Commonwealth of Australia Explanatory Memoranda

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FARM HOUSEHOLD SUPPORT AMENDMENT BILL 1996

1996

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

HOUSE OF REPRESENTATIVES



FARM HOUSEHOLD SUPPORT AMENDMENT BILL 1996


EXPLANATORY MEMORANDUM









(Circulated by authority of the Minister for Primary Industries and Energy,
the Hon John Anderson, MP)


79573 Cat. No. 96 5531 X ISBN 0644 480041


FARM HOUSEHOLD SUPPORT AMENDMENT BILL 1996
GENERAL OUTLINE
1. The Farm Household Support Amendment Bill 1996 amends the
Farm Household Support Act 1992 to give effect to the
GovernmentÕs decision, announced in the 1996-97 Budget, to
terminate the Farm Household Support (FHS) scheme.
FINANCIAL IMPACT STATEMENT
2. The FHS scheme is to be terminated as a Budget savings measure.
FHS expenditure in 1995-96 was $960,000. Savings will not reach
this level initially, as transitional arrangements will operate in
1996-97 and 1997-98. Full-year savings will not accrue until after
1998-99.

NOTES ON CLAUSES
Clause 1 - Short title
3. This clause provides for the Act to be called the Farm Household
Support Amendment Act 1996.
Clause 2 - Commencement
4. This clause provides for the Act to come into effect 28 days after it
receives Royal Assent.
Clause 3 - Schedule(s)
5. This clause provides that the Act referred to in the Schedule is
amended as set out in the Schedule and the other items in the
Schedule have effect according to their terms.

SCHEDULE 1
AMENDMENT OF THE FARM HOUSEHOLD SUPPORT ACT 1992
Item 1- After Part 1 - Part 1A - Termination of farm household support
6. Item 1 inserts a new section 6A which prevents the payment of FHS
to those people who were not in receipt of FHS payments on the
cut-off date (that is, 28 days after Royal Assent) and prevents the
payment of FHS to those whose receipt of FHS is not continuous
after the FHS cut-off date. For example, people who are receiving
FHS on the cut-off date can continue to receive payment. However,
should they lose entitlement on or after the cut-off date, they cannot
resume payment.
Subsection 6A(2) ensures that section 6A will have effect,
notwithstanding any other provision in the Farm Household
Support Act 1992.
This amendment is not intended to change the provisions of the
FHS scheme for those who continue to receive FHS payments on
and continuously after the cut-off date.

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