{"id":"F2017L00198","name":"Federal Financial Relations (National Partnership payments) Determination No. 116 (February 2017)","slug":"federal-financial-relations-national-partnership-payments-determination-no-116-february-2017","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":95885,"registerId":"commonwealth-F2017L00198-current","compilationNumber":null,"startDate":"2026-04-02","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Federal Financial Relations (National Pa","sectionType":"part","heading":"Federal Financial Relations (National Partnership Payments) Determination No. 116 (February 2017)","content":"# Federal Financial Relations (National Partnership Payments) Determination No. 116 (February 2017)","sortOrder":0},{"sectionNumber":"Part 1","sectionType":"part","heading":"preliminary","content":"```html\n

Federal Financial Relations (National Partnership Payments) Determination No. 116 (February 2017)

I, SCOTT JOHN MORRISON, Treasurer, make this Determination under section 16 of the Federal Financial Relations Act 2009.

SCOTT JOHN MORRISON


Dated: 2 February 2017

\n```\n\n## Part 1 — preliminary\n\n### Name of Determination\n\n This determination is the Federal Financial Relations (National Partnership payments) Determination No. 116 (February 2017).\n\n### Commencement\n\n 2. This determination commences on the day on which this determination is made.\n\n### Definitions\n\n 3. The following definitions are used throughout this determination:\n\nAct means the Federal Financial Relations Act 2009.\n\nCOAG Reform Fund means the COAG Reform Fund established by section 5 of the COAG Reform Fund Act 2008.\n\nIntergovernmental Agreement means the Intergovernmental Agreement on Federal Financial Relations that took effect on 1 January 2009. The Intergovernmental Agreement provides an overarching framework for financial transfers between the Commonwealth and the States and related collaboration on policy development and service delivery.\n\nState includes the Australian Capital Territory and the Northern Territory.\n\n### Exemption from section 42 (disallowance) of the Legislative Instruments Act 2003\n\n 4. Subsection 16(5) of the Act provides that this determination is a legislative instrument, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to this determination.\n\n## PArt 2 — Purpose\n\n### Provision of financial assistance\n\n 5. This determination is made, in accordance with section 16 of the Act, for the purpose of providing grants of financial assistance to a State to:\n (a) support the delivery by the State of specified outputs or projects;\n (b) facilitate reforms by the State; or\n (c) reward the State for nationally significant reforms.\n\n### Terms and conditions\n\n 6. Subsection 16(2) of the Act requires that an amount determined under subsection 16(1) must be credited to the COAG Reform Fund. The COAG Reform Fund Act 2008 established the COAG Reform Fund and specifies that it is a Special Account for the purposes of the Public Governance, Performance and Accountability Act 2013.\n 7. Subsection 7(2) of the COAG Reform Fund Act 2008 requires that the terms and conditions on which financial assistance is granted through the COAG Reform Fund are to be set out in a written agreement between the Commonwealth and the State.\n 8. ‘Schedule D — Payment Arrangements’ to the Intergovernmental Agreement provides that the Commonwealth will make National Partnership payments to the States to support the delivery of specified outputs or projects, to facilitate reforms or to reward those jurisdictions that deliver on nationally significant reforms.\n 9. National Partnerships will clearly set out the payment profile in respect of each State.