User Rights Amendment Principles 2000 (No. 5)
I, BRONWYN KATHLEEN BISHOP, Minister for Aged Care, make these Principles under subsection 96-1 (1) of the Aged Care Act 1997.
Dated 28 July 2000
BRONWYN BISHOP
Minister for Aged Care
1 Name of Principles
These Principles are the User Rights Amendment Principles 2000 (No. 5).
2 Commencement
These Principles commence on gazettal.
3 Amendment of User Rights Principles 1997
Schedule 1 amends the User Rights Principles 1997.
Schedule 1 Amendment
Do not delete: Schedule Part Placeholder
(section 3)
[1] Subsection 23.89 (5)
substitute
(5) For this section:
income:
(a) means income after income tax and medicare levy; and
(b) does not include:
(i) pharmaceutical allowance, rent assistance or telephone allowance payable under the Social Security Act 1991 or the Veterans’ Entitlements Act 1986; or
(ii) a pension supplement payable under the Social Security Act 1991 or the Veterans’ Entitlements Act 1986; or
(iii) in relation to a pension payable under the Veterans’ Entitlements Act 1986 (except a service pension), an amount equal to 4% of the amount of the pension.
Note 1 From 1 July 2000 the A New Tax System (Compensation Measures Legislation Amendment) Act 1999 introduced pension supplement for some kinds of pensions (including service pensions under the Veterans’ Entitlements Act 1986).
Note 2 A pension mentioned in subparagraph (iii) is payable at a rate that may be determined under or by reference to any of the following provisions of the Veterans’ Entitlements Act 1986:
- subsection 22 (3) (which deals with the general rate of disability pension)
- subsection 23 (4) (which deals with the intermediate rate of disability pension)
- subsection 24 (4) (which deals with the special rate of disability pension)
- subsection 27 (1) (which deals with disability pension for tabled injuries)
- subsection 30 (1), including a pension payable because of Part IV (known as a widow’s or widower’s pension)
- subsection 30 (2) (which deals with disability pension for orphans).
Overview
The User Rights Amendment Principles 2000 (No. 5) were enacted to address specific issues arising from changes in pension supplement legislation, particularly in relation to the Social Security Act 1991 and the Veterans' Entitlements Act 1986. These principles were introduced to amend the User Rights Principles 1997 to ensure that the definition of income for aged care purposes remains consistent with the latest legislative amendments. The principles were made under the authority of the Aged Care Act 1997 by Bronwyn Kathleen Bishop, the Minister for Aged Care at the time, and they commenced upon gazettal on 28 July 2000. The policy objective is to align the income definitions used in aged care assessments with the updated pension supplement provisions, ensuring that the financial assessments for aged care services accurately reflect the changes introduced by the A New Tax System (Compensation Measures Legislation Amendment) Act 1999.
Scope and Application
The User Rights Amendment Principles 2000 (No. 5) applies to the principles governing the rights of users of aged care services under the Aged Care Act 1997. This legislative instrument amends the User Rights Principles 1997, specifically in relation to the definition of income for the purposes of assessing a person's financial resources. These Principles are applicable nationally across Australia as they are enacted under Commonwealth legislation. The geographic reach of these principles is therefore not limited to a specific state or territory but extends to all areas where the Aged Care Act 1997 operates. The principles apply to individuals receiving aged care services, thereby impacting both users of such services and the entities providing them. The amendment explicitly excludes certain allowances and supplements from the definition of income, such as pharmaceutical allowance, rent assistance, telephone allowance, and pension supplements, as well as specific amounts related to certain pensions under the Veterans’ Entitlements Act 1986. The application of these principles is further refined or extended through subordinate instruments as necessary, ensuring that the amendments are accurately implemented and understood within the aged care sector.
Key Provisions
The User Rights Amendment Principles 2000 (No. 5) primarily serve to modify the existing User Rights Principles 1997, as outlined in Schedule 1 (section 3). These principles come into effect immediately upon gazettal (section 2). The key amendment pertains to the definition of 'income' under subsection 23.89(5), which now explicitly excludes certain allowances and supplements from its scope (Schedule 1, Amendment). Specifically, it excludes the pharmaceutical allowance, rent assistance, telephone allowance, pension supplements, and a 4% amount of certain pensions under the Veterans’ Entitlements Act 1986 (Schedule 1, Amendment).
The obligations imposed by these principles primarily affect how income is assessed for eligibility and benefits under the Aged Care Act 1997. Service providers and entities governed by this legislation must adhere to the revised definition of income, ensuring that they do not include the specified allowances and supplements when determining a user’s income. This amendment ensures that the financial assessments for aged care services are consistent and transparent, reflecting the legislative intent to provide a fair and equitable system.
Failing to comply with these amended principles could result in various consequences. While the specific offences are not detailed within the text, breaches of the Aged Care Act 1997 generally could lead to civil or criminal penalties. The maximum penalties for non-compliance can include fines and, in severe cases, imprisonment. However, the exact penalties would depend on the nature and severity of the breach, as well as any additional provisions or guidelines provided by the relevant authorities. It is crucial for entities governed by this Act to remain compliant to avoid these potential legal repercussions.