Commonwealth of Australia Explanatory Memoranda

[Index] [Search] [Download] [Bill] [Help]


AGRICULTURE, FISHERIES AND FORESTRY LEGISLATION AMENDMENT BILL (NO. 2) 2003





2002-2003




THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA






SENATE





AGRICULTURE, FISHERIES AND FORESTRY LEGISLATION AMENDMENT BILL (NO. 2) 2003







REVISED EXPLANATORY MEMORANDUM




(Circulated by authority of the Minister for Agriculture, Fisheries and Forestry,
the Hon Warren Truss MP)




THIS MEMORANDUM TAKES ACCOUNT OF AMENDMENTS MADE BY THE HOUSE OF REPRESENTATIVES TO THE BILL AS INTRODUCED


AGRICULTURE, FISHERIES AND FORESTRY LEGISLATION AMENDMENT BILL (NO. 2) 2003


GENERAL OUTLINE

Schedule 1 - Amendment to the Quarantine Act 1908

Schedule 1 of the Bill amends the Quarantine Act to extend the Act to Christmas Island, makes a number of changes to improve the arrangements for the payment of fees, broadens the range of persons who may be appointed as quarantine officers, makes a number of clarifying amendments and corrects the reference to the Act title of this Bill in the Quarantine Amendment (Health) Act 2003.

The extension of the Act to Christmas Island is in response to the Government's policy to align conditions and standards in the Indian Ocean Territories with those of comparable communities in the rest of Australia. The amendments extend the Act to Christmas Island in the same way as it has been extended to the Cocos (Keeling) Islands. The amendments provide Christmas Island with the same legislative framework for quarantine as that which applies to the rest of Australia while providing for quarantine barriers between Christmas Island, the Cocos Islands and the mainland in recognition of the different pest and disease status of these areas.

In relation to the arrangements for the payment of fees, the key changes are:
• the amendment of sections 59A and 63 of the Act to put beyond doubt that the liability for fees currently imposed on an agent by those sections is not a tax, the amendment of section 64 of the Act to impose a liability for fees on an agent and the repealing section 61 because it is a redundant provision;
• clarification that in cases where a fee for service can be calculated in advance of the service being provided, the determination under section 86E may require that the fee be paid before the service is provided and that in such cases a quarantine officer may decide to withhold delivery of the service until pre-payment is made;
• clarification that a late payment fee may be a fee that is a percentage per annum of the basic fee; and
• correction of the reference to the Act title of this Bill in the Quarantine Amendment (Health) Act 2003.

The amendments to broaden the range of persons who may be appointed as quarantine officers will empower the Director of Quarantine to enter into contracts and to appoint persons covered by those contracts to be quarantine officers.

Schedule 2 - Amendment to the Imported Food Control Act 1992

Schedule 2 of the Bill amends the Imported Food Control Act 1992 in response to three recommendations arising from the National Competition Policy Review of the Act.

The amendments insert an objective into the Act in response to one of the recommendations. In response to another recommendation, the amendments provide for the use of compliance agreements as a mechanism to regulate quality assurance arrangements developed by importers to ensure that imported food meets Australian food safety standards.

The review identified that a significant number of imported foods that fail do not meet Australian food standards because some overseas producers fail to label products in accordance with Australian food standards. Labelling non compliance takes up significant AQIS resources and industry as well as the AQIS will benefit from the adoption of a more flexible approach to labelling. In response to a third recommendation, importers rather than overseas producers will be responsible for ensuring that imported foods are labelled in accordance with Australian standards prior to sale.

Schedule 3 - Amendment to the Pig Industry Act 2001 and the Wool Services Privatisation Act 2000

The amendments to the Pig Industry Act 2001 and the Wool Services Privatisation Act 2000 will provide for the research and development bodies for the pork and wool industries, Australian Pork Limited (APL) and Australian Wool Innovation Limited (AWI), to carry forward claims for eligible Research and Development (R&D) expenditure, which have not been matched by the Commonwealth, to subsequent financial years. In this way the amendments
bring APL and AWI into line with arrangements operating for all other rural R&D bodies; and provide them with the necessary flexibility to ensure all their year to year expenditure on eligible R&D attracts Commonwealth matching.

Schedule 4 - Amendment to the Quarantine Amendment (Health) Act 2003

The amendment corrects the reference to the Act title of the Bill within the commencement provisions of the Quarantine Amendment (Health) Act 2003. This amendment is necessary because, as a result of timing issues regarding the passage of the Bill, the Act title given to the Bill in the Quarantine Amendment (Health) Act 2003 was taken by another piece of legislation.

FINANCIAL IMPACT STATEMENT

The Bill will have no significant impact upon the finances of the Commonwealth.


REGULATION IMPACT STATEMENT

Revised Quarantine Fee Collection Arrangements

1. Introduction

The Australian Quarantine Inspection Service (AQIS) Import Clearance Program is responsible for providing various services in relation to the importation of goods of quarantine concern. These services are provided for the purpose of protecting Australia’s agricultural industries and general population from exotic pests and diseases. The Quarantine Act 1908, the Quarantine Regulations 2000 and the Quarantine Proclamation 1998 provide for the legislative support for the program.

2. Background


Customs brokers are the agents of the owners or importers of goods imported into Australia, and deal with the Australian Customs Service (ACS) and AQIS on behalf of the owners/importers in relation to the customs and quarantine procedures applicable to the goods being imported.

Under current arrangements, all imports with a monetary value in excess of $250 require an import entry to be lodged with the ACS. Goods of quarantine concern are then referred to AQIS for clearance, treatment, or disposal, as appropriate. Section 64 of the Act makes the importer or owner of any animals, plants or other goods that are subject to quarantine, or are under quarantine surveillance, liable for quarantine expenses. This requirement is in accordance with the Government’s policy of full cost recovery for quarantine services.

3. Problem


AQIS is required by government directive to fully recover the costs of providing quarantine services, and as a consequence, importers bear a proportion of the cost involved in protecting Australia from the entry of exotic pests and diseases. In order to ensure there is no unnecessary restriction on the competitiveness of this industry, the program endeavours to keep operational costs to a minimum.

It is a requirement under the Customs Act for notice to be given to the ACS of goods to be imported into Australia. It is common practice for customs brokers or agents of importers to accept the responsibility for lodging such import entries as well as for arranging for the payment of applicable customs duties and quarantine service fees on behalf of importers. These expenses are then recouped from their clients as a component of general customs agency charges. Currently the Import Clearance Program relies heavily on approximately 700 registered customs brokers/agents to pay quarantine fees on behalf of their clients. The use of a customs broker is at the discretion of the importer however, and where an importer chooses not to use a custom broker, the Commonwealth seeks payment from that importer directly.


The Quarantine Act 1908 does not impose an obligation on the custom broker to collect fees on behalf of the Commonwealth, and as a consequence there is no certainty that the current arrangements will continue. The Import Clearance program relies on these arrangements as an effective mechanism for collecting import clearance fees; a less effective collection system would eventually lead to program fee increases. Instances have also arisen where a customs broker has refused to pay import clearance fees on behalf of importers. Such inconsistencies in collection arrangements make it difficult for AQIS to recover fees at a later date from the importer, and make the collection arrangements unpredictable for importers. Further, should customs brokers collect money on behalf of their clients and refuse to pay the Commonwealth, AQIS has no power to recover this money from the customs broker.

