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Commonwealth act
This Act has been repealed and is no longer in force. It is retained for historical reference.
This Act creates a three‑year (1970–72) Commonwealth funding program that channels matched grants through States to Australian universities, specifying how money must be spent and requiring States to forward funds to institutions. It covers operating costs, capital works, equipment and research support for a listed group of 14 universities, colleges and teaching hospitals.
Strict conditions—salary caps, approval gates, use‑it‑or‑lose‑it rules and repayment penalties—give the Commonwealth strong control, marking a major shift in federal influence over university infrastructure and staffing.
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Direct links to the current provisions in States Grants (Universities) Act 1969.
Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.
States Grants (Universities)
No. 76 of 1969
An Act to make provision for the grant of Financial Assistance to the States in connexion with Universities.
[Assented to 26 September 1969]
[Date of commencement 24 October 1969]
BE it enacted by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—
Short title.
Interpretation.
2.—(1.) In this Act, unless the contrary intention appears—
“additional research expenses”, in relation to a University, means such expenses incurred, otherwise than by way of capital expenditure, by the University, in connexion with research or training in research, as the Commission approves as additional research expenses for the purposes of this Act, being expenses that, in the opinion of the Commission, should not be expected to be met out of funds available for university purposes;
“capital expenditure” means—
(a) expenditure on the purchase of land, with or without buildings, the planning, erection or alteration of a building, the development or preparation of land for building or other purposes or the installation of water, electricity and other services, other than expenditure on the alteration of a building at a cost of less than Ten thousand dollars; and
(b) expenditure exceeding Forty thousand dollars for the purchase of, or otherwise in connexion with, a single item of equipment;
“fees” means tuition, examination, matriculation and other fees payable to a University by a student enrolled at, or applying for enrolment at, the University in connexion with his course of study or attendance at the University, and includes fees payable to the University in respect of the conferring of a degree or diploma, but does not include fees the payment of which is voluntary or fees payable to an organization of students;
“hall of residence”, in relation to a University, means a hall, college or other establishment at which any students of the University reside, being an establishment—
(a) administered by the University, or by a body corporate established by the University; and
(b) approved by the Minister, for the purposes of this Act, as a hall of residence;
“residential college”, in relation to a University, means a residential college (not being a hall of residence) affiliated with the University and approved by the Minister, for the purposes of this Act, as a residential college;
“State contribution” means moneys paid by a State to a University for university purposes, other than moneys paid in fulfilment of the conditions upon which a payment is or has been made to the State by the Commonwealth under this Act or any other Act;
“the Commission” means the Australian Universities Commission established by the Australian Universities Commission Act 1959–1968;
“University” means a University referred to in any of the Schedules, and includes any other place of education referred to in the First Schedule;
“university purposes”, in relation to a University, means the general teaching and research purposes of that University in connexion with courses of study at that University, and includes external tuition for courses of study at that University and planning and other preparatory work in connexion with proposed courses of study;
“year to which this Act applies” means any of the years One thousand nine hundred and seventy, One thousand nine hundred and seventy-one and One thousand nine hundred and seventy-two.
(2.) In this Act, a reference to a Schedule shall be read as a reference to a Schedule to this Act.
Grants for recurrent expenditure.
3.—(1.) In relation to each University specified in a Part of the First Schedule there is payable, in respect of the year to which that Part relates, to the State in which the University is situated, for the purpose of financial assistance—
(a) if the sum of the fees received by the University during that year and the State contributions paid in respect of the University during that year (other than fees or State contributions used for capital expenditure or additional research expenses) is not less than the amount specified in respect of that University in the second column of that Part—the amount specified in respect of that University in the third column of that Part; or
(b) in any other case—so much of the amount specified in respect of that University in the third column of that Part as bears to that amount the same proportion as the sum of those fees and State contributions bears to the amount specified in respect of that University in the second column of that Part.
(2) Where the Minister is satisfied that a State contribution paid after the expiration of a year to which this Act applies related to university purposes in respect of that year, he may, in his discretion and with the approval of the State, direct that, for the purposes of this section, that contribution shall be treated as having been paid during that year.
