EXPLANATORY STATEMENT
Select Legislative Instrument 2008 No. 89
Issued by the Authority of the Minister for the Environment, Heritage and the Arts
Screen Australia Act 2008
Screen Australia Regulations 2008
The Screen Australia Act 2008 (the Act) establishes Screen Australia as a body corporate. The Act received Royal Assent on 20 March 2008. Screen Australia will replace the Australian Film Commission (with the exception of the National Film and Sound Archive (NFSA) function), Film Finance Corporation Australia Limited and Film Australia Limited. It will be the Australian Government’s primary agency for providing direct support to the film and television industry.
Section 45 of the Act provides that the Governor‑General may make regulations prescribing matters required or permitted by that Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to that Act.
Subsection 41(3) of the Act provides that regulations may prescribe limits on the total amounts of money that may be committed by Screen Australia in performing their functions. Such a prescription allows for appropriate controls to be set on overall commitments to particular broad categories of funding.
The purpose of the proposed Regulations is to set $1 million as the prescribed limit above which SA will require the approval of the Minister to:
- acquire any property, right or privilege exceeding in amount or value the prescribed amount;
- dispose of any property, right or privilege exceeding in amount or value the prescribed amount; and
- to enter into a contract for the construction of a building or to pay an amount exceeding the prescribed limit.
Details of the Regulations appear in the Attachment.
The Act does not specify any conditions that need to be satisfied before the power to make the proposed Regulations may be exercised.
The Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Regulations will commence on the commencement of section 41 of the Act.
Section 2 of the Act provides for sections 3 to 45 of the Act to commence on a day to be fixed by Proclamation. It has been proposed that a proclamation be made setting the commencement of those provisions of the Act as 1 July 2008. Section 4 of the Acts Interpretation Act 1901 allows the Regulations to be made (but not to commence) before sections 3 to 45 of the Act come into operation.
In the Explanatory Statement the following abbreviations are used:
Act Screen Australia Act 2008
SA Screen Australia
ATTACHMENT
DETAILS OF THE SCREEN AUSTRALIA REGULATIONS 2008
Part 1 – Introductory
Regulation 1 – Name of Regulations
Regulation 1 provides that the name of the Regulations is the Screen Australia Regulations 2008.
Regulation 2 – Commencement
Regulation 2 provides that the Regulations commence on the commencement of section 41 of the Screen Australia Act 2008.
Regulation 3 – Definition
Regulation 3 provides that in the Regulations ‘Act’ means the Screen Australia Act 2008.
Regulation 4 – Restrictions on financial transactions
Regulation 4 sets the prescribed amount for paragraphs 41(1)(a) to (c) of the Act as $1 million.
The prescribed limit will not apply to the investment of money under section 18 of the Commonwealth Authorities and Companies Act 1997, nor will it affect SA’s ability to make individual funding decisions on an arm’s length basis in relation to the development, production, promotion and distribution of Australian film, television and multimedia programs.
The proposed amount of $1 million reflects the current prescribed amount set for similar agencies, such as the Australian Film, Television and Radio School and the Australian Film Commission.
Consultation
A draft of the Screen Australia Bill 2008 was released for public comment prior to introduction into the Parliament. Consultation was unnecessary for this instrument as it is of a minor nature and is in relation to the internal processes of SA only.
Overview
The Screen Australia Act 2008, enacted by the Australian Parliament, establishes Screen Australia as a body corporate, aiming to consolidate and streamline support for the Australian film and television industry under a single agency. This Act was designed to address the need for a more efficient and effective framework for government support of the film and television sectors by replacing the Australian Film Commission (excluding the National Film and Sound Archive function), Film Finance Corporation Australia Limited, and Film Australia Limited with Screen Australia as the primary agency. The policy objective of the Act is to provide direct support to the industry, fostering the growth and development of Australian screen content. The Screen Australia Regulations 2008, made under the authority of the Minister for the Environment, Heritage and the Arts, further detail operational aspects of the Act, including setting a $1 million limit on financial transactions that require ministerial approval, aligning with similar thresholds set for other cultural agencies. These regulations ensure that Screen Australia can effectively manage its financial commitments while maintaining flexibility in supporting the industry.
Scope and Application
The Screen Australia Act 2008 establishes Screen Australia as a body corporate, replacing the Australian Film Commission, Film Finance Corporation Australia Limited, and Film Australia Limited, except for the National Film and Sound Archive function. The Act serves as the Australian Government's primary agency for providing direct support to the film and television industry. It applies to Screen Australia, which will perform its functions in accordance with the Act and any subsidiary regulations, which may include setting limits on financial commitments. The Act applies to all financial transactions exceeding $1 million, requiring ministerial approval for acquisitions, disposals, and construction contracts. However, it does not apply to investments made under the Commonwealth Authorities and Companies Act 1997 and allows Screen Australia to make individual funding decisions on an arm's length basis for the development, production, promotion, and distribution of Australian film, television, and multimedia programs. The Act has a national jurisdictional reach and its provisions will commence on a date fixed by proclamation, with the proposed commencement date being 1 July 2008. The Screen Australia Regulations 2008, which set the $1 million limit for ministerial approval on certain transactions, will commence on the commencement of section 41 of the Act.
Key Provisions
The Screen Australia Act 2008 establishes Screen Australia as a body corporate, taking over the roles of the Australian Film Commission (excluding the National Film and Sound Archive), Film Finance Corporation Australia Limited, and Film Australia Limited. The Act received Royal Assent on 20 March 2008, and it positions Screen Australia as the primary agency for direct support to Australia’s film and television industry. The Act includes specific provisions such as Section 45, which allows the Governor-General to make regulations for carrying out or giving effect to the Act, and Section 41(3), which permits the regulation of financial commitments by Screen Australia.
The Screen Australia Regulations 2008, made under Section 45 of the Act, set the financial limit of $1 million above which Screen Australia (SA) requires ministerial approval for certain transactions. Specifically, Regulation 4 prescribes this limit for acquiring or disposing of any property, right, or privilege, and for entering into contracts for building construction or payments exceeding this amount. This regulation ensures that there are appropriate controls on overall commitments to particular broad categories of funding. The prescribed limit does not affect SA's ability to make individual funding decisions for the development, production, promotion, and distribution of Australian film, television, and multimedia programs.
The Regulations impose obligations on Screen Australia to ensure that any transactions exceeding the $1 million limit must obtain prior approval from the Minister. This requirement is designed to maintain financial oversight and accountability within the agency. Additionally, the Regulations clarify that the prescribed limit does not interfere with SA’s core functions, such as investing money under Section 18 of the Commonwealth Authorities and Companies Act 1997 or making individual funding decisions on an arm's length basis.
Breaches of the financial transaction limits set out in the Regulations may result in civil or criminal consequences. Although the specific penalties are not detailed in the explanatory statement, it is reasonable to infer that non-compliance could lead to legal actions against Screen Australia or its officials. The lack of specified penalties in this context might imply that breaches could be subject to general legal consequences applicable to administrative law, including fines or other civil remedies, and possibly criminal charges if the breach is deemed to be of a serious nature.