Document ID: chunk:federal_register_of_legislation:C2021A00049:clause:1_64
Version: federal_register_of_legislation:C2021A00049
Segment Type: clause
Provision Reference: sch 1 cl 64
Character Range: 4717–6646

64  Contracts

Minister's written approval
 (1) The Trust must not, except with the Minister's written approval, enter into a contract involving the payment or receipt by the Trust of an amount exceeding $5,000,000.
 (2) In working out the amount under the contract, assume that any option or right to extend or renew the contract will be exercised and take into account the amount under the contract as so extended or renewed.

Indexation of threshold amount
 (3) The dollar amount specified in subsection (1) is a threshold amount.
 (4) On 1 July 2022 and each subsequent 1 July (an indexation day), the threshold amount is replaced by an amount worked out using the following formula:
 (5) The indexation factor for an indexation day is the number worked out using the following formula:
where:
base quarter means the March quarter ending 1 year before the reference quarter ends.
index number, for a quarter, means the All Groups Consumer Price Index number (being the weighted average of the 8 capital cities) published by the Australian Statistician for that quarter.
March quarter means a period of 3 months ending on 31 March.
reference quarter means the March quarter immediately before the indexation day.
 (6) An indexation factor is to be calculated to 3 decimal places (rounding up if the fourth decimal place is 5 or more).
 (7) An indexation factor that is less than 1 is to be increased to 1.
 (8) Amounts worked out under subsection (4) are to be rounded to the nearest whole dollar (rounding 50 cents upwards).
 (9) Calculations under subsection (5):
 (a) are to be made using only the index numbers published in terms of the most recently published index reference period; and
 (b) are to be made disregarding index numbers that are published in substitution for previously published index numbers (except where the substituted numbers are published to take account of changes in the index reference period).