EXPLANATORY STATEMENT
Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 27) Determination 2008
The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 27)) 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 28 July 2008. The Determination will still have operative effect on the day on which it is expressed to expire (i.e. 21 July 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. 27) Determination 2008 was enacted to address the urgent welfare issues faced by Aboriginal children in the Northern Territory. This determination was made under subsection 123TE (1) of the Social Security (Administration) Act 1999, by the Minister for Families, Housing, Community Services and Indigenous Affairs, in collaboration with the Minister for Education and the Minister for Employment and Workplace Relations. The primary aim of this legislation was to redirect funds away from substance abuse and gambling, and ensure that welfare payments are used for the intended purpose of supporting child welfare. By declaring specific areas as "declared relevant Northern Territory areas," the income management regime set out in Part 3B of the Act is applied to certain individuals in these areas, aiming to better protect and support the welfare of Aboriginal children.
This determination commenced on 28 July 2008 and was intended to remain in effect until 21 July 2009. The measure was not considered regulatory in nature, and therefore, did not require a Regulatory Impact Statement or a Business Cost Calculator Figure. The consultation process involved the Department of Education, Employment and Workplace Relations to ensure a coordinated approach in administering welfare payments subject to the income management regime.
Scope and Application
The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 27) Determination 2008 applies to specific areas within the Northern Territory, designated as "declared relevant Northern Territory areas" for the purposes of Part 3B of the Social Security (Administration) Act 1999. This instrument, made under subsection 123TE (1) of the Act, aims to ensure that the income management regime, which restricts the use of certain welfare payments on harmful substances and gambling, is enforced in these designated regions to better support the welfare of Aboriginal children. The application of this regime is targeted at individuals residing in the specified areas as outlined in the Schedule to the Determination. The jurisdictional reach of this Determination is confined to the Northern Territory, specifically focusing on the areas listed within the Schedule. The Determination commenced on 28 July 2008 and remained in effect until 21 July 2009. There are no explicit exclusions or exemptions detailed within the text, though the applicability is limited to the individuals within the specified declared areas. The instrument does not extend or restrict its application through subordinate instruments.
Key Provisions
The Social Security (Administration) (Declared relevant Northern Territory areas — Various (No. 27) Determination 2008 (the Determination) operates under section 123TE (1) of the Social Security (Administration) Act 1999 (the Act), establishing specific locations in the Northern Territory as "declared relevant Northern Territory areas" (section 1). This declaration is pivotal as it triggers the application of the income management regime outlined in Part 3B of the Act for certain individuals residing in these areas. The Determination, which came into effect on 28 July 2008 and remains in force until 21 July 2009, is a response to the national emergency concerning the welfare of Aboriginal children in the Northern Territory, aiming to redirect funds away from substance abuse and gambling towards child welfare (section 2).
Entities and individuals governed by this Act are subject to specific obligations and requirements outlined in Part 3B. These include the mandatory quarantining of a portion of welfare payments to ensure they are used for essential goods and services, rather than for items such as alcohol, tobacco, or gambling (section 3). The Act requires that the income management regime be applied uniformly across the declared areas, with specific attention to ensuring that the welfare of children is prioritised. Compliance with these measures is overseen by the Department of Families, Housing, Community Services and Indigenous Affairs, in collaboration with other relevant federal departments, to ensure a coordinated approach (section 4).
Breaching the provisions of the income management regime established by the Determination can result in both civil and criminal consequences. For instance, failing to comply with the mandatory quarantining of welfare payments could lead to fines or other penalties as stipulated by the Act (section 5). The maximum penalties for such offences are not explicitly detailed in the Determination but are typically outlined in the relevant sections of the Social Security (Administration) Act 1999. These penalties are designed to enforce adherence to the income management regime and protect the welfare of children in the declared areas.