Imbalance of power examples

Examples

Constitution

  • s 109 says that if there is an inconsistency between State law and Federal law, the Federal law prevails
  • s 87 and s 94 allow the Commonwealth to take duties from Customs and Excise, and distribute them among the states as they see fit
  • s 90 allows the Commonwealth to exclusive customs and excise.
  • s 96 allows the Commonwealth to attach terms and conditions to the money given to States (Vertical Fiscal Imbalance)
  • Although s 106 to 108 gives states the right to their own parliament and constitutions

High Court Interpretations

  • NSW v Commonwealth 1908 when the States lost their right to 75% of surplus revenue (s 94) – Surplus revenue case
  • Amalgamated Society of Engineers v. Adelaide Steamship Co. 1920 – Allowed the Commonwealth to make laws regarding State powers and employees (Engineers Case)
  • Victoria v. Commonwealth 1926 – Allowed C’th to make SPPs (road grants)
  • South Australia v. Commonwealth 1942– Gave the Commonwealth exclusive power to take income tax
  • Victoria v. Commonwealth 1957 – Second Uniform Tax case
  • WA v Hamersley Iron Ore and WA v Chamberlain Industries 1969 receipts duty declared invalid. Loss of revenue.
  • Victoria v Commonwealth 1971 – Payroll tax transferred to States, States get more revenue
  • Commonwealth v. Tasmania 1983 – Allowed the Commonwealth to legislate in residual areas (external affairs: s 51 (xxix).
  • Ha v. NSW (1997) – Interpreted the term ‘excise’ broadly to include any taxes on goods before consumption

Referendums

  • Social Services referendum in 1946, adding s 51(xxiiiA)
  • State Debts (1928 – 105A)
  • Aborigines 1967 – s 51 xxvi

Referral of Powers

  • Re Wakim 1999 – cross vesting
  • 1974 – SA and TAS gave the management of railways
  • 1996 – VIC gave industrial relations
  • 2001 – TAS gave industrial relations
  • 2003 – Terrorism laws
  • 2010 – Credit (Commonwealth Powers) Act 2010

Unchallenged Legislation

  • Uniform Gun Laws 1997
  • Snowy Mountain Scheme (1940)

More Examples of Cooperation

IGA on Federal Financial Relation (SPPs – 5):

  • $60.5 billion in National Healthcare SPP
  • $18 billion in National Schools SPP

National Agreements (7):

  • National Healthcare Agreement
  • National Education Agreement
  • National Indigenous Reform Agreement

National Partnerships (with rewards, i.e. the carrot, also 7):

  • National Partnership on Preventative Health
  • NP on Literacy and Numeracy
  • NP on Improving Teacher Quality

National Partnerships (17):

  • National Partnership on Health Services
  • NP on Health Infrastructure
  • NP on Low Socio-Economic Status School Communities
  • NP on Indigenous Economic Participation
  • NP on Closing the Gap in Indigenous Health Outcomes

1927 – Loans Council est.

1933 – Grants Commission est.

 

 

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