Residential Care Subsidy Amendment Principles (No. 1) 1998

Administered by Department of Health, Disability and Ageing

Legislation au F1998B00270 Not in force Legislative Instrument

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Aged Care Act 1997

Residential Care Subsidy Amendment Principles (No. 1) 1998

I, WARWICK LESLIE SMITH, Minister for Family Services, make the following Principles under subsection 96-1 (1) of the Aged Care Act 1997.

Dated 4 March 1998.

 

 

 

 

warwick smith

Minister for Family Services

____________

1.   Commencement

1.1   These Principles are taken to have commenced on 1 March 1998.

2.   Amendment

2.1   The Residential Care Subsidy Principles 19971 are amended as set out in these Principles.

3.   Section 21.3 (Definitions)

3.1   Insert the following definition:

approved care recipient means a person in respect of whom an approval under subsection 221 (2) of the Act is in force.”.

4.   Section 21.30 (The classes)

4.1   Omit the section, substitute:

21.30 Classes affected

“(1) The following classes of people are specified for subsection 44-22 (1) of the Act:

(a) approved care recipients, from the date of commencement of the provision of residential care:

 (i) for a period of 28 days (including, if the care recipient has been on leave, as described in subsection 423 (3) of the Act, the period of that leave); or

 (ii) if the care recipient has been provided with less than 28 days residential care—the period for which the care was provided (including, if the care recipient has been on leave, as described in subsection 423 (3) of the Act, the period of that leave);

(b) approved care recipients, each of whom leaves an aged care facility (without entering another) before the approved provider has been informed of the care recipient’s daily income tested reduction, if any, (worked out under subdivision 44E of Division 44, Part 3.1, Chapter 3 of the Act);

(c) approved care recipients, each of whom dies before the approved provider has been informed of the care recipient’s daily income tested reduction, if any;

(d) approved care recipients, each of whom has a dependent child;

(e) approved care recipients, each of whom is a person described in paragraph 85 (4) (b) of the Veterans’ Entitlements Act 1986 (that is, a former prisoner of war) and:

 (i) on 30 September 1997 occupied a nursing home bed in a nursing home approved under section 40AA of the National Health Act 1953; or

 (ii) has received a high level of residential care;

(f) approved care recipients, each of whom:

 (i) is provided with residential care at any time after 30 September 1997 and before 1 March 1998; or

 (ii) is, before 1 March 1998, on leave, as described in subsection 42-3 (3) of the Act.

“(2) Subsection (1) does not apply to a person at a time when paragraph 44.22 (1) (a) of the Act applies to the person.

Note   Paragraph 44.22 (1) (a) of the Act provides that respite care recipients are taken to have a daily income tested reduction of zero.”.

5.   New section 21.32B

5.1   After section 21.32A, insert:

21.32B Exclusion from determinations—rent receipts

“(1) This section applies to an approved care recipient for whom an accommodation charge is payable.

“(2) The amount specified is income received by the care recipient, or the care recipient’s partner, from rental of the care recipient’s principal home to another person.

“(3) In this section, accommodation charge means an amount of money that accrues daily and is paid or payable to an approved provider by the care recipient for the care recipient’s entry to a residential care service or flexible care service through which care is, or is to be, provided by the approved provider.”.

 

NOTE

1. Notified in the Commonwealth of Australia Gazette on 29 September 1997, as amended by the Residential Care Subsidy Principles Amendment (No. 1) 1997 notified in the Gazette on 3 November 1997.

Overview

The Aged Care Act 1997, enacted by the Australian Parliament, addresses gaps in the provision of residential care subsidies for aged care recipients. To refine and clarify the eligibility criteria and associated subsidies for residential care, the Aged Care Act 1997 Residential Care Subsidy Amendment Principles (No. 1) 1998 was introduced. This legislative instrument, made by Warwick Leslie Smith, the Minister for Family Services, aims to amend the Residential Care Subsidy Principles 1997. The primary policy objective of these amendments is to ensure that residential care subsidies are appropriately targeted and administered, reflecting the specific needs and circumstances of care recipients while maintaining the integrity of the aged care system.

Scope and Application

The Aged Care Act 1997, as amended by the Residential Care Subsidy Amendment Principles (No. 1) 1998, applies to individuals who are approved care recipients, meaning those in respect of whom an approval under the Act is in force. These principles also apply to the entities providing residential care services to such individuals. The Act specifies particular classes of people who are eligible for certain provisions under the residential care subsidy, including those who have been provided with residential care for a certain period, those who leave a facility before their daily income is assessed, those who pass away before such an assessment, those with dependent children, and former prisoners of war who meet certain criteria. The Act does not apply to respite care recipients, who are explicitly excluded from the daily income tested reduction. The geographic scope of the Act is nationwide, applying across all states and territories of Australia, as it is a Commonwealth Act. Additionally, these principles extend their application through subordinate instruments to further detail the specific conditions and calculations involved in the residential care subsidy.

Key Provisions

The Aged Care Act 1997 Residential Care Subsidy Amendment Principles (No. 1) 1998, made by Warwick Leslie Smith, Minister for Family Services, amends the Residential Care Subsidy Principles 1997. The amendments commence on 1 March 1998, as outlined in section 1.1. The key changes introduced by these principles primarily involve the definition of an "approved care recipient" and the classes of people who are eligible for the residential care subsidy, as specified in sections 3.1 and 4.1 respectively. Under section 3.1, "approved care recipient" is defined as a person for whom an approval under subsection 22-1(2) of the Aged Care Act 1997 is in force. This definition is crucial as it determines who is eligible for the residential care subsidy. Section 4.1 amends the classes of people eligible for the subsidy, specifying that these include approved care recipients who have been provided with residential care for a certain period, those who have left a facility without notice, those who have died, those with dependent children, former prisoners of war who meet certain criteria, and those who received care before a specific date. The Act imposes obligations on various parties, particularly on approved providers who must ensure that they are informed of the care recipient’s daily income tested reduction and take appropriate action in cases where a recipient leaves or dies before such information is communicated. The Act also mandates that approved care recipients must comply with the terms set out for receiving the subsidy, including the provision of accurate information regarding their residence and care. Breaches of the provisions set out in the Aged Care Act 1997 and its amendments can lead to significant consequences. Although specific offences and penalties are not detailed in the provided excerpt, the general framework of the Act suggests that non-compliance could result in civil or criminal penalties. Typically, in such legislation, non-compliance might lead to fines or other penalties as determined by the relevant authorities, in line with the severity and intent behind the breach. These consequences are intended to ensure that the provisions of the Act are adhered to, thereby maintaining the integrity and purpose of the residential care subsidy system.

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