House of Representatives

Explanatory Memorandum

(Circulated by authority of the Minister for Health and Ageing, the Hon Mark Butler MP)

Notes on Clauses

Abbreviations and Acronyms used in this explanatory memorandum

In this Explanatory Memorandum, the following abbreviations are used:

Clause 1 – Short Title

Clause 1 provides for the short title of the Act to be enacted by the Aged Care and Other Legislation Amendment Bill 2025 to be the Aged Care and Other Legislation Amendment Act 2025.

Clause 2 – Commencement

Clause 2 provides for the commencement of each provision in the Aged Care and Other Legislation Amendment Act 2025 as set out in the table at subclause 2(1).

Table item 1 provides that sections 1 to 3 and anything in the Act not elsewhere covered by the table is to commence on the day the Act receives the Royal Assent.

Table item 2 provides that Schedule 1, Part 1 is to commence immediately after the commencement of the Aged Care Act 2024.

Table item 3 provides that Schedule 1, Part 2 is to commence on 1 July 2026.

Table item 4 provides that Schedule 2, Part 1 is to commence immediately after the commencement of Schedule 2 to the Aged Care (Consequential and Transitional Provisions) Act 2024.

Table item 5 provides that Schedule 2, Parts 2 to 5 are to commence on the day the Act receives the Royal Assent.

Table item 6 provides that Schedule 3 is to commence at the same time as the Aged Care Act 2024 commences.

Subclause 2(2) clarifies that any information in column 3 of the table is not part of the Aged Care and Other Legislation Amendment Act 2025, and that information may be inserted in this column, or information in it may be edited, in any published version of the Bill.

Clause 3 – Schedule(s)

Clause 3 provides that legislation specified in a Schedule to the Aged Care and Other Legislation Amendment Bill 2025 is amended or repealed as set out in the applicable items in the Schedule concerned, and that any other item in a Schedule to the Aged Care and Other Legislation Amendment Bill 2025 has effect according to its terms. This is a technical provision that gives operational effect to the amendments contained in each of the Schedules to this legislation.

SCHEDULE 1 — AMENDMENT OF THE AGED CARE ACT 2024

Part 1—Amendments commencing immediately after the commencement of the Aged Care Act 2024

Item 1 - Section 7 (definition of accommodation bond )

This item repeals the current definition of accommodation bond and substitutes it with a new definition that specifies accommodation bond means an amount prescribed by the rules.

The definition of accommodation bond is to be prescribed in the rules due to the requirements for accommodation bonds being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements. This aligns with the drafting of the new Act where the requirements for accommodation bonds are prescribed under section 287 of that Act.

Item 2 - Section 7 (definition of accommodation bond balance )

This item inserts a definition of accommodation bond balance which has the meaning prescribed by the rules.

The definition of accommodation bond balance is to be prescribed in the rules due to the requirements for accommodation bonds being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements.

Item 3 - Section 7 (definition of accommodation charge )

This item repeals the current definition of accommodation charge and substitutes it with a definition that specifies accommodation charge means an amount prescribed by the rules.

The definition of accommodation charge is to be prescribed in the rules due to the requirements for accommodation bonds being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements.

Item 4 - Section 7 (definition of administrative action )

This item inserts a definition of administrative action in section 7 of the Act. This is a technical amendment required due to the amendments made by Item 280.

Item 5 - Section 7 (definition of approved report form )

This item inserts a definition of approved report form that refers to clause 166A of the new Act.

The purpose of adding this definition to the new Act ensures that an approved report form is defined with reference to clause 166A of the new Act (see Item 67 which inserts clause 166A).

Item 6 - Section 7 (definition of available balance )

This item repeals the existing definition of available balance, and substitutes it with a new definition. The new definition provides that an available balance, at a time, for any of the following notional accounts, or for an unspent Commonwealth portion, means the sum of the credits that have been made to the account or portion at or before that time reduced (but not below zero) by the sum of the debits that have been made to the account or portion at or before that time:

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a notional ongoing home support account;

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a notional short-term home support account;

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a notional service delivery branch account;

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a notional assistive technology account;

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a notional home modifications account;

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a notional home care account.

This technical amendment resolves an issue with the definition of available balance not achieving the intended policy outcomes.

Item 7 - Section 7 (definition of Chief Executive Centrelink

and Chief Executive Medicare )

This item is a technical amendment that inserts a definition of Chief Executive Centrelink Chief Executive Medicare, and Commonwealth entity into section 7 of the Act.

The Chief Executive Centrelink has the same meaning as in the Human Services (Centrelink) Act 1997 and the Chief Executive Medicare has the same meaning as in the Human Services (Medicare) Act 1973. Commonwealth entity has the same meaning as in the Public Service, Performance and Accountability Act 2013.

Item 8 - Section 7 (definition of deliver )

This item repeals the current definition of deliver and substitutes it with a new definition that provides deliver a funded aged care service has a meaning affected by section 11A.

This is a technical amendment due to the amendments made by Item 23.

Item 9 - Section 7 (definition of entry contribution and entry contribution balance )

This item inserts a definition of entry contribution which has the meaning prescribed by the rules.

This item inserts a definition of entry contribution balance which has the meaning prescribed by the rules.

The reasons the definition of entry contribution and entry contribution balance are to be prescribed in the rules is due to the requirements for entry contributions being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements.

Item 10 - Section 7 (paragraph (a) of the definition of government entity )

This item removes the reference to "(within the meaning of the Public Governance, Performance and Accountability Act 2013)". This a technical amendment due to the amendment made by Item 7 inserting a new definition of Commonwealth entity into section 7.

Item 11 - Section 7 (definition of high quality care )

This item inserts a definition of high quality care to refer to section 20 of the new Act.

The purpose of this inclusion is to ensure the definition of high quality care is linked directly to section 20 of the new Act, which outlines the parameters and standard of high quality care. As the circumstances which constitute high quality care are detailed, it is necessary to direct this definition to a section in the new Act.

The purpose of this inclusion is to signpost where 'high quality care' is defined in the new Act.

Item 12 - Section 7 (definition of in effect )

This item inserts a definition of the meaning of 'in effect' in relation to place allocation. Where a place is allocated under subsection 92(1) of the new Act, the definition is set out in section 92A. Where a place is allocated under subsection 95(1) of the new Act, the definition is set out in section 97 of the new Act. This definition helps sign post for readers where to find the meaning of 'in effect' in the new Act.

Item 13 - Section 7 (definition of notional home care account )

This item inserts a definition of a notional home care account, which means a notional account established for an individual under subsection 226E(1) of the new Act.

Item 14 - Section 7 (definition of notional service delivery account )

This item repeals the definition of notional service delivery account. A new definition of notional service delivery has been substituted, which directs the reader to subsection 203(1).

Item 15 – Section 7 (paragraph (d) of the definition of provisional subsidy amount)

This item omits 'an ongoing or' from paragraph (d) of the definition of provisional subsidy amount and substitutes it with 'a'. This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 16 – Section 7

This item inserts a definition of a quarter, being a three-month period beginning on 1 July, 1 October, 1 January or 1 April.

Item 17 – Section 7 (definition of relevant administrative action)

This item repeals the definition of relevant administrative action in section 7. A new definition of administrative action has been inserted by Item 4. This is a technical amendment required due to the amendments made by Item 280.

Item 18 - Section 7 (definition of retention period )

This item inserts a definition of retention period for an individual. The definition refers to subsection 308(1) of the new Act. Subsection 308(1) of the new Act is amended by Item 203 of this Schedule.

Item 19 – Section 7 (after paragraph (b) of the definition of subsidy)

This item inserts new subparagraph (ba) to the definition of subsidy, which adds in subsidy referred to in clause 242A. Clause 242A is inserted by Item 153 of this Schedule.

Item 20 – Subparagraph 8(1)(g)(v)

This item repeals subparagraph 8(1)(g)(v) which pertains to the aged care service list. This amendment will mean that the rules can never prescribe caps for services in a year, leaving flexibility in the Support at Home program.

Item 21 – Paragraphs 9(2)(e) to (h)

This item repeals the paragraphs (e) to (h) from the current definition of funded aged care services and substitutes it with new paragraphs (e) and (f) to include that if the individual is accessing the service other than under a specialist aged care program:

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a classification decision establishing a classification level in a classification type for the service group is in effect for the individual; and

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if a priority category decision is required under section 86 for the classification type for the service group—such a decision under section 86 has been made for the individual for the classification type for the service group; and

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if the classification type or classification level is one for which the System Governor may allocate the individual a place under section 92—a place has been allocated to the individual under that section for that classification type or classification level and (for a service group other than residential care) is in effect; and

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additionally, if the individual is accessing the service under a specialist aged care program:

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a classification decision establishing a classification level in a classification type for the service group has been made for the individual; and

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if the System Governor may allocate the registered provider a place under section 95—a place has been allocated to the registered provider under that section and is in effect.

This technical amendment clarifies the different approval pathway for individuals accessing funded aged care services through a specialist aged care program.

Item 22 – Subsection 11(2)

This item repeals the subsection (not including the heading or the note) and substitutes it with a new subsection (2) that provides that a registered provider means an entity that is registered as a registered provider (whether under paragraph 105(1)(a), because of a renewal under paragraph 108(1)(a), or because of a determination made by the System Governor under subsection 117(1)), if:

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the registration period has not ended; and

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the registration has not been revoked under a provision of Part 3 of Chapter 3.

The purpose of this amendment is to deal with instances where the provider's registration has been suspended. This new definition indicates that where a provider has had their registration suspended but the registration period has not ended and the registration has not been revoked, the provide remains a registered provider for the purposes of the definition of a registered provider.

Item 23 – Subsection 11(7)

This item repeals the subsection 11(7) of the new Act and substitutes it with new clause 11A to provide for certain circumstances where a registered provider should be deemed to have provided a funded aged care service where they have not actually provided the service. This is to ensure that registered providers, particularly those providing services under the Support at Home program, can receive the appropriate subsidy under the new Act in these circumstances.

Subsection (1) provides that to avoid doubt, a registered provider delivers a funded aged care service for the purposes of the new Act even if some or all the work involved in delivering the service to an individual is done by one or more associated providers of the registered provider. This means that an associated provider like a nurse can assist an individual to obtain goods (such as consumable items) and the provider is able to receive subsidy and reimburse that service.

Subclause (2) provides that a service is taken to have been delivered by a registered provider to an individual for the purposes of the new Act if:

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the service is included on the list referred to in subsection 8(1); and

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the service was scheduled to be delivered by the registered provider to the individual on a day; and

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had the service been delivered as scheduled, the individual could have accessed the service through a service group as referred to in subsection 9(2); and

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subclause (3) applies.

Subclause (3) applies if a service that was scheduled to be delivered by a registered provider to the individual on an agreed day and at an agreed time and place, and the only reason that the service was not delivered was that the individual cancelled the delivery of the service within the period, before that day, that is prescribed by the rules.

Subclause (3) also provides a power for further circumstances to be set out in the Rules.

This amendment allows for circumstances where the only reason a provider is unable to provide a certain service is because the individual cancelled late (within the timeframe prescribed by the rules) or did not show for the service.

Subclause (4) provides that if subclause (2) applies in relation to a service:

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a reference in this Act to the number of hours or units of the service delivered to the individual on a day is taken to be a reference to the number of hours or units that were scheduled to be delivered to the individual on the day; and

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a reference in this Act to the service delivery branch through which the service was delivered is taken to be a reference to the service delivery branch through which the service was scheduled to be delivered.

Subclause (5) provides that subclause (2) does not apply:

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in circumstances prescribed by the rules; or

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for the purposes of a provision of this Act prescribed by the rules.

Subclauses (2) to (5) will enable a registered provider to be eligible for subsidy under certain circumstances of service cancellation or 'no show', that is, the participant was not at home or in a pre-determined location when a worker arrives to deliver a scheduled service. This reflects common industry practices and provides protections for the registered provider. A registered provider should include their cancellation and no-show policies in their service agreements with participants.

Subclause (6) provides that certain reimbursements will be taken to be delivery of funded aged care services, provided that if:

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an individual incurs costs in acquiring a service that is included on the list referred to in subsection 8(1); and

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the registered provider reimburses, in accordance with any requirements prescribed by the rules, the individual for the whole or a part of the costs; and

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had the service been delivered to the individual by the registered provider, the individual could have accessed the service through a service group as referred to in subsection 9(2); and

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any other circumstances prescribed by the rules in relation to the individual, the acquisition or the service apply;

the reimbursement is taken, for the purposes of this Act, to be the delivery by the registered provider to the individual of the service.

This provision allows for individuals to pay for a service or good and be reimbursed by the registered provider. This may occur where:

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The registered provider and the individual have identified the need for a good.

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The good is more economically purchased by the individual, as opposed to being purchased by the registered provider and supplied to the individual.

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The registered provider and individual have agreed to the purchase of the good by the individual.

This may also occur where:

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The registered provider has agreed for the participant to undertake some of the tasks associated with sourcing or coordinating an entity delivering a service. These scenarios commonly fall within what is termed "self-management".

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The individual has a preference to pay a third-party supplier and receive reimbursement from the registered provider.

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The registered provider has engaged the third-party supplier or worker to deliver a service to the individual.

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The registered provider has agreed to the individual paying the agreed price to the third-party supplier and receiving reimbursement from the registered provider.

Subclause (7) provides that subclause (6) does not apply in circumstances prescribed by the rules, or for the purposes of a provision of this Act prescribed by the Rules

Item 24 – At the end of section 15

This item inserts five additional subsections, (4) through (8), at the end of section 15 of the new Act to require periodic reviews of the operation of the Aged Care Quality Standards (the Standards) to be undertaken.

Subsection (4) provides that the System Governor must cause periodic reviews to be conducted of the operation of the Aged Care Quality Standards.

Subsection (5) provides that the first review must be completed before the end of the period of 5 years starting on the day this Act commences.

Subsection (6) provides that each later review must be completed before the end of each subsequent 5-year period.

Subsection (7) provides that the System Governor must give the Minister a written report of each review as soon as practicable after the review is completed.

Subsection (8) provides that the System Governor must cause a copy of the report of each review to be published on the Department's website as soon as practicable after the Minister receives the report.

These 5-yearly periodic reviews of the Standards are intended to include public consultation to ensure the Standards continue to meet the needs of older people. Following consideration by the Minister, a report on each review is to be published on the Department's website. Where a review leads to changes to the Aged Care Standards being progressed, this will be subject to scrutiny through the standard parliamentary processes to ensure transparency and accountability in relation to any proposed amendments to the Standards.

Item 25 – Section 27

This item amends section 27 of the new Act by omitting 'with the consent of the individual' and substituting it with 'in line with the individual's will and preferences.'

The purpose of this amendment is to provide for a supporter to do a thing under section 27 in line with the individual's will and preferences. These are the individual's known will and preferences, not those will and preferences that the supporter or any other person believes the individual would likely hold in the circumstances.

A supporter doing a thing, in line with the individual's will and preferences, under section 27 to support the individual to do a thing under, or for the purposes of, the new Act ensures alignment with the supporter's duty in paragraph 30(2)(a) of the new Act to act in a manner that promotes the will, preferences and personal, cultural and social wellbeing of the individual.

Item 26 – At the end of subsection 28(2)

This item amends subsection 28(2) of the new Act by inserting a new paragraph 'or (d) is included in a class of persons prescribed by the rules.'

The purpose of this amendment is to provide a mechanism to prescribe that other classes of persons with decision-making authority for an individual can be prescribed by the rules.

Item 27 – Subsection 29(1)

This item amends subsection 29(1) of the new Act by omitting 'subject to subsection (2), any information or document that is required or authorised under, or for the purposes of, this Act' and substituting 'any information or document that is required or authorised under, or for the purposes of, this Act (other than Part 5 of Chapter 4 of this Act)'.

The purpose of this amendment is to provide that information or documents that may or must be given to an individual under, or for the purposes of, the new Act that must also be given to the individual's supporter in certain circumstances, does not extend to information or documents that may or must be provided to the individual under Part 5 of Chapter 4 of the new Act, which deals with means testing. This will align section 29 of the new Act with the exclusion that currently exists at section 27 and will not affect the existing arrangements of persons or bodies who currently provide information or documents relating to means testing to individuals and the people who support them.

Item 28 – Subsection 29(3)

This item amends subsection 29(3) to renumber it to subsection 29(2). This is a technical correction and does not affect the operation of section 29.

Item 29 -Subsection 30(2)

This item amends subsection 30(2) of the new Act by omitting 'subsection 27(1)' and substituting it for 'section 27'.

The purpose of this amendment is to confirm reference to the whole of section 27 in providing that if a supporter is doing a thing under section 27 to support the individual to do a thing under, or for the purposes of, the new Act, the supporter has the duties described in paragraphs (a) to (c).

