Natural Disaster Relief and Recovery Arrangements in the Northern Territory Administrative Guidelines 1. AIM OF THE GUIDELINES 3 2. NATURAL DISASTER RELIEF AND RECOVERY ARRANGEMENTS (NDRRA) 3 3. HOW TERRITORY EXPENDITURE IS CALCULATED AND CLAIMED 3 3.1. 4 DEFINITION OF TERRITORY EXPENDITURE 3.1.1. TERRITORY EXPENDITURE EXCLUSIONS 4 3.1.2. EXAMPLES 4 3.2. DEFINITION OF ALLOWABLE TIME LIMIT 5 3.3. DEFINITION OF ELIGIBLE DISASTERS 5 3.4. DEFINITION OF RELIEF MEASURES 5 4. FUNDING 4.1. 6 TREASURER’S ADVANCE 6 5. AGENCY NDRRA RETURNS 6 5.1. GST TREATMENT 6 5.2. AUDITING 7 5.2.1. 5.3. THE AUDIT PROCESS IN THE NORTHERN TERRITORY 7 ESTIMATING DISASTER RELIEF EXPENDITURE 7 6. UPGRADING ASSETS THAT HAVE BEEN DAMAGED FROM AN ELIGIBLE DISASTER EVENT 7 7. CONDITIONS FOR COMMONWEALTH ASSISTANCE 8 7.1. 8 MITIGATION 8. NDRRA PROCESS FLOW CHART 9 9. NDRRA RELIEF MEASURES AND RESPONSIBLE AGENCIES 11 9.1. CATEGORY A MEASURES 11 9.2. CATEGORY B MEASURES 14 9.3. CATEGORY C MEASURES 17 10. NDRRA ADMINISTRATION AND CLAIMS PROCESS 19 August 2011 Page 2 of 24 1. AIM OF THE GUIDELINES The Natural Disaster Relief and Recovery Arrangements Administrative Guidelines outline the: Commonwealth Government Natural Disaster Relief and Recovery Arrangements (NDRRA) Determination, a disaster cost-sharing arrangement between the states and territories; Northern Territory Government claimable expenses (known as Eligible Measures) and related administrative arrangements; and role and function of Northern Territory Government agencies in the event of a natural disaster. Northern Territory Treasury is responsible for updating and maintaining the Administrative Guidelines. 2. NATURAL DISASTER RELIEF AND RECOVERY ARRANGEMENTS (NDRRA) In Australia, the State and Territory Governments have the primary responsibility for dealing with natural disasters. The Commonwealth does however assist with disaster relief and rehabilitation through the NDRRA. The NDRRA is designed to help share the financial burden of disaster recovery between the States and Territories, and the Commonwealth, and provides a cost sharing formula as well as a package of pre-agreed relief measures that may be activated by the Northern Territory Government following an eligible disaster. Under the NDRRA the Territory submits claims to Emergency Management Australia (EMA) for partial reimbursement of expenditure on eligible disaster relief measures for eligible natural disasters. At the Commonwealth level the program is administered by EMA and in the Northern Territory by Northern Territory Treasury. The NDRRA Determination 2011 forms the basis of the NDRRA and establishes (a) the nature of eligible Territory expenditure, (b) the processes for making a claim to the Commonwealth Government and (c) acquittal requirements. The NDRRA Determination 2011 is available on the Emergency Management Australia website. 3. HOW TERRITORY EXPENDITURE IS CALCULATED AND CLAIMED The Northern Territory initially funds assistance measures and then seeks reimbursement from the Commonwealth. The amount of Commonwealth assistance to the Territory is based on a formula. With the exception of personal hardship and distress, the formula reflects the Northern Territory's financial capacity to absorb the cost of disasters. The Northern Territory absorbs a threshold amount of initial costs, but the Commonwealth Government meets an increasing proportion of costs as the total costs increase. The Territory's initial expenditure is called its base amount; the level of expenditure on disasters which it must meet in any financial year before further costs become eligible for Commonwealth assistance. The base amount is recalculated annually by the Commonwealth. August 2011 Page 3 of 24 Under this formula, once the Territory has exceeded a base amount it becomes eligible for reimbursement of half of all additional expenditure. This continues until the Territory spends an amount of 1.75 times the base amount where any spending above this level, is reimbursed at the rate of 75%. Territory NDRRA claims for partial reimbursement are submitted to EMA by Northern Territory Treasury. This usually occurs at the end of the financial year and is based on total Northern Territory Government agency returns. 3.1. DEFINITION OF TERRITORY EXPENDITURE Northern Territory expenditure is the amount spent within a financial year on all eligible measures, within the allowable time limit by the Northern Territory Government. Costs incurred by Local Government are not directly claimable under NDRRA. Local Government costs should be referred to the Department of Housing, Local Government and Regional Services. 