Senate debates

Monday, 2 May 2016

Bills

Northern Australia Infrastructure Facility Bill 2016, Northern Australia Infrastructure Facility (Consequential Amendments) Bill 2016; In Committee

6:06 pm

Photo of Gavin MarshallGavin Marshall (Victoria, Deputy-President) Share this | Hansard source

Thank you, Minister. Amendments (1) to (3) on sheet GX128 circulated by the government are claimed to be covered by section 53 of the Constitution. The third paragraph of section 53 provides that the Senate may not amend any proposed law so as to increase any proposed charge or burden on the people. Clause 41 of this bill appropriates up to $5 billion from the consolidated revenue fund for the purpose of providing grants of financial assistance to the states and territories for the construction of northern Australia economic infrastructure.

Amendments (1) to (3) on sheet GX128 circulated by the government do not change the amount appropriated by the bill. They extend the geographical locations which the facility may consider when determining grants of financial assistance.

Quick and Garran in their famous commentaries on the Constitution stated:

… the Senate is only forbidden to amend tax bills and the annual appropriation bill; it may amend two kinds of expenditure bills, those for permanent and extraordinary appropriations … The Senate may amend such money bills so as to reduce the total amount of expenditure or to change the method, object, and destination of the expenditure, but not to increase the total expenditure originated in the House of Representatives.

That can be found on page 671.

Amending a bill to change the allocation of proposed expenditure and the purposes for which money is to be appropriated has long been considered to be within the power of the Senate, provided that the total proposed or available expenditure is not increased. In these circumstances, the Senate has taken the view that changing definitions to extend the allocation of funding are appropriately made by amendments rather than requests for amendments. The amendments will therefore be treated as amendments in accordance with the precedence of the Senate.

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