Scrutiny of Acts and Regulations Committee

Discussion Paper No. 1 on the Operation of Section 85 of the Constitution Act 1975
Chapter Four - Adverse Reports by the Committee in 1993 and 1994
Part B

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4.11 Extracts from the Bills on which the Committee reported adversely in 1994. (No's 1 - 8)

(1) AUSTRALIAN GRAND PRIX BILL

"This Bill was introduced into the Legislative Assembly on 14 September 1994 by The Honourable Phil Gude MP on behalf of The Honourable Pat McNamara MP with The Honourable Marie Tehan MP.

The Committee held a Public Hearing on 26 September 1994.

The Committee heard evidence from the following witnesses: -

Mr Robert Richter QC appeared on behalf of the Victorian Council of Civil Liberties;
Mr Iain Stewart appeared on behalf of "Save Albert Park"
Mr Jack Hammond appeared on behalf of the Victorian Speed Boat Club(Inc);
Ms Susan Cohen and Mr Damian Murphy appeared on behalf of the Victorian Society of Labor Lawyers;

The Committee received written submissions or letters from the following:-

Mrs Shirley Scholes;
Australian Civil Liberties Union;
Mr Colin Crawford;
Mr W. Bradbury;
Mr Peter Logan;
Mr William H. Kyme;
Ms Elizabeth Grieb;
Lord Somers Camp and Power House;
Mr Gordon H. Macmillan;
Mr Frederick C. Shillabeer;
Mr Peter Arrowsmith;
Ms Jane Touzeau;
City of Port Phillip;

The Committee wishes to thank all those people who gave evidence and sent written submissions and letters.

Chairman's Note

In keeping with the practice of the Committee, the draft Alert Digest was sent to the Honourable Pat McNamara MP, the Minister for Tourism by facsimile on 29 September 1994. This practice has been adopted in order to ensure that the Committee's recommendations can be considered and responded to by the Minister before the tabling of the Alert Digest in the Parliament. The Committee has adopted the practice of including the Minister's responses and comments in the Alert Digest.

The Chairman received a letter by facsimile from the Minister dated 3 October 1994. Extracts of that letter are set out at paragraphs 8.7, 8.8, 8.9, 8.10, 8.12, 8.14, 8.16 and 8.19.

In response to the comments and suggestions made by the Committee, the Minister has indicated that House Amendments will be made in respect of Clauses 30 and 42 of the Bill. The Minister has also responded positively to the Committee's comments and suggestions in respect of Clauses 27, 38 and 49.

On behalf of the Committee the Chairman wishes to thank the Minister for his prompt, positive and thoughtful response.

The main purposes of the Bill are to establish the Australian Grand Prix Corporation and to facilitate the holding of the Annual Formula One Grand Prix at Albert Park.

Part 1

Clause 3 sets out the various definitions of the Act.

"Albert Park" means the land shown on the plan set out in Schedule 1.

"Committee of Management' means the Committee of Management of Albert Park appointed under the Crown Land (Reserves) Act 1978.

"Declared area" is the area declared under section 27 to be the declared area in respect of that year. Pursuant to section 27 the "declared" area is the area declared by the Minister "being part or all of Albert Park specified in the notice together with such other land (if any) surrounded by Albert Part". See 8.7 for further explanation of the effect of section 27 in relation to the "declared area".

'Race period" is the period declared under section 27 which effectively means that the Grand Prix is limited to one week in any one year.

Part 2 - Australian Grand Prix Corporation

Clause 7 establishes the Australian Grand Prix Corporation.

Clause 9 provides that the Corporation is subject to the direction and control of the Minister in the performance of its functions and exercise of its powers. The membership of the Corporation consists of between 5 and 9 members appointed by the Governor in Council. Clauses 11 and 12 provide for vacancies, resignations and acting appointments. Clause 13 provides for the disclosure of interests. Clauses 14 to 17 set out procedural formalities.

Clause 18 gives the chief executive officer or a delegate of the Corporation personal immunity for anything done or reasonably done in good faith. Clause 19 provides that the Corporation may appoint a person approved by the Minister as the chief executive officer of the Corporation.