4. Objective

To provide certainty and consistency with respect to collection arrangements for fees imposed under the Import Clearance Program, in a cost-effective manner.

5. Proposed Action and Impact Analysis

To ensure that current collection arrangements have a legislative basis, it is proposed that the Quarantine Act 1908 be amended to impose an obligation on Customs brokers to collect fees from the owner or importer of goods for quarantine services provided by AQIS. This would give AQIS an enforceable right to recover import clearance fees from customs brokers.

For the financial year ending June 2001, customs brokers collected almost half of the fees paid to the Commonwealth for services provided by the Import Clearance Program. Without this arrangement, AQIS would be required to recover fees from an unquantifiable number of individual importers, many of whom are transit visitors.


In collecting fees on behalf of AQIS, and later seeking payment from importers, customs brokers bear
• the administrative costs of collecting moneys;
• the opportunity cost of that money used to pay fees prior to recouping that money from importers; and
• the costs associated with bad debts.

This recommendation provides legislative support for current arrangements so the financial impacts identified above, already apply. Customs brokers have made a commercial decision that it is in their interest to provide a total import clearance service to importers and charge importers for this service. It is recognised, however, that under this proposal customs broker will be legally required to provide this service.

Importers who use the services of customs brokers will benefit from this proposal, because of certainty in fee collection arrangements. For those importers that deal directly with AQIS, the current arrangements remain unchanged.

The recommended proposal is seen a s a suitable mechanism for ensuring that program debt levels are minimised and that fees are collected in an efficient manner, since the cost to the program of collecting fees from numerous importers would be substantial. This proposal also ensures that the Commonwealth has the ability to legally collect unpaid fees from customs brokers where required.

6. Consultation


The AQIS/Industry Cargo Consultative Committee (AICCC) and the Customs Brokers and Forwarders Council of Australia (CBFCA) acknowledge the importance of the brokers role and are in full support of the joint financial arrangement.

The AICCC acts as the peak industry consultative group between AQIS and the cargo; handling/importing industry on all operational, policy, efficiency and strategic issues. The Committee
• considers and provides advice to AQIS on matters relevant to the cargo handling/importing industry; and
• acts as an effective conduit for information exchange between the cargo handling/importing industry and AQIS.

The AICCC agreed to the recommendation on the basis of the potential costs savings to the program as a result of containing excessive debt levels, and, that there will be no additional impost on customs brokers operating under the current financial arrangement.

Customs Brokers have expressed a desire for their financial responsibilities to cease when quarantine involvement continues for lengthy periods of time (eg. post entry animal quarantine). AQIS is currently working with industry to allow the importer to become responsible for payment during this time.

7. Conclusion and Recommendation

The proposal is considered as an efficient mechanism for collecting import clearance fees from a very large number of importers since it relies on a service already provided by customs brokers. It ensures that AQIS has the legal ability to seek payment for quarantine services where they have been collected by a customs broker and provides a mechanism to manage debt within the program. The proposal was developed in consultation with the AICCC and is an agreed approach in relation to fee collection for import clearance fees.


8. Implementation and Review

The proposal will require an amendment to the Quarantine Act 1908 to oblige customs brokers to collect fees from the owner and/or importer of goods importer into Australia. Customs brokers will be required to pay that amount to the Australian Quarantine Inspection Service (AQIS) regardless of whether the agent has received that amount from the owner and/or importer of the goods.

The AICCC meets four times per year; once each in Canberra, Melbourne, and Sydney and once in another Australian capital city, whereby issues associated with collection arrangements can be discussed and reviewed.

NOTES ON CLAUSES

Clause 1: Short title
This clause sets out the short title by which the Act may be cited.

Clause 2: Commencement
Clause 2 sets out commencement information in a table and specifies that each provision of the Act specified in column 1 of the table commences or is taken to have commenced on the day or at the time specified in column 2 of the table.

Clause 3: - Schedules
This clause has the effect that any Act that is specified in the Schedules is amended or repealed as provided in the Schedules.

SCHEDULE 1 - Amendment of the Quarantine Act 1908

The proposed amendments are as follows:

Part 1 - Extension of the Quarantine Act to Christmas Island

Item 1
This item amends the definition of adjacent area in subsection 5(1) so that references in the Act to adjacent area will include the adjacent area in respect of Christmas Island. This change means, for instance, that the power to give a direction under section 78A of the Act can be exercised in respect of a sea installation that is in Australian waters for the purpose of being installed in an adjacent area in respect of Christmas Island.

Item 2
This item amends the definition of Australia in subsection 5(1). The combined effect of this item and of paragraph 17(a) of the Acts Interpretation Act 1901 is to include Christmas Island in the definition of Australia when the word is used in a geographical sense in the Act unless the contrary intention appears. A contrary intention appears in many of the items in this Schedule and this contrary intention is expressed by a reference to Christmas Island.

Item 3
This item inserts a definition of Christmas Island in subsection 5(1).

Item 4
This item inserts a definition of Christmas Island vessel in subsection 5(1). This definition is consistent with the definitions in the Act for Australian vessel and Cocos Islands vessel.

Item 5

This item amends the definition of Commonwealth in subsection 5(1). The combined effect of this item and of paragraph 17(a) of the Acts Interpretation Act 1901 is to include Christmas Island in the definition of Commonwealth when the word is used in a geographical sense in the Act unless the contrary intention appears. A contrary intention appears in many of the items in this Schedule and this contrary intention is expressed by a reference to Christmas Island.

Item 6
This item inserts a definition of First Christmas Island port of entry in subsection 5(1). This definition is consistent with the definition in the Act for First Cocos Islands port of entry.


Item 7
This item amends the definition of imported in subsection 5(1) so that it applies to animals, plants or other goods imported into Christmas Island.
Item 8

This item amends the definition of overseas vessel in subsection 5(1) as a consequence of the extension of the Act to Christmas Island.


Item 9

This item makes transitional arrangements as a result of the amendment to the definition of overseas vessel in item 8.

Item 10
This item amends the definition of pratique in subsection 5(1) to provide for the granting of pratique to vessels arriving in Christmas Island from a place outside of Christmas Island.

Item 11
This item amends the definition of quarantine area so that an area in Christmas Island can be declared a quarantine area under the Act.

Item 12
This item substitutes a new definition for Special Quarantine Zone in subsection 5(1). The effect of this item is to clarify that a Special Quarantine Zone is a mechanism for managing quarantine risks within each of the separate geographical areas of Australia, Christmas Island and the Cocos Islands.

Item 13
This item substitutes a new section 5A as a consequence of the amendment described in item 12. This item clarifies that the Minister may declare an area to be a Special Quarantine Zone in respect of Australia, Christmas Island or the Cocos Islands.

Item 14
This item continues in force any declarations under section 5A that were in force immediately before the commencement of item 13.

Item 15
This item amends section 5D so that the concept of the level of quarantine risk in the Act can be applied to Christmas Island as a separate geographical area. This amendment means that where provisions require that the level of quarantine risk be considered, such as when approving a place for the performance of quarantine under section 46A of the Act, if the place to be approved is in the Christmas Islands, the level of quarantine risk relates to Christmas Island, not to Australia or to the Cocos Islands.
Item 16
This item amends subsection 6(1) to extend the Act to Christmas Island. The effect of this item is to make the Act the applicable law on Christmas Island subject to the transitional arrangements (see item 19).

