{"id":"nsw:act-2018-037","name":"NSW Generations Funds Act 2018","slug":"nsw-generations-funds-act-2018","collection":"act","jurisdiction":"nsw","status":"in_force","isInForce":true,"actNumber":"37 of 2018","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":29231,"registerId":"nsw-act-2018-037-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"Part 1","sectionType":"part","heading":"Preliminary","content":"# Part 1 Preliminary\n\nPart 1 Preliminary","sortOrder":0},{"sectionNumber":"1","sectionType":"section","heading":"Name of Act","content":"#### 1 Name of Act\n\n1 Name of Act\n\n> This Act is the [NSW Generations Funds Act 2018](/view/html/inforce/current/act-2018-037).","sortOrder":1},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n2 Commencement\n\n> > (1) This Act commences on the date of assent to this Act, except as provided by this section.\n> \n> > (2) Section 20 commences on the day on which Division 6.4 (Financial arrangements) of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055) commences.","sortOrder":2},{"sectionNumber":"3","sectionType":"section","heading":"Definitions","content":"#### 3 Definitions\n\n3 Definitions\n\n> > (1) In this Act—\n> > \n> > Community Services and Facilities Fund means the NSW Generations (Community Services and Facilities) Fund established under this Act.\n> > \n> > Debt Retirement Fund means the NSW Generations (Debt Retirement) Fund established under this Act.\n> > \n> > financial year means the year commencing 1 July.\n> > \n> > function includes a power, authority or duty, and exercise a function includes perform a duty.\n> > \n> > GSF agency has the same meaning as in the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055).\n> > \n> > interest includes any legal or equitable estate or interest (whether present or future, whether vested or contingent and whether personal or assignable) in real or personal property of any description (including money, securities and choses in action).\n> > \n> > NSW Generations Funds means the Community Services and Facilities Fund and the Debt Retirement Fund.\n> > \n> > Public Service agency has the same meaning as in the [Government Sector Employment Act 2013](/view/html/inforce/current/act-2013-040).\n> > \n> > relevant NSW equity interest means an interest specified by Schedule 1.\n> > \n> > State tax means a duty or any other tax imposed by or under an Act.\n> > \n> > Note—\n> > \n> > The [Interpretation Act 1987](/view/html/inforce/current/act-1987-015) contains definitions and other provisions that affect the interpretation and application of this Act.\n> \n> > (2) Notes included in this Act do not form part of this Act.\n> \n> **s 3:** Am 2018 No 37, sec 20 (1).","sortOrder":3},{"sectionNumber":"Part 2","sectionType":"part","heading":"NSW Generations Funds","content":"# Part 2 NSW Generations Funds\n\nPart 2 NSW Generations Funds","sortOrder":4},{"sectionNumber":"Division 1","sectionType":"division","heading":"Establishment and operation of NSW Generations Funds","content":"## Division 1 Establishment and operation of NSW Generations Funds\n\nDivision 1 Establishment and operation of NSW Generations Funds","sortOrder":5},{"sectionNumber":"4","sectionType":"section","heading":"Establishment of NSW Generations Funds","content":"#### 4 Establishment of NSW Generations Funds\n\n4 Establishment of NSW Generations Funds\n\n> The following are to be established in the Special Deposits Account—\n> \n> > (a) NSW Generations (Debt Retirement) Fund,\n> \n> > (b) NSW Generations (Community Services and Facilities) Fund.","sortOrder":6},{"sectionNumber":"5","sectionType":"section","heading":"Control and management of NSW Generations Funds","content":"#### 5 Control and management of NSW Generations Funds\n\n5 Control and management of NSW Generations Funds\n\n> The Minister is to control and manage each of the NSW Generations Funds.","sortOrder":7},{"sectionNumber":"6","sectionType":"section","heading":"Minister may obtain advice etc","content":"#### 6 Minister may obtain advice etc\n\n6 Minister may obtain advice etc\n\n> The Minister may, in exercising functions under this Act, obtain and have regard to any advice, recommendations or other information provided to the Minister by any person or body that the Minister considers relevant.","sortOrder":8},{"sectionNumber":"7","sectionType":"section","heading":"Annual reports relating to NSW Generations Funds","content":"#### 7 Annual reports relating to NSW Generations Funds\n\n7 Annual reports relating to NSW Generations Funds\n\n> > (1) The Minister is to produce an annual report.