FINANCIAL FRAMEWORK (SUPPLEMENTARY POWERS) AMENDMENT (VETERANS' AFFAIRS MEASURES NO. 2) REGULATIONS 2017 (F2017L00559) EXPLANATORY STATEMENT

Commonwealth Numbered Regulations - Explanatory Statements

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FINANCIAL FRAMEWORK (SUPPLEMENTARY POWERS) AMENDMENT (VETERANS' AFFAIRS MEASURES NO. 2) REGULATIONS 2017 (F2017L00559)

EXPLANATORY STATEMENT

 

Issued by the Authority of the Minister for Finance

 

Financial Framework (Supplementary Powers) Act 1997

 

Financial Framework (Supplementary Powers) Amendment

(Veterans' Affairs Measures No. 2) Regulations 2017

 

The Financial Framework (Supplementary Powers) Act 1997 (the FF(SP) Act) confers on the Commonwealth, in certain circumstances, powers to make arrangements under which money can be spent; or to make grants of financial assistance; and to form, or otherwise be involved in, companies.  The arrangements, grants, programs and companies (or classes of arrangements or grants in relation to which the powers are conferred) are specified in the Financial Framework (Supplementary Powers) Regulations 1997 (the Principal Regulations).  The FF(SP) Act applies to Ministers and the accountable authorities of non-corporate Commonwealth entities, as defined under section 12 of the Public Governance, Performance and Accountability Act 2013

 

Section 65 of the FF(SP) Act provides that the Governor-General may make regulations prescribing matters required or permitted by that Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to that Act.

 

Section 32B of the FF(SP) Act authorises the Commonwealth to make, vary and administer arrangements and grants specified in the Principal Regulations.  Section 32B also authorises the Commonwealth to make, vary and administer arrangements for the purposes of programs specified in the Principal Regulations.  Schedule 1AA and Schedule 1AB to the Principal Regulations specify the arrangements, grants and programs. 

 

The Regulations amend Schedule 1AB to the Principal Regulations to establish legislative authority for government spending on the Supporting Younger Veterans program to provide grants to ex-service organisations and other community organisations for a range of projects that engage and support younger veterans, particularly with their transition to civilian life.  Younger veterans are those veterans who have served in conflicts after 1999.

 

Total funding of $4.25 million for five years will be available under the program.  Of this, $3.3 million for four years from 2016-17 was included in the 2016-17 Mid-Year Economic and Fiscal Outlook which was released on 19 December 2016.  This 2016 federal election commitment will be administered by the Department of Veterans' Affairs.

 

Details of the Regulations are set out at Attachment A.  A Statement of Compatibility with Human Rights is at Attachment B

 

The Regulations are a legislative instrument for the purposes of the Legislation Act 2003.  The Regulations commence on the day after registration on the Federal Register of Legislation. 


 

Consultation

 

In accordance with section 17 of the Legislation Act 2003, consultation has taken place with the Department of Veterans' Affairs.

 

A regulation impact statement is not required as the Regulations only apply to non-corporate Commonwealth entities and do not adversely affect the private sector.

 

 

 


Details of the Financial Framework (Supplementary Powers) Amendment (Veterans' Affairs Measures No. 2) Regulations 2017

 

Section 1 - Name

 

This section provides that the title of the Regulations is the Financial Framework (Supplementary Powers) Amendment (Veterans' Affairs Measures No. 2) Regulations 2017.

 

Section 2 - Commencement

 

This section provides that the Regulations commence on the day after registration on the Federal Register of Legislation. 

 

Section 3 - Authority

 

This section provides that the Regulations are made under the Financial Framework (Supplementary Powers) Act 1997.

 

Section 4 - Schedules

 

This section provides that the Financial Framework (Supplementary Powers) Regulations 1997 are amended as set out in the Schedules to the Regulations.

 

Schedule 1 - Amendments

 

Item 1 - In the appropriate position in Part 4 of Schedule 1AB (table)

 

This item adds a new table item to Part 4 of Schedule 1AB to the Financial Framework (Supplementary Powers) Regulations 1997 for an activity that will be administered by the Department of Veterans' Affairs.

 

New table item 226 establishes legislative authority for government spending on the Supporting Younger Veterans program.

 

The purpose of the program is to support younger veterans as they transition out of the Australian Defence Force (ADF) and establish themselves into civilian life.  Younger veterans are those veterans who have served in conflicts after 1999.  This cohort is different from previous veteran cohorts in the way they wish to communicate and collaborate with each other, and in the nature of services they seek to assist them to re-integrate into, and navigate, civilian life.

 

Many service men and women experience challenges transitioning out of the ADF and lack skills performing everyday tasks such as getting a Medicare card, finding a doctor, renting a house, enrolling children in school etc.  This contributes to alienation and stress associated with the transition into civilian society.  Research shows that the stress of transition can also exacerbate physical and mental health issues.

 

Consultations with ex-service organisations (ESOs), which are voluntary organisations dedicated to the welfare of veterans, service men and women, and their family members, identified that existing grant programs administered by the Department of Veterans' Affairs do not provide sufficient support to ESOs providing services that are sought by younger veterans.  The Supporting Younger Veterans program was developed to address this gap in service delivery.  The program aims to ease social isolation amongst veterans and promote veterans' general health and well-being by providing the opportunity to participate in a variety of activities in a group setting.

 

The program will provide grants to:

*         build community capacity to meet the needs of younger veterans;

*         encourage innovative and sustainable services for younger veterans;

*         raise awareness of the issues faced by younger veterans; and

*         promote partnerships among ESOs in Australia.