Clause 20 sets out the functions of the Corporation. Clause 21 sets out the powers of the Corporation. The powers listed between (a) to (o) include the power to carry out works at Albert Park.

Clause 22 gives the Corporation the power to delegate any of its powers, in writing, to a member or to the chief executive officer of the Corporation. The Committee notes that this power of delegation is limited. The clause also gives the Corporation the power to delegate to any other person or body in writing, any power of the Corporation, with the approval of the Minister. The Committee notes that this power of delegation is not so limited but must be done so with the approval of the Minister.

Clause 23 requires the Corporation to pay all money received into a banking account. Clause 24 gives the Corporation the power to borrow and invest money.

The Business Plan

Clause 25 requires the Corporation to prepare a annual business plan and give a copy to the Minister and the Treasurer. The Plan must include a statement of corporate intent, information on accounting policies, financial statements and information on such other matters as the Minister and the Treasurer directs. The Corporation must consider any comments made by the Minister and the Treasurer and following consultation with the Minister must make any such changes as are agreed to within three months of submitting the Plan.

The Committee notes that as a Corporation, it is subject to the annual reporting requirements under the relevant Companies legislation.

Part 3 - Formula One Events

Clause 27 gives the Minister the power to "declare" that "other land (if any) surrounded by Albert Park" constitutes part of the area for the purposes of the Grand Prix provided the appropriate notice is inserted into the Government Gazette. Note that "Albert Park" is defined in clause 3 as the land shown hatched on the plan set out in Schedule 1. The Committee sought clarification from the Department of Arts, Sports and Tourism as to the meaning of "other land (if any) surrounded by Albert Park". The Committee's interpretation is that the "other land surrounded by Albert Park" refers to the small plain area of land shown on the hatched land near Albert Road in Schedule 1. The area is in fact Commonwealth land which is reserved for the army. The Minister may "declare" this area for the purposes of the Grand Prix by way of publication in the Government Gazette.

The Committee wrote to the Minister asking for confirmation of the above and that an explanation be given at the conclusion of the Second Reading Speech.

Works to be performed in the declared area are likely to include the erection of fences etc which are necessary to protect people from harm during the event. Other associated works may include road construction or diversion, the removal, relocation or planting of trees, installation of services, construction of other buildings or facilities whether of a permanent or temporary nature or demolition works or works altering the topography of Albert Park.

The Minister responded to the Committee in a letter dated 3 October 1994. The relevant extract is set out:

"I confirm that the declared area can only comprise part or all of Albert Park (which is defined in clause 3 to be the area shown hatched in Schedule 1) together with the Commonwealth land reserved for the Army wholly surrounded by the Park."

Makes rights, freedoms or obligations dependent upon insufficiently defined administrative powers - section 4D(a)(ii)

Makes rights, freedoms or obligations dependent upon non-reviewable administrative decisions - section 4D(a)(iii)

Clause 28 provides that the Corporation must not undertake any works without a licence. The licence is granted by the Committee of Management on such terms and conditions as are specified. The Committee of Management may grant a licence within 7 days. In the event of a dispute, the Minister administering the Act and the Minister administering the Crown Land (Reserves) Act 1978 may grant the licence on such terms and conditions as are specified.

The Committee notes that the Committee of Management is appointed by the Governor in Council pursuant to section 14 of the Crown Land (Reserves) Act 1978. The members of the Corporation are appointed by the Governor in Council pursuant to section 10 of this Bill. The Ministers adjudicate between the two Government bodies in the event of a dispute.

The Committee is of the view that clause 28 may contravene sections 4D(a)(ii) and (iii) of the Parliamentary Committees Act 1968 in that the Ministers' decisions are non-reviewable and there is no independent framework for the granting of any licences. The Committee notes that pursuant to section 15 of the Crown Land (Reserves) Act, the Committee of Management is charged with responsibility for and "shall manage improve maintain and control the land for the purposes for which it is reserved".