\n 10. Where the achievement of pre‑determined milestones or performance benchmarks is required before a payment is made to a State:\n (a) in the case of payments to reward nationally significant reforms, the relevant Commonwealth Minister or delegate will make a determination as to whether the incentive payment will be paid following receipt of an independent assessment as to whether a pre-determined performance benchmark has been achieved; and\n (b) in the case of payments to facilitate reform and to support the delivery of specified outputs or projects, the relevant Commonwealth Minister or delegate will make a determination, based upon expenditure and performance reporting arrangements set out in the National Partnership, as to whether the facilitation or project payment will be paid.\n 11. Where the achievement of a performance benchmark is not required before a payment is made to a State, payments will be scheduled in accordance with the payment profile set out in the National Partnership.\n\n## Part 3 — National Partnership Payments\n\n### Determination\n\n 12. In accordance with subsection 16(1) of the Act, the amounts specified in Table 1 are to be paid to the States specified in that table for the purpose of making a grant of financial assistance to:\n (a) support the delivery by the States of specified outputs or projects;\n (b) facilitate reforms by the States; or\n (c) reward the States for nationally significant reforms.\n\n### Table 1: National Partnership payments for payment on 7 February 2017 ![](image.001.png)\n\n 13. These amounts will be credited to the COAG Reform Fund before being paid to the States on 7 February 2017.\n 14. Schedule 1 to this determination provides further information on these payments.\n\n### Debit limits\n\n 15. Subsection 16(3) of the Act provides that the total amount credited to the COAG Reform Fund for the purpose of making National Partnership payments in the financial year starting on 1 July 2016 must not exceed $25,000,000,000.00.\n 16. The amounts specified in Table 2 are the total amounts determined in the 2016-17 financial year in respect of National Partnership payments under section 16 of the Act, including this determination.\n\n### Table 2: Total cumulative payments of National Partnership payments in 2016-17 ![](image.002.png)\n\n 17. The total amount determined for National Partnership payments to date in the 2016-17 financial year does not exceed the debit limit.","sortOrder":1},{"sectionNumber":"Name of Determination","sectionType":"division","heading":"Name of Determination","content":"### Name of Determination\n\n This determination is the Federal Financial Relations (National Partnership payments) Determination No. 116 (February 2017).","sortOrder":2},{"sectionNumber":"Commencement","sectionType":"division","heading":"Commencement","content":"### Commencement\n\n 2. This determination commences on the day on which this determination is made.","sortOrder":3},{"sectionNumber":"Definitions","sectionType":"division","heading":"Definitions","content":"### Definitions\n\n 3. The following definitions are used throughout this determination:\n\nAct means the Federal Financial Relations Act 2009.\n\nCOAG Reform Fund means the COAG Reform Fund established by section 5 of the COAG Reform Fund Act 2008.\n\nIntergovernmental Agreement means the Intergovernmental Agreement on Federal Financial Relations that took effect on 1 January 2009. The Intergovernmental Agreement provides an overarching framework for financial transfers between the Commonwealth and the States and related collaboration on policy development and service delivery.\n\nState includes the Australian Capital Territory and the Northern Territory.","sortOrder":4},{"sectionNumber":"Exemption from section 42 (disallowance)","sectionType":"division","heading":"Exemption from section 42 (disallowance) of the Legislative Instruments Act 2003","content":"### Exemption from section 42 (disallowance) of the Legislative Instruments Act 2003\n\n 4. Subsection 16(5) of the Act provides that this determination is a legislative instrument, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to this determination.","sortOrder":5},{"sectionNumber":"PArt 2","sectionType":"part","heading":"Purpose","content":"```html\n

