{"id":"F2022L00885","name":"Local Government (Financial Assistance) (Final Factor for 2021-22 and Estimated Factor for 2022-23) Determination 2022","slug":"local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":441436,"registerId":"F2022L00885-fast-fetch-1775956731473","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Local Government (Financial Assistance) (Final Factor for 2021-22 and Estimated Factor for 2022-23) Determination 2022","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\nmeta-generator: Aspose.Words for .NET 22.10.0\n---\n\n?xml version=\"1.0\" encoding=\"utf-8\" standalone=\"no\"?>\n\n![Commonwealth Coat of Arms of Australia](image.001.jpeg)\n\n \n\nLocal Government (Financial Assistance) (Final Factor for 2021-22 and Estimated Factor for 2022-23) Determination 2022\n\nI, Andrew Leigh, Assistant Minister for Competition, Charities and Treasury, make the following determination.\n\nDated   28 June 2022\n\n \n\nDr Andrew Leigh\n\nAssistant Minister for Competition, Charities and Treasury\n\nParliamentary Secretary to the Treasurer\n\n \n\n \n\n \n\n \n\nContents\n\nPart 1—Preliminary\n\n1  Name \n\n2  Commencement\n\n3  Authority\n\n4  Definitions\n\nPart 2—Final factor for the year 2021-22\n\n5  Determination of final factor for 2021-22\n\n6  How the final factor was worked out\n\nPart 3—Estimated factor for the year 2022-23\n\n7  Determination of estimated factor for 2022-23\n\n8  How the estimated factor has been worked out\n\nPart 1—Preliminary\n\n \n\n1  Name\n\n  This instrument is the Local Government (Financial Assistance) (Final Factor for 2021-22 and Estimated Factor for 2022-23) Determination 2022.\n\n2  Commencement \n\n (1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. The whole of this instrument Immediately after this instrument is registered.\n\n\nNote: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.\n\n (2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.\n\n3  Authority\n\n  This instrument is made under the Local Government (Financial Assistance) Act 1995.\n\n4  Definitions\n\nNote: Paragraph 13(1)(b) of the Legislation Act 2003 has the effect that expressions have the same meaning in this instrument as in the Local Government (Financial Assistance) Act 1995 as in force from time to time.\n\n  In this instrument:\n\nthe Act means the Local Government (Financial Assistance) Act 1995.\n\nPart 2—Final factor for the year 2021-22\n\n \n\n5  Determination of final factor for 2021-22\n\n  For the purposes of subsection 8(1) of the Act, the factor in relation to the 2021‑22 year is 1.3548.\n\n6  How the final factor was worked out\n\n (1) Under subsection 8(1) of the Act, the factor in relation to the 2021‑22 year is to be worked out by applying the formula set out in paragraph 8(1)(a) of the Act and then adjusting the result under whichever of paragraphs 8(1)(b) and (c) of the Act are applicable.\n\nParagraph 8(1)(a) formula\n\n (2) The factor calculated under paragraph 8(1)(a) of the Act is as follows:\n\n \n\n![](image.002.png)\n\nNote 1: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2020 on 28 June 2022 (published and available at www.abs.gov.au).\n\nNote 2: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2019 on 28 June 2022 (published and available at www.abs.gov.au).\n\nNote 3: The formula uses the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published on 27 April 2022 by the Statistician in respect of the 2022 March quarter (published and available at www.abs.gov.au).\n\nNote 4: The formula uses the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published on 28 April 2021 by the Statistician in respect of the 2021 March quarter (published and available at www.abs.gov.au).\n\nParagraph 8(1)(b) modification\n\n (3) The result of subsection (2) was modified by increasing the factor by 0.0001 under paragraph 8(1)(b) of the Act as the fifth decimal place was greater than 4.\n\nParagraph 8(1)(c) modification\n\n (4) The result of subsection (3) was modified under paragraph 8(1)(c) of the Act as a result of special circumstances, being the need to account for the Commonwealth’s decision to bring forward the first 2 quarterly payments in the 2021-22 year into the 2020-21 year and the first 3 quarterly payments in the 2022-23 year into the 2021-22 year.  The modification was worked out by multiplying the result of subsection (3) by the following formula:\n\n \n\n![](image.003.png)\n\nWhere:\n\n2020-21 amount means the first 2 quarterly payments that were brought forward from the year 2021-22 to be paid in the year 2020-21.\n\n2021-22 amount means the amount that would have been the base figure for the year 2021-22 if the Commonwealth had not decided to bring forward any quarterly payments.\n\n2022-23 amount means the first 3 quarterly payments that were brought forward from the year 2022-23 to be paid in the year 2021-22.\n\n2020-21 final entitlement means the base figure for the year 2020-21.\n\nsub (3) factor means the result of subsection (3).\n\nPart 3—Estimated factor for the year 2022-23\n\n \n\n7  Determination of estimated factor for 2022-23\n\n  For the purposes of paragraph 7(3)(b) of the Act, the estimated factor in relation to the 2022‑23 year is 0.1993.\n\n8  How the estimated factor has been worked out\n\n(1)    Under subsection 8(1) of the Act, the factor in relation to the 2022‑23 year is to be worked out by applying the formula set out in paragraph 8(1)(a) of the Act and then adjusting the result under whichever of paragraphs 8(1)(b) and (c) of the Act are applicable.\n\n (2) The factor calculated under paragraph 8(1)(a) of the Act is as follows:\n\n \n\n![](image.004.png)\n\nNote 1: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2021 on 28 June 2022 (published and available at www.abs.gov.au).