The Minister wrote to the Committee on 3 October 1994. The relevant extract is set out:

"The Digest asserts that the decision of the Ministers is non-reviewable. This comment is misleading in that a range of administrative remedies are available to review such decisions."

Note the discussion and arguments as to the trespass upon rights and freedoms are referred to at clauses 42 and 50.

Makes rights, freedoms or obligations dependent upon insufficiently defined administrative powers - section 4D(a)(ii)

Makes rights, freedoms or obligations dependent upon non-reviewable administrative decisions - section 4D(a)(iii)

Clause 29 provides that the Corporation must take reasonable steps to consult with the Committee of Management and persons affected. Pursuant to subsection (a) of clause 29, the Corporation "must take reasonable steps to consult with the Committee of Management and any person having a right of occupation of any part of Albert Park."

The Committee is of the view that the provision may contravene sections 4D(a)(ii) and (iii) in that there is no review of the Corporation's requirement to "take reasonable steps to consult with the Committee of Management and any person having a right of occupation in Albert Park". The Committee notes that the Corporation must consider but is not required to act on any reasonable representations made to it. In the context of non-reviewability of decisions under this clause, this may make rights, freedoms or obligations dependent upon insufficiently defined powers.

The Minister wrote to the Committee on 3 October 1994. The relevant extract is set out:

"The limitation on rights provided for in this clause mirrors that in the South Australian Act. Its rationale is also explained in the Second Reading Speech".

Note the discussion in relation to the non payment of compensation is referred to at clause 50.

Trespasses unduly upon rights and freedoms - section 4D(i)

Makes rights, freedoms or obligations dependent upon non-reviewable administrative decisions - section 4D(a)(iii)

Clause 30 gives the Corporation the power to control the declared area in respect of a race period. Pursuant to subclause (3), a person may only carry on business in premises in the declared area to the extent and in accordance with the conditions that the Corporation after consultation with the Committee of Management approves. In the event of a dispute, the Minister makes the final decision.

Subclause (4) suspends the rights and interests of any person, other than the Corporation in relation to the declared area during the race period. The exceptions, those who carry on businesses in accordance with licences granted by the Corporation are set out in subclause(3).

The Committee notes the comments in the Second Reading Speech referring to the South Australian legislation:

"During the race period which will not exceed 7 days in any one year, as declared by the Minister acting jointly with the Minister administering the Crown Land (Reserves) Act 1978 , the Corporation will be responsible for the management and control of the declared area in line with the position under the South Australian legislation. Also in line with the South Australian legislation, the rights and interests of any other person are suspended in relation to the declared area during the race period.

However, unlike the South Australian legislation, clause 30 of the Bill makes specific provision for businesses in the declared area to continue to operate during the race period subject to reaching agreement with the Corporation, in consultation with the Committee of Management. Any dispute will be resolved by the Minister. The Government envisages that there will be mutual benefits for business in the declared area reaching agreement with the Corporation."

The Committee is of the view that clause 30 may contravene section 4D(a)(i) in that the rights and interests of any person in relation to the declared area are suspended for the race period. However the Committee also notes that those tenants whose rights are suspended may conduct businesses in accordance with conditions approved by the Corporation in consultation with the Committee of Management and that there may be opportunities for greater remuneration for a business conducted in the vicinity of the Grand Prix. The loss of rights of persons who conduct businesses in the declared area may be ameliorated if clause 42 does not apply to them.

The Committee is also of the view that the provision may contravene section 4D(a)(iii) in that the Minister's decision to grant a person a licence in the event of a dispute is non-reviewable. .

The Minister wrote to the Committee on 3 October 1994. The relevant extract is set out:

"The Government is currently drafting a House Amendment that would give businesses affected by this clause a right to claim compensation based on business performance in a normal (not Grand Prix) trading situation. At the same time the Government envisages that it will be in the interests of businesses to operate during the Grand Prix and clause 30 is intended to facilitate negotiations to this effect between the Corporation and the businesses."

Note the discussion in relation to the non payment of compensation is referred to at clause 42.