\n> \n> > (2) The annual report is to be in the form, and contain such information (including details of payments into and out of each of the NSW Generations Funds), as the Treasurer may determine.\n> \n> > (3) The annual report is to include an audit of each of the NSW Generations Funds by the Auditor-General (including a report of the Auditor-General on whether the payments from the Funds have been made in accordance with this Act).\n> \n> > (4) The annual report is to be made publicly available within 6 months after the end of the financial year to which it relates.","sortOrder":9},{"sectionNumber":"Division 2","sectionType":"division","heading":"Debt Retirement Fund","content":"## Division 2 Debt Retirement Fund\n\nDivision 2 Debt Retirement Fund","sortOrder":10},{"sectionNumber":"8","sectionType":"section","heading":"Purpose of Debt Retirement Fund","content":"#### 8 Purpose of Debt Retirement Fund\n\n8 Purpose of Debt Retirement Fund\n\n> The purpose of the Debt Retirement Fund is to provide funding for reducing the debt of the State in accordance with the principles of sound financial management set out in section 7 of the [Fiscal Responsibility Act 2012](/view/html/inforce/current/act-2012-058).","sortOrder":11},{"sectionNumber":"9","sectionType":"section","heading":"Payment into Debt Retirement Fund","content":"#### 9 Payment into Debt Retirement Fund\n\n9 Payment into Debt Retirement Fund\n\n> > (1) The following are to be paid into the Debt Retirement Fund—\n> > \n> > > (a) all money appropriated by Parliament, or advanced by the Treasurer, for payment into the Fund,\n> > \n> > > (b) all money appropriated by Parliament to the Treasurer for the general purposes of the Government (and not for the purposes of individual GSF agencies) and directed by the Treasurer to be paid into the Fund,\n> > \n> > > (c) any money that is directed by the Treasurer under subsection (2) to be paid into the Fund,\n> > \n> > > (d) all money that is income (including distributions, dividends and interest) paid to the holder of any relevant NSW equity interest,\n> > \n> > > (e) the proceeds of the sale of any relevant NSW equity interest,\n> > \n> > > (f) the proceeds of the investment of money in the Fund,\n> > \n> > > (g) all other money directed or authorised to be paid into the Fund by or under any Act or law.\n> \n> > (2) The Treasurer may direct that an amount of money be paid into the Debt Retirement Fund if the Treasurer is satisfied that it is windfall tax revenue in excess of Budget forecasts.\n> \n> > (3) The Treasurer is taken to have been given an appropriation out of the Consolidated Fund under the authority of this section, on the day a direction is given under subsection (2), for the amount specified in the direction for the purpose of its payment into the Debt Retirement Fund.\n> \n> **s 9:** Am 2018 No 37, sec 20 (2).","sortOrder":12},{"sectionNumber":"10","sectionType":"section","heading":"Payments out of Debt Retirement Fund","content":"#### 10 Payments out of Debt Retirement Fund\n\n10 Payments out of Debt Retirement Fund\n\n> The following may be paid out of the Debt Retirement Fund—\n> \n> > (a) the payment of all or any part of a debt of the State that the Minister is satisfied is a payment that promotes the purpose of the Fund,\n> \n> > (b) administrative expenses relating to the control and management of the Fund.","sortOrder":13},{"sectionNumber":"11","sectionType":"section","heading":"Investment of money in Debt Retirement Fund","content":"#### 11 Investment of money in Debt Retirement Fund\n\n11 Investment of money in Debt Retirement Fund\n\n> The Minister may invest money in the Debt Retirement Fund—\n> \n> > (a) if the Minister is a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055)—in any way that the Minister is permitted to invest money under that Part, or\n> \n> > (b) if the Minister is not a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055)—in any way approved by the Treasurer.