Item 17
This item amends section 6 by adding subsection (3). This subsection clarifies that where provisions refer to Australia or the Commonwealth but not to Christmas Island, these provisions should be interpreted as including Christmas Island. The effect of this item is to confirm the operation of paragraph 17(a) of the Acts Interpretation Act 1901.

Item 18
This item amends the Note to subsection 6(2) to include a reference to Christmas Island.

Item 19
This item provides for transitional arrangements. The item continues the old quarantine law for 6 months from the date of the extension of the Act to Christmas Island in relation to persons, vessels, animals, plants or other goods that arrive at Christmas Island before the date of the extension of the Act. The transitional arrangements provide certainty regarding the applicable law to persons affected by the change of laws.

Item 20
This item repeals section 6AA. The repeal of this section is consequential on the extension of the Act to Christmas Island (see item 16) by amendment to the Act rather than by regulation.

Item 21
This item makes a stylistic change to subsection 13(1).

Item 22.
This item inserts paragraph 13(1)(aab). The effect of this item is to empower the Governor-General to declare any ports in Christmas Island to be first Christmas Island ports of entry for overseas vessels. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 23
This item repeals paragraph 13(1)(aa) and substitutes a new paragraph (aa). The effect of this item is to empower the Governor-General to declare any place or area to be landing place for aircraft to Christmas Island. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 24
This item continues in force a proclamation made under paragraph 13(1)(aa) of the Quarantine Act 1908 that was in force immediately before the commencement of item 23.

Item 25
This item amends paragraph 13(1)(b). The effect of this item is to empower the Governor-General to declare any ports in Christmas Island to be ports where animals, plants or other goods may be landed. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 26
This item makes a stylistic change to subsection 13(1).

Item 27
This item amends paragraph 13(1)(d). The effect of this item is to empower the Governor-General to prohibit the introduction or importation into Christmas Island of any disease or pest or any substance or article or thing containing or likely to contain any disease or pest. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 28
This item makes a stylistic change to subsection 13(1).

Item 29
This item amends paragraph 13(1)(e). The effect of this item is to empower the Governor-General to prohibit the importation into Christmas Island of any articles or things likely in his or her opinion, to introduce, establish or spread any disease or pest. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 30
This item makes a stylistic change to subsection 13(1).

Item 31
This item amends paragraph 13(1)(f). The effect of this item is to empower the Governor-General to prohibit the importation into Christmas Island of any animals or plants or any parts of animals or plants. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands. In addition this item extends the range of things that may be prohibited to "other goods" to make this subparagraph consistent with paragraph 13(1)(fa).

Item 32
This item makes a stylistic change to subsection 13(1).

Item 33
This item continues in force a proclamation made under paragraph 13(1)(f) of the Quarantine Act 1908 that was in force immediately before the commencement of item 31.

Item 34
This item repeals paragraph 13(1)(fa) and substitutes a new paragraph (fa) . The effect of this item is to empower the Governor-General to prohibit the bringing into port or other place in Christmas Island of any animals, plants or other goods, or any other parts of animals or plants. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands. The item also clarifies that the reference to animals and plants includes parts of animals and parts of plants to ensure consistency with paragraph 13(1)(f).

Item 35
This item continues in force a proclamation made under paragraph 13(1)(fa) of the Quarantine Act 1908 that was in force immediately before the commencement of item 34.

Item 36
This item repeals paragraphs 13(1)(g) and 13(1)(ga) and substitutes new paragraphs (g) and (ga). The effect of this item is to empower the Governor-General to prohibit the removal of any animals, plants or other goods or any parts of animals or plants between parts of Christmas Island. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands. The item also makes a stylistic change to paragraph 13(1)(ga) and clarifies that the reference to animals and plants in paragraph 13(1)(ga) includes parts of animals and parts of plants.

Item 37
This item continues in force a proclamation made under paragraphs 13(1)(g) or (ga) of the Act that was in force immediately before the commencement of item 36.

Item 38
This item inserts paragraphs 13(1)(gb) and (gc). The effect of paragraph 13(1)(gb) is to empower the Governor-General to prohibit the removal of any animals, plants or other goods or any parts of animals or plants between Australia or parts of Australia and Christmas Island or parts of Christmas Island. This item provides the Governor-General with the same power in respect of Australia and Christmas Island that he has in respect of Australia and the Cocos Islands. The effect of paragraph 13(1)(gc) is to empower the Governor-General to prohibit removals between the Cocos Islands or parts of the Cocos Islands and Christmas Island or parts of Christmas Island. This new power reflects the fact that the Act covers the quarantine relationship not only between the Cocos Islands and Australia and Christmas Island and Australia but also between the Cocos Islands and Christmas Island.

Item 39
This item repeals paragraph 13(1)(h) and substitutes a new paragraph (h). The effect of this item is to empower the Governor-General to declare any part of Christmas Island to be a quarantine area. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 40
This item continues in force a proclamation made under paragraph 13(1)(h) of the Quarantine Act 1908 that was in force immediately before the commencement of item 39.

Item 41
This item amends paragraph 13(1)(i). The effect of this item is to empower the Governor-General to declare any vessels, people, animal, plants or other goods in any quarantine area in any part of Christmas Island to be subject to quarantine. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 42
This item inserts subsection 13(1C). The effect of this item is to authorise the Governor-General, in the exercise of his power to declare first Christmas Island ports of entry, to declare the port to be a first Christmas Island port of entry for all overseas vessels, or for overseas vessels from any particular place, or for any class of overseas vessels. This item provides the Governor-General with the same power in respect of first Christmas Island ports of entry that he has in respect of other first ports of entry.

Items 43 and 44
These items amend subsection 13(2A). Subsection 13(2A) enables proclamations prohibiting the introduction, importation, bringing or removal of things to provide for the granting of permits. The effect of these items is to extend subsection 13 (2A) so that proclamations prohibiting the introduction, importation, bringing or removal of things in relation to Christmas Island may provide for the granting of permits.

Item 45
This item amends subsection 13(3) as a consequence of the addition of paragraphs 13(1)(gb) and (gc).

Item 46
This item amends subsection 13(6). Subsection 13(6) empowers the Governor-General to make exempting Proclamations. The effect of this item is to extend the power in subsection 13(6) to cover proclamations made in relation to Christmas Island.

Items 47 and 48
These items make stylistic changes to section 14.

Item 49
This item amends section 14. Section 14 empowers the Governor-General to exempt, inter alia, any ship of war and any vessels trading exclusively between certain ports. The effect of this item is to extend the power in section 14 to cover ports in relation to Christmas Island.

Items 50 and 51
These items amend subsection 16AC(1) and paragraph 16AC(2)(a). Section 16AC provides for the giving of notice for goods imported into Australia or the Cocos Islands. The effect of these items is to extend the section to cover goods imported into Christmas Island.

