Common use of APPLICATION OF THE FUNDS Clause in Contracts

APPLICATION OF THE FUNDS. ‌ 26.1 SRA must only spend the Funds: (a) in accordance with the Act and this Agreement; and (b) in a manner that is consistent with: (i) its current Strategic Plan and AOP; (ii) the Guidelines; and (iii) must otherwise take all reasonable steps to operate in a manner that is efficient, effective, economically and ethically sound. 26.2 The Commonwealth acknowledges SRA may receive funding from other sources, such as the Queensland Government Department of Agriculture and Fisheries (QDAF), and co-invest them with the Funds. 26.3 The Funds may only be applied by SRA as follows: (a) in the case of Research and Development Payments, to Research and Development Activities related to the Industry, for the benefit of the Industry; (b) in the case of Commonwealth Matching Payments, to Research and Development Activities related to the Industry, for the benefit of the Industry, or the Australian community generally or to make payments to the Commonwealth under section 8(3) of the Act; and (c) in the case of Transferred Funds or Transferred Assets, in the same manner as the Research and Development Payments or Commonwealth Matching Payments. 26.4 SRA must not spend the Funds on making payments to Industry Representative Bodies. This does not preclude: (a) payments by way of membership fees where that membership contributes to SRA pursuing the objects of the Act; (b) payments to procure goods or services in accordance with SRA’s procurement policy, and when all of the following conditions are met: (i) the procurement process is open, transparent and, competitive; (ii) the conditions of the transaction between SRA and the relevant body are the same as they would be for an arm’s length transaction with any third party providing those goods or services; and (iii) the arrangement for goods and services incorporates appropriate measures to demonstrate the performance of the relevant body undertaking the task. This assessment must be provided to the Commonwealth on request. 26.5 If SRA spends the Funds other than in accordance with this Agreement or the Act, the Commonwealth may, by written notice to SRA, require SRA to repay all or a part of those Funds to the Commonwealth within the timeframe specified in the notice. 26.6 SRA must publish a copy of any written notice under clause 26.5 in its next annual report.