Commonwealth of Australia Bills

[Index] [Search] [Download] [Related Items] [Help]


This is a Bill, not an Act. For current law, see the Acts databases.


SOCIAL SERVICES LEGISLATION AMENDMENT (NO. 2) BILL 2015

 

 

 

2013-2014-2015 

 

The Parliament of the 

Commonwealth of Australia 

 

HOUSE OF REPRESENTATIVES 

 

 

 

 

Presented and read a first time 

 

 

 

 

Social Services Legislation Amendment 

(No. 2) Bill 2015 

 

No.      , 2015 

 

(Social Services) 

 

 

 

A Bill for an Act to amend the law relating to social 

security and aged care, and for related purposes 

   

   

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

i 

 

Contents 

Short title ........................................................................................... 1

 

Commencement ................................................................................. 1

 

Schedules ........................................................................................... 2

 

Schedule 1--Income management regime

 

3

 

Part 1--Abolition of certain incentive payments

 

3

 

Social Security Act 1991

 

3

 

Social Security (Administration) Act 1999

 

3

 

Part 2--Vulnerable welfare payment recipients

 

4

 

Social Security (Administration) Act 1999

 

4

 

Part 3--Miscellaneous

 

5

 

Social Security (Administration) Act 1999

 

5

 

Part 4--Consequential amendments

 

10

 

Income Tax Assessment Act 1997

 

10

 

Part 5--Transitional and savings provisions

 

11

 

Schedule 2--Ceasing residential care subsidy for pre-entry 

leave

 

13

 

Aged Care Act 1997

 

13

 

Aged Care (Transitional Provisions) Act 1997

 

14

 

Schedule 3--Aged Care Planning Advisory Committees

 

16

 

Aged Care Act 1997

 

16

 

 

 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

1 

 

A Bill for an Act to amend the law relating to social 

security and aged care, and for related purposes 

The Parliament of Australia enacts: 

1  Short title 

 

  This Act may be cited as the Social Services Legislation 

Amendment (No. 2) Act 2015

2  Commencement 

 

(1)  Each provision of this Act specified in column 1 of the table 

commences, or is taken to have commenced, in accordance with 

column 2 of the table. Any other statement in column 2 has effect 

10 

according to its terms. 

11 

 

12 

   

   

 

 

2 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Commencement information 

Column 1 

Column 2 

Column 3 

Provisions 

Commencement 

Date/Details 

1.  Sections 1 to 3 

and anything in 

this Act not 

elsewhere covered 

by this table 

The day this Act receives the Royal Assent. 

 

2.  Schedule 1, 

Parts 1 to 3 

1 July 2015. 

1 July 2015 

3.  Schedule 1, 

Part 4 

1 January 2016. 

1 January 2016 

4.  Schedule 1, 

Part 5 

1 July 2015. 

1 July 2015 

5.  Schedule 2 

1 July 2015. 

1 July 2015 

6.  Schedule 3 

The day this Act receives the Royal Assent. 

 

Note: 

This table relates only to the provisions of this Act as originally 

enacted. It will not be amended to deal with any later amendments of 

this Act. 

 

(2)  Any information in column 3 of the table is not part of this Act. 

Information may be inserted in this column, or information in it 

may be edited, in any published version of this Act. 

3  Schedules 

 

  Legislation that is specified in a Schedule to this Act is amended or 

repealed as set out in the applicable items in the Schedule 

concerned, and any other item in a Schedule to this Act has effect 

10 

according to its terms. 

11 

Income management regime  Schedule 1 

Abolition of certain incentive payments  Part 1 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

3 

 

Schedule 1

--Income management regime 

Part 1

--Abolition of certain incentive payments 

Social Security Act 1991 

1  Subsection 23(1) 

Repeal the following definitions: 

 

(a)  definition of matched savings scheme (income 

management) payment

 

(b)  definition of voluntary income management agreement

 

(c)  definition of voluntary income management incentive 

payment

10 

2  Parts 2.25D and 2.25E 

11 

Repeal the Parts. 

12 

Social Security (Administration) Act 1999 

13 

3  Section 12J 

14 

Repeal the section. 

15 

4  Subsection 47(1) (paragraphs (fa) and (fb) of the definition 

16 

of lump sum benefit

17 

Repeal the paragraphs. 

