What it does
This Act grants the Commonwealth targeted statutory powers to commit and manage public money held in the CRF framework and to form or acquire participation in companies, subject to the scope set by regulations. Concretely, it authorises the Commonwealth to make, vary or administer arrangements under which relevant money or other CRF money is, or may become, payable, to make grants of financial assistance to States, Territories or other persons, and to form or acquire interests in companies, where those arrangements, grants, programs or companies are specified in the regulations (see s 32B(1)-(2), s 39B(1)-(2), and the simplified outline at s 2A). The Finance Minister has express power to exercise company-formation and share‑acquisition powers on behalf of the Commonwealth (s 39B(3)), and may delegate those functions to an accountable authority (s 40).
Mechanically, the Act does three things. First, it creates a statutory power to commit CRF resources by arrangement or grant, but only for arrangements, grants or programs that the regulations specify or classify (s 32B(2)). Second, it prescribes procedural and contractual form for grants to States and Territories: those grants must have their terms and conditions set out in a written agreement between the Commonwealth and the recipient (s 32C(2)). Third, it authorises the Commonwealth to form, participate in or acquire shares in companies that are identified in the regulations and whose objects or proposed activities are likewise specified in the regulations (s 39B(1)-(2)). The Governor‑General may make regulations necessary to carry the Act into effect (s 65).
The Act embeds the Commonwealth’s CRF powers within the broader finance law architecture: it must be read together with the finance law under the Public Governance, Performance and Accountability Act 2013 (PGPA Act) (s 6). At the same time, the Act sets limits on reliance on a particular PGPA provision: section 23 of the PGPA Act, which deals with accountable authorities’ powers in relation to arrangements and commitments, does not authorise an accountable authority to exercise the Commonwealth power under s 32B (s 32DB). The Act binds the Crown in right of the Commonwealth, but explicitly provides that it does not make the Crown liable to prosecution for an offence (s 3). It extends extraterritorially unless a contrary intention appears (s 4). Delegation routes are spelled out in detail, enabling Ministers and accountable authorities to delegate to officials, and permitting subdelegation by accountable authorities in specified circumstances (ss 32D, 32DA, 40).