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Legislative Assembly for the ACT: 2000 Week 4 Hansard (29 March) . . Page.. 1041 ..
MR HUMPHRIES (continuing):
The claimed injections of funds are no more than price indexation. The claimed increase for 2000-2001 is $5.111m, while price inflation is estimated at $4.259m. This leaves precious little room for growth in demand, let alone service improvement.
Mr Moore: Word for word.
MR HUMPHRIES: Word for word. The report of the standing committee lifted word for word from Mr Quinlan's press release in January, before any examination had begun by the standing committee of the draft budget. From where does he get that sort of information, Mr Speaker? Why did he lead his committee to think that his press release was a good substitute for proper, hard work on the draft budget process? Mr Speaker, if you add the $52m mistake on superannuation and the $8m mistake on health funding, you get an error by this shadow Treasurer of $60m. All I can say is that I think that lots of people will be very glad if those mistakes are mistakes Mr Quinlan makes only in opposition. Let us hope that there will be no opportunity ever for him to make those sorts of mistakes in government.
MR BERRY: My question is to the Minister for Health and Community Care. Mr Wood noted in his question to the Treasurer that the Commonwealth Government is proposing to limit the exemption of public benevolent institutions from fringe benefits tax. Canberra and Calvary hospitals, as I recall, are held as public benevolent institutions. Minister, the chickens have come home to roost. You will, no doubt, recall that on 17 November 1998 I asked you what you would do if the tax arrangements changed. You refused to speculate. Minister, nobody wanted speculation; all we wanted was a bit of planning mixed with some caution. That would have been very useful for us. Minister, what plans do you have to resolve this mess that you have created?
MR MOORE
: I would not speculate then and I still will not speculate because my understanding is that, while the legislation passed through the House of Representatives on Thursday, 16 March, it has not yet been passed by the Senate. I think that it would be very foolish for us to speculate on what the Senate might do with such legislation. With regard to the taxation system, Mr Berry will be pleased to know that we are making plans. I have asked for information on how the fringe benefits tax affects salary packaging in the Canberra Hospital for nurses with regard to the new EBAs they have just agreed to and for doctors. The Canberra Hospital has provided advice to me on the proposed FBT cap. The cap set by the legislation is $8,755, or $17,000 grossed up, for packaging by employees of public benevolent institutions. The Canberra Hospital has advised on the implications it would have for salary packages in TCH of clerical, technical, professional and general services officers and nursing staff through our new EBA information sessions; so they have all been advised as to what they would be. The nursing staff were advised of the implications prior to their agreeing to the EBA. Staff covered by the medical officers agreement who are currently salary packaged also
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