\n> \n> **s 11:** Subst 2018 No 37, sec 20 (3).","sortOrder":14},{"sectionNumber":"Division 3","sectionType":"division","heading":"Community Services and Facilities Fund","content":"## Division 3 Community Services and Facilities Fund\n\nDivision 3 Community Services and Facilities Fund","sortOrder":15},{"sectionNumber":"12","sectionType":"section","heading":"Purpose of Community Services and Facilities Fund","content":"#### 12 Purpose of Community Services and Facilities Fund\n\n12 Purpose of Community Services and Facilities Fund\n\n> > (1) The purpose of the Community Services and Facilities Fund is to provide funding for cost-effective facilities and services throughout New South Wales that improve the wellbeing of communities and the lives of the people of New South Wales, including facilities and services for the purposes of—\n> > \n> > > (a) protecting public health and preventing disease, illness, injury, disability or premature death, and\n> > \n> > > (b) promoting conditions in which persons can be healthy and safe, and\n> > \n> > > (c) promoting involvement with community or culture, and\n> > \n> > > (d) increasing participation in programs, services or activities that aim to improve the overall wellbeing of the community, and\n> > \n> > > (e) any other purposes prescribed by the regulations.\n> \n> > (2) The Minister is not to recommend the making of a regulation for the purposes of subsection (1) (e) unless the Minister certifies that the Minister is satisfied that the purpose to be prescribed is a purpose that relates to the improvement of the wellbeing of communities and the lives of the people of New South Wales.","sortOrder":16},{"sectionNumber":"13","sectionType":"section","heading":"Payment into Community Services and Facilities Fund","content":"#### 13 Payment into Community Services and Facilities Fund\n\n13 Payment into Community Services and Facilities Fund\n\n> The following are to be paid into the Community Services and Facilities Fund—\n> \n> > (a) all money appropriated by Parliament, or advanced by the Treasurer, for payment into the Fund,\n> \n> > (b) all money appropriated by Parliament to the Treasurer for the general purposes of the Government (and not for the purposes of individual GSF agencies) and directed by the Treasurer to be paid into the Fund,\n> \n> > (c) the repayment of the principal, or payment of interest, on money loaned from the Fund (including fees associated with the loan),\n> \n> > (d) the repayment of any other money provided from the Fund by way of any other financial assistance,\n> \n> > (e) all other money directed or authorised to be paid into the Fund by or under any Act or law.\n> \n> Note—\n> \n> Section 14 (2) provides that payments from the Fund for the cost of a project, program or initiative may be provided by way of a grant, subsidy, loan or other financial assistance and may be subject to such conditions as the Minister thinks fit to impose.\n> \n> **s 13:** Am 2018 No 37, sec 20 (2).","sortOrder":17},{"sectionNumber":"14","sectionType":"section","heading":"Payments out of Community Services and Facilities Fund","content":"#### 14 Payments out of Community Services and Facilities Fund\n\n14 Payments out of Community Services and Facilities Fund\n\n> > (1) The following may be paid out of the Community Services and Facilities Fund—\n> > \n> > > (a) all or any part of the cost of any project, program or initiative that the Minister is satisfied promotes the purpose of the Fund,\n> > \n> > > (b) administrative expenses relating to the control and management of the Fund,\n> > \n> > > (c) any money directed or authorised to be paid from the Fund by or under this Act or any other Act or law.\n> \n> > (2) Payments from the Community Services and Facilities Fund for the cost of a project, program or initiative may be provided by way of a grant, subsidy, loan or other financial assistance and may be subject to such conditions as the Minister thinks fit to impose.