Item 30 – Subparagraph 54(2)(b)(ii)

This item amends subparagraph 54(2)(b)(ii) by omitting 'section 53' and substituting it for '(2)'.

The purpose of this amendment is to confirm that a notification given under section 54 will include how a person may apply for reconsideration of a decision by the System Governor to cancel a person's registration as a supporter, if the registration was cancelled under subsection 51(1) or (2). This is a technical amendment to align the requirements for the content of notifications under section 54 with the reviewable decisions under section 557.

Item 31 – Subparagraph 58(c)(ii)

This item amends subparagraph 58(c)(ii) by omitting 'was informed, prior to making the election," and substituting with "has been informed".

This editorial amendment simplifies the language of the existing provision making it clear an individual who is less than 65 years of age seeking access to funded aged care services must be informed of any other options that may be available to meet their care needs.

Item 32 – Subsection 75(3)

This item repeals subsection 75(3), and substitutes new subclause (3) which provides that a classification assessment must instead be undertaken at a time that is both after the aged care needs assessment, and on or after the start date included in a start notification submitted by the registered provider for delivering funded aged care services to the individual under that classification type at an approved residential care home of a registered provider. This technical amendment clarifies the timing for when a classification assessment must be undertaken.

Item 33 – Subsection 81(4)

This item amends subsection 81(4) to omit "For classification levels in the classification type ongoing for the service group residential care, rules" and substitute with "Rules".

This amendment provides power for the rules to set out the compounding factors for more than just the residential care service group.

Item 34 and 35 – Subsection 82(1) (heading) and Subsection 82(1)

These items amend the heading and subsection text of subsection 82(1) by omitting 'assistive technology or home modifications' and substituting it with 'or assistive technology'. This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 36 – After subsection 82(1)

This item amends the Act after subsection 82(1) by inserting a new subclause (1A) titled Short-term funded aged care services delivered through service group home modifications.

Subclause (1A) replicates the provisions of subsection 82(1) but limits them to the short-term classification level for the home modifications service group, which was excluded from subsection 82(1) by amendments in Item 34 and Item 35.

This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 37 to 40 – Section 84, Subparagraph 84(b)(iii), Subparagraph 84(b)(iv), At the end of section 84

Section 84 of the Act sets out when a prioritisation assessment must be undertaken. Prioritisation assessments are required for determining the order of place allocation to individuals for certain service groups and classification types for those service groups.

There are four amendments in this section with a range of purposes.

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Inserting new subclause (1) before "A prioritisation assessment" to provide for a further subsection in existing section 84.

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Omitting 'ongoing or' from subparagraph 84(b)(iii) recognising that there is no ongoing home modification service type.

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Omitting 'or short-term' from subparagraph 84(b)(iv) to exclude short-term residential care approvals from needing a priority assessment. This allows places for this service group and classification type to be allocated to individuals without a prioritisation process.

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Adding subclause (2) which provides that despite subsection (1), a prioritisation assessment is not required to be undertaken for an individual in classification type ongoing for the service group home support if the circumstances prescribed by the rules apply. This amendment allows the Rules to exclude individuals with approvals for specific ongoing home support classification levels from a prioritisation assessment. This ensures places are not allocated to individuals for services that can only be delivered through a specialist aged care program, e.g. CHSP.

Item 41 – Paragraph 85(2)(a)

This item amends paragraph 85(2)(a) by omitting ', assistive technology or home modifications' and substituting with 'or assistive technology, or for the classification type short-term for the service group home modifications.

This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 42 – Paragraph 85(2)(b)

This item amends paragraph 85(2)(b) to omit 'or short-term' from the provision.

This is a technical amendment that removes the requirement for a prioritisation assessment for individuals with approvals for access to short-term classification type for the residential care service group. This allows places for this service group and classification type to be allocated to individuals without a prioritisation process.

Item 43 – Subsection 86(1)

This item repeals subsection 86(1) and substitutes it with a new subclause on general requirements for priority category decisions.

Subclause (1) provides that, if the System Governor is given a prioritisation report, for an individual, for a classification type for a service group, the System Governor must establish a priority category for the individual for the classification type for the service group. The System Governor must establish the priority category in accordance with any criteria, methods or procedures prescribed by the rules for the purposes of section 87.

The purpose of this amendment brings the provision for priority category decisions in line with approach in subsection 78(1) of the new Act. This amendment renders priority category decisions amenable to automation as the System Governor is required to establish a priority category in accordance with objective criteria, methods and procedures prescribed by the rules.

Item 44 – Subsection 86(2)

This item amends section 86 to repeal subsection 86(2) which pertains to priority category decisions. This paragraph did not reflect the requirements for priority category decisions to be established in line with requirements for automated decision making.

Item 45 – Subsection 86(5) (heading)

This item amends the heading of subsection 86(5) to omit 'or short-term'.

This is a technical amendment that removes the requirement for a prioritisation assessment for individuals with approvals for access to short term classification type for the residential care service group. This allows places for this service group and classification type to be allocated to individuals without a prioritisation process.

Item 46 – Subsection 86(5)

This item amends subsection 86(5) to omit 'or short-term' from the provision.

This is a technical amendment that removes the requirement for a prioritisation assessment for individuals with approvals for access to short term classification type for the residential care service group. This allows places for this service group and classification type to be allocated to individuals without a prioritisation process.

Item 47 – Subsection 87(1)

This amendment replaces the reference to "paragraph 85(2)(a)" with a reference to "subsection 86(1)". This is a technical amendment required due to the amendments made by Item 43.

Item 48 – Subsection 87(2)

This amendment replaces "paragraph 85(2)(b)" with "subsection 86(1)". It is consequential to earlier amendments to section 85. This is a technical amendment required due to the amendments made by Item 43.

Item 49 – Subsection 87(2)

This item amends subsection 87(2) to omit 'or short-term' from the provision.

This is a technical amendment that removes the requirement for a prioritisation assessment for individuals with approvals for access to short term classification type for the residential care service group. This allows places for this service group and classification type to be allocated to individuals without a prioritisation process.

Item 50 and 51 – Section 89 and Paragraph 89(a)

Section 89 provides the period of effect for priority category decisions. The priority category is only used to facilitate place allocation decisions and does not need to remain in effect beyond this use.

These two items amend section 89 by inserting "the earliest of the following" after "in effect until".

The existing paragraph 89(a) is repealed and substituted with two new paragraphs.

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for a classification type for the service group home support—the individual is allocated a full place under subsection 92(1) for that classification type for the service group;

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for a classification type for any other service group—the individual is allocated a place for the classification type for the service group under subsection 92(1); or

The purpose of this amendment is to ensure that an individual does not lose their priority category after being allocated an interim place. This allows them to remain in their priority category queue until they are allocated their full place, at which point the priority category is no longer in effect.

Item 52 – At the end of section 89

This item amends the new Act at the end of section 89 by adding a note to provide that the effect of paragraph (a) is that an individual's priority category decision remains in effect if an interim place has been allocated for the classification type for the service group home support.

The purpose of this amendment is to ensure that an individual does not lose their priority category after being allocated an interim place. This allows them to remain in their priority category queue until they are allocated their full place, at which point the priority category is no longer in effect.

Item 53 – Subsections 91(1) and (2)

This item amends subsections 91(1) and (2) by repealing the subsections and substituting with a new subclause (1) to provide that the Minister must in writing determine a method for a financial year, that may be used at a time during that year, for working out the following:

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the number of places available at that time to be allocated to individuals for each service group; and

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how many of the places mentioned in paragraph (a) for a service group are for allocation for a particular classification type (other than hospital transition) for the service group; and

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how many of the places mentioned in paragraph (b) for a particular classification type for a service group are for allocation for a particular classification level in the classification type; and

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if the service group is home support—how many of the places mentioned in paragraph (b) or (c) are for allocation as interim places or full places for the classification type or classification level.

Subsection (2) provides that without limiting subsection (1), the method prescribed may be based on any of the following factors:

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forecast demand for funded aged care services at the time and the forecast cost of those services at that time;

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the appropriation for the financial year and how much of that appropriation is left at the time;

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target average wait times for individuals with access approvals for a classification type for a service group who are seeking to access funded aged care services through the service group.

These amendments ensure the Ministerial Determination provides the method for working out how many for interim or full places would be available, and ensures the additional information needed for that method is clearly stated.

Item 54 – Subsection 91(4)

This item amends subsection 91(4) by omitting 'process and' from the subsection.

This editorial amendment removes duplication and confusion between 'a method' and 'a process'.

Item 55 – Subsection 92(1)

This item amends subsection 92(1) to insert ', at a time during a financial year, that' after 'If the System Governor considers'.

This editorial amendment makes it clear that the System Governor can consider whether a place is available on more than one time during a financial year.

Item 56 – After subsection 92(1)

Section 92 of the Act provides for the System Governor to allocate places to individuals. This item amends subsection 92(1) to insert a new subclause (1A).

Subclause (1A) provides that subsection (1) does not apply in relation to an individual and a classification type for a service group if:

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the classification type for the service group is ongoing for home support; and

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the circumstances prescribed by the rules apply.

This amendment allows the rules to exclude individuals with approvals for specific classification levels from the place allocation process. This is to ensure places are not allocated to individuals whose service type can only be delivered through a specialist aged care program, e.g. CHSP.

Item 57 – Paragraph 92(4)(b) and (c)

Subsection 92(4) sets out the items that must be included in a notice to an individual regarding allocation of a place to an individual. This item replaces existing paragraphs 92(4)(b) and (c) with amended requirements for information about the place that must be included in the notice, being:

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if a service group is residential care – the day the place is allocated; and

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for a place for the home support, assistive technology or home modifications service group, whether the place is an interim or full place and when the place takes effect or is taken to be withdrawn in accordance with section 92A; and

This amendment ensures individuals are advised if the place they have been allocated is an interim or a full place. It also makes it clear that residential places are effective immediately on allocation of the place and will remain in effect until the individual dies.

Items 58 and 59 – Subsection 92(5) and after section 92

This item repeals subsection 92(5) which provided for the rules to set out the period within which an individual had to accept a place. This information is included with other relevant information in the new clause 92A inserted by Item 59.

Subclause 92A(1) provides for a place allocated under subsection 92(1) to an individual for a classification type for the service group home support, assistive technology or home modifications takes effect on the start day for the individual included in a start notification given by a registered provider for the classification type for the service group.

Subclause 92A(2) provides that despite subclause (1), if the start day is not within the period prescribed by the rules, the place:

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does not take effect; and

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is taken to be withdrawn.

Subclause 92A(3) provides that despite subclause (1), if:

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the place allocated to the individual is a full place for a classification type for the service group home support; and

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an interim place is in effect for the individual for the classification type for the service group;

The full place takes effect from the day the System Governor gives notice to the individual of the allocation of the place under subsection 92(3).

Subclause 92A(4) provides that a place allocated under subsection 92(1) to an individual for a classification type for the service group home support, assistive technology or home modifications ceases to have effect at the time prescribed by the rules.

Subclause 92A(5) provides that a place allocated under subsection 92(1) for the service group residential care takes effect on the day the place is allocated and remains in effect until the individual dies.

Item 60 – Section 93

This item amends section 93, which sets out the method for allocation by repealing the whole section and substituting a new clause 93 relating to the method for allocation.

Subclause 93(1) provides that the System Governor must determine in what order to allocate places to individuals under subsection 92(1) for a classification type for a service group or for a classification level for a classification type for a service group.

Subclause 93(2) allows the rules to prescribe a method that the System Governor must follow in deciding the order of allocation under subsection (1) for a classification type for a service group or for a classification level for a classification type for a service group.

Subclause 93(3) provides that a method prescribed for the purposes of subclause (2) for the allocation of a place to an individual for a classification type for a service group, or a classification level for a classification type for a service group, must be based on the following:

•

the individual's priority category (if any) for the classification type or the classification level;

•

the day the individual's access approval for the classification type was given; and

•

whether the individual has an interim place in effect for the classification type for the service group;

•

the individual's wait time for the allocation of a place for the classification type or the classification level.

This amendment adjusts subsection 93 to reflect the introduction of interim places and the range of different measures that affect the place allocation processes for different service groups, classification types and classification levels.

Item 61 – Subparagraph 111(3)(b)(i)

This item amends subparagraph 111(3)(b)(i) by omitting ", which must be less than or equal to the number of beds stated in the certificate of occupancy for the home".

This item removes the requirement that the total number of beds specified in an application for approval of a residential care home must be less than that stated in the certificate of occupancy. This change is necessary as occupancy certificate requirements vary across jurisdictions and typically only reference the total number of occupants, rather than the number of beds. Without amendment, the existing provisions would prevent the approval of a total number of beds in jurisdictions where occupancy certificates are not issued. It is intended that rules to be made for these provisions will require a "certificate of occupancy or equivalent certificate (however described) for the residential care home, or any other document that specifies or relates to the number of beds in the residential care home or the total number of individuals that may occupy or reside in the residential care home" so that the Commissioner can make an informed decision on the total number of beds.

Item 62 – Paragraph 112(1)(b)

This item amends paragraph 112(1)(b) by omitting ", which must be less than or equal to the number of beds stated in the certificate of occupancy for the home".

This item removes the requirement that the total number of beds the Commissioner may decide are covered by the approval of residential care home must not exceed that stated in the certificate of occupancy. This change is necessary as occupancy certificate requirements vary across jurisdictions and typically only reference the total number of occupants, rather than the number of beds. Without amendment, the existing provisions would prevent the approval of a total number of beds in jurisdictions where occupancy certificates are not issued. It is intended that rules to be made for these provisions will require a "certificate of occupancy or equivalent certificate (however described) for the residential care home, or any other document that specifies or relates to the number of beds in the residential care home or the total number of individuals that may occupy or reside in the residential care home" so that the Commissioner can make an informed decision on the total number of beds.

Item 63 – Section 146

This item amends clause 146 to omit "conform" and substitute with "comply".

This is a technical amendment and does not change the intent or purpose of the provision.

Item 64 – After section 150

This item amends Part 4, Division 1, subdivision D – conditions relating to financial matters to insert clause 150A after section 150. Clause 150A provides for refundable deposit register.

Subclause 150A(1) provides that it is a condition of registration that a registered provider of a kind prescribed by the rules:

•

establish and maintain, in accordance with any requirements prescribed by the rules, a register (a refundable deposit register) that includes the information or records prescribed by the rules relating to refundable deposits, accommodation bonds, or entry contributions paid to, or held by the registered provider; and

•

do so in a manner consistent with the requirements in clause 168.

Subclause 150A(2) provides that without limiting subsection (1), the rules may prescribe that information or records relating to the following be included in the refundable deposit register:

•

information relating to the payment of a refundable deposit, accommodation bond, or entry contribution;

•

information relating to amounts deducted from a refundable deposit balance, accommodation bond balance or entry contribution balance;

•

information relating to refunds of a refundable deposit balance, accommodation bond balance, or entry contribution balance.

The purpose of this amendment is to require a registered provider, as defined in the rules, to establish and maintain a refundable deposit register. A refundable deposit register is intended to provide a record that is accurate, comprehensive and up-to-date in relation to the collection and use of refundable deposits. The refundable deposit register will serve as a means for providers to track refundable deposit balances. For example, it will ensure providers can accurately track the amount, and date, of refundable deposit payments. Organised collection of information related to refundable deposit balances also provides assurances to individuals and governments that refundable deposits are being collected and maintained in accordance with the requirements of the new Act and subordinate legislation.

Item 65 – Section 152

This item amends clause 152 by inserting "(1)" before "It".

This is a technical amendment to clause 152 to provide for the addition of subclause (1).

Item 66 – At the end of section 152

This item amends section 152 to insert the following subclauses at the end of section 152.

Subclause 152(2) provides that without limiting subsection (1), worker screening requirements prescribed by rules made for the purposes of paragraph (1)(a) or (b) may include requirements relating to aged care workers whose normal duties include the direct delivery to an individual of a funded aged care service specified in an instrument in force under subsection (3).

Subclause 152(3) provides that the Commissioner may, by notifiable instrument, specify funded aged care services for the purposes of subsection (2).

The purpose of this amendment is to enable the Commissioner to make a notifiable instrument that specifies which funded aged care services are risk assessed. A notifiable instrument which specifies the funded aged care services that are risk assessed will assist a registered provider to comply with the worker screening requirements made for the purposes of paragraph 152(1)(a) or (b) of the new Act. If a funded aged care service is specified, then an aged care worker is in a risk assessed role if they normally work in a role which involves the direct delivery of that specified funded aged care service.

A notifiable instrument made under subclause 152(3) is administrative in character and is not a substantive exemption from the Legislation Act.

