Misplaced Pages

#329670

29-443: Premiers Conference (also spelt Premiers' Conference or Premier's Conference ) may refer to: Council of Australian Governments (Australia) First Ministers' conference (Canada) Topics referred to by the same term [REDACTED] This disambiguation page lists articles associated with the title Premiers Conference . If an internal link led you here, you may wish to change

58-553: A formal system of horizontal fiscal equalisation (HFE) in 1933 to compensate states/territories which have a lower capacity to raise revenue. The objective is full equalisation which means that, after HFE, each of the six states, the Australian Capital Territory and the Northern Territory would have the capacity to provide services and the associated infrastructure at the same standard, if each state/territory made

87-671: A new structure based on the National Cabinet implemented during the COVID-19 pandemic . COAG grew out of the Premiers' Conferences, which had been held for many decades. These were limited to the premiers of the six states and the Prime Minister. A related organisation is the Loan Council , which coordinates borrowing by the federal and state and territorial governments of Australia. COAG

116-607: Is decided by the Federal Treasurer each year, on the basis of advice provided by the Commonwealth Grants Commission (CGC). Achieving HFE does not mean that the states and territories are directed how to raise revenue or how to spend their funds. GST revenue grants from the Commonwealth are unencumbered and available for any purpose. Accordingly, HFE equalises fiscal capacity, not fiscal policies which remain for

145-552: The Canada Health Transfer (CHT), the Canada Social Transfer (CST), Equalization, and Territorial Formula Financing (TFF). Moreover, the federal government has entered into particular arrangements with certain provinces – Nova Scotia and Newfoundland and Labrador, in particular – under which offset payments are made to the governments of these provinces for the development of offshore oil and gas reserves. The money

174-596: The United States' National Governors Association or Canada's Council of the Federation , because these bodies only include state/provincial representatives, whereas COAG also included federal and local representatives. At a COAG meeting on 13 March 2020, it was announced that a new National Cabinet was being formed of the Prime Minister and the premiers and chief ministers of the states and territories to coordinate

203-527: The average state tax revenue. Sections 106 and 107 of the Constitution of the Federal Republic of Germany supply for the distribution of tax revenues (horizontal and vertical equalization). This includes reducing the revenues of richer states in favour of the poorer ones. In 2015 this amounted to the re-distribution of 9.594 billion Euros from the states of Bavaria, Baden-Württemberg, Hesse and Hamburg to all

232-461: The capacity to provide services and the associated infrastructure at the same standard, if each state or territory made the same effort to raise revenue from its own sources and operated at the same level of efficiency. Currently the funds distributed to achieve HFE are the revenues raised from the Goods and Services Tax (GST), currently about AUD50bn a year. The distribution of GST required to achieve HFE

261-512: The citizens of Alberta as a whole are net contributors to Equalization, while the citizens of New Brunswick are net receivers of Equalization payments. Equalization payments are one example of what are often collectively referred to in Canada as "transfer payments", a term used in other jurisdictions to refer to cash payments to individuals (see Canadian Transfer Payments ). In fact, there are four types of federal transfers to provinces and territories:

290-526: The commission's calculations. The only mechanism designed to reduce fiscal disparities between the federated entities in Belgium is a program called the National Solidarity Intervention ( Dutch : Nationale Solidariteitsbijdrage (NSB); French : Intervention de solidarité nationale (ISN)). Under the program, regions in which the average per capita yield of personal income tax falls below

319-521: The establishment of the COAG Business Advisory Forum and wanted wider representation on the Forum. The groups also opposed the weakening of environmental regulations. After the forum's abolition in early 2020, journalist Annabel Crabb wrote that, after initial utility in the 1990s, COAG had become a "sclerotic nightmare" producing "communiques of impenetrable bureaucratese". She suggested that

SECTION 10

#1732873492330

348-401: The inequalities in the fiscal capacities of sub-national governments arising from the differences in their geography, demography, natural endowments and economies. However the level of equalisation sought varies. In Australia, the objective is full equalisation. Full equalisation means that, after HFE, each of the six states, the Australian Capital Territory and the Northern Territory would have

377-442: The link to point directly to the intended article. Retrieved from " https://en.wikipedia.org/w/index.php?title=Premiers_Conference&oldid=933063985 " Category : Disambiguation pages Hidden categories: Short description is different from Wikidata All article disambiguation pages All disambiguation pages Council of Australian Governments The Council of Australian Governments ( COAG )

406-623: The meetings in Canberra had produced a performative element in which state premiers sought to boost their profile at the expense of actual reforms. Equalization payments The payments are generally calculated based on the magnitude of the subnational "fiscal gap": essentially the difference between fiscal need and fiscal capacity. Fiscal capacity and fiscal need are not equivalent to measures of fiscal revenue and expenditure, as making them so would induce perverse incentives to subnational governments to reduce fiscal effort. Australia introduced

