Senate debates

Thursday, 28 August 2014

Bills

Land Transport Infrastructure Amendment Bill 2014; In Committee

10:49 am

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party, Shadow Minister for Human Services) Share this | Hansard source

by leave—I move amendment (8), amendments (1) to (4) and amendment (9) on sheet 7495 together:

(1) Schedule 1, item 2, page 3 (after line 17), after paragraph (a) of the definition of approved funding recipient, insert:

  (aa) a Heavy Vehicle Safety and Productivity Project;

(2) Schedule 1, item 3, page 3 (after line 26), after paragraph (a) of the definition of approved purposes, insert:

  (aa) a Heavy Vehicle Safety and Productivity Project;

(3) Schedule 1, item 8, page 4 (before line 18), before the definition of Infrastructure Project, insert:

  Heavy Vehicle Safety and Productivity Project has the meaning given by section 86A.

(4) Schedule 1, item 11, page 5 (after line 16), after paragraph (a) of the definition of project approval instrument, insert:

  (aa) in relation to a Heavy Vehicle Safety and Productivity Project—the instrument approving the project under subsection 86B(1); and

(8) Schedule 1, page 11 (after line 29), after item 38, insert:

38A After Part 7

  Insert:

Part 7A—Heavy Vehicle Safety and Productivity Projects

Division 1—Approval of Heavy Vehicle Safety and Productivity Projects

86A What is a Heavy Vehicle Safety and Productivity Project?

     A Heavy Vehicle Safety and Productivity Project is a project for which an approval by the Minister under subsection 86B(1) is in force.

86B Approval of Heavy Vehicle Safety and Productivity Projects

(1) The Minister may, in writing, approve a project as a Heavy Vehicle Safety and Productivity Project if, and only if:

  (a) the Minister is satisfied that the project is eligible for approval (see section 86C); and

  (b) the Minister considers that it is appropriate to approve the project (see section 86D).

(2) An instrument approving a project is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

86C What projects are eligible for approval?

     A project is eligible for approval as a Heavy Vehicle Safety and Productivity Project if the project aims:

  (a) to reduce the number of road accidents involving heavy vehicles, or the number of accidents relating to the loading or unloading of heavy vehicles in livestock transport operations; or

  (b) to increase heavy vehicle productivity;

including by any of the following means:

  (c) targeting driver fatigue;

  (d) improving the provision of heavy vehicle rest areas on key interstate routes;

(e) providing heavy vehicle parking/decoupling areas and facilities in outer urban/regional areas;

  (f) trialling technologies;

(g) improving design and management of roads;

Note: Roads includes bridges associated with roads (see section 4).

(h) facilitating innovation to improve Heavy Vehicle Safety and Productivity Projects.

86D Is it appropriate to approve a project?

     The matters to which the Minister may have regard in deciding whether it is appropriate to approve a project as a Heavy Vehicle Safety and Productivity Project include, but are not limited to, the following matters:

  (a) the results of any assessment of the safety benefits, or the productivity benefits, and the costs of the project;

  (b) the results of any research conducted in relation to the project;

(c) the extent to which persons other than the Commonwealth propose to contribute funding to the project.

86E Submission of particulars of projects

(1) The Minister may invite the submission of particulars of projects for consideration for approval as Heavy Vehicle Safety and Productivity Projects.

(2) An invitation may be given:

  (a) to such States or authorities of a State as the Minister considers appropriate; and

  (b) by any method that the Minister considers appropriate.

(3) Subject to section 86B, the Minister may approve a project as a Heavy Vehicle Safety and Productivity Project, whether or not particulars of the project were submitted in response to an invitation.

(4) The Minister is not required to consider a project for approval as a Heavy Vehicle Safety and Productivity Project unless such particulars of the project as the Minister requires have been submitted to the Minister.

86F Matters specified in project approval instrument

(1) The project approval instrument for a Heavy Vehicle Safety and Productivity Project must:

  (a) identify the project; and

  (b) specify the maximum funding amount that the Commonwealth may contribute to the project; and

(c) identify the eligible funding recipient, being a State or authority of a State, to which funding may be paid; and

  (d) if the approval is conditional on a funding agreement being entered into with the eligible funding recipient—contain a statement to that effect.

(2) The project approval instrument for a Heavy Vehicle Safety and Productivity Project may exclude one or more specified purposes from being purposes on which funding may be expended.

86G Requirements with which funding agreements must comply

     If the project approval instrument for a Heavy Vehicle Safety and Productivity Project states that the approval is conditional on a funding agreement being entered into with the approved funding recipient:

  (a) the total amount of funding that the agreement provides for must not exceed the maximum funding amount specified in the project approval instrument; and

  (b) the agreement must comply with any other requirements (for example, requirements relating to the inclusion of conditions) specified in the project approval instrument.

86H Variation or revocation of project approval instrument

(1) The Minister may, in writing, vary or revoke the project approval instrument for a Heavy Vehicle Safety and Productivity Project.

