STATES GRANTS (SPECIAL FINANCIAL ASSISTANCE).
No. 56 of 1952.
An Act to grant and apply out of the Consolidated Revenue Fund sums for the purposes of Financial Assistance to the States.
[Assented to 30th September, 1952.]
BE it enacted by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, for the purpose of appropriating the grant originated in the House of Representatives, as follows:—
Short title.
1. This Act may be cited as the States Grants (Special Financial Assistance) Act 1952.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Financial assistance to States.
3. There is payable to each State, during the year which commenced on the first day of July, One thousand nine hundred and fifty-two, for the purpose of financial assistance, an amount or amounts calculated in accordance with the next succeeding section.
Amount of financial assistance payable.
4.−(l.) The amount payable to a State under this Act is the amount by which the amount calculated in respect of that State under sections six and seven of the States Grants (Tax Reimbursement) Act 1946–1948 in respect of the year which commenced on the first day of July, One thousand nine hundred and fifty-two, is less than the amount which would be payable to that State if the aggregate grant to be divided amongst the States in accordance with section seven of that Act in respect of that year were One hundred and thirty-five million pounds.
(2.) In addition to the amount calculated in accordance with the last preceding sub-section, there is payable to a State the amount (if any) by which the amount so calculated is less than the amount which would be payable to that State if the aggregate of the amounts payable to the States under the last preceding sub-section were divided amongst the States in the proportions in which the aggregate of the amounts payable to the States under the States Grants (Special Financial Assistance) Act (No. 2) 1951 was so divided.
Appropriation.
5. Payments in accordance with this Act shall be made out of the Consolidated Revenue Fund, which is appropriated accordingly.
Overview
The States Grants (Special Financial Assistance) Act 1952 was enacted by the Parliament of Australia to provide financial assistance to the states during the fiscal year beginning 1 July 1952. This Act aims to supplement the existing financial support provided under the States Grants (Tax Reimbursement) Act 1946-1948 by ensuring that states receive additional funds to help meet their financial needs. The primary policy objective of this Act is to support the states in managing their fiscal responsibilities by providing a specific amount of financial aid calculated based on predefined criteria. The Act ensures that these payments are made from the Consolidated Revenue Fund, thus formalising the appropriation for this purpose. This legislative measure was critical in addressing the immediate financial shortfalls faced by states during the specified period.
Scope and Application
The States Grants (Special Financial Assistance) Act 1952 applies to the states of Australia, providing them with financial assistance out of the Consolidated Revenue Fund for the specified fiscal year. The Act calculates the amount payable to each state based on certain criteria laid out in the Act and the States Grants (Tax Reimbursement) Act 1946–1948, ensuring that each state receives a calculated sum that is less than a specified maximum amount. The Act's jurisdiction is nationwide, impacting all states within the Commonwealth of Australia. There are no stated exclusions, exemptions, or thresholds within the text of this Act, though the financial assistance may be extended or restricted through subordinate instruments or related legislation. The Act came into operation on the day it received Royal Assent and applies specifically to the financial year starting on the first day of July, 1952.
Key Provisions
The main sections of the States Grants (Special Financial Assistance) Act 1952 outline the specific financial assistance to be provided to each state during the financial year starting 1 July 1952 (sections 3 and 4). The Act specifies that an amount is payable to each state to aid with their financial needs, calculated based on previous years’ reimbursements and the total grant payable to all states (section 4(1)). Additionally, if the calculated amount is less than what would be payable under a different distribution method, the difference is also payable (section 4(2)). The Act is to be funded from the Consolidated Revenue Fund (section 5).
The Act imposes several obligations on the parties involved. Primarily, it mandates the payment of calculated amounts to each state from the Consolidated Revenue Fund (section 5). It also specifies the method of calculation for these payments, ensuring they are determined based on prior years’ data and alternative distribution methods (section 4). These obligations are to be met by the Commonwealth, ensuring that states receive the necessary financial support as outlined in the Act.
Breach of the provisions outlined in the States Grants (Special Financial Assistance) Act 1952 could lead to various civil or administrative consequences. Although the Act does not explicitly state penalties for non-compliance, failure to make the required payments as specified could result in legal action from the affected states, as the Act clearly mandates these payments. The maximum consequences would likely involve legal disputes and financial liabilities for the Commonwealth, rather than specific criminal or civil penalties as outlined in the Act.