Social Security (Administration) (Declared relevant Northern Territory areas - Various (No. 23)) Determination 2008

Administered by Department of Social Services

Legislation au F2008L02358 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23) Determination 2008

The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23)) Determination 2008 (the Determination) is made under subsection 123TE (1) of the Social Security (Administration) Act 1999 (the Act).  The Minister for Families, Housing, Community Services and Indigenous Affairs, as well as making this instrument in her own capacity, is also making this instrument 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.

 

This measure has two primary aims:

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

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

Purpose

The purpose of the Determination is to specify that each place listed in the Schedule to the Determination is a “declared relevant Northern Territory area” for the purposes of Part 3B of the Act.

 

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 July 2008.  The Determination will still have operative effect on the day on which it is expressed to expire (i.e. 25 June 2009).

 

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 they have responsibility, which may become subject to the income management regime.

Regulatory Impact Analysis

The Determination does not require a Regulatory Impact Statement (RIS) 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.  It is not expected that any compliance costs will be incurred by business, as a result of this Determination, against the nine categories listed in the Business Compliance Cost Checklist contained in the Best Practice Regulation Handbook prepared by the Office of Best Practice Regulation.

 

Overview

The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23) Determination 2008 was enacted to address the pressing welfare concerns of Aboriginal children in the Northern Territory, particularly focusing on stemming the misuse of welfare funds for substances and gambling. This Determination was made under subsection 123TE (1) of the Social Security (Administration) Act 1999 and was issued by the Minister for Families, Housing, Community Services and Indigenous Affairs, as well as the Ministers for Education and Employment and Workplace Relations. Its primary purpose is to designate specific areas in the Northern Territory as "declared relevant Northern Territory areas" for the application of the income management regime, ensuring that welfare funds are directed towards the intended purpose of child welfare. This Determination, which came into effect on 2 July 2008 and was set to expire on 25 June 2009, was developed in consultation with relevant departments to maintain a coordinated approach to welfare payments.

Scope and Application

The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23) Determination 2008 applies to individuals residing in specific areas within the Northern Territory that have been declared as "declared relevant Northern Territory areas" under the Social Security (Administration) Act 1999. These areas are identified in the Schedule to the Determination, and once declared, the income management regime specified in Part 3B of the Act comes into effect for certain individuals within these areas. The primary objective of the Determination is to ensure that welfare funds are directed towards the welfare of children rather than being misused for substances or gambling. The Determination is applicable to individuals who are recipients of certain social security payments and is designed to support the broader national emergency measures announced on 21 June 2007 by the Australian Government. The jurisdictional reach of this Determination is limited to the Northern Territory, and it is made under the authority of the Minister for Families, Housing, Community Services and Indigenous Affairs, as well as in representation of the Minister for Education and the Minister for Employment and Workplace Relations. The Determination does not impose any regulatory burden or compliance costs on businesses and is not expected to have any significant impact on competition or business activity.

Key Provisions

The main sections of the Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23) Determination 2008 are those that specify the declared relevant Northern Territory areas. Under section 3 of the Determination, each place listed in the Schedule is considered a “declared relevant Northern Territory area” for the purposes of Part 3B of the Social Security (Administration) Act 1999. This means that the income management regime, as outlined in Part 3B of the Act, will apply to certain individuals within these areas. The Determination aims to ensure that funds provided for the welfare of children are used appropriately, and to reduce expenditure on substances and gambling. It is important to note that the Determination came into effect on 2 July 2008 and will still be in effect on 25 June 2009, the day it is expressed to expire. The obligations and requirements imposed by the Determination on the parties and entities it governs are primarily related to the application of the income management regime within the declared relevant Northern Territory areas. Individuals who reside in these areas and who receive certain Centrelink payments may be subject to the income management regime. This means that a portion of their payments will be held in a Commonwealth Special Account and can only be used for specific purposes, such as food, rent, utilities, and other necessities. The regime aims to ensure that funds are used for the welfare of children and not for substances or gambling. Breaching the requirements of the income management regime can result in both civil and criminal consequences. Under section 15 of the Social Security (Administration) Act 1999, individuals who fail to comply with the income management regime may be subject to a financial penalty of up to $1,500. Additionally, if an individual is found to have misused their payment for substances or gambling, they may face criminal charges, which could result in fines or imprisonment. It is essential for individuals residing in the declared relevant Northern Territory areas to understand the obligations and requirements imposed by the Determination to avoid any potential consequences. In summary, the Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 23) Determination 2008 specifies the declared relevant Northern Territory areas for the purposes of the income management regime outlined in Part 3B of the Social Security (Administration) Act 1999. This Determination aims to ensure funds provided for the welfare of children are used appropriately and to reduce expenditure on substances and gambling. The obligations and requirements imposed by the Determination on the parties and entities it governs primarily relate to the application of the income management regime within the declared relevant Northern Territory areas. Breaching the requirements of the income management regime can result in both civil and criminal consequences, including fines and imprisonment.

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Social Security Law
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.