Queensland Bills Explanatory Notes Queensland Bills Explanatory Notes[Index] [Search] [Download] [Bill] [Help]
1
Legacy Trust Fund
LEGACY TRUST FUND BILL 2000
EXPLANATORY NOTES
GENERAL OUTLINE
Objective of the Bill
The objective of the Bill is to enable certain funds held by the Department
in the Legacy Trust Fund for the benefit of the vision impaired free of any
legal ambiguity.
Reasons for the Bill
The Bill will enable Disability Services Queensland to use funds that
have accumulated over a period of in excess of 100 years in an account
styled the "Legacy Trust Fund" by disbursing them to organisations
catering to the needs of the vision impaired. The Department currently
holds an amount in excess of $300,000 in the account.
In its history, the Legacy Trust Fund has been managed by various
government departments through the auspices of a series of institutions,
including the Queensland Industrial Institute for the Blind and the
Queensland Blind Industrial Centre. The sources of funds deposited into
the account have been mixed, although it is accepted that a major proportion
of individual deposits has come from legacies. In those cases, the testators
would have expressed the wish that all or part of their estates be used for the
benefit of the vision impaired - or at least those persons for whom the above
institutions were set up and run. The Department is unable to ensure that
their wishes have been fulfilled because the records stretching back over 100
years are incomplete.
There were other sources of funds including gifts direct from the public,
some revenue generated by the institutions staffed by people with a vision
impairment and at least one substantial donation from the Government.
2
Legacy Trust Fund
The Bill will vest the property in funds currently in the departmental
account in the State of Queensland and enable the Minister to pay them out
to organisations benefiting the vision impaired. As such, there will be no
additional administrative cost compared to the previous system which was
one of making payments from time to time to organisations on the
assumption that the department was administering a trust for charitable
purposes.
Alternatives to the Bill
It is impossible to deal with the funds held in the Departmental account in
the alternative way of applying to the Courts for directions as to the
management of the funds under the Trusts Act 1973 because the fund itself
is not a trust nor can the quantum of individual sums held on trust be
determined.
Estimated Cost for Government Implementation
There will be no additional costs as implementation of the Bill will allow
the Department to continue carrying out an administrative function.
Consistency with Fundamental Legislative Principles
Section 4(3) of the Legislative Standards Act 1992 provides that whether
legislation has sufficient regard to rights and liberties of individuals depends
on whether, for example, the legislation does not confer immunity from
proceedings or prosecution without adequate justification. The Bill will bar
legal actions against the State in respect of any dealing with money in the
fund, at any time. This breach is considered to be justified as the State will
be unable to use the money for the benefit of any person at all if it continues
to be at risk of legal liability in relation to any duties it has had imposed on it
over time. Since becoming aware of this risk the Department has imposed
a voluntary freeze on the fund. However, this decision itself has the
potential to place the State at some legal risk as it could be argued that the
Department may be breaching its obligations by failing to comply with
individual bequests during this period.
Section 4(3)(i) of the Legislative Standards Act 1992 provides further
that whether a Bill has sufficient regard to rights and liberties of individuals
depends on whether for example the legislation "provides for compulsory
3
Legacy Trust Fund
acquisition of property only with fair compensation". As a matter of
technicality, the Bill provides for money which is presently in the control of
Disability Services Queensland in the practical sense to be vested in the
State of Queensland. Although there is a possibility that some persons or
organisations may claim entitlement to a proportion of the fund on the basis
of a specific trust, the Department has been unable to find any relevant
records despite an extensive search. It is therefore considered appropriate to
disburse the funds according to a set of legislative principals that will reflect,
so far as is possible, the primary wishes that may have been expressed in
any specific bequests, that is for the benefit of persons with a vision
impairment. Given the practical impossibility of discerning the exact
purpose of bequests and donations over a period of 100 years this scheme
could legitimately be said to constitute fair compensation should the issue
arise.
Consultation
· Community
It is anticipated that the fund will be disbursed to community
organisations benefiting people with a vision impairment including the
Talking Book Library of Queensland and Vision Queensland.
· Government
Consultation has occurred with the Department of the Premier and
Cabinet; Queensland Treasury; the Department of Justice and
Attorney-General as well as the Public Trustee of Queensland.
NOTES ON PROVISIONS
Clause 1 provides that the short title of the Act will be the Legacy Trust
Fund Act 2000.
Clause 2 states that the Act will commence on a day to be fixed by
proclamation.
4
Legacy Trust Fund
Clause 3 provides for definitions of particular words to be used in the
Act to be set out in the dictionary in the schedule.
Clause 4 provides that the Act is to apply to the amount standing to the
credit of the fund immediately before the commencing day. If there is an
inconsistency between this Act and the Trusts Act 1973 then this Act shall
prevail.
Clause 5 provides that on and after the commencing day the fund money
is a controlled receipt of the department for this Act and any other Act.
Clause 6 provides the purposes for which the Minister may spend all or
part of the fund money.
Clause 7 provides a bar to the taking of legal action against the State for
the manner in which fund money has been dealt with.
© State of Queensland 2000