States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 (No. 1) 1999 No. 223
EXPLANATORY STATEMENT
STATUTORY RULES 1999 No. 223
Issued by the Authority of the Minister for Education, Training and Youth Affairs
States Grants (Primary and Secondary Education Assistance) Act 1996
States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 (No. 1)
Section 91 of the States Grants (Primary and Secondary Education Assistance) Act 1996 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
Subsection 78(1) of the Act provides that the regulations may state for a particular program year, numbers to be used for the variation of amounts of recurrent and capital grants, respectively, specified in Schedules in relation to that year.
The States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 specify numbers for the variation of amounts of recurrent grants for both the 1999 and 2000 program years and a number for variation of amounts of capital grants for the program years 1999 through to 2003. Recurrent grants for 2000 and capital grants for 2000 through to 2003 will be adjusted further by numbers specified in regulations to be made in 2000.
The amounts of recurrent and capital grants to be provided to States for specific purposes are set out in the Schedules for each program year and are to be supplemented each year to meet the costs of inflation by multiplying the amounts in the Schedules by the relevant numbers set out in the regulations. Supplementation applies to programmes for both government and non-government schools.
Recurrent grants are supplemented in line with the Average Government School Recurrent Costs (AGSRC) index. The AGSRC index used for this purpose is based on movements in Average Government School Costs (AGSC), excluding capital costs associated with the provision of buildings and grounds, with modifications for one-off costs such as redundancy payments and the exclusion of the Commonwealth's own outlays. The AGSRC data is maintained by the Ministerial Council on Education, Employment, Training and Youth Affairs. The latest available AGSRC is for the 1997-98 financial year.
Capital grants are supplemented by the Building Price Index (BPI) published by the Australian Bureau of Statistics.
The regulations provide for recurrent grants for 1999 and 2000 to be supplemented for the movement in the AGSRC index between the 1996-97 and 1997-98 financial years of 5.5%. Capital grants for 1999 through to 2003 are to be supplemented by the BPI for cost movements between December 1997 and December 1998 of 2.1%. This results in a 'recurrent grants number' of 1.055 and a 'capital grants number' of 1.021, as determined by the Minister for Education, Training and Youth Affairs after considering the above changes in the AGSC and the BPI.
The effect of the regulations is to provide an additional $205.2m in 1999 and $208.9m in 2000 over the legislated amounts for the recurrent programmes and $6.3m in each year from 1999 through to 2003 for the capital grants programmes.
A Regulation Impact Statement was not required because the regulations have no impact on business.
The regulations commenced on the date of Gazettal.
Details of the regulations are attached.
Overview
The States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 (No. 1), issued under the authority of the Minister for Education, Training and Youth Affairs, were enacted in response to the need to adjust the amounts of recurrent and capital grants provided to states for primary and secondary education for the program years 1997-2000. The regulations, made pursuant to section 91 of the States Grants (Primary and Secondary Education Assistance) Act 1996, are designed to supplement these grants to meet the costs of inflation, using indices such as the Average Government School Recurrent Costs (AGSRC) index for recurrent grants and the Building Price Index (BPI) for capital grants. The policy objective of these regulations is to ensure that the funding provided to states for education remains adequate to cover rising costs, thereby maintaining the quality and accessibility of educational services across the country.
Scope and Application
The States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 (No. 1) apply to the recurrent and capital grants provided under the States Grants (Primary and Secondary Education Assistance) Act 1996, for the program years 1999 through to 2003. These grants are intended to assist both government and non-government schools in meeting their educational needs, and the regulations provide for their adjustment to account for inflation. The application of these regulations is governed by the Commonwealth of Australia, extending across all states and territories to ensure consistent support for educational infrastructure and operational costs within the specified timeframe. The regulations are made under the authority of the Minister for Education, Training and Youth Affairs and do not require a Regulation Impact Statement as they do not affect businesses. The regulations specify numerical adjustments for the grants based on the Average Government School Recurrent Costs index for recurrent grants and the Building Price Index for capital grants, reflecting changes in the cost of education and building expenses between specified financial years. The adjustments outlined in these regulations result in increased funding for both recurrent and capital grants, amounting to an additional $205.2 million in 1999, $208.9 million in 2000, and $6.3 million annually from 1999 through to 2003 for capital grants.
Key Provisions
The main operative sections of the States Grants (Primary and Secondary Education Assistance 1997-2000) Amendment Regulations 1999 (No. 1) are found in sections 78 and 91 of the States Grants (Primary and Secondary Education Assistance) Act 1996. Section 78(1) allows for the variation of recurrent and capital grant amounts specified in the Schedules for particular program years, while section 91 permits the Governor-General to make regulations for the purposes of the Act. The regulations specify numbers for the variation of recurrent grants for the 1999 and 2000 program years, and for capital grants from 1999 to 2003. These variations are intended to adjust the grant amounts to account for inflation. The specific numbers for these variations are calculated based on the Average Government School Recurrent Costs (AGSRC) index for recurrent grants and the Building Price Index (BPI) for capital grants.
The obligations imposed by these regulations are primarily on the Minister for Education, Training and Youth Affairs, who must determine the numbers for variation of grant amounts. These numbers are based on movements in the AGSRC index and the BPI, which reflect changes in inflation between specified financial years. The regulations also require that the amounts of recurrent and capital grants to be provided to states for specific purposes are set out in the Schedules for each program year and are supplemented each year to meet the costs of inflation by multiplying the amounts in the Schedules by the relevant numbers set out in the regulations. This applies to both government and non-government schools.
There are no specific offences, penalties, or civil/criminal consequences outlined in the regulations themselves. The regulations focus on the adjustment of grant amounts to reflect inflation and do not address compliance or enforcement mechanisms. However, failure to adhere to the provisions of the Act and these regulations could potentially lead to disputes or legal challenges regarding the appropriateness of the grant amounts or the method of their calculation. The regulations are intended to provide a transparent and systematic approach to adjusting grant amounts, ensuring that the costs of inflation are appropriately accounted for in the funding provided to states for primary and secondary education.