Greek Orthodox Archdiocese of Australia Consolidated Trust Amendment (Duties) Bill
Page: 21635
Second Reading
The Hon. TONY KELLY (Minister for Justice, Minister for Juvenile Justice, Minister for Emergency Services, Minister for Lands, and Minister for Rural Affairs) [5.14 p.m.], on behalf of the Hon. John Della Bosca: I move:
That this bill be now read a second time.
I seek leave to have the second reading speech incorporated in Hansard.
Leave granted.
The Greek Orthodox Archdiocese of Australia Consolidated Trust Amendment (Duties) Bill 2005 will amend the Greek Orthodox Archdiocese of Australia Consolidated Trust Act 1994 to provide that duty is not chargeable when property is conveyed to the Greek Orthodox Archdiocese of Australia Consolidated Trust from a person who holds that property on behalf of a Greek Orthodox parish or congregation.
The Greek Orthodox Archdiocese of Australia Consolidated Trust was established in 1995. The creation of the Consolidated Trust brought great benefits for the administration and organisation of the Church's affairs, and has enhanced the progress and activities of the Greek Orthodox Church in Australia.
This Bill facilitates the principal purposes of the original legislation, by making it simpler and less costly for Parishes to transfer their property into the Consolidated Trust.
When the Consolidated Trust was created, all property that was held by the existing Greek Orthodox Property Trust was automatically transferred into it. These transfers were exempt from stamp duty under the Act.
For historical reasons, a number of Greek Orthodox Parishes in New South Wales hold Parish property in the names of individual Parish members, as trustees for the Parish; or as companies limited by guarantee. These properties were not automatically transferred into the Consolidated Trust when it was created.
A number of Parishes have chosen to transfer their property into the Consolidated Trust since 1995. A number of other Parishes have indicated that they are interested in transferring property into the Consolidated Trust in the future. These transfers become necessary particularly as many members of the local congregations approach retirement, and are no longer able to be responsible for the upkeep of the property.
Each time that there is a transfer of property into the trust, the Church must apply to the Commissioner of State Revenue for an ex gratia payment of the duty payable on the transaction. The Commissioner has a discretionary power to make an Act of Grace payment of the duty, but the process for exercising this power is time-consuming and resource-intensive. The Commissioner cannot delegate the power.
The Government's policy has been to grant an exemption on each occasion it is requested. However, the Act of Grace procedure is designed to be used only in special cases and on isolated occasions. It is not appropriate that it be used repeatedly in respect of the same kind of transaction.
By providing a statutory exemption from duty when property is transferred into the trust, this Bill will remove the need for the Church and the Office of State Revenue to go through the time-consuming process of respectively applying for and granting an ex gratia payment.
The Bill does not make any changes to the operation of the Consolidated Trust. It does not require any Parish or any person to transfer property to the Consolidated Trust. Transfers will continue to be purely voluntary.
The Bill simply facilitates the voluntary transfer of property from Parishes to the trust.
The Bill has been drafted in consultation with the Church. It also has the support of the Office of State Revenue.
I commend the Bill to the House.
The Hon. DAVID CLARKE [5.14 p.m.]: The Greek Orthodox Archdiocese of Australia Consolidated Trust Amendment (Duties) Bill 2005 has the support of the Opposition. Its purpose is to provide that the duty payable under the Duties Act 1997 is not chargeable when property is conveyed to the Greek Orthodox Archdiocese of Australia Consolidated Trust from a person who holds that property on behalf of a Greek Orthodox parish or congregation. When the consolidated trust was established in 1995 church property held by the existing Greek Orthodox Property Trust was transferred to it exempt from the payment of stamp duty. For a number of reasons there were, at that time—and still are—other church properties held separately by individual parishes that have not been transferred to the consolidated trust.
Since the establishment of the consolidated trust in 1995, as the need has arisen to transfer church properties to the trust it has been necessary to apply to the Commissioner of State Revenue for an exemption from stamp duty. This bill will remove the necessity for seeking such an exemption on each occasion that existing church property is transferred to the consolidated trust. The bill does not alter in any way the structure or operation of the Greek Orthodox Archdiocese of Australia Consolidated Trust. It will provide a simpler, more streamlined and less costly procedure for church property to be placed in the consolidated trust and it has been prepared at the request, and with the assistance, of the Greek Orthodox Church in Australia.