Item 52
This item amends subsections 16AD(1) and 16AF(1) by extending them to cover Christmas Island. The effect of this item is, in the case of subsection 16AD(1), to empower a quarantine officer to give written notice to a person who has imported or proposes to import goods into Christmas Island to require the person to give information about the goods. In the case of subsection 16AF(1), the effect of this item is to allow electronic recording and communication of decisions by quarantine officers in respect of goods brought into Christmas Island.

Item 53
This item amends paragraph 16AG(f) by extending it to Christmas Island. The effect of this item is to allow the regulations to provide for the manner in which evidence may be given in a proceeding for the purpose of proving that a quarantine officer has authorised that goods are to be brought into Christmas Island.

Item 54
This item amends paragraph 17(1)(b) by extending it to Christmas Island vessels. The effect of this item is to make Christmas Island vessels subject to quarantine in the circumstances set out in the paragraph.

Item 55
This item amends paragraph 18(1) by extending it to Christmas Island. The effect of this item is to make a person subject to quarantine who has been on board an overseas vessel subject to quarantine since, in the case of a vessel that has arrived in Christmas Island from a place outside of Christmas Island - its arrival in Christmas Island.

Item 56
This item amends paragraph 18(1)(aa) by extending it to Christmas Island vessels. The effect of this item is to make a person subject to quarantine who is on board a Christmas Island vessel, subject to quarantine, or who has been on board the vessel since its arrival at the port (if any) at which it is subject to quarantine.

Item 57
This item amends paragraph 18(1)(e) by extending it to Christmas Island. The effect of this item is to make every person who enters Christmas Island unlawfully subject to quarantine.

Item 58
This item amends paragraph 18(2)(a) by extending it to Christmas Island. The effect of this item is to make all goods which are on board an overseas vessel, or which have been on board the vessel since its arrival in Christmas Island from a place outside of Christmas Island subject to quarantine.

Item 59
This item amends paragraph 18(2)(aa) by extending it to Christmas Island vessels. The effect of this item is to make all goods subject to quarantine which are on board a Christmas Island vessel that is subject to quarantine or which have been on board the vessel since its arrival at the port (if any) at which it is subject to quarantine.

Items 60 and 61
These items amend section 19 and insert a new section 19AA. They provide for the revival of quarantine in respect of persons, vessels and goods moving between Australia, Christmas Island and the Cocos Islands. The effect of these items is to apply the same level of quarantine control over persons, vessels and goods moving between Australia and Christmas Island and between the Cocos Islands and Christmas Island as applies to the movement of persons, vessels and goods between Australia and the Cocos Islands.

Items 62 to 66
These items amend section 20 by extending it to Christmas Island. The effect of this item is to make it an offence for the master of an overseas vessel to permit the vessel to enter Christmas Island except as allowed by section 20.

Item 67
This item amends section 20A by extending it to Christmas Island. The effect of these items is to make it an offence for the commander of an overseas aircraft to permit the aircraft to land in Christmas Island except as allowed by section 20A.

Item 68
This item repeals section 20AA by extending the Minister's power to give permission for vessels to be brought to a place other than a first port of entry or landing place to include a place in Christmas Island.

Item 69
This item amends subsection 20B(1) and substitutes a new subsection 20B(1). The effect of this item is to empower the Governor-General where there is danger of the introduction into Christmas Island by aircraft of disease from any place outside of Christmas Island to declare the place to be a place in relation to which section 20B applies in respect of Christmas Island. This item provides the Governor-General with the same power in respect of Christmas Island that he has in respect of Australia and the Cocos Islands.

Item 70
This item continues in force a proclamation made under subsection 20B(1) of the Act 1908 that was in force immediately before the commencement of item 69.

Items 71 and 72
These items make amendments to other subsections in section 28B consequential on the amendment made by item 69.

Item 73
This item amends subsection 20C(1) by extending it to Christmas Island. The effect of this item is to deem any person, animal, plant or other goods on board an aircraft that is subject to quarantine and lands in Christmas Island at a place that is not a landing place to be ordered into quarantine.

Item 74
This item amends subsections 20D(1),(2),(3) and (4). The effect of this item is to place the same controls over the landing of animals, plants or other goods at places in Christmas Island as those that apply in respect of Australia and the Cocos Islands.

Item 75
This item amends paragraph 21(1A)(b). The effect of this item is to extend the offence provision concerning prescribed signals so that it applies to the commander of an aircraft on arrival at the first landing place in Christmas Island.

Item 76
This item amends paragraph 27A(1)(a). Section 27A deals with pre-arrival and pre-departure reports by certain vessels (other than aircraft) and installations. The effect of this item is to extend the application of the requirement for pre-arrival and pre-departure reports to the master of an overseas vessel that is intended to arrive at a place in Christmas Island.

Item 77
This item amends the subparagraphs in paragraph 27A(1)(b). The effect of this item is to extend the application of the requirement for pre-arrival and pre-departure reports to the master of an overseas installation that is intended to arrive at a place in Christmas Island from places as specified or at a place in the Cocos Islands or Australia from Christmas Island.

Item 78
This item amends paragraphs 27A(1)( c) and (d). The effect of this item is to extend the requirement for pre-arrival and pre-departure reports to the master of a vessel that is intended to arrive at a place in Australia, the Cocos Islands or Christmas Island having travelled from a place in any of these locations. The item also extends the reporting requirements to the master of a vessel that is travelling within the Cocos Islands from a place in the Special Quarantine Zone in the Cocos Islands to another place in the Cocos Islands and to a vessel that is travelling within Christmas Island from a Special Quarantine Zone in Christmas Island to another place in Christmas Island.

Item 79
This item amends subsection 27A(2). This subsection specifies to whom pre-arrival information is to be sent. The effect of this item is to specify that, in respect of a vessel or installation that is intended to arrive at a place in Christmas Island, the pre-arrival information must be provided to a quarantine officer at that place. This amendment mirrors the requirements in relation to Australia and the Cocos Islands.

Item 80
This item amends paragraph 27A(4)(b) to extend the paragraph to include a vessel or installation departing from its last port in Christmas Island. The effect of this item is to provide an event to bring to a conclusion the period during which pre-departure reporting obligations apply in relation to vessels departing from Christmas Island. This amendment in respect of Christmas Island parallels the arrangements that apply in relation to Australia and the Cocos Islands.

Item 81
This item amends paragraph 27B(1)(a). Section 27B deals with pre-arrival and pre-departure reports by certain aircraft. The effect of this item is to extend the application of the requirement for pre-arrival and pre-departure reports to the commander of an aircraft that is intended to arrive at a place in Christmas Island. This amendment in respect of Christmas Island parallels the arrangements that apply in relation to Australia and the Cocos Islands.

Item 82
This item amends paragraph 27B(1)(b). The effect of this item is to extend the reporting requirements to the commander of an aircraft that is travelling within the Cocos Islands from a place in the Special Quarantine Zone in the Cocos Islands to another place in the Cocos Islands and to a vessel that is travelling within Christmas Island from a Special Quarantine Zone in Christmas Island to another place in Christmas Island.

Item 83
This item amends paragraph 28(1)(a). Section 28 empowers quarantine officers to require the master and other specified persons to answer questions about prescribed matters that are relevant to a vessel, installation or aircraft described in subsection 28(1). The effect of this item is to extend the descriptions in subsection 28(1) to include an overseas vessel that has arrived or is expected to arrive at a ort in Christmas Island. The arrangements introduced by this amendment in respect of Christmas Island parallel the arrangements that apply in relation to Australia and the Cocos Islands.

