EXPLANATORY STATEMENT

Migration Act 1958

VISA CAPPING FOR 2005/2006 FINANCIAL YEAR: CONTRIBUTORY AGED PARENT (TEMPORARY) (CLASS UU) 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.

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 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) (Class CA) visa, visa ‘(the Parent (Migrant) class visa’) and the Contributory Parent (Class UT-(Temporary) (Class UT) visaBP Aged Parent (Resid, the Contributory Aged Parent (Class DG (Residence)ence) (Class DG) visa and the Contributory Aged Parent (Class UU-(Temporary) (Class UU) visa(‘the Aged Parent (Residence) class visa’). A cap of 1000 visas is placed on the Parent Category for the 2004-2005 financial year.

3.                   The purpose of the Instrument is to impose a cap on the number of Contributory Aged Parent (Temporary) (Class UU) visas granted for the 2005/-2006 financial year. 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.

4. 

 TRelevantly, this Instrument operates to imposes a maximum number of XXX26xxx320 Aged Parent (Residence) class  Contributory Aged Parent (Class UU-(Temporary) (Class UU) visas that may be granted for the 20054/-20065 financial year. A sSeparate Instruments imposes a cap of XXXxxx680 in the Contributory Parent (Class CA- (Migrant) (Class CA) visas,and XXXxxx in the Contributory Parent (Class UT-(Temporary) (Class UT) visas and XXXxxx in the Contributory Aged Parent (Class DG (Residence) (Class DG) visasParent (Migrant) class visas that may be granted over the same financial year.   

5. The Aged Parent (Residence) class Contributory Aged Parent (Class UU-(Temporary) (Class UU) visas is 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 (Temporary) (Class UU) 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.  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.

Once a cap is reached, aApplicants are wait in a queued until a place becomes available.  There are approximately 25 people waiting for a decision on a Contributory Aged Parent (Temporary) (Class UU) visa.  There are approximately 20,000 people waiting for a decision on a Parent (Migrant) or an Aged Parent (Residence) class visa application. 

5. 

6. Contributory Aged Parent (Temporary) (Class UU) visa is also subject to queuing.  The qQueuing 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 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.

6. 

108. The Instrument, IMMI 06/0435, commences on the day after registration on the Federal Register of Legislative Instruments. first moment of the day 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.