New South Wales Bills Explanatory Notes New South Wales Bills Explanatory Notes[Index] [Search] [Download] [Bill] [Help]
Explanatory note
This explanatory note relates to this Bill as introduced into Parliament.
(a) to amend the Fire Brigades Act 1989 so as:
to clarify the procedure by which annual estimates of the
recurrent and capital expenditure requirements of NSW Fire
Brigades are prepared, and
to clarify the procedure by which local council and insurance
company contributions to fire brigade expenditure are
calculated, particularly with respect to capital expenditure, and
to enable NSW Fire Brigades to carry over capital funding from
one financial year to the next, and
to allow the apportionment of contributions between councils
within the same fire district to be carried out on the basis of land
values averaged over 5 years, and
to clarify the powers of the Commissioner of NSW Fire
Brigades to enter into certain arrangements, and
(b)
to amend the Valuation of Land Act 1916 as a consequence of the
amendments proposed to be made to the Fire Brigades Act 1989.
Clause 2 provides for the commencement of the proposed Act on a day or
days to be appointed by proclamation.
Clause 3 is a formal provision that gives effect to the Schedule of
amendments to the Fire Brigades Act 1989.
Clause 4 is a formal provision that gives effect to the Schedule of
amendments to the Valuation of Land Act 1916.
Schedule 1
Amendment of Fire Brigades Act 1989
Procedures for preparing estimates of fire brigade expenditure
Certain changes are proposed to the procedures for preparing the estimates of
fire brigade expenditure. These arise from the fact that NSW Fire Brigades
now receives appropriations through the budget, rather than through the
special appropriation provisions of the Fire Brigades Act 1989.
Under the revised procedures, it will be necessary for the Minister, each
financial year, to prepare estimates of the aggregate recurrent expenditure
requirements and aggregate capital expenditure requirements for the next
financial year (proposed section 45 (1) to be inserted by Schedule l [5]). The
estimates will be forwarded to the Treasurer for approval and, once approved,
will become the basis for calculating the contributions payable by insurance
companies under Division 3 of Part 5.
Following the enactment of the annual Appropriation Act, it will be necessary
for the Commissioner to prepare estimates of the recurrent expenditure
requirements for each fire district (proposed section 45 (2) to be inserted by
Schedule 1 [5]). The estimates will be forwarded to the Minister for approval
and, once approved, will become the basis for calculating the contributions
payable by local councils under Division 2 of Part 5.
Local council and insurance company contributions to fire
brigade expenditure
For the purpose of establishing the contributions payable by insurance
companies and local government areas, the estimates of aggregate recurrent
expenditure requirements will be subject to adjustment under section 47 (to
which consequential amendments are made by Schedule 1 [6] and [7]). The
total amount of those contributions is to be established by section 48 (1) (to
be inserted by Schedule 1 [l l]).
Explanatory note page 2
The estimates of the recurrent expenditure requirements for each fire district
will also be subject to adjustment under section 47 (to which consequential
amendments are made by Schedule 1 [8], [9] and [ 10]). The actual amount of
the contribution payable for a fire district is to be established by section 48
(2) (to be inserted by Schedule 1 [11]).
Apportionment of contributions between local government
areas
The apportionment of contributions between councils within the same fire
district is carried out on the basis of the aggregated land values of land within
the respective local government areas. Because valuations of land within
local government areas are not carried out simultaneously, an inequity arises
when new land values are used in connection with one local government area
but old land values are used in connection with another. It is proposed to
reduce the scope for such inequities by amending section 5 1 to provide for
valuations based on 5-year average land values (Schedule 1 [12] and [13]).
Capital funding
A Parliamentary appropriation of funds generally ceases to have effect at the
end of the financial year in which it is made. This prevents public bodies
from carrying unspent money over to the following financial year. It is
proposed to allow NSW Fire Brigades to carry over unspent capital funding
by providing for it to be paid into the New South Wales Fire Brigades Capital
Fund at the end of the financial year (proposed section 64 (2) to be inserted
by Schedule 1 [17]).
Powers of Commissioner to enter into certain arrangements
Proposed section 79A empowers the Commissioner to enter into
arrangements for the installation and maintenance of fire alarm links between
fire brigade premises and other premises (Schedule 1 [18]). Consequential
amendments to section 42 ensure that the Commissioner is entitled to
payment of any charges payable under such an arrangement (Schedule 1 [l]
and [2]).
Miscellaneous amendments
It is proposed to repeal section 53 of the Act (which requires councils to
provide information concerning ratable property within their areas) (Schedule
l [14]). That information is no longer of any consequence to the operation of
the Act.
Explanatory note page 3
It is proposed to repeal section 62 of the Act (which provides for an
automatic appropriation of funds from the Consolidated Fund) (Schedule 1
[16]). Such appropriations are no longer made now that the Minister receives
funds under the annual Appropriation Acts. The provision of that section that
currently allows unspent recurrent funding to be carried over from year to
year is to be retained as a new section 62.
It is proposed to amend section 83 of the Act to make it clear that the
Commissioner may delegate functions under the regulations as well as
functions under the Act (Schedule 1 [19]).
Schedule 2
Amendment of Valuation of Land Act 1916
The amendments to this Act are by way of statute law revision, updating
references as a consequence of the amendments proposed to be effected
under Schedule 1 and updating other references that have become obsolete
(Schedule 2 [1][5]).
Explanatory note page 4