Item 84
This item amends paragraph 28(1)(b). The effect of this amendment is to empower quarantine officers to require the master of a vessel described in the amendment to answer questions about prescribed matters.

Item 85
This item amends paragraph 28(1)(d) to extend it to the commander of an overseas aircraft that has landed or is expected to land at a place in Christmas Island that is not a landing place. This amendment in respect of Christmas Island parallels the arrangements that apply in relation to Australia and the Cocos Islands

Item 86
This item continues in force any requirement made by a quarantine officer under subsection 28(1) of the Quarantine Act 1908 that was in force immediately before the commencement of items 83, 84 and 85.

Item 87
This item amends subsections 29A(1) and (4). The effect of this item is to prohibit the removal from an overseas vessel or installation that is at a port of other place in Christmas Island of an animal that has been killed or has died on the vessel or installation or of anything that has been exposed to that animal without permission. In addition, the item makes it an offence to remove such and an animal or thing without permission. This amendment in respect of Christmas Island parallels the arrangements that apply in relation to Australia and the Cocos Islands.

Item 88
This item repeals the definition of overseas vessel in subsection 29A(5) and substitutes a new one. This amendment is consequential on the extension of the Act to Christmas Island and the clarification of the definition of a Special Quarantine Zone in item 12.

Item 89
This item amends subsection 29B(1). The effect of this item is to empower the Director of Quarantine to give to a master of a vessel or installation referred to in subsection 29B(2) that is at a port or other place in Christmas Islands directions about animals on the vessel or installation. This item provides the Director with the same power in respect of animals on vessels or installations at a port of other place in Christmas Islands that he has in respect of vessels or installations in Australia and the Cocos Islands.

Item 90
This item amends subsection 29B(2). The effect of this item is to clarify the types of vessels or installations in respect of which the Director of Quarantine may give a direction for the purposes of subsection 29B(1) in relation to Australia and the Cocos Islands and to provide for an equivalent provision in relation to Christmas Island.

Item 91
This item continues in force any direction given by a Director of Quarantine under section 29B of the Quarantine Act 1908 that was in force immediately before the commencement of items 89 and 90.

Item 92
This item amends subsection 32A(1). The effect of this item is to empower the Director of Quarantine to direct the master of a vessel not to enter a port in Christmas Island. This item provides the Director of Quarantine with the same power in respect of Christmas Island that he has in respect of ports in Australia and in the Cocos Islands.

Item 93
This item amends paragraph 33(1A)(a). The effect of this item is to require a quarantine officer to grant pratique to an overseas vessel at or about to arrive at a place in Christmas Island other than a port declared to be a first Christmas Island port of entry in the circumstances specified in subsection 33(1A). This item imposes the same obligation on a quarantine officer in respect of Christmas Island that is imposed in respect of Australia and the Cocos Islands.

Item 94
This item repeals paragraphs 33(4)(aa) to (g) and substitutes a new paragraphs 33(4)(a) to (g). This item allows for pratique to have effect in relation to places, ports and landing places in Christmas Island in the same way as it has effect in Australia and the Cocos Islands. In addition, this item overcomes some anomalies in the repealed provision. First, the repealed paragraphs allowed a grant of pratique to have effect in all ports and landing places in respect of part of Australia but not in respect of part of the Cocos Islands. Second, the repealed paragraphs did not allow a grant of pratique to have effect in all places in respect of part of Australia or part of the Cocos Islands. The new paragraphs (e) and (f) overcome these anomalies.

Item 95

This item continues in force a pratique granted under section 33 of the Act that was in force immediately before the commencement of items 93 and 94.

Item 96
This item amends subsection 35(1AA). The effect of this item is to provide a quarantine officer with the same power to order goods into quarantine in respect of Christmas Island that he/she has in respect of the Cocos Islands.

Item 97
This item amends subsection 35(2). The effect of this item is to impose the same obligation on a quarantine officer to order into quarantine a vessel that has arrived in Christmas Island that he/she has in respect of a vessel that has arrived in the Cocos Islands.

Item 98
This item amends section 39. The effect of this item is to extend the meaning of the term "appointed quarantine station" in subsection 39(1) to include a reference to the appointed place in Christmas Island.

Item 99
This item amends subsections 44A(2), (3) and (4). The effect of this item is to place the same controls over the removal of goods from vessels in Christmas Island that apply to the removal of goods from vessels in Australia and the Cocos Islands.

Items 100 and 101
These items amend subsections 44B(1) and (5). Section 44B places controls over cargo landed in Australia and the Cocos Islands by creating offences for dealing with the cargo without permission or in contravention of a condition of a permission. The effect of these items is to apply section 44B to cargo landed in Christmas Island.

Item 102
This item inserts a paragraph in subsection 52(2). The effect of this item is to specify the circumstances in which a quarantine officer may permit an animal imported into Christmas Island to be delivered to the importer of the animal. This item provides a quarantine officer with the same powers in relation to animals imported into Christmas Island that he/she has in respect of animals imported into the Cocos Islands.

Item 103
This item amends subparagraph 55A(2)(b)(ib). The effect of this item is to clarify that section 55A applies to vessels travelling to a place in Australia from or through a Special Quarantine Zone declared in respect of Australia and to a place in the Cocos Islands from or through a Special Quarantine Zone declared in respect of the Cocos Islands. The item also extends the application of section 55A to vessels travelling to a place in Christmas Island from or through a Special Quarantine Zone declared in respect of Christmas Island.

Item 104
This item amends paragraph 55A(2)(b). The effect of this item is to apply the section to a Christmas Island vessel subject to quarantine in the same way as it applies to an Australian vessel subject to quarantine and a Cocos Island vessel subject to quarantine.

Item 105

This item makes a stylistic change to subsection 59(2).

Item 106
This item amends subsection 59(2). The effect of this item is to empower the Governor-General to make directions for the purposes of subsection 59(2) in respect of any vessel trading exclusively between ports in Christmas Island. This item provides the Governor-General with the same power in respect of vessels trading exclusively between ports in Christmas Island that he has in respect of vessels trading exclusively between ports in Australia or in the Cocos Islands.

Item 107
This item makes a stylistic change to subsection 59(2).

Item 108
This item amends subsection 59(2). The effect of this item is to empower the Governor-General to make directions for the purposes of subsection 59(2) in respect of any vessel trading exclusively between Australia and Christmas Island or between the Cocos Islands and Christmas Island. This item provides the Governor-General with the same power in respect of vessels trading exclusively between these ports that he has in respect of vessels trading exclusively between Australia and the Cocos Islands.

Item 109
This item amends the definition of infected goods in subsection 66AA(5). The effect of this item is to include, in the definition of infected goods, goods that have been imported into Christmas Island or brought into, or landed at, any port or other place in Christmas Island in contravention of the Act.

Item 110
This item amends the definition of infected goods in subsection 66AA(5). The effect of this item is to include, in the definition of infected goods, goods that have been removed in contravention of the Act between parts of Christmas Island, between Christmas Island and Australia or between Christmas Island and the Cocos Islands.

