{"id":"rural-advances-guarantee-act-1963","name":"Rural Advances Guarantee Act 1963","slug":"rural-advances-guarantee-act-1963","collection":"act","jurisdiction":"sa","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":106724,"registerId":"sa-rural-advances-guarantee-act-1963-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Rural Advances Guarantee Act 1963","content":"South Australia\nRural Advances Guarantee Act 1963\nAn Act to empower the Treasurer to guarantee the repayment of loans made or proposed to be made to persons in certain circumstances to assist them in acquiring land for the business of rural production, and for other purposes.\n\nContents\n1\tShort title\n2\tInterpretation\n3\tTreasurer may guarantee repayment of loan\n4\tDuties of Director-General\n6\tConditions of guarantee\n7\tTreasurer may agree to deferment of interest or principal\n8\tApplication for guarantee\n9\tReport by Auditor-General\n10\tFinancial provision\n11\tRegulations\nLegislative history\n\nThe Parliament of South Australia enacts as follows:\n1—Short title\nThis Act may be cited as the Rural Advances Guarantee Act 1963 and shall come into operation on a day to be fixed by proclamation.\n2—Interpretation\nIn this Act, unless the contrary intention appears—\napproved borrower means a person—\n\t(a)\tto whom a bank has made or proposes to make a loan for the purpose of enabling or assisting him to acquire land for the business of rural production; and\n\t(b)\twho, having regard to his ability and experience in such business, is approved by the Treasurer as a suitable person to undertake or conduct such business;\nbank means—\n\t(a)\tany body corporate carrying on the business of banking in South Australia, including the State Bank of South Australia and The Savings Bank of South Australia; or\n\t(b)\tany other person or body, whether incorporated or not, approved by the Treasurer as an authorised lender for the purposes of this Act, either generally or in any particular case;\nbusiness of rural production means business of agriculture, pasturage, horticulture, viticulture, apiculture, poultry farming, dairy farming or any other business (excluding forestry) consisting of the cultivation of soils, the gathering in of crops or the rearing of livestock;\nland includes improvements on land;\nthe Director-General means the Director-General of Agriculture;\nthe Treasurer means The Treasurer of South Australia, a body corporate constituted by the Treasurer's Incorporation Act 1949.\n3—Treasurer may guarantee repayment of loan\n\t(1)\tSubject to this Act, the Treasurer may guarantee the repayment of any loan made or proposed to be made by a bank to an approved borrower who, in the opinion of the Treasurer, would not otherwise have, or be in a position to obtain, adequate financial resources to acquire land for the purpose of undertaking or conducting the business of rural production thereon.\n\t(2)\tA guarantee shall not be given under this section unless—\n\t(a)\tthe Director-General furnishes the Treasurer with a certificate certifying that the amount paid or to be paid for the acquisition of the land by the applicant for the guarantee is no greater than the fair value of the land, having regard to the particular business of rural production to be undertaken or conducted on the land, as stated in a written valuation attached to or incorporated in the certificate; and\n\t(b)\tthe loan for which a guarantee is sought does not exceed eighty-five per centum of the value of the land as stated in such valuation; and\n\t(c)\tthe Director-General has furnished the Treasurer with a report in writing that the borrower has the ability and experience to undertake or conduct such business of rural production successfully; and\n\t(d)\tthe Director-General has furnished the Treasurer with a report in writing that the land is or would be adequate for maintaining the applicant and his family after meeting all reasonable costs and expenses in connection with the conduct of such business and in connection with the repayment of the loan and interest thereon; and\n\t(f)\tthe borrower has obtained from a bank a loan, or an offer to make a loan, subject to the guarantee, and the Treasurer is satisfied—\n\t(i)\tthat the repayment of the principal sum of the loan and the interest thereon is to be made by such periodical payments as are not less than would be necessary to repay such principal sum together with such interest by equal annual instalments over a period of thirty years; and\n\t(ii)\tthat the other terms and conditions of the loan or proposed loan are reasonable; and\n\t(g)\tthe borrower has given or undertaken to give to the Treasurer or to the bank, or to both the Treasurer and the bank, as the Treasurer may require, such security for the liability under the guarantee or for the repayment of the loan or for both such liability and repayment as the Treasurer considers appropriate, whether by way of mortgage over the land and any other property of or to which the borrower may be or become possessed or entitled, or otherwise; and\n\t(h)\tthe borrower gives such other undertakings and enters into such other agreements with the Treasurer or the bank as the Treasurer may require.