Item 67 – Section 166

This item amends section 166 of the Act by repealing and substituting the section with new clauses 165A, 166, and 166B which relate to reports on reportable incidents, other reports by the registered provider and approved report forms.

Subclause 165A(1) provides that a registered provider of a kind prescribed by the rules must, if the rules prescribe that reports relating to reportable incidents must be given to the Commissioner, report reportable incidents to the Commissioner in accordance with this clause.

Subclause 165A(2) provides that a report under subsection (1) must:

•

be in the approved report form; and

•

be prepared, and given, in accordance with any other requirements prescribed by the rules.

The note provides that the approved report form is set out in new clause 166A.

The purpose of new subclause 165A(2) is to provide clarity on obligations to report reportable incidents through the approved report form to the Commissioner under subsection 165A(1) and further specify that the reports must be prepared and given as prescribed by the rules should prescriptions be made. Under subsection 166A(2), the Commissioner may prescribe the approved report form for the purposes of reports about reportable incidents.

Subclause 165A(3) provides that an entity contravenes this subclause if:

•

the entity is a registered provider; and

•

the entity fails to comply with subclause (1).

The note provides that a registered provider may commit an offence or contravene a civil penalty provision if the provider gives false or misleading information or documents (see Part 7.4 of the Criminal Code and section 591 of this Act).

The civil penalty is 250 penalty units.

Subclause 166(1) provides that a registered provider of a kind prescribed by the rules must, if the rules prescribe that a report must be given to one of the following persons, give a report to that person in accordance with this clause:

•

the Commissioner;

•

the Complaints Commissioner;

•

the Inspector--General of Aged Care;

•

the System Governor;

•

the Pricing Authority.

Subclause 166(2) provides that a report under subclause (1) must:

•

if the rules prescribe information that must be included in the report:

o

include that information; and

o

be in the approved report form (if any); and

•

if paragraph (a) does not apply—be in the approved report form; and

•

in any case—be prepared, and given, in accordance with any other requirements prescribed by the rules.

The note provides that the approved report form is set out in clause 166A.

The purpose of the amendments in subclauses 166(1) and (2) is to provide clarity on obligations to report through the approved report form, if any, to the persons listed in subclause 166(1), as prescribed by the rules. This amendment grants administrative flexibility by allowing for the approved report form to be updated to capture information that may assist the persons receiving the reports in performing their functions. For example, the approved report form could be updated to require the reporting of information relevant to impacts of events such as pandemics or natural disasters on the delivery of funded aged care services by registered providers.

Subclause 166(3) provides that without limiting paragraph (2)(a), the rules may prescribe information relating to any of the following:

•

complaints and feedback received by a registered provider;

•

the workforce, and governance, of a registered provider;

•

compliance by a registered provider with requirements relating to nursing services;

•

locations at which funded aged care services are delivered by a registered provider;

•

specified groups of individuals to whom a registered provider is delivering funded aged care services;

•

how specified funded aged care services are delivered;

•

specified financial and prudential matters.

The purpose of this amendment is to correct the wording of the provision to ensure that it is not requirements to report that are prescribed under these paragraphs, but instead the information required has been prescribed.

Subclause 166(4) provides that without limiting paragraph (2)(c), the rules may prescribe requirements relating to either of the following:

•

the collection or generation of information prescribed for the purposes of paragraph (2)(a) (including requirements relating to making particular measurements or assessments in connection with that collection or generation);

•

reporting periods and the timeframes within which a report must be given in relation to those reporting periods (including by providing that a prescribed reporting period or timeframe is subject to an exemption determined by the System Governor in accordance with the rules).

The purpose of this amendment is to include a subclause which clarifies that the rules may prescribe requirements around the collection or generation of information relevant to reporting obligations under the subclause 166(1).

Subclause 166(5) provides that if the rules prescribe that a report given by a registered provider under subclause (1) must be published, the registered provider must publish the report in accordance with any requirements prescribed by the rules. The purpose of this amendment is to confirm a provider must publish a report under this section, should the rules prescribe an obligation to publish.

Subclause 166(6) provides that an entity contravenes this subsection if:

•

the entity is a registered provider; and

•

the entity fails to comply with subsection (1) or (5).

The note provides that a registered provider may commit an offence or contravene a civil penalty provision if the provider gives false or misleading information or documents (see Part 7.4 of the Criminal Code and section 591 of this Act).

The civil penalty is 250 penalty units.

The purpose of new clause 166A is to define an approved report form and give authority to an approved report form's creation, for the purposes of collecting information under sections 165A and 166.

Subclause 166A(1) provides that a report under clause 165A or 166 is in the approved report form if:

•

it is in a form approved under subclause (2) or (3) of this section for that kind of report by the person (the report recipient) to whom the report is required to be given; and

•

it contains the information that the form requires, and any further information, statement or document as the report recipient requires, whether in the form or otherwise; and

•

it is given in the manner that the report recipient requires (which may include electronically).

Subclause 166A(2) provides that the Commissioner may, in writing, approve a form for a kind of report under clause 165A.

Subclause 166A(3) provides that any of the following persons may, in writing, approve a form for a kind of report under clause 166:

•

the Commissioner;

•

the Complaints Commissioner;

•

the Inspector--General of Aged Care;

•

the System Governor;

•

the Pricing Authority.

Subclause 166A(4) provides that more than one kind of report may be combined in the same form approved under subclause (2) or (3).

Subclause 166A(5) provides that more than one form may be approved under subclause (2) or (3) for the same kind of report.

Subclause 166A(6) provides that a different form may be approved under subclause (2) or (3) for a kind of report for different circumstances.

Subclause 166A(7) provides that if a form is approved under subclause (2) or (3), the person who approved the form must cause the following to be published on the Department's website:

•

the form;

•

any requirements mentioned in paragraphs (1)(b) and (c) relating to the kind of report that are not included in the form.

Item 68 – Paragraph 175(2)(b)

This item amends paragraph 175(2)(b) by inserting "only" after "home".

This is a technical amendment and does not change the purpose or intent of the provision.

Item 69 – After section 178

This item outlines the offences that apply to a registered provider or a responsible person if there is a non-permitted use of an accommodation bond, and within 5 years of that use there is an insolvency event in relation to the corporation where there is at least one outstanding accommodation payment balance.

Accommodation bonds are intended to provide registered providers with a source of capital funding for investment in residential aged care infrastructure, and a source of income (via loans and other financial instruments).

It is a condition of registration that providers must comply with any requirements in respect of accommodation bonds set out in Chapter 4 of the Act or prescribed in the rules (section 151 of the Act). This includes, among other things, using an accommodation bond only as permitted by the rules made for the purposes of paragraph 287(3)(a) of the Act.

In order to pay out these high-cost sums of money when required, it is prudent that providers act in accordance with these permitted uses and ensure they maintain enough money to meet their financial liabilities, and remain financially viable.

The timeframe of 5 years between non-permitted use, and an insolvency event in this clause recognises that non-permitted investments of accommodation bonds may impact on a registered provider's financial viability a number of years after the non-permitted activity occurs. This creates a stronger disincentive against the non-permitted use of accommodation bonds.

Clause 178A will support compliance with, and enforcement of, the legislative requirements in relation to permitted uses of accommodation bonds, noting that:

•

accommodation bonds may impact on a registered provider's financial viability a number of years after the payment of the bond occurs,

•

the extent of the period of liability creates a stronger disincentive against the use of an accommodation bond for a purpose that is not permitted;

•

through the Aged Care Accommodation Payment Security Act, the Commonwealth is liable to refund any accommodation bond balance in the event that a provider cannot do so, due to an insolvency event.

Offence for registered provider

Clause 178A provides that an entity commits an offence if the entity is a registered provider and the entity uses an accommodation bond and that use is not permitted by rules made for the purposes of paragraph 287(3)(a) of the new Act, and at a particular time during the period of 5 years after the use of the accommodation bond, an insolvency event (as defined in section 6 of the Aged Care Accommodation Payment Security Act) occurs in relation to the entity and there is at least one outstanding accommodation payment balance for that entity.

Contravention of the offence by an entity carries a maximum penalty of 300 penalty units. The penalty amount is consistent with the comparable penalty under previous section 52N-2 of the old Act and section 178 of the new Act.

This provision aims to:

•

strengthen consumer protections by securing the accommodation bonds that individuals pay to registered providers, and

•

ensure that refund obligations are met.

The risk that some registered providers may not act appropriately in dealing with accommodation bonds cannot be completely removed by regulation. Therefore, it is important to have strong deterrents in place to discourage this type of behaviour.

Under this clause, offences will only apply in circumstances where a registered provider has used an accommodation bond for a non-permitted purpose, is insolvent and is unable to pay the accommodation bond when they fall due.

The offence is structured under the premise that it is not always a single event that pushes a registered provider into insolvency. For example, if a registered provider used refundable deposits to purchase a privately-owned vehicle, such as a luxury car, this one-off expense might not trigger an insolvency event, but it is a non-permitted expense that reduces the immediate liquidity of the registered provider and offers no potential source of further income. However, such a purchase is likely to have contributed to the poor financial position of the registered provider and made insolvency more likely.

By imposing a suitably strong penalty for the misuse of accommodation bonds, the intention is to disincentivise registered providers from misappropriating funding and exploiting the misuse of funds intended to deliver funded aged care services to a vulnerable cohort of individuals.

Offence for responsible persons

Subclause 178A(2) provides that a person who is a responsible person of a registered provider (the entity) commits an offence if the entity uses an accommodation bond and that use is not permitted by rules made for the purposes of paragraph 287(3)(a) of the Act, and the responsible person:

•

knew that, or was reckless or negligent as to whether:

o

the accommodation bond would be used; and

o

the use of the accommodation bond was not permitted; and

•

was in a position to influence the conduct of the entity in relation to the use of the accommodation bond, and

•

failed to take all reasonable steps to prevent the use of the accommodation bond; and

•

at a particular time during the period of 5 years after the use of the deposit, an insolvency event (within the meaning of the Aged Care Accommodation Payment Security) Act occurs in relation to the entity, there is at least one outstanding accommodation payment balance for that entity, and

•

at the time the accommodation bond was used, the entity was a corporation.

Criminal penalties will apply to responsible persons who were in a position to influence how accommodation bonds were used by a registered provider, and who knew about, or who were reckless or negligent regarding non-permitted uses of accommodation bonds.

Contravention of the offence by a person who is a responsible person carries a penalty of imprisonment for 2 years. This penalty is consistent with the comparable penalty under previous section 52N-2 of the old Act and section 178 of the new Act (which deals with offences relating to nonpermitted use of refundable deposits).

As with the penalty for registered providers under subclause 178A(1), the risk that some responsible persons may not act appropriately in dealing with accommodation bonds cannot be completely removed by regulation. Therefore, it is important to have strong deterrents in place to discourage this type of behaviour. Due to the severe consequences of not repaying accommodation bonds to older individuals or their estate, the maximum penalty of imprisonment for two years is appropriate

Strict liability

Subclause 178A(3) provides strict liability applies to paragraphs (1)(d) and (2)(g) and (h).

The application of strict liability negates the requirement to prove fault for these paragraphs (sections 6.1 and 6.2 of the Criminal Code). Application of strict liability, and the amount of the maximum penalties in this provision, is based on A Guide to Framing Commonwealth Offences, Infringement Notices and Enforcement Powers, which sets guidelines about the circumstances in which strict liability is appropriate.

The use of strict liability for this offence is necessary to ensure registered providers and responsible persons of registered providers foresee potential issues and actively mitigate against avoidable risks, and to ensure the integrity of the regulatory scheme and protect general revenue (by reducing the risk of misuse of accommodation bonds).

Offence provisions for the non-permitted use of accommodation bonds are appropriate because of the misuse of funds which have been essentially loaned to the registered provider by people in a vulnerable position.

This clause is not intended to be used in circumstances where there have only been minor or unintentional breaches. Rather, the offences are structured to ensure that they only become available in the most extreme circumstances – where a registered provider, and in certain circumstances, complicit responsible person, have failed to comply with their legislative requirements in relation to the use of accommodation bonds.

Including penalties and the possibility of imprisonment in the most serious cases of misuse of accommodation bonds are a key part of achieving and maintaining a credible level of deterrence to complement other types of enforcement action, for example, the issuing of notices.

Specific offence provisions in this Bill are also necessary because, in the absence of fraud, non-permitted use of accommodation bonds are not an offence under the Criminal Code or the various state and territory Crimes Acts.

Item 70 – Subsection 189(1) (note)

This item amends the note under subclause 189(1) to omit "165 and 166" and substitute with "165, 165A and 166".

This is a technical amendment required due to the amendment made by Item 67 and does not change the purpose or intent of the provision.

Item 71 – Section 190 (after the paragraph beginning "Part 4")

This item inserts a paragraph into the simplified outline in section 190. The new paragraph explains that Part 4 makes provision for that Part not applying in relation to individuals included in a class of individuals prescribed by the rules. The rules may, in relation to the delivery of certain funded aged care services to these individuals, prescribe different requirements that relate to accommodation bonds, accommodation charges or entry contributions (in accordance with subsection 33(3A) of the Acts Interpretation Act).

These requirements support the grandfathering of individuals whose accommodation bonds, accommodation charges or entry contributions were regulated under the old Transitional Provisions Act immediately before transition time.

Item 72 – Subsection 191(1)

This item substitutes "A registered" with "The System Governor must determine that a registered" in subsection 191(1). This is an editorial amendment to reframe the subsection to remove subjective elements.

Item 73 – Subsection 191(1)

This item omits "the System Governor is reasonably satisfied" in subsection 191(1).

This amendment is required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility in subsections (2) and (3) are binary conditions that are amenable to automation.

Item 74 – Subsection 191(1)

This item makes a technical amendment to section 191. Subsection 191(1), as amended above by items 72 and 73, sets out that registered providers are eligible for person-centred subsidy for funded aged care services delivered to an individual for home support on a given day if the requirements in subsections 191(2) and 191(3) are met.

This item makes a technical amendment to subsection (1) to provide for the addition of subsection (4), which is inserted by Item 77.

Item 75 – Paragraph 191(2)(c)

This item inserts "and the place is in effect" after "section 92" in paragraph 191(2)(c) of the Act. This item clarifies that the place must be in effect before the registered provider is eligible for subsidy under this section.

Items 76 and 77 – Paragraph 191(2)(e) and at the end of section 191

These items make technical amendments to section 191 of the Act.

Item 76 repeals paragraph 191(2)(e) which provided that a registered provider was eligible for person-centred subsidy on a day if (together with other criteria) the registered provider has given a start notification for delivering ongoing or short-term funded aged care service to the individual through a service delivery branch of the provider, or other circumstances prescribed by the rules apply.

Item 77 inserts new subclause (4) at the end of section 191 to provide that a registered provider is eligible for person-centred subsidy on a day (together with other criteria) if that day is on or after the start day specified in a start notification given by the registered provider for delivering ongoing or short term funded aged care services to the individual for the service group through a service delivery branch of the provider.

Item 78 – Subsection 192(1)

Item 78 amends subsection 192(1) adding "in a quarter" after "on a day".

This amendment clarifies that the method statement in subsection 192(1) relates to a day in a quarter. This amendment relates to the reframing of a notional account for ongoing home support to a series of quarterly accounts (Item 81).

Item 79 – Subsection 192(1) (method statement, steps 3, 4, 5, 6, and 7 and the final sentence) and Item 80 – Subsection 192(2) (method statement, steps 3, 4, 5, 6 and 7 and the final sentence)

Item 79 repeals steps 3, 4, 5, 6 and 7, and the final sentence of the method statement in subsections 192(1) and 192(2), replacing them with an amended step 3, and a new final sentence.

Item 80 makes the same amendment to subsection 192(2).

As a result of the amendments each method statement now consists of three steps with an amended final sentence. Steps 1 and 2 remain unchanged and the amended step 3 requires that any secondary person-centred supplements are added to the provisional subsidy amount (step 2 of the method statement). The amended step 3, removal of steps 4 to 7 and amendment to the final sentence of the method statement change the method statement so it results in the amount of subsidy a registered provider is eligible for (not the amount payable) in relation to an individual being delivered ongoing or short-term funded aged care services in the home support service group by the registered provider.

The repealed steps have been moved into Subdivision A, Division 6, Part 2, Chapter 4, which relates to claims and payments for home support, assistive technology and home modification service groups (Item 165). This reframing separates the amount of subsidy for a registered provider for an individual for the service for the day, from the amount to be claimed and paid to the registered provider, which is worked out by comparing the amount of subsidy for the individual for the service on the day, to the available balance of the individual's notional ongoing or short-term home support account, unspent Commonwealth portion (if any) and notional home care account (if any), on the day the claim is made.

