Commonwealth Numbered Acts

LOCAL GOVERNMENT (FINANCIAL ASSISTANCE) ACT 1986 No. 79, 1986 - SECT 9

9. (1) Each State shall, before 1 July 1987, formulate principles for the
purposes of allocating amounts payable to the State under section 7 or 8
amongst local governing bodies in the State, and shall give a copy of the
principles so formulated to the Minister before that date.

(2) In formulating principles under sub-section (1) or in preparing proposals
for revocation or variation of principles so formulated, a State-

   (a)  shall consult with a body or bodies representative of local government
        in the State;

   (b)  shall have regard to the objective of ensuring that the allocation of
        funds for local government purposes is made, as far as practicable, on
        a full horizontal equalisation basis, being a basis that ensures that
        each local governing body in the State is able to function, by
        reasonable effort, at a standard not lower than the average standard
        of other local governing bodies in the State, and that takes account
        of differences in the expenditure required by those local governing
        bodies in the performance of their functions and in the capacity of
        those local governing bodies to raise revenue; and

   (c)  notwithstanding the objective referred to in paragraph (b), shall
        ensure that no local governing body in the State will be allocated an
        amount in a year that is less than the amount that would be allocated
        to that body if 30% of the amount to which the State is entitled under
        sections 7 and 8 in respect of the year were allocated amongst local
        governing bodies in the State on a per capita basis.

(3) Where a State formulates principles under sub-section (1) or prepares
proposals for revocation or variation of principles so formulated, the State
shall inform the Minister as to which body or bodies the State has consulted
with in accordance with paragraph (2) (a).

(4) Where-

   (a)  a State does not, before 1 July 1987, give a copy of principles
        formulated by the State under sub-section (1) to the Minister; or

   (b)  the Minister is not prepared to approve principles formulated by a
        State under that sub-section, the Minister shall, having regard to the
        objective set out in paragraph (2) (b), to paragraph (2) (c) and to
        such other matters as the Minister considers relevant, formulate
        principles for the purposes of allocating amounts payable to the State
        under section 7 or 8 amongst local governing bodies in the State, and
        shall give a copy of the principles so formulated to the
        relevant State Minister.

(5) Where a State, before 1 July 1987, gives a copy of principles formulated
by the State under sub-section (1) to the Minister, the Minister may, by
notice in writing given to the relevant State Minister, approve those
principles.

(6) A State may, with the approval in writing of the Minister, revoke or vary
any of the principles applicable to the State under this section.

(7) Where the Minister has formulated principles in relation to a State under
sub-section (4), the Minister may, by notice in writing given to the
relevant State Minister, revoke or vary any of those principles.

(8) The Minister may, at the end of the period of 3 years commencing on the
day on which the Minister approves principles formulated by a State under
sub-section (1), or formulates principles in relation to a State under
sub-section (4), and at the end of each succeeding period of 3 years, review
the principles applicable to that State under this section and, where the
Minister considers it appropriate to do so in all the circumstances, the
Minister may, after such a review, by notice in writing given to the relevant
State Minister, revoke or vary any of those principles.

(9) In reviewing, under sub-section (8), principles applicable to a State, the
Minister shall, after the relevant State Minister has consulted a body or
bodies representative of local government in the State with respect to the
proposed review, consult with the relevant State Minister.

(10) Where-

   (a)  the Minister has approved principles formulated by a State under
        sub-section (1); or

   (b)  the Minister has formulated principles under sub-section (4) in
        relation to a State, those principles have effect in relation to the
        allocation of amounts payable to that State under section 7 or 8
        amongst local governing bodies in that State in respect of the year
        commencing on 1 July 1991 and in respect of subsequent years or, if
        the Minister, by notice in writing given to the
        relevant State Minister, determines that those principles are to have
        effect in relation to the allocation by that State of those amounts in
        respect of an earlier year, in respect of that earlier year and in
        respect of subsequent years.

(11) Where the relevant State Minister of a State requests the Minister to
make a determination under sub-section (10) that the principles mentioned in
that sub-section are to have effect in relation to that State in respect of a
specified year, being a year earlier than the year commencing on 1 July 1991,
the Minister may make such a determination in accordance with the request.