Tuesday, 11 May 2021 Legislative Council- PROOF Page 1 LEGISLATIVE COUNCIL Tuesday, 11 May 2021 The PRESIDENT (The Hon. Matthew Ryan Mason-Cox) took the chair at 14:30. The PRESIDENT read the prayers and acknowledged the Gadigal clan of the Eora nation and its elders and thanked them for their custodianship of this land. Members COMMISSION TO ADMINISTER PLEDGE OF LOYALTY The PRESIDENT: I announce the receipt of a Commission from Her Excellency the Governor authorising the President of the Legislative Council to be a person before whom any member of the Legislative Council may take the pledge of loyalty or oath of allegiance required by law. PLEDGE OF LOYALTY The PRESIDENT: At a joint sitting held on 6 May 2021 Peter John Poulos was elected to fill the vacant seat in the Legislative Council caused by the resignation of the Hon. John George Ajaka. I welcome into the President's gallery family members of Peter Poulos, who are in the House this afternoon for the member's swearing in. They include his wife, Vicki, and their three children, Maria, John and Christina. I also welcome his brother, Emmanuel. They can all be very proud of the honour bestowed upon Peter today, being sworn in as the newest member of the Legislative Council. I thank them very much for joining us today. The Hon. Peter John Poulos took and subscribed the pledge of loyalty and signed the Roll of the House. Documents ADVOCATE FOR CHILDREN AND YOUNG PEOPLE Reports The PRESIDENT: According to the Advocate for Children and Young People Act 2014, I table a report of the Advocate for Children and Young People entitled Review of the NSW Strategic Plan for Children and Young People: 2016-2019, dated May 2021, received out of session and authorised to be made public on 7 May 2021. The Hon. DAMIEN TUDEHOPE: I move: That the report be printed. Motion agreed to. INDEPENDENT COMMISSION AGAINST CORRUPTION Reports The PRESIDENT: According to the Independent Commission Against Corruption Act 1988, I table a report of the Independent Commission Against Corruption entitled Investigation into the conduct of a Service NSW officer, dated May 2021, received out of session and authorised to be made public this day. The Hon. DAMIEN TUDEHOPE: I move: That the report be printed. Motion agreed to. TABLING OF PAPERS The Hon. DAMIEN TUDEHOPE: I table the following paper: (1) Law Enforcement Conduct Commission Act 2016—Report on the Statutory Review of the Law Enforcement Conduct Commission Act 2016, dated May 2021. I move: That the report be printed. Tuesday, 11 May 2021 Legislative Council- PROOF Page 2 Motion agreed to. Committees LEGISLATION REVIEW COMMITTEE Reports The Hon. TREVOR KHAN: I table the report of the Legislation Review Committee entitled Legislation Review Digest No. 30/57, dated 11 May 2021. I move: That the report be printed. Motion agreed to. SELECTION OF BILLS COMMITTEE Reports The Hon. NATASHA MACLAREN-JONES: I table report No. 47 of the Selection of Bills Committee, dated 11 May 2021. I move: That the report be printed. Motion agreed to. The Hon. NATASHA MACLAREN-JONES (14:36): According to paragraph 4 (1) of the resolution establishing the Selection of Bills Committee, I move: (1) That: (a) the Coal and Gas Legislation Amendment (Liverpool Plains Prohibition) Bill 2021 be referred to Portfolio Committee No. 4 - Industry for inquiry and report; (b) the bill be referred to the committee at the conclusion of the mover's second reading speech; (c) the resumption of the second reading debate on the bill not proceed until the tabling of the committee report; and (d) the committee report by 12 August 2021. (2) That: (a) the Petroleum (Onshore) Amendment (Cancellation of Zombie Petroleum Exploration Licences) Bill 2021 be referred to Portfolio Committee No. 4 - Industry for inquiry and report; (b) the bill be referred to the committee at the conclusion of the mover's second reading speech; (c) the resumption of the second reading debate on the bill not proceed until the tabling of the committee report; and (d) the committee report by 12 August 2021. (3) That: (a) the Protection of the Environment Operations Amendment (Clean Air) Bill 2021 be referred to Portfolio Committee No. 7 - Planning and Environment for inquiry and report; (b) the bill be referred to the committee at the conclusion of the mover's second reading speech; (c) the resumption of the second reading debate on the bill not proceed until the tabling of the committee report; and (d) the committee report by 27 August 2021. (4) That the following bills not be referred to a standing committee for inquiry and report this day. (a) Payroll Tax Amendment (Jobs Plus) Bill 2021; (b) Statute Law (Miscellaneous Provisions) Bill 