Items 111 and 112
These items amend subsection 66AB(3). The effect of these items is to provide a quarantine officer with powers to examine domestic animals on premises on Christmas Island. These items provide a quarantine officer with the same powers that he/she has in relation to the examination of domestic animals on premises on the Cocos Islands.

Item 113
This item amends subparagraphs 66AC(2)(b)(ii) and (4)(a)(iii). The effect of this item is to empower a magistrate to issue a warrant for monitoring purposes to find out in respect of premises in Christmas Island - whether any domestic animals are on the premises. This item provides the magistrate with the same power that he/she has in respect of the Cocos Islands. In addition, the item specifies what the warrant must authorise in relation to premises in Christmas Island to mirror the requirements in relation to premises in the Cocos Islands.

Item 114
This item extends the offence provision for illegal importations to Christmas Island. The effect of this item is to apply the offence provision to a person who illegally imports or introduces into, or brings a thing into any port or other place in Christmas Island.

Item 115
This item makes a machinery amendment as a consequence of item 116.

Item 116
This item extends the offence provision for illegal removals to Christmas Island. The effect of this item is to apply the offence provision to a person who illegally removes a thing within Christmas Island or between Christmas Island and the Cocos Islands or between Christmas Island and Australia.

Item 117
This item extends section 67A to Christmas Island. The effect of this item is to make it an offence for the master or owner of a vessel to bring, or permit to be brought, in the vessel, any animal into any port or place in Christmas Island in contravention of the Act, regulations or proclamation under the Act.

Items 118 to 121
These items extend section 68 to Christmas Island. Section 68 deals with the effect of unlawful importations and removals. These items apply section 68 to Christmas Island in the same way as section 68 applies to Australia and the Cocos Islands.

Item 122
This item amends section 68A. The effect of this item is to allow a quarantine officer to destroy an animal that has been brought into a port of place in Christmas Island in certain circumstances. The item provides a quarantine officer with the same power that he/she has in relation to Australia and the Cocos Islands.

Items 123 to 125
These items extend section 69A to Christmas Island. Section 69A deals with compensation for destroyed goods. The effect of these items is to apply section 68 to Christmas Island in the same way as the section applies to Australia and the Cocos Islands.

Item 126

This item extends sections 70 and 70C to Christmas Island. The effect of this item is to apply these sections to Christmas Island in the same way as the sections apply to Australia and the Cocos Islands.

Items 127 to 129
These items extend section 75A to Christmas Island. The effect of these items is to apply section 75A to Christmas Island in the same way as the section applies to Australia and the Cocos Islands.

Item 130
This item extends section 75B to empower an approved person to destroy any animal on board a prescribed overseas vessel in Christmas Island in the circumstances set out in that section. The effect of this item is to provide an approved person with the same power that he/she has in relation to a prescribed vessel in Australia or the Cocos Islands.

Item 131
This item extends section 78A to a Christmas Island vessel. The effect of this item is to apply section 78A to a Christmas Island vessel in the same way as it applies to an Australian vessel and a Cocos Islands vessel.

Item 132
This item amends section 86E. The effect of this item is to enable a determination to be made to require that fees be paid in relation to the doing of anything in connection with the management and maintenance of animals at a quarantine station in Christmas Island. The item provides the Minister with the same power in relation to Christmas Island that he has in relation to Australia and the Cocos Islands.

Items 133 to 142
These items extend the regulation making power to Christmas Island. The effect of these items is to provide the Governor-General with the same powers to make regulations in respect of Christmas Island that he has in relation to the Cocos Islands.

Item 143
This item clarifies that the Act takes precedence over any conflicting ordinance of Christmas Island.

Part 2 - Quarantine expenses and fees

Item 144
This item amends section 59A by removing the word "agent" from the persons identified as having a direct liability to pay the costs imposed by this section. The rationale for this amendment and the amendment in item 145 is to prevent the provision from being interpreted as imposing a separate and independent obligation upon agents to reimburse the Commonwealth in respect of a service provided by the Commonwealth which in reality benefits a person other than the agent.

Item 145
This item adds a subsection (2) to section 59A consequential to the amendment in item 144. The effect of this item is to impose an obligation on an agent to pay the Commonwealth, on behalf of the master or owner, the expenses connected with services provided under section 59A. This item also makes the agents liability subject to subsection 63AA(1) (see item 149) and clarifies when the agent's liability arises.

Item 146
This item repeals section 61. Section 61 replicates the obligation imposed under paragraph 59(1)( c) and subsection 59(2) of the Act and therefore no longer serves any useful purpose.

Item 147
This item amends section 63 by removing the word "agents" from the persons identified as having a direct liability to pay the costs imposed by this section. The rationale for this amendment and the amendment in item 135E is to prevent the provision from being interpreted as imposing a separate and independent obligation upon agents to pay the Commonwealth in respect of the remuneration of a medical officer when the medical officer's services in reality benefit a person other than the agent.

Item 148
This item adds a subsection (2) to section 63 consequential to the amendment in item 135D. The effect of this item is to impose an obligation on an agent to pay the Commonwealth, on behalf of the owner, the remuneration for the services of a medical officer. This item also makes the agents liability subject to subsection 63AA(1) and clarifies when the agent's liability arises.

Item 149
This item inserts section 63AA. This item specifies when the liability of an agent is discharged under sections 59A and 63. The item also confirms that the agent's liability to pay on behalf of a master or owner is not affected by the fact that at the time the payment is required to be made, the agent has not recovered the equivalent amount from the master or owner. However, when this occurs, this item provides the agent with a right to recover the amount from the master or owner as a debt due to the agent. This statutory right is in addition to the right of an agent under general agency law to be indemnified by the principal in relation to costs incurred in carrying out authorised transactions within the express, implied or usual authority of the agent. This statutory right has been inserted to avoid the possibility of s.51(xxxi) of the Constitution applying to the requirement for agents to pay the amount of a fee even where it has not been collected from the principal.

Item 150
This item amends section 64 to impose a liability on an agent of the importer or owner of animals, plants or other goods to pay for the expenses connected with the services described in that section and clarifies when the agent's liability arises. The item also specifies when the liability of an agent is discharged under section 64, confirms that the agent's liability to pay on behalf of a master or owner is not affected by the fact that at the time the payment is required to be made, the agent has not recovered the equivalent amount from the master or owner and provides the agent with a right to recover the amount from the master or owner as a debt due to the agent. This statutory right is in addition to the right of an agent under general agency law to be indemnified by the principal in relation to costs incurred in carrying out authorised transactions within the express, implied or usual authority of the agent. This statutory right has been inserted to avoid the possibility of s.51(xxxi) of the Constitution applying to the requirement for agents to pay the amount of a fee even where it has not been collected from the principal.

Items 151 to 153
These items make machinery amendments to section 64 as a consequence of the amendments described in item 150.

Item 154
This item repeals subsection 86E(2A) and substitutes a new subsection (2A). The effect of this item is to support the withholding of services until payment is received where, before the service is provided, the fee can be calculated and the recipient of the service (or agent) is advised of that fee.

Item 155

This item clarifies that a late payment fee may be a fee that is a percentage per annum of the basic fee worked out on a daily basis for each day after the payment day on which the basic fee remains unpaid.

