Aged Care Act 1997
User Rights Principles Amendment (No. 1) 1997
I, JUDI MOYLAN, Minister for Family Services, make the following Principles under subsection 96-1 (1) of the Aged Care Act 1997.
Dated 26 September 1997.
JUDI MOYLAN
Minister for Family Services
1. Amendment
1.1 The User Rights Principles 1997 are amended as set out in these Principles.
2. Section 23.30 (Accommodation bond agreement required even if waiver is sought)
2.1 Add at the end:
“(4) If the care recipient has a physical incapacity, a person nominated by the care recipient may sign the agreement for the care recipient.
“(5) If the care recipient has a cognitive impairment, a person who is authorised to sign documents for the care recipient may sign the agreement for the care recipient.”.
3. Section 23.64 (Minimum amount of periodic payments)
3.1 Add at the end:
“(2) The approved provider may charge the full amount of a periodic payment that is payable for the month in which the care recipient leaves the service.”.
4. Section 23.66 (Working out of amounts)
4.1 Subsections 23.66 (2) and (3) (formula):
Omit “TNY”, substitute “IR”.
4.2 Subsections 23.66 (2) and (3) (definition of “TNY”):
Omit the definition.
4.3 Subsections 23.66 (2) and (3):
Before the definition of “LS”, insert:
“IR is:
(a) the interest rate mentioned in the accommodation bond agreement; and
(b) not more than the Treasury Note yield for the month 2 months before the month in which the entry day happens;”.
5. Section 23.85 (Requirements for a resident agreement)
5.1 Paragraph 23.85 (b):
Omit “7”, substitute “14”.
Overview
The Aged Care Act 1997, as amended by the Aged Care Act 1997 User Rights Principles Amendment (No. 1) 1997, was enacted to address certain issues and gaps in the provision of aged care services in Australia. This legislative instrument was introduced by Judi Moylan, the Minister for Family Services, on 26 September 1997, to refine the user rights principles under the Aged Care Act 1997. The primary objective of this amendment was to enhance the rights and protections of care recipients by making adjustments to the user rights principles, ensuring that care recipients with disabilities or impairments are more effectively represented in critical decision-making processes. The changes focus on providing clarity and flexibility in the signing of accommodation bond agreements, adjusting the minimum amount of periodic payments, modifying the interest rate calculation formula, and extending the timeframe for the requirements of a resident agreement.
Scope and Application
The Aged Care Act 1997, as amended by the User Rights Principles Amendment (No. 1) 1997, applies to care recipients, care providers, and approved providers within the aged care sector. This legislation ensures that certain user rights are upheld, particularly when it comes to accommodation bond agreements, periodic payments, and interest rates applicable to such payments. The Act is applicable throughout Australia, as it is a Commonwealth Act, thereby covering all states and territories. Notably, the amendments made by this legislative instrument do not exclude any specific entities or individuals from its scope, but rather refine the existing provisions to better protect the interests of care recipients, especially those with physical or cognitive impairments. Furthermore, this Act allows for the modification of certain terms and conditions through subordinate instruments, ensuring that it can be adapted to meet changing needs within the aged care sector.
Key Provisions
The Aged Care Act 1997 User Rights Principles Amendment (No. 1) 1997 introduces several key provisions that alter the existing framework for aged care services. Firstly, under section 23.30, the amendment allows for specific individuals to sign accommodation bond agreements on behalf of care recipients with physical incapacities or cognitive impairments. Specifically, if a care recipient has a physical incapacity, a person nominated by the care recipient can sign the agreement (subsection 23.30(4)). Similarly, for those with cognitive impairments, an individual authorised to sign documents for the care recipient can sign the agreement (subsection 23.30(5)).
These amendments impose certain obligations on care providers and nominated individuals. Care providers must ensure that the correct individuals, as nominated or authorised, are signing on behalf of the care recipients. This requires clear communication and documentation to verify the authority of the signatories. Furthermore, providers must adhere to the conditions set out in the accommodation bond agreements, ensuring that all terms are fulfilled by the care recipient or their authorised representative.
Additionally, the amendment to section 23.64 allows approved providers to charge the full amount of a periodic payment for the month in which the care recipient leaves the service. This provision ensures that care providers are compensated for services rendered up until the departure date, providing clarity on financial obligations during the final month of care. The amendment also modifies the formula for calculating amounts in section 23.66 by replacing "TNY" with "IR" and omitting the definition of "TNY". It introduces "IR" as the interest rate specified in the accommodation bond agreement, which cannot exceed the Treasury Note yield for the month two months prior to the entry day. Lastly, section 23.85 extends the period for a resident agreement from 7 days to 14 days, allowing more time for comprehensive review and negotiation.
Failure to comply with these provisions can result in legal consequences. While the specific penalties are not detailed in the text, breaches of care agreements or improper handling of financial transactions could lead to civil or criminal liability. The precise nature of the penalties would depend on the extent of the breach and applicable laws governing aged care services.