WARNING:
This Digest was prepared for debate. It reflects the legislation as
introduced and does not canvass subsequent amendments. This Digest
does not have any official legal status. Other sources should be
consulted to determine the subsequent official status of the
Bill.
CONTENTS
Australia New Zealand Food Authority Amendment Bill (No.
2) 1997
Date Introduced: 28 May 1997
House: Senate
Portfolio: Health and Family Services
Commencement: Royal Assent
This Bill is a companion Bill to the Australia New Zealand Food
Authority Amendment Bill 1996 now before the Parliament.
The purpose of this Bill (Australian New Zealand Food Authority
Amendment Bill (No. 2) 1997) is to amend the Australia New
Zealand Food Authority Act 1991 to streamline the assessment
process for variations to the Food Standards Code, to expand the
powers and functions of the Australia New Zealand Food Authority
(ANZFA), and to expand the regulations making power to allow
discounts, imposition of penalties and refunds for fee for services
payments to ANZFA.
Background
The following Background is drawn from the companion Bills
Digest No. 71 1996-97, for the Australia New Zealand Food
Authority Amendment Bill 1996.As noted above, the companion Bill
was introduced on 4 December 1996 in the House of Representatives
and is currently before the Senate.Both Bills were referred to the
Senate Community Affairs Legislation Committee on 29 May 1997.The
Committee is due to report back to the Senate on 16 June 1997.
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The Principal Act amended by this Bill was originally the
National Food Authority Act 1991.The main goal of the
Authority is to provide a national focus within Australia for
cooperation between governments, industry and the community in
developing a safe and wholesome food supply.The Authority operates
as a specialist agency to ensure that there is uniformity in food
standards across Australia.Under an Agreement entered into by the
Commonwealth, the States and the Territories (in 1991), the States
and Territories accept without variation, food standards
recommended by the Authority and which the National Foods Standards
Council has adopted.(1)
In late 1995, Parliament passed amending legislation to
transform the National Food Authority into the Australia New
Zealand Food Authority (ANSFA). (2)The legislation enabled New
Zealand to be represented on the Board of the Authority as well as
membership of the Australia New Zealand Food Standards Council.This
initiative introduced a joint food standards setting system for
Australia and New Zealand.It also advances the closer cooperation
and harmonisation of food standards and consumer information on the
ingredients in food between the two countries. Source: Bills
Digest No. 71 1996-97, Australia New Zealand Food Authority
Amendment Bill 1996.
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This Bill makes further minor amendments to the Australia
New Zealand Food Authority Act 1991 (Principal Act) to:
- streamline the assessment process for variations to the Food
Standards Code
- expand the powers and functions of ANZFA
- expand the regulations making power to enable discounts,
penalties and refunds to be made for fee for services provided by
the ANZFA to industry.
Reader's Note:The proposed amendments are included in
Schedule 1 to the Bill.The terminology to be used therefore is
'Item' in the Schedule in lieu of 'Clause' in the
Bill.
Item 1 in the Schedule expands the function of
ANZFA to engage in the development of food safety
education initiatives to food education matters generally (but
still in conjunction with the States and Territories).
Items 2, 3 and 4 expand ANZFA's functions and
powers by providing ANZFA with authority to engage in commercial
activities to the extent of using its expertise, equipment and
facilities, provided that ANZFA's main public functions are not
impeded.ANZFA will be able to form companies, invest in companies
and form partnerships.
Items 5 to 8 deal with applications by industry
to ANZFA for the development and variation of food standards.The
proposed new provisions reduce the existing emphasis of the
form of applications as specified by ANZFA, to a
requirement that the application simply contain, or be accompanied
by, information in support of the application.Fees are charged for
applications and a proposed new section 12A will allow withdrawal
of an application at any time before ANZFA makes a recommendation
to its Council of Commonwealth, State, Territory and New Zealand
Ministers i.e. the Australia New Zealand Foods Standards Council
(the Council).
Items 9, 10, 13 and 14 lessen
the burden under the existing legislation on ANZFA to gazette a
full statement of reasons for the rejection or abandonment of an
application for development or variation of a food standard.These
statements are technical and lengthy and the proposed amendments
streamline the process to a provision on how a copy of the
statement of reasons may be obtained.