This Item amends the provisions for claiming against subsidy to reflect the policy intent. It is not intended to limit providers to the amount of subsidy in a notional account on a day; this amendment, combined with the amendments made by Item 165 have the effect of enabling providers to access subsidy across a period irrespective of the particular day in the period the service was delivered.

Item 81 – Section 193

Item 81 repeals and replaces section 193. New clause 193 incorporates a number of clarifications including a technical amendment to the use of start day and start notification, reframing the relationship of credits and debits to the notional ongoing home support account and the subsidy payable to a registered provider on claiming, and credits to the notional account due to an individual being allocated a full place after accessing services through an interim place.

Quarterly ongoing home support accounts

Subclause 193(1) sets out that the notional account for ongoing home support is a quarterly account, unless circumstances prescribed by the Rules apply.

Initial credit for account for first quarter

Subclause 193(2) addresses the credit to the notional ongoing home support account when the individual first starts accessing ongoing funded aged care services in the home support service group. The credit amount is the sum of the base individual amount and any primary person-centred supplements, multiplied by the remaining number of days in the quarter (including that day).

Initial credits for accounts for subsequent quarters

Subclause 193(3) sets out the credit amounts for each subsequent quarterly account being the sum of the base individual amount and any primary person-centred supplements, multiplied by the number of days in the quarter.

Rollover credits

Subclause 193(4) enables the rules to prescribe the amounts that will rollover from a preceding quarterly account to the subsequent quarterly account, noting that there cannot be any rollover into the first quarterly notional ongoing home support account. Paragraphs 193(4)(a) and (b) provide that the timing for a rollover amount to be applied to a notional account is the earliest of the day the registered provider's final claim for the preceding quarter is approved or the 61st day of the quarter.

Credit due to change in classification or full place coming into effect and Credit due to primary person-centred supplement applying

Subclauses 193(5) and 193(6) provide for the balance in a notional ongoing home support account to be increased due to a change to an individual's classification level for the service group home support (subsidy amounts increase with an increase in classification levels), a full place coming into effect for an individual who was previously accessing services through an interim place (increases available subsidy from 60% to 100%) and if any primary person-centred supplements begin to apply (additional subsidy available). In these circumstances the amount credited to the notional account is the difference between the existing subsidy entitlement for a day and the new subsidy entitlement for a day multiplied by the number of remaining days in the quarter (including that day).

Debits

Subclause 193(7) provides that the notional ongoing home support account is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165). Subclause 193(8) clarifies that the time the notional ongoing home support account is debited may be a time after the period to which the claim relates.

Debit amounts are equal to the unreduced amount of subsidy calculated in Step 1 of the method statement in subclause 192(1). If that amount is higher than the available balance of the notional ongoing home support account, it will only be reduced to zero; accounts cannot be overdrawn. Item 165 sets out how much the provider is paid, taking into account the individual's contributions, any other reduction amounts, any secondary supplements, and the available balances of the notional ongoing home support account, unspent Commonwealth portion and the notional home care account for the individual.

Rules may prescribe circumstances for no credits and Ceasing of accounts

Subclauses 193(9) and (10) provide for the Rules to prescribe circumstances where no credit is made to a notional ongoing home support account and when the account for a quarter ceases.

Collectively, the amendments to clause 193 provide an effective framework for operationalising the ongoing quarterly budgets for Support at Home participants and claiming for services delivered during the quarter.

Item 82 – Subsection 195(2)

This item repeals subsection 195(2) of the Act in relation to the meaning of available balance of an individual's notional short-term home support account. This is a technical amendment dealing with the concept of available balance, which is now defined at section 7 of the Act.

Item 83 – Paragraphs 195(3)(a) and (b)

This item is a technical amendment to paragraphs 195(3)(a) and (b) which pertain to a notional short-term home support account as a method for managing payments for short-term home support services available to an individual, i.e. funding for yet to be delivered services (credits) against payments for funded services that have been delivered (debits).

This item omits "the number of days in the maximum period of effect for the individual's classification level for the classification type for the service group" and substitutes "the number of days in the period prescribed by the rules (which must not be longer than the maximum period of effect for the individual's classification level for the classification type for the service group)".

The purpose of this amendment is to maintain accurate calculation of subsidies while providing more time for access to those subsidies. This will support people accessing the End-of-Life Pathway under Support at Home so that if they live beyond 12 weeks, they may draw down on remaining funding for a further 4 weeks.

Item 84 – After subsection 195(3)

Section 195 establishes a notional short-term home support account as a method for managing payments for short-term home support services available to an individual.

This item inserts new subclauses 195(3A), 195(3B) and 195(3C) after subsection 195(3) to deal with matters relating to credit due to circumstances prescribed by the rules applying.

New subclause 195(3A) provides that where the circumstances prescribed by the rules apply in relation to the individual, at the start of a day prescribed by the rules the amount prescribed by the rules is credited to the account.

This new subclause enables additional funding to be provided for an individual's services when the circumstances set out in the rules are met. This will enable eligible participants accessing the Restorative Care Pathway under Support at Home to access two units of funding concurrently to meet specified restorative care goals and outcomes.

New subclause 195(3B), provides that without limiting subclause (3A), rules made for the purposes of that subclause may provide that the System Governor may determine the amount for the individual in accordance with the rules. This new subclause clarifies that a determination under new subclause (3A) may specify the amount to be credited, as well as the circumstances and the day on which the amount is credited.

New subclause 195(3C) clarifies that if a determination made by the System Governor under rules made for the purposes of subclause (3A) is made in writing, the determination is not a legislative instrument. This new subclause is included to assist readers, as the instrument is not a legislative instrument within the meaning of subsection 8(1) of the Legislation Act.

This declaration is administrative in character because it does not meet the legislative character test set out in subsection 8(4) of the Legislation Act. The declaration does not create new legal obligations for a broad class of persons. It is an operational tool, and is used to apply the law, not to determine new law.

Item 85 – Subsection 195(4)

This item removes "at the start of the day" from subsection 195(4) which provides for the timing and amount of credit to an individual's notional short-term home support account if primary person-centred supplement applies. This technical amendment recognises that this may occur at any time of day.

86 – Subsections 195(5) and (6)

This item repeals and replaces subsections 195(5) and (6) of the Act and the heading, consistent with amended subsections 193(7) and (8) (refer Item 81). The new heading (debits) and the new subclauses 195(5) and (6) set out that the notional short-term home support account is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165).

This amendment is part of the reframing described in Item 79 (amendment of the method statement in subsections 192(1) and (2)) to distinguish the amount of subsidy for a provider for an individual for the service for the day from the amount claimed and the amount paid to the provider.

This reframing separates the amount of subsidy for a provider for an individual for the service for the day, from the amount to be claimed and paid to the provider which is worked out by comparing the amount of subsidy for the individual for the service on the day, to the available balance of the individual's notional short-term home support account, the available balance of unspent Commonwealth portion and the individual's notional home care account, on the day the claim is made.

Item 87 – Before paragraph 197(3)(a)

This item inserts new paragraph (aa) before paragraph 197(3)(a) to clarify that the circumstances in the rules made for the purposes of subsection 197(2) can include that the System Governor has made a determination about certain matters in relation to the fee reduction supplement.

Item 88 – At the end of section 197

This item amends section 197 of the Act and inserts new subclause 197(5) to clarify that if a determination made by the System Governor under rules for the purposes of subsection (2) is made in writing, it is not a legislative instrument. This new subclause is included to assist readers, as the instrument is not a legislative instrument within the meaning of subsection 8(1) of the Legislation Act 2003. This is merely declaratory of the law rather than an express exemption from the Legislation Act.

This determination is administrative in character because it does not meet the legislative character test set out in subsection 8(4) of the Legislation Act. The determination does not create new legal obligations for a broad class of persons. It is an operational tool, and is used to apply the law, not to determine new law. It would allow the System Governor to determine certain things relating to the fee reduction supplement, mean that the fee reduction supplement applies.

Item 89 – Section 201

This item repeals section 201 and substitutes with a new clause to again set out eligibility for provider-based subsidy.

New clause 201 provides that a registered provider is eligible for provider-based subsidy for an ongoing funded aged care service delivered by the registered provider to an individual on a day if:

•

the requirements in paragraphs 191(2)(a), (b), (c), (d), (g), (h) and (i) (regarding eligibility for person-centred subsidy) are satisfied in relation to the funded aged care service and the individual; and

•

the requirements in subsection 191(3) (that the final price charged is not more than the final efficient price, if any) are satisfied in relation to the funded aged care service and the individual; and

•

the funded aged care service is prescribed by the rules.

This amendment is consequential to Item 76 which repealed paragraph 191(2)(e) and increases the eligibility requirements to clearly state that subsidy is only for a funded aged care service that is prescribed by the Rules.

Item 90 – Section 202 (method statement, step 3 and the final sentence including paragraphs (a) and (b))

This item repeals step 3 and the remainder of the method statement in section 202.

The amended method statement now results in the amount of subsidy a registered provider is eligible for (not the amount payable) in relation to an individual being delivered ongoing funded aged care services in the home support service group through a service delivery branch of the registered provider. This amendment is consistent with those at Items 79, 80, 99 and 113.

This reframing separates the amount of subsidy for a registered provider for an individual for the service for the day, from the amount to be claimed and paid to the registered provider, which is worked out by comparing the amount of subsidy for the individual for the service on the day, to the available balance of the individual's notional ongoing or short-term home support account, unspent Commonwealth portion (if any) and notional home care account (if any), on the day the claim is made.

This item amends the provisions for claiming against subsidy to reflect the policy intent. It is not intended to limit providers to the amount of subsidy in a notional account on a day; this amendment, combined with the amendments made by Item 165 have the effect of enabling providers to access subsidy across a period irrespective of the particular day in the period the service was delivered.

Item 91 – Section 203

This item repeals section 203, replacing it with a new clause 203. Similarly to Item 81, new clause 203 incorporates a number of clarifications including when the notional service delivery branch account is first credited, reframing the relationship of credits and debits to the notional service delivery branch account and the subsidy payable to a registered provider on claiming, and credits to the account due to an individual being allocated a full place after accessing services through an interim place or a provider-based supplement becoming applicable.

Service delivery branch account

Subclause 203(1) sets out that a notional account for a registered provider's service delivery branch is established for the first financial year for the start day of the first individual, and at the beginning of each financial year unless the circumstances prescribed in the rules are met.

Credits – first and second quarters of active operation

Subclauses 203(2) and (3) set out that credits to a notional service delivery branch account for the first and second quarters of operation apply to the provider in relation to each individual's start notification. The amount to be credited is the base provider amount and any provider-based supplements that apply to the registered provider in relation to the individual, multiplied by a number of days as prescribed by the rules.

Credits – subsequent quarters

Subclauses 203(4) and (5) set out the amount and timing of credits that apply to the registered provider in relation to individuals after the notional service delivery branch account has been in operation for more than two quarters (subsequent to the first and second quarter of operation).

Subclause 203(4) provides that the amount to be credited at the start of the first day of the quarter in a financial year is the sum of the base provider amount and any provider-based supplements that apply to the registered provider in relation to each individual covered by subclause 203(5) multiplied by the number of days in the quarter.

Subclause 203(5) sets out that credits are made to the notional service delivery branch account at the start of the quarter for individuals for whom, at the test time, the registered provider has previously given a start notification. This can be during any previous quarter that the account has existed.

Credit due to change in classification, or change from interim to full place, of individual to whom services are being delivered through service delivery branch and Credit for provider-based supplement starting to apply

Subclauses 203(6) and (7) provide for the balance in a service delivery branch notional account to be increased due to a change to an individual's classification level for the service group home support (subsidy amounts increase with an increase in classification levels), an allocation of a full place to an individual who was previously accessing services through an interim place (increases available subsidy from 60% to 100%) and if any provider-based supplements begin to apply (additional subsidy available). In these circumstances the amount credited to the notional service delivery branch account is the difference between the existing subsidy entitlement for a day and the new subsidy entitlement for a day multiplied by the number of remaining days in the quarter (including that day).

Rollover credit

Subclause 203(8) enables the rules to prescribe the amounts that will rollover from a preceding notional service delivery branch account for a financial year to the notional service delivery branch account for a subsequent financial year, noting that there cannot be any rollover into the notional service delivery branch account for the first financial year. The timing for a rollover amount to be applied to a notional service delivery branch account is the earliest of the day the registered provider's final claim for the preceding financial year being approved or the 61st day of the following financial year.

Debits

Subclause 203(9) sets out that the notional service delivery branch account is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165). Subclause 203(10) clarifies that the time the notional service delivery branch account is debited may be a time after the period to which the claim relates.

Subclause 203(11) provides for the Rules to prescribe circumstances for when a notional service delivery branch account for a financial year ceases.

Collectively, new clause 203 provides an effective framework for operationalising the pooled care management funding model under Support at Home. It provides for the different crediting scenarios that apply for accounts (including for where there are changes in the circumstances of individuals connected to the service delivery branch) and the framework for claiming to be across a financial year period.

Item 92 – Subsection 204

This item omits "subsection 203(3)" and substitutes it with "subsection 203(5) for a quarter". This amendment is required due to the amendments to clause 203 in Item 91.

Item 93 – Subsection 209(1)

This item omits "A registered" and substitutes it with "The System Governor must determine that a registered" in subsection 209(1). This is an editorial amendment to reframe the subsection to remove subjective elements.

Item 94 – Subsection 209(1)

This item omits "the System Governor is reasonably satisfied" from subsection 209(1). This amendment is required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility in subsections (2) and (3) are binary conditions that are amenable to automation.

Item 95 – Subsection 209(1)

This item omits "subsection (2) and (3)" and substitutes it with "subsections (2), (3) and (4)" in subsection 209(1). This is a technical amendment to align with an amendment to section 209 to include new subsection (4).

Item 96 – Paragraph 209(2)(c)

This item amends paragraph 209(2)(c) to insert "and the place is in effect" after "section 92". This amendment is to align with amendments to the Act in relation to interim places.

Item 97 – Paragraph 209(2)(e)

This item repeals paragraph 209(2)(e). This is a technical amendment to align with Item 98 and the introduction of interim places.

Item 98 – At the end of section 209

This item inserts new subclause (4) at the end of section 209 as a technical amendment to align with amendments to the new Act in relation to interim places. Subclause 209(4) provides that the requirement is that:

•

unless paragraph (b) applies—the day is on or after the start day specified in a start notification given by the registered provider for delivering ongoing or short-term funded aged care services to the individual for the service group through a service delivery branch of the provider; or

•

if the rules prescribe circumstances for the purposes of this paragraph—those circumstances apply.

Item 99 –- Section 210 (method statement, steps 3, 4, 5, 6 and 7 and the final sentence)

This item repeals steps 3, 4, 5 ,6 and 7, and the final sentence of the method statement in section 210. As a result of the amendments the method statement now consists of three steps with an amended final sentence. Steps 1 and 2 remain unchanged and the amended step 3 requires that any secondary person-centred supplements are added to the provisional subsidy amount (step 2 of the method statement). The amended step 3, removal of steps 4 to 7 and amendment to the final sentence of the method statement change the method statement so it results in the amount of subsidy a registered provider is eligible for (not the amount payable) in relation to an individual being delivered short-term funded aged care services in the assistive technology service group by the registered provider.

These amendments are consistent with those at Items 79 and 80. The calculation of subsidy payable to a registered provider at the time they claim and has been moved to clauses 251 and 251A.

Item 100 – Subsection 211(2)

This item repeals subsection 211(2) in relation to the available balance. This is a technical amendment to align with amendments made to the concept of available balance, which is now defined in section 7.

Item 101 – Subsection 211(5)

This item removes "at the start of the day" from subsection 211(5) which provides for the timing and amount of credit to an individual's notional assistive technology account if any primary person-centred supplements begin to apply to the individual. This technical amendment recognises that new supplements may begin to apply at any time of day.

Item 102 – Subsections 211(6) and (7)

This item repeals and replaces subsections 211(6) and (7) of the Act, which set out when a debit is made to an individual's notional assistive technology account and the amount. Consistent with the amended subsections 193(7) and (8) (refer Item 81), the new heading and subclause 211(6) provides that the notional assistive technology account is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165).

This reframing separates the amount of subsidy for a registered provider for an individual for the service for the day, from the amount to be claimed and paid to the registered provider which is worked out by comparing the amount of subsidy for the individual for the service on the day, to the available balance of the unspent Commonwealth portion, the individual's notional home care account, and the individual's notional assistive technology account, on the day the claim is made.

Item 103 – Before paragraph 214(3)(a)

This item inserts new paragraph (aa) before paragraph 214(3)(a) to allow the System Governor to make a determination about certain matters in relation to the fee reduction supplement.

