EXPLANATORY STATEMENT
Issued by the authority of the Minister for Human Services
Commonwealth Services Delivery Agency Act 1997
Commonwealth Services Delivery Agency (Functions of Chief Executive Officer — Commonwealth Services and Enabling Services) Direction 2010
Authority
- Subsection 8 (1) of the Commonwealth Services Delivery Agency Act 1997 (the Act) directly confers some functions on the Chief Executive Officer (CEO) of the Commonwealth Services Delivery Agency (Centrelink).
- Under paragraph 8 (1) (c) of the Act, the CEO’s functions also include any functions that the Minister, by writing, directs the CEO to perform.
- Under section 6A of the Act, Centrelink’s function is to assist the CEO in the performance of the CEO’s functions.
Background
4. Subsection 8 (2) of the Act provides that a direction under paragraph 8 (1) (c) is a legislative instrument, but neither section 42 nor Part 6 of the Legislative Instruments Act 2003 applies to the direction. This means that the Commonwealth Services Delivery Agency (Functions of Chief Executive Officer — Commonwealth Services and Enabling Services) Direction 2010 (the Direction) is not subject to disallowance by Parliament and is not subject to automatic sunsetting after 10 years.
5. Paragraph 8 (1) (a) of the Act confers on the CEO the function of delivering ‘Commonwealth services’ in accordance with service arrangements that are entered into with the ‘principal officers’ of Commonwealth Departments and Commonwealth authorities with the prior written approval of the Minister.
6. The term ‘Commonwealth service’ is defined in section 3 of the Act to mean:
‘a service, benefit, program or facility for some or all members of the public that is provided for by the Commonwealth, whether under an enactment or otherwise.’
7. On 16 December 2009, the Minister for Human Services announced that the Government plans to introduce legislation in 2011 to make Centrelink and Medicare Australia part of the Department of Human Services (Department). This initiative is part of the Government’s strategy to improve service delivery to give Australians better access to social, health and welfare services.
Commonwealth services
8. The Department already has flexibility to deliver Commonwealth services. The Direction gives Centrelink’s CEO the same flexibility to deliver Commonwealth services as that possessed by the Department.
9. The Direction provides a function to support the Centrelink CEO’s involvement in Commonwealth service delivery without needing a service arrangement to be entered into, with prior written Ministerial approval, before each Commonwealth service is commenced.
Enabling services
10. On 16 December 2009, the Minister also announced that various enabling services of the Department, Centrelink and Medicare Australia would be brought together.
11. Section 5 of the Direction confers on the CEO the function of providing ‘enabling services’ to any ‘Commonwealth authority’ (as defined in section 3 the Act). The term ‘enabling services’ is defined in the Direction by reference to the services described in the Schedules to the Direction.
12. By giving this function to the CEO, the Direction gives Centrelink’s CEO the same flexibility as that possessed by the Department.
Consultation
13. The Department consulted with Centrelink and Medicare Australia. It was not considered necessary to consult externally because the Direction deals solely with internal governance affecting the Department, Centrelink and Medicare Australia.
Details of Direction
Section 1 – Name of Direction
This section provides that the name of the Direction is the Commonwealth Services Delivery Agency (Functions of Chief Executive Officer — Commonwealth Services and Enabling Services) Direction 2010.
Section 2 – Commencement
Under this section, the Direction commences on 1 March 2010.
Section 3 – Definitions
This section defines the terms ‘Act’, ‘enabling services’, ‘Medicare Australia’ and ‘Portfolio Department’.
The term ‘enabling services’ is defined by reference to the services described in Schedules 1 to 8 of the Direction.
‘Portfolio Department’ is defined as meaning the ‘Department which administers the Act’.
Section 4 — Direction to perform function — Commonwealth services
Under paragraph 8 (1) (c) of the Act, the CEO is directed to perform the functions of:
- providing Commonwealth services;
- providing the related services mentioned in subparagraphs (b) (i) to (vi); and
- providing Commonwealth services together with the Portfolio Department, Medicare Australia or another Commonwealth authority.
In addition to directing the CEO to perform the function of providing Commonwealth services, section 4 of the Direction directs the CEO to provide related services including:
- making employees available to exercise powers or perform functions related to providing Commonwealth services;
- making payments in connection with the provision of Commonwealth services;
- disclosing information about individuals to whom the Commonwealth services relate;
- undertaking enforcement, compliance, investigation activities related to Commonwealth services.
Section 4 also enables the CEO to provide Commonwealth services together with the Portfolio Department, Medicare Australia or another Commonwealth authority. This will enable the CEO and Centrelink to work together with the Department, Medicare Australia or another agency in providing Commonwealth services. This will provide greater flexibility in delivering services to Australians.
A note at the end of section 4 informs readers that the terms ‘Agency’, ‘Chief Executive Officer’, ‘Commonwealth authority’ and ‘Commonwealth service’ are defined in the Act.
Section 5 — Direction to perform function — enabling services
Section 5 directs the CEO to perform the functions of:
- providing enabling services to Commonwealth authorities including the Portfolio Department and Medicare Australia;
- supervising the provision of enabling services by relevant employees of Centrelink, the Portfolio Department and Medicare Australia to the Portfolio Department and Medicare Australia; and
- providing Commonwealth services together with the Portfolio Department, Medicare Australia or another Commonwealth authority.
As noted above, the term ‘enabling services’ is defined by reference to the description of the services set out in Schedules 1 to 8 of the Direction.
Section 5 of the Direction enables the CEO to provide services including: audit and assurance services, communications and media services, human resources and personnel services to Commonwealth authorities including the Portfolio Department and Medicare Australia.
Paragraph 5 (b) allows Centrelink employees to supervise employees of Medicare Australia and the Portfolio Department.
Paragraph 5 (c) enables Centrelink to provide enabling services together with the Portfolio Department, Medicare Australia or another Commonwealth authority. This gives the CEO, together with Centrelink, greater flexibility to provide enabling services across the Human Services Portfolio and to other Commonwealth authorities.
Schedules 1 to 8
Each of Schedules 1 to 8 of the Direction sets out a description of the services for the purposes of the definition of ‘enabling services’ in section 3. The descriptions of the services in Schedules 1 to 8 of the Direction are broad. This provides flexibility for Centrelink in providing the enabling services.
The services set out in the Schedules relate to:
- Audit and assurances services (Schedule 1);
- Communications and media services (Schedule 2);
- Corporate support services (Schedule 3);
- Human resources and personnel services (Schedule 4);
- Information and communications technology services (Schedule 5);
- Information collection, access and release services (Schedule 6);
- Legal services (Schedule 7); and
- Ministerial and parliamentary services (Schedule 8).