Explanatory Statement
Social Security (Disaster Recovery Allowance) (Prescribed Payments) Determination 2013
This determination is made under Section 1061KA(5) of the Social Security Act 1991 and provides that the Minister may prescribe income support payments that a person must not be in receipt of in order to qualify for the Disaster Recovery Allowance.
Section 36A of the Act empowers the Minister to determine in writing that an event is a “Part 2.23A major disaster” if the Minister is satisfied that an event is a disaster that has such a significant impact on individuals that a Government response in the form of income support is required and that the event is of national significance.
Section 1061KA of the Social Security Act 1991 (the Act) provides the qualification criteria for the DRA.
Section 1061KA(1) of the Act specifies the qualification criteria for DRA. One of the qualification criteria is that the Minister has determined in writing that the event is a Part 2.23 major disaster.
Section 1061KA(2) of the Act provides that a person under 22 years of age is not qualified if they are wholly or substantially dependent on another person (other than their partner); they are not a parent; and their income for that financial year is under $6,403.
Section 1061KA(3) of the Act provides that where the Minister has specified one or more affected industries under Section 36A, the DRA will only be granted to a person that earns, derives or receives income from one of those industries and does so through working in one of those areas.
Section 1061KA(4) of the Act provides that where the Minister has specified one or more affected areas under Section 36A, the DRA will only be granted to a person that earns, derives or receives income from one of those areas and does so through working in one of those areas, or to a person who resides in one of those areas.
Section 1061KA(6) of the Act gives the Minister the power to prescribe additional eligibility criteria for the DRA via written determination.
Section 1061KA(7) of the Act provides that determinations made under section 1061KA (this instrument) are not subject to disallowance meaning that Section 42 of the of Legislative Instruments Act 2003 does not apply.
The Prescribed Payments Determination gives effect to the declaration referred to above and provides the DRA will not be granted if a person is in receipt of the prescribed payments.
Section 1 of the Prescribed Payments Determination specifies the name of the determination.
Section 2 of the Prescribed Payments Determination provides that it commences on the date after it is registered.
Section 3 of the Prescribed Payments Determination contains definitions relevant to this Determination.
Section 4 of the Prescribed Payments Determination provides the prescribed payments that exclude persons from being granted the DRA.
Overview
The Social Security (Disaster Recovery Allowance) (Prescribed Payments) Determination 2013 was enacted to address the issue of individuals attempting to claim the Disaster Recovery Allowance (DRA) while simultaneously receiving other income support payments, which could undermine the integrity of the DRA scheme. This determination is made under Section 1061KA(5) of the Social Security Act 1991, and it empowers the Minister to specify additional eligibility criteria for the DRA, ensuring that the allowance is only granted to those who genuinely need it due to a significant disaster. The policy objective of this determination is to provide clear guidelines on the types of income support payments that disqualify individuals from receiving the DRA, thereby maintaining the integrity and purpose of the allowance as a targeted support mechanism for those severely affected by a major disaster.
Scope and Application
The Social Security (Disaster Recovery Allowance) (Prescribed Payments) Determination 2013 applies to individuals seeking the Disaster Recovery Allowance (DRA) under the Social Security Act 1991. It specifies the income support payments that a person must not be receiving in order to qualify for the DRA. This determination applies nationally, as it is made under the Commonwealth legislation and affects individuals across Australia who are affected by a major disaster as declared by the Minister. The Act extends its application through subordinate instruments, allowing the Minister to prescribe additional eligibility criteria for the DRA. However, there are exclusions, such as individuals under 22 who are wholly or substantially dependent on another person (other than their partner), not a parent, and with an income below a specified threshold. The determination also excludes those in receipt of certain prescribed payments from being granted the DRA.
Key Provisions
The main operative sections of the Social Security (Disaster Recovery Allowance) (Prescribed Payments) Determination 2013 focus on defining the income support payments that disqualify individuals from receiving the Disaster Recovery Allowance (DRA). Section 4 of the determination lists the specific payments that, if received by an individual, will exclude them from being granted the DRA. These payments are prescribed to ensure that those who already receive substantial support from the government do not receive additional payments intended for disaster recovery. The determination is grounded in Section 1061KA(5) of the Social Security Act 1991, which empowers the Minister to make such declarations.
The Act imposes certain obligations on the parties involved. Firstly, the Minister must determine whether an event qualifies as a "Part 2.23A major disaster" under Section 36A, which requires a significant impact on individuals warranting a government response in the form of income support. Additionally, the Minister must specify the affected industries and areas under Section 36A, thereby narrowing the eligibility for the DRA to individuals working in these specified sectors or residing in the affected areas. Furthermore, the Minister has the authority to prescribe additional eligibility criteria under Section 1061KA(6), ensuring the DRA is granted only to those who genuinely need it due to the disaster.
The determination also outlines specific consequences for non-compliance. While the explanatory statement does not explicitly state civil or criminal penalties for breaching the determination, it is implied that failure to comply with the provisions regarding the prescribed payments could result in the denial of the DRA. Since the determination is not subject to disallowance under Section 1061KA(7), the prescribed payments remain in effect without the possibility of being overturned by legislative review. The exclusion from receiving the DRA is the primary consequence for those who do not meet the eligibility criteria as outlined in the determination.