EXPLANATORY STATEMENT
Veterans’ Entitlements (Treatment Principles - HomeFront -Frequency of Subsidy) Instrument 2009
EMPOWERING PROVISION
Subsection 90(4) of the Veterans’ Entitlements Act 1986 (Act).
PURPOSE
The attached instrument (R45/2009) amends the Treatment Principles (the Principles) to alter HomeFront subsidies to one per 12 month period rather than one per calendar year as was formerly the case.
The Treatment Principles is a legislative instrument made under subsection 90(4) of the Act and sets out the circumstances in which the Repatriation Commission (Commission) may accept financial liability for treatment provided to veterans and their dependants (entitled persons).
The HomeFront Program operates under paragraph 11.9 of the
Principles. The Program provides for small grants to be made to veterans and dependants (entitled persons) eligible for treatment under Part V of the Act who live at home to enable them to purchase items that will facilitate their physical safety around the home e.g. bathroom grab-rails and non-slip strips for steps. Under the Instrument financial assistance to a maximum amount of $200 is available per 12 month period towards the cost of minor home modifications that reduce the risk of falls and accidents.
Prior to the attached instrument a subsidy could be paid only once in a calendar year. Unfortunately this formula provided scope for an assessor, towards the end of a calendar year, to recommend that an entitled person only required say, one handrail, when in fact the person required two, resulting in the payment of a $200 subsidy, but at the commencement of the next calendar year, the assessor would recommend the entitled person required the other handrail, resulting in the payment of another $200 subsidy.
If the entitled person had received both handrails at the same time, the subsidy would have been limited to $200 instead of $400.
By permitting the subsidy only once in a 12 month period, instead of once in a calendar year, “year straddling” will not occur and this could deter assessors from making split-assessments which unnecessarily resulted in payment of a double subsidy, because the entitled person would need to wait longer for the next assessment i.e. 12 months.
RETROSPECTIVITY
None.
CONSULTATION
Yes. The Ex-Service Organisations Round Table was consulted on the proposal and the outcome was favourable.
DOCUMENTS INCORPORATED - BY - REFERENCE
No.
FURTHER EXPLANATION
Attachment A
Attachment A
Items
Paragraph [1] sets out the name of the Instrument.
Paragraph [2] provides that the Instrument commences on the 29th day from and including the day after the day it is registered on the Federal Register of Legislative Instruments. This allows for a period of notice to entitled persons and other relevant parties under the HomeFront Program.
Schedule
Item 1 omits paragraph 11.9.1 and substitutes a new paragraph 11.9.1 and inserts new paragraphs 11.9.1A and 11.9.1B.
Paragraph 11.9.1
New paragraph 11.9.1 is the same as the former provision except that the relevant period is 12 months and not a calendar year. The provision will enable the Commission to assist in providing aids and appliances for accident prevention and personal safety for an entitled person and will limit financial assistance to once in any period of 12 months.
Paragraph 11.9.1A
New paragraph 11.9.1A specifies that a period of 12 months commences on the date that the Commission approves financial assistance for an aid or appliance and that the Commission will not approve financial assistance if a period of 12 months has not elapsed from and including the date of any previous approval.
Paragraph 11.9.1B
New paragraph 11.9.1B covers the situation where the Commission approved financial assistance prior to the commencement of this Instrument and on the commencement date of the Instrument a period of 12 months had not expired from and including the date of approval. In this situation, new paragraph 11.9.1B provides that the approval is taken to have been granted under this Instrument and the period of 12 months commences on the date of the previous approval.
The Note refers to a section 88A determination made under the Act that determined holders of white cards to also be eligible for accident prevention and personal safety treatment for all their injuries/diseases, not just war/defence-caused ones.
Overview
The Veterans’ Entitlements (Treatment Principles - HomeFront - Frequency of Subsidy) Instrument 2009, enacted under the authority of subsection 90(4) of the Veterans’ Entitlements Act 1986, was introduced to address an issue in the HomeFront Program whereby subsidies for home modifications facilitating veterans’ and dependants’ safety were being unnecessarily split across two calendar years. This created an opportunity for double subsidies to be awarded to entitled persons who required multiple items at once. The policy objective of the Instrument is to prevent such "year straddling" by aligning the subsidy period with a 12-month cycle, thus ensuring that a single $200 subsidy covers all necessary items within that timeframe. The Ex-Service Organisations Round Table was consulted on this proposal, and the outcome was favourable. The Instrument is set to commence 29 days after its registration on the Federal Register of Legislative Instruments, allowing for appropriate notice to all relevant parties.
Scope and Application
The Veterans’ Entitlements (Treatment Principles - HomeFront - Frequency of Subsidy) Instrument 2009 amends the Treatment Principles to alter the frequency of HomeFront subsidies for veterans and their dependants under the Veterans’ Entitlements Act 1986. This Act applies to veterans and their dependants who are entitled persons under the Act, providing them with financial assistance for minor home modifications aimed at reducing the risk of falls and accidents. The Instrument specifies that financial assistance is available only once every 12 months, as opposed to once per calendar year, to prevent the occurrence of "year straddling," where multiple subsidies could be incorrectly paid within a single calendar year. The changes are intended to streamline the subsidy process and deter assessors from making split-assessments that result in unnecessary double payments. The Instrument does not have retrospective effect and was developed in consultation with the Ex-Service Organisations Round Table, which provided favourable feedback. The changes apply nationally across Australia and take effect 29 days after registration on the Federal Register of Legislative Instruments to allow for appropriate notice to stakeholders.
Key Provisions
The Veterans' Entitlements (Treatment Principles - HomeFront - Frequency of Subsidy) Instrument 2009 modifies the Treatment Principles under section 90(4) of the Veterans’ Entitlements Act 1986. Specifically, the main change involves the frequency of subsidies available under the HomeFront Program, shifting from one per calendar year to one per 12-month period. This change is detailed in the Schedule of the instrument, where paragraph 11.9.1 has been amended to reflect this new timeframe, ensuring that financial assistance is limited to once every 12 months. Additionally, new paragraphs 11.9.1A and 11.9.1B have been inserted to clarify the commencement of the 12-month period and to handle transitional scenarios where approvals were granted before the instrument's commencement.
The Act imposes several obligations and requirements on the parties it governs. The Repatriation Commission, for instance, must ensure that any financial assistance granted under the HomeFront Program adheres to the new 12-month period stipulation. This means that the Commission will only approve financial assistance if at least 12 months have passed since the last approval, as outlined in paragraph 11.9.1A. For cases where financial assistance was approved before the commencement of this instrument, and the 12-month period has not yet elapsed, the approval will be treated as if it were made under this new instrument, with the 12-month period starting from the date of the previous approval, as detailed in paragraph 11.9.1B.
Failure to comply with the new provisions can result in civil or administrative consequences. For example, if the Repatriation Commission approves financial assistance in violation of the 12-month period rule, it could be subject to corrective actions or financial penalties. Although the instrument does not specify exact penalties, breaches of the Act's provisions generally invite scrutiny and potential enforcement actions. The overarching intent is to prevent the "year straddling" issue, where multiple subsidies are unnecessarily awarded in a single calendar year, thereby ensuring that financial resources are allocated more effectively and fairly.