Clause 31 gives the Corporation the power to enter Albert Park for the purposes of carrying out any of its functions.

Clauses 32 and 33 give the Corporation the power to fence off lands and close roads for the purposes of performing works.

The Committee notes that these powers are practically required if the Corporation is to perform its duties in making the area a safe place in which to hold the event and construct buildings and replant reserves.

Note that the discussion in relation to the non payment of compensation is referred to at clause 42.

Makes rights, freedoms or obligations dependent upon insufficiently defined administrative powers - section 4D(a)(ii)

Makes rights, freedoms or obligations dependent upon non-reviewable administrative decisions - section 4D(a)(iii)

Clause 34 requires the Corporation to restore the declared area to a reasonable decision after the end of the event. The Committee of Management determines whether the restoration is reasonable. In the event of a dispute, the Ministers' joint decision is final.

The Committee is of the view that the provision may contravene sections 4D(a)(ii) and (iii) in that the Ministers' decision is non-reviewable.

The Minister wrote to the Committee on 3 October 1994. The relevant extract is set out:

"The Government considers that resolution by Ministers of any dispute between two public bodies to be appropriate."

Note the discussion in relation to the non payment of compensation is referred to at clause 42, ie: at 8.16.

Clause 35 gives the Corporation the power to control and charge any filming and television rights.

Trespasses unduly upon rights or freedoms - section 4D(a)(i)

Clause 36 provides that any activity carried on by the Corporation within the declared area during the race period does not constitute a nuisance.

The Committee is of the view that this provision may contravene section 4D(a)(i) of the Parliamentary Committees Act 1968 in that at common law, noise and fumes may amount to nuisance. There is therefore a loss of existing rights. The Committee notes that this provision mirrors section 25(3) of the South Australian Australian Formula One Grand Prix Act 1984. The Committee also notes that the race period is limited to seven days per year. The Committee is also aware that there are competing environmental effects studies which differ on the impact of race noise during the race period.

Clause 37 gives the Corporation the power to remove any vehicles left unattended during the race period.

Clause 38 provides that the provisions of the Road Safety Act 1986 do not apply to the drivers and vehicles of a Formula One Event during the race period.

Clause 38(b) may contravene sections 4D(a)(iv) or (v). The Committee suggested to the Minister that the provision be amended to provide for Ministerial approval.

The Minister wrote to the Committee in a letter dated 3 October 1994. The relevant extract is set out:

"The Government accepts the Committee's suggestion that the exemption be granted with the approval of the Minister rather than the Corporation."

Trespasses unduly upon rights or freedoms - section 4D(a)(i)

Clause 39 provides that the laws relating to vehicle emissions and noise do not apply to the declared area during a race period.

The Committee notes that there appears to be a loss of rights for anyone affected to sue for any compensation which may arise under these laws during the race period. The Committee notes that this is a practical step as race vehicles are clearly not subject to laws relating to noise during the race period. The Committee is uncertain as to whether there is a substantial loss of rights. In the circumstances the Committee refers the matter to the Parliament to debate.

Clause 40 prohibits unauthorised advertising during a race period except as permitted by the Corporation.

Clause 41 provides that the Corporation must pay to the Committee of Management a sum of no more than $100,000 within 14 days after the end of the race period.

Trespasses unduly upon rights or freedoms - section 4D(a)(i)

Clause 42 provides that no compensation is payable in respect of anything done or arising out of sections 28, 30, 32 and 33. Note that clause 50 prevents the Supreme Court from awarding compensation in respect of this clause or anything done under it.

(i) Clause 28

The Victorian Council for Civil Liberties suggested in its submission to the Committee that in relation to section 28 it may mean that if the Corporation undertakes works not in accordance with a licence and a person suffers as a result that a person is denied the right to seek compensation in the Supreme Court. The countervailing argument is that if the Corporation does not perform works in accordance with the licence then there has been a breach of the law, notwithstanding the exclusion provision in section 42. Those people who genuinely suffer as a consequence of the failure to perform works in accordance with a licence should not be prevented from bringing an action.