Part 3 – Performance of quarantine officer functions


Item 156
This item inserts a definition of APS Code of Conduct. This term is used in the new subsection 9B(1).

Item 157

This item inserts a definition of company. New subsections 11AA(2) and 11AB(2) empower the Director of Human Quarantine and the Director of Animal and Plant Quarantine to enter into contracts with companies.

Item 158

This item inserts a definition of contract pool person. This term is used in the amendments made by items 162,164 and 168.

Item 159
This item replaces the definition of quarantine officer with a new definition. The effect of this item is to provide a more precise explanation of what the term means.

Item 160

This item inserts a definition of the term State officer. This term is used in the amendments made by items 162, 163,164,165, 166 and 169.

Item 161

This item inserts section 5AA. A quarantine officer is required to be appointed as a quarantine officer (plants), (animals) and/or (human). This item clarifies that where a provision refers to a quarantine officer but does not specify whether the officer is to be a quarantine officer (plants), (animals) or (human) then the type of quarantine officer referred to is to be gleaned from the context.

Item 162

This item clarifies that a person who is an APS employee or a State officer may be appointed as a quarantine officer for human quarantine. The term APS employee is defined in section 17AA of the Acts Interpretation Act 1901. In addition, the item extends the range of persons who may be appointed as a quarantine officer for human quarantine by including a contract pool person.

Items 163 and 165
These items clarify that a State officer may be appointed to be a Chief Quarantine Officer for the purposes of sections 9 and 9AA of the Act. Sections 9 and 9AA empower the Minister to appoint Chief Quarantine Officers (Human Quarantine), Chief Quarantine Officers (Animals) and Chief Quarantine Officers (Plants).

Item 164

This item clarifies that a person who is an APS employee or a State officer may be appointed as a quarantine officer for animal and/or plant quarantine. The term APS employee is defined in section 17AA of the Acts Interpretation Act 1901. In addition, the item extends the range of persons who may be appointed as a quarantine officer for animal and/or plant quarantine by including a contract pool person.

Item 166

This item clarifies that a person who is an APS employee or a State officer may be appointed as a temporary quarantine officer.

Item 167

This item saves the appointment of a quarantine officer under subsections 9(2), 9AA(3) and 9A(1) that was in force immediately before the commencement of items 162,164 and 166.

Item 168
This item inserts sections 9B and 9C. Section 9B specifies the two pre-conditions that the Director of Quarantine must be satisfied about before appointing a contract pool person as a quarantine officer; states that a contract pool person who is appointed as a quarantine officer is not an APS employee and imposes a duty of non-disclosure on a contract pool person who has been appointed as a quarantine officer for the purposes of section 70 of the Crimes Act 1914. Offences under the Act applicable to quarantine officers apply to a contract pool person who is appointed as a quarantine officer. Section 9C describes the circumstances that will trigger automatic revocation of the appointment of a contract pool person and when the revocation will take effect.

Subsection 9C(3) states that the section does not limit the operation of any other provisions in the Act or of subsections 33(3) and (4) of the Acts Interpretation Act 1901 in respect of the appointment of a contract pool person as a quarantine officer. The effect of this subsection is to ensure that the powers in the Act and in the Acts Interpretation Act 1901 continue to apply in relation to powers to repeal, rescind, revoke, amend or vary instruments of appointment.


Item 169

This item amends section 11. Section 11 empowers the Governor-General and the Prime Minister to enter into arrangements with the States, the Administrator of the Northern Territory and of the Australian Capital Territory respectively for the carrying out of matters under the Act. The effect of this item is to clarify that section 11 arrangements include arrangements for the exercise of functions and powers by State officers who are appointed as quarantine officers or Chief Quarantine Officer.

Item 170

This item adds a note to the end of section 11. The purpose of this note is to highlight that arrangements for the exercise of Commonwealth functions and powers by State officers may also be made under section 71 of the Public Service Act 1999.

Item 171

This item inserts sections 11AA and 11AB. These sections empower the Director of Human Quarantine and the Director of Animal and Plant Quarantine to enter into a contract with an individual for that individual to be included in the contract pool. The sections also provide that the Director of Human Quarantine and the Director of Animal and Plant Quarantine may enter into a contract with a company or body corporate established for a public purpose under a law of the Commonwealth, of a State or a Territory for certain employees to be included in the contract pool. A Director of Quarantine may appoint persons from this contract pool, provided they meet the pre-conditions in subsection 9B(1), to be quarantine officers under subsections 9(2) and 9AA(3) of the Act.

Items 172 to 178
These items qualify the term “quarantine officer” in sections 66AC, 66AE and 66AF of the Act. Sections 66AC and 66AF empower a quarantine officer to apply for monitoring and offence-related warrants. Section 66AE empowers a quarantine officer to enter certain premises if he/she has reasonable grounds for suspecting that there may be particular evidential material on those premises. The effect of these items is to exclude persons who have been appointed as quarantine officers from the contract pool from the exercise of these powers.
SCHEDULE 2 - Amendment of the Imported Food Control Act 1992.

The proposed amendments are as follows:

Item 1

This item inserts a new section and defines the objective of the Act in line with the recommendation set out in report of the National Competition Policy Review of the Act.

Item 2

This item inserts a definition of a compliance agreement and clarifies that a reference made to a compliance agreement in the Act is a reference to a compliance agreement entered into under section 35A.

Item 3

This item inserts a definition of label into the Act that is consistent with the definition of label set out in the Food Standards Code.

Item 4

This item inserts a definition of package into the Act that is consistent with the definition of package set out in the Food Standards Code.

Item 5

This item amends the importation offence by allowing for the importation of food that does not meet the applicable standard in relation to labelling. This amendment will allow importers to import food that is not labelled in accordance with the requirements currently set out in the Food Standards Code, and correct the labelling deficiency prior to the importer selling the product. A new labelling offence, provided for by proposed section 8A, will ensure that the food is labelled in accordance with the applicable standard when the food is sold by the importer.

Item 6

This item introduces a new labelling offence with a maximum penalty of up to ten years imprisonment. It will apply to a person that deals with imported food, other than to alter or replace the label, if that food does not meet the applicable standard in relation to labelling. This offence will help to ensure that all imported food is correctly labelled when sold.

Item 7
This item repeals existing subsections 9(1) and 9(1A) and substitutes new subsections 9(1), 9(1A) and 9(1B) setting out revised dealing offences.
New subsection 9(1) only permits the dealing of examinable food for which a food control certificate has not been issued if an authorised officer has given approval to deal with the food, or the food is dealt with in accordance with a compliance agreement. This amendment will allow a person that has entered into a compliance agreement to deal with that food, following its importation, in the manner agreed and set out in the compliance agreement.

New subsection 9(1A) only permits the dealing of examinable food for which a food control certificate has been issued, but a food inspection advice has not been issued, if an authorised officer has given approval to deal with the food, or the food is dealt with in accordance with a compliance agreement. This amendment will allow a person that has entered into a compliance agreement to undertake functions usually carried out by AQIS officers. This will include the inspection and testing of imported food, involving taking samples for analysis and delivering the samples to approved laboratories. The person will not be able to sell the food until an authorised officer has given permission to do so.
New subsection 9(1B) will allow an importer, regardless of whether they have entered into a compliance agreement, to correct labelling deficiencies of examinable food prior to inspection of that food by AQIS officers.