\n\t(3)\tThe guarantee may extend to the payment of interest on the loan and to any expenses incidental to the loan and expenses incurred by the bank in obtaining or endeavouring to obtain repayment of the loan and payment of such interest and expenses.\n4—Duties of Director-General\nThe Director-General shall make such enquiries and furnish such certificates, valuations, reports and other information relating to any application for a guarantee under this Act as are appropriate and as the Treasurer may require for the purposes of this Act.\n6—Conditions of guarantee\nWhere the repayment of a loan is guaranteed under this Act, the guarantee shall be deemed to be subject to the following terms and conditions:\n\t(a)\tNo term or condition of repayment agreed upon between the bank and the borrower after the giving of the guarantee shall have any effect unless approved in writing by the Treasurer:\n\t(b)\tThe bank shall take all reasonable and necessary steps to ensure recovery of all repayments and interest upon the due dates in accordance with the terms and conditions subject to which the loan was made and the guarantee given:\n\t(c)\tThe bank shall keep the Treasurer informed of any default or delay by the borrower in respect of the payment of any instalment of principal or interest, or both.\n7—Treasurer may agree to deferment of interest or principal\nNotwithstanding any other provision of this Act, or any term or condition subject to which a guarantee has been given under this Act, the Treasurer may at the request of both the bank and the borrower and—\n\t(a)\ton the recommendation and report of the Director-General, agree to the deferment by the bank of payments of interest on a loan for periods not exceeding two years, in each case, or to the deferment of payments of the principal for periods not exceeding three years, in each case,\nif he is satisfied that such deferment would be necessary or expedient to ensure the successful operation or rehabilitation of the business of rural production conducted by the borrower.\n8—Application for guarantee\n\t(1)\tEvery application for a guarantee under this Act shall be made to the Treasurer in writing and the applicant shall furnish the Treasurer with such information as the Treasurer may require in relation to the business of rural production in connection with which the guarantee is sought.\n\t(2)\tA person who wilfully or negligently furnishes the Treasurer with false or misleading information in connection with any application for a guarantee under this Act shall be guilty of an offence punishable on summary conviction and liable to a fine not exceeding two hundred dollars.\n9—Report by Auditor-General\nThe Auditor-General shall in every annual report made by him report upon the guarantees given under this Act.\n10—Financial provision\n\t(1)\tThe Treasurer may pay out of the general revenue of the State any money which he becomes liable to pay under or by virtue of any guarantee given under this Act and this Act, without any further appropriation, shall be a sufficient authority for any such payment.\n\t(2)\tAny other money required for purposes of this Act shall be paid out of money to be provided by Parliament for those purposes.\n\t(3)\tAny moneys received or recovered by the Treasurer pursuant to any security for his liability under a guarantee given under this Act or pursuant to any agreement or arrangement entered into for the purposes of any such guarantee shall be paid into the general revenue of the State.\n11—Regulations\nThe Governor may make such regulations as are necessary or convenient for the administration of this Act and for giving effect to this Act and may by any such regulation prescribe fines recoverable summarily and not exceeding one hundred dollars for the breach of any regulation.\nLegislative history\nNotes\n\t•\tPlease note—References in the legislation to other legislation or instruments or to titles of bodies or offices are not automatically updated as part of the program for the revision and publication of legislation and therefore may be obsolete.