Scrutiny of Commonwealth expenditure [2021] AUSStaCSDLM 121 (4 August 2021)

• Chapter 3
• Scrutiny of Commonwealth expenditure

Chapter 3

Scrutiny of Commonwealth expenditure

3.1 The Financial Framework (Supplementary Powers) Act 1997 (FF(SP) Act) and the Industry Research and Development Act 1986 (IRD Act) authorise the Commonwealth to spend public money on grants and programs specified in instruments made under those Acts. Consequently, the specification of expenditure in an instrument made under these Acts effectively authorises the Commonwealth to spend public moneys on the relevant grant or program. The scrutiny of such instruments is a key aspect of parliamentary scrutiny and control of Commonwealth expenditure.^[1]

3.2 To facilitate such scrutiny, this chapter draws the Senate's attention to the nature and extent of Commonwealth expenditure that is authorised by the FF(SP) Act and the IRD Act and specified in delegated legislation made under those Acts.^[2]

3.3 The tables below outline the expenditure specified in legislative instruments registered between 21 May 2021 and 18 June 2021.

3.4 The committee has resolved to write to the relevant legislation committees to alert those committees to the expenditure listed below that falls within their area of portfolio responsibility. The committee does so under standing order 23(4) which requires the committee to scrutinise each instrument to determine whether the Senate's attention should be drawn to it on the ground that it raises significant issues, or otherwise gives rise to issues that are likely to be of interest to the Senate.

Instrument	Grant/ Program	Amount	Description	Portfolio committee
Financial Framework (Supplementary Powers) Amendment (Home Affairs Measures No.2) Regulations 2021 [F2021L00698]	COVID-19 Disaster Payment	The rate of payment is currently set at: • $750 per week for people who were engaged in paid employment of more than 20 hours per week; • $450 per week for people who were engaged in paid employment of less than 20 hours per week; and • $200 per week for people in receipt of an eligible income support payment.	The payment is intended to assist eligible workers who are unable to earn their usual income as a result of health restrictions (public health orders) imposed by state or territory governments, where the Commonwealth Chief Medical Officer has determined the location to be a COVID-19 hotspot for the purposes of Commonwealth support. The payment will be available when restrictions have remained in place for longer than one week and, other than annual leave, the individual does not have available leave entitlements to cover the period of the restrictions.	Senate Select Committee on COVID-19 Senate Legal and Constitutional Affairs Legislation Committee
Industry Research and Development (Boosting Australia's Diesel Storage Program) Instrument 2021 [F2021L00610]	Boosting Australia’s Diesel Storage Program	$200 million	The program will provide $200 million to increase Australia’s fuel security by providing matched funding to industry to construct new diesel storage. This will assist industry in meeting the increased diesel levels under the minimum stockholding obligation. The program will support industry by providing up to 50 per cent of their capital expenditure costs, through a grant, for the construction of the new diesel storage.	Senate Environment and Communications Legislation Committee
Industry Research and Development (Support for an Australian Fashion Certification Trade Mark Program) Instrument 2021 [F2021L00692]	Support for an Australian Fashion Certification Trade Mark Program	$0.95 million over two years from 2020-21	The Program provides funding to the Australian Fashion Council Limited to undertake the design, development and delivery of an Australian fashion certification trade mark to support its objectives to promote and nurture the success of Australian fashion and textile companies and ensure competitiveness domestically and internationally. The design and development of the trade mark will likely include the development of creative concepts and determination of the rules of use and registration. The delivery of the trade mark will likely include administering the trade mark, approving businesses for its use and implementing an awareness campaign.	Senate Economics Legislation Committee

Senator the Hon Concetta Fierravanti-Wells

Chair

Senate Standing Committee for the Scrutiny of Delegated Legislation

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[1] For further information see the committee's guideline on Scrutiny of Commonwealth expenditure and Chapter 7 of the report of the committee's inquiry, Parliamentary scrutiny of delegated legislation.

[2] Details of all instruments which specify Commonwealth expenditure are published on the committee's website: https://www.aph.gov.au/Parliamentary_Business/Committees/Senate/Scrutiny_of_Delegated_Legislation/Scrutiny_of_Commonwealth_expenditure.