EXPLANATORY STATEMENT
Issued by the authority of the Minister for Human Services
Medicare Australia Act 1973
Medicare Australia (Functions of Chief
Executive Officer) Direction 2011 (No. 1)
Authority
- Under paragraph 5(1)(d) of Medicare Australia Act 1973 (the Act), the Minister may give the Chief Executive Officer (Medicare Australia CEO) of Medicare Australia a written direction to perform specified functions. The Medicare Australia CEO has a number of functions under subsection 5(1) of the Act.
Background
2. Subsection 5(2) of the Act provides that a direction under paragraph 5(1)(d) 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 Medicare Australia (Functions of the Chief Executive Officer) Direction (No. 1) (the Direction) is neither subject to disallowance by Parliament nor automatic sunsetting after 10 years.
3. Medicare Australia currently works closely with Centrelink and the Department of Human Services in relation to the delivery of benefits and services to the public. The Service Delivery Reform initiatives announced by the Minister for Human Services on 16 December 2009 are increasing the interaction and co-operation between these agencies. The Government has announced an intention to merge Medicare Australia and Centrelink into the Department of Human Services on
1 July 2011, subject to the passage of legislation.
Management services
4. To support the stronger links between the Department of Human Services, Medicare Australia and Centrelink, it is proposed to bring some parts of the Department of Human Services and Centrelink under the day to day management of the Medicare Australia CEO. Some parts of Medicare Australia will be brought under the day to day management of the Chief Executive Officer of Centrelink. This will enable similar functions undertaken by the Department of Human Services, Medicare Australia and Centrelink to be better co-ordinated and aligned. This is intended to improve efficiency and the quality of the services provided to the public.
5. The accountabilities of the Medicare Australia CEO and the Chief Executive Officer of Centrelink will not change. It is not proposed that the Medicare Australia CEO assume responsibility for the delivery of any program currently delivered by the Department of Human Services or Centrelink.
6. This Direction expands the statutory functions of the Medicare Australia CEO to enable her to assist the Secretary of the Department of Human Services and the Chief Executive Officer of Centrelink. It is intended that the specific assistance that will be provided will be the provision of management services.
7. This direction is intended to operate in parallel with the Commonwealth Services Delivery Agency (Functions of the Chief Executive Officer – Management Services) Direction 2010 which expands the statutory functions of the Chief Executive Officer of Centrelink to enable her to assist the Secretary of the Department of Human Services and the Commonwealth Services Delivery Agency (Functions of the Chief Executive Officer) Direction 2011 (No. 2), which expands the statutory functions of the Chief Executive Officer of Centrelink to enable her to assist the Medicare Australia CEO.
8. The Direction commences the day it is registered on the Federal Register of Legislative Instruments.
Consultation
9. It was not considered necessary to consult stakeholders external to the Government in relation to this Direction because the Direction deals solely with the internal governance arrangements for the Department of Human Services, Medicare Australia and Centrelink.