Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023

Administered by Department of the Treasury

Legislation au F2023L00305 In force Legislative Instrument

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EXPLANATORY STATEMENT

Issued by authority of the Assistant Minister for Competition, Charities and Treasury

Federal Financial Relations Act 2009

Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023

Subsection 15C(2) of the Federal Financial Relations Act 2009 (the Act) provides that the Minister may determine that an amount specified in the determination is to be paid to a State, the Australian Capital Territory or the Northern Territory (States and Territories) for the purpose of making a grant of financial assistance for the purpose of expenditure in accordance with an agreement between the Commonwealth and one or more States and Territories, relating to housing, homelessness or housing affordability.

The purpose of the Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023 (the Determination) is to specify the amounts to be paid to each State and Territory for the 2021-22 financial year.

Under the Intergovernmental Agreement on Federal Financial Relations (the IGA) and the Act, the Commonwealth provides payments to support the States and Territories to deliver programs, services and reforms with respect to a number of subject matters, including (but not limited to) housing, homelessness and housing affordability matters. The details of the funding arrangements and the conditions the States and Territories must meet to receive Commonwealth funding are set out in the National Housing and Homelessness Agreement (the NHHA) and in related bilateral agreements between the Commonwealth and each of the States and Territories.

The amounts specified in the Determination to be paid to each State and Territory have been calculated in accordance with the NHHA.

Advance payments relating to housing, homelessness or housing affordability are made throughout the financial year based on estimates of each jurisdiction’s anticipated entitlement for that year. Any adjustment between the advances paid to a jurisdiction and the jurisdiction’s determined entitlement is made in the first practicable payment after the Determination is made.

The IGA and the NHHA were subject to extensive consultation with the States and Territories and were signed by all jurisdictions. Both agreements are publicly available on the website of the Council on Federal Financial Relations. Ongoing consultation with the States and Territories on federal financial relations occurs regularly.

Details of the Determination are set out in Attachment A.

The Determination is a legislative instrument for the purposes of the Legislation Act 2003. In accordance with subsections 44(1) and 54(1) of the Legislation Act 2003, the Determination is not subject to disallowance or sunsetting under the Act and the Legislation Act 2003 on the grounds that the instrument is part of an intergovernmental scheme and gives effect to agreements between the Commonwealth and each of the States, the Australian Capital Territory and the Northern Territory.  The instrument’s operation is effectively mechanical in that it simply details financial assistance to be provided to a State or Territory based on that State or Territory having satisfied the necessary agreed criteria.

A Policy Impact Analysis is not required as the Determination is machinery in nature.

The Determination commences the day after it is registered on the Federal Register of Legislation.

A statement of Compatibility with Human Rights is at Attachment B.

ATTACHMENT A

Details of the Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023

This Attachment sets out further details of the Determination.

Section 1 – Name

This section specifies the name of the Determination is the Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023.

Section 2 – Commencement

This section prescribes that the Determination commences the day after it is registered on the Federal Register of Legislation.

Section 3 – Authority

This section provides that the Determination is made under the Federal Financial Relations Act 2009.

Section 4 – Definitions

This section provides definitions for the purposes of the Determination.

Section 5 – Housing, homelessness and housing affordability payments for 2021-22

 

This section sets out the amounts required to be paid by the Commonwealth in respect of the 2021-22 financial year to each State and Territory in accordance with the National Housing and Homelessness Agreement and in related bilateral agreements between the Commonwealth and each of the States and Territories.

ATTACHMENT B

Statement of Compatibility with Human Rights

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

Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023

This Legislative Instrument is 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

The purpose of the Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023 is to specify the amounts to be paid to each State and Territory for the 2021-22 financial year for the purpose expenditure in accordance with an agreement between the Commonwealth and one or more States and Territories, relating to housing, homelessness or housing affordability.

Human rights implications

This Legislative Instrument engages the right to an adequate standard of living, including housing, as referred to in Article 11.1 of the International Covenant on Economic, Social and Cultural Rights (done at New York on 16 December 1966 ([1976] ATS 5)).

This Instrument supports the right to adequate housing by providing funding to support the States and Territories to deliver programs, services and reforms with respect housing, homelessness and housing affordability matters.

Total Commonwealth funding in support of the States’ and Territories’ delivery of programs, services and reforms with respect to housing, homelessness and housing affordability matters has been increased for 2021-22 in line with the Intergovernmental Agreement on Federal Financial Relations, the National Housing and Homelessness Agreement and in related bilateral agreements between the Commonwealth and each of the States and Territories.

