In 2017, the Building Industry Fairness (Security of Payment) Act 2017 (BIFOLA reform) was passed to reform the project bank accounts framework.
The amendments are designed to simplify the project bank account process while protecting payments for subcontractors.
The new trust account framework will be phased in gradually, and will eventually apply to all eligible contracts valued at $1 million or more. From 1 March 2021, the new framework applies to eligible state government contracts valued between $1 million and $10 million.
The Queensland Building and Construction Commission (QBCC) has designed a trust account tool, to help industry determine whether a particular project requires a project trust account.
Other resources and information relating to the project trust accounts are available on QBCC’s website here.
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