CHARLES DARWIN UNIVERSITY AMENDMENT BILL 2005 Second Reading Speech

Northern Territory Second Reading Speeches

CHARLES DARWIN UNIVERSITY AMENDMENT BILL 2005

(This an uncorrected proof of the daily report. It is made available under the condition that it is recognised as such.)

Information :
Bill presented and read a first time.

Mr STIRLING (Employment, Education and Training): Madam Speaker, I move that the bill be now read a second time.

The purpose of this bill is to ensure governance of Charles Darwin University, CDU, is in line with preferred national practice in the higher education sector. The bill amends the Charles Darwin University Act to incorporate new national governance protocols for higher education institutions. The Commonwealth Department of Education, Science and Training has defined percentage increases in Commonwealth Grant Scheme funding for higher education institutions which is dependent on meeting certain workplace reforms including compliance with national governance protocols. Therefore, an additional purpose of these changes is to ensure CDU can access maximum Commonwealth government funding flowing from its compliance with the national protocols. Without these amendments, CDU will not receive a 5% increase in funding for 2006 from the Commonwealth government, equal to approximately $1m.

The Territory, along with all other state and territory governments, is upgrading legislation to ensure that the requirements of the protocols are reflected in the legislation for higher education institutions. The issues addressed in the amendments to the act in relation to the CDU Governing Council are: maximum terms of service; making explicit the duties of members; and the power to remove any member. The amendments specify that the maximum term of office a member may serve on the council. This would generally not exceed 12 years unless specifically agreed by two-thirds of the council. The proposed bill spells out the governance duties of the members of council in addition to the penalties for breach of duties that are currently in the act. The duties include:

· must act solely in the interests of the institution and not as a representative of a particular constituency;

· must act in good faith and honestly;

· must exercise appropriate care and diligence;

· must not use his or her office to improperly gain an advantage either for the member of another person; and

· must disclose and avoid conflicts of interest.

The proposed bill meets the requirement that the governing body has the power by a two-thirds majority to remove any member of the CDU Council. The two-thirds majority ensures broad consensus for removal from the council before this occurs. While the CDU Act is open for review, section 38(2) is being removed as it is now obsolete. Section 38(2) requires CDU, as soon as it adopts or amends a budget, to forward a copy of it to the Treasurer. The section dates from when the former Northern Territory University was part of the Northern Territory Government reporting. CDU now provides financial information as required in its annual report and the Treasurer can require information to be provided at any time.

Madam Speaker, the bill promotes national consistency in the regulation of governance of higher education institutions. I commend the bill to honourable members, and I table the accompanying explanatory statement.

Debate adjourned.

[Index] [Search] [Bill] [Help]