National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1) (PB 58 of 2016)

Administered by Department of Health, Disability and Ageing

Legislation au F2016L01093 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

NATIONAL HEALTH ACT 1953

National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1)

PB 58 of 2016

Authority

Subsection 100(1) of the National Health Act 1953 (the Act) enables the Minister to make special arrangements for the supply of pharmaceutical benefits. Subsection 100(2) of the Act provides that the Minister may vary or revoke a special arrangement made under subsection 100(1).

Subsection 100(3) of the Act provides that Part VII of the Act, and instruments made for the purposes of Part VII have effect subject to a special arrangement made under subsection 100(1).

 

Purpose

The purpose of this legislative instrument, made under subsections 100(1) and (2) of the Act, is to amend the National Health (IVF Program) Special Arrangement 2015 (PB 60 of 2015) (the Special Arrangement) to make changes to the special arrangement relating to the IVF Program.

Under the Special Arrangement a PBS prescriber, who prescribes an IVF pharmaceutical benefit to a patient and is satisfied that the particular patient meets the conditions for the administration of that medicine under the PBS, must write a prescription for that supply. Supply of that pharmaceutical benefit occurs through approved suppliers, being community pharmacies approved under section 90 of the Act, hospital authorities approved under section 94 of the Act and medical practitioners approved under section 92 of the Act.  These suppliers may then claim for reimbursement from the Commonwealth.

The purpose of this amendment is to require approved suppliers to provide the Commonwealth with information at the time of claiming such reimbursements. Specifically, from 1 July 2016, approved suppliers must include a Reproductive Technology Accreditation Committee (RTAC) Accredited Unit Number when claiming payment under the PBS. 

An RTAC Accredited Unit Number is the number by which RTAC identifies a person or body as being an accredited Assisted Reproductive Technology (ART) centre. The RTAC is a Committee of the Fertility Society of Australia. The Committee operates an accreditation scheme under which accredited ART centres comply with the RTAC Code of Practice when providing ART services to patients. This compliance is a requirement under section 11 of the Research Involving Human Embryos Act 2002 and compliance is regularly reviewed.

The new claiming requirement will enable the Commonwealth to ascertain that the funding made available under the PBS is being used for legal purposes in accountable, best practice circumstances. The Commonwealth will not pay a claim that has been made for the supply of pharmaceutical benefits under the Special Arrangement unless the approved supplier has also specified the relevant RTAC Accredited Unit Number.

This Instrument also repeals transitional arrangements that were established for the program changes introduced on 1 July 2015.  These arrangements ceased on 1 January 2016.

A further description of this instrument is contained in the Attachment.

 

Consultation

The amendments made by this Instrument finalise the implementation of recommendations made by the Pharmaceutical Benefits Advisory Committee (PBAC) and agreement by Government to align the process for prescribing and dispensing of IVF pharmaceutical benefits closer to that of other PBS medicines.

An ongoing and formal process of consultation in relation to matters relevant to the Special Arrangement includes the involvement of interested parties through the membership of the PBAC. 

Consultations about the RTAC Accredited Unit Number, introduced on 1 July 2015 occurred with the IVF Directors’ Group, within the Fertility Society of Australia, who represent IVF clinics and affiliated prescribers and other key industry stakeholders including the Pharmacy Guild of Australia and the Pharmaceutical Society of Australia.  This Instrument commences on 1 July 2016.

This instrument is a legislative instrument for the purposes of the Legislation Act 2003.


ATTACHMENT

 

DETAILS OF THE NATIONAL HEALTH (IVF PROGRAM) SPECIAL ARRANGEMENT AMENDMENT INSTRUMENT 2016 (No. 1)

Section 1  Name of Instrument

This section provides the name of this instrument as the National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1) and that it may also be cited as PB 58 of 2016.

Section 2  Commencement

This section provides that this instrument commences on 1 July 2016.

Section 3   Amendments to PB 60 of 2015

This section provides that Schedule 1 amends the National Health (IVF Program) Special Arrangement 2015 (PB 60 of 2015) (the Special Arrangement). 

Schedule 1

Item 1

This item inserts a new definition of accredited ART centre and indicates that it has the same meaning as contained within the Research Involving Human Embryos Act 2002.

Item 2

This item inserts a new definition of RTAC Accredited Unit number and indicates that this means the number by which the Reproductive Technology Accreditation Committee of the Fertility Society of Australia identifies a person or body as being an accredited ART centre.

Item 3

This item repeals previous transitional arrangements contained in PB 60 of 2015 which ceased on 1 January 2016.

This item inserts a new part, Part 7 – Claiming.  This part contains new section 19.

New subsection 19(1) requires approved suppliers, who wish to receive payment from the Commonwealth for the supply of pharmaceutical benefits listed in this Special Arrangement, to make a claim for payment to the Chief Executive Medicare on behalf of the Secretary of the Department of Health. 

