It was a full day of Government Business on Thursday in the Legislative Council with two bills passing the House, one related to compensation for those impacted by coal mine subsidence and one related to water supply in the Central Coast Council area. The House also heard the introduction of two further bills related to the funding of integrity agencies and transport administration. Read on for more…

INTRODUCED: Government Sector Finance Amendment (Integrity Agencies) Bill 2024

The Government Sector Finance Amendment (Integrity Agencies) Bill 2024 was introduced in the Legislative Council on Thursday by Deputy Leader of the Government in the Legislative Council, the Hon John Graham. The bill seeks to amend the Government Sector Finance Act 2018 to make provision about the funding of integrity agencies including the Audit Office, the Independent Commission Against Corruption (ICAC), Law Enforcement Conduct Commission, NSW Electoral Commission and the Ombudsman’s Office. These agencies are independent and are not subject to the control or direction of the Executive Government.

In his second reading speech, Mr Graham explained that while NSW integrity agencies are not subject to the control or direction of the Executive Government they are instead accountable to the Parliament. The Acts which establish each integrity agency set out a parliamentary oversight committee with functions relating to monitoring and reviewing that agency. This bill aims to codify a recent Treasurer’s direction related to special budget arrangements that have applied to integrity agencies in each budget since 2022-23 state budget. These arrangements include:

  • The exclusion of integrity agencies from the Premier’s Department and The Cabinet Office financial management processes;
  • Not imposing efficiency dividends on integrity agencies;
  • A specialist integrity agency unit within Treasury to manage representations for budget and

supplementary funding and provide the integrity agencies with information on funding outcomes.

The bill will require the Treasurer to write to the head of an integrity agency confirming the amount to be appropriated in the annual Appropriation Act for the services of the integrity agency, and

to consider certain factors when considering an application for funding for an agency from a sum appropriated for such contingencies in relation to integrity agencies. Read more about the bill in Mr Graham’s second reading speech.

Following the bill’s introduction, debate was adjourned for five calendar days, according to standing order.

PASSED: COAL MINE SUBSIDENCE COMPENSATION AMENDMENT BILL 2024

The Coal Mine Subsidence Compensation Amendment Bill 2024 passed the Legislative Council on Thursday after having passed the Legislative Assembly on the previous sitting day. The bill would amend the Coal Mine Subsidence Compensation Act 2017 to implement various recommendations arising from the statutory review of the Act.

In his second reading speech, the Hon Mark Buttigieg explained that subsidence from underground coal mines can cause damage to buildings and other property and currently, coalmine operators are liable for providing compensation to property owners whose property has been damaged by an active coalmine. The bill will expand the situations in which compensation is paid to those who are impacted by coal mine subsidence, including covering renters in addition to owner-occupiers. The bill will improve the claims process to support claimants and enhance the capability of Subsidence Advisory NSW to respond to subsidence damage and risks. It will also increase the penalties to mine operators in the Act, in line with inflation. Read more about the bill in Mr Buttigieg’s second reading speech.

Contributions to the second reading debate were made by members of the Opposition, The Greens, and the Government. Read all member contributions in the Hansard record.

Both the second and third readings of the bill were agreed to on the voices, with the bill then returned to the Assembly, ready to be forwarded to the Governor for assent.  

INTRODUCED: TRANSPORT ADMINISTRATION AMENDMENT BILL 2024

Also introduced in the Legislative Council on Thursday was the Transport Administration Amendment Bill 2024. The bill amends the Transport Administration Act 1988 to promote active transport and to improve the activation of public spaces. It will also convert the Transport Asset Holding Entity of NSW (TAHE) into the Transport Asset Manager NSW (TAM) and provide for its functions, management and status.

In his second reading speech, Treasurer the Hon Daniel Mookhey explained that the bill seeks to remove the TAHE’s status as a State-owned corporation and establish TAM as a statutory corporation and government agency in the Transport cluster. Currently, the TAHE is the state-owned corporation that owns railway networks across NSW, including tracks, trains, stations and land holdings around stations. Among the new TAM’s functions, it will be responsible for holding, managing, operating and maintaining transport assets. It will also establish, finance, acquire, construct and develop transport assets. Its principal objective is to undertake its activities in a safe and reliable way. The bill sets out how the TAM is managed and how its financial provisions operate.

