EXPLANATORY STATEMENT
Select Legislative Instrument 2009 No. 283
Issued by the Authority of the Minister for Veterans' Affairs
Military Rehabilitation and Compensation Act 2004
Military Rehabilitation and Compensation Amendment
Regulations 2009 (No. 1)
Section 440 of the Military Rehabilitation and Compensation Act 2004 (the MRCA) provides that the Governor-General may make regulations prescribing matters required or permitted by the MRCA to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the MRCA.
Section 409 of the MRCA controls the provision of information under that Act. The section provides, among other things, that the Military Rehabilitation and Compensation Commission may provide information (MRCA information) obtained in the performance of duties under the MRCA to certain people or agencies for certain purposes.
Section 409 also provides that the class of person or agencies to whom MRCA information may be provided (and the purpose for giving that information) may be extended by regulations.
The Military Rehabilitation and Compensation Regulations 2004 (the Principal Regulations) provide, among other things, that MRCA information may be given to an employee or contractor of Centrelink for the purposes of administering the social security law.
The purpose of the Regulations is to amend the Principal Regulations to extend the range of purposes for which MRCA information may be given to Centrelink.
Centrelink operates an information service (Centrelink Confirmation eServices) whereby information about a person may be provided, in appropriate circumstances, to third-parties seeking to confirm the person meets certain criteria. One situation in which this occurs is where an organisation such as a state transport authority seeks confirmation that under the Veterans’ Entitlements Act 1986 (VEA) a person is receiving a benefit, which entitles them to state concessions.
The Regulations enable the Military Rehabilitation and Compensation Commission to lawfully give MRCA information about a person (MRCA clients) to Centrelink so that Centrelink could lawfully provide that information to an organisation seeking to confirm the status of the person. Currently, the Department of Veterans’ Affairs provides this information in respect of VEA clients but does not have the authority to do so for MRCA clients. In short, the Regulations facilitate the granting of concessions to MRCA clients to the same extent available for other customers of the Department of Veterans’ Affairs.
Accordingly, the Regulations specify as the new purpose for which information may be given to an employee or contractor of Centrelink giving information relevant to the administration of concessions provided, on the basis of receipt of compensation under the Act, by State, Territory or local government authorities or by organisations prescribed for regulation 9 of the Privacy (Private Sector) Regulations 2001.
The Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Regulations commenced on the day after they were registered on the Federal Register of Legislative Instruments.
The Regulations incorporate a document by reference. The document is the Privacy (Private Sector) Regulations 2001 and the document may be found on the internet at http://www.comlaw.gov.au
The Office of the Privacy Commissioner was consulted in respect of the attached Regulations. The Office had no objections to what was being proposed.
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Overview
The Military Rehabilitation and Compensation Amendment Regulations 2009 (No. 1) were enacted to address a gap in the Military Rehabilitation and Compensation Act 2004 (MRCA), particularly concerning the provision of MRCA information to Centrelink for administering social security law. These Regulations, issued by the Minister for Veterans' Affairs, aim to extend the purposes for which MRCA information can be shared with Centrelink, facilitating the confirmation of eligibility for concessions for MRCA clients. This extension is intended to ensure that MRCA clients receive the same level of benefits and concessions as those under the Veterans’ Entitlements Act 1986. The policy objective is to streamline the process for verifying and administering concessions available to military rehabilitation and compensation clients through Centrelink's services, thereby ensuring consistency and fairness in the application of benefits across different client groups.
Scope and Application
The Military Rehabilitation and Compensation Amendment Regulations 2009 (No. 1) extend the Military Rehabilitation and Compensation Act 2004 to facilitate the provision of Military Rehabilitation and Compensation Act information to Centrelink, an agency of the Commonwealth Government, for specified purposes. These Regulations specifically allow the Military Rehabilitation and Compensation Commission to provide information to Centrelink, enabling it to confirm to third parties, such as state transport authorities, the status of individuals receiving compensation under the Military Rehabilitation and Compensation Act, including their eligibility for state concessions. This extension aligns the treatment of Military Rehabilitation and Compensation Act clients with that of clients under the Veterans’ Entitlements Act 1986, ensuring uniformity in the administration of benefits and concessions. The Regulations also specify that the information may be used for administering concessions provided by State, Territory or local government authorities or by organisations prescribed for regulation 9 of the Privacy (Private Sector) Regulations 2001. These Regulations apply to the Military Rehabilitation and Compensation Commission, Centrelink employees and contractors, and potentially to various third-party organisations seeking to verify the status of compensation recipients. The scope and application of these Regulations are further defined by the Privacy (Private Sector) Regulations 2001, which were referenced during the consultation process and to which the Office of the Privacy Commissioner had no objections.
Key Provisions
The Military Rehabilitation and Compensation Amendment Regulations 2009 (No. 1) amend the Military Rehabilitation and Compensation Regulations 2004 to extend the range of purposes for which Military Rehabilitation and Compensation Act 2004 (MRCA) information may be given to Centrelink. Under the existing regulations, MRCA information could be provided to Centrelink employees or contractors for the purpose of administering social security laws. The new regulations add another purpose: providing information relevant to the administration of concessions provided by State, Territory or local government authorities, or by organisations prescribed under regulation 9 of the Privacy (Private Sector) Regulations 2001, on the basis of receipt of compensation under the MRCA. This means that the Military Rehabilitation and Compensation Commission can now lawfully give MRCA information to Centrelink for this additional purpose, facilitating the granting of concessions to MRCA clients to the same extent as for other customers of the Department of Veterans’ Affairs.
The Regulations impose specific obligations on the Military Rehabilitation and Compensation Commission to ensure that MRCA information is provided to Centrelink employees or contractors only for the purposes specified in the regulations. This includes ensuring that the information is used solely for the administration of concessions provided by State, Territory or local government authorities or prescribed organisations under the Privacy (Private Sector) Regulations 2001. The Regulations also require that the Commission adhere to the privacy provisions outlined in the Privacy Act 1988 when sharing MRCA information. This means that the Commission must take reasonable steps to ensure that the information is not disclosed to any other person or used for any other purpose without the consent of the individual concerned, unless otherwise permitted by law.
Breach of the provisions outlined in the Regulations could result in both civil and criminal consequences. Under the Privacy Act 1988, an unauthorised use or disclosure of personal information could lead to civil penalties, including fines of up to $1.8 million for corporations and $180,000 for individuals. Additionally, under section 409 of the MRCA, unauthorised disclosure of MRCA information could result in criminal penalties. Specifically, an offence is created for knowingly or recklessly disclosing MRCA information to a person or agency not authorised to receive it, with a maximum penalty of 2,000 penalty units ($220,000) for corporations and 1,000 penalty units ($110,000) for individuals. These stringent penalties underscore the importance of compliance with the regulations and the need for careful handling of MRCA information.