Only collection agents know who Government, PIBs and LRBs Levy register available to the levy payers are cannot communicate with all Government, LRBs and PIBs for levy payers levy and other agreed (LRB Privacy Act limitations accountability, biosecurity) They also have other reasons as purposes to why the need to communicate which may or may not be Tie it to the tax system like ATO acceptable or possible (e.g. and ABNs/BAS system etc. biosecurity responses) Issue: Fiscal in-balance and ability to re-allocate disbursed funds within and between LRBs and functions Levy funds may be insufficient Once collected a levy can only Ensure each industry levy or surplus to requirements after be used for the purpose for function has a financial buffer disbursements which it was collected (e.g. (reserves or line of credit) using R&D funds for marketing LRBs cannot readily reallocate Establish process where or transferring AHA/PHA funds surplus funds to other functions industry-government-LRBs can to R&D or NRS funds to AHA) cost effectively adjust This is especially problematic in disbursements. This should not dynamic industries and when an require Parliamentary approval industry has large reserves in provided the overall levy burden the ‘wrong’ category and has to is not increased. raise a separate levy to The disbursement allocation undertake the work needed to should be aligned with LRB benefit the industry. planning cycles (e.g. 3-5 years) Also issues to do with funds that to maintain a strategic focus have already been committed to a specific project/program that need to be spent on that commitment even if industry views change Issue: Cross jurisdictional issues (other levies) Other Commonwealth and State Where aligned with LRBs Integrate as part of broader levies contribute to the functions improve coordinated delivery reform to create more efficient provided by the LRBs levy (and overall tax) system May limit transition to more and effectiveness of functions This includes fisheries levies effective levies and where not across industry and all levels of which are eligible for matching aligned create potential for Government R&D funding through FRDC mismanagement of funds e.g. duplication of research projects Contribute to complexity of how functions are funded ACIL F.4 ON REVIEW Cause Consequence Solution options Issue: Variable review needs
Only collection agents know who the levy payers are Privacy Act limitations Government, PIBs and LRBs cannot communicate with all levy payers They also have other reasons as to why the need to communicate which may or may not be acceptable or possible (e.g. biosecurity responses) Levy register available to Government, LRBs and PIBs for levy and other agreed (LRB accountability, biosecurity) purposes Tie it to the tax system like ATO and ABNs/BAS system etc. Issue: Fiscal in-balance and ability to re-allocate disbursed funds within and between LRBs and functions Levy funds may be insufficient or surplus to requirements after disbursements LRBs cannot readily reallocate surplus funds to other functions Once collected a levy can only be used for the purpose for which it was collected (e.g. using R&D funds for marketing or transferring AHA/PHA funds to R&D or NRS funds to AHA) This is especially problematic in dynamic industries and when an industry has large reserves in the ‘wrong’ category and has to raise a separate levy to undertake the work needed to benefit the industry. Also issues to do with funds that have already been committed to a specific project/program that need to be spent on that commitment even if industry views change Ensure each industry levy function has a financial buffer (reserves or line of credit) Establish process where industry-government-LRBs can cost effectively adjust disbursements. This should not require Parliamentary approval provided the overall levy burden is not increased. The disbursement allocation should be aligned with LRB planning cycles (e.g. 3-5 years) to maintain a strategic focus Issue: Cross jurisdictional issues (other levies) Other Commonwealth and State levies contribute to the functions provided by the LRBs This includes fisheries levies which are eligible for matching R&D funding through FRDC Where aligned with LRBs improve coordinated delivery May limit transition to more effective levies and where not aligned create potential for mismanagement of funds e.g. duplication of research projects Contribute to complexity of how functions are funded Integrate as part of broader reform to create more efficient levy (and overall tax) system and effectiveness of functions across industry and all levels of Government ACIL F.4 ON REVIEW Cause Consequence Solution options Issue: Variable review needs