The passing of this bill will give us the opportunity to reflect on the important part played by the Greek Orthodox Church in the life and wellbeing of our nation and, indeed, throughout the world. The Greek contribution to civilisation throughout the ages has been immense. The Greeks gave to the world Plato, Aristotle and Socrates. The concept of democracy stems from the Greeks. Their contribution to mankind in the fields of science, medicine, mathematics, astronomy, as well as in literature and art, is universally recognised. In these fields the Greeks have been like a flowing river, constantly enriching and nourishing mankind throughout the ages.
In the growth and development of Christianity, the Greek contribution has been special and unique. The New Testament, which has transformed, for the better, the lives of many hundreds of millions from all races, was first written in Greek. For the first few centuries of its existence worship within the Christian faith was conducted in the Greek language right throughout the Roman Empire. As the noted ecclesiastical historian Henry Hart Milman recorded:
For some considerable part of the three first centuries, the Church of Rome, and most, if not all the Churches of the West, were, if we may so speak, Greek religious colonies. Their language was Greek, their organisation Greek, the writers Greek, their scriptures Greek, and many vestiges and traditions show that their ritual, their Liturgy, was Greek.
Many church fathers and martyrs were Greek or Hellenised, including Clement of Alexandria, Origen of Alexandria, Gregory the Iluminator, Basil the Great, Saint John Chrysostom, John of Damascus, Saint Cyril and Saint George, to name just a few. The teaching authority and power to administer the sacraments and confer priestly powers possessed today by bishops of the Greek Orthodox Church, including those in Australia, have been passed down in an unbroken line from Jesus Christ Himself. The Greek Orthodox Church has withstood much persecution and hardship in defence and propagation of the faith throughout the ages.
During 500 years of Turkish occupation of Greece and the suppression of the Greek people during that period it was the Greek Orthodox Church that gave inspiration, hope and leadership to the Greek people so that their Christian faith and culture at the end of that occupation remained as strong as it ever had been. And today in Cyprus, despite the destruction and desecration of Greek Orthodox churches and cemeteries, and other provocations by non-Greek elements on that once peaceful Hellenic island, the Greek Orthodox Church brings hope and faith to the great majority of citizens of that island nation.
In Australia the Greek-Australian community is a major contributor to the success of our nation as a peaceful, law-abiding and prosperous land and has been one of our most successful in its integration into the fabric of the Australian nation. I can think of some people in our community who could well learn from the admirable example set by Australians of Greek origin. In conclusion, I pay tribute to Australians of Greek background. I acknowledge with admiration the significant part played by the Greek Orthodox Church in the wellbeing of our nation. In some small way this bill will help facilitate the continuing good work of the Greek Orthodox Church in our community and, therefore, it has the full support of the Opposition.
The Hon. JOHN RYAN [5.19 p.m.]: I, too, use debate on this bill to pay tribute to the Greek Orthodox Church. There has been a Greek Orthodox community in Sydney since 1820 when a monk practised the divine liturgy at Kirribilli Point for several months. The first priest to serve the needs of the Greek Orthodox in Sydney and Melbourne arrived in 1896, and the first Greek Orthodox Church was opened in May 1898 at Surry Hills in New South Wales and was dedicated to the Holy Trinity. For most of the time the archdiocese of Australia also included New Zealand, but the two separated in January 1970. Four years later, on 13 February 1974, His Eminence Archbishop Stylianos was appointed as Archbishop of Australia from other work in Greece, and he arrived in Australia in April 1975.
During the time that Archbishop Stylianos has been administering the affairs of the Greek Orthodox Church in Australia it has flourished under his clear vision and selfless leadership. This is an appropriate occasion on which to pay tribute to Archbishop Stylianos because to the best of my knowledge there would not be many other church leaders who have served for quite as long as Archbishop Stylianos or seen as much growth and development of their community. One of his most important achievements was the completion and establishment of St Andrew's Theological College. The college curriculum is recognised as equivalent to university courses in Australia and in Greece. Archbishop Stylianos is a theologian of international standing. He is the co-chairman of the official dialogue between the Roman Catholic and the Orthodox churches. He is the patron of the Australian Theological Forum and a board member of the new Australian Centre for Christianity and Culture.
