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Commonwealth of Australia - The Treasury

Annual Report 2014/15

Program 1.6: Assistance to the states for skills and workforce development

Program objective

The Government provides financial support for the states and territories to deliver skills and workforce development services.

This program also has links to the Education and Industry portfolios.

Program deliverables

Payments to the states and territories are made in accordance with the payment arrangements specified in the Intergovernmental Agreement.

Key performance indicators

The Treasury will transfer to each state and territory the amounts of their monthly and annual entitlements under the National Skills and Workforce Development Specific Purpose Payment (SPP) and will make the payments on the dates specified in the Intergovernmental Agreement on Federal Financial Relations (the Intergovernmental Agreement).

The Treasury will provide advice to the states and territories on the components of each payment before each payment is made.

The states and territories are required to spend the National Skills and Workforce Development SPP in the skills and workforce sector. Each state and territory treasurer will provide a report to the Council on Federal Financial Relations demonstrating how expenditure of the National Skills and Workforce Development SPP was within the sector and in accordance with the Intergovernmental Agreement. The Treasury will review these reports provided by the states and territories.

Analysis of performance

The Treasury facilitated the Government’s 2014‑15 financial support for the states and territories delivering skills and workforce development services.

  • Total expenses under the National Skills and Workforce Development SPP were $1.4 billion. Payments were made in accordance with each state and territory’s monthly and annual entitlements.
  • Payments were made in a timely manner in accordance with payment arrangements specified in the Intergovernmental Agreement.
  • Advice was provided to the states and territories before each payment was made.

To demonstrate that the Skills and Workforce Development SPP has been spent in the relevant sector, each state and territory treasurer will provide a report to the Council within six months of 30 June 2015, disclosing relevant information in accordance with the Intergovernmental Agreement.