{"id":"loans-cooperative-companies-act-2004","name":"Loans (Co-operative Companies) Act 2004","slug":"loans-co-operative-companies-act-2004","collection":"act","jurisdiction":"wa","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":30770,"registerId":"wa-loans-cooperative-companies-act-2004-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Loans (Co-operative Companies) Act 2004","content":"![Crest]()Western Australia\n\nLoans (Co-operative Companies) Act 2004\n\nWestern Australia\n\nLoans (Co-operative Companies) Act 2004\n\nContents\n\n1. Short title 1\n\n2. Commencement 2\n\n3. Terms used in this Act 2\n\n4. Account established 2\n\n5. Loans by State to eligible co‑operatives 3\n\n6. Power to borrow money for the purposes of this Act 3\n\nNotes\n\nCompilation table 5\n\nDefined terms\n\n  \n\nWestern Australia\n\nLoans (Co-operative Companies) Act 2004\n\nAn Act to enable loans to be made by the State to certain co‑operative companies and for related purposes.\n\n##### 1. Short title\n\nThis Act may be cited as the *Loans (Co-operative Companies) Act 2004*.\n\n##### 2. Commencement\n\nThis Act comes into operation on the day on which it receives the Royal Assent.\n\n##### 3. Terms used in this Act\n\nIn this Act —\n\n  eligible co‑operative means a co‑operative company as defined in section 117 of the Income Tax Act  that has as its primary object the acquisition of commodities or animals from its shareholders for disposal or distribution;\n\n  Income Tax Act means the *Income Tax Assessment Act 1936* of the Commonwealth.\n\n##### 4. Account established\n\n(1) An agency special purpose account called the Co‑operative Companies Loans Account is established under section 16 of the *Financial Management Act 2006*.\n\n(2) There are to be credited to the Co‑operative Companies Loans Account —\n\n(a) all sums transferred to it under section 6(2);\n\n(b) moneys paid by eligible co‑operatives by way of —\n\n(i) repayment of loans made under section 5; and\n\n(ii) interest on, and administration charges relating to, loans made under section 5;\n\nand\n\n(c) any other moneys lawfully received for the purposes of this Act.\n\n(3) There are to be charged to the Co‑operative Companies Loans Account —\n\n(a) all loans made under section 5 and the costs of administering them; and\n\n(b) moneys necessary to be paid by way of —\n\n(i) repayment of principal moneys borrowed under section 6; and\n\n(ii) interest on and other expenses of borrowings under section 6.\n\n[Section 4 amended: No. 77 of 2006 s. 17.]\n\n##### 5. Loans by State to eligible co‑operatives\n\n(1) The Minister acting on behalf of, and in the name of, the State may make a loan to an eligible co‑operative for a purpose mentioned in section 120(1)(c) of the Income Tax Act.\n\n(2) A loan under this section may be made on such terms and conditions as the Minister thinks fit as to —\n\n(a) repayment;\n\n(b) interest and administration charges;\n\n(c) security to be provided to protect the State from the risk of default; or\n\n(d) any other matter.\n\n(3) Without limiting subsection (2), a loan is not to be made under this section unless the —\n\n(a) repayment of it; and\n\n(b) payment of interest and administration charges relating to it,\n\nare secured by a guarantee of a kind approved by the Treasurer.\n\n##### 6. Power to borrow money for the purposes of this Act\n\n(1) The Minister may, if the Treasurer approves, borrow sums of money from the Western Australian Treasury Corporation for the purposes of this Act.\n\n(2) All sums borrowed under subsection (1) are to be credited to the Consolidated Account and transferred to the Co‑operative Companies Loans Account.\n\n(3) The Consolidated Account is appropriated to the extent necessary for the purposes of subsection (2).\n\n[Section 6 amended: No. 77 of 2006 s. 4 and 17.]\n\nNotes\n\n1 This is a compilation of the *Loans (Co-operative Companies) Act 2004* and includes the amendments made by the other written laws referred to in the following table.\n\nCompilation table\n\n| **Short title** | **Number and Year** | **Assent** | **Commencement** |\n| --- | --- | --- | --- |\n| *Loans (Co-operative Companies) Act 2004* | 81 of 2004 | 8 Dec 2004 | 8 Dec 2004 (see s. 2) |\n| *Financial Legislation Amendment and Repeal Act 2006* s. 4 and 17 | 77 of 2006 | 21 Dec 2006 | 1 Feb 2007 (see s. 2 and *Gazette* 19 Jan 2007 p. 137) | |\n\n\nDefined terms\n\n*[This is a list of terms defined and the provisions where they are defined. The list is not part of the law.]*\n\n**Defined term Provision(s)**\n\neligible co‑operative 3\n\nIncome Tax Act 3\n","sortOrder":0}],"analysis":{"summary":{"complexity_score":1,"scope_assessment":{"changed":false,"description":"Scope cannot be assessed — the full text of the legislation was not retrievable. No comparison between original intent and enacted provisions is possible."},"complexity_factors":["No legislative text was available for analysis — only a broken link error page was provided","Cannot assess complexity of provisions, definitions, or regulatory frameworks without the actual content","Title alone suggests moderate financial/corporate law subject matter, but this cannot be confirmed"],"plain_english_summary":"## Loans (Co-operative Companies) Act 2004 — Western Australia\n\n**⚠️ Content Unavailable**\n\nThe actual text of this Western Australian Act could not be retrieved. The legislation page has been moved or removed from the WA Parliamentary Counsel's Office website as part of a system upgrade.