(3.) The financial assistance to a State under this section in relation to a University is granted on the conditions that—
(a) the State will, in respect of each payment of that financial assistance and without undue delay, pay to the University an amount equal to that payment; and
(b) the State will ensure that each amount so paid is applied by the University for expenditure on university purposes, not being capital expenditure or expenditure by way of additional research expenses.
Salary rates.
4.—(1.) For the purposes of financial assistance under this Act in respect of a year to which this Act applies—
(a) the approved rate of basic professorial remuneration is Twelve thousand dollars per annum;
(b) the approved rate of remuneration for an associate professor or a reader is Nine thousand nine hundred dollars per annum;
(c) the approved maximum rate in a range of remuneration for a senior lecturer is Eight thousand seven hundred and fifty dollars per annum;
(d) the approved maximum rate in a range of remuneration for a lecturer is Seven thousand three hundred dollars; and
(e) the approved minimum rate in a range of remuneration for a lecturer is Five thousand four hundred dollars.
(2.) Where the Minister is satisfied that a University, in a year to which this Act applies, has paid—
(a) basic professorial remuneration at a rate higher than the rate referred to in paragraph (a) of the last preceding sub-section;
(b) remuneration to associate professors or readers at a rate higher than the rate referred to in paragraph (b) of the last preceding sub-section;
(c) remuneration to senior lecturers in accordance with a range of remuneration the maximum rate of which was higher than the rate referred to in paragraph (c) of the last preceding sub-section;
(d) remuneration to lecturers in accordance with a range of remuneration the maximum rate of which was higher than the rate referred to in paragraph (d) of the last preceding sub-section; or
(e) remuneration to lecturers in accordance with a range of remuneration the minimum rate of which was higher than the rate referred to in paragraph (e) of the last preceding sub-section,
the Minister may determine that the amount payable under the last preceding section in relation to that University in respect of that year shall be limited to such amount as he considers would have been the amount so payable if the approved rates referred to in the last preceding sub-section had been observed, and, in making such a determination, the Minister may have regard to the relationship between rates of remuneration referred to in this section and other rates of remuneration paid by the University.
Grants for expenditure on University building projects, &c.
5.—(1.) Subject to this section, if a State contribution received by a University specified in the first column of the Second Schedule in the period of three years to which this Act applies was made for the purpose of assisting the University to carry out a project of that University specified in respect of that University in the second column of that Schedule, there is payable under this section to the State in which the University is situated, for the purpose of financial assistance, an amount equal to the State contribution.
(2.) The respective total sums payable to a State under the last preceding sub-section in relation to the several projects of a University shall not exceed the amounts respectively specified in the third column of the Second Schedule opposite to the descriptions of those several projects or such other amounts, not exceeding in all the sum of the amounts so specified, as are approved by the Minister.
(3.) Where a project specified in the Second Schedule consists of, or includes, the erection, alteration or extension of a building, that project shall be deemed to include the provision of furnishings and equipment, as approved by the Commission for the purposes of this section, for that building, or for the altered parts or the extensions of that building, as the case may be.
(4.) The financial assistance to a State under this section in relation to a project of a University is granted on the conditions that—
(a) the State will, in respect of each payment of that financial assistance and without undue delay, pay to the University an amount equal to that payment; and
(b) the State will ensure that each amount so paid to the University is applied by the University, without undue delay, towards that project.
(5.) A State contribution in relation to which the State is entitled to a payment of financial assistance under this section shall not be taken into account for the purposes of section 3 of this Act.
Grants for capital equipment.
6.—(1.) For the purposes of this section, the Commission may approve the purchase by a University of an item of equipment, for use by the University, at a cost exceeding Forty thousand dollars.
(2.) If a State contribution received by a University specified in the first column of the Third Schedule in the period of three years to which this Act applies was made for the purpose of assisting the University to purchase an item of equipment approved under the last preceding sub-section, there is payable under this section to the State in which the University is situated, for the purpose of financial assistance, an amount equal to the State contribution.