\n> \n> > (3) Without limiting subsection (2), those conditions may relate to the following—\n> > \n> > > (a) meeting specified performance targets or outcomes,\n> > \n> > > (b) repayment of the whole or any part of any such financial assistance (including repayment if specified performance targets or outcomes are not met as required under a condition of the provision of the financial assistance),\n> > \n> > > (c) the payment of interest on financial assistance provided by way of a loan,\n> > \n> > > (d) the periods or intervals at which repayments are to be made.","sortOrder":18},{"sectionNumber":"15","sectionType":"section","heading":"Investment of money in Community Services and Facilities Fund","content":"#### 15 Investment of money in Community Services and Facilities Fund\n\n15 Investment of money in Community Services and Facilities Fund\n\n> The Minister may invest money in the Community Services and Facilities Fund—\n> \n> > (a) if the Minister is a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055)—in any way that the Minister is permitted to invest money under that Part, or\n> \n> > (b) if the Minister is not a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055)—in any way approved by the Treasurer.\n> \n> **s 15:** Subst 2018 No 37, sec 20 (4).","sortOrder":19},{"sectionNumber":"Part 3","sectionType":"part","heading":"Miscellaneous","content":"# Part 3 Miscellaneous\n\nPart 3 Miscellaneous","sortOrder":20},{"sectionNumber":"16","sectionType":"section","heading":"Schedule 1 may be amended by regulations to add NSW equity interests","content":"#### 16 Schedule 1 may be amended by regulations to add NSW equity interests\n\n16 Schedule 1 may be amended by regulations to add NSW equity interests\n\n> The regulations may amend Schedule 1 to insert (but not omit) any of the following kinds of interests—\n> \n> > (a) an interest of the State or the Crown in right of the State,\n> \n> > (b) an interest of an entity that is a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055).\n> \n> **s 16:** Am 2018 No 37, sec 20 (5).","sortOrder":21},{"sectionNumber":"17","sectionType":"section","heading":"Delegation","content":"#### 17 Delegation\n\n17 Delegation\n\n> > (1) The Minister may delegate the exercise of any function of the Minister under this Act (other than this power of delegation) to—\n> > \n> > > (a) the head of a Public Service agency, or\n> > \n> > > (b) any other person employed in a Public Service agency.\n> \n> > (2) A delegate may subdelegate a delegated function to another person employed in a Public Service agency.","sortOrder":22},{"sectionNumber":"18","sectionType":"section","heading":"Act to bind Crown","content":"#### 18 Act to bind Crown\n\n18 Act to bind Crown\n\n> This Act binds the Crown in right of New South Wales and, in so far as the legislative power of the Parliament of New South Wales permits, the Crown in all its other capacities.","sortOrder":23},{"sectionNumber":"19","sectionType":"section","heading":"Regulations","content":"#### 19 Regulations\n\n19 Regulations\n\n> The Governor may make regulations, not inconsistent with this Act, for or with respect to any matter that by this Act is required or permitted to be prescribed or that is necessary or convenient to be prescribed for carrying out or giving effect to this Act.","sortOrder":24},{"sectionNumber":"20","sectionType":"section","heading":"Amendment of this Act consequent on commencement of Division 6.4 of Government Sector Finance Act 2018","content":"#### 20 Amendment of this Act consequent on commencement of Division 6.4 of Government Sector Finance Act 2018\n\n20 Amendment of this Act consequent on commencement of Division 6.4 of [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055)\n\n> > (1) Section 3 Definitions Omit the definition of PFA authority from section 3 (1). Insert in alphabetical order—\n> > \n> > > GSF agency has the same meaning as in the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055).\n> \n> > (2) Sections 9 (1) (b) and 13 (b) Omit “PFA authorities” wherever occurring. Insert instead “GSF agencies”.