National Debt Sinking Fund Repeal Act 1994

Overview

The National Debt Sinking Fund Repeal Act 1994 was enacted to repeal the National Debt Sinking Fund Act 1966 and address any related issues that arose from its operation. The Act was introduced by the Parliament of Australia to streamline financial practices by abolishing the National Debt Sinking Fund. It was designed to facilitate the transfer of funds previously designated for the Sinking Fund to other accounts, such as the Consolidated Revenue Fund and the Debt Retirement Reserve Trust Account, in line with the policy objectives outlined in the Financial Agreement Act 1994. The Act also includes consequential amendments to various other acts to reflect the repeal of the National Debt Sinking Fund Act 1966 and ensure the smooth transition of financial operations. The Treasurer's role is pivotal in overseeing the compliance with the provisions of this Act, as evidenced by the requirement for the publication of a notice in the Gazette once compliance is confirmed.

Scope and Application

The National Debt Sinking Fund Repeal Act 1994 applies to the repeal of the National Debt Sinking Fund Act 1966 and includes the transfer of funds from the National Debt Sinking Fund to the Consolidated Revenue Fund and the State’s account in the Debt Retirement Reserve Trust Account. The Act applies to the Australian government and its associated entities, specifically the Commission which is mandated to transfer these funds. The geographic reach of the Act is national, as it pertains to the Commonwealth and State levels within Australia. The Act does not specify any exclusions or exemptions and operates on a legislative threshold that is met once the Financial Agreement Act 1994 is in effect. The Act also extends its application through consequential amendments to several other Acts, ensuring that references to the repealed National Debt Sinking Fund Act are appropriately updated across related legislation.

Key Provisions

The National Debt Sinking Fund Repeal Act 1994 (section 1) repeals the National Debt Sinking Fund Act 1966 and provides for related matters. The Act repeals the National Debt Sinking Fund Act 1966 on the day a notice is published under section 8(1) (section 4). The Act also provides that certain amounts that were payable into the National Debt Sinking Fund under the repealed Act are not payable following the commencement of this Act (section 5). It requires that the Australian Building and Construction Commission (the Commission) must pay the total amount of money in the Commonwealth account in the National Debt Sinking Fund into the Consolidated Revenue Fund as soon as practicable after the Act commences (section 6). The Act also requires that the Commission must pay the total amount of money in a State’s account in the National Debt Sinking Fund into the State’s account in the Debt Retirement Reserve Trust Account as soon as practicable after the Act commences (section 7). The Treasurer must publish a notice in the Gazette if the Treasurer is satisfied that the Commission has complied with sections 6 and 7 (section 8). The Act provides for consequential amendments to the Housing Assistance Act 1978, Housing Assistance Act 1981, Housing Assistance Act 1984, International Sugar Agreement Act 1978, Loan (Income Equalization Deposits) Act 1976, Loans (Australian Industry Development Corporation) Act 1974, Loans (Qantas Airways Limited) Act (No. 2) 1971, Loans (Qantas Airways Limited) Act 1972, Loans (Qantas Airways Limited) Act 1974, Loans (Qantas Airways Limited) Act 1976, Organisation for Economic Co-operation and Development (Financial Support Fund) Act 1976, and Urban and Regional Development (Financial Assistance) Act 1974 (section 9). The National Debt Sinking Fund Repeal Act 1994 imposes several obligations and requirements on the Australian Building and Construction Commission (the Commission) and the Treasurer. The Commission must pay the total amount of money in the Commonwealth account in the National Debt Sinking Fund into the Consolidated Revenue Fund as soon as practicable after the Act commences (section 6). The Commission must also pay the total amount of money in a State’s account in the National Debt Sinking Fund into the State’s account in the Debt Retirement Reserve Trust Account as soon as practicable after the Act commences (section 7). The Treasurer must publish a notice in the Gazette if the Treasurer is satisfied that the Commission has complied with sections 6 and 7 (section 8). The Act also requires that certain amounts that were payable into the National Debt Sinking Fund under the repealed Act are not payable following the commencement of this Act (section 5). Finally, the Act provides for consequential amendments to several Acts, including the Housing Assistance Act 1978, Housing Assistance Act 1981, Housing Assistance Act 1984, International Sugar Agreement Act 1978, Loan (Income Equalization Deposits) Act 1976, Loans (Australian Industry Development Corporation) Act 1974, Loans (Qantas Airways Limited) Act (No. 2) 1971, Loans (Qantas Airways Limited) Act 1972, Loans (Qantas Airways Limited) Act 1974, Loans (Qantas Airways Limited) Act 1976, Organisation for Economic Co-operation and Development (Financial Support Fund) Act 1976, and Urban and Regional Development (Financial Assistance) Act 1974 (section 9). The National Debt Sinking Fund Repeal Act 1994 does not provide for any offences, penalties, or civil/criminal consequences for breach. However, it does provide for consequential amendments to several Acts, including the Housing Assistance Act 1978, Housing Assistance Act 1981, Housing Assistance Act 1984, International Sugar Agreement Act 1978, Loan (Income Equalization Deposits) Act 1976, Loans (Australian Industry Development Corporation) Act 1974, Loans (Qantas Airways Limited) Act (No. 2) 1971, Loans (Qantas Airways Limited) Act 1972, Loans (Qantas Airways Limited) Act 1974, Loans (Qantas Airways Limited) Act 1976, Organisation for Economic Co-operation and Development (Financial Support Fund) Act 1976, and Urban and Regional Development (Financial Assistance) Act 1974. These consequential amendments include the repeal of certain sections and subsections of these Acts, which may have implications for the operation of these Acts and the entities they govern.