Item 104 – At the end of section 214

This item inserts subclause (5) at the end of section 214. Subclause 214(5) provides that determination is not a legislative instrument if the determination is made by the System Governor under rules made for the purposes of subsection (2).

The addition of subclause (5) is merely declaratory of the law and not a substantive exemption from the Legislation Act. This declaration is administrative in character because it does not meet the legislative character test set out in subsection 8(4) of the Legislation Act. The declaration does not create new legal obligations for a broad class of persons. It is an operational tool, and is used to apply the law, not to determine new law.

Item 105 – Subsection 218(1)

This item omits "A registered" and substitutes with "The System Governor must determine that a registered" in subsection 218(1). This is an editorial amendment to reframe the subsection to remove subjective elements.

Item 106 – Subsection 218(1)

This item omits "the System Governor is reasonably satisfied" from subsection 218(1) of the Act.

This amendment is required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility in subsections (2) and (3) are binary conditions that are amenable to automation.

Item 107 – Subsection 218(1)

This item omits "subsection (2) and (3)" and substitutes with "subsections (2), (3) and (4)" in subsection 218(1) in line with amendments to include the new subsection 218(4) (see Item 111).

Item 108 – Paragraph 218(2)(c)

This item amends paragraph 218(2)(c) to insert "and the place is in effect" after "section 92". This item clarifies that the place must be in effect before the registered provider is eligible for subsidy under this section.

Item 109 – Subparagraph 218(2)(d)(i)

This item amends subparagraph 218(2)(d)(i) by omitting "ongoing or". This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 110 – Paragraph 218(2)(e)

This item repeals paragraph 218(2)(e) which pertains to start notifications for person-centred subsidy eligibility. This is a technical amendment to ensure a registered provider's eligibility for subsidy does not rely on a start notification being sent to the System Governor on the start day.

Item 111 – At the end of section 218

This item inserts new subclause 218(4) at the end of section 218. This provides that the requirement is that the given day (for subsidy eligibility) is on or after the start day specified in a start notification given by the registered provider for delivering short-term funded aged care services to the individual, unless circumstances prescribed by the rules apply.

Item 112 – Section 219

This item amends section 219 to omit "an ongoing or" and substitute with "a". This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 113 – Section 219 (method statement, steps 3, 4, 5, 6 and 7 and the final sentence)

This item repeals step 3 and the final sentence of the method statement in section 219. As a result of the amendments the method statement now consists of three steps with an amended final sentence. Steps 1 and 2 remain unchanged and the amended step 3 requires that any secondary person-centred supplements are added to the provisional subsidy amount (step 2 of the method statement). The amended step 3, removal of steps 4 to 7 and amendment to the final sentence of the method statement change the method statement so it results in the amount of subsidy a registered provider is eligible for (not the amount payable) in relation to an individual being delivered short-term funded aged care services in the home modifications service group by the registered provider.

These amendments are consistent with those at Item 79, 80 and 99. The calculation of subsidy payable to a registered provider at the time they claim and has been moved to clauses 251 and 251A.

Item 114 – Subsection 220(1)

This item amends subsection 220(1) to omit "ongoing or". This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 115 – Subsection 220(2)

This item amends section 220 by repealing subsection 220(2). This is a technical amendment to align with amendments made to the new Act in relation to the concept of available balance, which is now defined in section 7.

Item 116 – Subsection 220(4)

This item removes "at the start of the day" from subsection 220(4) which provides for the timing and amount of credit to an individual's notional home modifications account if any primary person-centred supplements begin to apply to the individual. This technical amendment recognises that new supplements may begin to apply at any time of day.

Item 117 – Subsections 220(5) and (6)

This item repeals and replaces subsections 220(5) and (6) of the Act. New heading and subclause 220(5) provides for when a debit is made to an individual's notional home modifications account and the amount. Consistent with the amended subclauses 193(7) and (8) (refer Item 81), these amendments set out that the notional home modifications account is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165).

This reframing separates the amount of subsidy for a provider for an individual for the service for the day from the amount to be claimed and paid to the provider, which is worked out by comparing the amount of subsidy for the individual for the service on the day to the available balance of unspent Commonwealth portion, the individual's notional home care account, and the individual's notional home modifications account, on the day the claim is made.

Item 118 – Before paragraph 223(3)(a)

This item inserts new paragraph (aa) before paragraph 223(3)(a) to allow the System Governor to make a determination about certain matters in relation to the fee reduction supplement.

Item 119 – At the end of section 223

This item adds subclause (5) at the end of section 223. Subclause 223(5) provides that if a determination made by the System Governor under rules made for the purposes of subsection (2) is made in writing, the determination is not a legislative instrument.

The addition of subclause (5) is included to assist readers as this instrument is not a legislative instrument within the meaning of subsection 8(1) of the Legislation Act. This declaration is administrative in character because it does not meet the legislative character test set out in subsection 8(4) of the Legislation Act. The declaration does not create new legal obligations for a broad class of persons. It is an operational tool, and is used to apply the law, not to determine new law.

Item 120 – Section 224

This item amends section 224 to omit "ongoing or". This is a technical amendment because home modifications is only ever a short-term classification type, there is no ongoing home modification service type.

Item 121 – At the end of subsection 226A(1)

This item amends section 226 to insert new paragraph 226A(1)(c) at the end of subsection 226A(1) relating to the return of unspent Commonwealth portions of home care subsidy to the Commonwealth.

Subparagraph 226A(1)(c) strengthens the conditions in which a provider holds or does not hold the unspent Commonwealth portion of home care subsidy by providing for the interaction of the return of the unspent portion with prescribed requirements in section 21F and section 21JB of the User Rights Principles (as they applied immediately before transition time) and how they applied in relation to the Commonwealth portion of that amount (whether or not the Commonwealth portion had become due and payable to the Commonwealth).

Item 122 – Subsection 226A(2)

This item repeals subsection 226A(2). This is a technical amendment to align with amendments made to the concept of available balance, which is now defined in section 7.

Item 123 - Subsections 226A(4) and (5)

This item repeals and replaces subsections 226A(4) and (5) of the Act. New heading and subclause 226A(4) provides for when a debit is made from the unspent Commonwealth portion for an individual. Consistent with the amended subclauses193(7) and (8) (refer Item 81), these amendments set out that the unspent Commonwealth portion for an individual is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with clause 251B (Item 165).

This reframing separates the amount of subsidy for a registered provider for an individual for the service for the day from the amount to be claimed and paid to the registered provider, which is worked out by comparing the amount of subsidy for the individual for the service on the day to the available balance of an individual's applicable notional account, unspent Commonwealth portion, and the individual's notional home care account on the day the claim is made.

Item 124 – At the end of section 226B

This item inserts new subclause 226B(4) at the end of section 226B relating to the return of unspent Commonwealth portion where the provider has elected to return those funds.

Subclause 226B(4) provides that the provider must return the available balance of the unspent Commonwealth portion for the individual to the Commonwealth within the period prescribed by the rules after the day the notice of the election is given to the System Governor and in accordance with any other requirements prescribed by the rules. The period is to be prescribed in the rules to ensure Government can respond quickly to changes in process or systems.

The legislative note to this item provides that the available balance may be a recoverable amount if it is not returned to the Commonwealth in accordance with this section.

Item 125 – Paragraph 226C(2)(b)

This item repeals paragraph 226C(2)(b) and substitutes it with a new paragraph that specifies the return of the available balance of the unspent Commonwealth portion for the individual to the Commonwealth will be prescribed by the rules, in circumstances where the individual transfers between provider service delivery branches.

This is to be prescribed in the rules due to the requirements for the return of the available balance of the unspent Commonwealth portion being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements.

Item 126 – At the end of subsection 226C(2)

The item inserts a legislative note at the end of subsection 226C(2) providing that if the available balance is not returned to the Commonwealth in accordance with this section, it may be a recoverable amount.

Item 127 – Paragraph 226D(2)(b)

This item repeals paragraph 226D(2)(b) and substitutes it with a new paragraph that specifies the return of the available balance of the unspent Commonwealth portion for the individual to the Commonwealth will be prescribed by the rules, in circumstances where the provider ceases to deliver services.

This is to be prescribed in the rules due to the requirements for the return of the available balance of the unspent Commonwealth portion being mostly prescribed in the rules. This supports readability and ensures Government can respond quickly to changes in the community for these requirements.

Item 128 – At the end of subsection 226D(2)

The item inserts a note at the end of subsection 226D(2) providing that if the available balance is not returned to the Commonwealth in accordance with this section, it may be a recoverable amount. The note refers to new subclause 514(3), which provides that this balance may become a recoverable amount.

Item 129 – Subsection 226E(1)

This item repeals subsection 226E(1) and substitutes it with a new subclause that specifies a notional home care account is established for an individual at the transition time if:

•

immediately before the transition time the individual had a home care account under the User Rights Principles and the balance of that account was not zero, or

•

at the transition time, a registered provider holds an unspent Commonwealth portion for the individual under section 226A.

This amendment resolves a technical error which would result in individuals losing access to their home care account.

Item 130 – Subsection 226E(2)

This item repeals subsection 226E(2). This is a technical amendment to align with amendments made to the concept of available balance, which is now defined in section 7.

Item 131 – Subsection 226E(3)

This item repeals subsection 226E(3) and substitutes it with a new subclause that specifies that at the transition time the amount that is credited to the account is the amount that, immediately before the transition time, is recorded in the information technology system relating to aged care payments operated by Services Australia as the amount of the individual's home care account balance.

The purpose of this new subclause 226E(3) is to ensure that for all individuals who hold a home care account before transition time, the amount that is recorded as being in the individual's home care account according to Services Australia's systems is the amount that will be in their account at transition time. This ensures that individuals who hold home care accounts at transition time are smoothy transitioned to the new Act.

Item 132 – Subsections 226E(7), (8) and (9)

This item repeals and replaces subsections 226E(7), (8) and (9). New heading and subclauses 226E(7) and (8) provide for when a debit is made from the notional home care account. Consistent with the amended subclauses 193(7) and (8) (refer Item 81), these amendments set out that the notional home care account for an individual is debited immediately after a claim is approved under subclause 251(4) and that the amount of the debit is worked out in accordance with section 251B (Item 165).

This reframing separates the amount of subsidy for a registered provider for an individual for the service for the day from the amount to be claimed and paid to the registered provider, which is worked out by comparing the amount of subsidy for the individual for the service on the day to the available balance of an individual's applicable notional account, unspent Commonwealth portion, and the individual's notional home care account on the day the claim is made.

New subclause 226E(8) specifies that if circumstances prescribed by the rules apply to the individual on a day, the account is reduced to zero on that day. The rules may prescribe for example where the individual dies and relevant claiming period has closed.

The purpose of this is to ensure the account can be reduced to zero and closed under appropriate circumstances.

Item 133 – Division 4 of Part 2 of Chapter 4 (heading)

This item repeals the heading 'Division 4 of Part 2 of Chapter 4' and substitutes it with the headings 'Division 4—Subsidy for residential care—general', 'Subdivision AA—When this Division does not apply' and inserts new clause 227A.

Clause 227A provides that this Division (other than section 227) does not apply in relation to an individual accessing ongoing funded aged care services through the service group residential care if the individual is in a class of individuals prescribed by the rules. The note provides that for subsidy for residential care for these individuals, see Division 4A.

Item 134 – Subsection 227(1)

This item omits "A registered" and substitutes with "Subject to subsections (3) and (4), the System Governor must determine that a registered" in subsection 227(1). This is an editorial amendment to remove references to subjective elements.

Item 135 – Subsection 227(1)

This item omits "the System Governor is reasonably satisfied the requirements in subsections (2) to (4) are met" and substitutes with "the requirements in subsection (2) and (2A) are met" in subsection 227(1).

These amendments are required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility in subsections (2) to (4) are binary conditions that are amenable to automation.

Item 136 – Subsection 227(2)

This item amends subsection 227(2) to insert "that on the day" after "the requirements are". This is a technical amendment to confirm the relationship between the time period and the requirements as set out in the proceeding paragraphs.

Item 137 – Paragraph 227(2)(c)

This item amends paragraph 227(2)(c) to insert "and the place is in effect" after "section 92". This item clarifies that the place must be in effect before the registered provider is eligible for subsidy under this section.

Item 138 – Paragraph 227(2)(e)

This item repeals paragraph 227(2)(e). This is a technical amendment to ensure that eligibility for subsidy is on or after the start day specified in a start notification.

Item 139 – After subsection 227(2)

This item amends section 227 to insert new subclause 227(2A) after subsection 227(2). Subclause 227(2A) sets out the that the requirements are that:

•

unless paragraph (b) applies—the day is on or after the start day specified in a start notification given by the registered provider for delivering ongoing or short-term funded aged care services to the individual for the service group at an approved residential care home of the provider; or

•

if the rules prescribe circumstances for the purposes of this paragraph—those circumstances apply.

Item 140 – Subsection 227(3)

This item omits "Despite subsection (1), a" and substitutes with "The System Governor must determine that a" in subsection 227(3). This is an editorial amendment to reframe the subsection to remove subjective elements.

Item 141 – Subsection 227(3)

This item omits "the System Governor is reasonably satisfied that" in subsection 227(3). This amendment is required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility are binary conditions that are amenable to automation.

Item 142 – Subsection 227(4)

This item omits "Despite subsection (1), a" and substitutes with "The System Governor must determine that a" in subsection 227(4). This is an editorial amendment to reframe the subsection to remove subjective elements.

Item 143 – Subsection 227(4)

This item omits "the System Governor is reasonably satisfied that" in subsection 227(4).

This amendment is required to render the provisions regarding determination of eligibility for subsidy amenable to automation. The requirement for 'reasonable satisfaction' is a subjective judgment that is not required as the criteria for eligibility are binary conditions that are amenable to automation.

Item 144 – Subsection 227(5)

This item amends subsection 227(5) to omit "a particular day" and substitute with "the day". This is a technical amendment to remove subjective elements from the provision.

Item 145 – Paragraph 230(1)(a)

This item repeals and substitutes paragraph 230(1)(a) to provide that the secondary person-centred supplements for an individual for a day for the classification type ongoing or short-term for the service group residential care are:

•

for the ongoing classification type:

o

the accommodation supplement; and

o

the hotelling supplement; and

•

for the short-term classification type—the hotelling supplement; and

This is a technical amendment to make it clear that the short-term classification type only applies to the hotelling supplement and not the accommodation supplement.

Item 146 – Before paragraph 231(3)(a)

This item amends subsection 231(3) to include a new paragraph 231(3)(aa). Paragraph 231(3)(aa) provides that the fee reduction supplement reduces in circumstances that include when the System Governor has made a determination about particular matters.

Item 147 – At the end of section 231

This item inserts subclause 231(5) at the end of section 231. Subclause 231(5) provides that if a determination made by the System Governor under rules made for the purposes of subsection (2) is made in writing, the determination is not a legislative instrument.

The addition of subclause (5) is provided to assist readers as the instrument is not a legislative instruction within the meaning of subsection 8(1) of the Legislation Act. This declaration is administrative in character because it does not meet the legislative character test set out in subsection 8(4) of the Legislation Act. The declaration does not create new legal obligations for a broad class of persons. It is an operational tool, and is used to apply the law, not to determine new law.

Item 148 – Subsection 234(5)

This item amends subsection 234(5) to insert "in" after "determined" (second occurring). This editorial amendment adds the missing word "in" to the provision.

Item 149 – Subsection 235(1) (method statement, Step 2)

This item omits "see subsection (4)" and substitutes it with "see subsection (3)" to align amendments made to the numbering of relevant subsections.

Item 150 – Subsection 235(6)

This item repeals subsection 235(6), which has been made redundant by the addition of clauses 242A and 242B which provide for alternative Commonwealth and individual contribution calculators to be set out in the rules for transitional classes.

Item 151 – At the end of section 239

This amendment adds new subclause (3) which details the type of circumstances that can be prescribed for a provider-based supplement. This subclause does not seek to be exhaustive, as the circumstances provided for in the paragraphs 'may' be circumstances which can be prescribed.

Paragraph (3)(a) includes characteristics of the approved residential care home in which the service was delivered (such as its location and number of beds).

Paragraph (3)(b) includes the number of other individuals to whom the registered provider delivered funded aged care services at the approved residential care home during a particular period (whether or not that period includes the day, and whether or not the funded aged care services were provided during that period to the individual in relation to whom the supplement applies).

Paragraph (3)(c) includes information provided to the System Governor in relation to the registered provider's compliance with one or more of the following in relation to the approved residential care home for a particular period (whether or not that period includes the day):

•

a condition of the registered provider's registration under Division 1 of Part 4 of Chapter 3;

•

an obligation of the registered provider under Division 2 of that Part.

