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Legislative Council - Fifty-First Parliament, Third Session (51-3)
2009-02-04 Daily Xml
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KAPUNDA HOSPITAL (VARIATION OF TRUST) BILL

Introduction and First Reading

Received from the House of Assembly and read a first time.

Second Reading

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister Assisting the Minister for Transport, Infrastructure and Energy) (17:22): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation inserted in Hansard without my reading it.

Leave granted.

The Kapunda Hospital (Variation of Trust) Bill before the House is necessary to allow the continuation of a child care centre established on land held in trust by the Eudunda Kapunda Health Advisory Council Inc.

In 2005, the Eudunda & Kapunda Health Service Inc (the trustee at the time) and Child Care Services Australia Pty Ltd entered into an agreement to allow the establishment of a child care centre on land that was held in trust. Unfortunately, the board of the Eudunda & Kapunda Health Service Inc did not properly investigate whether the use of the land was consistent with the trust deed before it entered into the agreement.

The trustee was, however, well intentioned and Child Care Services Australia entered into the agreement in good faith with a view to providing a required service to the community.

Child Care Services Australia had previously applied to the council for approval to build the child care centre on other sites in the Kapunda township. However, those sites were located within existing residential zones and the applications were rejected by the Council.

The approach to the Hospital at that time was regarded as opportune, since it would provide convenient access for staff to child care services some 500 metres from the Hospital on vacant land no longer deemed necessary for any future activity by the Eudunda & Kapunda Health Service Inc.

The Government was advised in late 2006 that the trust deed established in 1877 in respect of the Kapunda Hospital required the land specified in the trust deed and all buildings then existing and built in the future to be used as a hospital. It is not possible under the terms of the trust to utilise the land in a manner that is not consistent with the purposes of the hospital and, although hospital staff may make use of the child care facilities, the centre itself could not be considered as a purpose of the hospital or ancillary to that purpose.

The Government was advised that the centre should close down to meet the terms of the trust or that legislation be drafted to vary the trust deed.

The Government concluded that to close the child care centre that had been operating for some time would disadvantage those using it and Child Care Services Australia, which had entered into the agreement in good faith. Instead this legislation has been drafted to vary the trust deed.

The Bill before the House varies 'The Kapunda Hospital' Trust Deed to enable the Eudunda & Kapunda Health Advisory Council Inc (the trustee), with the approval of the Minister, to allow any trust land not required for the purposes of the Kapunda Hospital to be used for any other purpose approved by the Minister (including the provision of child care services, early childhood intervention services and other related services). The Eudunda Kapunda Health Advisory Council Inc as trustee has indicated its support for the variation of its powers under the trust by this Bill.

It is the Government’s view that this is a fair and reasonable outcome for Child Care Services Australia and the community in and around Kapunda who may use the centre.

I commend the Bill to Members.

Explanation of Clauses

1—Short title

This clause is formal.

2—Variation of Kapunda Hospital trust

The measure varies the terms of the Kapunda Hospital trust so that the trustee, with the approval of the Minister, has all the powers necessary to allow any trust land not required for the purposes of the Kapunda Hospital to be used for any other purpose approved by the Minister (including the provision of child care services, early childhood intervention services and other related services).

The clause further provides that despite any other Act or law, a lease may be granted for such period and on such other terms and conditions (which may include a right for the lessee to occupy the land free of rent or at a nominal rent) as may be agreed between the parties to the lease.

3—Immunity from liability for breach of trust

This clause provides that no liability attaches to a person for breach of trust by virtue of anything done under this Act or by virtue of the occupation of a portion of the trust land for the purposes of providing child care and other related services before the commencement of this Act.

Debate adjourned on motion of Hon. S.G. Wade.

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