Financial Framework (Supplementary Powers) Amendment Bill 2024

The majority voted in favour of a motion to read the bill for a second time. In other words, they voted in favour of agreeing with the main idea of the bill.

What does this bill do?

According to the bills digest (which is a document prepared by the parliamentary library):

• The purpose of the Financial Framework (Supplementary Powers) Amendment Bill 2024 is to amend the Financial Framework (Supplementary Powers) Act 1997 (FFSP Act) to remove ‘limiting words’ from sections which confer power on the Commonwealth to:

• make, vary or administer an arrangement or grant (section 32B) and

• form a company, participate in the formation of a company, acquire shares in a company, or become a member of a company (section 39B)

• The framework established by the FFSP Act and its associated regulations have been used by the Commonwealth as a source of legislative authority for Commonwealth spending. The amendments are intended to ‘put beyond doubt’ the validity of the government spending programs and any government involvement in companies reliant on the sections 32B and 39B.

• Other proposed changes make consequential amendments, contingent amendments and contain validation and savings provisions to ‘regularise’ previous spending and government activity which have been reliant on sections 32B and 39B.

• The Bill has not been referred to a Senate Committee for inquiry and report.