EXPLANATORY STATEMENT
Issued by the authority of the Assistant Minister for Social Services
National Health Act 1953
Continence Aids Payment Scheme Variation 2014 (No. 2)
The National Health Act 1953 (the Act) is an Act relating to the provision of pharmaceutical, sickness and hospital benefits, and of medical and dental services.
Section 12 of the Act provides that the Minister may, by legislative instrument, formulate a Continence Aids Payment Scheme, under which the Commonwealth makes payments as a contribution towards the cost of buying products that help manage incontinence.
Paragraph 12(3)(c) of the Act states ‘…the legislative instrument may provide for … the amount of the contribution that is payable in each financial year in relation to a person who is participating in the scheme’.
Continence Aids Payment Scheme Variation 2014 (No.2) (the Variation)
The Continence Aids Payment Scheme 2010 (CAPS) makes a monetary payment to an eligible person which is intended to contribute towards their costs in purchasing continence aids.
The purpose of the Variation is to increase the contribution in line with indexation arrangements for this payment.
This Determination revokes Continence Aids Payment Scheme Variation 2013 (No. 1).
The difference between the Determinations is that the annual amount of the CAPS payment has been increased in accordance with movements in the Consumer Price Index.
Consultation
Indexation of the CAPS uses a formula based on the indexation figures supplied by the Department of Finance and Deregulation. As this is in accordance with policy upon which consultation was undertaken, no specific consultation was undertaken with respect to this variation.
This Variation commences on 1 July 2014.
The Variation is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Regulation impact statement
The Office of Best Practice Regulation (OBPR) has advised that no Regulation Impact Statement is required. (OBPR ID 16993)
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Continence Aids Payment Scheme Variation 2014 (No.2)
This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of Legislative Instrument
The Continence Aids Payment Scheme 2010 (CAPS) makes a monetary payment to an eligible person which is intended to contribute towards their costs in purchasing continence aids.
The purpose of the Variation is to increase the contribution in line with agreed indexation arrangements for this payment.
Human rights implications
This Legislative Instrument is compatible with the human rights to an adequate standard of living and to the enjoyment of the highest attainable standard of physical and mental health contained in articles 11 and 12 of the International Covenant on Economic Social and Cultural Rights.
This legislative instrument increases the dollar amount of payment under CAPS paid to participating persons. The increase is in accordance with movements in the Consumer Price Index. The increased amount helps to ensure that the level of payment made to participating persons is maintained.
Conclusion
This Legislative Instrument is compatible with human rights because it enhances the protection of human rights.
Senator the Hon. Mitch Fifield
Assistant Minister for Social Services
Overview
The Continence Aids Payment Scheme Variation 2014 (No. 2) is an amendment to the National Health Act 1953, introduced by the Parliament of Australia to address the need for periodic adjustments in the monetary contributions made under the Continence Aids Payment Scheme (CAPS). The primary objective of this variation is to index the annual payments in line with movements in the Consumer Price Index, ensuring that the financial assistance provided to eligible individuals remains adequate and reflects the cost of living changes. The Assistant Minister for Social Services, Senator the Hon. Mitch Fifield, endorsed this legislative instrument, which revokes the Continence Aids Payment Scheme Variation 2013 (No. 1) and takes effect from 1 July 2014. The compatibility of this variation with human rights, particularly the rights to an adequate standard of living and to the highest attainable standard of physical and mental health, was confirmed by the Office of Best Practice Regulation.
Scope and Application
The Continence Aids Payment Scheme Variation 2014 (No. 2) pertains to the National Health Act 1953, which governs the provision of various health benefits and services in Australia. Specifically, the Variation applies to the Continence Aids Payment Scheme (CAPS) established under Section 12 of the Act, which provides financial assistance to eligible individuals to cover the costs of purchasing continence aids. This legislative instrument is a means by which the Minister can adjust the amount of the contribution payable to participants in the scheme, ensuring the payments remain indexed to the Consumer Price Index. The Variation is a legislative instrument under the Legislative Instruments Act 2003, and it revokes the Continence Aids Payment Scheme Variation 2013 (No. 1). It came into effect on 1 July 2014 and is applicable nationally across Australia, providing indexed payments to eligible persons participating in the CAPS. The Variation does not specify any exclusions, exemptions, or thresholds beyond those already defined in the National Health Act 1953 and the original CAPS.
Key Provisions
The Continence Aids Payment Scheme Variation 2014 (No. 2) amends the Continence Aids Payment Scheme 2010 (CAPS) under Section 12 of the National Health Act 1953 (the Act). The Act allows the Minister to formulate a scheme where the Commonwealth contributes towards the cost of continence aids for eligible individuals. This Variation (paragraph 12(3)(c) of the Act) adjusts the annual payment amount based on the Consumer Price Index (CPI) to keep up with inflation. The Variation replaces the Continence Aids Payment Scheme Variation 2013 (No. 1) and took effect on 1 July 2014.
The Variation mandates that eligible participants in the CAPS receive an increased payment, calculated according to the CPI. This change ensures that the financial assistance provided remains relevant and effective in covering the cost of continence aids. The amount of the contribution payable in each financial year is specified in the legislative instrument, aligning with the statutory requirements under Section 12 of the Act.
The primary obligation imposed by this Variation is on the Commonwealth to make increased payments to eligible participants in the CAPS. This obligation ensures that the financial assistance provided keeps pace with inflation, thereby maintaining the real value of the payment. Eligible participants must meet the criteria set out in the original CAPS and continue to be eligible under the amended scheme.
Breaches of the provisions within the Continence Aids Payment Scheme are subject to penalties under the applicable legislation. However, the Variation itself does not specify particular offences or penalties. The maximum penalties for breaches of the National Health Act 1953 may apply, which can include fines and other legal consequences as prescribed by the relevant laws. Compliance with the Variation is crucial to ensure that eligible participants receive the correct amount of financial assistance as intended by the Act.