Federal Financial Relations (National Partnership Payments) Determination No. 116 (February 2017)

I, SCOTT JOHN MORRISON, Treasurer, make this Determination under section 16 of the Federal Financial Relations Act 2009.

SCOTT JOHN MORRISON


Dated: 2 February 2017

\n```\n\n## Part 1 — preliminary\n\n### Name of Determination\n\n This determination is the Federal Financial Relations (National Partnership payments) Determination No. 116 (February 2017).\n\n### Commencement\n\n 2. This determination commences on the day on which this determination is made.\n\n### Definitions\n\n 3. The following definitions are used throughout this determination:\n\nAct means the Federal Financial Relations Act 2009.\n\nCOAG Reform Fund means the COAG Reform Fund established by section 5 of the COAG Reform Fund Act 2008.\n\nIntergovernmental Agreement means the Intergovernmental Agreement on Federal Financial Relations that took effect on 1 January 2009. The Intergovernmental Agreement provides an overarching framework for financial transfers between the Commonwealth and the States and related collaboration on policy development and service delivery.\n\nState includes the Australian Capital Territory and the Northern Territory.\n\n### Exemption from section 42 (disallowance) of the Legislative Instruments Act 2003\n\n 4. Subsection 16(5) of the Act provides that this determination is a legislative instrument, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to this determination.\n\n## PArt 2 — Purpose\n\n### Provision of financial assistance\n\n 5. This determination is made, in accordance with section 16 of the Act, for the purpose of providing grants of financial assistance to a State to:\n (a) support the delivery by the State of specified outputs or projects;\n (b) facilitate reforms by the State; or\n (c) reward the State for nationally significant reforms.\n\n### Terms and conditions\n\n 6. Subsection 16(2) of the Act requires that an amount determined under subsection 16(1) must be credited to the COAG Reform Fund. The COAG Reform Fund Act 2008 established the COAG Reform Fund and specifies that it is a Special Account for the purposes of the Public Governance, Performance and Accountability Act 2013.\n 7. Subsection 7(2) of the COAG Reform Fund Act 2008 requires that the terms and conditions on which financial assistance is granted through the COAG Reform Fund are to be set out in a written agreement between the Commonwealth and the State.\n 8. ‘Schedule D — Payment Arrangements’ to the Intergovernmental Agreement provides that the Commonwealth will make National Partnership payments to the States to support the delivery of specified outputs or projects, to facilitate reforms or to reward those jurisdictions that deliver on nationally significant reforms.\n 9. National Partnerships will clearly set out the payment profile in respect of each State.\n 10. Where the achievement of pre‑determined milestones or performance benchmarks is required before a payment is made to a State:\n (a) in the case of payments to reward nationally significant reforms, the relevant Commonwealth Minister or delegate will make a determination as to whether the incentive payment will be paid following receipt of an independent assessment as to whether a pre-determined performance benchmark has been achieved; and\n (b) in the case of payments to facilitate reform and to support the delivery of specified outputs or projects, the relevant Commonwealth Minister or delegate will make a determination, based upon expenditure and performance reporting arrangements set out in the National Partnership, as to whether the facilitation or project payment will be paid.\n 11. Where the achievement of a performance benchmark is not required before a payment is made to a State, payments will be scheduled in accordance with the payment profile set out in the National Partnership.