This regulation may be cited as the Rural and Regional Adjustment (Special Disaster Assistance Recovery Loans Scheme) Amendment Regulation 2020.
This regulation amends the Rural and Regional Adjustment Regulation 2011.
3Amendment of sch 23, s 3 (Definitions for sch 23)
(1)Schedule 23, section 3, definition primary producer, paragraph (a)(ii)(B), ‘and’—
omit, insert—or
(2)Schedule 23, section 3, definition primary producer, paragraph (a)(iii) and paragraph (b)(iii)—
omit.
4Amendment of sch 24, s 2 (Purpose of assistance)
(1)Schedule 24, section 2(1)(a), ‘and’—
omit, insert—or
(2)Schedule 24, section 2(1)—
insert—(c)for assistance relating to the 2019–2020 extraordinary bushfire disaster—to refinance an eligible commercial loan.
5Amendment of sch 24, s 3 (Definitions for schedule)
Schedule 24, section 3—
insert—2019–2020 extraordinary bushfire disaster means the bushfires that—(a)happened during the 2019–2020 financial year; and(b)were defined by the appropriate Minister for the purpose of activating the disaster recovery funding arrangements.eligible commercial loan see section 3A.
6Insertion of new sch 24, s 3A
Schedule 24, after section 3—
insert—3AMeaning of eligible commercial loan
An eligible commercial loan is a loan obtained from a financial institution, other than any of the following types of loans—
(a)off-balance sheet financing;(b)a short-term credit facility;credit card, line of credit, overdraft facility(c)a loan established at a concessional rate under a Commonwealth or State government scheme;(d)an equipment finance loan.
7Amendment of sch 24, s 8 (Maximum loan amount)
(1)Schedule 24, section 8—
insert—(1A)The maximum amount of loan assistance under the scheme for an applicant to refinance an eligible commercial loan is 50% of the total outstanding loan balance.(2)Schedule 24, section 8(2), ‘However, the amount’—
omit, insert—Despite subsections (1) and (2), the total amount
(3)Schedule 24, section 8(1A) and (2)—
renumber as section 8(2) and (3).
8Amendment of sch 24, s 9 (Eligibility criteria)
(1)Schedule 24, section 9(c)—
omit, insert—(c)the applicant has suffered, as a direct result of the eligible disaster—(i)damage to the assets used for carrying on the relevant activity; or(ii)a significant loss of income; and(2)Schedule 24, section 9(e)—
omit.(3)Schedule 24, section 9—
insert—(i)for assistance, other than assistance to refinance an eligible commercial loan—the applicant has used all liquid assets and normal credit sources up to normal limits; and(j)for assistance to refinance an eligible commercial loan—(i)the applicant has suffered the damage to assets or loss of income mentioned in paragraph (c) as a direct result of the 2019–2020 extraordinary bushfire disaster; and(ii)immediately before the applicant was affected by the 2019–2020 extraordinary bushfire disaster, the applicant held an eligible commercial loan relating to the relevant activity; and(iii)the applicant can not refinance the loan from the applicant’s own resources and without assistance under the scheme.(4)Schedule 24, section 9(f) to (j)—
renumber as section 9(e) to (i).
9Insertion of new sch 24, pt 3
Schedule 24, after section 13—
insert—14Requirements for applications
(1)This section applies to an application for assistance under the scheme for damage caused by an eligible disaster.(2)An application must—(a)be made on the authority’s application form; and(b)be accompanied by the documents stated in the application form; and(c)be given to the authority.(3)The authority may ask an applicant to give further relevant information to decide the application.The authority must consider, and decide to approve or refuse to approve, each application for assistance under the scheme.