435-571: The national average are entitled to an unconditional transfer from the federal government. The amount paid to each region reflects the gap in the yield of personal income tax in the region in relation to the national average, weighted by an indexing factor and a factor pertaining to the amounts received by beneficiaries when the system was introduced. Their inferior fiscal capacity causes the Brussels and Walloon regions to be recipients of NSB/ISN transfers. The region of Flanders does not receive funding under

464-409: The national average per capita revenue yield at average tax rates. The current formula considers five major revenue sources (see below). The objective of the program is to ensure that all provinces have access to per capita revenues equal to the potential average of all ten provinces. The formula is based solely on revenues and does not consider the cost of providing services or the expenditure need of

493-412: The next 12 to 18 months. The reforms led to a removal of the distinction between standing and select councils. At its dissolution, there were twelve COAG councils: The COAG Reform Council was established in 2010 as an independent body to advise on reforms of national significance. It was disestablished in 2014. In 2012 a group of 20 environmental organisations released a joint communiqué denouncing

522-504: The only province to have never received equalization payments. Canada's territories are not included in the equalization program - the federal government addresses territorial fiscal needs through the Territorial Formula Financing (TFF) program. Equalization payments are based on a formula that calculates the difference between the per capita revenue yield that a particular province would obtain using average tax rates and

551-452: The program, as its fiscal capacity lies above the national average. In Canada , the Government of Canada makes payments to less wealthy Canadian provinces to equalize the provinces' "fiscal capacity"—their ability to generate tax revenues. In 2009–2010, six provinces received $ 14.2 billion in equalization payments from the federal government. Until the 2009-2010 fiscal year, Ontario was

580-447: The provinces receive through equalization can be spent in any way the provincial government desires. The payments help guarantee "reasonably comparable levels" of health care , education , and welfare in all the provinces. The definition of "reasonably comparable levels", however, has been the subject of considerable debate. In 2009–2010, the total amount of the program was roughly CA$ 14.2 billion. Recent negotiations surrounding

609-516: The provinces. Equalization payments do not, technically, involve wealthy provinces making payments to poor provinces, although in practice this is what happens, via the federal treasury. As an example, a wealthy citizen in New Brunswick, a so-called "have not" province, pays more into equalization than a poorer citizen in Alberta, a so-called "have" province. However, because of Alberta's greater wealth,

SECTION 20

#1732873492330

638-573: The renewal of the program have created considerable tension among provinces. Due to the zero-sum nature of the formula, increases in entitlements for some provinces necessarily lead to decreases for others. Article 72-2 of the French constitution (amended 28 March 2003) created the obligation of the state to promote equality between regional bodies (regions and municipalities). That is achieved by direct tax collection by local government (Taxe professionelle) and grants from central government. Direct financing by

667-524: The response to the COVID-19 pandemic in Australia . On 29 May 2020, Prime Minister Scott Morrison announced that COAG would be replaced by a new structure based on the National Cabinet . Australia is believed to be the first federation to have introduced a formal system of horizontal fiscal equalisation (HFE) which was introduced in 1933 to compensate States which have a lower capacity to raise revenue. Many federations use fiscal equalisation to reduce

696-502: The same effort to raise revenue from its own sources and operated at the same level of efficiency. Currently the funds distributed to achieve HFE are the revenues raised from the Goods and Services Tax (GST), currently about AUD 50 bn a year. The distribution of GST required to achieve HFE is decided by the Federal Treasurer each year, on the basis of advice provided by the Commonwealth Grants Commission (CGC). Achieving HFE does not mean that

725-505: The state amounted to 28% of revenues in 2011, devolved tax revenues account for 60% of revenues, and debt accounted for the remainder. According to Section 8 of the Weimar Constitution , taxation became a matter of the federal government in 1919 and the states lost their ability to generate income. Thus, the state tax law of 1920 supplied for equalization payments among the states which ensured that no state would have less than 80% of

754-548: The states and territories to decide for themselves. It does not result in the same level of services or taxes in all states and territories, direct that the states and territories must achieve any specified level of service in any area, nor impose actual budget outcomes in accordance with the Commission's calculations. At its meeting on 13 December 2013, COAG agreed to streamline the COAG council system and refocus on COAG's priorities over

783-486: The states are directed how to raise revenue or how to spend their funds. GST revenue grants from the Commonwealth are unencumbered and available for any purpose. Accordingly, HFE equalises fiscal capacity, not fiscal policies which remain for the states to decide for themselves. It does not result in the same level of services or taxes in all states, direct that the states must achieve any specified level of service in any area, nor impose actual budget outcomes in accordance with

812-530: Was established in May 1992 after agreement by the then Prime Minister ( Paul Keating ), premiers and chief ministers, and it first met in December 1992. It was chaired by the Prime Minister. It met to debate and co-ordinate government activities between the federal and state or territorial governments and between the state and territorial governments themselves as well as issues affecting local government. COAG differed from

841-572: Was the primary intergovernmental forum in Australia from 1992 to 2020. Comprising the federal government , the governments of the six states and two mainland territories and the Australian Local Government Association , it managed governmental relations within Australia's federal system within the scope of matters of national importance. On 29 May 2020, Prime Minister Scott Morrison announced that COAG would be replaced by

#329670