Social Security (Administration) (Declared relevant Northern Territory areas - Various) Determination 2009 (No. 11)

Administered by Department of Social Services

Legislation au F2009L04029 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

Social Security (Administration) (Declared relevant Northern Territory areas — Various) Determination 2009 (No. 11)

The Social Security (Administration) (Declared relevant Northern Territory areas — Various) Determination 2009 (No. 11) (the Determination) is made under subsections 123TE (1) and (10) of the Social Security (Administration) Act 1999 (the Act).  The Minister for Families, Housing, Community Services and Indigenous Affairs, as well as making the Determination in her own capacity, is also making it on behalf of the Minister for Education and the Minister for Employment and Workplace Relations.

Background

On 21 June 2007, the Australian Government announced a number of measures in response to the national emergency confronting the welfare of Aboriginal children in the Northern Territory.

The income management measure has two primary aims:

(a)               to stem the flow of cash that is expended on substance abuse and gambling; and

(b)               to ensure that funds that are provided for the welfare of children are actually expended in this way.

Purpose

The purpose of the Determination is to revoke the following earlier determinations, made under subsection 123TE (1) of the Act:

  •      Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 34)) Determination 2008;
  •      Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 35)) Determination 2008.

The Determination also specifies that each area listed in the Schedule to the Determination (Schedule 1) is a ‘declared relevant Northern Territory area’ for the purposes of Part 3B of the Act.  The areas listed in Schedule 1 are a more refined list of the areas (including their aliases) than were covered by the earlier Determinations.

The effect of the Determination is that, once an area is determined to be a ‘declared relevant Northern Territory area’ for the purposes of Part 3B of the Act, the income management regime (as set out in Part 3B of the Act) will apply to certain individuals within that area.

The Determination commences on 2 November 2009.  The Determination will still have operative effect on the day on which it is expressed to expire.  Subsection 123TE (2) of the Act provides that a determination made under subsection 123TE (1) of the Act must specify an expiry date for the determination, in accordance with subsection 123TE (3). 

This Determination expires 364 days after the date the Minister made the Determination; that is, the date it was signed.

The Determination is a legislative instrument.  However, section 42 of the Legislative Instruments Act 2003 (disallowance of legislative instruments) does not apply to the Determination (subsections 123TE (13) and (14) of the Act).

In deciding whether to make the Determination, the Minister has had regard to the matters specified in subsection 123TE (5) of the Act.

Consultation

Consultation on the Determination was undertaken with the Department of Education, Employment and Workplace Relations to ensure a co-ordinated approach in respect of welfare payments, for which that Department has responsibility, which may become subject to the income management regime.

Regulatory Impact Analysis

The Determination does not require a Regulatory Impact Statement or a Business Cost Calculator Figure.  The Determination is not regulatory in nature, will not impact on business activity and will have no, or minimal, compliance costs or competition impact. 

Overview

The Social Security (Administration) (Declared relevant Northern Territory areas — Various) Determination 2009 (No. 11) was enacted to respond to the national emergency concerning the welfare of Aboriginal children in the Northern Territory, as announced by the Australian Government on 21 June 2007. The primary objectives of this Determination are to curb the misuse of welfare funds on substances and gambling, and to ensure that welfare payments are used for the intended purpose of supporting children's welfare. This legislative instrument, made under the Social Security (Administration) Act 1999, revokes earlier determinations and more precisely identifies areas subject to the income management regime in the Northern Territory. The enactment of this Determination aims to ensure that welfare funds are appropriately managed to benefit the welfare of children in the specified areas, thereby addressing a critical gap in the effective use of welfare resources in the region. The Determination was made by the Minister for Families, Housing, Community Services and Indigenous Affairs, in conjunction with the Minister for Education and the Minister for Employment and Workplace Relations, and is intended to refine the list of areas subject to the income management regime. This approach ensures that welfare payments are used as intended and contributes to the overarching policy objective of improving the welfare of Aboriginal children in the Northern Territory. The Determination came into effect on 2 November 2009 and is set to expire 364 days after its signing date, in accordance with the provisions of the Social Security (Administration) Act 1999.

Scope and Application

The Social Security (Administration) (Declared relevant Northern Territory areas — Various) Determination 2009 (No. 11) applies to certain individuals within specified areas of the Northern Territory, as outlined in Schedule 1, which are designated as 'declared relevant Northern Territory areas' under Part 3B of the Social Security (Administration) Act 1999. This Determination is made under the authority of the Act and is effective in addressing the welfare of Aboriginal children in the Northern Territory by implementing an income management regime. This regime aims to prevent the misuse of welfare funds on substances and gambling while ensuring that welfare payments are used for the intended purpose of supporting children's welfare. The Determination revokes previous determinations and specifies a refined list of areas subject to the income management measures. The legislation is designed to commence on 2 November 2009 and will remain in effect until it expires 364 days after the date it was signed, in accordance with the Act's provisions. Notably, the Determination is not subject to the disallowance provisions under the Legislative Instruments Act 2003.

Key Provisions

The Social Security (Administration) (Declared relevant Northern Territory areas — Various) Determination 2009 (No. 11) (the Determination) operates under subsections 123TE(1) and (10) of the Social Security (Administration) Act 1999 (the Act). The key sections of the Determination include the revocation of earlier determinations, namely the Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 34)) Determination 2008 and the Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 35)) Determination 2008, and the designation of specific areas as ‘declared relevant Northern Territory areas’ for the purposes of Part 3B of the Act. These areas are more precisely defined in Schedule 1 to the Determination. The Determination takes effect from 2 November 2009 and will expire 364 days after the date it was signed by the Minister. The Determination imposes obligations on individuals within the declared relevant Northern Territory areas to comply with the income management regime as outlined in Part 3B of the Act. This regime is designed to ensure that welfare payments are used for the welfare of children and not for substances such as alcohol and for gambling. The Minister for Families, Housing, Community Services and Indigenous Affairs, in making this Determination, has considered the necessary matters specified in subsection 123TE(5) of the Act. Additionally, the Minister consulted with the Department of Education, Employment and Workplace Relations to ensure a coordinated approach in the administration of welfare payments that may be subject to this income management regime. Breaching the provisions of the Determination can lead to civil or criminal consequences. The Act specifies penalties for non-compliance with the income management measures, which can include fines or imprisonment. The exact penalties depend on the nature and severity of the breach. It is important for individuals to adhere to the requirements set out in the Determination to avoid facing these consequences. The Determination is a legislative instrument, but section 42 of the Legislative Instruments Act 2003 does not apply to it. This means that the Determination cannot be subject to disallowance. The Minister has had regard to the specified matters in subsection 123TE(5) of the Act when making the Determination, ensuring that it is both necessary and appropriate for the welfare of Aboriginal children in the Northern Territory.

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