven members to represent prescribed trade unions. Paragraph 7(1)(b) provides that the trade unions contained in Schedule 2 to the Regulations are prescribed.

Section 6 of the Act also provides that members of the Council are to be selected in accordance with the Regulations.

Subregulations 4(2) to 7(2) prescribe a selection procedure to be followed by the Minister in selecting members of the Council prescribed in subregulations 4(1) to 7(1). Selection is to be in consultation with the relevant bodies which the members are to represent and is to be made on the basis of the qualifications and experience of the person concerned.

Regulation 8:        Meetings of the Council - quorum

The Council will be taken to be constituted when eighteen members have been appointed to it. This is the number required by section 12 of the Act to form a quorum at a meeting of the Council.

Regulation 9:        Allowances of certain members of the Board

Section 30 of the Act provides that members of the Board of the Agency, other than the Chief Executive Officer, are to be part-time. Section 31 of the Act provides that they are entitled to such allowances as are prescribed.

Regulation 9 prescribes rates of travelling allowance to which these members are entitled. The rates are equivalent to those determined by the Remuneration Tribunal for part-time holders of public office in respect of whom the Tribunal has not otherwise specified a rate of travelling allowance.

Regulation 10:        Allowances of the Chief Executive Officer

Subsection 37(2) of the Act provides that the Chief Executive Officer is to be paid such allowances as are prescribed.

Regulation 10 prescribes rates of travelling allowance to which the Chief Executive Officer is entitled. The rates are equivalent to those payable to Senior Executive Officers of the Australian Public Service.

Regulation 11:        Reports by the Agency

Subsection 55(1) of the Act provides that a periodic report is to be prepared by the Agency. The report is to be in addition to the annual report also required of the Agency. It is to be prepared in accordance with the Regulations for each period which is prescribed by the Regulations.

Subregulation 11 (1) provides that the periodic report is to include a description of progress toward implementation of the Construction industry In-principle Reform and Development Agreement. This Agreement is a document first published by the Department of Industrial Relations in April 1992. The document will be updated from time to time during the reform process, but will retain the same title as that which it is proposed will be cited in subregulation 11 (1).

Subregulation 11 (2) prescribes a six-monthly report period, commencing on 1 January and 1 July in a year. For the purposes of the Act, the first reporting period will commence on 1 January 1993, to report on progress during the six months from that date.

Subregulation 11 (3) provides that the period from 20 November 1992, when the Regulations commence, until 1 January 1993 is taken to be included in the reporting period starting on that latter date.


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