Digest Comment:The removal of a public gazettal may
mean that, while any person may seek information on how to obtain a
copy of the statement of reasons, the legal standing to actually
apply for a statement may, however, be confined to those who can
demonstrate that they are aggrieved by the rejection or abandonment
of the application.There is also the issue of what costs might be
applicable to obtaining a statement of reasons.
Items 11, 12, 15 and 16
tighten the time period in which the Council must make its decision
on a recommendation from ANZFA.The proposed new time limit is 6
months from the date that the recommendation was made by ANZFA to
the Council, unless it is not practicable to act within the time
limit.Requests by the Council to ANZFA for more information
concerning its recommendation are not included within the time
limit.
Item 21 introduces proposed new subsections (6)
and (7) to section 35 of the existing Principal Act to exclude from
the general 12 months time limit on ANZFA to process applications,
any extension of time caused by an appeal to the Administrative
Appeals Tribunal.
Items 23 and 29 authorise
ANZFA to utilise assessments, technical information or, where
applicable, the evidence obtained from public inquiries which is
supplied by a government agency at the Commonwealth, New Zealand,
State or Territory level.This enables ANZFA to fast-track
applications where a suitable resource of reliable information has
already been prepared.This avoids unnecessary duplication by ANZFA
in processing of applications.
Digest Comment:It is worth considering whether there is
scope to further extend this flexibility to include material
compiled by overseas governments (i.e. other than New Zealand), or
specified research organisations in the private sector.
Items 25 and 26 enable ANZFA
to recruit and employ persons other than by appointment under the
Public Service Act 1922.
Digest Comment: This provision could mean that those
employed by ANZFA who perform essentially the same duties may be on
different terms and conditions of employment.
Items 30 and 31 are key
provisions in the Bill.They must be read in conjunction with Item 8
in the companion Bill,the Australia New Zealand Food Authority
Amendment Bill 1996.The companion Bill repealed and inserted a new
section 66 into the Principal Act.The proposed new section 66
broadens the power for regulations to impose charges for services
and facilities provided by ANZFA.The companion Bill proposed that
remissions and refunds (proposed subsections 66(5) and 66(6)) would
be dealt with by Regulations.This Bill expands the types of fees to
include late payment penalties (generally at a rate of 20% per
year) and provides more precision as to what the Regulations are
intended to cover by way of discounts for early payment of fees, as
well as remissions and refunds.This Bill introduces those charges
by way of proposed new sections 66A to 66C, and, consequently, this
Bill repeals proposed subsections 66(5) and 66(6) in the companion
Bill.
This Bill follows relatively soon after the companion Bill which
is still before the Senate.In doing so, it makes minor repeals to a
proposed new section 66 in the companion Bill.On one view, this
could indicate hurried policy formulation when the first Bill was
approved for introduction.
In fairness, it may also indicate a consensus that ANZFA should
have scope for greater involvement in food matters, given some
unfortunate food contamination incidents in the summer period
1996-97.If this is the case, there may be a need to review the
basic policy which underpins a push for any increased fee recovery
from the industry.In short, (and acknowledging that responsibility
for safe food extends over other tiers of Government) it may be
timely to consider whether the greater public benefit is an
enhanced by ensuring that there is a strong publicly-funded
national body which is better resourced to carry out such important
functions. In other words, problems with food may also put heavy
burdens on victims and the health sector.The health sector is
unable to recover costs from the food industry.Increased costs on
the food industry for improved food standards may fall
disproportionately on selected sections in the industry and, in any
event, are usually passed on to the consumer.
Such considerations must, of course, also have regard to the
Constitutional limitations on the Commonwealth in terms of
legislatively trying to 'cover the field'.
- See Annual Report 1995-96, National Food Authority, Australian
Government Publishin
- Service, Canberra, 1996.
- National Food Authority Amendment Act 1995.
Brendan Bailey
11 June 1997
Bills Digest Service
Information and Research Services
This Digest does not have any official legal status. Other
sources should be consulted to determine whether the Bill has been
enacted and, if so, whether the subsequent Act reflects further
amendments.
IRS staff are available to discuss the paper's contents
with Senators and Members and their staff but not with members of
the public.
ISSN 1328-8091
© Commonwealth of Australia 1997
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Published by the Department of the Parliamentary Library,
1997.
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Last updated: 12 June 1997
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