\n\t•\tEarlier versions of this Act (historical versions) are listed at the end of the legislative history.\n\t•\tFor further information relating to the Act and subordinate legislation made under the Act see the Index of South Australian Statutes or www.legislation.sa.gov.au.\nPrincipal Act and amendments\nNew entries appear in bold.\nYear\nNo\nTitle\nAssent\nCommencement\n1963\n32\nRural Advances Guarantee Act 1963\n21.11.1963\n19.12.1963 (Gazette 19.12.1963 p1941)\n1982\n11\nRural Advances Guarantee Act Amendment Act 1982\n4.3.1982\n15.4.1982 (Gazette 15.4.1982 p1248)\n1988\n62\nRural Advances Guarantee Act Amendment Act 1988\n15.9.1988\n15.9.1988\n2017\n7\nStatutes Amendment and Repeal (Simplify) Act 2017\n15.3.2017\nPt 29 (ss 103—106)—15.3.2017: s 2(1)\nProvisions amended since 3 February 1976\nNew entries appear in bold.\nEntries that relate to provisions that have been deleted appear in italics.\nProvision\nHow varied\nCommencement\ns 2\n\n\nbank\namended by 7/2017 s 103(1)\n15.3.2017\nthe Board\ndeleted by 62/1988 s 2(a)\n15.9.1988\nthe Committee\namended by 11/1982 s 3\n15.4.1982\n\ndeleted by 7/2017 s 103(2)\n15.3.2017\nthe Director-General\ninserted by 62/1988 s 2(b)\n15.9.1988\ns 3\n\n\ns 3(2)\namended by 62/1988 s 3\n15.9.1988\n\n(e) deleted by 7/2017 s 104\n15.3.2017\ns 4\namended by 62/1988 s 4\n15.9.1988\ns 5\ndeleted by 7/2017 s 105\n15.3.2017\ns 7\namended by 62/1988 s 5\n15.9.1988\n\n(b) deleted by 7/2017 s 106\n15.3.2017\nHistorical versions\nReprint No 1—15.11.1991\n\n","sortOrder":0}],"analysis":{"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"},"summary":{"complexity_score":1,"scope_assessment":{"changed":false,"description":"Scope cannot be assessed as the legislative text was not accessible. No comparison between original intent and current provisions is possible without the full text of the Act."},"complexity_factors":["No legislative text was retrievable — the source URL returned a 404 Page Not Found error","Analysis is based solely on the Act's title, providing minimal substantive content to assess","Cannot evaluate structural complexity, defined terms, cross-references, or regulatory mechanisms without the actual text","Historical legislation from 1963 may involve additional complexity due to potential amendments, repeal, or consolidation over six decades, but this cannot be confirmed"],"plain_english_summary":"The Rural Advances Guarantee Act 1963 (SA) appears to be a South Australian law establishing government guarantees for loans or advances to rural industries. It would affect farmers and agricultural businesses by enabling access to finance they might not otherwise obtain.\n\nThis matters because such guarantees can unlock credit for rural development; the Act may now be repealed or consolidated—check the SA legislation site or contact the Office of Parliamentary Counsel."},"issue_detection":{"absurdities":[],"contradictions":[]},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"The legislation remains focused on its original purpose: government guarantees for rural land acquisition loans. The 2017 amendments actually reduced scope by deleting the 'Committee' and section 5, removing bureaucratic layers rather than expanding the Act's reach. The 1988 amendments replaced the 'Board' with the Director-General, streamlining administration. The core mechanism—Treasurer guarantees for bank loans to farmers—has remained unchanged since 1963."},"complexity_factors":["Only 11 sections total, with straightforward sequential numbering (though notably missing section 5, deleted by later amendment)","7 defined terms in section 2, all clearly explained with minimal cross-referencing","Single nested condition structure in section 3(2) with 8 sub-paragraphs (a)-(h), but these are additive requirements rather than complex conditional logic","No external statutory cross-references (no 'see section X of the Y Act')","Simple administrative framework: one decision-maker (Treasurer), one advisory officer (Director-General), clear reporting line to Auditor-General","Some temporal complexity in section 7 regarding deferment periods (2 years for interest, 3 years for principal) but clearly expressed","Legislative history shows three amendments over 54 years (1982, 1988, 2017), mostly deleting obsolete bodies (the Committee, the Board) and streamlining, suggesting the Act has been simplified over time rather than grown more complex"],"plain_english_summary":"This South Australian law from 1963 allows the State Treasurer to act as a guarantor for bank loans taken out by farmers and other rural producers who can't otherwise get finance.