8.1.3 Funding contribution & late payments
When funding contribution is due for payment
Funding contributions payable by participating institutions are due and payable on a business day specified in a notice provided by the Operator. The business day cannot be any sooner than 30 days after the date the notice is provided to the institution.
Late payment penalty
If a participating institution has not paid part or all of their funding contribution at least 1 calendar month from the date that payment is due, the participating institution is liable for a late payment penalty on the remaining amount for that calendar month.
To work out the late payment penalty:
|1||Work out the amount of the funding contribution unpaid at the start of the calendar month.|
|2||Multiply the amount from Step 1 by 0.1.|
Divide the amount from Step 2 by 12.
This amount is the late payment penalty.
Late payment penalties for a calendar month are due and payable at the end of the calendar month. The Operator can however can set a later due date for payment through a written notice to the participating institution.
Payment of funding contribution & late payment penalty
Each of the following are payable to the Scheme on behalf of the Commonwealth:
- funding contribution
- late payment penalty.
Waiver of funding contribution & late payment penalty
The Scheme may, on behalf of the Commonwealth, waive part or all of a funding contribution or late payment penalty owed by a participating institution. The Scheme must be satisfied there are exceptional circumstances justifying any waivers. A waiver can be initiated by either of the following:
- the Scheme, by its own initiative
- another person or institution, by written request using an approved form.
Internal review of decision to waive funding contribution or late payment penalty
A participating institution dissatisfied with the Scheme's decision whether to waive a funding contribution or late payment penalty may request the Scheme to reconsider their decision through an internal review process.
Any request for a review must be made through the approved form and clearly state the reasons for making the request. The participating institution has 21 days after receiving a notice of decision to lodge a request for a review. This period can be longer if the Scheme allows.
Once a request is received, the decision must be reviewed by the Scheme and not by the person who made the original decision. The Scheme has up to 30 business days to reconsider the decision, and confirm, revoke or vary the decision as it determines is appropriate. If no decision is made within 30 days, it is taken to mean the original decision still stands.
Following a review, the delegate must provide a written notice to the participating institution which states what the final decision is and the reasons for that decision.
Act reference: NRSAct section 153 When funding contribution is due for payment, section 154 Late payment penalty, section 155 Payment of funding contribution and late payment penalty, section 156 Waiver of funding contribution and late payment penalty, section 157 Review of decision about waiving funding contribution or penalty