Ikhaghtatinr Anbumbitg Thursday, 30 March 1989

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Ikhaghtatinr Anbumbitg Thursday, 30 March 1989 18 iKhaghtatinr AnBumbitg Thursday, 30 March 1989 THE SPEAKER (Mr Barn) took the Chair at 10.45 am, and read prayers. MEMBERS OF PARLIAMENT - SWEARING IN THE SPEAKER (Mr Barnett): Today I administered the affirmation of allegiance to Jacqueline Patricia Watkins, member for Wanneroo. FINANCIAL ADMINISTRATION AND AUDIT ACT Report Tabling - Extension of Time THE SPEAKER: I have been informed of ministerial approval for an extension of time for the presentation of the following annual report in accordance with the Financial Administration and Audit Act 1985 - Legal Contribution Trust Annual Report 1987-88. 1 table the relevant correspondence. [See paper No 24.] PARLIAMENTARY TIMES OF SITTIN(; Days and Hours On motion by Mr Pearce (Leader of the House), resolved - That the House, unless otherwise ordered, shall meet for the despatch of business on Tuesdays at 2.15 pm, on Wednesdays at 2.15 pm, and Thursdays at 10.45 am, and shall sit until 6.00 pm if necessary and, if requisite, from 7.15 pm onwards. GOVERNMENT BUSINESS Precedence - Tuesdays and Thursdays On motion by Mr Pearce (Leader of the House), resolved - That on Tuesdays and Thursdays, Government business shall take precedence of all motions and Orders of the Day. COMMITTEES FOR THE SESSION Appointment On motions by Mr Pearce (Leader of the House), resolved - That the following members be appointed to sessional committees - (1) Standing Orders Committee - Mr Speaker, the Chairman of Committees, Mr House, Mr Thomas and Mr Watt. (2) Library Commnittee - Mr Speaker, Mr P.J. Smith and Mr Bradshaw. (3) House Committee - Mr Speaker, Mr Catania, Mr House, Mr McNee and Dr Watson. (4) Printing Committee - Mr Speaker, Mr Blaikie and Mr Kobelke. (5) Public Accounts and Expenditure Review Committee - Mr Donovan, Dr Gallop, Mr Ripper, Mr Strickland and Mr Trenorden. JOINT STANDING COMMITTEE ON DELEGATED LEGISLATION Appointment On motion by Mr Pearce (Leader of the House), resolved - [Thursday, 30 March 1989]11 19 (1) That the Joint Standing Committee on Delegated Legislation appointed during the Thirty-second Parliament be reappointed. (2) That the House appoint Mr Donovan, Mr Mensaros, Mr Ripper and Mr Wiese to be members of the Committee. (3) That the Council be invited to concur in the reappointment of the Committee. PARLIAMENTARY SUPERANNUATION FUND - TRUSTEES Appointment On motion by Mr Pearce (Leader of the House). resolved - That pursuant to the provisions of the Parliamentary Superannuation Act 1970, the Legislative Assembly hereby appoints the member for Darling Range (Mr Thompson) and the member for Victoria Park (Dr Gallop) to be trustees of the Parliamentary Superannuation Fund. STANDING ORDERS SUSPENSION Bills - Second Reading On motion without notice by Mr Pearce (Leader of the House), resolved with an absolute majority - That so much of the Standing Orders be suspended as would prevent the second reading of the following Bills being moved this day - Acts Amendment (Accountability) Bill Stamp Amendment Bill Supply Bill Treasurer's Advance Authorization Bill and Western Australian Petrochemical Industries Authority Bill. ACTS AMENDMENT (ACCOUNTABILITY) BILL Introduction and First Reading Bill introduced, on motion by Mr Parker (Deputy Premier), and read a first time. STAMP AMENDMENT BILL Introduction and First Reading Bill introduced, on motion by Mr Parker (Treasurer), and read a first time. Second Reading MR PARKER (Fremantle - Treasurer) [11.06 am]: I move - That the Bill be now read a second time. The purpose of this Bill is to amend the Stamp Act to give effect to the Government's election promise of a stamp duty rebate for first home buyers and buyers of land for a first home from I March 1989. The stamp duty rebate is an integral element of the Government's housing policy aimed at continuing to provide an affordable housing environment in Western Austraia and targeting assistance to those most in need. The rebate will relieve some of the burden of higher property prices which have hit first home buyers in particular. The Bill provides for a rebate of duty of up to $500 for first home acquisition settled on or after 1 March 1989. In order to limit the rebate to those most in need, eligibility for the rebate will be restricted to those who purchase property they intend to occupy as their principal place of residence. Where a house which a purchaser intends to reside in already exists on the property, the value must not exceed $80 000. In recognition of the higher costs of living in the north of the State, a higher limit of $120 000 will apply for homes located north of the 26th parallJel. For buyers of land intended for the erection of' their first home a value limit of $33 000 will apply. 