This amendment also adds new subclause (4), which provides the Minister must be reasonably satisfied that additional funding will assist those registered providers to improve, or maintain, compliance in relation to delivery of funded aged care services to individuals at the approved residential care home, with any of the following:

•

a condition of registration under Division 1 of Part 4 of Chapter 3 that applies to those providers;

•

an obligation under Division 2 of that Part that applies to those providers.

Item 152 – Subsection 242(5)

This item repeals subsection 242(5). The reason for repealing this subsection is the inclusion of 242A now deals with alternative subsidy calculators for the transition class.

Item 153 – After Subdivision D of Division 4 of Part 2 of Chapter 4

This item inserts new heading 'Division 4A—Amount of subsidy for residential care—individuals in prescribed classes' and new clauses 242A and 242B.

Subclause 242A(1) provides that a registered provider is eligible for subsidy for a funded aged care service delivered by the registered provider to an individual through the service group residential care on a day if the System Governor is reasonably satisfied the requirements in new subclauses 242A(2) to (4) are met.

General requirements

Subclause 242A(2) provides that the requirements are:

•

the registered provider's registration is in effect and covers the funded aged care service; and

•

the individual has an access approval that is in effect that covers the funded aged care service; and

•

the individual has been allocated a place for the classification type for the service group under section 92; and

•

the individual has a classification level in effect for the classification type ongoing or short-term- for the service group; and

•

either:

o

the registered provider has given a start notification for delivering ongoing or short-term- funded aged care services to the individual through the service group at an approved residential care home of the provider; or

o

circumstances prescribed by the rules apply; and

•

the funded aged care service is not being delivered to the individual under a specialist aged care program; and

•

the individual is not excluded (see subsection (5)).

Circumstances where registered provider not eligible

Subclause 242A(3) provides that despite subsection (1), a registered provider is not eligible for subsidy for a day for the service group residential care for an individual if the System Governor is reasonably satisfied that:

•

the registered provider ceased delivering funded aged care services through the service group to the individual in an approved residential care home on that day (and that day is a different day to the day the provider started delivering those services); and

•

no other registered provider subsequently started delivering funded aged care services through the service group to the individual in another approved residential care home on that day.

Subclause 242A(4) provides that despite subsection (1), a registered provider is not eligible for subsidy for a day for the service group residential care for an individual if the System Governor is reasonably satisfied that:

•

the registered provider started delivering funded aged care services though the service group to the individual in an approved residential care home on the day; and

•

the registered provider was not the first registered provider to start delivering funded aged care services through the service group to the individual in an approved residential care home on the day.

Excluded individuals

Subclause 242A(5) provides that for the purposes of paragraph (2)(g), an individual is excluded in relation to funded aged care services delivered to the individual by a registered provider through the service group residential care in an approved residential care home on a particular day if:

•

the number of individuals to whom the registered provider delivered funded aged care services through that service group in that home during that day exceeds the total number of beds covered by the registered provider's registration for that home (as reduced by any offline beds for that home ); and

•

the individual is in the group of one or more individuals who comprise the excess based on working back from the most recent individual to enter the approved residential care home.

Clause 242B provides that the amount of subsidy a registered provider is eligible for under clause 242A for an ongoing funded aged care service delivered to an individual in a class of individuals referred to in clause 227A through the service group residential care on a day is the amount prescribed by the rules for that class of individuals.

Item 154 – Subdivision E of Division 4 of Part 2 of Chapter 4 (heading)

This item repeals the heading 'Subdivision E of Division 4 of Part 2 of Chapter 4' and inserts new heading 'Division 4B—Approved residential care homes with specialised status and leave from approved residential care homes'.

This editorial amendment consolidates the provisions related to residential care homes with specialised status and the provisions relating to an individual on leave from an approved residential care home.

Item 155 – Subsection 243(3)

This item repeals and replaces subsection 243(3). New subclause 243(3) provides that the System Governor must consider an application made by a registered provider under subsection (1) and decide:

•

whether to determine that the approved residential care home has specialised status; and

•

if determining that the approved residential care home has specialised status—the period, not exceeding the period referred to in paragraph (5)(c), for which the determination has effect.

This technical amendment establishes that a decision by the System Governor to determine an approved residential care home has specialised status must also include a decision about the period of that specialised status.

Item 156 – Paragraph 243(4)(a)

This amendment inserts ", including the period of effect for the determination" after "the decision". This technical amendment ensures the notice of decision must also include the period that the determination of specialised status will remain in effect for.

Item 157 – At the end of subsection 243(5)

The purpose of this amendment is to add a new paragraph 243(5)(c) at the end of subsection 243(5). New paragraph 243(5)(c) clarifies that rules may prescribe the maximum period of effect of a determination made under subsection 243(3). Ensuring providers have to reapply for specialised status assists in monitoring the programs delivered by approved residential care homes with specialised status.

Item 158 – After section 243

This item inserts new clause 243A after section 243. Clause 243A relates to revoking specialised status determinations.

Revocation on initiative of System Governor

Subclause 243A(1) provides that the System Governor may, by written notice given to a registered provider, revoke a determination made under subsection 243(3) in relation to the registered provider and an approved residential care home if circumstances prescribed by the rules apply.

Revocation on request

Subclause 243A(2) provides that a registered provider may, by written notice given to the System Governor, request the System Governor to revoke a determination made under subsection 243(3) in relation to the registered provider and an approved residential care home.

Subclause 243A(3) provides that the System Governor must revoke a determination for which a request is given under subsection (2) and give written notice to the registered provider of the revocation.

Notice requirements

Subclause 243A(4) provides that a notice given under subsection (1) or (3) must specify the day the revocation takes effect (which must not be earlier than the day the notice is given).

Item 159 – Subdivision F of Division 4 of Part 2 of Chapter 4 (heading)

The purpose of this amendment is to repeal the heading for subdivision F of Division 4 of Part 2 of Chapter 4.

Item 160 – Subsection 244(2)

The purpose of this amendment is to omit "for the purposes of this Division", and substitute "for the purposes of this Act". This amendment recognises this provision should apply to the purposes of the Act, and not just the Division.

Item 161 – Paragraph 244(7)(b)

This item omits "subsections (4), (5), (6) or (7)", and substitutes it with "subsections (3), (4), (5) or (6)". This is a technical amendment to ensure the correct subsections are referred to within the paragraph.

Item 162 – After subsection 247(1)

This amendment inserts new subclause 247(1A) which clarifies that, for the avoidance of doubt, paragraph (1)(a) does not prevent there being one or more other parties to the agreement. This is a technical clarification which recognises the various arrangements that exist to ensure funding for MPSP providers, including contracts that have more than two parties involved.

Item 163 – Paragraph 247(4)(c)

The purpose of this amendment is to renumber paragraph 247(4)(c) as paragraph (b). This is a technical correction.

Item 164 – Paragraph 249(2)(a)

This item repeals the paragraph 249(2)(a).

Item 165 – Sections 250 and 251

Item 165 repeals sections 250 and 251, substituting new clauses 250, 251, 251A and 251B:

•

Clause 250 addresses payment of subsidy – that it can only be paid following a claim, which are paid separately by the Commonwealth, and that if an amount claimed is not paid in full, the registered provider can submit additional claims for payment of the unpaid amount.

•

Clause 251 addresses claims for subsidy – when claims must be submitted and the periods the accounts relate to (relevant periods).

•

Clause 251A addresses subsidy amounts not payable to the extent of insufficient funds – that a claim will not be paid if it exceeds the available funds; and

•

Clause 251B addresses debiting of notional accounts and unspent Commonwealth portions – which order funds are drawn from the notional accounts (ongoing home support, short-term home support, assistive technology and home modifications, home care) and unspent Commonwealth portions.

Subclause 250(1) sets out that subsidy is payable to a registered provider if they delivered a funded aged care service to an individual, on a day, under section 191, 201, 209 or 218 of the Act, and they submitted a claim for that subsidy in accordance with clause 251. A note under this subclause clarifies that subsidy is not payable to the extent that there are insufficient funds in an individual's relevant notional account and refers to section 251A. The phrase 'extent that there are insufficient funds' is intended to convey that a claim made by a registered provider may be paid in full, part paid, or not paid, dependant on the available balance of the relevant notional accounts.

Subclause 250(2) provides that subsidy for an individual is separately payable to a registered provider for each service delivery branch through which services were delivered to that individual.

Subclause 250(3) sets out that if a provider has submitted a claim and due to the operation of clause 251A not been paid the full amount of subsidy they are eligible for under section 191, 201, 209 or 218, they remain eligible for the remainder of the amount of subsidy that remains unpaid. The note following the new subclause 250(3) clarifies that this allows for a provider to make an additional claim if further credits are made to the relevant notional account (the individual's notional account or the registered provider's notional service delivery branch account).The note following the new subclause 250(3) clarifies that this allows for a provider to make an additional claim if further credits are made to the relevant notional account (the individual's notional account or the registered provider's notional service delivery branch account).

Subclause 251(1) stipulates that subsidy is only payable on receipt of a claim by the registered provider in an approved form. Subclause 251(3) sets out that claims must be submitted within the earlier of 60 days after the end of the relevant periods set out in subclause 251(2) or within 60 days of certain events, to be prescribed in the rules. Events to be prescribed may include when an individual ceases to access services through a service delivery branch. Paragraph 251(3)(b) also provides for the System Governor to determine a longer period that would otherwise apply under paragraph 251(3)(a).

As set out in subclause 251(2), the relevant periods for the different types of notional accounts are:

•

a quarter – for an individual's notional account for person-centred subsidy for ongoing funded aged care services in the home support service group;

•

a financial year – for a registered provider's notional account for provider-based subsidy for ongoing funded aged care services in the home support service group;

•

the maximum period of effect for the classification level – for an individual's notional account for person-centred subsidy for short-term funded aged care services in the home support, assistive technology or home modification service groups;

•

the period set out in the rules – for an individual's notional account for person-centred subsidy for ongoing funded aged care services in the assistive technology service group.

These accounts are established, for these periods, in sections 193, 195, 203, 211 or 220.

Subclause 251(4) provides that the System Governor must approve a registered provider's claim for subsidy and provide a payment summary as soon as reasonably practicable after the claim is submitted. The exception is where the System Governor must give a written notice under clause 252 as the registered provider is not eligible for the subsidy claimed.

Subclause 251(5) clarifies that in the context of this clause, multiple claims can be made for a single relevant period, a single claim can cover multiple days in the same relevant period, and a further claim may be made for an unpaid amount referred to in subclause 250(3).

Clause 251A provides that, for each of the different subsidy types and related notional accounts, the amount of eligible subsidy worked out in accordance with the method statements for the subsidy type, is only payable to the extent that, immediately before the claim for the subsidy is approved, there is an available balance in the related notional account (or portion).

Subclauses 251A(1), (2) and (3) set out the relevant method statements, the related notional accounts and the order in which the available balance of each notional account (or portion) is assessed to determine the amount of subsidy payable to the registered provider at that time.

Person-centred subsidy for home support

Subsection 251A(1) references the following method statement and notional accounts (in this order):

•

the method statements at subclauses 192(1) and 192(2)

•

the notional home support account for the individual (if any)

•

the unspent Commonwealth portion for the individual (if any)

•

the notional home care account for the individual (if any)

Subclause 251A(1) establishes that the amount of subsidy a registered provider is eligible for is only payable to a registered provider, to the extent that it does not exceed the funds available. The full amount of eligible subsidy would be payable under paragraph 251A(a) or if not, then the amount worked out in accordance with paragraph (b), being:

(a)

the step 1 amount from the method statement in subclauses 192(1) or 192(2), as long as it does not exceed the available balance of the individual's notional home support account (if any), or

(b)

if there was insufficient funds in the notional home support account—the excess amount reduced (but not below zero) by the sum of any reduction amounts referred to in Step 2 of the method statement in subclauses 192(1) or 192(2) and the available balance of any unspent Commonwealth portion held by the provider for the individual) is only payable to the extent it does not exceed the available balance of any notional home care account for the individual.

In paragraph (a) the full amount of eligible subsidy is payable, however, if there are insufficient funds, paragraph (b) reduces the excess amount by the reduction amounts in step 2 of the method statement as they are amounts the registered provider can claim from the individual, such as the individual's contribution and any compensation payment amounts. The amount of subsidy payable under paragraph (b) is also reduced by the available balance of the unspent Commonwealth portion held by the provider for the individual. This amount is not payable to the provider as they already hold the funds, however it is debited against the unspent Commonwealth portion in accordance with subclause 226A(4), reducing the amount held by the provider.

Provider-based subsidy for home support

Subclause 251A(2) references the following method statement and notional accounts (in this order):

•

the method statement at clause 202

•

the notional service delivery branch account for the individual (if any)

The amount of eligible subsidy payable to the registered provider is:

•

a payment equal to the amount worked out by reducing the eligible subsidy amount (the result of the method statement) by the difference between the step 1 amount in clause 202 (the debit amount) and the balance of the notional service delivery branch account (the excess amount).

This calculation ensures the amount of subsidy payable cannot exceed the amount of available funds.

Person-centred subsidy for assistive technology or home modifications

Subclause 251A(3) references the following method statement and notional accounts (in this order):

•

the method statements at subclauses 210 and 219

•

the notional home care account for the individual (if any)

•

the unspent Commonwealth portion for the individual (if any)

•

the notional assistive technology or home modifications account for the individual (if any)

The amount of subsidy payable to the registered provider is:

(a)

the step 1 amount from the method statement in clause 210 or 219, as long as it does not exceed the available balance of the individual's notional home care account (if any), or

(b)

if there was insufficient funds in the notional home care account—the excess amount reduced (but not below zero) by the sum of any reduction amounts referred to in Step 2 of the method statement in clause 210 or 219 and the available balance of any unspent Commonwealth portion held by the provider for the individual) is only payable to the extent it does not exceed the available balance of any notional assistive technology or home modification account for the individual.

In paragraph (a) the full amount of eligible subsidy is payable, however, if there are insufficient funds, paragraph (b) reduces the excess amount by the reduction amounts in step 2 of the method statement as they are amounts the registered provider can claim from the individual, such as the individual's contribution and any compensation payment amounts. The amount of subsidy payable under paragraph (b) is also reduced by the available balance of the unspent Commonwealth portion held by the provider for the individual. This amount is not payable to the provider as they already hold the funds, however it is debited against the unspent Commonwealth portion in accordance with subclause 226A(4), reducing the amount held by the provider.

Clause 251B sets out the order in which subsidy is deducted against the available balances of notional accounts, or for an unspent Commonwealth portion (as defined in section 7, inserted by Item 6). It allows for offsetting against applicable notional accounts or unspent Commonwealth portion for an individual, where there may be insufficient balance to cover the full cost of a service.

Subclause 251B(1) addresses person-centred subsidy for home support. If the System Governor approves a claim for person-centred subsidy for ongoing or short-term funded aged care services in the home support service group, the notional accounts will be debited in the following order:

(a)

the individual's notional ongoing home support account or notional short-term home support account.

(b)

the unspent Commonwealth portion held by the provider for the individual (if any);

(c)

the individual's notional home care account (if any).

Subclause 251B(2) addresses provider-based subsidy for home support. If the System Governor approves a claim for provider-based subsidy in the service group home support, the notional service delivery branch account will be debited to cover the debit amount referred to in subclause 251A(2).

Subclause 251B(3) addresses person-centred subsidy for assistive technology or home modifications. If the System Governor approves a claim for person-centred subsidy for funded aged care services through the assistive technology or home modifications service group, the notional accounts will be debited in the following order:

(a)

any unspent Commonwealth portion held by the provider for the individual;

(b)

the individual's notional home care account (if any);

(c)

the individual's notional assistive technology account or notional home modifications account.

Subclause 251B(4) addresses debiting of unspent Commonwealth portions held by a registered provider for an individual, which would occur if the portion has been reduced an excess amount referred to in paragraph 251A(1)(b) or the debit amount referred to in subclause 251A(3).The note that follows this section clarifies that if additional funds are made to the individual's relevant notional account or the provider's notional service delivery branch account, the unpaid amount may become payable if an additional claim is made for that unpaid amount.

Item 166 – Paragraph 252(a)

This item repeals and substitutes paragraph 252(a). New paragraph 252(a) provides that the registered provider has a made a claim under section 251 for subsidy for the delivery of a funded aged care service to an individual on a day.

Item 167 – Paragraph 253(1)(a)

This item omits "that period", and substitutes "the period applicable for the claim under subsection 251(3)". This amendment adds clarity but confirming the period refers to the period applicable for the claim under subsection 251(3).

Item 168 – Subsection 254(1)

The purpose of this item is to repeal the subsection, and substitute with a new subclause 254(1), which confirms that a subsidy is payable by the Commonwealth to a registered provider for each day in a payment period for which the registered provider is eligible for an individual under section 227, 236 or 242A.