(3.) The total of the amounts payable to a State under this section in relation to a University shall not exceed the amount specified in the second column of the Third Schedule opposite to the name of the University.
(4.) In relation to the University of New South Wales, the total of the amounts payable under this section in relation to equipment for use by the University at Kensington shall not exceed One hundred and fifty thousand dollars and the total of the amounts payable in relation to equipment for use by the University at Wollongong shall not exceed Twenty-five thousand dollars.
(5.) The financial assistance to a State under this section in relation to a University is granted on the conditions that—
(a) the State will, in respect of each payment of that financial assistance and without undue delay, pay to the University an amount equal to that payment; and
(b) the State will ensure that each amount so paid to the University is applied by the University, without undue delay, towards the cost of purchasing the item of equipment in relation to which it is paid.
Special grants for research and research training.
7.—(1.) Subject to this section, where, in the period of three years to which this Act applies, a University specified in the Fourth Schedule incurs additional research expenses and applies moneys derived from a State contribution towards meeting those expenses, there is payable to the State in which the University is situated, for the purpose of financial assistance, an amount equal to—
(a) one-half of those expenses; or
(b) the amount derived from a State contribution that is applied towards meeting those expenses,
whichever is the less.
(2.) The sum of the amounts payable to a State under this section in relation to a University shall not exceed the amount specified in respect of that University in the Fourth Schedule.
(3.) The financial assistance to a State under this section in relation to any expenses of a University is granted on the conditions that—
(a) the State will, in respect of each payment of that financial assistance and without undue delay, pay to the University an amount equal to that payment; and
(b) the State will ensure that the University promptly discharges any outstanding liability in respect of those expenses.
(4.) A State contribution in relation to which the State is entitled to a payment of financial assistance under this section shall not be taken into account for the purposes of section 3 of this Act.
Capital grants in respect of halls of residence and residential colleges.
8.—(1.) For the purposes of this section, a project of a hall of residence or residential college consists of—
(a) the purchase of land, with or without buildings, for the purposes of the hall or college;
(b) the planning, erection or alteration of a building of or for the hall or college;
(c) the development or preparation of land for such a building or for other purposes of the hall or college;
(d) the installation of water, electricity and other services for the purposes of the hall or college; or
(e) the purchase of furnishings or equipment for a building of the hall or college.
(2.) Subject to this section, if—
(a) during the period of three years to which this Act applies, an amount derived by a University from a State contribution is expended on a project of a hall of residence, or an amount derived otherwise than in consequence of the grant of financial assistance by the Commonwealth to the State in which the relevant University is situated is expended by the body administering a residential college on a project of the college;
(b) the Minister has, at the request of the State in which the relevant University is situated, approved the grant of financial assistance in respect of the project; and
(c) the whole or a part of the expenditure is approved by the Commission for the purposes of this section,
there is payable to that State, for the purpose of financial assistance, an amount equal to so much of the expenditure as is so approved by the Commission.
(3.) Subject to this section, the sum of the amounts payable under this section in relation to halls of residence of, and colleges affiliated with, a particular University shall not exceed the amount specified in the Fifth Schedule in respect of that University.
(4.) If, at any time during the period of three years to which this Act applies, the Minister certifies that he is satisfied that the amount specified in the Fifth Schedule in respect of a University exceeds by not less than a specified amount the total of the sums that have become payable, and any further sums that may become payable, under this section to a State in relation to that University, the Commission may, subject to the approval of the Minister, determine that this section shall have effect as if—
(a) an amount determined by the Commission, not exceeding the amount specified in the certificate of the Minister, were deducted from the amount specified in the Fifth Schedule in respect of that University; and
(b) an amount equal to, or amounts determined by the Commission and together equal to, the amount so deducted were added to the amount or amounts specified in the Fifth Schedule in respect of such other University or Universities situated in that State or in another State as the Commission determines.
(5) The financial assistance to a State under this section is granted on the condition that the State will, in r
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