18 

5  Subdivision DD of Division 5 of Part 3B 

19 

Repeal the Subdivision. 

20 

Schedule 1  Income management regime 

Part 2  Vulnerable welfare payment recipients 

 

 

4 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Part 2

--Vulnerable welfare payment recipients 

Social Security (Administration) Act 1999 

6  Section 123TA 

Omit: 

 

(b) 

the Secretary has determined that the person is a 

vulnerable welfare payment recipient; or 

substitute: 

 

(b) 

the person is a vulnerable welfare payment recipient; or 

7  Section 123TC (definition of vulnerable welfare payment 

recipient

10 

Repeal the definition, substitute: 

11 

vulnerable welfare payment recipient means a person who falls 

12 

within a class of person prescribed by legislative instrument under 

13 

section 123UGA. 

14 

8  Section 123UGA 

15 

Repeal the section, substitute: 

16 

123UGA  Classes of vulnerable welfare payment recipients 

17 

 

  The Minister may, by legislative instrument, prescribe a class or 

18 

classes of persons who are vulnerable welfare payment recipients. 

19 

Income management regime  Schedule 1 

Miscellaneous  Part 3 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

5 

 

Part 3

--Miscellaneous 

Social Security (Administration) Act 1999 

9  Section 123TC (paragraph (a) of the definition of child

Repeal the paragraph, substitute: 

 

(a)  a child for whom the person is the principal carer; or 

10  Section 123UGC (heading) 

Repeal the heading, substitute: 

123UGC  Exempt welfare payment recipient--person is not the 

principal carer of a child 

11  Paragraph 123UGC(1)(a) 

10 

Repeal the paragraph, substitute: 

11 

 

(a)  at the test time, the person is not the principal carer of a child 

12 

who is a school age child or younger; and 

13 

12  Subparagraph 123UGC(1)(b)(ii) 

14 

Repeal the subparagraph, substitute: 

15 

 

(ii)  within at least 4 of the last 6 fortnights before the test 

16 

time, the person has received less than 25% of the 

17 

maximum basic rate of youth allowance, newstart 

18 

allowance, pension PP (single) or benefit (PP) partnered 

19 

(other than because a compliance penalty period applied 

20 

to the person); 

21 

 

(iia)  within at least 4 of the last 6 fortnights before the test 

22 

time, the person has received less than 25% of the 

23 

equivalent rate of special benefit (other than because a 

24 

compliance penalty period applied to the person); 

25 

13  Subsection 123UGC(1) (note) 

26 

Repeal the note. 

27 

14  Subsection 123UGC(4) 

28 

Repeal the subsection. 

29 

Schedule 1  Income management regime 

Part 3  Miscellaneous 

 

 

6 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

15  Section 123UGD (heading) 

Repeal the heading, substitute: 

123UGD  Exempt welfare payment recipient--person is the principal 

carer of a child 

16  Paragraph 123UGD(1)(a) 

Repeal the paragraph, substitute: 

 

(a)  at the test time, the person is the principal carer of a child 

who is a school age child or younger; and 

17  Paragraphs 123UGD(1)(b) and (c) 

Omit "dependent". 

10 

18  Subsection 123UGD(1) (note 1) 

11 

Repeal the note. 

12 

19  Subsection 123UGD(1) (note 2) 

13 

Omit "Note 2", substitute "Note". 

14 

20  Subsection 123UGD(3) (heading) 

15 

Repeal the heading, substitute: 

16 

Activities relating to children (other than school age children) 

17 

21  Subsection 123UGD(3) 

18 

Omit "dependent". 

19 

22  Subsection 123UGD(7) (definition of dependent child

20 

Repeal the definition. 

21 

23  Section 123UGE 

22 

Repeal the section. 

23 

24  Paragraph 123UH(a) 

24 

Repeal the paragraph, substitute: 

25 

 

(a)  at the particular time, the first person is a child for whom the 

26 

other person is the principal carer; or 

27 

Income management regime  Schedule 1 

Miscellaneous  Part 3 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

7 

 

25  Subsection 123WL(4) 

Repeal the subsection. 

26  Section 123YR 

Repeal the section, substitute: 

123YR  Credit of income management account in error 

 

(1)  If the Secretary is satisfied that an amount (the excess amount) has 

been credited to a person's income management account in error, 

the Secretary may determine, in writing, that: 

 

(a)  the person's income management account is to be debited by 

one or more amounts equal to the excess amount; or 

10 

 

(b)  the person must repay to the Commonwealth, as a debt due to 

11 

the Commonwealth, an amount equal to the excess amount. 