Item 169 – Subsection 254(2)

This item omits "The sum of person-centred subsidy and provider-based subsidy", and substitutes "The sum of subsidy". This is a technical amendment to align with amendments in relation to subsidies.

Item 170 – Subparagraph 256(2)(b)(ii)

This item amends subparagraph 256(2)(b)(ii) to omit "the System Governor reasonably believes". A requirement for 'reasonable belief' is not required as the calculation of underpayments and overpayments are objective considerations that do not require subjective judgment.

Item 171 – Subparagraph 256(2)(b)(ii)

This item amends subparagraph 256(2)(b)(ii) to omit "likely" and substitute with "any". This is a technical amendment to remove subjective elements.

Item 172 – Subsection 257(1)

This item amends subsection 257(1) to omit "person-centred subsidy and provider-based subsidy", and substitutes "subsidy". This is a technical amendment to align with amendments in relation to subsidies.

Item 173 – Paragraph 258(a)

This item amends paragraph 258(a) to omit "person-centred subsidy and provider-based subsidy", and substitutes "subsidy". This is a technical amendment to align with amendments in relation to subsidies.

Item 174 – At the end of Subdivision D of Division 6 of Part 2 of Chapter 4

This item inserts clause 263A at the end of Subdivision D of Division 6 of Part 2 of Chapter 4. Clause 263A provides for the mergers of service delivery branches.

Subclause 263A(1) provides that the rules may make provision for, or in relation to, the merger of 2 or more service delivery branches of a registered provider into a single service delivery branch of the provider.

Subclause 263A(2) provides that without limiting subsection (1), the rules may make provision for, or in relation to, any one or more of the following matters:

•

the consolidation of the notional service delivery accounts for those branches;

•

any other rights, obligations or responsibilities of the registered provider in relation to each of those service delivery branches under this Chapter as they exist immediately before the merger takes effect;

•

any other matter that is reasonably necessary to deal with the matter specified in paragraph (a) or (b).

This will allow for registered providers to merge service delivery branches which may occur due to administrative or operational reasons.

Item 175 – Subsection 264(1)

This item amends subsection 264(1) to omit "in effect", and substitute "established". This is a technical amendment to align with amendments to section 9 of the new Act and clarify that an individual must have a certain classification level established, but not necessarily in effect.

Item 176 – At the end of subsection 273A(1)

This item inserts paragraph 273A(1)(c) at the end of subsection 273A(1). Paragraph 273A(1)(c) provides that a registered provider starts to hold an unspent care recipient portion for an individual at the transition time if, immediately before the transition time section 21F of the User Rights Principles did not apply in relation to the care recipient portion of that amount. Section 21F deals with a provider's responsibility to in relation to care recipient portions and Commonwealth portions of unspent amounts.

Item 177 – After section 275

This item inserts new subclause 275A after section 275 and provides that the Division does not apply to an individual if they are in a class of individuals prescribed by the rules.

The note provides that information about fees and contributions for these individuals is provided in Division 2A.

Item 178 – Subsections 277(4) and (5)

The item repeals subsections 277(4) and (5) and substitutes them with amended subclause 277(4). Amended subclause 277(4) reduces the amounts worked out under each of Steps 1, 3 and 4 of the method statement in subsection (1) in accordance with rules made for the purposes of subsection 231(3), which deals with person-centred supplements.

Item 179 – Subsections 278(3) and 279(6)

The item repeals subsections 278(3) and 279(6), both of which prescribed that the relevant sections did not apply if the individual was included in a class of individuals prescribed by the rules.

Item 180 – Subsection 284(2)

This item amends subsection 282(2) to omit "a written agreement" and substitutes it with "an agreement" to clarify the agreement between the individual and the registered provider does not always have to be in writing.

The purpose of this amendment is to recognise that there will be limited circumstances where a written agreement is not necessary, and a verbal agreement may be more appropriate.

The rules will prescribe the circumstances in which written agreements will still be required, including for services that will be provided on an ongoing and planned basis.

Item 181 – Subsection 284(2) (note)

This item repeals the note at the end of subsection 284(2), which indicates the higher everyday living agreement for an individual may be included in another agreement with a registered provider.

This amendment reflects that higher everyday living agreements can only be entered into once an individual has started accessing funded aged care services in an approved residential care home. This means that they must be separate from other agreements, such as the service agreement, which can be entered on or before the day the individual has started accessing funded aged care services in an approved residential care home.

Item 182 – At the end of section 284

This item inserts new subclause 284(7) at the end of section 284, to include an avoidance of doubt provision relating to fees for higher everyday living.

This specifies that a higher everyday living fee may be charged in accordance with subsection 284(1) for a service that is not itself included on the list of services referred to in subsection 8(1).

The purpose of this amendment is to enable a registered provider to charge a higher everyday living fee in respect of a service that is not itself a funded aged care service, (even if expressly excluded from the list of services) but is nevertheless incidental to, or capable of enhancing the quality of, a particular funded aged care service that is included on that list.

For example, if the rules prescribe personal care assistance in a way that excludes hairdressing, that exclusion does not prevent a provider from charging a higher everyday living fee for hairdressing services where such services are incidental to the provision of personal care assistance. Similarly, while the provision of things like wine or other alcoholic beverages with meals may not be expressly excluded in the rules there is an implication it should be excluded, because it is not specifically mentioned in the description for the item meals and refreshments. A provider could charge a higher everyday living fee for the provision of wine, or other alcoholic beverages, as being incidental to or enhancing the quality of meals and refreshments.

This amendment is intended to ensure individuals have access to the full range of services offered by the provider to improve the quality of their care.

Item 183 – After section 285

This item inserts the heading 'Division 2A—Fees and contributions payable for delivery of funded aged care services to individuals in prescribed classes' and clause 285A after clause 285. Clause 285A provides for fees and contributions payable for delivery of funded aged care services to individuals in prescribed classes.

Subclause 285A(1) provides that a registered provider delivering ongoing funded aged care services through the service group residential care to an individual in a class of individuals referred to in section 275A may charge the individual one or more amounts prescribed by the rules for a day for that class for or in connection with those services.

Subclause 285A(2) provides that the individual must not be required to pay an amount for a day more than 1 month in advance of the day.

Subclause 285A(3) provides that if the individual dies or stops accessing funded aged care services, any amounts paid in advance for a day occurring after the individual dies or stops accessing those services must be refunded in accordance with the rules.

Subclause 285A(4) provides that a registered provider must comply with any other requirements prescribed by the rules in relation to an amount that an individual may be charged under this section.

Item 184 – Part 4 of Chapter 4 (at the end of the heading)

This item amends the heading 'Part 4 of Chapter 4' to add "etc." at the end of the heading. This reflects the new provisions being inserted into this Part.

Item 185 – Subsection 287(3)

This item repeals and replaces subsection 287(3). New subclause 287(3) provides that if the provisions of this Part do not apply in respect of the delivery of funded aged care services to a class of individuals because of subsection (2), the rules may prescribe requirements in relation to the following:

•

the entering of agreements for and the charging, payment, or use of, an accommodation bond for the delivery of those services;

•

the retention of, deduction of amounts from, transfer, refund or payment of interest in relation to the refund of, an accommodation bond balance,

•

the entering of agreements for and the charging or payment of, an accommodation charge for the delivery of those services;

•

the transfer of, or the payment of interest in relation to the refund of, an entry contribution balance.

This enables all aspects of the legacy payments of accommodation bonds, accommodation charges and entry contributions to be provided for in the rules under this part of the new Act.

Item 186 – Subsection 289(1) (note 2)

This item repeals and replaces Note 2 under subsection 289(1). New note 2 provides that the Pricing Authority may, on application by a registered provider, approve the registered provider agreeing to, and charging, a higher maximum accommodation payment amount: see section 290.

Item 187 – Subsection 290(2)

This item repeals and replaces subsection 290(2). New subclause 290(2) provides that the application may relate to:

•

an approved residential care home of the provider, including a home that is being, or is proposed to be, refurbished; or

•

a distinct part of an approved residential care home of the provider, including a distinct part that is being, or is proposed to be, constructed or refurbished; or

•

a residential care home, or a proposed residential care home, that the provider has applied, or intends to apply, for approval of under section 111; or

•

a distinct part of a residential care home, or a proposed residential care home, that the provider has applied, or intends to apply, for approval of under section 111.

The note under subclause 290(2) provides that although applications may be made under this section in relation to residential care homes that are not approved residential care homes, only a registered provider delivering funded aged care services through the service group residential care in an approved residential care home may charge, under this Part, an amount of accommodation payment.

A reference to a "residential care home" is taken to cover applications that may relate to both approved and non-approved homes. Noting that by the functions of the new Act only approved homes can publish or charge a higher maximum accommodation payment amount.

Item 188 – Subparagraph 290(3)(b)(i)

This item amends subparagraph 290(3)(b)(i) to omit "the approved residential care home, or the distinct part of the approved residential care home" and substitute with "the residential care home, or the distinct part of the residential care home".

For the purposes of the subsection 290(3)(b)(i), a "residential care home" is taken to include an "approved residential care home".

Item 189 – Subsections 290(6) and (7)

This item repeals and replaces subsections 290(6) and (7).

New subclause 290(6) provides that the Pricing Authority must, in accordance with the rules:

•

consider an application made in accordance with subsection (3), and any further information given in accordance with the rules or a notice given under subsection (4); and

•

make a decision to approve or not approve the higher maximum accommodation payment amount specified in the application; and

•

notify the registered provider, in writing, of the decision.

The note under subclause 290(6) provides that a decision not to approve a higher maximum accommodation payment amount is a reviewable decision.

Subclause 290(7) provides that if the Pricing Authority approves a higher maximum accommodation payment amount specified in an application that relates to a residential care home, or a distinct part of a residential care home, that is being, or is proposed to be, constructed or refurbished, the Pricing Authority must include the conditions prescribed by the rules on the approval.

For the purposes of the subsection 290(7), a "residential care home" is taken to include an "approved residential care home".

Subsection 33(3A) of the Acts Interpretation Act will permit the rules to prescribe different conditions for the different classes of applications mentioned in subsection 290(7).

Item 190 – Paragraphs 290(9)(c) and (d)

This item amends paragraph 290(9)(c) to omit "the approved residential care home" and substitute with "the residential care home". This amendment aligns language consistent with the new Act.

For the purposes of the subsection 290(9)(c ) and (d), a "residential care home" is taken to include an "approved residential care home".

Item 191 – Subsection 290(10)

This item repeals subsection 290(10) of the Act.

Item 192 – At the end of section 290

This item insets subclause 290(12) at the end of section 290. New subclause 290(12) provides that without limiting this section, the rules may:

•

prescribe the period within which the Pricing Authority must make, and give notice of, a decision on an application made under this section; and

•

prescribe conditions, relating to circumstances that must be met for an approval of a higher maximum accommodation payment amount to take effect; and

•

make provision for and in relation to the time when, or the period during which, a decision of the Pricing Authority in relation to an approval of a higher maximum accommodation payment amount is to have effect.

Item 193 – At the end of paragraph 294(1)b)

This item inserts subparagraph 294(1)(b)(iii) at the end of paragraph 294(1)(b). New subparagraph 294(1)(b)(iii) provides that an accommodation agreement between a registered provider and an individual must set out that the individual will pay an accommodation payment if at the individual's start day, the individual's daily means tested amount has not been determined and the individual does not have means not disclosed status.

Item 194 – After paragraph 294(1)(c)

This item inserts paragraph 294(1)(ca) after paragraph 294(1)(c). Paragraph 294(ca) provides that, if the individual pays an accommodation payment because of subparagraph (b)(iii) in the period (the interim period) between the individual's start day and the day the individual's daily means tested amount at the individual's start day is determined, the following will apply:

•

the amount of accommodation payment charged by the registered provider for a day in the interim period must be equal to, or less than, the agreed accommodation payment amount, as expressed as a daily accommodation payment amount;

•

any accommodation payment paid during the interim period must be paid by daily payments;

•

the individual is to be refunded the amount (if any) by which the accommodation payment paid during the interim period exceeds the amount that would have been payable if the individual's daily means tested amount for the individual's start day had been determined at the start day;

Item 195 – Paragraph 294(1)(e)

This item amends paragraph 294(1)(e) to omit "that the individual" and substitute with "subject to paragraph (ca), that the individual".

Item 196 – At the end of paragraph 296(a)

This item inserts subparagraph 296(a)(iii) at the end of paragraph 296(a), which provides that the individual must not be charged an accommodation payment unless at the individual's start day, the individual's daily means tested amount has not been determined and the individual does not have means not disclosed status.

Item 197 – Paragraph 298(c)

This item amends paragraph 298(c) to insert "unless circumstances prescribed by the rules apply—" before "an individual".

Item 198 – After paragraph 302(ca)

This item inserts new paragraph 302(cb) after paragraph 302(ca). New paragraph 302(cb) provides that the rule may prescribe circumstances in which daily payments may be refunded.

Item 199 – Paragraph 302(d)

This item amends paragraph 302(d) to insert "or refund" after "the payment".

Item 200 – Subsection 303(1)

This item repeals and replaces subsections 303(1). New subclause 303(1) provides that subject to paragraph 294(1)(ca), an individual may pay a refundable deposit at any time on or after the individual's start day.

Item 201 – Paragraph 303(2)(a)

This item amends paragraph 303(2)(a) to omit "the agreed accommodation payment amount for the individual and the home" and substitute with "an amount equal to the agreed accommodation payment amount for the individual and the home, minus any retention amounts that have been deducted under section 308".

The same outcome applies for both accommodation payments and accommodation contributions, because paragraph 303(2)(b) refers to accommodation contribution that is "payable".

Item 202 – Section 304

This item repeals and replaces section 304. New clause 304 provides that the rules may make provision for, the circumstances in which an amount of refundable deposit may be refunded; and any other matters relating to the payment or refund of refundable deposits.

Item 203 – Subsection 308(1)

This item amends subsection 308(1) to omit "from a refundable deposit balance" and substitute with "from an individual's refundable deposit balance during the period (the retention period) of 5 years beginning on the day a refundable deposit was first paid by the individual".

Amendments to several subsections within section 308 of the Act have been made to clarify the application of retention provisions to refundable deposits (refundable accommodation deposits (RAD) and refundable accommodation contributions (RAC)). The amendment to section 308 retains the 2% retention rate in the new Act but also clarifies that the retention is calculated daily on the daily refundable deposit balance.

In addition, the proposed amendment clarifies that retention deductions must occur regularly (not more than once a month but at least once in every 3 months) and that the 5 year limit on when retention applies excludes any period when the individual is not a permanent resident of an aged care home.

These amendments are consistent with the existing policy and consolidate all the provisions for retentions into the new Act for easier readability.

Item 204 – Subsection 308(2)

This item repeals subsection 308(2) and substitutes with new subclause 308(2) and a subheading 'rate of retention'. New subclause 308(2) provides that a retention amount is to be calculated at a rate of 2 per cent per annum:

•

on a daily basis; and

•

applied to the refundable deposit balance each day.

Item 205 – Before subsection 308(3)

This item inserts the subheading 'Timing of deductions etc.' before subsection 308(3). This is a technical amendment to help with readability.

Item 206 – After subsection 308(3)

This item inserts subclause 308(3A) after subsection 308(3). Subclause 308(3A) provides that Subject to subsection (4), a registered provider must deduct a retention amount from an individual's refundable deposit balance at least once in each 3-month period starting on the day the individual paid the refundable deposit. This provides for minimum and maximum frequency of deductions.

Item 207 – Paragraph 308(4)(b)

This item amends paragraph 308(4)(b) to omit "the period of 5 years beginning on the day a refundable deposit was first paid by the individual" and substitute with "the individual's retention period".

Item 208 – Subsections 308(4A) and (5)

This item repeals subsections 308(4A) and (5) and substitutes with new subclause 308((5), (6) and (7) which relate to calculating an individual's retention period and where the rules may exempt certain classes of individuals.

New subclause 308(5) provides that a day is only counted for the purposes of calculating an individual's retention period if, on the day, a registered provider delivers ongoing funded aged care services to the individual through the service group residential care in an approved residential home and the individual has paid a refundable deposit in relation to the delivery of those services in the approved residential care home (regardless of whether the refundable deposit balance is nil on the day).

The note provides the days on which an individual is on leave under subsection 244(3) to (7) are included for the purposes of calculating an individual's retention period.

New subclause 308(6) provides that Subsection (5) includes any periods where the individual may be absent from the aged care home and would be on social leave except that the individual has exceeded the social leave allocation of 52 days for the current financial year.