\n\n## Part 3 — National Partnership Payments\n\n### Determination\n\n 12. In accordance with subsection 16(1) of the Act, the amounts specified in Table 1 are to be paid to the States specified in that table for the purpose of making a grant of financial assistance to:\n (a) support the delivery by the States of specified outputs or projects;\n (b) facilitate reforms by the States; or\n (c) reward the States for nationally significant reforms.\n\n### Table 1: National Partnership payments for payment on 7 February 2017 ![](image.001.png)\n\n 13. These amounts will be credited to the COAG Reform Fund before being paid to the States on 7 February 2017.\n 14. Schedule 1 to this determination provides further information on these payments.\n\n### Debit limits\n\n 15. Subsection 16(3) of the Act provides that the total amount credited to the COAG Reform Fund for the purpose of making National Partnership payments in the financial year starting on 1 July 2016 must not exceed $25,000,000,000.00.\n 16. The amounts specified in Table 2 are the total amounts determined in the 2016-17 financial year in respect of National Partnership payments under section 16 of the Act, including this determination.\n\n### Table 2: Total cumulative payments of National Partnership payments in 2016-17 ![](image.002.png)\n\n 17. The total amount determined for National Partnership payments to date in the 2016-17 financial year does not exceed the debit limit.","sortOrder":6},{"sectionNumber":"Provision of financial assistance","sectionType":"division","heading":"Provision of financial assistance","content":"### Provision of financial assistance\n\n 5. This determination is made, in accordance with section 16 of the Act, for the purpose of providing grants of financial assistance to a State to:\n (a) support the delivery by the State of specified outputs or projects;\n (b) facilitate reforms by the State; or\n (c) reward the State for nationally significant reforms.","sortOrder":7},{"sectionNumber":"Terms and conditions","sectionType":"division","heading":"Terms and conditions","content":"### Terms and conditions\n\n 6. Subsection 16(2) of the Act requires that an amount determined under subsection 16(1) must be credited to the COAG Reform Fund. The COAG Reform Fund Act 2008 established the COAG Reform Fund and specifies that it is a Special Account for the purposes of the Public Governance, Performance and Accountability Act 2013.\n 7. Subsection 7(2) of the COAG Reform Fund Act 2008 requires that the terms and conditions on which financial assistance is granted through the COAG Reform Fund are to be set out in a written agreement between the Commonwealth and the State.\n 8. ‘Schedule D — Payment Arrangements’ to the Intergovernmental Agreement provides that the Commonwealth will make National Partnership payments to the States to support the delivery of specified outputs or projects, to facilitate reforms or to reward those jurisdictions that deliver on nationally significant reforms.\n 9. National Partnerships will clearly set out the payment profile in respect of each State.\n 10. Where the achievement of pre‑determined milestones or performance benchmarks is required before a payment is made to a State:\n (a) in the case of payments to reward nationally significant reforms, the relevant Commonwealth Minister or delegate will make a determination as to whether the incentive payment will be paid following receipt of an independent assessment as to whether a pre-determined performance benchmark has been achieved; and\n (b) in the case of payments to facilitate reform and to support the delivery of specified outputs or projects, the relevant Commonwealth Minister or delegate will make a determination, based upon expenditure and performance reporting arrangements set out in the National Partnership, as to whether the facilitation or project payment will be paid.\n 11. Where the achievement of a performance benchmark is not required before a payment is made to a State, payments will be scheduled in accordance with the payment profile set out in the National Partnership.","sortOrder":8},{"sectionNumber":"Part 3","sectionType":"part","heading":"National Partnership Payments","content":"```html\n