 

Charitable and community organisations other than ESOs are also eligible to apply for funding but they must do so in partnership with an ESO.  This is because ESOs are dedicated to the welfare of the veteran community and understand the unique needs of veterans.  There are no limitations on the size of individual grants.  However, organisations will be ineligible for grant funding if they have a previous grant from the Department of Veterans' Affairs that has not been acquitted.

 

On 25 June 2016, the Prime Minister, the Hon Malcolm Turnbull MP, and the Minister for Veterans' Affairs, the Hon Dan Tehan MP, announced funding for ESOs to promote social inclusions and peer-to-peer support for younger veterans as part of 'The Coalition's Policy to Support Veterans and Their Families' which is available at https://www.liberal.org.au/coalitions-policy-support-veterans-and-their-families.

 

Total funding of $4.25 million for a period of five years commencing in 2016-17 will be available under the program: $250,000 in 2016-17; and $1 million in each of the remaining four financial years.  Of this, $3.3 million for four years commencing in 2016-17 was included in the 2016-17 Mid-Year Economic and Fiscal Outlook under the measure 'Support for Veterans and Their Families'.  Details are set out in the Mid-Year Economic and Fiscal Outlook 2016-17, Appendix A: Policy decisions taken since the 2016 PEFO at page 199.

 

Funding for this activity will come from Program 2.5: Support for Veterans and their Families, which is part of Outcome 2.  Details are set out in the Portfolio Additional Estimates Statements 2016-17, Defence Portfolio (Department of Veterans' Affairs) at page 18.

 

The first grant round is expected to be launched and advertised in May 2017, followed by a grant round in each of the remaining financial years that would open on 1 July and close on 1 September.  If funds are not exhausted, further funding rounds may be offered.

 

Grants will be awarded through an open competitive process.  Information about the program, including grant guidelines, application forms, timeframes, selection criteria and a list of successful grant recipients will be made publicly available at www.dva.gov.au/consultation-and-grants/grants and, after 1 July 2017, on the Grant Connect website at www.grants.gov.au.

 


 

Grant decisions will be made by the Minister for Veterans' Affairs.  Funding will be provided in accordance with the Public Governance, Performance and Accountability Act 2013 and the Commonwealth Grants Rules and Guidelines.  Funding will be spent in accordance with grant agreements entered into between the Department of Veterans' Affairs and successful applicants.

 

As a competitive process, ESOs must meet the guideline criteria.  There are three criteria weighted equally, with applications assessed against each one.  Applications must also demonstrate value for money.  The amount of detail and supporting evidence must be relative to the project size, complexity and grant amount requested.

 

By addressing the selection criteria, grant recipients will demonstrate their understanding of, and connection to, younger veterans, as well as their capacity to deliver projects that meet the aim of the program.

 

The Department will rank each application in order of merit and make recommendations to the Minister for Veterans' Affairs who will decide the outcome of all applications.  Decisions of the Minister will be final and will not be open to appeal. 

 

Due to the breadth and diversity of project types, and the different levels of benefit they would offer to younger veterans, merits review is not considered appropriate for this program.  The grant guidelines will, however, ensure that the decision-making process is objective and transparent and that eligibility criteria are clear.

 

Unsuccessful applicants will be notified in writing and will be able to obtain feedback on the reasons why the application was not selected for funding.  In these cases, an applicant will be able to re-submit an application in any future grant opportunity rounds.  Further, if an applicant is not satisfied with the outcome of the process, it can make a complaint to the Department of Veterans' Affairs through the contact details on the department's website (www.dva.gov.au).

 

Noting that it is not a comprehensive statement of relevant constitutional considerations, the objective of the item references the defence power (section 51(vi)) of the Constitution.

 

With respect to the defence power, the support is targeted at veterans of conflicts after 1999.

 

 

 

 


Statement of Compatibility with Human Rights

 

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Financial Framework (Supplementary Powers) Amendment (Veterans' Affairs Measures No. 2) Regulations 2017

 

These Regulations are compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

Overview of the Legislative Instrument

 

Section 32B of the Financial Framework (Supplementary Powers) Act 1997 (the FF(SP) Act) authorises the Commonwealth to make, vary and administer arrangements and grants specified in the Financial Framework (Supplementary Powers) Regulations 1997 (the FF(SP) Regulations) and to make, vary and administer arrangements and grants for the purposes of programs specified in the Regulations.  Schedule 1AA and Schedule 1AB to the FF(SP) Regulations specify the arrangements, grants and programs.  The FF(SP) Act applies to Ministers and the accountable authorities of non-corporate Commonwealth entities, as defined under section 12 of the Public Governance, Performance and Accountability Act 2013

 

The Regulations amend Schedule 1AB to the FF(SP) Regulations to establish legislative authority for government spending on the Supporting Younger Veterans program to provide grants to ex-service organisations and other community organisations for a range of projects that engage and support younger veterans, particularly with their transition to civilian life.  Younger veterans are those veterans who have served in conflicts after 1999.

 

Total funding of $4.25 million for five years will be available under the program.  Of this, $3.3 million for four years from 2016-17 was included in the 2016-17 Mid-Year Economic and Fiscal Outlook.  This 2016 federal election commitment will be administered by the Department of Veterans' Affairs.

 

The Minister for Veterans' Affairs has portfolio responsibility for this matter which will be administered by the Department of Veterans' Affairs.

 

Human rights implications

 

The Regulations do not engage any of the applicable rights or freedoms.

 

Conclusion

 

These Regulations are compatible with human rights as they do not raise any human rights issues.

 

 

 

Senator the Hon Mathias Cormann

Minister for Finance


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