In addition to the establishment of the TAM, the bill makes changes to the functions and objectives of Transport for NSW (TFNSW) so it holds responsibility for promoting active transport and the activation of public spaces. ‘Active transport’ refers to a mode of transport powered, or partially powered, by human activity, e.g. walking, running, cycling or skating. Up until now, TFNSW has not had any responsibility for promoting these modes of transport. This bill updates TFNSW’s functions to enable them to develop, implement and coordinate plans, proposals; and activities; allocate resources; and develop and implement new technology in relation to active transport and the activation of public spaces. Read more about the bill in Mr Mookhey’s second reading speech.

Contributions to the second reading debate were made by members of the Opposition, The Greens and the Government. Read all member contributions in the Hansard record.

Consideration of the bill in committee of the whole was set aside until a future sitting of the House.

PASSED: WATER MANAGEMENT AMENDMENT (CENTRAL COAST COUNCIL) BILL 2024

The Water Management Amendment (Central Coast Council) Bill 2024 passed the Legislative Council on Thursday. This bill amends the Water Management Act 2000 to provide that Central Coast Council is no longer a water supply authority and to repeal the Central Coast Water Corporation Act 2006.

In her second reading speech, Minister for Water the Hon Rose Jackson, explained that the Central Coast Council has been in administration since October 2020. A February 2022 report of the Public Inquiry into Central Coast Council found that the complexities and ambiguities associated with the Council operating under both the Water Management Act and the Local Government Act impacted the Council’s ability to manage its finances and serve the local community. The Central Coast Council is the only New South Wales council operating under the Local Government Act that is also constituted as a water supply authority under the Water Management Act. It is also the only council whose water and sewerage services are regulated by Independent Pricing and Regulatory Tribunal of New South Wales (IPART). This bill will remove the Council as a water supply authority and transition them from levying service charges, including for water, sewerage and drainage, under the Water Management Act to levying special rates or charges for the same services under the Local Government Act, in the same way other councils do. The bill sets out how water and sewerage levies can be used by Council and maintains IPART’s pricing oversight for the Council in relation to water supply and sewerage services. Read more about the bill in Ms Jackson’s second reading speech.

Contributions to the second reading debate were made by members of the Opposition, The Greens, and the Government. Read all member contributions in the Hansard record.

The House divided on the second reading of the bill (Ayes: 32/Noes:6) with members of The Greens and the Libertarian Party voting in the negative.

When the House resolved into committee of the whole one amendment was moved by Ms Abigail Boyd on behalf of The Greens which sought to exclude IPART from having standing reference over water supply pricing for the Central Coast Council. This amendment was negatived on the voices.

The third reading of the bill was agreed to on the voices, with the bill then returned to the Assembly, ready to be forwarded to the Governor for assent. 

MINISTERIAL STATEMENT – TOLL REFORM

Mr Graham made a ministerial statement regarding the final report of the Independent Toll Review, which recommended a consistent, network-wide tolling system based on a declining distance model. The review also found that the introduction of two-way tolling on the harbour crossings may be necessary to fund the lowering of tolls on the remainder of the network; and recommended the establishment of a State-owned motorways entity, called NSW Motorways, to set and control prices with oversight from the Independent Pricing and Regulatory Tribunal.

During his ministerial statement Mr Graham tabled the following papers:

IN COMMITTEES

The extension of the reporting date for the Premier and Finance Committee’s inquiry into the regulatory framework for cannabis was agreed to by the House on Thursday, with the due date for the report extended to 21 November 2024.

Report number 2 of the Modern Slavery Committee was also tabled in the House on Thursday by the Hon Dr Sarah Kaine (Labor), Ethical Clothing Extended Responsibilities Scheme 2005 (NSW)dated August 2024.

GENERAL MOTIONS

The following motions were agreed to without debate, during the morning’s formal business:

DOCUMENTS TABLED AND REPORTED IN THE HOUSE

Among the documents tabled and reported in the House on Thursday were:

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