Federal Financial Relations (National Partnership Payments) Determination No. 116 (February 2017)

I, SCOTT JOHN MORRISON, Treasurer, make this Determination under section 16 of the Federal Financial Relations Act 2009.

SCOTT JOHN MORRISON


Dated: 2 February 2017

\n```\n\n## Part 1 — preliminary\n\n### Name of Determination\n\n This determination is the Federal Financial Relations (National Partnership payments) Determination No. 116 (February 2017).\n\n### Commencement\n\n 2. This determination commences on the day on which this determination is made.\n\n### Definitions\n\n 3. The following definitions are used throughout this determination:\n\nAct means the Federal Financial Relations Act 2009.\n\nCOAG Reform Fund means the COAG Reform Fund established by section 5 of the COAG Reform Fund Act 2008.\n\nIntergovernmental Agreement means the Intergovernmental Agreement on Federal Financial Relations that took effect on 1 January 2009. The Intergovernmental Agreement provides an overarching framework for financial transfers between the Commonwealth and the States and related collaboration on policy development and service delivery.\n\nState includes the Australian Capital Territory and the Northern Territory.\n\n### Exemption from section 42 (disallowance) of the Legislative Instruments Act 2003\n\n 4. Subsection 16(5) of the Act provides that this determination is a legislative instrument, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to this determination.\n\n## PArt 2 — Purpose\n\n### Provision of financial assistance\n\n 5. This determination is made, in accordance with section 16 of the Act, for the purpose of providing grants of financial assistance to a State to:\n (a) support the delivery by the State of specified outputs or projects;\n (b) facilitate reforms by the State; or\n (c) reward the State for nationally significant reforms.\n\n### Terms and conditions\n\n 6. Subsection 16(2) of the Act requires that an amount determined under subsection 16(1) must be credited to the COAG Reform Fund. The COAG Reform Fund Act 2008 established the COAG Reform Fund and specifies that it is a Special Account for the purposes of the Public Governance, Performance and Accountability Act 2013.\n 7. Subsection 7(2) of the COAG Reform Fund Act 2008 requires that the terms and conditions on which financial assistance is granted through the COAG Reform Fund are to be set out in a written agreement between the Commonwealth and the State.\n 8. ‘Schedule D — Payment Arrangements’ to the Intergovernmental Agreement provides that the Commonwealth will make National Partnership payments to the States to support the delivery of specified outputs or projects, to facilitate reforms or to reward those jurisdictions that deliver on nationally significant reforms.\n 9. National Partnerships will clearly set out the payment profile in respect of each State.\n 10. Where the achievement of pre‑determined milestones or performance benchmarks is required before a payment is made to a State:\n (a) in the case of payments to reward nationally significant reforms, the relevant Commonwealth Minister or delegate will make a determination as to whether the incentive payment will be paid following receipt of an independent assessment as to whether a pre-determined performance benchmark has been achieved; and\n (b) in the case of payments to facilitate reform and to support the delivery of specified outputs or projects, the relevant Commonwealth Minister or delegate will make a determination, based upon expenditure and performance reporting arrangements set out in the National Partnership, as to whether the facilitation or project payment will be paid.\n 11. Where the achievement of a performance benchmark is not required before a payment is made to a State, payments will be scheduled in accordance with the payment profile set out in the National Partnership.\n\n## Part 3 — National Partnership Payments\n\n### Determination\n\n 12. In accordance with subsection 16(1) of the Act, the amounts specified in Table 1 are to be paid to the States specified in that table for the purpose of making a grant of financial assistance to:\n (a) support the delivery by the States of specified outputs or projects;\n (b) facilitate reforms by the States; or\n (c) reward the States for nationally significant reforms.\n\n### Table 1: National Partnership payments for payment on 7 February 2017 ![](image.001.png)\n\n 13. These amounts will be credited to the COAG Reform Fund before being paid to the States on 7 February 2017.\n 14. Schedule 1 to this determination provides further information on these payments.\n\n### Debit limits\n\n 15. Subsection 16(3) of the Act provides that the total amount credited to the COAG Reform Fund for the purpose of making National Partnership payments in the financial year starting on 1 July 2016 must not exceed $25,000,000,000.00.\n 16. The amounts specified in Table 2 are the total amounts determined in the 2016-17 financial year in respect of National Partnership payments under section 16 of the Act, including this determination.\n\n### Table 2: Total cumulative payments of National Partnership payments in 2016-17 ![](image.002.png)\n\n 17. The total amount determined for National Partnership payments to date in the 2016-17 financial year does not exceed the debit limit.","sortOrder":9},{"sectionNumber":"Determination","sectionType":"division","heading":"Determination","content":"### Determination\n\n 12. In accordance with subsection 16(1) of the Act, the amounts specified in Table 1 are to be paid to the States specified in that table for the purpose of making a grant of financial assistance to:\n (a) support the delivery by the States of specified outputs or projects;\n (b) facilitate reforms by the States; or\n (c) reward the States for nationally significant reforms.","sortOrder":10},{"sectionNumber":"Table 1: National Partnership payments f","sectionType":"division","heading":"Table 1: National Partnership payments for payment on 7 February 2017","content":"### Table 1: National Partnership payments for payment on 7 February 2017 ![](image.001.png)\n\n 13. These amounts will be credited to the COAG Reform Fund before being paid to the States on 7 February 2017.