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Reforms to the Native Title System – Independent Review – Department of Families, Housing, Community Services and Indigenous Affairs

On 3 August 2013 further reforms were announced to the native title system. The reforms are based on the recommendations of the Working Group on Taxation of Native Title and Traditional Owner Benefits and Governance. The Working Group was established to examine existing arrangements for holding, managing and distributing land-related payments, and to identify options to strengthen governance and promote sustainability. The recommendations by the Working Group included:

  • creating a new kind of not-for-profit body with income tax exempt status, called an Indigenous Community Development Corporation entity, for use by Indigenous communities;
  • regulating  private agents involved in negotiating native title agreements;
  • considering a statutory trust that would hold native title benefits where there was no other appropriate entity to hold them;
  • considering a process for the registration of native title agreements; and
  • clarifying that the native title holding community is the beneficial holder of native title benefits. 

The recommendations are expected to enable native title and traditional owner groups to strengthen governance and promote sustainability of land-related payments and other benefits. Also, under the recommendations, the indigenous communities will have access to a new tax-exempt community future fund, Indigenous Community Development Corporation (ICDC). Under the Government’s best practice regulation requirements, a Regulation Impact Statement (RIS) is not required for a regulatory proposal where an independent review or other mechanism has undertaken a process and analysis equivalent to a RIS. The Office of Best Practice Regulation does not assess independent reviews. Instead, an agency is required to self-assess (at the secretary or deputy secretary level) whether a review meets the best practice requirements. The independent review conducted by the Working Group has been certified at the Deputy Secretary level by the Department of Families, Housing, Community Services and Indigenous Affairs.