EXPLANATORY STATEMENT
STATUTORY RULES 1982 NO. 46
ISSUED BY AUTHORITY OF THE MINISTER FOR HEALTH NURSING HOMES ASSISTANCE REGULATIONS (AMENDMENT)
Section 37 of the Nursing Homes Assistance Act 1974 (‘the Act’) provides that the Governor-General may make regulations prescribing all matters required or permitted by the Act to be prescribed or which are necessary or convenient to be prescribed for carrying out or giving effect to the Act.
Sub-section 12(1) of the Act provides that the Commonwealth and the proprietor of a nursing home approved under the Act may enter into an agreement under which the Commonwealth meets any approved operating deficit incurred by the home in a financial year or other period. Paragraph 13(1)(a) of the Act provides that any such agreement between the Commonwealth and the proprietor of a nursing home is to include a provision under which the proprietor is to charge a fee of $32 per week or such other amount as is prescribed for nursing home patients other than certain specified classes of patients. Such an amount is currently prescribed in Regulation 5A of the Nursing Homes Assistance Regulations (‘the Regulations’). The fee prescribed in
Regulation 5A is in effect the maximum financial contribution towards the cost of their nursing home care by patients in nursing homes approved under the Act. Since 1978 the amount prescribed has been equivalent to 87½% of the sum of the current rates of standard age pension and supplementary assistance payable under the Social Services Act 1947. An increase in pension rates with effect from 5 May 1983 has made it necessary to increase the amount of the prescribed fee from that date to maintain this relativity. The regulations accordingly amend Regulation 5A to increase the amount of the prescribed fee for the purposes of paragraph 13(1)(a) from $76.30 to $80.50.
Fees for the purposes of paragraph 13(1)(d) are prescribed in Regulation 6 of the Regulations. These fees are based on the sum of the fee prescribed under paragraph 13(1)(a) of the Act and the amounts of Commonwealth nursing home benefit prescribed in the National Health Regulations in respect of each State or Territory for the purposes of sub-section 47(1) of the National Health Act 1953. The increase, therefore, in the fee prescribed under paragraph 13(1)(a) of the Act,
requires corresponding increases in the weekly fees prescribed under paragraph 13(1)(d) of the Act. Accordingly, the regulations amend Regulation 6 to similarly increase the fees prescribed therein by the amount of $4.20 per week.
The regulations came into operation on 5 May 1983.
Overview
The Nursing Homes Assistance Regulations (Amendment) Statutory Rules 1982, issued by authority of the Minister for Health, amend the Nursing Homes Assistance Regulations to address the need for updated fee structures within nursing homes approved under the Nursing Homes Assistance Act 1974. This legislative amendment responds to the problem of maintaining the relativity of nursing home fees with the changes in pension rates, ensuring that the prescribed fees for nursing home patients remain consistent with the economic adjustments in age pension rates. The policy objective, as stated in the explanatory statement, is to update the maximum financial contribution towards nursing home care by patients, ensuring that the fees prescribed under the Act reflect the current economic conditions and maintain the intended support levels for nursing home residents.
The regulations specifically increase the weekly fee for nursing home patients from $76.30 to $80.50, effective from 5 May 1983. This increase corresponds to the rise in the rates of standard age pension and supplementary assistance. Additionally, the amendments also affect the fees prescribed for certain categories of patients, ensuring that all related fee structures are updated accordingly. These changes were implemented to align the financial contributions of nursing home patients with the updated pension rates, thereby maintaining the intended support framework for elderly individuals in approved nursing homes.
Scope and Application
The Nursing Homes Assistance Regulations (Amendment) Statutory Rules 1982 No. 46, issued under the authority of the Minister for Health, pertain specifically to the Nursing Homes Assistance Act 1974. These regulations apply to the proprietor of a nursing home that has been approved under the Act, as well as to the Commonwealth which enters into agreements with such proprietors. The amendments made by these regulations adjust the financial contributions expected from nursing home patients to align with recent changes in pension rates, specifically increasing the weekly fee from $76.30 to $80.50. The amendments also affect the fees for Commonwealth nursing home benefits, which are prescribed in Regulation 6, and these fees are adjusted correspondingly by $4.20 per week. The jurisdictional reach of these regulations is national, as they fall under the purview of the Commonwealth government and affect approved nursing homes across Australia. There are no specific exclusions or exemptions outlined in the explanatory statement, but the application of these regulations is limited to the prescribed fee adjustments and their subsequent impact on the nursing home benefits. The regulations came into effect on 5 May 1983.
Key Provisions
The main operative sections of the Nursing Homes Assistance Regulations (Amendment) Statutory Rules 1982 No. 46, issued under the authority of the Minister for Health, involve amending the prescribed fees for nursing home patients. Specifically, Regulation 5A is amended to increase the weekly fee from $76.30 to $80.50, effective from 5 May 1983. This change is necessary to maintain the relativity of the fee to the sum of the current rates of the standard age pension and supplementary assistance payable under the Social Services Act 1947. Additionally, Regulation 6 is amended to increase the weekly fees based on the new amount prescribed under Regulation 5A, by $4.20 per week. These regulations reflect the legislative intent to adjust the financial contributions of nursing home patients in accordance with changes in pension rates.
The obligations and requirements imposed by these regulations on the parties involved primarily concern the adjustment and implementation of the updated fee structures. Proprietors of nursing homes approved under the Nursing Homes Assistance Act 1974 are required to charge the new weekly fee of $80.50 for nursing home patients as stipulated in Regulation 5A. Furthermore, the adjustments in Regulation 6 necessitate that proprietors also revise the weekly fees in accordance with the combined amounts prescribed under both the Act and the National Health Regulations. These changes must be implemented by all relevant parties from the effective date of 5 May 1983, ensuring that all financial contributions align with the updated statutory provisions.
Failure to comply with the amended regulations can result in civil and criminal consequences. While the specific penalties are not detailed in the explanatory statement, breaches of statutory requirements under the Nursing Homes Assistance Act 1974 can typically incur fines or other sanctions as prescribed by law. For instance, non-compliance with the prescribed fee structures might lead to financial penalties or legal actions against the proprietors of nursing homes. Additionally, persistent or severe breaches could potentially result in the revocation of approval for the nursing home under the Act, thereby affecting the operational status and funding arrangements of the facility. It is imperative for all stakeholders to adhere to these regulatory amendments to avoid any legal repercussions.