STATES GRANTS (SPECIAL FINANCIAL ASSISTANCE).
No. 58 of 1957.
An Act to grant and apply out of the Consolidated Revenue Fund sums for the purpose of Financial Assistance to the States.
[Assented to 20th November, 1957.]
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 1957.
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-seven, for the purpose of financial assistance, an amount calculated in accordance with the next succeeding section.
Amount of financial assistance payable.
4. 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-seven, 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 ninety million pounds.
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 1957 was enacted to provide financial assistance to the states during a specified year, addressing the need for additional funds to support their operations. The Act was introduced by the Queen's Most Excellent Majesty, through the Senate and the House of Representatives of the Commonwealth of Australia, with the explicit aim of allocating a specific sum from the Consolidated Revenue Fund for this purpose. The legislation establishes a formula for calculating the amount of financial assistance to be provided to each state, based on previous years' tax reimbursement amounts under the States Grants (Tax Reimbursement) Act 1946-1948. By ensuring that the total grant payable to all states does not exceed one hundred and ninety million pounds, the Act aims to maintain financial stability and support the states' budgetary requirements during that period.
Scope and Application
The States Grants (Special Financial Assistance) Act 1957 provides for the distribution of funds from the Commonwealth to the states to address specific financial needs. This Act applies to all states within the Commonwealth of Australia, providing them with financial assistance during the fiscal year commencing 1 July 1957. The amount of financial assistance each state receives is determined by the shortfall between the amount calculated under the States Grants (Tax Reimbursement) Act 1946–1948 and what would have been payable if the total grant to be divided among the states was set at one hundred and ninety million pounds. The financial aid is to be paid out of the Consolidated Revenue Fund, which has been appropriated for this purpose. The Act's provisions are specific to the fiscal year mentioned and do not extend beyond this period unless otherwise modified by further legislation.
Key Provisions
The States Grants (Special Financial Assistance) Act 1957 (section 3) stipulates that financial assistance is payable to each state during the fiscal year beginning 1 July 1957. The specific amount of assistance is determined by comparing the amount calculated under sections six and seven of the States Grants (Tax Reimbursement) Act 1946–1948 for that fiscal year, with the amount that would be payable if the total grant for the year were £190 million (section 4). The payments under this Act are to be made from the Consolidated Revenue Fund (section 5).
The Act imposes obligations primarily on the Commonwealth Government, mandating the calculation and payment of the specified financial assistance to each state in accordance with the set criteria. It requires the government to ensure that the calculations and subsequent payments are accurate and timely, reflecting the prescribed differences between the calculated and hypothetical grant amounts. Additionally, the Act necessitates the appropriation of funds from the Consolidated Revenue Fund to cover these payments.
In terms of legal consequences, the Act does not explicitly state any offences, penalties, or civil/criminal consequences for non-compliance. However, failure to adhere to the obligations set out in the Act, such as inaccurate calculations or delays in payments, could potentially result in legal challenges or administrative repercussions, given the statutory nature of the provisions. The Act's focus is primarily on ensuring the correct financial assistance is provided, rather than on punitive measures for non-compliance.