20 20[ASSEMBLY] As the rebate is aimed at those most in need it will not be available to those who have previously owned, or have been pant-owners of, a residence. However, previous ownership of vacant land will not preclude eligibility for the rebate. An additional requirement in the case of land is that house construction must commence within four years of the land being acquired. The rebate will only be payable after the applicant has entered into a building contract, or where there is no contract, after building commences. Those who consider they are eligible for the rebate will be required to apply to the Commissioner of State Taxation in the manner specified in the legislation. They will need to provide such information as the Commissioner requires to satisfy himself that the applicant is eligible for a rebate. Applications must be received within 12 months of a home being acquired or, in the case of land, within 12 months of the commencement of construction of a home or the date of signing a building contract for a home. Where an applicant applies for a rebate and the application is approved prior to the payment of stamp duty, the rebate will be provided by way of a reduced stamp duty assessment. However, where application is not made, or approval is not given until after the payment of stamp duty, a refund will be paid. The estimated cost of the rebate is $3.1 million in a full year. I commend the Bill to the House. Debate adjourned, on motion by Mr Lewis. SUPPLY BILL Introduction and First Reading Bill introduced, on motion by Mr Parker (Treasurer), and read a first time. Second Reading MR PARKER (Fremantle - Treasurer) [11.08 am]: I move - That the Bill be now read a second time. This measure seeks the grant of supply to Her Majesty of $2 500 million for the works and services of the year ending 30 June 1990 pending the passage of appropriation Bills during the Budget Session of the next financial year. The Bill seeks an issue of $2 300 million from the Consolidated Revenue Fund and $200 million from moneys to the credit of the General Loan and Capital Works Fund. The amounts sought are based largely on the estimated costs of maintaining services and works at existing levels, and no provision has been made for any new major programs which must await the introduction of the 1989-90 Budget. With regard to the Consolidated Revenue Fund the amount requested reflects changed accounting arrangements for hospital funding. In 1988-89 the Commonwealth's hospital funding grant was paid into the Hospital Fund and netted against expenditure, but in 1989-90 it is intended to bring the funds into the Consolidated Revenue Fund requiring a higher level of appropriation by Parliament for hospital funding but improving public accountability. Before dealing with the formal requirements of the Bill I would like to comment briefly on the current year's budgetary position. As members will recall, the 1988-89 Budget presented to Parliament on 31 August 1988 provided for a balanced Budget with expenditure estimated at $4 044 million and revenue at $4 044 milion. There will be. not surprisingly, variations to the estimate of both revenue and expenditure, given the magnitude of the total figures involved. A recent review of the Budget indicates that estimated receipts and outlays will be above Budget, wit the prospect of a surplus being achieved for the fifth year in succession. Due to buoyant economic activity, revenue collections in total are expected to be above estimate, largely as a result of higher than estimated receipts from taxation, especially stamp duty collections. The estimated additional stamp duty reflects, in the main, increased collections from conveyancing and mortgages as a result of higher levels of real estate activity than estimated in the Budget. On the expenditure side, every effort is being made to contain overall outlays to the amounts [Thursday, 30 March 1989) 221 appropriated by Parliament. However, it has been necessary to fund some inescapable or unavoidable additional commitments which have emerged since the Budget was introduced into Parliament. The largest of these relates to the Government's action to protect the savings of many thousands of Western Australians who invested in the failed Teachers Credit Society. As I have already indicated, all of these additional funding commitments will be met from within funding available in 1988-89, As members will be aware, excess expenditures approved after the Budget has been passed are required by law to be resubmitted as part of the Appropriation Bills for Parliament's approval. So far as 1989-90 is concerned, the Commuonwealth has already indicated that it will be seeking continued restraint in payments to the States and in State global borrowing limits for 1989-90. Clearly that action by the Commonwealth will make our budgetary task in 1989-90 much more difficult than it would otherwise have been.
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