\n 14. Schedule 1 to this determination provides further information on these payments.","sortOrder":11},{"sectionNumber":"Debit limits","sectionType":"division","heading":"Debit limits","content":"### Debit limits\n\n 15. Subsection 16(3) of the Act provides that the total amount credited to the COAG Reform Fund for the purpose of making National Partnership payments in the financial year starting on 1 July 2016 must not exceed $25,000,000,000.00.\n 16. The amounts specified in Table 2 are the total amounts determined in the 2016-17 financial year in respect of National Partnership payments under section 16 of the Act, including this determination.","sortOrder":12},{"sectionNumber":"Table 2: Total cumulative payments of Na","sectionType":"division","heading":"Table 2: Total cumulative payments of National Partnership payments in 2016-17","content":"### Table 2: Total cumulative payments of National Partnership payments in 2016-17 ![](image.002.png)\n\n 17. The total amount determined for National Partnership payments to date in the 2016-17 financial year does not exceed the debit limit.","sortOrder":13},{"sectionNumber":"SChedule 1","sectionType":"part","heading":null,"content":"# SChedule 1\n\n# Amounts of National Partnership Payments for payment on 7 February 2017 ($)\n\n# ![](image.003.png)\n\n \n\n![](image.004.png)","sortOrder":14},{"sectionNumber":"Amounts of National Partnership Payments","sectionType":"part","heading":"Amounts of National Partnership Payments for payment on 7 February 2017 ($)","content":"# Amounts of National Partnership Payments for payment on 7 February 2017 ($)\n\n# ![](image.003.png)\n\n \n\n![](image.004.png)","sortOrder":15}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":3,"scope_assessment":{"changed":false,"description":"This Determination operates within its original intended scope. It is one in a series of routine administrative instruments made under section 16 of the Federal Financial Relations Act 2009 to authorise specific National Partnership payments. The structure and purpose align precisely with the legislative framework established in 2009 — providing grants for outputs/projects, facilitating reforms, and rewarding nationally significant reforms. No expansion beyond original intent is evident."},"complexity_factors":["Only 4 defined terms in the interpretation section","Straightforward three-part structure (Preliminary, Purpose, Payments)","Single primary operative provision (section 12) with three enumerated purposes","Minimal cross-referencing — only references to parent Act (Federal Financial Relations Act 2009) and COAG Reform Fund Act 2008","No nested exceptions or conditional logic beyond basic 'if-then' performance benchmarks in sections 10-11","Contains placeholder image references for payment tables (Table 1, Table 2, Schedule 1) rather than embedded data","Routine administrative instrument following established template pattern"],"plain_english_summary":"This Treasurer’s Determination authorises specific National Partnership payments to Australian States and Territories (dated 7 Feb 2017), funding projects, reform implementation, and reward payments for achieved reforms. Funds flow via the COAG Reform Fund and stay under the $25 billion 2016–17 cap. An independent assessor and Ministers oversee reward and other payments; some scheduled amounts pay automatically. It’s exempt from disallowance and governs major federal transfers for hospitals, schools, infrastructure and similar shared responsibilities."},"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":false,"description":"This determination stays within the statutory power given by section 16 of the Federal Financial Relations Act 2009: it authorises specified National Partnership payments, requires amounts be credited to the COAG Reform Fund, and records compliance with the statutory debit limit. It does not add new policy objectives or substantially broaden the kinds of payments authorised by the Act; rather it implements the Act’s routine mechanism for transferring funds to States under National Partnership agreements. Any substantive rules about what the payments fund or the performance conditions are located in the referenced National Partnership agreements and independent assessments, not in this determination itself."},"complexity_factors":["Short standalone determination (roughly one printed page plus tables)","Small number of defined terms in the instrument itself (Act; COAG Reform Fund; Intergovernmental Agreement; State)","Cross‑references to multiple other instruments and statutes (Federal Financial Relations Act 2009; COAG Reform Fund Act 2008; PGPA Act 2013; Intergovernmental Agreement; Legislative Instruments Act 2003)","Conditional logic around payment triggers and decision‑making (paras 9–11) — minister/delegate discretion dependent on independent assessments or reporting","References to external documents for substantive detail (National Partnership agreements, Schedule 1) — key operational rules sit outside the determination","Two embedded tables/Schedules (Table 1 & Table 2 / Schedule 1) that contain the operative financial numbers (images in the provided copy)","Single, clear debit limit ($25 billion) and cumulative accounting requirement (paras 15–17)","Exemption from parliamentary disallowance (para 4) changes standard legislative oversight mechanics","Repetition and duplication in the provided text (multiple repeats of preliminary and purpose sections) increases reading effort though not legal complexity"],"plain_english_summary":"**What this instrument does (plain English)**\n\n- This is a Treasurer’s determination made under section 16 of the Federal Financial Relations Act 2009 that instructs the Commonwealth to credit specified amounts to the COAG Reform Fund and then pay those amounts to the States (including the Australian Capital Territory and the Northern Territory). The payments are “National Partnership” payments intended to: support specified outputs or projects by States, facilitate State reforms, or reward States for nationally significant reforms (see paras 5 and 12).