\n\n**What we know from the title:**\n- This is a **Western Australian state law** passed in **2004**\n- It appears to deal with **loans made to or involving co-operative companies** (businesses owned collectively by their members, such as farming co-ops or credit unions)\n- It likely governs the terms, conditions, or regulation of lending arrangements in that sector\n\n**What you should do:**\n- Visit the [WA Legislation website](https://www.legislation.wa.gov.au) and search for the Act by name\n- Contact the Parliamentary Counsel's Office directly for the current version\n- Consult a lawyer if this Act may affect your financial or business arrangements"},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose of enabling state loans to commodity-acquiring co-operatives. The 2006 amendments were purely technical—updating references to the Financial Management Act 2006 and Consolidated Account terminology—without expanding the scope or adding new categories of eligible borrowers."},"complexity_factors":["Only 2 defined terms in the interpretation section (section 3)","No nested exceptions or complex conditional logic","Straightforward administrative structure with clear money flow (section 4)","Minimal cross-referencing—only references to Commonwealth Income Tax Act 1936 (section 117 and 120) and WA Financial Management Act 2006","Short length (6 substantive sections)","Simple purpose: establish account, lend money, borrow money"],"plain_english_summary":"This Western Australian law sets up a government lending scheme for specific types of co-operative businesses.\n\n**What it does:**\n- Creates a special bank account called the **Co-operative Companies Loans Account** to manage money for this scheme\n- Allows the State government to **lend money to eligible co-operatives** (businesses owned by their members, typically farmers or producers)\n- Lets the government **borrow money** from the WA Treasury Corporation to fund these loans\n\n**Who it affects:**\n- **Eligible co-operatives**: These are companies that buy commodities (like grain, wool, or livestock) from their shareholder members for resale or distribution. Think agricultural co-ops or farmer-owned businesses.\n- The **Minister** (who approves and manages the loans) and the **Treasurer** (who approves borrowing and guarantees)\n\n**Key requirements:**\n- Loans must be **guaranteed** (backed by security approved by the Treasurer) to protect taxpayers' money\n- The Minister sets the terms: interest rates, repayment schedules, fees, and what collateral (security) is required\n- Money flows in a specific path: borrowed from Treasury Corporation → Consolidated Account → Loans Account → out to co-operatives\n\n**Why it matters:**\nThis provides **government-backed financing** to help agricultural and commodity co-operatives manage cash flow—particularly useful when they're buying products from members but haven't sold them yet. It supports rural businesses while requiring safeguards (guarantees) to minimize risk to public funds."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"flash_summary":{"complexity_score":2,"scope_assessment":{"changed":false,"description":"The Act remains narrowly targeted to permitting State loans to a specific class of co‑operative companies defined by reference to the Commonwealth Income Tax Assessment Act. Amendments recorded in the compilation (Financial Legislation Amendment and Repeal Act 2006) updated account and borrowing mechanics (references to the Financial Management Act and appropriation/transfer language in s.4 and s.6) but did not broaden the class of beneficiaries or the statutory purposes for which loans may be made. The core scope—authorising loans to eligible co‑operatives and setting the funding and security mechanics—remains the same."},"complexity_factors":["Short statute with 6 substantive sections","Only 2 defined terms (eligible co‑operative; Income Tax Act) defined in s.3","Cross‑references to three external statutes: Commonwealth Income Tax Assessment Act (s.3 and s.5(1)), Financial Management Act 2006 (s.4(1)), and Western Australian Treasury Corporation borrowing (s.6)","Three conditional approvals/decisions: Minister’s discretion on loan terms (s.5(2)), Treasurer approval of guarantees (s.5(3)), Treasurer approval to borrow (s.6(1))","Simple financial flow mechanics (establish account, credit and charge items in s.4) rather than nested exceptions","Amendments noted (2006) altered financial/administrative mechanics but not added complex substantive regimes"],"plain_english_summary":"**What this law does (mechanically)**\n\n- Establishes an agency special purpose account called the Co‑operative Companies Loans Account to hold and pay money used under the Act (s.4(1)).\n- Authorises the State, through the Minister, to make loans to certain co‑operative companies (called “eligible co‑operatives”) for specific purposes linked to the Commonwealth Income Tax Assessment Act (s.5(1)).