2021; (c) Work Health and Safety Amendment (Industrial Manslaughter) Bill 2021; (d) Residential Tenancies Amendment (Reasons for Termination) Bill 2021; and (e) Tax Administration Amendment (Combating Wage Theft) Bill 2021. The Hon. DANIEL MOOKHEY (14:38): I move: That the question be amended as follows: (1) Omit paragraph (4) (e). (2) Insert before paragraph (4): (4) That: Tuesday, 11 May 2021 Legislative Council- PROOF Page 3 (a) the Tax Administration Amendment (Combating Wage Theft) Bill 2021 be referred to Portfolio Committee No. 1 - Premier and Finance for inquiry and report; (b) the bill be referred to the committee at the conclusion of the mover's second reading speech; (c) the resumption of the second reading debate on the bill not proceed until the tabling of the committee report; (d) the committee hold a hearing of no longer than one day; and (e) the committee report by 8 June 2021. If someone's wages are stolen, it is just as likely that payroll tax has not been paid. At the end of 2019 the House aggressively made that point when we invoked our powers under Standing Order 52 to seek certain documents to determine whether or not adequate investigations took place in the wake of some major wage theft scandals in this State. In response to that, the Government has brought forward this bill. It is a pleasing sign that the Government's response to the action taken by the House is to catalyse forms of executive action in the presentation of this proposal, but it is important that we get it right. When it comes to something as serious as wage theft we must make sure in the first instance that the provisions of the bill are fit for purpose and meet the Government's objectives. Could the bill be improved further by adopting other forms of reform that apply in other jurisdictions, including the Commonwealth? If we are going to do this we must make sure that our agencies have the best tools that are available to them; therefore, it is necessary to look at the tools that are available in other places. Finally, it is necessary to see how the current law is being applied, particularly by Revenue NSW, especially as we have the ability to ask it some good questions. No-one is seeking to impede the passage of the bill but it is appropriate to dispatch it with some urgency as wage theft is ongoing and we want to ensure that we are sending this strong message to wage thieves: You are probably also a tax evader and we are going to crack down on you. That is a position that should be adopted by all parties but we want to make sure that we are getting it right. A limited one-day hearing is the right way forward to check the provisions of the bill and to ensure that they are fit for purpose. In addition, we must ensure that the agency we are trusting to apply those provisions has in place policies and procedures of an acceptable standard, especially as the bill seeks to provide the Minister and the agency with broad swathes of power. As this issue is worthy of inquiry, Portfolio Committee No. 1 is the best committee to look into it. Mr David Shoebridge: PC7! The Hon. DANIEL MOOKHEY: Contentious. The PRESIDENT: Order! Members should not fight over it. The Hon. Daniel Mookhey has the call. The Hon. DANIEL MOOKHEY: Tax law is of such interest to many members in this House that it will always result in a huge squabble. I suggest that Portfolio Committee No. 1 is the appropriate body to look into it. I look forward to asking Revenue NSW some detailed questions about various parts of the Payroll Tax Act and other Acts if members endorse my amendment. Ms CATE FAEHRMANN (14:41): I move: That the question be amended as follows: (1) Omit paragraph (1). (2) Insert at the end of paragraph (4): (f) Coal and Gas Legislation Amendment (Liverpool Plains Prohibition) Bill 2021. Essentially that will stop the Coal and Gas Legislation Amendment (Liverpool Plains Prohibition) Bill being referred to a committee for inquiry. Last week when I introduced the bill and made my second reading speech I was hoping that it would be debated and voted on tomorrow. This simple bill seeks to ban all coal and gas mining and exploration in the Liverpool Plains, including the Vickery Extension Project. On 21 April, during electioneering in the Upper Hunter, Deputy Premier John Barilaro and Leader of The Nationals said that the Government would pay Shenhua $100 million to settle an agreement so that it would not mine in the Liverpool Plains. The next day the Deputy Premier said on 2GB— The Hon. Trevor Khan: Point of order: The member is essentially rehashing her second reading speech and is not speaking to the motion, which is whether this matter should or should not be referred to a committee.