(2) A variation may be of a matter dealt with in the project approval instrument before the variation, or to include a new matter in the project approval instrument. The instrument as varied must be consistent with section 86F.

Note: For example, the project approval instrument may be varied to change the eligible funding recipient to which funding will be paid, or to specify a purpose that is excluded from the purposes on which funding may be expended.

(3) If there is a funding agreement with the approved funding recipient, the powers given by subsection (1) must be exercised in accordance with any relevant provisions of the funding agreement.

(4) An instrument varying or revoking the project approval instrument is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Division 2—Provision of Commonwealth funding

86J Commonwealth funding for Heavy Vehicle Safety and Productivity Projects

(1) Commonwealth funding for a Heavy Vehicle Safety and Productivity Project may be provided to the approved funding recipient:

  (a) in accordance with section 86K; or

  (b) if the project approval instrument for the project states that the approval is conditional on a funding agreement being entered into—in accordance with a funding agreement, entered into with the approved funding recipient, that satisfies the requirements of section 86G.

(2) The payments of funding are to be made out of money appropriated by the Parliament.

86K Approval of provision of Commonwealth funding if no funding agreement

(1) The Minister may, in writing, approve the provision of Commonwealth funding for a Heavy Vehicle Safety and Productivity Project to the approved funding recipient. The Minister may, in writing, vary or revoke the approval.

(2) The funding is to be provided in one or more instalments paid to the approved funding recipient. Subject to subsection (3), the amount and timing of an instalment are as determined by the Minister.

(3) The total amount of funding provided for the project to the approved funding recipient must not exceed the maximum funding amount specified in the project approval instrument.

(4) An instrument:

  (a) approving the provision of Commonwealth funding, or varying or revoking such an approval; or

  (b) determining the amount or timing of an instalment of funding;

is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Division 3—Conditions that apply to Commonwealth funding

Subdivision A—Sources of conditions

86L Sources of conditions

(1) The conditions that apply to a payment (the funding payment) of Commonwealth funding for a Heavy Vehicle Safety and Productivity Project (the funded project) to an eligible funding recipient (the funding recipient) are:

  (a) the mandatory conditions (see Subdivision B); and

  (b) either:

     (i) if the funding payment is provided in accordance with section 86K—the conditions (if any) determined under Subdivision C; or

     (ii) if the funding payment is provided in accordance with a funding agreement—the conditions specified in the funding agreement.

(2) A funding agreement may specify a condition by applying, adopting or incorporating any matter contained in an instrument or other writing as in force or existing from time to time.

Subdivision B—The mandatory conditions

86M This Subdivision sets out the mandatory conditions

     The mandatory conditions are as set out in this Subdivision.

86N Funding payment must be expended on the funded project

     The funding payment must be wholly expended on approved purposes in relation to the funded project.

86P Funding recipient must give Minister audited financial statements

     For each financial year in which the funding recipient spends or retains any of the funding payment, the funding recipient must give to the Minister as soon as practicable, and in any event within 6 months, after the end of that year:

  (a) a written statement as to:

     (i) the amount spent by the funding recipient during that year out of the funding payment; and

     (ii) the amount retained by the funding recipient out of the funding payment as at the end of that year; and

(b) a report in writing and signed by the appropriate auditor stating whether, in the auditor's opinion:

     (i) the statement is based on proper accounts and records; and

     (ii) the statement is in agreement with the accounts and records; and

     (iii) the expenditure referred to in subparagraph (a)(i) has been on the funded project.

86Q Funding recipient must allow inspections by authorised persons

     The funding recipient must, at all reasonable times, permit a person authorised by the Minister:

  (a) to inspect any work involved in the carrying out of the funded project; and

  (b) to inspect and make copies of any documents relating to the funded project.

86R Funding recipient must provide information on request

     The funding recipient must, as and when requested by the Minister, provide information relevant to the progress of the funded project.

86S State or State authority must call for public tenders for certain work

(1) If the funding recipient is a State or an authority of a State, the funding recipient must call for public tenders for all work on the funded project, other than:

  (a) work that is maintenance of a road; or

  (b) work that is to be carried out by a public utility; or

(c) work that the Minister has, by a written exemption relating to the project , exempted from this condition because, in the Minister's opinion:

     (i) the work is urgently required because of an emergency; or

     (ii) the work is of such a minor nature that the invitation of tenders for the work would involve undue additional cost; or

     (iii) the work is of a kind for which it is not practicable to prepare adequate tender specifications; or

     (iv) the work is of a kind for which competitive tenders are unlikely to be received; or

     (v) the work will contribute to employment in a region; or

     (vi) the cost of the work is less than an amount determined by the Minister by legislative instrument under subsection (4) for the purposes of this subparagraph.

(2) The Minister may, in writing, vary or revoke an exemption referred to in paragraph (1)(c).

(3) An instrument granting, varying or revoking an exemption referred to in paragraph (1)(c) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

(4) The Minister may, by legislative instrument, determine an amount for the purposes of subparagraph (1)(c)(vi).

