Naval Financial Regulations (Amendment)

Overview

The Naval Financial Regulations (Amendment) Statutory Rules 1988, issued under the authority of the Minister for Defence Science and Personnel, were enacted to address the redundancy in the Naval Financial Regulations made under the Naval Defence Act 1910. This legislation was introduced in response to the progressive transfer of financial conditions of service for members of the Defence Force from the Regulations to determinations made under the Defence Act 1903. Since 1985, all financial conditions of service have been determined under sections 58B and 58H of the Defence Act 1903. Consequently, the Naval Financial Regulations (Amendment) Statutory Rules 1988 were formulated to repeal residual provisions that no longer operate, thereby ensuring the Regulations are aligned with current legislative frameworks. Additionally, the amendment includes consequential changes necessitated by the enactment of the Veterans’ Entitlements Act 1986, which superseded the Repatriation Act 1920. The policy objective is to streamline and modernise the financial conditions of service for Navy members by removing outdated regulations and ensuring consistency with current legislative standards.

Scope and Application

The Naval Financial Regulations (Amendment) Statutory Rule 1988 amends the Naval Financial Regulations made under the Naval Defence Act 1910, which prescribe financial conditions of service for members of the Navy. These regulations have been progressively updated to reflect changes in the legislative framework, particularly the shift from Regulations to determinations under the Defence Act 1903. The Statutory Rule addresses residual provisions that have become obsolete due to this legislative transition. It removes definitions and repeals provisions that are no longer applicable, such as regulation 132A concerning deductions from salary for negligence or misconduct, which is now governed by the Audit Act 1901. The amendment also includes changes consequential to the enactment of the Veterans’ Entitlements Act 1986. This amendment applies to members of the Navy and encompasses the financial conditions of their service, thereby affecting all relevant personnel within the Navy. The regulations have a national jurisdictional reach, being made under Commonwealth legislation. The Statutory Rule comes into effect on the date of its gazettal, ensuring that the regulations are aligned with current legal standards and practices.

Key Provisions

The primary sections of the Naval Financial Regulations (Amendment) Statutory Rules 1988 No. 92 (C2004L05538) serve to repeal residual provisions within the Naval Financial Regulations, which were previously used to prescribe financial conditions of service for members of the Navy. Section 1 of the Statutory Rule omits definitions that are no longer applicable due to the shift in the legislative framework governing financial conditions of service. Section 2 repeals various redundant provisions, including regulation 132A, which previously dealt with deductions from salary for loss or damage caused by the negligence or misconduct of a member. This matter is now addressed under Part XIIA of the Audit Act 1901. Section 3 makes an amendment consequential on the enactment of the Veterans’ Entitlements Act 1986, which replaced the Repatriation Act 1920. These amendments reflect the transition from the old regulatory framework to a more modern, consolidated legislative approach. The obligations and requirements imposed by these amendments primarily involve the removal of outdated provisions from the Naval Financial Regulations. The regulations now reflect current legislative practices, ensuring that financial conditions of service for Navy members are governed by the most recent legal instruments. For example, instead of handling deductions for negligence or misconduct within the Naval Financial Regulations, the Audit Act 1981 now governs such matters. This shift requires that any such deductions be handled in accordance with the provisions of the Audit Act. Furthermore, the amendment consequential on the Veterans’ Entitlements Act 1986 ensures that any financial conditions related to veterans' entitlements are now governed by the newer legislation, rather than the older Repatriation Act 1920. Offences, penalties, or consequences for breaches of the regulations are not explicitly stated within the Statutory Rule itself. However, it is essential to note that the repealed provisions, such as regulation 132A, were previously subject to penalties under the Naval Financial Regulations. With the transfer of these provisions to the Audit Act 1981, any breaches now fall under the jurisdiction of that Act. Therefore, penalties for such breaches would be determined according to the provisions of the Audit Act. The Statutory Rule itself does not introduce new offences or penalties but rather clarifies and streamlines the existing legislative framework. The consequential amendment ensures that any financial conditions of service for Navy members are now in line with the latest legislative standards, thereby avoiding any potential non-compliance issues.