Archbishop Stylianos has taught Orthodox theology and spirituality at the University of Sydney. From 1986 he was the Dean of the theological college of St Andrew, established during his time, at which he lectures in systematic theology. Apart from other honorary distinctions, he was given an award for poetry by the Academy of Athens in 1980, and holds an honorary doctorate from Lublin university in Poland. In November 1996 the church sponsored an official visit to Australia of His All Holiness Ecumenical Patriarch Bartholomew. Most significantly, Archbishop Stylianos has served as the head of the Greek Orthodox Church in Australia for 31 years, providing not only clear leadership but also enormous stability. As I said, Archbishop Stylianos received an award for poetry. Indeed, he has written 16 collections of poetry, which shows that he is not only an eminent theologian and servant of the church but also a patron of the literary arts.
There are now more than 30 parishes of the Greek Orthodox Church, not only throughout Sydney but also in Newcastle, Wollongong, Dubbo, Orange, Tamworth, Queanbeyan, Batemans Bay, Goulburn, the Central Coast, Albury and Wagga Wagga. The church carries out many other distinguished works in the community, including operating two schools in Sydney, a number of childcare centres and aged care. Best known of the church's work and relevant to my portfolio responsibility of ageing is the St Basil Homes at Lakemba. St Basil provides a wide scope of quality care for aged clients, including a state-of-the-art nursing home, a dementia unit and two self-care retirement facilities, Lourantos Village and Sister Dorothea Village.
St Basil's nursing home at Lakemba has accommodation for 109 residents in one-bed, two-bed and four-bed wards. Each ward is airconditioned and has been designed for wheelchair use. There are opportunities for private dining, and there are courtyards and a chapel. One outstanding service is the day programs provided for people with dementia. The nursing home provides a special dementia section, with up to 35 clients receiving specialist care provided at the St Basil dementia unit within the Lakemba complex. It is a state-of-the-art facility providing nursing, diversional therapy activities, accommodation and menus specific to the needs of the clients. The residents of the unit are able to be cared for appropriately, with dignity, and in an environment in which they feel secure.
As I said, the Greek Orthodox community also operates two schools. Best known is St Spyridon College, which offers co-education for students in years K-12, providing education to 740 students on two campuses at Kingsford and Maroubra. It was established in 1983 by the St Spyridon parish of East Sydney under the auspices of the Greek Orthodox archdiocese of Australia. It provides services not only to Greek Orthodox families. A number of Serbian Orthodox families also send their children to St Spyridon because there is not yet a Serbian Orthodox school. However, a Serbian Orthodox school is currently being constructed in the south-western Sydney suburb of St Andrews. The community also operates All Saints Grammar School at Lakemba, which caters for students in years K-12. That school was founded in 1990 by the parish community of Belmore. It devotes itself to a foundation of sound Christian ethics and Hellenic heritage.
All Saints Grammar School is a co-educational day school that has been operating for 14 years. The junior school is situated in Hampden Road, Lakemba. It caters for students from years K-6 and has a student enrolment of 388. The senior school is located in Forsyth Street, Belmore, and caters for students from years 7-12. It has a current enrolment of 290 students. Last year it distinguished itself with six students achieving university admission index results of 90 or better in the 2005 Higher School Certificate. The ministry of the Greek Orthodox church in New South Wales has been expanding. It is distinguished and it is wide and varied in its operation, catering for all manner of services such as education, childcare and aged care. No doubt as a result of the passage of this bill, the church will be able to organise its financial affairs more efficiently and continue to carry out the ministry that it provides with great distinction, enormous diligence and care to the residents of New South Wales.
