MINISTERS OF STATE AMENDMENT REGULATIONS 2017 (F2017L00678) EXPLANATORY STATEMENT

Commonwealth Numbered Regulations - Explanatory Statements

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MINISTERS OF STATE AMENDMENT REGULATIONS 2017 (F2017L00678)

EXPLANATORY STATEMENT

Issued by the Authority of the Special Minister of State

Ministers of State Act 1952

Ministers of State Amendment Regulations 2017

Section 5 of the Ministers of State Act 1952 (the Act) provides a limit on the annual sum that can be appropriated from the Consolidated Revenue Fund to pay the salaries of Ministers of State under section 66 of the Constitution. The limit provided by the Act is $3,500,000 or such higher amount as may be prescribed by the regulations (paragraph 5(b)). The Ministers of State Regulation 2012 (the Principal Regulation) currently prescribes the amount of $5,000,000 for the purposes of paragraph 5(b) of the Act.

Section 7 of the Act provides that the Governor-General may make regulations prescribing matters required or permitted by the Act, or necessary or convenient for carrying out or giving effect to the Act, to be prescribed. These Regulations amend the Principal Regulation to increase the limit for the 2016-17 financial year, and future financial years, from $5,000,000 to $5,500,000.

The increase to the limit on the annual sum is necessary to ensure that there are sufficient funds available to pay the salaries of Minister of State consistent with the current levels. At present the salaries for Ministers of State are determined by the Executive. However, by convention the amounts paid are consistent with those recommended by the Remuneration Tribunal in their independent report on the salaries of Ministers of State. The increase to the limit will support the payment of amounts consistent with those recommended in the most recent report of the Remuneration Tribunal (2016 Report on Ministers of State - Salaries Additional to the Basic Parliamentary Salary) for the current, and future, financial years.

Details of the Regulations are set out at Attachment A. A Statement of Compatibility with Human Rights is at Attachment B.

These Regulations are a legislative instrument for the purposes of the Legislation Act 2003.

Commencement

The Regulation commences on the day after registration on the Federal Register of Legislation.

Regulatory Impact

The Office of Best Practice Regulation (OBPR) has been consulted and agrees that these Regulations have no regulatory impact on businesses, individuals or organisations and therefore the regulatory costs are nil. OBPR ID Number: 22226.

Consultation

In relation to section 17 of the Legislation Act 2003, wider consultation than within Government was not considered necessary or appropriate as the amendment is machinery in nature and does no more than support the existing arrangements for the payment of salaries for Ministers of State.

Details of the Ministers of State Amendment Regulations 2017

Section 1 - Name

This section provides that the title of the Regulations is the Ministers of State Regulations 2017 (the Regulations).

Section 2 - Commencement

This section provides that the Regulations commence in accordance with column 2 of the table in subsection 2(1).

Item 1 of the table provides that the whole of the instrument commences on the day after the Regulations are registered on the Federal Register of Legislation.

Section 3 - Authority

This section states that the Regulations are made under the Ministers of State Act 1952 (the Act).

Section 4 - Schedules

This section provides that each instrument specified in a Schedule to the Regulations is amended or repealed as set out in the Schedule, and that any other item in a Schedule has effect according to its terms.

Schedule 1 - Amendments

Item [1] omits $5,000,000 from regulation 4 of the Principle Regulation and substitutes $5,500,000 in its place. This has the effect of increasing the annual limit on the amount that may be appropriated from the Consolidated Revenue Fund for the payment of the salaries of Ministers of State under paragraph 5(b) of the Act from $5,000,000 to $5,500,000.

Statement of Compatibility with Human Rights

Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011

Ministers of State Amendment Regulations 2017

These Regulations are compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Legislative Instrument

This Legislative Instrument amends the Ministers of State Regulation 2012 to increase the annual sum that can be appropriated from the Consolidated Revenue Fund to pay the salaries of Ministers of State under section 66 of the Constitution.

Human rights implications

This Legislative Instrument does not engage any of the applicable rights or freedoms.

Conclusion

This Legislative Instrument is compatible with human rights as it does not raise any human rights issues.

Scott Ryan

Special Minister of State