3.1.1. TERRITORY EXPENDITURE EXCLUSIONS Territory expenditure does not include costs that the agency would normally incur such as substantive salary costs and other fixed operating costs. Nor does Territory expenditure include costs that are expected to be recovered through any means. Clause 5.2.5 of the Determination identifies the following as non-claimable items: Amounts that the Territory has recovered or may recover from any source Amounts that a person is liable to reimburse to the Territory (including amounts attributable to GST) Amounts directly or indirectly receivable from the Commonwealth under a joint Commonwealth/Territory financial arrangement or some other form of specific purpose financial assistance to the Territory Amounts attributable to salaries or wages or other ongoing administrative expenditure for which the Territory would have been liable even when the eligible measure had not been carried out (eg: substantive salaries) 3.1.2. EXAMPLES Where a permanent employee is deployed to a disaster, the salary is not an eligible cost because it is an existing liability (fixed cost) to the agency. If the substantive position is left vacant because the permanent employee is deployed elsewhere to directly assist with the emergency, then back-filling the position with contracted staff, or through increasing part time hours is an eligible cost (extraordinary cost). If a helicopter is hired to drop off food parcels to an isolated community, the hire of the helicopter is a claimable expense (extraordinary cost). Salaries of permanent employees are not claimable, however staff overtime and on-call allowances is an eligible expense (extraordinary expense). Logistics costs to support the operations (catering, accommodation, specifically purchased personal protective equipment) are eligible expenses. August 2011 Page 4 of 24 3.2. DEFINITION OF ALLOWABLE TIME LIMIT The Commonwealth Government reimburses Territory expenditure on eligible measures for costs incurred up to 24 months after the end of the financial year in which the emergency or disaster occurred (Determination clause 5.3). In exceptional circumstances the Commonwealth may recognise a longer period for the replacement of essential public assets (Refer Category B Measures & Determination clause 3.6). The time limit for reimbursement of financial and personal counselling under Category A is costs incurred up to 12 months after an eligible disaster. 3.3. DEFINITION OF ELIGIBLE DISASTERS The Commonwealth recognises an eligible natural disaster for the purposes of NDRRA as: any one, or a combination of cyclone; flood; storm; storm surge; bushfire, landslide, tsunami, meteor strike, tornado and earthquake. Drought, frost, heat wave, epidemic or events where human activity is a significant contributing cause are not eligible disasters for the purposes of the NDRRA; and where the state expenditure on the eligible disaster exceeds $240,000. 3.4. DEFINITION OF RELIEF MEASURES An eligible measure is an act of relief or restoration adopted by the Territory for a specific eligible disaster event. The package of pre-approved natural disaster relief measures includes assistance for needy individuals, primary producers, small business and non-profit organisations, asset restoration, and community response activities, as detailed below: assistance to a person in genuine need as a direct result of an eligible disaster, for the relief of personal hardship and distress, including the provision of emergency food, clothing and accommodation; psychological counselling adopted to alleviate distress suffered by individuals or communities; essential repairs to housing; and the repair or replacement of essential items of furniture and personal effects; a concessional interest rate loan to a primary producer, or operator of a small business, whose assets (including fodder) have been significantly damaged as a direct result of an eligible disaster and who has no reasonable access to commercial finance but who has a reasonable prospect of long-term viability; a concessional-interest loan to a needy person or voluntary non-profit body whose assets have been significantly damaged and who has no reasonable access to commercial finance; restoration or replacement of an essential public asset to the extent necessary to restore the asset to the equivalent of pre-disaster standard (not withstanding that the asset may be restored or replaced to a higher standard); or August 2011 Page 5 of 24 a community recovery package designed to support a holistic approach to recovery which may comprise a community recovery fund, recovery grants for small business, and/or recovery grants for primary producers. Further details on relief measures are provided in section 10 of these guidelines. NDRRA relief measures are not compensation based. Assistance is targeted at those in the community who are unable to provide for their own recovery. The Northern Territory is responsible for the administration of its relief measures and consequently, the details of disaster assistance available for individuals and organisations may vary between States and Territories eg. eligibility criteria, amount of assistance, and administrative processes. 4. FUNDING Expenditure as a result of a natural disaster should be first met through the agency’s existing budget, where possible. Dependant on the extent of relief and restoration expenditure, undue pressure may be put on agency budgets and additional appropriation may be required to meet such unexpected costs. If budget supplementation is required, agencies may apply for a Treasurer’s Advance. 