EXPLANATORY STATEMENT

Migration Act 1958

Migration Regulations 1994

VISA CAPPING FOR 2005/2006 FINANCIAL YEAR: CONTRIBUTORY AGED PARENT (RESIDENCE) (CLASS DG) VISAS

(SECTION 85)

1. This Notice Instrument is made under regulation 1.17 of the Migration Regulations 1994 (‘the Regulations’) and section 85 of the Migration Act 1958 (‘the Act’).

Regulation 1.17 of the Regulations provides that the Minister may, by notice published in the Gazette, specify matters required by individual provisions of the Regulations to be specified for the purpose of those provisions.

2.                  Section 85 of the Act provides allows the Minister the power to determine by Gazette Notice, the maximum number of the visas of a specified class or the visas of specified classes that may be granted in a specified financial year.

3.                  Clause 864.214 of Schedule 2 to the Migration Regulations 1994 (‘the Regulations’) provides that an applicant for a Contributory Aged Parent (subclass 864) visa who, at the time of application, is neither (a) the holder of a Subclass 884 (Contributory Aged Parent (Temporary)) visa, nor (b) the holder of a substituted Subclass 676 visa, the applicant must satisfy the balance of family test.

The Contributory Parent Category was introduced in 2003 to enable the expansion of the parent migration programme, thus addressing the demand in the pre-existing Parent Category while minimising the potential cost to the Commonwealth budget of an increase in Australia’s aged population.

The Contributory Parent Category consists of 4 visa classes – the Contributory Parent (Migrant) (Class CA) visa, the Contributory Parent (Temporary) (Class UT) visa, the Contributory Aged Parent (Residence) (Class DG) visa and the Contributory Aged Parent (Temporary) (Class UU) visa. A cap of 3,500 visas is placed on the Contributory Parent Category for the 2005-2006 financial year.

Within the permanent Contributory Aged Parent (Residence)(Class DG) Category visas, applicants are made up of those who:

are applying directly for a permanent Contributory Parent Category visa without having previously held a relevant  temporary Contributory Parent Category visa; or

are applying for a permanent Contributory Parent Category visa having previously held a relevant temporary Contributory Parent Category visa.

Applicants who are applying directly for a Contributory Parent Category visa without having previously held a temporary Contributory Parent Category visa are identified under clause 143.213 for Contributory Parent (Migrant) (Class CA) visa applicants and clause 864.214 for Contributory Aged Parent (Residence) (Class DG) visa applicants.

4.                   The purpose of this Instrument is to impose a cap on the number of Contributory Aged Parent (Residence) (Class DG) visas granted to those people who satisfy clause 864.214 of Schedule 2 to the Regulations for the 2005/-2006 financial year., so that this cap will not prevent Contributory Aged Parent (Temporary) (Class UUT) visa holders from being granted their permanent visa (Contributory Aged Parent (Residence) (Class DG)Contributory Parent (Migrant) (Class CA))).  They do not need to be subject to this cap, as they have already been counted in the migration programme when they were granted their Contributory Aged Parent (Temporary) (Class UUContributory Parent (Temporary) (Class UT) ) visa.This visa is subject to visa capping due to high demand and limited number of places available. Once the limit for a specific financial year has been reached, no further visas can be granted in that financial year.  This will affect only a small number of applicants this financial year.  Their applications will be carried over and decided early in the 2006/2007 financial year.

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The purpose of the Instrument is to impose a cap on the number of visa grants for the Non-Contributory Parent Category (‘the Parent Category’) over the 20054-20065 financial year. The Contributory Parent Category consists of 42 visa classes – the Contributory Parent (Class CAX Parent-  (Migrant), visa ‘(the Parent (Migrant) class visa’) and the Contributory Parent (Class UT-Temporary)BP Aged Parent (Resid, Contributory Aged Parent (Class DG Residence)ence) visa and the Contributory Aged Parent (Class UU-Temporary)(‘the Aged Parent (Residence) class visa’). A cap of 3,5001000 visas is placed on the Contributory Parent Category for the 20054-20065 financial year. Relevantly, this Instrument imposes a maximum number of 400 Contributory320 Aged Parent (Residence) class and Contributory Aged Parent (Class UU-Temporary) visas that may be granted for the 20054-20065 financial year. A separate Instrument imposes a cap of 3,100680 the Contributory Parent (Class CA- Migrant) and the Contributory Parent (Class UT-Temporary), Parent (Migrant) class visas that may be granted over the same financial year.   

