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Legislative Council - Fifty-Fourth Parliament, Second Session (54-2)
2020-03-25 Daily Xml
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Supply Bill 2020

Introduction and First Reading

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

Second Reading

The Hon. R.I. LUCAS (Treasurer) (15:42): I move:

That this bill be now read a second time.

Given the extraordinary circumstances, I will actually read the second reading to members in the chamber. It is not a very long one.

A supply bill is necessary to be enacted as soon as possible to provide appropriation authority from the beginning of the financial year until the Governor's assent is given to the Appropriation Bill 2020. The Appropriation Act 2019 expires on 30 June 2020. The Supply Bill 2020 provides interim appropriation authority from 1 July 2020 until the Appropriation Bill 2020 is passed.

The bill is required in order to respond to the delay in the 2020-21 state and commonwealth budgets, as agreed by national cabinet, to mitigate risks associated with any possible delays or issues arising from COVID-19 and to enable the operations of government to be paid for for the period from 1 July 2020 until the Appropriation Bill is approved.

This bill provides additional time and flexibility for the passing of the 2020 Appropriation Bill. In the absence of special arrangements in the form of the supply act, there would be no parliamentary authority for expenditure between the commencement of the new financial year and the date on which assent is given to the main Appropriation Bill. The amount being sought under this bill is $15.336 billion. This amount is based on the budgeted appropriations that were required for the 2019-20 financial year.

In adding a few words to the Supply Bill second reading, I want to acknowledge the consideration of the Leader of the Opposition in another place, Mr Malinauskas, and in particular the shadow treasurer, Mr Mullighan. They, at very short notice, considered the government's request in relation to the bill and at very short notice expedited its passage through the House of Assembly today. Probably in no other circumstances has either a government asked for such a large sum of money nor an opposition expedited its passage through the state parliament.

The fact that we are facing an unprecedented situation in relation to COVID-19, one where we have the federal budget being delayed until October, all state and territory governments, even a couple that are facing elections between now and then, have agreed to delay their state and territory budgets until after the federal budget, which means that we will not see our budget here probably until November at its earliest, possibly even December, but I hope it will be some time in November.

The normal passage for appropriation bills, appropriately, with estimates committees in the House of Assembly and other considerations, means that there is a slim chance it might pass before Christmas, nevertheless there is some chance it might extend over to the February session in 2021. The extraordinary circumstances that governments confront at the moment is that the precise nature of the Appropriation Bill later this year is impossible to predict at this stage. Governments at this stage—state and federal, Labor and Liberal—are simply writing cheques to meet the extraordinary extra costs that the health system requires in combating the unprecedented nature of the coronavirus pandemic.

Governments, state and federal, Liberal and Labor, are also writing almost unlimited checks in trying to cope with the job losses, the industry losses and the impacts right across the board that we are only just beginning to see with the coronavirus pandemic, as businesses and industries shut down, close down, either forcibly because of a government decision or as a result of the inevitable impacts of people not being able to get around to do the things they might otherwise do and spend in the way they might otherwise spend. This sum of money is extraordinary at $15.3 billion. It is significantly higher than any other supply bill because the supply bills in the past have really only had to cater for four or maybe five months of supply until the appropriation bill is passed.

I conclude by thanking again the assembly members of the opposition and the crossbenchers. I also thank the Hon. Mr Maher, who has carriage of the bill as Leader of the Opposition in this chamber. I also thank the crossbenchers, who are unable to be with us today, in acknowledging the importance of being able to continue to pay doctors, nurses, teachers and police and providing essential public services for a period of perhaps nine to 12 months as we cope with the global pandemic. With that, I thank honourable members for their forbearance and for their indication and willingness, as I understand it, to support the bill and the passage of the bill in an emergency fashion today.

Explanation of Clauses

Clause 1 is formal.

Clause 2 provides relevant definitions.

Clause 3 provides for the appropriation of up to $15.336 million.

The Hon. K.J. MAHER (Leader of the Opposition) (15:48): I rise briefly on behalf of the opposition to indicate our support for this bill and for its passage through the council today. I note this bill was introduced in the House of Assembly this morning, passed shortly thereafter and only came to us in recent minutes. Whilst the procedure is highly unusual for the appropriation of such a large sum—some $15.3 billion—to be approved in such a remarkably short time frame, we are all keenly aware of the unprecedented times we find ourselves in.

The opposition has been advised that the state budget will be delayed in line with the commonwealth's decision to defer the 2020 federal budget. Given this situation, it is important that a supply bill of this nature be passed to ensure the continuing function of government-run services, particularly during the current public health emergency. Public servants must be provided their wages, invoices must be paid, and grants must be allocated in the usual way. We recognise that this is particularly true in the uncertain economic environment which we face. The opposition reiterates our call for additional stimulus to be provided by the state government, particularly given that supply will be secured with the passage of this bill.

The pandemic situation raises economic challenges for people from all walks of life. As governments across the country take measures to slow the spread of the virus we are all having to adjust to the new ways of life. Businesses are closing their doors, with the flow-on affecting thousands of workers across the state and their ability to make ends meet. Families are facing growing uncertainty and anxiety, and the state government must ensure adequate stimulus is provided not merely for the bringing forward of already planned expenditure but for new funds to support households, individuals and businesses to survive.

In providing the government with unprecedented financial capacity to respond to this crisis, the opposition notes the importance of parliamentary oversight of the executive. This chamber and the other place are critical to ensure that the laws are made and amended and that we not only provide more funds but that they are spent to the greatest benefit of our community. Just like we are asking others to work and ensure that our society gets from one end of this crisis to the other, each of us has an obligation to do our jobs as well as we can. In closing, I reiterate that the opposition supports the Supply Bill and looks forward to it passing very swiftly.

The Hon. R.I. LUCAS (Treasurer) (15:50): I thank the Leader of the Opposition for his indication of support for the bill.

Bill read a second time.

Committee Stage

Bill taken through committee without amendment.

Third Reading

The Hon. R.I. LUCAS (Treasurer) (15:52): I move:

That this bill be now read a third time.

Bill read a third time and passed.

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