12 

Note: 

Paragraph (b)--for debt recovery, see Chapter 5 of the 1991 Act. 

13 

 

(2)  If the Secretary makes a determination under paragraph (1)(a): 

14 

 

(a)  the Income Management Record is debited by one or more 

15 

amounts equal to the excess amount; and 

16 

 

(b)  the person's income management account is debited by one 

17 

or more amounts equal to the excess amount. 

18 

 

(3)  A determination made under subsection (1) is not a legislative 

19 

instrument. 

20 

27  At the end of Division 8 of Part 3B 

21 

Add: 

22 

123ZJA  Action purportedly taken under Division 6 as a result of 

23 

administrative error 

24 

Scope 

25 

 

(1)  This section applies if: 

26 

 

(a)  the Secretary purports to take action under Division 6; and 

27 

 

(b)  apart from this section, the action is invalid; and 

28 

 

(c)  the action is due to an administrative error. 

29 

Schedule 1  Income management regime 

Part 3  Miscellaneous 

 

 

8 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Relevant excess 

 

(2)  If the action purportedly taken results in an amount (an excess 

amount) being credited to a person's income management account 

in error, the Secretary may determine, in writing, that: 

 

(a)  the person's income management account is to be debited by 

one or more amounts equal to the excess amount; or 

 

(b)  the person must repay to the Commonwealth, as a debt due to 

the Commonwealth, an amount equal to the excess amount. 

Note: 

Paragraph (b)--for debt recovery, see Chapter 5 of the 1991 Act. 

 

(3)  If the Secretary makes a determination under paragraph (2)(a): 

10 

 

(a)  the Income Management Record is debited by one or more 

11 

amounts equal to the excess amount; and 

12 

 

(b)  the person's income management account is debited by one 

13 

or more amounts equal to the excess amount. 

14 

Debt due to the Commonwealth 

15 

 

(4)  If the action purportedly taken results in an amount (an excess 

16 

amount) being paid to a person in error and the person does not 

17 

have an income management account, an amount equal to the 

18 

excess amount is a debt due by the person to the Commonwealth. 

19 

Note: 

For debt recovery, see Chapter 5 of the 1991 Act. 

20 

 

(5)  If the action purportedly taken results in a voucher being given to a 

21 

person in error, an amount equal to the face value of the voucher is 

22 

a debt due by the person to the Commonwealth. 

23 

Note: 

For debt recovery, see Chapter 5 of the 1991 Act. 

24 

 

(6)  If the action purportedly taken results in a stored value card being 

25 

given to a person in error, an amount equal to the monetary value 

26 

of the stored value card is a debt due by the person to the 

27 

Commonwealth. 

28 

Note: 

For debt recovery, see Chapter 5 of the 1991 Act. 

29 

 

(7)  Subject to subsection (8), if the action purportedly taken results in 

30 

a payment being made to the credit of an account held by a person 

31 

with: 

32 

 

(a)  a bank; or 

33 

Income management regime  Schedule 1 

Miscellaneous  Part 3 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

9 

 

 

(b)  a person specified in a legislative instrument made by the 

Secretary for the purposes of subparagraph 123YK(2)(a)(ii) 

or (b)(ii) or 123YL(2)(a)(ii) or (b)(ii); 

in error, an amount equal to the amount of the payment is a debt 

due by the person to the Commonwealth. 

Note: 

For debt recovery, see Chapter 5 of the 1991 Act. 

 

(8)  If an account mentioned in subsection (7) is held by a person 

jointly or in common with another person, each account holder is 

jointly and severally liable for the payment of a debt due to the 

Commonwealth under that subsection. 

10 

 

(9)  If the action purportedly taken results in a payment being made to a 

11 

person by way of a cheque or cash, and the payment is made in 

12 

error, an amount equal to the amount of the payment is a debt due 

13 

by the person to the Commonwealth. 

14 

Note: 

For debt recovery, see Chapter 5 of the 1991 Act. 