\n\nNote 2: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2020 on 28 June 2022 (published and available at www.abs.gov.au).\n\nNote 3: The formula uses the 2022-23 Budget forecast of the Department of the Treasury of the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, in respect of the 2023 March quarter.\n\nNote 4: The formula uses the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published on 27 April 2022 by the Statistician in respect of the 2022 March quarter (published and available at www.abs.gov.au).\n\nParagraph 8(1)(b) modification\n\n (3) The result of subsection (2) was modified by increasing the factor by 0.0001 under paragraph 8(1)(b) of the Act as the fifth decimal place was greater than 4.\n\nParagraph 8(1)(c) modification\n\n (4) The result of subsection (3) was modified under paragraph 8(1)(c) of the Act as a result of special circumstances, being the need to account for the Commonwealth’s decision to bring forward the first 3 quarterly payments in the 2022-23 year into the 2021-22 year.  The modification was worked out by multiplying the result of subsection (3) by the following formula:\n\n \n\n![](image.005.png)\n\nWhere:\n\n2021-22 amount means the first 3 quarterly payments that were brought forward from the year 2022-23 to be paid in the year 2021-22.\n\n2022-23 amount means the amount that would have been the base figure for the year 2022-23 if the Commonwealth had not decided to bring forward any quarterly payments.\n\n2021-22 final entitlement means the base figure for the year 2021-22.\n\nsub (3) factor means the result of subsection (3).\n","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"This instrument does not change the statutory scope of the Local Government (Financial Assistance) Act 1995. It implements the Act’s mechanism by setting the numerical factors and applying permitted adjustments (rounding and payment‑timing modifications) to determine grant entitlements; it therefore alters only the numeric inputs and timing outcomes, not the law’s coverage or eligibility rules."},"complexity_factors":["Numeric formula reliance requiring published ABS population estimates and CPI series (data dependencies)","Use of a Treasury CPI forecast for 2023 March quarter (forecast inputs vs published data)","Two adjustment steps: rounding to five decimals and multiplicative adjustment for brought‑forward quarterly payments","Cross‑references to multiple subsections of the Local Government (Financial Assistance) Act 1995 (legal cross‑referencing)","Operational requirement to compute base figures, final entitlements and to allocate adjusted amounts across quarters (administrative calculation burden)"],"plain_english_summary":"**What it does:** This Determination fixes the numeric factors used to calculate Commonwealth financial‑assistance grants to local governments: a final factor of 1.3548 for 2021–22 and an estimated factor of 0.1993 for 2022–23. It applies the formula in the Local Government (Financial Assistance) Act 1995 using ABS population and CPI numbers, then adjusts for rounding and for the Commonwealth having brought forward certain quarterly payments.\n\nWho it affects and why it matters: These factors scale each council’s entitlement and therefore determine Commonwealth payment amounts to local governments."},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"This instrument performs exactly the function intended by the parent Local Government (Financial Assistance) Act 1995 — determining annual factors for calculating federal grants to local government. The inclusion of both final and estimated factors for consecutive years, plus COVID-19 related timing adjustments, represents standard administrative implementation rather than scope creep."},"complexity_factors":["Multiple mathematical formulas with cross-references to parent Act formulas (paragraphs 8(1)(a), (b), and (c))","Nested modifications: base calculation → rounding adjustment → special circumstances adjustment","Reliance on external data sources (ABS population estimates, CPI figures, Treasury forecasts) with specific publication dates","Complex timing adjustments involving 'brought forward' payments across three financial years (2020-21, 2021-22, 2022-23)","Defined terms section references parent Act definitions via Legislation Act 2003 mechanism","Formula variables require tracking of quarterly payment timing shifts (2 quarters brought forward for 2021-22; 3 quarters brought forward for 2022-23)"],"plain_english_summary":"This instrument sets two factors used to calculate federal financial assistance to local councils: a final 2021–22 factor of 1.3548 and an estimated 2022–23 factor of 0.1993. They adjust grant amounts for population change, inflation and timing.\n\nIt affects local councils, state/territory governments (as distributors) and the Treasury. These factors determine how billions in Commonwealth funding flow to local services and reflect timing shifts (bringing payments forward as COVID‑era stimulus)."},"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/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete","history":"/api/acts/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete/history","analysis":"/api/acts/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete/analysis","conflicts":"/api/acts/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete/conflicts","importantCases":"/api/acts/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete/important-cases","documents":"/api/acts/local-government-financial-assistance-final-factor-for-2021-22-and-estimated-factor-for-2022-23-dete/documents"}}