\n> \n> > (3) Section 11 Omit the section. Insert instead—\n> \n> > (4) Section 15 Omit the section. Insert instead—\n> \n> > (5) Section 16 Schedule 1 may be amended by regulations to add NSW equity interests Omit section 16 (b). Insert instead—\n> > \n> > > > (b) an interest of an entity that is a GSF agency for the purposes of Part 6 of the [Government Sector Finance Act 2018](/view/html/inforce/current/act-2018-055).","sortOrder":25},{"sectionNumber":"Schedule 1","sectionType":"schedule","heading":"Relevant NSW equity interests","content":"# Schedule 1 Relevant NSW equity interests\n\nSchedule 1 Relevant NSW equity interests\n\n(Sections 3 (1) and 16)\n\n| Item | Interest |\n| 1 | Shares held by the Treasurer in Roads Retained Interest Pty Ltd (ACN 624 812 773) |","sortOrder":28},{"sectionNumber":"Schedule 2","sectionType":"schedule","heading":"Savings, transitional and other provisions","content":"# Schedule 2 Savings, transitional and other provisions\n\nSchedule 2 Savings, transitional and other provisions\n\n**sch 2:** Am 2023 No 26, Sch 6.2.","sortOrder":29}],"analysis":{"issue_detection":{"absurdities":[],"contradictions":[]},"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"},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"The legislation appears to maintain its original scope as established in 2018. The amendments visible in the text (sections marked as amended or substituted) are technical updates to align terminology with the Government Sector Finance Act 2018 (changing 'PFA authority' to 'GSF agency'), rather than substantive expansions of purpose. The core dual-fund structure for debt retirement and community services remains unchanged."},"complexity_factors":["Multiple cross-references to other Acts (Government Sector Finance Act 2018, Fiscal Responsibility Act 2012, Government Sector Employment Act 2013, Interpretation Act 1987)","Conditional investment powers depending on whether the Minister is a 'GSF agency' (defined by reference to another Act)","Nested conditions for payments out of Community Services and Facilities Fund including performance targets and repayment conditions","Delegated legislative power allowing regulations to expand Schedule 1 (relevant NSW equity interests)","Transitional provisions including a specific $4.58 billion transfer from Debt Retirement Fund to Consolidated Fund","Appropriation mechanism triggered automatically when Treasurer gives direction for windfall revenue (section 9(3))"],"plain_english_summary":"This law creates two special government bank accounts called the **NSW Generations Funds** to manage money for the long-term benefit of New South Wales.\n\n**What it does:**\n- Establishes two separate funds within the government's Special Deposits Account:\n  - **Debt Retirement Fund** – to pay down the State's debt\n  - **Community Services and Facilities Fund** – to pay for projects that improve community wellbeing, such as health services, cultural programs, and community facilities\n\n**Who controls the money:**\n- The **Minister** (a government minister) controls and manages both funds\n- The Minister can get advice from anyone they think relevant\n- The Minister must produce an **annual report** audited by the Auditor-General, made public within 6 months of each financial year\n\n**Where the money comes from:**\n- **Debt Retirement Fund**: Money from Parliament, windfall tax revenue, income from government-owned shares (like dividends), proceeds from selling government assets, and investment returns\n- **Community Services and Facilities Fund**: Money from Parliament, loan repayments, and other authorised payments\n\n**Where the money goes:**\n- **Debt Retirement Fund**: Paying off State debt and administrative costs\n- **Community Services and Facilities Fund**: Grants, subsidies, loans or other financial assistance for community projects, plus administrative costs. The Minister can attach conditions like performance targets or repayment requirements.\n\n**Key features:**\n- The Treasurer can direct \"windfall\" tax revenue (unexpected extra tax money) into the Debt Retirement Fund\n- Money in both funds can be invested according to rules in the Government Sector Finance Act 2018, or as approved by the Treasurer\n- The regulations can add new government-owned assets to a list that generates income for the Debt Retirement Fund\n- The Minister can delegate powers to senior public servants\n- The law binds the Crown (meaning it applies to the government itself)\n\n**Why it matters:**\nThis creates a structured way to save and invest money for two specific purposes: reducing debt burden on future generations, and building community infrastructure and services. It essentially sets up \"future funds\" to ensure money is available for these purposes rather than being spent on day-to-day government expenses."