Item 8
This item repeals existing paragraph 16(2)(i) and substitutes a new paragraph 16(2)(i). The item redrafts existing paragraph 16(2)(i) but also inserts a new provision that enables regulations to be made permitting a variation in the incidence of inspection or inspection and analysis of food where a compliance agreement exists in respect of that food.

Certain quality assurance arrangements are already permitted under the Act with respect to food produced overseas, and the Act permits the making of regulations to vary the incidence of inspection, or inspection and analysis in such cases. This amendment will extend this authority to apply where a compliance agreement exists. This will enable an importer that has a quality assurance arrangement in place that demonstrates that food imported by that company meets Australian food standards, and that quality assurance arrangement is regulated under a compliance agreement, to have their product inspected at a reduced rate under the Food Inspection Scheme. Such importers will nevertheless be regularly audited to ensure that the requirements set out in their compliance agreement are being met. In this way a compliance agreement can be used as the mechanism to ensure that an importer’s quality assurance arrangement delivers demonstrated compliance with the Food Standards Code as well as consistently high food safety outcomes.

Item 9
This item amends subsection 23(1) by extending the power to authorise an authorised officer to enter any premise and exercise monitoring powers for the purpose of ascertaining whether the requirements of a compliance agreement are being complied with. An authorised officer must not enter any premise unless the occupier has consented to that entry.

Item 10
This item amends subsection 24(2) to allow a magistrate to issue a warrant, in accordance with the Act, to access a premise for the purpose of finding out whether the requirements of a compliance agreement are being complied with. This will allow an authorised officer to apply to a magistrate for a monitoring warrant where an occupier has not given permission for entry in accordance with subsection 23(2).

Item 11
This item insets a new section that provides that the Secretary may, on behalf of the Commonwealth, enter into a compliance agreement in connection with the application of particular procedures in relation to food, the keeping of records in respect of those procedures and the supervision, monitoring and testing of a persons compliance with those procedures.

The use of compliance agreements will form an alternate mechanism to the current system of inspection of imported food. Currently AQIS officers arrange for the inspection and testing of imported food, including taking samples for analysis and delivering them to approved laboratories. Food is inspected to ensure that it meets Australian food standards and the requirements of public health and safety. Under a compliance agreement, a person will be able to sample, and arrange for testing and analysis of food in accordance with the arrangements specified in that agreement and in accordance with the Food Inspection Scheme. Alternatively a person may enter into a compliance agreement with respect to quality assurance arrangements that an importer uses to ensure compliance of imported food with Australian Food Standards. AQIS will audit against compliance with compliance agreements.

To ensure that public health is not compromised, subsection 35A (3) and 35A(4) allow action to be taken, which may supplement or override the agreement should additional food safety safeguards be required. Subsection 35(A) provides that an authorised officer may allow food to which a compliance agreement applies to be dealt with on the basis of an assurance provided by a person authorised under the agreement that all the requirements of the compliance agreement have been complied with.

Subsections 35A(6), 35(A)(7), 35(A)(8) and 35(A)(9) provide the regulatory framework to ensure that public health is not compromised. The non-Commonwealth party is responsible for ensuring compliance with the requirements set out in the agreement.

Item 12
This item extends the definition of chargeable service to include the entering into a compliance agreement.

Item 13
This item corrects a drafting error.

SCHEDULE 3 - Amendments to the Pig Industry Act 2001 and the Wool Services Privatisation Act 2000

Pig Industry Act 2001

Item 1 – At the end of section 10

This item inserts new subsections 10, 11, 12, 13 and 14 to the Pig Industry Act 2001 (the Act) at the end of Division 2 - section 10 "appropriation for payments under funding contract".
The new subsection 10 allows R&D expenditure that is not matched by the Commonwealth in a financial year because of the limits placed in subsection 6 or paragraph 8(a) of section 10 of the Act, and referred to as the “unmatched R&D excess", to be carried forward into later financial years.

The limitation in section 6 provides that the cumulative total of all matching payments made by the Commonwealth to the research and development body since its inception must not be greater than the cumulative total of that industry’s research and development levies received by the Commonwealth. The limitation in section 8(a) provides that, in any given financial year, the matching contributions are not to exceed 0.5% of the amount determined to be the gross value of production of the industry for that financial year.

The definition of the term ‘unmatched R&D excess’ for a financial year is provided for in the new subsection 11. This definition describes this excess in the form of an equation that allows for the calculation of the amount of eligible expenditure that can be “rolled over” to the subsequent financial year.

The new subsections 12 and 13 provide for unmatched eligible R&D expenditure incurred by the Pig Research and Development Corporation under the relevant Research and Development Act to be included in the amount of unmatched eligible R&D expenditure incurred by Australian Pork Limited. This will allow the unmatched eligible expenditure of the Pig Research and Development Corporation, which was abolished on 1 July 2001 with the introduction of the new pig industry arrangements under the Pig Industry Act 2001, to attract Commonwealth matching.

The new subsection 14 defines the term "Corporation" used in subsections 12 and 13 as the Pig Research and Development Corporation, the term "qualifying R&D expenditure" as eligible expenditure incurred by the Pig Research and Development Corporation, and the "Research and Development Act" as the Primary Industries and Energy Research and Development Act 1989.

Wool Services Privatisation Act 2001

Item 2 – After subsection 31(8)

This item inserts two new subsections, 8A and 8B to section 31 of the Wool Services Privatisation Act 2000 (the Act) dealing with the funding contract, or statutory funding agreement, between the Commonwealth and Australian Wool Services Limited.

Provisions in the Act (subsections 31(6) and 31(7)) place limits on the Commonwealth’s matching contribution in any given year. The limitation in subsection 31(6) provides that the cumulative total of all matching payments made by the Commonwealth to the research and development body since its inception is not to exceed the cumulative total amount of wool levy received by the Commonwealth. The limitation in subsection 31(7) provides, that in any given financial year, the matching contributions are not to exceed 0.5% of the gross value of production for that industry for that financial year.

Subsection 8A provides for unmatched eligible research and R&D expenditure, referred to as an “unmatched R&D excess” for a financial year, to be carried forward to later financial years. In practice, this allows for a roll-over of eligible expenditure from one financial year to the next to allow the maximum amount of matching contributions, as specified in the statutory funding agreement, to be claimed. Subsection 8A provides for this arrangement to commence in respect of R&D expenditure incurred in the 2001/02 financial year.

The definition of the term “unmatched R&D excess” for a financial year is provided for in subsection 8B. This definition describes this excess in the form of an equation that allows for the calculation of the amount of eligible expenditure that can be “rolled over” to the subsequent financial year.

SCHEDULE 4 - Amendment to the Quarantine Amendment (Health) Act 2003

Item 1
This item makes a minor and technical amendment to subsection 2(1) (table item 3) of the Quarantine Amendment (Health) Act 20003. The amendment removes an incorrect reference to the Act title of this Bill and replaces it with the correct title. The correct title is the “Agriculture, Fisheries and Forestry Legislation Amendment Act (No. 1) 2002”.

 


[Index] [Search] [Download] [Bill] [Help]