New South Wales Consolidated Acts

FISCAL RESPONSIBILITY ACT 2012 - SECT 7

7 Principles of sound financial management

(1) The policy objectives of the Government should be pursued in accordance with the principles of sound financial management set out in this section in order to support the object of this Act.

(2) Principle No 1 is responsible and sustainable spending, taxation and infrastructure investment, including--

(a) aligning general government revenue and expense growth, and

(b) stable and predictable taxation policies, and

(c) investment in infrastructure that has the highest benefit for the community.

(3) Principle No 2 is effective financial and asset management, including sound policies and processes for--

(a) performance management and reporting, and

(b) asset maintenance and enhancement, and

(c) funding decisions, and

(d) risk management practices.

(4) Principle No 3 is achieving intergenerational equity, including ensuring that--

(a) policy decisions are made having regard to their financial effects on future generations, and

(b) the current generation funds the cost of its services.