EXPLANATORY STATEMENT
Issued by Authority of the Minister for Finance
Albury-Wodonga Development Corporation (Abolition) Act 2014
Albury Wodonga Development Corporation (Abolition) Commencement Proclamation 2014
Item 2 of the table in subsection 2(1) of the Albury-Wodonga Development Corporation (Abolition) Act 2014 (the Act) provides that Schedule 1, Parts 1 and 2 to the Act commence on a single day to be fixed by Proclamation. However, if the provisions do not commence within the period of 6 months beginning on the day the Act receives Royal Assent, they commence on the day after the end of that period or 1 July 2015, whichever date falls later. The Act received the Royal Assent on 11 November 2014.
The Proclamation fixed 1 January 2015 as the day on which Schedule 1, Parts 1 and 2 to the Act commence.
Schedule 1, Part 1 to the Act repeals the whole of the Albury-Wodonga Development Act 1973 (AWD Act). The Albury-Wodonga Development Corporation (AWDC) is a body corporate created under statute and repealing the AWD Act abolishes the AWDC.
Schedule 1, Part 2 to the Act makes some consequential amendments to some other Commonwealth Acts arising from the repeal of the AWD Act.
Schedule 1, Part 3 to the Act contains the transitional provisions associated with transferring the remaining functions, assets and liabilities of the AWDC to the Commonwealth, and these provisions commenced the day after the Royal Assent. However, under these provisions the transfer of the functions, assets and liabilities will not occur until the ‘commencement time’, which is when the AWD Act is repealed and the AWDC is abolished under Schedule 1, Part 1. The effect of these provisions is that the functions, assets and liabilities of the AWDC will be transferred to the Commonwealth immediately upon its abolition. Accordingly, the effect of the proclamation is that the AWDC will be abolished as at midnight on 31 December 2014, and its remaining functions, assets and liabilities will be transferred from the Corporation to the Commonwealth on 1 January 2015.
The Act reflects the Government’s 2014 Budget announcement that the AWDC cease as part of the smaller government policy. This reform will achieve efficiencies through the transfer of the AWDC’s functions into the Department of Finance which will reduce duplication of government effort in property management and improve coordination.
The impact of the wind-up on the Albury-Wodonga region is considered to be minimal. The wind-up of the AWDC has been in planning since 2004 when the Corporation ceased land development activities. Since that time, the Corporation has been selling down its land bank. Throughout this process, it has been the Commonwealth’s intention to dispose of the land in an orderly manner to avoid impact on local property values.
The Proclamation is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Overview
The Albury-Wodonga Development Corporation (Abolition) Act 2014 was enacted to address the redundancy of the Albury-Wodonga Development Corporation (AWDC), which had been inactive since 2004 and was in the process of selling its land assets. This Act was passed by the Parliament of Australia and received Royal Assent on 11 November 2014. Its primary objective is to streamline government operations by transferring the AWDC's remaining functions, assets, and liabilities to the Commonwealth, thereby reducing duplication and enhancing coordination within the public sector. The Albury-Wodonga Development Corporation (Abolition) Act 2014 reflects the government's commitment to smaller governance as part of its broader policy framework. The impact of the abolition on the Albury-Wodonga region is expected to be minimal, as the winding-up process has been carefully managed to ensure an orderly disposal of the Corporation's land, thereby protecting local property values.
Scope and Application
The Albury-Wodonga Development Corporation (Abolition) Act 2014 applies to the Albury-Wodonga Development Corporation, a statutory body established under the Albury-Wodonga Development Act 1973, and to any associated functions, assets, and liabilities of the Corporation. The Act's geographic reach is limited to the Commonwealth level, as it pertains to the abolition of a federal statutory corporation and the transfer of its functions to the Commonwealth government. The Act received Royal Assent on 11 November 2014 and was proclaimed to commence on 1 January 2015, effectively abolishing the AWDC and transferring its functions, assets, and liabilities to the Commonwealth on that date. The impact on the Albury-Wodonga region is anticipated to be minimal, as the Corporation has been winding down its operations since 2004, primarily through the sale of its land holdings. The Act implements the government's policy to streamline property management and reduce duplication of efforts by integrating the Corporation's functions into the Department of Finance.
Key Provisions
The Albury-Wodonga Development Corporation (Abolition) Act 2014 (section 2(1)) establishes the framework for the abolition of the Albury-Wodonga Development Corporation (AWDC) and the repeal of the Albury-Wodonga Development Act 1973 (AWD Act). Schedule 1, Part 1 of the Act repeals the AWD Act in its entirety, which results in the abolition of the AWDC. This repeal and subsequent abolition are set to take effect on a date determined by proclamation. The Albury-Wodonga Development Corporation (Abolition) Commencement Proclamation 2014 fixed this date as 1 January 2015. The Act also makes several consequential amendments to other Commonwealth Acts to reflect the changes brought about by the repeal of the AWD Act. Schedule 1, Part 3 of the Act outlines the transitional provisions for transferring the remaining functions, assets, and liabilities of the AWDC to the Commonwealth, which occur immediately upon the abolition of the Corporation.
The Act imposes obligations on the Commonwealth to ensure a smooth transfer of the AWDC's functions, assets, and liabilities. This includes the management of the Corporation's land bank and the sale of its assets in a manner that minimises the impact on local property values. The transitional provisions in Schedule 1, Part 3 ensure that the transfer of these elements happens seamlessly and without disruption. The Commonwealth is also required to integrate the functions of the AWDC into the Department of Finance, aiming to reduce duplication and improve coordination in property management.
There are no explicit offences, penalties, or civil/criminal consequences stated within the Act for breach of its provisions. However, the Act's purpose and structure suggest that any failure to comply with the transitional provisions or the terms of the Proclamation could be subject to legal scrutiny. The absence of specific penalties in the Act implies that any breaches might be addressed through other relevant legislation or administrative mechanisms, ensuring the orderly transfer of functions and assets as intended.