4.1. TREASURER’S ADVANCE Treasurer’s Advance (TA) is a mechanism to supplement agency budgets for unexpected expenditure. Cabinet Decision 2685 of 20 November 2006 enabled Treasury to set aside each year an amount in TA for the reimbursement of expenditure relating to eligible natural disaster events. This was designed primarily to prevent undue pressure on Agency budgets and ensure Agencies can confidently respond to disaster events without worrying about budget allocation. All TA requests must be coordinated through the Agency budget or finance units and are subject to Treasurer’s approval under the Financial Management Act. TA can be sought on a quarterly basis (September, December, March and June), however agencies may opt to defer their TA request until the next quarter if they have enough existing allocation. Treasury will assess TA requests to ensure they are consistent with the information provided in the monthly returns and supporting documents already provided. Any significant variances will result in delays while seeking clarification. 5. AGENCY NDRRA RETURNS To enable timely reimbursement to be sought from the Commonwealth Government, is it essential that all Agencies forward monthly expenditure returns and supporting documentation to Northern Territory Treasury by the eleventh (11th) working day of the month. The returns should be emailed to finance.ntt@nt.gov.au. Electronic versions of the forms are available from NTT Finance, phone 8999 5402. For information on what constitutes supporting documentation, refer to section 5.2. 5.1. GST TREATMENT Agency expenditure claimed under the NDRRA should be exclusive of GST costs. August 2011 Page 6 of 24 Concessional interest rate loans provided to primary producers, small business operators and voluntary non-profit bodies are input taxed supplies and as such will not attract GST. 5.2. AUDITING It is a requirement of Commonwealth funding under NDRRA that all claims are audited and the results forwarded to EMA within six months of the end of the financial year. Supporting documentation must be available to substantiate all eligible expenditure. Supporting documentation includes Government Accounting System (GAS)/BOXI transaction listings, reports, estimates, purchase orders, invoices, requisitions etc. Documentation must identify the type of expenditure eg repair of flood damage to XXX road, and tie it to the specific disaster event as well as evidence appropriate approval. Where possible, photographs of the damage should also be taken. These documents are sourced by agencies and provided to Treasury. 5.2.1. THE AUDIT PROCESS IN THE NORTHERN TERRITORY To begin the NDRRA audit each year, the auditor requires a transaction listing of the total Territory Government expenditure claimed. From this listing they will then choose a test sample. Supporting documentation for the test sample is then required. The auditor checks to ensure the test sample transactions are eligible, clearly annotated and clearly approved and paid. It is in the Territory’s interest to maintain good record keeping to ensure maximum possible reimbursement from the Commonwealth Government. 5.3. ESTIMATING DISASTER RELIEF EXPENDITURE Agencies are to notify Treasury quarterly of forecast total expenditure for that year and the immediately succeeding year for identified natural disasters on the expenditure breakdown form. Forms for the recording of projected expenditure to provide to EMA in January each year will be provided by Treasury the preceding December. Agencies are to advise Treasury of estimates and timing of expenditure on an eligible disaster as soon as practicable after a disaster has occurred, or when otherwise requested to do so. 6. UPGRADING ASSETS THAT HAVE BEEN DAMAGED FROM AN ELIGIBLE DISASTER EVENT Agencies are to notify Treasury immediately of significant betterment of an essential public asset that is the subject of an NDRRA claim. Commonwealth Government reimbursement of eligible expenditure applies to the restoration of constructed assets to the equivalent of their pre-disaster standard and condition. Should the opportunity be taken to reconstruct an asset to a higher standard, the costs will be eligible if: the asset is an essential public asset; and the Territory informs EMA of its decision to restore the asset to a more disaster-resilient standard, and of its reasons for doing so; and August 2011 Page 7 of 24 EMA is satisfied with the cost effectiveness of the proposal; and EMA is satisfied that the increased disaster-resilience of the asset will mitigate the impact of future natural disasters. Where a constructed public asset is damaged as the result of an eligible natural disaster, betterment as a long-term mitigation strategy should be a considered option. “Effective mitigation can, over a period of time, reduce the vulnerability of communities to natural disasters, and the costs of disasters.” Australian Government Background Paper on Natural Disaster Relief and Mitigation Arrangements. 