5. The Contributory Aged Parent (Residence) class and the Contributory Aged Parent (Class UU-Temporary) visas are is subject to visa capping due to high demand and limited number of places available. Due to the high demand and limited number of places, the parent category is subject to capping and queuing. Once This means that once the limit set by the Government for this visa classthe Contributory Aged Parent (Residence) class and the Contributory Aged Parent (Class UU-Temporary) Aged Parent (Residence) class visas  for thea Migration Program Yearspecific financial year has been reached, no further visas can be granted in that Program Yearfinancial year. Once a cap is reached, aApplicants are wait in a queued until a place becomes available.  There are approximately 30020,000 people waiting for a decision on a Contributory Aged Parent (Residence) class and the Contributory Aged Parent (Class UU-Temporary) Parent (Migrant) or an Aged Parent (Residence) class visa. application. 

6. The Queuing mechanism is a method of managing the parent caseload so that the visa places available under the parent program are allocated in an orderly way until the numeric target or cap is met.  Queuing eliminates unnecessary requests for the payment of second instalments of visa application charges and bonds.  Applicants know where they stand well in advance and it is more precise.  The queue is a continuum used both before and after the cap is reached.

Relevantly, tThis Instrument operates to imposes a maximum number of xxx365  Contributory Aged Parent (Residence) (Class DG) visas that may be granted for the 2005/-2006 financial year to those people who satisfy clause 864.214 of Schedule 2 to the Regulations. Separate Instruments impose a cap of xxx Contributory Parent (Temporary) (Class UT) visas, xxx Contributory Parent (Migrant) (Class CA) visas and xxx Contributory Aged Parent (Temporary) (Class UU) visas that may be granted over the same financial year.

5.                   

The Contributory Aged Parent (Residence) (Class DG) visa is subject to visa capping due to high demand and limited number of places available. Once the limit set by the Government for the Contributory Aged Parent (Residence) (Class DG) visa for a specific financial year has been reached, no further visas can be granted in that financial year.  This will affect only a small number of applicants this financial year.  Their applications will be carried over and decided early in the 2006-2007 financial year.

This will affect only a small number of applicants this financial year. Applicants are queued until a place becomes available.  There are approximately 250 people waiting for a decision on a Contributory Aged Parent (Residence) (Class DG) visa.

11.6.  The Contributory Aged Parent (Residence) (Class DG) visa is also subject to queuing.  The Queuing mechanism is a method of managing the parent caseload so that the visa places available under the parent program are allocated in an orderly way until the numeric target or cap is met.  Queuing eliminates unnecessary requests for the payment of second instalments of visa application charges and bonds.  Applicants know where they stand well in advance and it is more precise.  The queue is a continuum used both before and after the cap is reached.

7. The Contributory Parent Category was introduced in 2003 to enable the expansion of the parent migration program, thus addressing the demand in the pre-existing Parent Category while minimising the potential cost to the Commonwealth budget of an increase in Australia’s aged population.  The Contributory Parent Category for 20054-20065 was not to exceed 3, 500 places. 

86. The Instrument operates to specify the number of Contributory Aged Parent (Residence) class and the Contributory Aged Parent (Class UU-Temporary) Aged Parent (Residence) class visas that may be granted for the 20054-20065 financial year.  

There are no documents incorporated in the instrument by reference.

967. This Instrument does not have a direct, or a substantial indirect, effect on business or restrict competition (subsection 17(1) of the Legislative Instruments Act 2003 refers). As such, consultation was not undertaken.

7.              108. The Instrument, IMMI 06/045, commences on the first moment of the day after registration on the Federal Register of Legislative Instruments. following the day when the Instrument is registered (the default commencement, paragraph 12(1)(d) of the Legislative Instruments Act 2003 refers).

Internal Consultation was undertaken with Migration Program Section, the Legislative Instruments Unit, State and Territory offices and the Perth Offshore Processing Centre before the instrument was made.

7. The instrument commences on the day of publication in the Gazette.