Aged Care Act 1997 Determination under subsection 44-30(5) (ACA No. 1/1998) (Cth)

(ACA No. 1/1998)

AGED CARE ACT 1997

Determination Under Subsection 44-30(5)

I, WARWICK LESLIE SMITH, Minister for Family Services, acting under Section 44-30(5) of the Aged Care Act 1997, DETERMINE with effect from 1 October 1997 that the Hardship Supplements for the members of eligible classes of people, specified in Section 21.37 of the Residential Care Subsidy Principles 1997, are to be worked out using the methods set out below.

(A)             The hardship supplement for a care recipient who is a member of the class specified in Paragraph 21.37(1)(a) of the Residential Care subsidy Principles 1997is an amount equal to 85% of the difference between (i) the care recipient’s ordinary income plus their income support payment and (ii) the basic age pension amount.

(B)The hardship supplement for a care recipient who is a member of the class specified in Paragraph 21.37(1)(b) of the Residential Care Subsidy Principles is to be worked out by subtracting from the standard resident contribution at the pensioner rate an amount equal to 85% of the maximum family payment entitlement for a person of the care recipient’s age (as calculated under point 1069-A1 of the Social Security Act 1991), plus 85% of any child disability allowance payable for the care recipient (as calculated under point 967 of the Social Security Act 1991).

(C)The hardship supplement for a care recipient who is a member of the class specified in Paragraph 21.37(1)(c) of the Residential Care Subsidy Principles 1997 is the sum of:

(a)the basic income support compensation; and

(b)       the pharmaceutical allowance compensation; and

(c)       the pharmaceutical concessions compensation.

For this class the basic income support compensation is obtained by:

• subtracting the care recipient’s ordinary fortnightly income from an amount obtained by using the formula in subparagraph 21.37(1)(c)(iii) of the Residential Care Subsidy Principles;

• dividing this amount by 28 to obtain a daily amount and rounding this figure to the nearest 5 cents.

The pharmaceutical allowance compensation amount for a particular day is 40 cents.

The pharmaceutical concessions compensation amount for a particular day is $1.40.

(D)The hardship supplement for a care recipient who is a member of the class specified in Paragraph 21.37(1)(d) of the Residential Care Subsidy Principles is the sum of:

(a)       the basic income support compensation; and

(b)       the pharmaceutical allowance compensation; and

(c)       the pharmaceutical concessions compensation.

For this class the basic income support compensation for a care recipient is an amount

equal to the amount of Residential Care Allowance the care recipient was receiving immediately before the commencement of Divisions 2 to 96 of the Aged Care Act

1997, as advised by Centrelink, indexed in line with the Pensioner Supplement.

The Pharmaceutical Allowance Compensation amount for a particular day is 40 cents.

The Pharmaceutical Concessions Compensation amount for a particular day is $1.40.

(E) The hardship supplement for a care recipient who is a member of the class specified in Paragraph 21.37(1)(e) of the Residential Care Subsidy Principles is 80 cents per day.

Dated 28 day of May 1998

WARWICK SMITH

Minister for Family Services