The relationship between clauses 28 and 42 may have the effect of removing common law rights arising out of negligent actions and works carried out under the Act. The Committee wrote to the Minister requesting his examination of these provisions and recommending that clauses 28 and 42 be amended to ensure that protection is given to citizens' actions in negligence or other common law rights.

The Committee is of the view that this provision in its current form may contravene section 4D(a)(i) of the Parliamentary Committees Act 1968.

The Minister wrote to the Committee on 3 October 1994. The relevant extract is set out:

"There are a number of references to negligent acts in the Digest. The Government proposes to amend clause 42 to make it clear that only things that would be done in accordance with clauses 28, 30, 32 or 33 would receive the benefit of clause 42. Negligent actions would not fall within this protection.

On the other hand it is clear that, if the Bill is passed, Parliament is providing for an annual Grand Prix to occur at Albert Park and that necessarily will have an impact on some rights. I would request that the Digest reflect this fact and , given that this is the central purpose of the Bill, refer such matters to Parliament for debate."

(ii) Clause 30

In relation to section 30, the Committee has already noted that the rights and interests of those people in the declared area are suspended during the race period except to the extent that businesses may be conducted in accordance with the approval of the Committee of Management. Clause 42 provides that no compensation is payable to any one from anything arising out of that section 30.

The Committee notes that the clause 42 may contravene section 4D(a)(i) but refers to its earlier comments in respect of the possibilities for greater remuneration for businesses.

(iii) Clause 32

In relation to section 32, under 8.11 the Committee has already noted that a fencing power is reasonable. Pursuant to clause 42 no compensation is payable to anyone who may be affected by the fencing off of the lands and roads. In this respect clause 42 may contravene section 4D(a)(i).

(iv) Clause 33

In relation to section 33, under 8.11 the Committee has already noted that the power to close roads is reasonable. Pursuant to clause 42 no compensation is payable to anyone who may be affected by the closure of the roads. In this respect clause 42 may contravene section 4D(a)(i).

Part 4

Clause 43 ensures that no other motor races can be held at Albert Park other than the specified race period. Clause 44 grants the Corporation the proprietary interest in all the Grand Prix insignia and sets out the offences relating to its misuse.

Clause 45 provides that goods which have not been authorised pursuant to clause 44 may be seized. The goods must be returned if proceedings are not instituted within 3 months of their seizure and compensation may be sought if they have wrongly destroyed. Clause 46 provides that the Committee of Management or a member or an employee of the Committee is not liable for any loss or damage arising principally from any works performed by the Corporation. Clause 47 confers the powers of management on the Committee.

Trespasses unduly upon rights and freedoms - section 4D(a)(i)

Clause 48 exempts any works authorised by the Corporation from the requirements under the Building Act 1993, the Planning and Environment Act 1987, the Albert Land Act 1972, the Crown Land (Reserves) Act 1978, any planning scheme or permits required by an authority and the Melbourne and Metropolitan Board of Works Act 1958.

The Committee is of the view that the provision may contravene section 4D(a)(i) in that Corporation is exempt from normal planning requirements. The reason for permits in the first instance is to ensure that buildings etc are constructed in such a manner that they are safe and suitable for the purposes for which they are built. The Committee notes that buildings and roads will have to be constructed relatively quickly in order to stage the Grand Prix in 1996. The Committee notes that this provision mirrors section 25 of the South Australian Australian Formula One Grand Prix Act 1984. The Committee notes that it has been the practice for a number of years with respect to Victorian legislation that major projects be exempted from planning requirements.

The Committee is notes that the provision may contravene section 4D(a)(i) in that the rights of an individual to sue for compensation which may arise under the legislation may be diminished, for example the right to sue and obtain compensation in an action in negligence. However the Committee notes that this provision does not prevent a person from suing the Corporation in negligence under the common law.

