Document ID: chunk:federal_register_of_legislation:F2016C00523:schedule:1:p1
Version: federal_register_of_legislation:F2016C00523
Segment Type: schedule
Provision Reference: sch 1 (pt 1/3)
Character Range: 19577–22197

Schedule 1—Annual adjustment factor

1.  Annual adjustment factor
 (1) The annual adjustment factor for a financial year is to be calculated in accordance with this clause.
 (2) First, the following formula is to be applied –

where –
RA means the Rural Arterial Road Expenditure adjustment factor that applies for that year (see clause 2).
RL means the Rural Local Road Expenditure adjustment factor that applies for that year (see clause 2).
UA means the Urban Arterial Road Expenditure adjustment factor that applies for that year (see clause 2).
UL means the Urban Local Road Expenditure adjustment factor that applies for that year (see clause 2).
 (3) Second, the amount determined under subclause (2) is to be rounded up or down to one decimal place (rounding an amount of 0.05 upwards).
Example: An amount of 3.55 would be rounded up to 3.6.
 (4) The result is the annual adjustment factor expressed as a percentage.

2.  Adjustment factors
 (1) The 4 adjustment factors referred to in clause 1 (RA, RL, UA, UL) for a particular financial year are to be calculated in accordance with this clause.
 (2) First, the expenditure for each adjustment factor for the Years 1 – 6 is to be multiplied by the following fraction to derive an amount of adjusted expenditure for each of those years for each of those factors –

where –
expenditure, for a financial year, means the amount specified in the most recent annual report of the NTC as being –
 (a) in the case of RA—the estimated amount of expenditure on rural arterial roads for that year; and
 (b) in the case of UA—the estimated amount of expenditure on urban arterial roads for that year; and
 (c) in the case of RL—the estimated amount of expenditure on rural local roads for that year; and
 (d) in the case of UL—the estimated amount of expenditure on urban local roads for that year;
index number, for a particular financial year, means the road construction and maintenance price index number for 30 June of that year published by the Bureau of Transport and Regional Economics;
Example: In August 2007 the BTRE published its index figure.  As at 30 June 2007 the index number was 150.5.  Thus the index number for the 2006 – 2007 financial year is 150.5.
most recent annual report of the NTC means the last annual report of the National Transport Commission that was tabled in each House of the Commonwealth Parliament before the start of the financial year for which the annual adjustment factor is being determined;
Year 1 means the financial year immediately before Year 2;
Year 2 means the financial year immediately before Year 3;
Year 3 means the