New subsection 19(2) requires approved suppliers to make those claims in accordance with the rules made under subsections 98AC(4) and 99AAA(8) of the National Health Act 1953; these are currently the National Health (Claims and under co-payment data) Rules 2012 (No. PB 19 of 2012).  New subsection 19(2) modifies the effect of PB 19 of 2012 so that approved suppliers must provide an RTAC Accredited Unit number in any claim for payment relating to the supply of a pharmaceutical benefit that is listed in Schedule 1 of the Special Arrangement.


 

 

 

 

 

Overview

The National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1) was enacted to address issues concerning the administration and reimbursement of pharmaceutical benefits related to in vitro fertilisation (IVF) under the National Health Act 1953. This legislative instrument was introduced by the Minister for Health under the authority granted by subsection 100(1) and (2) of the Act, which allows for special arrangements in the supply of pharmaceutical benefits and their subsequent variation or revocation. The policy objective of this amendment is to ensure that funding for IVF pharmaceutical benefits is used lawfully and in accordance with best practices by requiring approved suppliers to include a Reproductive Technology Accreditation Committee (RTAC) Accredited Unit Number when claiming reimbursements from the Commonwealth. This measure aims to enhance accountability and transparency in the administration of IVF pharmaceuticals under the Pharmaceutical Benefits Scheme (PBS). The amendments finalise the implementation of recommendations made by the Pharmaceutical Benefits Advisory Committee (PBAC) and align the process for prescribing and dispensing IVF pharmaceutical benefits more closely with that of other PBS medicines. By mandating the inclusion of an RTAC Accredited Unit Number, the instrument ensures that only eligible and accredited ART centres are reimbursed, thereby supporting compliance with legal requirements and maintaining high standards in ART services. This legislative change also repeals transitional arrangements that were in place for the program changes introduced on 1 July 2015, which had ceased by 1 January 2016.

Scope and Application

The National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1) amends the National Health (IVF Program) Special Arrangement 2015 to modify the supply of in vitro fertilisation (IVF) pharmaceutical benefits under the Pharmaceutical Benefits Scheme (PBS). This legislative instrument applies to approved suppliers of IVF pharmaceuticals, including community pharmacies, hospital authorities, and medical practitioners, who supply these benefits to patients. These suppliers must comply with the new requirement to include a Reproductive Technology Accreditation Committee (RTAC) Accredited Unit Number when claiming reimbursement from the Commonwealth, ensuring that funding is used appropriately and in accordance with best practice. This requirement enhances accountability and aligns the process for IVF pharmaceutical benefits with that of other PBS medicines. The amendment, effective from 1 July 2016, also repeals transitional arrangements that ceased on 1 January 2016. This legislative instrument operates within the Commonwealth jurisdiction and is subject to the National Health Act 1953, with further detail provided in subordinate instruments such as the National Health (Claims and under co-payment data) Rules 2012.

Key Provisions

The primary sections of the National Health (IVF Program) Special Arrangement Amendment Instrument 2016 (No. 1) amend the existing special arrangement relating to the IVF Program, as stipulated in the National Health (IVF Program) Special Arrangement 2015 (PB 60 of 2015). Specifically, the amendment introduces new claiming requirements for approved suppliers, who must now include a Reproductive Technology Accreditation Committee (RTAC) Accredited Unit Number when claiming payment for IVF pharmaceutical benefits under the Pharmaceutical Benefits Scheme (PBS) (Section 3, Item 1). This amendment ensures that the funding made available under the PBS is being used for legal purposes in accountable, best practice circumstances. Furthermore, this amendment repeals the previous transitional arrangements established for the program changes introduced on 1 July 2015, which ceased on 1 January 2016 (Section 3, Item 3). The obligations imposed by this amendment on the parties and entities it governs are primarily on approved suppliers, such as community pharmacies, hospital authorities, and medical practitioners, who must include the RTAC Accredited Unit Number when claiming payment for the supply of pharmaceutical benefits listed in the Special Arrangement (Section 3, Item 1, New subsection 19(2)). This requirement ensures that the Commonwealth can verify the legitimacy and compliance of the ART centres providing these pharmaceutical benefits. Additionally, this amendment mandates that approved suppliers make claims for payment to the Chief Executive Medicare on behalf of the Secretary of the Department of Health, in accordance with the rules made under subsections 98AC(4) and 99AAA(8) of the National Health Act 1953 (Section 3, Item 1, New subsection 19(2)). In terms of the consequences for breach, the Commonwealth will not pay a claim for the supply of pharmaceutical benefits under the Special Arrangement unless the approved supplier has specified the relevant RTAC Accredited Unit Number (Section 3, Item 1, New subsection 19(2)). This requirement ensures that funding is only provided to compliant ART centres and that the integrity of the IVF Program is maintained. While the legislation does not explicitly state any maximum penalties for breach, it is reasonable to assume that non-compliance with these requirements may result in the denial of payment claims, which could have financial implications for the approved suppliers. Furthermore, persistent non-compliance may result in additional scrutiny, investigations, or potential legal action by the relevant authorities.

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