7. CONDITIONS FOR COMMONWEALTH ASSISTANCE The Territory is to notify EMA as soon as practicable, of the occurrence of an eligible disaster. That notification is to indicate the basis for regarding the disaster as being eligible for assistance under the agreement and is to include, as far as practicable, a preliminary indication of the extent and nature of the damage and of the amount and probable timing of Territory Government expenditure on eligible measures. Northern Territory Treasury is responsible for notifying EMA. Commonwealth financial assistance in relation to the restoration or replacement of an essential public asset of an eligible public undertaking is available for 2 years following the end of the financial year in which the disaster occurred. In exceptional circumstances, expenditure beyond the two year period may be approved by the Commonwealth as eligible for assistance. 7.1. MITIGATION In accordance with the NDRRA Determination, a prerequisite for the provision of assistance other than for personal hardship and distress is: that natural disaster mitigation strategies are in place in respect of likely or recurring disasters, or that a commitment is made to develop and implement the mitigation strategies within a reasonable timeframe. Disaster mitigation includes any measure (prevention or preparedness) taken in advance of a hazardous event aimed at reducing or eliminating the disaster risk or reducing the severity of its impact on communities and the environment, and may include participation in a recognized Commonwealth mitigation program. Responsibility for determining what constitutes an acceptable mitigation strategy for any given area rests with the Territory and Local Governments. Provided the Commonwealth can be satisfied that some commitment and reasonable progress has been made towards the development of strategies, funding of claims will not be withheld. August 2011 Page 8 of 24 NDRRA PROCESS FLOW CHARTS TYPICAL FINANCIAL ARRANGEMENTS FOR NATURAL DISASTER RELIEF AND RECOVERY AGENCY RESPONSIBILITIES Disaster occurs When an Agency anticipates it will incur expenditure following a cyclone, flood, earthquake, bushfire, storm or storm surge the Agency advises Treasury. DCF advises Treasury if/when payment of personal hardship and distress (PHD) is warranted (and the approximate cost of this measure to government). An Agency is to monitor the event and keep Treasury informed of changes to anticipated expenditure. Where an Agency considers that concessional interest loans should be made available a request is made to the Treasurer to approve the provision of such assistance. Agencies continue to monitor actual expenditure (and estimated expenditure) on eligible measures in relation to the disaster –all requisitions, orders, invoices and payment authorisations must identify the relevant disaster. Agencies prepare monthly returns for Treasury detailing actual expenditure (exclusive of GST) in relation to each disaster. Documentation must clearly identify the relevant disaster and include a list of transactions and invoices. 1 August 2011 Page 9 of 24 TYPICAL FINANCIAL ARRANGEMENTS FOR NATURAL DISASTER RELIEF AND RECOVERY TREASURY RESPONSIBILITIES Disaster occurs Treasury seeks advice from NTPFES, DCF, and DLP of: the extent of damage caused by the disaster; whether PHD is provided; and costs relating to NTPFES response activities. Agency advises Treasury of: area affected and the extent of damage estimates of cost Treasury collates information from all Agencies and where expenditure is expected to exceed $240,000 Treasury advises the Commonwealth. Treasury advises all Agencies when relief activities can be claimed under the NDRRA. Treasury advises the Commonwealth if concessional interest loans will be offered. Treasury collates Agency expenditure and reports expenditure and estimates to the Commonwealth on a regular basis. 1 Treasury submits claims to the Commonwealth at the end of each financial year. Treasury to coordinate the audit process. All Agencies documentation is to be received by Treasury each month and therefore readily available for auditor’s scrutiny. August 2011 Page 10 of 24 8. NDRRA RELIEF MEASURES AND RESPONSIBLE AGENCIES The Northern Territory Minister for Emergency Services and the Treasurer are responsible for approving the use of emergency relief measures. The Department of Children and Families administers assistance to individuals for the relief of personal hardship and distress, and to non-profit organisations. The Department of Business and Employment administers concessional interest loans to small business and primary producers. The Department of Housing, Local Government and Regional Services administers grants to local government bodies and other organisations which carry out local government type functions, for the restoration of public assets. The Department of Lands and Planning assists in the restoration of public assets. 8.1. CATEGORY A MEASURES PERSONAL HARDSHIP AND DISTRESS Category A measures are; actions taken to protect life and individual property during an event; and assistance to individuals to alleviate personal hardship and distress (NDRRA Determination clause 3.2). Eligible Time Limit 24 months after the end of the financial year in which the relevant disaster occurred. 