Trespasses unduly upon rights and freedoms - section 4D(a)(i)

Clause 49 provides that the Freedom of Information Act 1982 does not apply to certain confidential contractual information relating to the granting of the Grand Prix and any associated companies, partnerships and trusts. The clause also covers the wider category of information and documentation relating to "granting the right to hold and approved motor sport event". The Committee also notes the retrospective effect of the clause in that it applies to any documents "created before, on or after the commencement of this section".

The Committee is uncertain as to whether clause 49 exempts business plans specified under clause 25(6). The Committee wrote to the Minister to clarify the operation of the provision. The Committee also notes that under subclause (3) of 49 that "despite any thing to the contrary in Part 7 of the Financial Management Act 1994, the Corporation is not required to disclose in a report under that Part any information about a contract to which sub-section (1) applies."

The Minister wrote to the Committee in a letter dated 3 October 1994. The relevant extract is set out:

"It is considered that the comments in the Digest in relation to this clause are not unreasonable. In respect of Business Plans specified under clause 25, only those part of such Plans, if any, falling within clause 49(1) would be specifically exempt from disclosure under this clause."

The Committee notes that the proceedings referred to in the Administrative Appeals Tribunal have finished. His Honour Judge Fagan handed down his decision on 16 September 1994 which granted access to a limited number of documents. Access was refused to all other documents in the proceedings on the basis of protection of the public interest. An extract of the judgment is set out:

"While it may be accepted that opinions will differ over the appropriate use of the park, I think that these concerns do qualify for consideration as expressions of concern sufficient to raise an issue of public interest as that expression is understood in Smith's case. I accept that this is a major public park, the disposition of which affects a great number of people whether commuters, residents, recreationers or sports persons. Further, the issue of the disposition of the park has aroused substantial public awareness and is in the hands of the Government.

At the same time, there are factors which tend to show that this issue is of limited significance.

It is an issue insofar as use of the park is concerned that affects a limited number of Victorians. The loss of use is for a limited time. The Grand Prix itself involves use of the track on only one day. Altogether, there are no more than six days of Grand Prix racing use of the track per year for a limited number of years. Although at a cost, the park itself will be upgraded and the evidence is that it needs that. The time involved for renovation and upgrading is not extensive. Alternative traffic routes in the area are available. The noise factor involves a relatively short time. The depth and breadth of public controversy is not clear. Although there has been substantial press coverage of the issue and although it is clear that some number of people are acutely interested in resisting the use of the park for the proposed purposes, it is far from clear to me that the group involved is not simply a relatively isolated few locals with a capacity to achieve publicity for their views.

Mr Murphy sought to make use of the respondent's reliance upon the confidentiality agreement. He argued, in effect, that it was contrary to the public interest not to disclose the documents where the foundation for the confidentiality was simply an agreement that the respondent and the companies had made among themselves and others. The right of the public to know should not be stultified by agreements for confidentiality made between the parties to the activities in question.

On the other hand, as has been observed, modern governments are and may necessarily be involved in the management (including the funding) of business, commercial or financial undertakings these days either on their own as government or in some form of joint enterprise with other entities. Unless governments were able to offer and in fact, honour confidentiality to those with whom they deal in business, then it is clear that their capacity to participate in business activities would be severely limited. Furthermore, it is far from clear to me that the terms of the confidentiality clause are such as to prevent a disclosure of information covered by the agreement as a result of an order of the Administrative Appeals Tribunal. It seems to me that, at most, damages may be payable if such an order were made but even that is unlikely, in my opinion, because it is far from clear that a disclosure as a result of an order constitutes a breach. Whatever the remedy available (if any) to these parties for a breach of confidence (if any) by any of them, however, it is clear that their negotiations and dealings with the Government were intended to be confidential.

In the end, I think the aspects of interest relied upon by Mr Murphy, more particularly as re-formulated, do qualify for recognition as aspects of the public interest as that notion is to be understood. They are, however (contrary to his argument), of insufficient weight, in my opinion, taken individually or collectively for the Tribunal to form the opinion (bearing in mind the incidence of the burden) that the public interest requires that access to the documents in question should be granted under the Act......