},"summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"Based on the available metadata, the Act appears to have remained broadly consistent with its original intent of establishing long-term savings funds for NSW. The three versioning points (2018, 2018, and 2023) suggest amendments have been made, but nothing in the available text indicates a fundamental departure from the original purpose of creating generational savings mechanisms for the NSW Government."},"complexity_factors":["Involves government financial management concepts such as sovereign wealth funds and long-term fiscal policy that require background knowledge to fully understand","The provided text is primarily metadata and navigation content from the NSW legislation website — the actual substantive provisions of the Act are not included, limiting detailed analysis","Interaction with other NSW financial legislation (e.g., the Interpretation Act 1987) adds a layer of cross-referencing complexity","The Act has undergone amendments since 2018, creating multiple point-in-time versions that practitioners must navigate carefully","Ministerial responsibility and administrative arrangements add a governance complexity layer"],"plain_english_summary":"The NSW Generations Funds Act 2018 creates dedicated government savings and investment funds to set aside revenue (e.g., asset-sale proceeds or surpluses) for the long‑term benefit of future NSW residents.  \n\nIt primarily governs NSW Treasury and financial managers, locking funds away from short‑term spending so the state can reduce debt or better fund future services — a sovereign‑wealth‑style tool overseen by the Treasurer."},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"The Act’s core scope—establishing two funds with specified purposes and Ministerial control—remains unchanged. Section 20 makes consequential amendments to align terminology and investment references with the Government Sector Finance Act (s20). Schedule 2 effects a one‑off transfer of a specified sum from the Debt Retirement Fund to the Consolidated Fund but does not alter the statutory purposes or ongoing powers of the funds (ss4, 8, 12; Sch 2 cl 2)."},"complexity_factors":["Cross-references to the Government Sector Finance Act for investment powers and agency status create dependency on external legislation (ss11, 15, 20).","Broad ministerial discretion to control, manage and approve payments, investments and grant conditions increases judgement-based decisionmaking (ss5, 6, 14).","Treasurer discretion to direct windfall tax revenue into the Debt Retirement Fund and the deeming of appropriation creates fiscal flexibility with limited statutory constraints (s9(2)–(3)).","Regulation-making power to add NSW equity interests to Schedule 1 and otherwise prescribe matters allows scope expansion by regulation (ss16, 19).","Annual reporting and Auditor-General audit requirements impose disclosure and compliance obligations on administration (s7).","Delegation and subdelegation of Ministerial functions to Public Service agency staff distributes operational responsibility and legal accountability (s17).","Schedule 2 transitional provision authorising a one‑off transfer of $4,582,033,000 from the Debt Retirement Fund to the Consolidated Fund is a significant fiscal effect embedded in the Act (Sch 2 cl 2)."],"plain_english_summary":"This Act creates two state funds held in the Special Deposits Account: a Debt Retirement Fund to reduce State debt and a Community Services and Facilities Fund to pay for cost‑effective community health, safety and wellbeing projects. The Minister controls and manages both funds and can invest, pay out and impose conditions on assistance; the Treasurer may direct windfall tax revenue into the Debt Retirement Fund (s4, s5, s9(2)). Both funds must be audited and reported publicly each year (s7, s14)."}},"importantCases":[],"_links":{"self":"/api/acts/nsw-generations-funds-act-2018","history":"/api/acts/nsw-generations-funds-act-2018/history","analysis":"/api/acts/nsw-generations-funds-act-2018/analysis","conflicts":"/api/acts/nsw-generations-funds-act-2018/conflicts","importantCases":"/api/acts/nsw-generations-funds-act-2018/important-cases","documents":"/api/acts/nsw-generations-funds-act-2018/documents"}}