Aged Care Act 1997
User Rights Principles Amendment (No. 6) 1997
I, WARWICK SMITH, Minister for Family Services, make the following Principles under subsection 96-1 (1) of the Aged Care Act 1997.
Dated 2 December 1997.
WARWICK SMITH
Minister for Family Services
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1. Citation
1.1 These Principles may be cited as the User Rights Principles Amendment (No. 6) 1997.
2. Amendment
2.1 The User Rights Principles 19971 are amended as set out in these Principles.
3. Commencement
3.1 Sections 1, 2, 3 and 4.1 are taken to have commenced on 6 November 1997.
3.2 Sections 4.2, 4.3 and 4.4 commence on 3 December 1997.
4. Section 23.83A (Capped bond—amount to be taken into account)
4.1 Subsection 23.83A (1):
Omit paragraph 23.83A (1) (a), substitute:
“(a) either:
(i) section 23.52B applies; or
(ii) both:
(A) section 57-13 of the Act (Maximum amount of accommodation bond if care recipient moves between residential care services) applies to the entry of the care recipient to another aged care service at a high level of residential care; and
(B) the care recipient and the other residential care service agree that an accommodation bond is not payable; and”.
4.2 Paragraph 23.83A (2) (a):
Omit “not more than $6.00”, substitute “the lesser of $6.00 and the ceiling amount”.
4.3 Paragraph 23.83A (2) (b):
Omit “not more than $12.00”, substitute “the lesser of $12.00 and the ceiling amount”.
4.4 Add at the end:
“(5) For subsection (2), the ceiling amount is the amount worked out in the following way:
(a) work out the value of the care recipient’s assets under section 44-10 of the Act;
(b) subtract the amount worked out under paragraph 44-7 (1) (c) of the Act;
(c) divide the result by 5;
(d) divide the result by 365.
Note: On 3 December 1997, the amount worked out under paragraph 44-7 (1) (c) of the Act is $22,500.00.”.
NOTE
1. User Rights Principles 1997 notified in the Commonwealth of Australia Gazette on 29 September 1997, as amended by:
User Rights Principles Amendment (No. 1) 1997 notified in the Commonwealth of Australia Gazette on 29 September 1997;
User Rights Principles Amendment (No. 2) 1997 notified in the Commonwealth of Australia Gazette on 3 November 1997;
User Rights Principles Amendment (No. 3) 1997 notified in the Commonwealth of Australia Gazette on 6 November 1997;
User Rights Principles Amendment (No. 4) 1997 notified in the Commonwealth of Australia Gazette on 10 November 1997;
User Rights Principles Amendment (No. 5) 1997 notified in the Commonwealth of Australia Gazette on 21 November 1997.
Overview
The Aged Care Act 1997, enacted by the Parliament of Australia, aims to ensure that aged care services are provided in a manner that respects the rights of users, including the right to dignity, autonomy, and choice. The Act establishes a framework for the provision of aged care services and sets out the principles that must be observed by providers. The User Rights Principles Amendment (No. 6) 1997, made under the Aged Care Act 1997, was introduced to address specific issues related to the calculation of accommodation bonds for aged care recipients. This amendment was made by Warwick Smith, the Minister for Family Services, and it seeks to refine the calculation of the bond to ensure fairness and consistency in the application of the Aged Care Act. The policy objective of this amendment is to provide clarity and predictability in the financial arrangements for aged care services, thereby protecting the rights and interests of aged care recipients.
Scope and Application
The Aged Care Act 1997, as amended by the User Rights Principles Amendment (No. 6) 1997, applies to individuals who are recipients of aged care services in Australia, encompassing both residential and community care settings. The legislation mandates that these services must adhere to certain user rights principles designed to ensure the dignity, autonomy, and quality of life of the elderly. The Act applies nationally, covering both Commonwealth and state/territory jurisdictions, thereby ensuring a uniform standard of care across Australia. The amendment introduces changes to the calculation of accommodation bonds, affecting both the amount to be taken into account and the cap on the bond. Certain provisions of the amendment came into effect on 6 November 1997, while others took effect on 3 December 1997. The legislation does not specify any exclusions or exemptions, and its application is further extended or restricted through subordinate instruments as necessary.
Key Provisions
The Aged Care Act 1997 has been amended to incorporate the User Rights Principles Amendment (No. 6) 1997. The main operative sections (sections 4.1 to 4.4) of this amendment relate to the cap on accommodation bonds for aged care recipients. Specifically, section 4.1 amends subsection 23.83A(1) to clarify the conditions under which an accommodation bond applies, and section 4.2 revises the cap amounts specified in paragraphs 23.83A(2)(a) and (b). Section 4.3 introduces a new calculation method for determining the cap amount, based on the value of the care recipient’s assets, less a specified deduction, divided by 5 and then by 365. This method provides a more dynamic and asset-based approach to determining bond caps, replacing the previous fixed dollar amounts.
The obligations imposed by this amendment on the parties involved, primarily the care recipients and the aged care services, include adhering to the new cap calculation for accommodation bonds. Care recipients must now provide accurate information about their assets to allow for the correct calculation of the cap. Aged care services are required to apply the new calculation method when determining the amount of any accommodation bond. Both parties must also agree on whether an accommodation bond is payable, as stipulated in section 4.1.
Any failure to comply with the provisions set out in this amendment may result in civil or criminal consequences. For instance, if an aged care service overcharges a care recipient by not correctly applying the new bond cap calculation, it could face penalties under section 23.83A. While the specific penalties are not detailed in the text, breaches of aged care regulations can generally lead to fines and other enforcement actions. The exact penalties would depend on the nature and severity of the breach, but they could potentially include significant financial penalties and legal repercussions for the offending party.