There is no real reason to think that the extent of potential liability will not in the end be disclosed. There is no real reason to think that the public accountability for the decision-making process and the liabilities incurred by the Government and the companies will in the end be avoided. There is no real evidence to suggest that Walker has acted with any relevant conflict of interest. There is no real reason to think that any significant misuse of the public park will occur or that there has been or is public controversy on the issue of such breadth and depth as to require disclosure of the documents. Rather than the public interest being stultified by the confidentiality agreement, it is my opinion, in the circumstances of this case, that the public interest would be served by the maintenance of confidentiality of the information contained in the documents under discussion at least while the currency of that information remains so that business will not be discouraged from dealing with the Government.

This is not a case where the claim for confidentiality is sham or spurious. The nature of the subject matter of the negotiations itself having regard to the competitive market for the event and of the information about the companies communicated to the Government in confidence merits and attracts confidentiality for those negotiations and those communications. The verbal requirements for confidentiality during the negotiations and the written confidentiality agreement (despite an argument which I reject that the scope of the agreement was by reason of the definition it contained of "information") serve to show the importance the parties attached to the confidentiality of the information involved in the negotiations. Nor is it a case where any issue of illegality, unlawfulness, irregularity, antinomy, impropriety or sharp practice on the part of the respondent or the two companies in the handling of or arrangements about public funds has been raised.

For the Tribunal to override genuine business confidences reposed in the Government of the State by business, commercial or financial undertakings in the kind of circumstances involved in this case would be to maim the business arm of the State."

The Committee is of the view that the provision may contravene section 4D(a)(i) in that it prevents people who would otherwise be entitled to, from making applications under the Freedom of Information Act 1982 in respect of all these documents. The Committee is of the view that the provision diminishes rights but refers the question of whether the reductio is undue to the Parliament to debate.

Clause 51 gives the Governor in Council the power to make regulations.

Part 5

Part 5 makes miscellaneous amendments to other Acts.

Variation of section 85 of the Constitution Act 1975 (section 4D(b)(i)(ii) and (iii) of the Parliamentary Committees Act 1968)

Clause 50 declares its intention to alter or vary section 85 of the Constitution Act 1975 to the extent necessary to prevent the Supreme Court awarding compensation in respect of anything done under sections 28, 29, 30, 32 or 33 or entertaining actions relating to a matter referred to in section 34(1) or 46 or of kind referred to in section 29 or 30. It is convenient to examine the provisions in turn. The Committee also refers to its previous discussion in respect of the non-payment of compensation at

Clause 28 provides that the Corporation must not undertake any works without a licence.

The Committee refers to its discussion at 8.16 regarding clauses 28 and 42. The Committee has written to the Minister seeking clarification of the provision. In its current form , in respect of clause 28, the Committee is unable to say whether section 50 is appropriate and desirable in all the circumstances.

Clause 32 gives the Corporation the power to fence off land where necessary for the purposes of performing works and holding the Grand Prix.

The Committee refers to its conclusion at 8.16 on clauses 32 and 42. Save for its expressed views on compensation on clause 42, clause 50 is otherwise appropriate and desirable in all the circumstances.

Clause 33 gives the Corporation the power to close roads where necessary for the purposes of performing works and holding the Grand Prix.

The Committee notes the comments in the Second Reading Speech:

"The Bill empowers the Corporation to carry out works in Albert Park pursuant to a licence issued under clause 28 and to manage the declared area during the race period. The Bill also allows the fencing or cordoning off of areas and the temporary or permanent closure of roads. All this is necessary in realising the overall plan for Albert Park, the establishment of a temporary Grand Prix circuit and associated infrastructure and the staging of the Formula One event. As part of the revitalisation of Albert Park some current features of the park will be relocated.

Whilst all of the permanent or temporary works will be carried out expeditiously to minimise disruption, the extent of the transformation of the Park will be such that it is not appropriate that individuals with interests in the Park should not be able to seek compensation in respect of the work done in a particular area of the Park."