Conclusion

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

Overview

The Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023 was enacted under the Federal Financial Relations Act 2009 to address the need for timely and specific allocation of funds for housing, homelessness, and housing affordability initiatives across Australian states and territories. This legislative instrument was introduced to ensure the Commonwealth meets its commitments under the Intergovernmental Agreement on Federal Financial Relations and the National Housing and Homelessness Agreement, thereby supporting state and territory governments in delivering necessary programs and services. The determination provides clear financial allocations for the specified financial year, ensuring that funding is distributed based on established agreements and criteria. The Federal Financial Relations Act 2009, enacted by the Parliament of Australia, aims to facilitate cooperative federalism by setting out the framework for financial relations between the Commonwealth and the states and territories, ensuring that funds are appropriately allocated to support agreed-upon programs and services.

Scope and Application

The Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023 applies to the Commonwealth of Australia and each of the States and the Australian Capital Territory and the Northern Territory. The Determination specifies the amounts to be paid by the Commonwealth to the States and Territories for the 2021-22 financial year in accordance with the Intergovernmental Agreement on Federal Financial Relations, the National Housing and Homelessness Agreement and in related bilateral agreements between the Commonwealth and each of the States and Territories. The amounts are intended to provide financial assistance for housing, homelessness or housing affordability purposes. The Determination is a legislative instrument under the Legislation Act 2003, and it is not subject to disallowance or sunsetting on the grounds that it is part of an intergovernmental scheme and gives effect to agreements between the Commonwealth and each of the States, the Australian Capital Territory and the Northern Territory. The operation of the Determination is effectively mechanical in that it simply details financial assistance to be provided to a State or Territory based on that State or Territory having satisfied the necessary agreed criteria. The Determination is compatible with human rights, and it supports the right to adequate housing by providing funding to support the States and Territories to deliver programs, services and reforms with respect to housing, homelessness and housing affordability matters.

Key Provisions

The Federal Financial Relations (Housing, Homelessness and Housing Affordability Payments for 2021-22) Determination 2023 specifies the amounts to be paid by the Commonwealth to each State and Territory for the 2021-22 financial year under the Federal Financial Relations Act 2009 (section 15C(2)) for housing, homelessness, and housing affordability. These payments are calculated based on the National Housing and Homelessness Agreement (NHHA) and related bilateral agreements between the Commonwealth and each of the States and Territories (section 5). The funding is intended to support the delivery of programs, services, and reforms in these areas (section 5). The Determination details the specific amounts to be paid to each jurisdiction and commences the day after its registration on the Federal Register of Legislation (section 2). The Determination imposes obligations on both the Commonwealth and the States and Territories. The Commonwealth is required to provide the specified payments to each State and Territory in accordance with the NHHA and related agreements (section 5). In turn, the States and Territories must meet the agreed criteria to be eligible for these payments, ensuring that the funds are used for the intended purposes of supporting housing, homelessness, and housing affordability programs (section 5). The Determination is based on extensive consultation with the States and Territories, and both the Intergovernmental Agreement on Federal Financial Relations (IGA) and the NHHA are publicly available. The Determination does not create specific offences or penalties for breach, as it is a machinery-type instrument detailing financial assistance based on the fulfillment of agreed criteria. However, failure to meet the criteria set out in the NHHA and related agreements could result in the withholding of payments. The Determination itself is not subject to disallowance or sunsetting under the Legislation Act 2003 because it is part of an intergovernmental scheme and gives effect to agreements between the Commonwealth and each of the States, the Australian Capital Territory, and the Northern Territory (subsections 44(1) and 54(1) of the Legislation Act 2003). The Determination’s operation is effectively mechanical, detailing financial assistance to be provided to a State or Territory based on that State or Territory having satisfied the necessary agreed criteria. The Determination ensures compatibility with human rights as it supports the right to an adequate standard of living, including housing, as referred to in Article 11.1 of the International Covenant on Economic, Social and Cultural Rights. By providing funding to support the States and Territories in delivering programs, services, and reforms in housing, homelessness, and housing affordability matters, the Determination aligns with the objectives of promoting and protecting human rights in these areas. The total Commonwealth funding for this purpose has been increased for 2021-22 in line with the IGA, the NHHA, and related bilateral agreements, further demonstrating the commitment to human rights. The Statement of Compatibility with Human Rights confirms that this Legislative Instrument is compatible with human rights as it does not raise any human rights issues.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.