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asked in the
15 August 2017
Hon Jacqui Boydell
Hon A. MacTiernan
15 August 2017
DEPARTMENT OF REGIONAL DEVELOPMENT — FINANCIAL ASSISTANCE AGREEMENTS
Hon JACQUI BOYDELL
to the Minister for Regional Development:
I refer the minister to financial assistance agreements signed by proponents of projects who have been in receipt of royalties for regions funds.
(1) Has the minister sought the State Solicitor's advice, or the advice of another party, as to the legal capacity of the state to renege on signed agreements with such parties in the circumstance that there has not been a default of the terms of the agreement?
(2) Does this advice confirm advice received by some local governments that the state, in fact, does not have a good case if it were to unilaterally reduce the state's commitment to fund projects with a signed FAA with a partner organisation?
(3) Given the minister has instigated a value optimisation review for the Busselton Airport project, which has a signed FAA with the City of Busselton, is the minister simply seeking its support for savings, or is it her intention to force its hand, despite the potentially tenuous legal position of the state?
(4) Is it the minister's intention to pursue funding reductions for other approved projects that have signed FAAs with the Department of Regional Development and have not defaulted on any project commitments?
Hon ALANNAH MacTIERNAN
I thank the member for notice of the question.
(1)–(4) We have been in productive dialogue with several local governments with financial assistance agreements, discussing how we manage budget repair while allowing the projects to go forward in a cost-effective manner. We anticipate mutually satisfactory agreements on all matters.
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The Parliament of Western Australia is honoured to be situated on the ancestral lands of the Whadjuk Noongar people. The Parliament acknowledges the First Australians as the traditional owners of the lands we represent and pays respects to their Elders both past and present.