The Committee refers to its conclusion at 8.16 on clauses 33 and 42. Save for its expressed views on compensation on clause 42, clause 50 is otherwise appropriate and desirable in all the circumstances.

Clause 29 requires the Corporation to consult with persons affected before the race period. The Committee notes the comments in the Second Reading Speech:

"Clause 29 of the Bill requires the Corporation before the race period in any year to take reasonable steps to consult with the Committee of Management and any person having a right of occupation of any part of Albert Park in respect of a year. The clause also requires the Corporation to consider any reasonable representations made by any such person.

The Corporation in fulfilling this requirement will receive many submissions, many of which will be contradictory. It is a matter of judgement for the Corporation to assess these submissions, consistent with the performance of its functions under the Bill. The Corporation is subject to the direction and control of the Minister in the performance of its functions and the exercise of its powers.

It is not appropriate that an individual should be able to bring an action in relation to a particular representation made to the Corporation or generally in relation to the process of consultation."

Insofar as clause 50 prevents an action being brought for breach of a statutory duty under clause 29, the Committee is unable to agree whether the provision is appropriate and desirable and has written to the Minister. In its current form the Committee is unable to say whether the provision is appropriate and desirable in all the circumstances.

Clause 30 gives the Corporation the power to manage the declared area during the race period. Businesses can only operate during the race in accordance with approval from the Committee of Management and the Corporation. The provision suspends the rights and interests of any person other than the Corporation in relation to the declared area except for businesses as aforementioned. The Committee notes the comments in the Second Reading Speech:

"Clause 30 requires the Corporation to manage and control the declared area during the race period in any year. That clause also provides that the rights of any person other than the Corporation are suspended during the race period in any year. However, specific provision is made for business in the declared area to continue to operate during the race period, subject to reaching agreement with the Corporation.

The provisions of this clause are required to ensure that the race and associated events are staged effectively and that the contractual obligations associated with the staging of any race are honoured. The position of any individual businesses affected by those provisions is protected by the requirement to consult with the Committee of Management and the power given to the Minister to resolve any disputes. The Minister also has a general power to direct the Corporation in the performance of its functions and the exercise of its powers by reason of clause 9 of the Bill."

The Committee is unable to say whether the provision is appropriate and desirable in all the circumstances and has written to the Minister.

Clause 34 requires the declared area to be restored to a reasonable condition as soon as practicable after the end of the race period. Clause 34(3) provides that in the event of a dispute between the Committee of Management and the Corporation as to the standard of the restoration, the Ministers make the final determination. The Committee notes the comments in the Second Reading Speech:

"Clause 34 of the Bill does require the Corporation to restore the declared area to a condition reasonably comparable to that which it was in before the staging of the Formula One event in any one year. However, as the Park is a public asset it is not appropriate that individuals should be able to bring actions in respect of the operations of that clause. The clause requires the Minister administering the Act and the Minister administering the Crown Land (Reserves) Act 1978 to resolve any dispute between the Corporation and the Committee of Management as to the standard of restoration. Both of these Minsters are responsible to the Parliament for the administration of the clause."

The Committee is of the view that the provision is appropriate and desirable in all the circumstances.

Clause 46 provides that the Committee of Management or a member or an employee of the Committee is not liable for any loss or damage arising principally because of the works or anything done or omitted to be done by the Corporation in accordance with a licence conferred on it. The Committee notes the comments in the Second Reading Speech:

"Clause 46 of the Bill exempts the Committee of Management from any liability for any loss or damage arising principally because of the works or any other thing done, or omitted to be done by the Corporation in accordance with or purporting to be done in accordance with a licence or other authority conferred or purporting to be conferred on the Corporation by or under this Act or any other law.

Because the Bill modifies the powers of the Committee of Management and because of the modifications to section 85 of the Constitution Act effected in relation to clauses 28, 29, 30, 32 and 33, it is appropriate that a corresponding limitation exist in respect of the liability of the Committee of Management."

The Committee is of the view that the provision is appropriate and desirable in all the circumstances."

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Scrutiny of Acts and Regulations Committee
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