Families, Housing, Community Services and Indigenous Affairs and Other Legislation Amendment (2008 Budget and Other Measures) Act 2008 (63 of 2008)

Schedule 4   Income management regime

Part 1   Voluntary income management agreements

Social Security (Administration) Act 1999

7   At the end of Division 2 of Part 3B

Add:

Subdivision D - Voluntary income management agreements

123UM Voluntary income management agreement

(1) A person may enter into a written agreement with the Secretary under which the person agrees voluntarily to be subject to the income management regime throughout the period when the agreement is in force.

(2) An agreement under subsection (1) is to be known as a voluntary income management agreement .

(3) The Secretary must not enter into a voluntary income management agreement with a person (the first person ) unless:

(a) the first person is an eligible recipient of a category H welfare payment; and

(b) the first person’s usual place of residence is within a declared voluntary income management area; and

(c) if the first person has a payment nominee - the payment nominee is not an excluded payment nominee; and

(d) if the first person is a payment nominee in relation to another person - a consent given by the other person is in force under section 123UP in relation to the first person.

(4) In deciding whether to enter into a voluntary income management agreement with a person, the Secretary must have regard to:

(a) the extent to which it would be feasible for the Secretary to take action under Division 6 in relation to the person if the person were subject to the income management regime; and

(b) such other matters (if any) as the Secretary considers relevant.

(5) The Secretary must not enter into a voluntary income management agreement with a person if:

(a) the person is subject to the income management regime under section 123UB, 123UC, 123UD, 123UE or 123UF; or

(b) during the 12-month period ending when the voluntary income management agreement is to come into force, there were 2 or more occasions on which previous voluntary income management agreements relating to the person were terminated under subsection 123UO(2).

123UN Duration of voluntary income management agreement

(1) A voluntary income management agreement in relation to a person (the first person ):

(a) comes into force at the time specified in the agreement, so long as:

(i) at that time, the first person is an eligible recipient of a category H welfare payment; and

(ii) at that time, the first person’s usual place of residence is within a declared voluntary income management area; and

(iii) if, at that time, the first person has a payment nominee - the payment nominee is not an excluded payment nominee; and

(iv) if, at that time, the first person is a payment nominee in relation to another person - a consent given by the other person is in force under section 123UP in relation to the first person; and

(v) at that time, the first person is not subject to the income management regime under section 123UB, 123UC, 123UD, 123UE or 123UF; and

(b) remains in force for 12 months.

(2) Subsection (1) has effect subject to section 123UO.

(3) If a voluntary income management agreement (the original agreement ) in relation to a person is in force, subsection (1) does not prevent the Secretary from entering into a new voluntary income management agreement with the person, so long as the new agreement is expressed to come into force immediately after the original agreement ceases to be in force.

(4) If a voluntary income management agreement in relation to a person has ceased to be in force, subsection (1) does not prevent the Secretary from entering into a new voluntary income management agreement with the person.

123UO Termination of voluntary income management agreement

Termination by request

(1) If a voluntary income management agreement relates to a person, the person may, by written notice given to the Secretary, request the Secretary to terminate the agreement.

(2) The Secretary must comply with a request under subsection (1) as soon as practicable after receiving the request.

Grounds of termination

(3) If:

(a) a voluntary income management agreement in relation to a person (the first person ) is in force; and

(b) any of the following events occurs:

(i) the first person ceases to be an eligible recipient of a category H welfare payment;

(ii) the first person’s usual place of residence ceases to be within a declared voluntary income management area;

(iii) in a case where the first person has a payment nominee - the payment nominee becomes an excluded payment nominee;

(iv) in a case where the first person is a payment nominee in relation to another person - a consent given by the other person under section 123UP in relation to the first person ceases to be in force;

(v) the first person becomes subject to the income management regime under section 123UB, 123UC, 123UD, 123UE or 123UF;

(vi) the Secretary becomes satisfied that it is not feasible for the Secretary to take action under Division 6 in relation to the first person;

the Secretary must terminate the voluntary income management agreement as soon as practicable after the occurrence of the event.

Limit on new voluntary income management agreements

(4) If a voluntary income management agreement in relation to a person is terminated under this section, the Secretary must not enter into another voluntary income management agreement with the person within 60 days after the termination.

123UP Consent for payment nominee to enter voluntary income management agreement

(1) If a person has a payment nominee, the person may give the Secretary a written consent to the existence of a voluntary income management agreement that relates to the payment nominee.

(2) A consent given by a person under subsection (1) remains in force until the person, by written notice given to the Secretary, withdraws the consent.