\n- Allows the Minister to set the terms of those loans (repayment, interest, security and other matters) and requires repayment and related charges to be secured by a Treasurer‑approved guarantee (s.5(2)–(3)).\n- Authorises the Minister, with the Treasurer’s approval, to borrow from the Western Australian Treasury Corporation to fund the scheme; sums borrowed are credited to the Consolidated Account and then transferred to the Loans Account, and the Consolidated Account is appropriated as needed (s.6(1)–(3)).\n- Specifies what money goes into the Loans Account (transfers under s.6(2), repayments, interest, administration charges and any other lawful moneys) and what is to be paid out of it (the loans made and costs of administering them, plus amounts needed to repay borrowings and related interest/expenses) (s.4(2)–(3)).\n\n**Who is affected**\n\n- Eligible co‑operatives: defined by reference to section 117 of the Commonwealth Income Tax Assessment Act and described in this Act as co‑operative companies whose primary object is acquiring commodities or animals from shareholders for disposal or distribution (s.3). These are the only entities that may receive loans under s.5.\n- The Treasurer and Minister: exercises approval and discretion—Treasurer approves the form of guarantee and borrowing; Minister decides loan terms and makes loans in the name of the State (s.5, s.6).\n- The State’s finances: initial cashflows may come from borrowings via the Western Australian Treasury Corporation and/or the Consolidated Account; repayments, interest and administration charges flow back into the Loans Account (s.4, s.6).\n\n**Why it matters (stated purpose and practical mechanics)**\n\n- The Act’s stated enabling purpose is to permit the State to make loans to a narrowly defined class of co‑operative companies (opening a channel of finance that did not exist under this statute prior to enactment) (long title; s.5(1)).\n- Mechanically, the State funds these loans by borrowing (with Treasurer approval) and routing the funds through the Consolidated Account into a dedicated Loans Account (s.6). Loan recoveries and related revenue replenish that account (s.4).\n\n**Operational and compliance implications (mechanisms that affect costs, incentives and risks)**\n\n- Who pays: taxpayers ultimately carry the initial cash cost and the credit risk if borrowings or guarantees are required—borrowings to fund the scheme are repaid from the Loans Account, but shortfalls would require public resources because the Consolidated Account is appropriated for transfers (s.6(2)–(3); s.4(3)).\n- Risk allocation: the Act requires Treasurer‑approved guarantees securing repayment and charges (s.5(3)). The guarantee requirement shifts risk‑sharing toward guarantors, but the State retains approval discretion and exposure if guarantees prove insufficient.\n- Discretion and administrative burden: the Minister sets loan terms at their discretion (s.5(2)); the Treasurer must approve the form of guarantee and any borrowing (s.5(3); s.6(1)). That creates administrative steps (assessment of eligibility, security, guarantees and loan terms) and places significant decision-making power in the executive (Minister/Treasurer).\n- Access and selection effects: the guarantee requirement and the Minister’s discretion over terms create entry conditions that may limit eligibility in practice to co‑operatives able to obtain acceptable guarantees or political/administrative approval (s.5(2)–(3)).\n- Competition and private finance substitution: by providing an alternate source of funds specifically to eligible co‑operatives, the Act can change co‑operatives’ choice of funding (state loan vs private finance). The text gives the Minister latitude to set terms (including interest), so loans could be more or less commercially priced (s.5(2)).\n- Concentrated benefits and diffuse costs: recipients (eligible co‑operatives) are a narrow, identifiable group; the fiscal cost (borrowings, any defaults) is borne more broadly by public finances (s.4, s.6).\n- Implementation risks: verifying an entity’s status as an eligible co‑operative (since definition relies on the Commonwealth Income Tax Act), monitoring repayment and enforcing security/guarantees, and managing the Loans Account are administrative tasks that could create ongoing compliance and enforcement costs (s.3, s.4, s.5).\n\n**Concrete trade‑offs and opportunity costs**\n\n- The Act prioritises targeted lending to a specified co‑operative form over broader market programmes; resources used here (borrowing headroom, staff time for security assessment, potential contingent liabilities) are not available for other public spending or programmes.\n- The guarantee requirement reduces direct State credit risk but raises the bar for co‑operatives to obtain funding (s.5(3)).\n\n(Sections cited: ss.1–6.)"},"issue_detection":{"absurdities":[],"contradictions":[]}},"importantCases":[],"_links":{"self":"/api/acts/loans-co-operative-companies-act-2004","history":"/api/acts/loans-co-operative-companies-act-2004/history","analysis":"/api/acts/loans-co-operative-companies-act-2004/analysis","conflicts":"/api/acts/loans-co-operative-companies-act-2004/conflicts","importantCases":"/api/acts/loans-co-operative-companies-act-2004/important-cases","documents":"/api/acts/loans-co-operative-companies-act-2004/documents"}}