12 months after the event for Financial and Personal Counselling Services. Eligible Measures The following is a list of Category A Eligible Measures. a) Immediate relief payments (not means tested) b) Temporary Accommodation Allowance c) Re-establishment Payments ACTIONS TAKEN TO PROTECT LIFE AND INDIVIDUAL PROPERTY Eligible Measure Indicative List of Agencies Extraordinary counter disaster operations of direct assistance to an individual, for example: Operations to protect a threatened house or render a damage house safe and habitable (eg: sand bagging August 2011 Page 11 of 24 or fire breaks to protect an individual property) Pre-emptive evacuation strategies such as community risk assessment (eg: aerial observation and door knocks) and standby costs to establish Emergency Relief Centres. Community Information Meetings Northern Territory Police, Fire and Emergency Services Department of Children and Families Department of the Chief Minister Northern Territory Police, Fire and Emergency Services Department of Children and Families Rescue of stranded individuals or groups Northern Territory Police, Fire and Emergency Services Supply drops of food and water to stranded people either by boat or helicopter Northern Territory Police, Fire and Emergency Services Department of Children and Families ACTIONS TAKEN TO ALLEVIATE PERSONAL HARDSHIP AND DISTRESS (PHD) Establishment, operations and decommissioning of Emergency Relief Centres. Assessment of relief needs to isolated individuals and communities. Food and water supplies to isolated households and communities, including transport costs. Personal hardship and distress grants (PHD Grants). Northern Territory Police, Fire and Emergency Services Department of Children and Families Northern Territory Police, Fire and Emergency Services Department of Children and Families Other agencies for staff employed in affected areas. Northern Territory Police, Fire and Emergency Services Department of Children and Families Department of Children and Families Department of Children and Families Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Councils/Shires Emergency food, clothing and temporary accommodation Essential repairs to housing Replacement of essential household effects Rendering a damaged house safe and habitable by eg: covering the roof with a tarpaulin, electrical safety inspections. August 2011 Page 12 of 24 Removal of debris from residential properties to make properties safe and habitable (eg: removing large tree branch from roof to deem property safe and habitable). Portable housing where there is large scale destruction. Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Councils/Shires Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Department of Children and Families Loan of portable and/or temporary medical equipment for the duration of the event to individuals (eg: oxygen bottles) – equipment provided to hospitals is excluded. Department of Children and Families Public information and communication programs This may include: Department of the Chief Minister Northern Territory Police, Fire and Emergency Services Department of Children and Families Public information meetings. Public newsletters. Public outreach programs. Relief and recovery websites. Public Hotline. Personal and financial counselling to alleviate hardship and distress for first 12 months. Department of Children and Families In rural areas specifically: Northern Territory Police, Fire and Emergency Services Department of Children and Families Department of Lands and Planning Councils/Shires Emergency transport for displaced or isolated people (eg: special bus service to enable a small town that is reliant on a damaged rail network to reach essential services, and school bus passes for displaced students). August 2011 Page 13 of 24 8.2. CATEGORY B MEASURES PUBLIC ASSETS, GRANTS AND COUNTER DISASTER OPERATIONS Category B measures provide (Determination clause 3.3): Loans, subsidies or grants to alleviate the financial burden of costs incurred by certain businesses and primary producers, voluntary non-profit bodies and individuals as a direct result of a natural disaster (Determination clause 3.7). Restoration and replacement of certain essential public assets damaged as a direct result of a natural disaster (Determination clause 3.6) Counter disaster operations for the protection of the general public (Determination clause 3.8) Allowable Time Limit (Determination clause 5.3) Expenditure may be incurred within 24 months after the end of the financial year in which the relevant disaster occurred. In exceptional circumstances for restoration and replacement of essential public assets, a longer time limit may be permitted by the Commonwealth Government upon application by the Territory. Eligible Measures The following is a list of Category B Eligible Measures. Clean up and relief grant – eligible claim limits (Determination Schedule 1). A maximum grant of $5 000 for needy individuals. A maximum grant of $10 000 for voluntary non-profit bodies. A maximum grant of $5 000, and up to $20 000 in exceptional circumstances for small business and primary producers. A maximum loan of $100 000 in exceptional circumstances for small business and primary producers. Relief grants beyond these limits may be considered under Category D Extraordinary Measures. ACTIONS TAKEN TO RESTORE OR REPLACE AN ESSENTIAL PUBLIC ASSET An essential public asset is an asset of an eligible undertaking that in the judgment of the Territory (Determination clause 3.6.4): Is an integral and necessary part of the Territory’s infrastructure; and would, if lost or damaged, severely disrupt the normal functioning of a community; and would if lost or damaged, be restored or replaced as a matter of urgency. August 2011 Page 14 of 24 An eligible undertaking is a body that is one of the following: A department or other agency of a Territory government; or Established by or under a law of a territory for public purposes (for example, a local government body), and Provides community, social or economic services free of charge or at a nominal charge well below the cost of production. Local government owned water and sewerage systems for example that are non-commercial are eligible. The Commonwealth Minister may agree to treat other bodies as eligible undertakings upon written request by the Territory. An asset being restored or replaced must be done in accordance with current building and engineering standards to be a claimable measure. Essential Public Asset Betterment (Determination clause 3.6.5) Betterment means the restoration or replacement of the asset to a more disaster resilient standard than its pre-disaster standard. Betterment of an asset will be considered an eligible measure if: i. ii. The asset is an essential public asset; and The Territory informs EMA of its decision to restore the asset to a more disaster-resilient standard, and of its reasons for doing so; and iii. EMA is satisfied with the cost effectiveness of the proposal; and iv. EMA is satisfied that the increased disaster-resilience of the asset will mitigate the impact of future natural disasters. Northern Territory Treasury’s NDRRA contact can provide further advice on eligibility at the time. SUBSIDIES AND LOANS TO SMALL BUSINESS AND PRIMARY PRODUCERS Clean up and relief grant – eligible claim limits (Determination Schedule 1). A maximum grant of $10 000, and up to $25 000 in exceptional circumstances for small business and primary producers. A maximum loan of $100 000 in exceptional circumstances for small business and primary producers. Relief grants beyond these limits may be considered under Category D Extraordinary Measures. COUNTER DISASTER OPERATIONS TO PROTECT THE GENERAL PUBLIC The Commonwealth Government is reluctant to provide a detailed list of eligible measures because each event is different. The following is a list of eligible measures that have been claimed previously by states and territories for Category B. The Department of Treasury and Finance will check with EMA at the time on measures that need to be clarified. Eligible Measure Indicative List of Agencies Aerial Fire Fighting including spotting and aerial command Northern Territory Police, August 2011 Page 15 of 24 operations to protect life and property Plant hire (vehicles, plant and equipment) to support Category B activities. Fire and Emergency Services Temporary traffic management required for public safety. Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Councils/Shires Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Councils/Shires Fire breaks and sand bagging to protect the community at large. Northern Territory Police, Fire and Emergency Services Aerial surveys of disaster area (rapid damage assessment) Northern Territory Police, Fire and Emergency Services Department of Lands and Planning Disposal site for demolition waste Department of Lands and Planning Felling of damaged trees on Crown lands for public safety. Department of Lands and Planning Removal and disposal of dead animals (domestic or wildlife) Department of Natural Resources, Environment, The Arts and Sport Department of Lands and Planning Councils/Shires Relocation of public stores, plant and equipment to a place of safety. NT Government agencies Restoration of replacement of public buildings or other Government Department of Lands and Planning Councils August 2011 Page 16 of 24 8.3. CATEGORY C MEASURES COMMUNITY RECOVERY PACKAGE Agreement between the Commonwealth and the Territory Chief Minister MUST occur prior to announcement of the Category C Community Recovery Package. The Community Recovery Package consists: A community recovery fund to restore social networks, functioning and community facilities. This may also include clean up and recovery grants for charities and non-profit organisations. Expenditure is aimed at community recovery, community development and community capacity building for the future. Clean up and relief grants for primary producers Clean up and relief grants for small businesses (refer NDRRA Community Recovery Guidelines 2011 – page 17 – 19 for definition of ‘small business’) Category C measures are tailored to the needs of the impacted community. Refer NDRRA Determination clause 3.4 and Community Recovery Package Guidelines. Allowable Time Limit (Determination clause 5.3) 24 months after the end of the financial year in which the relevant disaster occurred. Eligible Measures (a) Community Recovery Package 4 Possible measures include, but are not limited to (Determination Guideline 4/2011). Employment of community development worker/s Funding for a range of community activities Grants to community service organisations providing recovery