12Grants to States and Territories

12 Grants to States and Territories

Scope (1) This section applies if: (a) an amount is to be debited from the Federation Reform Fund for the purpose of making a grant of financial assistance to a State or Territory; and (b) the grant is a grant of financial assistance to the States and Territories for expenditure in relation to Australian road infrastructure investment; and (c) the grant is covered by subsection 11(2).

Note: Subsection 11(2) deals with grants channelled through the Federation Reform Fund.

Terms and conditions (2) The terms and conditions on which that financial assistance is granted are to be set out in a written agreement between the Commonwealth and the State or Territory. (3) An agreement under subsection (2) of this section may be entered into by a Minister on behalf of the Commonwealth.