EXPLANATORY STATEMENT

 

Select Legislative Instrument 2005 No. 10

 

TEXTILE, CLOTHING AND FOOTWEAR STRATEGIC INVESTMENT PROGRAM REGULATIONS 2005

General Outline

 

Section 56 of the Textile, Clothing and Footwear Strategic Investment Program Act 1999 (the Act) provides that the Governor-General may make regulations prescribing matters required or permitted by the Act to be prescribed or necessary or convenient to be prescribed for carrying out or giving effect to the Act.

 

The policy objective of the Act is to foster the development of the Australian textile, clothing and footwear (TCF) manufacturing and design industry, by providing incentives which will promote investment and innovation, so that it is viable and internationally competitive in the future. 

 

The Act establishes the framework for the implementation of the Textile, Clothing and Footwear Strategic Investment Program, through the formulation of the Textile, Clothing and Footwear Strategic Investment Program Scheme (the TCF (SIP) Scheme) which provides grants annually and in arrears in connection with the design and manufacture, in Australia, of eligible TCF products. 

 

The Act was amended in December 2004 to provide for a ten year extension of the Textile, Clothing and Footwear Strategic Investment Program, through the formulation of the Textile, Clothing and Footwear Post-2005 Strategic Investment Program Scheme (the TCF Post-2005 (SIP) Scheme) and to establish the TCF Small Business Program.  The TCF Post-2005 (SIP) Scheme will also provide grant support, annually and in arrears in connection with the design and manufacture, in Australia, of eligible TCF products.  Amendments to the Act also included provision for the appointment of officers to monitor compliance with grant conditions.

 

The purpose of the proposed Regulations is to prescribe the information that must be set out on the identity card carried by compliance monitoring officers appointed under the Act.

 

Division 4A of Part 2 and Division 6 of Part 3A of the Act provide, respectively, that the TCF (SIP) Scheme and the TCF Post-2005 (SIP) Scheme may make provision for the payment of a grant to be subject to certain conditions, whether conditions precedent or conditions subsequent. 

 

Conditional grants were introduced to facilitate the implementation of a robust and transparent compliance monitoring process to the extent necessary to ensure that the monies paid by the Commonwealth are used for the purpose specified by the Parliament and not for other purposes.

 

Subsections 18A(6) and (7), and 37P(6) and (7) of the Act enable the Secretary of the Department of Industry, Tourism and Resources to appoint an APS employee or an employee of an authorised Commonwealth contractor as an authorised officer to monitor compliance of the TCF (SIP) Scheme and the TCF Post-2005 (SIP) Scheme, respectively, if the Secretary is satisfied that the employee has suitable qualifications for the appointment.

 

Sections 18F and 37U of the Act require the Secretary to issue an identity card, in the form prescribed by the regulations and containing a recent photograph of the authorised officer, to authorised officers undertaking compliance monitoring activities in relation to the TCF (SIP) Scheme and the TCF Post-2005 (SIP) Scheme, respectively.

 

An authorised officer must carry the identity card at all times when exercising the powers referred to in Division 4A of Part 2 and Division 6 of Part 3A of the Act, including accessing a business premises and/or operating electronic equipment on the premises to obtain information.  An authorised officer is not entitled to exercise any power as an authorised officer under the Act unless he/she is able to produce the identity card if so requested.

 

Authority for the Textile, Clothing and Footwear Stategic Investment Program Regulations 2005

 

Section 56 of the Textile, Clothing and Footwear Strategic Investment Program Act 1999.

 

Financial Implications

 

There are no financial implications for these Regulations.

 

NOTES ON SECTIONS

 

Section 1 — Name of Regulations

 

This provision specifies the title of the Regulations is the Textile, Clothing and Footwear Strategic Investment Program Regulations 2005.

 

Section 2 — Commencement

 

These Regulations commence on the date of their notification in the Gazette.

 

Section 3 — Interpretation

 

This section describes the meaning of specific terms used within the Regulations and refers to other legislation containing relevant definitions, including the Act.

 

Sections 4 — Identity cards

 

This section specifies that the following information must be contained on the identity card:

·        the authorised officer’s name;

·        if the authorised officer is an APS employee — the name of the Commonwealth Department to which the officer belongs;

·        if the authorised officer is not an APS employee — the function for which the authorised officer was appointed;

·        a declaration that the card was issued by the Secretary under the Act;

·        an identification number for the card; and

·        instructions for the return of the card, if found