15 

Crediting of amounts 

16 

 

(10)  If the action purportedly taken results in an amount (a shortfall 

17 

amount) being debited from a person's income management 

18 

account in error, an amount equal to the shortfall amount must be: 

19 

 

(a)  credited to the Income Management Record; and 

20 

 

(b)  credited to the person's income management account. 

21 

 

(11)  A determination made under subsection (2) is not a legislative 

22 

instrument. 

23 

28  At the end of subsection 123ZN(1) 

24 

Add: 

25 

 

; and (i)  making a payment to cover an invalid action, as mentioned in 

26 

subsection 123ZJA(1). 

27 

Schedule 1  Income management regime 

Part 4  Consequential amendments 

 

 

10 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Part 4

--Consequential amendments 

Income Tax Assessment Act 1997 

29  Section 11-

15 (table item headed "social security or like 

payments") 

Omit: 

matched savings scheme (income management) 

payment under the Social Security Act 1991 .................  

 

52-10 

30  Section 11-

15 (table item headed "social security or like 

payments") 

Omit: 

voluntary income management incentive payment under 

the Social Security Act 1991 ..........................................  

 

52-10 

31  Subsection 52-10(1EA) 

Repeal the subsection. 

10 

Income management regime  Schedule 1 

Transitional and savings provisions  Part 5 

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

11 

 

Part 5

--Transitional and savings provisions 

32  Voluntary income management incentive payment 

Despite the repeal of Part 2.25D of the Social Security Act 1991 by this 

Schedule, a person may accrue a qualifying incentive payment period 

and be qualified for a voluntary income management incentive payment 

under that Part if: 

 

(a)  the person's qualifying incentive payment period: 

 

(i)  began before 1 July 2015; and 

 

(ii)  ends on or after 30 June 2015; and 

 

(b)  the requirements of that Part are otherwise satisfied in 

10 

relation to the person. 

11 

33  Matched savings scheme (income management) payment 

12 

Despite the repeal of Part 2.25E of the Social Security Act 1991 by this 

13 

Schedule, a person is qualified for a matched savings scheme (income 

14 

management) payment under that Part if: 

15 

 

(a)  the person's qualifying savings period: 

16 

 

(i)  began before 1 July 2015; and 

17 

 

(ii)  ends on or after 30 June 2015; and 

18 

 

(b)  the requirements of that Part are otherwise satisfied in 

19 

relation to the person; and 

20 

 

(c)  the person makes a claim, in writing, for the payment on or 

21 

before 31 December 2015. 

22 

34  Vulnerable welfare payment recipients 

23 

(1) 

Despite the repeal and substitution of section 123UGA of the Social 

24 

Security (Administration) Act 1999 by this Schedule: 

25 

 

(a)  a determination made by the Secretary under that section in 

26 

relation to a person on or before 30 June 2015 remains in 

27 

force for the balance of the period that remained immediately 

28 

before 1 July 2015; and 

29 

 

(b)  the provisions of that section continue to apply in respect of 

30 

the determination. 

31 

(2) 

Despite subitem (1), a person may request the Secretary to revoke a 

32 

determination made before 1 July 2015 under section 123UGA of the 

33 

Schedule 1  Income management regime 

Part 5  Transitional and savings provisions 

 

 

12 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Social Security (Administration) Act 1999 in relation to the person. If 

such a request is made, the Secretary must revoke the determination 

accordingly. 

Ceasing residential care subsidy for pre-entry leave  Schedule 2 

   

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

13 

 

Schedule 2

--Ceasing residential care subsidy 

for pre-entry leave 

   

Aged Care Act 1997 

1  At the end of section 42-1 

Add: 

 

(4)  Despite any other provision of this Act, an approved provider 

operating a residential care service is not eligible for 

*

residential 

care subsidy for a care recipient in respect of a day if the care 

recipient is on 

*

pre-entry leave from that service on that day. 

10 

2  After subsection 42-2(3) 

11 

Insert: 

12 

 

(3AA)  For the purposes of paragraph (3)(c), disregard days on which the 

13 

care recipient is on 

*

pre-entry leave from the residential care 

14 

service. 

15 

3  Subsection 42-3(3) 

16 

Omit "on the day of entry", substitute "at the end of the day before the 

17 

day the person enters the residential care service". 

18 

4  At the end of section 52C-3 

19 

Add: 

20 

 

(4)  Steps 2 to 6 of the resident fee calculator in subsection (1) do not 

21 

apply in relation to a day on which the care recipient is, because of 

22 

subsection 42-3(3), taken to be on 

*

leave under section 42-2. 

