Enterprise Agreement Guidelines

Private-Plated Vehicles

Entitlement to a private-plated vehicle or allowance in lieu

  1. A private-plated vehicle for work related and private purposes or private-plated vehicle allowance (PPVA) in lieu of the vehicle is provided under clause 29 of the Enterprise Agreement.
  2. Under MOPS(S) Act Determination 2015/10: Where an employee is provided with a private-plated vehicle or PPVA, other Commonwealth Government funded car transport (including, but not limited to, taxis and motor vehicle allowance) may not be used within the employee’s nominated work base except for transport to and from the airport when travelling on official business. This exclusion does not apply where an employee who is provided with a private-plated vehicle has a work base other than Canberra, but garages the private-plated vehicle in Canberra and the vehicle is made available for the use of other staff.

Lease arrangements

  1. It is expected that employees will retain the vehicle for the entire length of the lease term. When determining the term of a lease, Ministerial and Parliamentary Services examines the projected usage of the vehicle (i.e. the number of kilometres likely to be driven), as well as factors such as the warranty provided for the vehicle and the local road and weather conditions. The lease will be reviewed regularly against these projections and may be adjusted to ensure the lease achieves value for money.  Lease terms are typically between two and three years.
  2. If an employee has chosen to have a private-plated vehicle, an interim vehicle may be provided while waiting for the ordered vehicle.  Arrangements for this may be made through the relevant State or Territory Manager. These Guidelines apply equally in respect of an interim vehicle.
  3. Employees should note that, on occasion, the fleet manager has surplus vehicles. These are vehicles that have normally been returned prior to the expiry of the original lease period. As termination penalties for leased vehicles can be large, the fleet manager, in conjunction with the Department, will reassign any surplus vehicle where practicable.
  4. An employee may purchase the vehicle at the end of the lease period (details of arrangements can be obtained from the fleet manager).
  5. At the conclusion of an employee’s employment (or temporary performance progression, if applicable) or the lease, it is the employee’s responsibility to promptly return the vehicle to the fleet manager. Any costs related to the vehicle, incurred between the end of the employee’s employment (or temporary performance progression, if applicable) and the return of the vehicle to the fleet manager, will be the employee’s responsibility.

Vehicle expenses

  1. Fuel and maintenance costs, including comprehensive insurance, are met by the Commonwealth. Fuel cards issued with the vehicle also allow for the use of vehicle washing facilities. The Commonwealth will not meet the costs for car washing facilities that are not accessed with an issued fuel card.  Employees may make reasonable and responsible use of the fuel cards in accordance with these Guidelines.
  2. Odometer readings are required to be recorded when using fuel cards. Where petrol stations do not have provision for electronic recordings of odometer readings, a receipt should be obtained and the odometer reading recorded on it. The receipt should be scanned and forwarded to the Department via email.
  3. Please note that the Department will not authorise payment of accounts where odometer readings are not provided. They are essential to ensure that fuel bills can be matched to vehicle use.  Failure to provide odometer readings will lead to the employee concerned being asked to personally certify accounts for payment and/or the cancellation of the fuel cards.
  4. Employees with a vehicle registered in the ACT receive a ‘B Class label’ which allows the vehicle to be parked in certain restricted parking spaces reserved for Commonwealth vehicles.
  5. Parking and traffic infringement notices (including any related administrative fees) are forwarded to the employee for nomination of the driver and payment by the employee – such costs will not be met by the Commonwealth.
  6. Breakdown and accident services are provided through arrangements made by the relevant vehicle manufacturer with the local roadside service provider. The details of the arrangements are provided with the vehicle.
  7. In the case of an accident where the employee, another MOP(S) Act employee, or a Senator or Member is using the vehicle on official business, the Department will be responsible for paying a any insurance excess. In the case of an accident where the employee, a member of the employee’s family, or other person is driving the vehicle for personal use (e.g. weekends, during approved absences), the employee will be responsible for the excess.
  8. Employees should note that there are exclusions associated with the vehicle insurance. Employees must not do anything which renders void or voidable the insurance policy on the vehicle. For example, insurance will be void and excluded if the driver was under the influence of drugs or alcohol, or does not hold a valid licence to drive the vehicle. Similarly, the insurance will be void if the vehicle is used for personal gain or profit, in a contest, race or trial, or in any way that would negate the manufacturer’s warranty. Further details of the fleet manager’s insurance policy can be obtained from the relevant Entitlements Manager.
  9. When an employee returns a vehicle to the fleet manager at the vehicle changeover, end of lease, end of temporary performance progression, or end of employment, any charges incurred for excess wear and tear, as determined by the fleet manager, are the responsibility of the employee. A guide to fair wear and tear is available on the Ministerial and Parliamentary Services intranet.

Use of a private-plated vehicle

  1. An employee provided with a private-plated vehicle is required to have the vehicle available during work hours for official business use by other employees of the employing Member.
  2. Private-plated vehicles are not to be used for commercial purposes.
  3. Employees may use the vehicle and fuel cards while on approved paid leave of any duration.
  4. Employees may use the vehicle and fuel cards during periods of unpaid leave of up to 30 calendar days’ duration. The vehicle and fuel cards must be returned to the fleet manager during any period of unpaid leave of more than 30 calendar days’ duration, unless the employee agrees to pay the vehicle lease costs and fuel card expenses for the entire duration of the unpaid leave.

Private-plated vehicle allowance

  1. PPVA is taxable and paid fortnightly with salary.
  2. PPVA will be paid from the commencement of employment at an eligible classification and will cease on the day before a vehicle, including an interim vehicle, is made available to an employee.
  3. Where an employee has a vehicle made available to them, he or she may only be paid PPVA after the vehicle is returned at the end of the lease period and a replacement vehicle is not requested.
  4. PPVA is paid in full during any period of leave on full pay; is reduced in line with salary during any period of leave on reduced pay; and is not paid during any period of leave without pay.
  5. The pro rata amount of PPVA for part-time employees whose ordinary hours of work are less than 30 hours per week is calculated in accordance with the formula below.

    Average ordinary hours of work    x    Rate of PPVA
    37 hours 30 minutes
October 2012