\n\n**What it does:**\n- The Treasurer can guarantee repayment of loans made by banks to people buying land for farming or other rural businesses (like dairy, viticulture, poultry farming, etc.)\n- This helps people who have the skills to farm but lack the money or assets to secure a loan on their own\n\n**Who it affects:**\n- **Approved borrowers**: People approved by the Treasurer as suitable to run a rural business, who need a loan to buy land\n- **Banks**: Any bank operating in South Australia, or other lenders approved by the Treasurer\n- **The Director-General of Agriculture**: Who must check that land prices are fair, the borrower can succeed, and the land can support the family\n\n**Key requirements for a guarantee:**\n- The land must be independently valued, and the loan can't exceed 85% of that value\n- The Director-General must certify the borrower has ability and experience\n- The loan must be repayable over up to 30 years\n- The borrower must provide security (usually a mortgage over the land)\n\n**Special features:**\n- If a farmer hits hard times, the Treasurer can allow the bank to defer (pause) interest payments for up to 2 years, or principal repayments for up to 3 years, to help the business recover\n- The Auditor-General reports annually on all guarantees given\n- The State can pay out if a borrower defaults, then recover the money from the borrower\n\n**Why it matters:**\nThis is a form of government-backed finance for agriculture—reducing risk for banks so they lend to qualified farmers who might otherwise be turned away. It supports new entrants to farming and helps existing farmers expand or recover from difficulties."},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":true,"description":"The Act has been amended since enactment: definitions and administrative roles were altered (e.g. insertion of the Director‑General, updates to the definition of ‘bank’) and some provisions were deleted or simplified (see legislative history entries for 1982, 1988 and 2017). These amendments shifted assessment and certification responsibilities toward the Director‑General and adjusted statutory detail and subordinate provisions, modifying how guarantees are operationally administered."},"complexity_factors":["Multiple decision‑makers and checks: the Treasurer holds final discretion but relies on Director‑General certificates and reports (ss 2, 3(2), 4).","Detailed eligibility and documentary conditions for guarantees—valuation, 85% loan cap, borrower ability, land adequacy, reasonable loan terms, and required securities (s 3(2)(a)–(h)).","Wide Treasurer discretion over security, additional undertakings and approval of amended repayment terms after guarantee (ss 3(2)(g),(h); 6(a)).","Financial exposure and recovery mechanics: guarantees can cover interest and bank recovery expenses; Treasurer may pay from general revenue and recover moneys via securities (s 3(3); s 10).","Operational interactions between banks, borrowers and the State: banks must pursue repayments and notify defaults, creating ongoing compliance and reporting duties (s 6(b),(c)).","Temporary relief mechanism: deferment of interest or principal requires agreement of Treasurer, bank and borrower plus Director‑General recommendation, with specified maximum periods (s 7).","Criminal sanction for supplying false or misleading application information creates compliance risk for applicants (s 8(2)).","Regulatory layer and potential penalties for breaches of regulations adds administrative complexity (s 11)."],"plain_english_summary":"This Act lets the Treasurer of South Australia guarantee loans made by banks to eligible people to buy land for rural production. The Director‑General of Agriculture must certify land value and the borrower’s suitability; the Treasurer may require security, approve loan terms, and can cover interest and recovery costs. If called, payments under guarantees come from general revenue; the Treasurer can agree short-term deferments of interest or principal on recommendation of the Director‑General, and false application information is an offence."}},"importantCases":[],"_links":{"self":"/api/acts/rural-advances-guarantee-act-1963","history":"/api/acts/rural-advances-guarantee-act-1963/history","analysis":"/api/acts/rural-advances-guarantee-act-1963/analysis","conflicts":"/api/acts/rural-advances-guarantee-act-1963/conflicts","importantCases":"/api/acts/rural-advances-guarantee-act-1963/important-cases","documents":"/api/acts/rural-advances-guarantee-act-1963/documents"}}