services Assistance for restoration of facilities owned by non-profit organisations Community information initiatives Funding commemorative events and/or memorials Advocacy and monitoring services Tourism and small business initiatives Economic development initiatives Heritage and cultural site initiatives The Community Recovery Package may include clean up and recovery grants for Charities and Non-profit Organisations Environmental restoration initiatives are not eligible measures under the NDRRA (Recovery Package Guidelines pg 3). August 2011 Page 17 of 24 (b) Clean Up and Relief Grants Eligible claim limits (Determination Schedule 1): A maximum grant of $10 000 for voluntary non-profit bodies. A maximum grant of $10 000, and up to $25 000 in exceptional circumstances for small business and primary producers. Relief grants beyond these limits may be considered under Category D Extraordinary Measures. . 1. Clean up and relief grant for small business The grant contributes to the cost of clean-up and restoration to assist small business to continue operations as quickly as possible. Grants may also be provided to assist with the costs of relocation to temporary premises in cases where immediate re-opening of damaged premises is not possible. The definition of ‘Small Business’ is explained in the NDRRA Community Recovery Package Guidelines (page 16). Assistance Package Example (Refer page 16 of the NDRRA Community Recovery Package Guidelines 2011): Tier 1: A grant of up to $X to all eligible small businesses. Applicants should be advised to keep all quotes, estimates or receipts in case they wish to make a further claim under tier 2. Tier 2: A grant of up to $Y based on the provision of evidence of impact/cost and quotes or receipts/tax invoices for total funds claimed where cost are in excess of tier one payment. This payment may be made up front, or a reimbursement of costs. Tier 2 applicants must certify that insurance has been refused, or that their insurance will not cover all the costs. Applicants may lodge a grant application pending the outcomes of an insurance claim. In these cases it is the applicant’s responsibility to advise [the agency] of the outcome of the claim. Written evidence from the applicant’s insurer of the outcome of the claim must be provided. Clean up and relief grant for primary producers The grant aims to provide short term assistance for clean-up, removal of debris, disposal of dead livestock, and further restoration following a natural disaster where the impact on the farming sector has been particularly severe and could result in production and viability being disrupted beyond the current season. Assistance Package Example used by South Australia: Eyre Peninsula Bushfires (January 2005) Emergency Farm Business Support Grant (up to $10,000) to farmers to purchase emergency fodder, water, temporary fencing, transport livestock to agistment fees, emergency repairs to plant, vehicles. August 2011 Page 18 of 24 9. NDRRA ADMINISTRATION AND CLAIMS PROCESS Northern Territory Treasury processes Agencies involved References Determine if the event is an Eligible Event Northern Territory Treasury contacts Northern Territory Police, Fire and Emergency Services, the Department of Lands and Planning and the Department of Children and Families. Other agencies advise Northern Territory Treasury and provide preliminary expenditure estimates, as required. Territory expenditure on eligible measure for Category A, B, C and D. Northern Territory Treasury NDRRA Determination Attachment A. Determination clause 4.2 Preliminary estimates provided by Northern Territory Treasury to EMA Northern Territory Treasury Northern Territory Government Agencies Preliminary estimates Provide advice on NDRRA financial thresholds and eligible measures Northern Territory Treasury Eligible measures EMA letter advising of annual thresholds If Territory expenditure on eligible measures has, or is likely to reach the small disaster criterion of $240,000. Notify EMA of the eligible event EMA will provide Northern Territory Treasury with an event number Provide advice to Territory Government agencies and Ministers as required. Provide advice to government on approval processes, and where necessary seek any appropriate approvals. Page 19 of 24 Natural Disaster Financial Assistance Arrangements Northern Territory Treasury processes Agencies involved References Northern Territory Treasury Northern Territory Government Agencies Northern Territory Treasury Northern Territory Government Agencies Northern Territory Treasury Northern Territory Government Agencies Notify and advise Northern Territory Government Agencies Provide Northern Territory Government agencies with: List of eligible measures to capture. Eligible measures Agency eligible event claim form NDRRA Determination clause 4.3.3 Australian Government Reference Number (AGRN) provided by EMA. Agency eligible event claim template and instructions. Advise Northern Territory Government Agencies of protocol for publicity of Commonwealth contribution, in all: announcements of assistance to victims, such as press releases and websites. recovery centres or the like, and advice to the public about the availability