Commonwealth Numbered Regulations Commonwealth Numbered Regulations(1) For subsection 29A (2) of the Act, an entity must meet the criteria mentioned in this regulation.
(2) The entity must:
(a) be able to provide services in the research field or fields in relation to which the entity has applied to be registered; and
(b) if the entity will subcontract the provision of services to another entity -- be able to:
(i) manage the subcontracting of the services; and
(ii) understand and explain, to the R&D entity to which the services are being provided, the results of the services provided by the subcontractor; and
(c) show an intention to provide services to bodies corporate that are not related bodies corporate (within the meaning given by section 50 of the Corporations Act 2001 ) of the entity.
(3) If the entity charges fees or other charges for providing services:
(a) the fees and charges must be based on ordinary commercial terms ; or
(b) the fees and charges:
(i) must not be subsidised by government resources; and
(ii) must not be inflated to exploit the tax incentive for R&D activities.
(4) If the entity is not an entity mentioned in subregulation (6) or (7), the entity must:
(a) have access to facilities in Australia:
(i) that are suitable for the researchers to carry out their work; and
(ii) that are appropriate to the research field or fields in relation to which the entity has applied to be registered; and
(b) meet the requirements of subregulation (5).
(5) For paragraph (4) (b), the entity must:
(a) employ in Australia at least:
(i) one full-time researcher who has:
(A) a degree in science or technology from an Australian university; or
(B) tertiary qualifications from an overseas education institution that are recognised in Australia as being equivalent to a degree mentioned in sub-subparagraph (A); and
(ii) 4 researchers who are full-time, or full-time equivalent, employees , and who each have:
(A) a degree in science or technology from an Australian university; or
(B) tertiary qualifications from an overseas education institution that are recognised in Australia as being equivalent to a degree mentioned in sub-subparagraph (A); or
(C) at least 5 years of relevant research experience in a single scientific or technological field ; or
(b) if the entity is unable to comply with paragraph (a) -- be able to comply with that paragraph in the near future.
Example for paragraph (b)
One of the entity's 5 full-time researchers resigns. The entity immediately undertakes a recruitment process to fill the researcher position so that the entity complies with paragraph (a).
Publicly controlled
(6) If the entity is owned and controlled by a tertiary education institution or a government research organisation (the controlling institution ):
(a) the controlling institution must be a registered service provider ; and
(b) the entity must have access in Australia to the research and development facilities and research personnel of the controlling institution that will allow the entity to provide services in relation to R&D activities in the research field or fields for which the entity has applied for registration.
Note An entity that meets the criteria in subregulations 3.01 (2), (3) and (6), and is registered under section 29A of the Act, is known as a research service provider (publicly controlled) .
Levy collecting
(7) If the entity is a body that collects levies from R&D entities within an industry (the contributors ) to fund the provision of services in relation to R&D activities, and does so under a contract or memorandum of understanding with a government, the entity must have arrangements for:
(a) making available to the contributors the results of the services provided that were funded by the levies ; and
(b) reporting to the contributors:
(i) about how much of the levies was used for providing services in relation to R&D activities and how much was not; and
(ii) for the levies used for providing services in relation to R&D activities -- a ratio for working out how the levies are to be apportioned between the following:
(A) core R&D activities;
(B) supporting R&D activities.
(8) For subparagraph (7) (b) (ii), the ratio must be based on a reasonable estimate of how the levies were apportioned between core R&D activities and supporting R&D activities.
(9) In this regulation:
"government" means the Commonwealth government, or a State or Territory government.