Expenditure and taxation in delegated legislation [2023] AUSStaCSDLM 156 (9 November 2023)

---

Chapter 5 :

Expenditure and taxation in delegated legislation

5.1 This Chapter identifies the instruments which the committee has resolved to draw to the attention of the Senate under standing order 23(4) in the interest of promoting appropriate parliamentary scrutiny of Commonwealth expenditure in delegated legislation.[1] This includes expenditure-related instruments and instruments that levy taxation.

Commonwealth expenditure

Instruments specifying expenditure under the Financial Framework (Supplementary Powers) Act 1997 and Industry Research and Development Act 1986

5.2 Instruments made under the Financial Framework (Supplementary Powers) Act 1997 (the FF(SP) Act) and the Industry Research and Development Act 1986 (the IRD Act) authorise the Commonwealth to spend public money on grants and programs specified. The committee has resolved to draw these instruments to the Senate's attention under Senate standing order 23(4).^[2]

5.3 The table below lists the expenditure specified in legislative instruments made under the FF(SP) Act and IRD Act registered in the relevant period.

Instrument	Amount	Grant/Program
Financial Framework (Supplementary Powers) Amendment (Attorney-General's Portfolio Measures No. 1) Regulations 2023 [F2023L01417]	$7.4 million (including departmental funding) over four years from 2023-24; $2.1 million per year ongoing	Incoming Overseas Child Abduction Scheme
SDLC-Financial Framework (Supplementary Powers) Amendment (Climate Change, Energy, the Environment and Water Measures No. 4) Regulations 2023 [F2023L01418]	$611.8 million over eight years from 2022-23 $200.5 million over four years from 2022-23	Powering the Regions Fund – safeguard transformation scheme Powering the Regions Fund – critical inputs to clean energy industries
Financial Framework (Supplementary Powers) Amendment (Employment and Workplace Relations Measures No. 2) Regulations 2023 [F2023L01412]	$32.0 million over four years from 2022-23; $8.0 million per year ongoing	Advice, advocacy and support services for working women program
Financial Framework (Supplementary Powers) Amendment (Health and Aged Care Measures No. 4) Regulations 2023 [F2023L01353]	$6.2 million in 2023-24	Grant to The Embrace Collective Ltd
Financial Framework (Supplementary Powers) Amendment (Health and Aged Care Measures No. 5) Regulations 2023 [F2023L01413]	$6.0 million over three years from 2023-24 $133.2 million in 2023-24 $13.4 million in 2023-34	Grant to Royal Children's Hospital Good Friday Appeal Aged Care Work Value Case – historical leave provisions Aged Care Worker COVID-19 Leave Payments
Financial Framework (Supplementary Powers) Amendment (Home Affairs Measures No. 6) Regulations 2023 [F2023L01410]	$553.6 million in 2023-24 $2.1 billion over four years from 2023-24	Assisted Passage Program Settlement Support Programs
Financial Framework (Supplementary Powers) Amendment (Infrastructure, Transport, Regional Development, Communications and the Arts Measures No. 4) Regulations 2023 [F2023L01415]	$40.4 million over four years from 2023-24; $9.9 million per year ongoing from 2027-28 $170,000 in 2023-24 Commercial-in-confidence	Grants to the Bundanon Trust Arrangements to pay directors of the Bundanon Trust Provision of commercial television services over Viewer Access Satellite Television
Financial Framework (Supplementary Powers) Amendment (Social Services Measures No. 5) Regulations 2023 [F2023L01414]	$3.5 million over two years from 2022-23 $3 million in 2023-24	Behaviour Support Training Program Volunteering Awareness Campaign
Industry Research and Development (Industry Growth Program) Instrument 2023 [F2023L01432]	$340 million over 4 financial years from 2023-2024, including $287 million in grant funding for startups and innovative small and medium enterprises	Industry Growth Program

Levying of taxation in delegated legislation

5.4 The committee considers that one of the most fundamental functions of the Parliament is to levy taxation. The committee's longstanding view is that it is for the Parliament, rather than makers of delegated legislation, to set a rate of tax (in accordance with Senate standing order 23(3)(j)). Where a tax is imposed in delegated legislation, the committee's concerns are heightened if it is not limited by a cap in the relevant enabling Act.

5.5 As the levying of taxation in delegated legislation is a systemic technical scrutiny matter, the committee has resolved to draw the following instruments to the attention of the Senate under standing order 23(4).

Instrument	Limit on the taxation amount in primary legislation?
Private Health Insurance (Complaints Levy) Rules 2023 [F2023L01272]	Yes

---

^[1] Details of all instruments which the committee has resolved to draw to the attention of the Senate under standing order 23(4) are published on the committee's website.

^[2] Details of all instruments which authorise Commonwealth expenditure are published on the committee's website.