\n\n- The determination lists the amounts and the States that will receive them (Table 1, Schedule 1) and specifies that those amounts will be credited to the COAG Reform Fund before being paid to States on 7 February 2017 (paras 12–14).\n\n- The instrument also reports cumulative totals for the 2016–17 year and confirms the total does not exceed the debit limit set by the Act (a $25,000,000,000 debit limit for that financial year) (paras 15–17).\n\n**How it works mechanically**\n\n- Legal basis: made under s.16 of the Federal Financial Relations Act 2009. The amounts must first be credited to the COAG Reform Fund (paras 6–7).\n\n- Payment basis: payments are made in accordance with the payment profiles set out in the relevant National Partnership agreements (para 9). If payments are conditional on milestones or performance benchmarks, the relevant Commonwealth Minister or a delegate decides whether to pay:\n - for incentive (reward) payments, after receipt of an independent assessment about whether the benchmark has been achieved (para 10(a));\n - for facilitation or project payments, based on the expenditure and performance reporting arrangements in the National Partnership (para 10(b)).\n\n- Administrative features: the determination is a legislative instrument but is exempt from the disallowance mechanism in s.42 of the Legislative Instruments Act 2003 (para 4). It also cross‑references the COAG Reform Fund Act 2008 and the Intergovernmental Agreement on Federal Financial Relations (paras 6–8).\n\n**Who it affects**\n\n- Pays: the Commonwealth (Treasurer acting under s.16) credits and transfers money via the COAG Reform Fund.\n- Receives: State and Territory governments specified in Table 1/Schedule 1.\n- Decides whether conditional payments are made: the relevant Commonwealth Minister or a delegate, informed in some cases by independent assessments (para 10).\n- Administrative burden: State agencies that must meet reporting, expenditure and milestone requirements under the relevant National Partnership agreements.\n\n**Why it matters (concrete mechanisms and costs/incentives)**\n\n- Benefit flow: the instrument transfers public funds to States to support projects and reforms (paras 5, 12). The direct beneficiaries are State programs and any contractors or service providers engaged by States under those programs.\n\n- Incentives: tying payments to milestones or performance benchmarks (paras 9–11) creates a financial incentive for States to meet those conditions. Where payments are unconditional on performance, they are scheduled according to the agreed profile (para 11).\n\n- Who pays: the Commonwealth funds the payments by crediting the COAG Reform Fund; the fiscal cost is carried at Commonwealth level. The instrument reports compliance with the statutory debit limit (paras 15–17).\n\n- Who decides and discretion: the Minister or delegate has formal discretion to determine whether conditional payments are made (para 10). That discretion depends on independent assessments or reporting set out in National Partnership agreements.\n\n- Compliance and implementation cost: States must carry the administrative and reporting burden required by the National Partnership agreements (paras 7, 10). The Commonwealth incurs assessment and oversight costs (independent assessments, ministerial determinations).\n\n- Trade-offs and opportunity cost: the funds credited to the COAG Reform Fund are finite and counted against the statutory debit limit for the year (paras 15–17). Allocating funds to these National Partnerships reduces Commonwealth budget room for other purposes within that limit.\n\n- Effects on markets and private parties: the payments enable State spending (projects, reforms) that may alter procurement, contracting and competitive opportunities for private suppliers. The determination itself does not prescribe procurement or market rules — those follow from individual National Partnership agreements and State decisions.\n\n**Other notable mechanics**\n\n- The COAG Reform Fund is a Special Account under the Public Governance, Performance and Accountability Act 2013 and terms and conditions for grants must be set out in written agreements between the Commonwealth and the State (paras 6–7).\n\n- The instrument is explicit that it implements the payment arrangements contemplated by the Intergovernmental Agreement on Federal Financial Relations (para 8).\n\n(References in parentheses are to the numbered paragraphs of the determination.)"},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"}},"importantCases":[],"_links":{"self":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017","history":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017/history","analysis":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017/analysis","conflicts":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017/conflicts","importantCases":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017/important-cases","documents":"/api/acts/federal-financial-relations-national-partnership-payments-determination-no-116-february-2017/documents"}}