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The commission was established in July 1933 by the Lyons government during the Great Depression to provide impartial advice on the distribution of federal government grants to the states. [2] The commission operates under the Commonwealth Grants Commission Act 1973 , and is responsible for measuring the relative fiscal capacity of each state ...
As these grants are linked to a particular purpose, they are known as 'tied grants'. In practice, section 96 has provided the Commonwealth parliament with the ability to influence policy matters that lie within the residual powers of the States (e.g. education, health, water, etc.).
The result of the limitations on state taxing power is that the Commonwealth collects the money through taxes, and distributes that money to states. The power to distribute funds to states, on conditions, is contained in section 96. [5] As a result, the sphere of Commonwealth power has expanded through dictating policy through conditional grants.
Grants Programme Governance The board of governors provides oversight to the foundation's grant making through the Grants Committee, comprising representatives of member states and reports to the executive committee. In addition to receiving reports on grants made by the foundation, the committee is called upon to make decisions on larger awards.
Download as PDF; Printable version ... Act 1999 is the legal framework for the ... of the states' heavy financial reliance on Commonwealth grants. ...
Section 51(xxxvii) grants power regarding: matters referred to the Parliament of the Commonwealth by the Parliament or Parliaments of any State or States, but so that the law shall extend only to States by whose Parliaments the matter is referred, or which afterwards adopt the law. Uncertain issues concern:
Section 81 prescribes all Commonwealth revenue to a Consolidated Revenue Fund, and section 90 gives the Commonwealth exclusive power over custom and excise duties. Section 92 is notable for prescribing "absolutely free" trade and commerce between the states. Section 96 allows the Commonwealth to make grants on terms determined by Parliament.
CLGF works closely with other Commonwealth and international organisations such as the Commonwealth Secretariat, the Commonwealth Foundation, the Commonwealth Parliamentary Association and the United Nations, including UN-Habitat and the United Nations Development Programme (), to promote and support democratic local government in the Commonwealth and to ensure that local government is ...