86T State or State authority using funding payment to acquire interest in land—obligation if the interest is sold or disposed of

(1) If:

  (a) the funding recipient is a State or an authority of a State; and

  (b) the recipient sells or disposes of an interest in land that was acquired using all or part of the funding payment;

the recipient must, subject to subsection (2), pay to the Commonwealth an amount calculated using the formula:

where:

  acquisition cost means the amount paid by the funding recipient to acquire the interest (but not deducting any other costs associated with that acquisition).

  Commonwealth contribution means so much of the funding payment as was used to meet the acquisition cost.

  consideration or value means the greater of:

  (a) the consideration received by the funding recipient for the sale or disposal (but not deducting any costs associated with that sale or disposal); and

  (b) the market value of the interest at the time of the sale or disposal.

(2) The funding recipient must, as soon as practicable after selling or disposing of an interest in land that was acquired using all or part of the funding payment, notify the Minister of the sale or disposal.

(3) The funding recipient may instead, with the written approval of the Minister, spend an amount equal to the amount worked out under subsection (1) on approved purposes in relation to another Heavy Vehicle Safety and Productivity Project.

(4) The Minister may, in writing, vary or revoke an approval referred to in subsection (3).

(5) If the funding recipient spends an amount in accordance with subsection (3) on another Heavy Vehicle Safety and Productivity Project, then, for the purposes of the application of this Act in relation to that other project:

  (a) the funding recipient is taken to have received a payment of Commonwealth funding in relation to that other project equal to the amount so spent; and

  (b) the amount so spent is taken to have been paid out of that payment of Commonwealth funding.

(6) An instrument granting, varying or revoking an approval referred to in subsection (3) is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

(7) For the purposes of this section, a reference to acquiring an interest in land using all or part of the funding payment includes a reference to compulsorily acquiring an interest in land and using all or part of the funding payment to pay compensation for the acquisition.

86U Amount repayable on breach of condition

(1) If the Minister notifies the funding recipient in writing that the Minister is satisfied that the funding recipient has failed to fulfil any condition that applies to the funding payment (whether that condition is specified in this Subdivision, in a funding agreement or in a determination under Subdivision C) then the funding recipient must repay to the Commonwealth an amount equal to so much of the funding payment as the Minister specifies in the notice.

(2) The Minister may, by notice in writing, vary or revoke a notice given under subsection (1).

(3) If there is a funding agreement with the funding recipient, the powers given to the Minister by subsections (1) and (2) must be exercised in accordance with any relevant provisions of the funding agreement.

(4) A notice under subsection (1), or an instrument varying or revoking such a notice, is not a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Subdivision C—Determination of other conditions if no funding agreement

86V Determination of other conditions if no funding agreement

(1) The Minister may, in writing, determine other conditions that apply to the provision of funding in accordance with section 86K.

(2) The Minister may determine different conditions to apply in different classes of situations.

(3) The Minister may, in writing, vary or revoke conditions determined under subsection (1).

(4) An instrument determining, varying or revoking conditions is a legislative instrument for the purposes of the Legislative Instruments Act 2003, but neither section 42 nor Part 6 of that Act applies to the instrument.

(5) Despite subsection 14(2) of the Legislative Instruments Act 2003, an instrument determining or varying conditions may make provision in relation to a matter by applying, adopting or incorporating any matter contained in an instrument or other writing as in force or existing from time to time.

(9) Schedule 1, item 46, page 13 (lines 16 and 17), omit the item, substitute:

46 Section 94

  Omit "6, 7", substitute "7, 7A".

These are amendments relating to formalisation of the heavy vehicle safety and productivity program. Amendment (8) will elevate this important program and give it the parliamentary approval that it currently lacks. It will ensure that the specific program criteria is oversighted by the parliament, is in legislation and cannot be changed without parliamentary approval. This is an important program that is improving safety, not just for truck drivers but for all road users. The first four of these items add the heavy vehicle safety program to definitions in the act in a manner consistent with the existing program. Item (1) inserts 'heavy vehicle safety program' into the Act's definition of an eligible funding recipient. Item (2) inserts the HVSPP into the Act's definition of approved purposes. Item (3) inserts a definition reference to the HVSPP, and item (4) inserts a reference to the project approval instrument for the HVSPP. Item (8) inserts a new Part 7 (a) to the Act that outlines the essential elements of the HVSPP in a manner consistent with other programs under the Act.

It is important to note that the heavy vehicle amendments moved here are slightly reworked against the amendments moved in the House in March. The opposition listened carefully to the technical points raised by the government in that debate, and we have resolved those points in the amendments moved here today. We trust that the government will acknowledge these changes, rather than raising the same points here, because that would be inaccurate. Specifically, the concerns raised about additional record-keeping being required by funding recipients have been addressed by removing this provision. Conditions of fund payment, auditing and inspection requirements remain as per now with the current requirements reflecting Parts (3) and (6) of the Act, the current source of funding for this program.

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