Commonwealth of Australia Explanatory Memoranda

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SCHOOLS ASSISTANCE BILL 2008

                                    2008




               THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA




                                   SENATE






                        SCHOOLS ASSISTANCE BILL 2008






                    SUPPLEMENTARY EXPLANATORY MEMORANDUM







             Amendments to be moved on behalf of the Government










   (Circulated by authority of the Minister for Education, the Honourable
                              Julia Gillard MP)



                        SCHOOLS ASSISTANCE BILL 2008


                                   OUTLINE

The purpose of the Bill is to implement the Government's commitment to
provide stability in Commonwealth funding for non-government schools for
2009 to 2012.

The Bill appropriates funding for Commonwealth programs of financial
assistance to the States and Territories for non-government schools.  It
succeeds the Schools Assistance (Learning Together - Achievement Through
Choice and Opportunity) Act 2004 (the former Act) which authorised funding
for government and non-government schools for the 2005 to 2008 funding
period.

These Government amendments to the Schools Assitance Bill 2008 (which was
introduced in the House of Representatives on 24 September 2008) will have
the effect of providing that:
    . if a law of the Commonwealth or a State requires a non-government body
      or authority to be audited, and the relevant audit is expressed to be
      qualified or expresses concern about the financial viability of the
      body or authority, the Minister may determine by disallowable
      instrument to refuse to authorise, or delay a payment to a State for
      the non-government body or authority under the Act; and
    . a funding agreement under the Act must not require a report in
      relation to the financial operations (including the financial
      viability and funding sources) of a school or other non-government
      body, to include any information that would identify a particular body
      as the source of a donation to any non-government school or non-
      government body.




                              FINANCIAL IMPACT


The revenue cost against the forward estimates for both provisions is nil.












                        SCHOOLS ASSISTANCE BILL 2008


                             NOTES ON AMENDMENTS


Amendment 1 - Clause 15, page 19 (line 20), before "The Minister may'

Inserts a new subclase (1) as a section numbering amendment made necessary
by amendment 2


Amendment 2 - Clause 15, page 20 (lines 4 and 5)

Omits the words "if a law of the Commonwealth or a State requires the body
or authority to be audited-", and substitutes the words "a law of the
Commonwealth or a State requires the body or authority to be audited, and
the Minister determines that this paragraph applies because".

This amendment has the effect that if a law of the Commonwealth or a State
requires a non-government body or authority to be audited, and the relevant
audit is expressed to be qualified or expresses concern about the financial
viability of the body or authority, the Minister may determine by
disallowable instrument to refuse to authorise, or delay a payment to a
State for the non-government body or authority under the Act.


Amendment 3 - Clause 15, page 20 (after line 8), at the end of the clause

Adds a new subclause (2) which provides that a determination made under
paragraph (1)(c) is a disallowable instrument for the purposes of section
46B of the Acts Interpretation Act 1901.


Amendment 4 - Clause 24, page 26 (line 16), after subclause (1)

Inserts a new subclause (1A) which provides that a funding agreement must
not require a report mentioned in subsection 24(1) in relation to the
financial operations (including the financial viability and funding
sources) of a school or other non-government body, to include any
information that would identify a particular body as the source of a
donation to any non-government school or non-government body.  A note to
new subclause (1A) clarifies that a body means any organisation or body,
whether incorporated or not, or an individual (see definitions at section 4
of the Act).