23 

5  Application provisions 

24 

(1) 

The amendment of section 42-1 of the Aged Care Act 1997 made by 

25 

this Schedule applies in relation to working out whether an approved 

26 

provider is eligible for residential care subsidy in respect of days 

27 

occurring on or after the commencement of this item (regardless of 

28 

whether the pre-entry leave began before, on or after that 

29 

commencement). 

30 

Schedule 2  Ceasing residential care subsidy for pre-entry leave 

   

 

 

14 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

(2) 

The amendment of section 42-2 of the Aged Care Act 1997 made by 

this Schedule applies in relation to days occurring on or after the 

commencement of this item (regardless of whether the pre-entry leave 

began before, on or after that commencement). 

(3) 

The amendment of section 52C-3 of the Aged Care Act 1997 made by 

this Schedule applies in relation to working out the amount of the 

resident fee in respect of days occurring on or after the commencement 

of this item (regardless of whether the pre-entry leave began before, on 

or after that commencement). 

Aged Care (Transitional Provisions) Act 1997 

10 

6  At the end of section 42-1 

11 

Add: 

12 

 

(5)  Despite any other provision of this Act, an approved provider 

13 

operating a residential care service is not eligible for 

*

residential 

14 

care subsidy for a care recipient in respect of a day if the care 

15 

recipient is on 

*

leave from that service on that day because of 

16 

subsection 42-3(3). 

17 

7  After subsection 42-2(3) 

18 

Insert: 

19 

 

(3AA)  For the purposes of paragraph (3)(c), disregard days on which the 

20 

care recipient is on 

*

leave from the residential care service because 

21 

of subsection 42-3(3). 

22 

8  Subsection 42-3(3) 

23 

Omit "on the day of entry", substitute "at the end of the day before the 

24 

day the person enters the residential care service". 

25 

9  Section 58-2 

26 

Before "The maximum daily amount of", insert "(1)". 

27 

10  At the end of section 58-2 

28 

Add: 

29 

Ceasing residential care subsidy for pre-entry leave  Schedule 2 

   

 

 

No.      , 2015 

Social Services Legislation Amendment (No. 2) Bill 2015 

15 

 

 

(2)  Steps 2 to 6 of the resident fee calculator in subsection (1) do not 

apply in relation to a day on which the care recipient is, because of 

subsection 42-3(3), taken to be on 

*

leave under section 42-2. 

11  Section 58-5 

Omit "section 58-2", substitute "subsection 58-2(1)". 

12  Application provisions 

(1) 

The amendment of section 42-1 of the Aged Care (Transitional 

Provisions) Act 1997 made by this Schedule applies in relation to 

working out whether an approved provider is eligible for residential 

care subsidy in respect of days occurring on or after the commencement 

10 

of this item (regardless of whether the period referred to in 

11 

subsection 42-3(3) of that Act began before, on or after that 

12 

commencement). 

13 

(2) 

The amendment of section 42-2 of the Aged Care (Transitional 

14 

Provisions) Act 1997 made by this Schedule applies in relation to days 

15 

occurring on or after the commencement of this item (regardless of 

16 

whether the period referred to in subsection 42-3(3) of that Act began 

17 

before, on or after that commencement). 

18 

(3) 

The amendments of section 58-2 of the Aged Care (Transitional 

19 

Provisions) Act 1997 made by this Schedule apply in relation to 

20 

working out the amount of the resident fee in respect of days occurring 

21 

on or after the commencement of this item (regardless of whether the 

22 

period referred to in subsection 42-3(3) of that Act began before, on or 

23 

after that commencement). 

24 

Schedule 3  Aged Care Planning Advisory Committees 

   

 

 

16 

Social Services Legislation Amendment (No. 2) Bill 2015 

No.      , 2015 

 

Schedule 3

--Aged Care Planning Advisory 

Committees 

   

Aged Care Act 1997 

1  Section 11-4 

Omit "Advice may be sought from an Aged Care Planning Advisory 

Committee (see section 12-7)". 

2  Paragraph 12-1(2)(c) 

Omit "12-7", substitute "12-6". 

3  Section 12-7 

10 

Repeal the section. 

11 

 


[Index] [Search] [Download] [Related Items] [Help]