EXPLANATORY STATEMENT
NATIONAL HEALTH ACT 1953
NATIONAL HEALTH (REMOTE AREA ABORIGINAL HEALTH SERVICES PROGRAM) SPECIAL ARRANGEMENT
AMENDMENT INSTRUMENT 2019 (NO.1)
PB 52 of 2019
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 of the Act, 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 100(2) of the Act, is to amend the National Health (Remote Area Aboriginal Health Services Program) Special Arrangement (PB 107 of 2017) (the Special Arrangement). This Special Arrangement provides for the supply to remote Aboriginal Health Services of pharmaceutical benefits.
This instrument increases the bulk handling fee and the patient specific medicine supply fee (PSMSF) that is payable to an approved pharmacist or an approved hospital authority in respect of the supply of a pharmaceutical benefit to an approved Aboriginal Health Service in accordance with the Special Arrangement.
On and from 1 July 2019, the bulk handling fee is increasing from $3.04 to $3.08 in accordance with (WCI9) and the patient specific medicine supply fee is increasing from $4.77 to $4.84. The patient specific medicine supply fee is the difference between the bulk handling fee and the applicable dispensing fee plus 29% of the Premium Free Dispensing Incentive (PFDI) which are both indexed annually in accordance with the Consumer Price Index (CPI).
Consultations
The amendment is minor and machinery in nature.
No consultation was required as the 2010-11 Federal Budget provided for the annual indexation of the Remote Area Aboriginal Health Services Program handling fee and is indexed annually in accordance with the WCI9. As part of the 2017-2018 Budget process Government agreed for Services Australia (formerly the Department of Human Services) to implement an ongoing process for payment to approved pharmacists and approved hospital authorities of the patient specific medicine supply fee and is indexed annually based on the CPI increases to the dispensing fee and PFDI fee.
The legislative instrument commences on 1 July 2019.
This Instrument is a legislative instrument for the purpose of the Legislation Act 2003.