Reverend the Hon. Dr GORDON MOYES [5.26 p.m.]: The object of this bill is to provide that duty under the Duties Act 1997 is not chargeable when property is conveyed to the Greek Orthodox Archdiocese of Australia Consolidated Trust from a person who holds that property on behalf of a Greek Orthodox parish or congregation. The Greek Orthodox Church has a long and great history in New South Wales, as was mentioned by the two previous speakers. The first Orthodox church service was held in Sydney by a chaplain from a Russian Antarctic expedition ship as early as 1820. Then in 1896 the first Greek Orthodox priest arrived in Sydney to minister to the congregation. The first Greek Orthodox Church was opened in May 1898 in Surry Hills, followed by another church in Melbourne, with both being dedicated to the Holy Trinity.
Currently, the Greek Orthodox Archdiocese of Australia has five archdiocesan districts: first, New South Wales and the Australian Capital Territory; second, Victoria and Tasmania; third, the district of South Australia and the Northern Territory; fourth, Queensland and Papua New Guinea; and, fifth, Western Australia. They are all constituted by about 120 parishes. There are 40 parishes in New South Wales, ministering to about 200,000 people. Many of those who minister to congregations are trained by the church's own theological college, namely, St Andrew's Greek Orthodox Theological College, in Redfern, Sydney. The archdiocese includes preschools, primary schools and high schools, as well as the St Basil Homes centred on Lakemba and the Greek Welfare Centre, which are involved in care of the aged, the poor and the needy.
A bill to establish the Greek Orthodox Archdiocese of Australia Consolidated Trust was introduced in late 1994, assented to in November 1994 and commenced operation in February 1995. That bill has greatly assisted the church in its organisational and administrative affairs, providing a stable and solid foundation for developments and activities of the Orthodox church in Australia. This bill makes it simpler and less costly for parishes of the church to transfer their property into the consolidated trust. At the point where the consolidated trust was formed, the property that was held by the existing Greek Orthodox Property Trust was automatically transferred into it. All of these automatic transfers were not subject to stamp duty under the Act.
It is said that for historical reasons a number of Greek Orthodox parishes in New South Wales hold parish property in the names of individual parish members as trustees for the parish or as companies limited by guarantee. Property held in such a way was not automatically transferred into the consolidated trust when the trust was created.
This bill allows for such property to be transferred to the consolidated trust without incurring stamp duty. The second reading speech to the bill indicates that these transfers become necessary, particularly as many members of the local congregations approach retirement and are no longer able to be responsible for the upkeep of the property. Each time there is a transfer of property into the trust, the church must apply to the Commissioner of State Revenue for an ex gratia payment of the duty payable on the transaction. The commissioner has a discretionary power to make an act of grace payment of the duty, but the process for exercising this power is time consuming and resource intensive. The commissioner cannot delegate the power. The Government's policy has been to grant an exemption on each occasion it is requested. I thank several governments under different leaders of political parties who have granted such exemptions, not only to the Greek Orthodox Church, but also to other churches that have sought ex gratia payments.
Clearly, by providing a statutory exemption from duty when property is transferred into the trust, the bill will do away with the need for both the church and the Office of State Revenue to enter into the time-consuming process of respectively applying for and granting an ex gratia payment. In particular, the bill proposes to insert section 21A to provide that duty under the Duties Act 1997 is not chargeable in respect of, or in connection with, a conveyance to the trust of property from a person or body who holds that property on behalf of any parish or congregation of the church. The bill will not introduce any provision other than one that exempts from duty transfers to the trust. The bill does not compel any person to transfer property; it is purely facilitative.
The bill has been drafted in consultation with the Greek Orthodox Church and also has the support of the Office of State Revenue. The Greek Orthodox Archdiocese of Australia seems to be the only church that has had legislation allowing for a consolidated trust in its name. Thus, it is not envisaged that other denominations or churches will need a bill similar in nature to this one. I commend the bill to the House on behalf of the Christian Democratic Party.
The Hon. HENRY TSANG (Parliamentary Secretary) [5.32 p.m.], in reply: I thank honourable members for their constructive contributions to this debate. The bill continues the longstanding Government policy of assisting churches to organise their financial and property affairs by sponsoring legislation in relation to corporate property trusts. I commend the bill to the House.
Motion agreed to.
Bill read a second time and passed through remaining stages.