of relief and recovery assistance. Evidence that acknowledgement has occurred is to be provided to the Commonwealth by Northern Territory Treasury at the time the Territory submits a claim. Advise Northern Territory Government Agencies of the need to develop mitigation strategies or participate in a recognised Commonwealth mitigation program. September 2009 Page 20 of 24 Natural Disaster Financial Assistance Arrangements Northern Territory Treasury processes Agencies involved References Category B & D Measures: Evidence of appropriate mitigation NDRRA Determination clause 4.4 and NDRRA Guideline 3 Northern Territory Government Agencies Northern Territory Treasury Northern Territory Treasury NDRRA Determination clause 4.3 NDRRA Determination clause 4.4 NDRRA Determination clause 6.1 General claim form - Attachment B 207 Determination Expenditure breakdown form - Attachment C 2011 Determination A condition of NDRRA assistance for restoration or replacement of an essential public asset is that the Territory has developed and implemented natural disaster mitigation strategies in respect of likely or recurring disasters, and has also encouraged local government bodies to develop and implement such strategies. Submitting a claim to the Commonwealth Government The claim for the Territory is submitted at the end of the financial year by Northern Territory Treasury. The claim includes evidence of: breakdown of expenditure by category publicity of Commonwealth contribution. statement of any mitigation strategies implemented or proposed. Providing an Audited Financial Statement for expenditure incurred The claim for the Territory must be audited within 6 months of the financial year. The audit is arranged by Northern Territory Treasury. Northern Territory Treasury NDRRA Determination clause 7 Independent Audit Report – Attachment D 2011 Determination Audited Financial Statement claim form – Attachment E 2011 Determination September 2009 Page 21 of 24 Natural Disaster Financial Assistance Arrangements Northern Territory Treasury processes Agencies involved References Expenditure Estimates to EMA Northern Territory Treasury NDRRA Determination clause 4.6 Format to be returned is provided annually by EMA. Northern Territory Treasury Northern Territory Government Agencies Post Disaster Assessment Report Northern Territory Treasury Event feedback and review. The Territory must provide for budgetary purposes its latest estimates of total state expenditure for the remainder of the current financial year, and for the next financial year. The estimates must be provided by 31 January of each year, and if EMA request at any other time. Submit a Post Disaster Assessment Report Post Disaster assessment reporting allows for the collection of consistent national data on the cost of natural disasters and will enable improved national understanding on the cost of response, relief and recovery measures. A Post Disaster Assessment Report must be submitted to EMA within three years after the end of the financial year in which an eligible disaster occurred. Maintain and Develop NDRRA Administrative Guidelines Review and update the Guidelines annually or after each eligible event. September 2009 Page 22 of 24 Natural Disaster Financial Assistance Arrangements Territory Government Agencies References Collection and reporting on eligible measures Agency eligible event template Eligible measures NDRRA Determination clause 4.3. It is important that agencies start to capture costs as early as possible. Implement systems to capture eligible measures. Provide expenditure reports to NTT Finance, Northern Territory Treasury by completing the agency eligible event claim template. Provide estimates for expenditure on a quarterly basis. The claim form and other expenditure reports to Northern Territory Treasury must state the AGRN Recognition of Commonwealth Contribution If the Commonwealth provides (or is likely to provide) assistance to the Territory for an eligible measure, the Territory must acknowledge the Commonwealth’s contribution of relief and recovery assistance. Evidence of any acknowledgment that has occurred is to be provided to Northern Territory Treasury. This usually occurs through the Department of the Chief Minister and Northern Territory Treasury however may also appear in announcements of assistance to victims, such as press releases and websites; in recovery centres or the like; or in advice to the public about the availability of relief and recovery assistance September 2009 Page 23 of 24 Natural Disaster Financial Assistance Arrangements Territory Government Agencies Category B and D - Statement of Mitigation A condition of NDRRA assistance for restoration or replacement of an essential public asset is that the Territory has developed and implemented natural disaster mitigation strategies in respect of likely or recurring disasters, and has also encouraged local government bodies to develop and implement such strategies. References Agencies claiming for restoration and replacement of Essential Public Assets (Cat B and D) will need to provide evidence of appropriate natural disaster mitigation strategies. NDRRA Determination clause 4.4 September 2009 Page 24 of 24