This removes any doubt, that the 5-year retention period clock should continue to run:

•

during any periods of approved leave (i.e social leave), or temporary absences or breaks in care (i.e hospital stays) or period of absence where the social leave allocation has been exceeded;

•

during any periods where a refundable deposit has been reduced to zero (i.e by way of deductions taken over time) and the individual is only making daily payments.

Without these amendments the 5-year period ran continuously for 5 years from the date a refundable deposit was first paid by the individual. The clock did not stop or pause under any circumstance other than when the period was spent. New subclause 308(5) and (6) operate to pause the 5-year period from running during periods where there is a permanent break in care.

If the individual later re-enters ongoing residential care, the clock will resume running from the time the individual pays a refundable deposit (either in whole or in part) to the registered provider. It is the payment of the refundable deposit that triggers the clock, not the individuals start date.

New subclause 308(7) provides that this section does not apply in respect of an individual's refundable deposit balance if the individual is in a class of individuals prescribed by the rules.

Item 209 – Paragraph 310(2)(d)

This item amends paragraph 310(2)(d) to insert "accommodation bond balances or entry contribution" after "balances".

This amendment provides that is a permitted use to refund, or to repay debt accrued for the purpose of refunding refundable deposit balances, accommodation bond balance or entry contribution. This amendment retains the permitted uses under the Aged Care Act 1997 in relation to this matter. As noted in the note to subclause 310(2) a registered provider, and the responsible persons of the registered provider, may commit an offence if the registered provider uses a refundable deposit and the use is not permitted by clause 310 (see clause 178).

Item 210 – At the end of section 312

This item inserts new subclause (4) at the end of section 312 to allow for circumstances to be prescribed in the rules where subsection 312(2) does not apply. Subsection 312(2) deals with the circumstance in which an outgoing provider must transfer the refundable deposit balance. This amendment intended to allow for circumstances to be prescribed in the rules where a refundable deposit balance must not be transferred from an outgoing provider to an incoming provider.

Item 211 – Paragraph 314A(1)(a)

Item 211 repeals paragraph 314A(1)(a) and substitutes a new paragraph which specifies that the System Governor determines that the individual has means not disclosed status in accordance with subsection (2). This is a technical amendment required due to the amendment made by Item 212.

Item 212 – Subsection 314A(2)

Item 212 repeals subsection 314A(2) and substitutes it with a new subclause that specifies for the purposes of paragraph (1)(a), the System Governor must determine that the individual has means not disclosed status if the individual is asked to provide specified information prescribed by the rules, within a specified period prescribed by the rules, and the individual fails to do so.

This amendment is required to render provisions in relation to determinations of means not disclosed status amenable to automation. These amendments will permit a determination of means not disclosed status for an individual in a home or community setting to be automatically applied to an individual if the individual is asked to provide specified information prescribed by the rules, within a specified period, and the individual fails to do so. Under subclause 314A(4), the means not disclosed status must be revoked by the System Governor if the individual has provided the information required.

Item 213 – Subsection 314A(4)

This item omits "sufficient information" and substitutes it with "the information required".

This amendment is required to the render provisions regarding determinations of means not disclosed status amenable to automation. The amendment substitutes 'sufficient information' with 'the information required' as the information required to make a determination of means not disclosed status is objective.

Item 214 – Subsection 316(1) (note)

This item is a technical amendment that amends the note under subsection 316(1) to omit "and 318" and substitute with "318 and 318A". This is a technical amendment required due to the amendment made by Item 225.

Item 215 – Subsection 316(2)

This item repeals subsection 316(2) and substitutes it with new subclauses 316(2), 316(2A) and 316(2B) regarding varying or revoking an individual contribution rate determination.

Subclause 316(2) specifies that the System Governor must vary the old determination:

•

following the making of certain social security decisions (see section 317); and

•

if an event or a change in the individual's circumstances occurs (see section 318).

This amendment removes discretion to render variations of individual contribution rates following the making of certain social security decisions or if an event or change in the individual's circumstances occurs amenable to automation.

Subclause 316(2A) retains the System Governor's discretion to revoke the old determination and make a new individual contribution rate determination for the individual if the System Governor is satisfied that the old determination is incorrect (see section 318A) as revocations are not intended to be automated.

Subclause 316(2B) is included to provide clarification, rather than change the legal effect of the provision.

Item 216 – Section 317 (heading)

This item omits "or revoking" from the heading of section 317. This item is an editorial amendment so that the heading reads 'Varying individual contribution rate determination following certain social security decisions'.

Item 217 – Subsections 317(1) to (3)

This item repeals subsections 317(1), 317(2) and 317(3) and substitutes new subclauses 317(1) and 317(2).

Subclause 317(1) specifies that section 317 applies if:

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an individual contribution rate determination is in force for an individual; and

•

a decision under the social security law (within the meaning of the Social Security Act 1991) has been made; and

•

any requirements prescribed by the rules are met.

Subclause 317(2) specifies that the System Governor must, within the period prescribed by the rules vary the determination if the determination is no longer correct because of the decision. This amendment removes discretion to render variations of individual contribution rates following the making of decisions under the social security amenable to automation.

Item 218 – Subsection 317(4)

Item 218 amends subsection 317(4) to omit "or new determination" wherever it occurs in that subsection. This is a technical amendment that is required due amendments to section 317 that remove revocation.

Item 219 – Subsection 317(5)

Item 219 amends subsection 317(5) to omit "or new determination". This is a technical amendment that is required due amendments to section 317 that remove revocation.

Item 220 – Subsection 317(5)

This item amends subsection 317(5) to omit "System Governor is satisfied as mentioned in paragraph (1)(b)" and substitute "decision mentioned in paragraph (1)(b) was made". This amendment removes the requirement for reasonable satisfaction to render the provision amenable to automation as the matters mentioned in paragraph (1)(b) are objective.

Item 221 – Section 318 (heading)

This item omits "or revoking" from the heading of section 318. This item is an editorial amendment so that the heading reads 'Varying individual contribution rate determination following event or change in circumstances'.

Item 222 – Subsections 318(1) to (4)

The item repeals subsections 318(1), (2), (3) and (4) and substitutes them with new subclauses 318(1) and (2).

Subclause 318(1) specifies that section 318 applies if:

•

an individual contribution rate determination is in force for an individual; and

•

the System Governor is notified of the occurrence of an event or a change in an individual's circumstances in accordance with rules made for the purposes of subsection 315(1).

Subclause 318(2) specifies the System Governor must vary the determination within the period prescribed by the rules. This amendment removes discretion to render variations following the System Governor being notified of the occurrence of an event or a change in an individual's circumstances amenable to automation.

Item 223 – Subsections 318(5) and (6)

This item amends subsections 318(5) and 318(6) to omit "or new determination" wherever it occurs in those subsections. This is a technical amendment that is required due amendments to section 317 that remove revocation.

Item 224 – Subsection 318(6)

This item amends subsection 318(6) to omit "or satisfied". This amendment removes the requirement for satisfaction to render the provision amenable to automation as the matters mentioned in paragraph (1)(b) are objective.

Item 225 – After section 318

This item inserts clause 318A after section 318 which pertains to revoking an incorrect individual contribution rate determination.

Subclause 318A(1) specifies that section 318 applies if:

•

an individual contribution rate determination is in force for an individual; and

•

the System Governor is satisfied that the determination is no longer correct; and

•

any requirements prescribed by the rules are met.

Subclause 318A(2) specifies that the System Governor may within the period prescribed by the rules decide to revoke the determination and make a new individual contribution rate determination for the individual.

Subclauses 318A(3) and (4) pertain to the System Governor requesting further information to revoking an incorrect individual contribution rate determination.

Subclause 318A(3) specifies the System Governor may, by written notice, request the individual to give the System Governor further information, within the period specified in the notice (which must not be less than 28 days after giving the notice), to assist the System Governor to make the decision.

Note: The individual is not obliged to give the information.

Subclause 318A(4) specifies the System Governor may, at the request of the individual, extend the specified period.

Subclauses 318A(5) and (6) pertain to the effect of decision.

Subclause 318(5) specifies that, subject to subsection (6), the new determination takes effect:

•

if the new determination results in an increase to the individual contribution rate—at the start of the day after the end of the quarter in which it is made; or

•

if the new determination results in a decrease to the individual contribution rate—at the start of the day on which it is made.

Subclause 318(6) provides that the rules may prescribe that, in specified circumstances, the new determination takes effect on a specified day (which must not be earlier than the day the System Governor is satisfied as mentioned in paragraph (1)(b)).

These amendments retain discretion for the System Governor to revoke an individual contribution rate if the System Governor is satisfied that the determination is no longer correct and any requirements prescribed by the rules are met as revocations are not intended to be automated.

Item 226 – Paragraph 320(1)(a)

This item repeals paragraph 320(1)(a) and substitutes a new paragraph which specifies that the System Governor determines that the individual has means not disclosed status in accordance with subsection (2) or (2A). This is a technical amendment required due to the amendment made by Item 227.

Item 227 – Subsection 320(2)

This item repeals subsection 320(2) and substitutes with new subclauses 320(2) and 320(2A).

Subclause 320(2) specifies that for the purposes of paragraph (1)(a) the System Governor must determine that the individual has means not disclosed status if the individual is asked to provide specified information prescribed by the rules within a specified period prescribed by the rules to assist the System Governor to determine the individual's daily means tested amount, and the individual fails to do so.

This amendment is required to render provisions in relation to determinations of means not disclosed status amenable to automation. These amendments will permit a determination of means not disclosed status in residential care to be automatically applied to an individual if the individual is asked to provide specified information prescribed by the rules, within a specified period, and the individual fails to do so. Under subclause 320(4), the means not disclosed status must be revoked by the System Governor if the individual has provided the information required.

Subclause 320(2A) specifies that for the purposes of paragraph (1)(a) the System Governor may determine that the individual has means not disclosed status if:

•

the individual's income determination (if any) has been revoked under section 324 and a new income determination has not been made for the individual; or

•

the individual's asset determination (if any) has been revoked under section 331 and a new asset determination has not been made for the individual.

This amendment retains System Governor discretion to determine that an individual has means not disclosed status in the circumstances outlined in paragraphs 320(2A)(a) and (b) and is not intended to be automated.

Item 228 – Subsection 320(4)

This item amends subsection 320(4) to omit "sufficient information" and substitute with "the information required".

This amendment is required to the render provisions regarding determinations of means not disclosed status for residential care amenable to automation. The amendment substitutes 'sufficient information' with 'the information required' as the information required to make a determination of means not disclosed status is objective.

Item 229 – Subsection 322(2)

This item amends subsection 322(2) to omit "sufficient information" and substitute with "the information required".

This amendment is required to the render provisions regarding income determinations in residential care amenable to automation. The amendment substitutes 'sufficient information' with 'the information required' as the information required to make a determination of an individual's total assessable income is objective and determined in accordance with the relevant calculations and variables for that determination.

Item 230 – Paragraph 324(2)(a)

Item 230 repeals paragraph 324(2)(a) which pertains to varying or revoking the income determination if the System Governor has been notified of the occurrence of an event or a change in the individual's circumstances under Subdivision D. This is a technical amendment required due to the amendment made by Item 231.

Item 231 – After subsection 324(2)

Item 231 amends section 324 to insert subclause 324(2A) after subsection 324(2). This specifies the income determination must be varied if the System Governor has been notified of the occurrence of an event or a change in the individual's circumstances under Subdivision D (see also section 325).

This amendment is required to remove discretion and to render income determinations in residential care amenable to automation where the individual has notified the System Governor of the occurrence of an event or a change in the individual's circumstances.

The amendments to paragraph 324(2)(a) and subsection 324(2) do not remove or affect the System Governor's discretion to vary or revoke the income determination in residential care on application of the individual or on the System Governor's own initiative as this is not intended to be automated.

Item 232 – Subsection 324(3)

The item amends subsection 324(3) to omit "varied or". This is a technical amendment required due to the amendment made by Item 62.

The amendment retains discretion for the System Governor to revoke an income determination as revocations are not intended to be automated.

Item 233 – After subsection 324(3)

This item amends section 324 to insert subclause 324(3A) after subsection 324(3).

Subclause 324(3A) specifies that section 324 does not limit the application of subsection 33(3) of the Acts Interpretation Act in relation to an income determination.

Subclause 324(3A) is included to provide clarification, rather than change the legal effect of the provision.

Item 234 – Subsections 325(2) to (4)

This item amends section 325 by repealing subsections 325(2), (3) and (4) and substituting with a new subclause 325(2).

Subclause 325(2) specifies the System Governor must, within the period specified in the rules, vary the income determination in force for the individual.

This amendment removes discretion to render variations of income determinations amenable to automation where an individual has notified the System Governor of an event or change in circumstances under Subdivision D.

Item 235 – Paragraph 328(1)(b)

This item amends section 328 to omit "325 or" from paragraph 328(1)(b), which pertains to decisions where the System Governor must give written notice to an individual of a decision. This is a technical amendment required due to the amendment made by Item 234.

Item 236 – Subsection 329(2)

This item amends subsection 329(2) to omit "sufficient information" and substitute "the information required".

These amendments are required to the render provisions for asset determinations in residential care amenable to automation. The amendment substitutes 'sufficient information' with 'the information required' as the information required for an asset determination is objective and determined in accordance with the relevant calculations and variables for that determination.

Item 237 – Paragraph 331(2)(a)

This item repeals paragraph 331(2)(a) which pertains to a decision to vary or revoke asset determination if the System Governor has been notified of the occurrence of an event or a change in the individual's circumstances under Subdivision D. This is a technical amendment required due to the amendment made by Item 238.

Item 238 – After subsection 331(2)

This item inserts subclause 331(2A) which specifies the asset determination must be varied if the System Governor has been notified of the occurrence of an event or a change in the individual's circumstances under Subdivision D (see also section 332).

This amendment removes discretion to render variations of asset determinations amenable to automation where the System Governor has been notified to the occurrence of an event or a change in the individual's circumstances under Subdivision D.

The amendments to paragraph 331(2)(a) and subsection 331(2) do not remove or affect the System Governor's discretion to vary or revoke the asset determination on application of the individual or on the System Governor's own initiative as this is not intended to be automated.

Item 239 – After subsection 331(3)

This item inserts subclause 331(3A) which specifies section 331 does not limit the application of subsection 33(3) of the Acts Interpretation Act in relation to an asset determination.

This subclause is included to provide clarification, rather than change the legal effect of the provision.

Item 240 – Subsections 332(2) to (4)

This item amends section 332 to repeal subsections 332(2), (3) and (4) and substitute with a new subclause 332(2).

Subclause 332(2) specifies the System Governor must, within the period specified in the rules, vary the asset determination in force for the individual. This amendment removes discretion to render variations of asset determinations amenable to automation where the System Governor has been notified to the occurrence of an event or a change in the individual's circumstances under Subdivision D.

Item 241 – Paragraph 335(1)(b)

This item amends section 335 to omit "332 or" from paragraph 335(1)(b) which pertains to decisions where the System Governor must give written notice to an individual of a decision. This is a technical amendment required due to the amendment made by Item 240.

Item 242 – Paragraphs 336(1)(a) and (b)

This item repeals paragraphs 336(1)(a) and (b) and substitutes new paragraphs (a) and (b). The new paragraphs set out circumstances in which an individual must notify the System Governor of a change of their circumstances.

Item 243 – Paragraphs 337(1)(a) and (b)

This item repeals paragraphs 337(1)(a) and (b) and substitutes new paragraphs (a) and (b). The new paragraphs set out circumstances in which a registered provider must notify the System Governor of a change of an individual's circumstances.

Item 244 – Paragraph 339(1)(f)

This item amends paragraph 339(1)(f) to omit ", such as periodic review of the Aged Care Quality Standards".

This is a technical amendment required due to the amendment made by Item 24 and does not change the purpose or intent of the provision.

Item 245 – Paragraphs 342A(2)(a), (b) and (c)

This item amends paragraphs 342(a), (b) and (c) to omit "for non-specialist", substitute "for".

This is a technical amendment required because the service group(s) a person is eligible for is determined at assessment rather than at application.

Item 246 –After subsection 342A(2)

This amendment inserts new paragraph 342(2A) after subsection 342(2) and provides that, without limiting subsection 342(1), a report may include corrections or updates to information included in a previous report.

This amendment is required because factors such as system maintenance or reporting periods may impact data currency for a quarter. The amendment provides the System Governor with flexibility to correct or update information provided previously on the duration of waiting periods for non-specialist funded aged care services.

Item 247 – Subsection 342A(5) (definition of quarter)

This item repeals the definition of 'quarter' from this section, as it is now set out in section 7.

Item 248 – At the end of Part 2 of Chapter 5

This item inserts new clause 343A at the end of Part 2 of Chapter 5.

Subclause 343A(1) provides that the System Governor must issue an identity card to an approved needs assessor.

Form of identity card

Subclause 343A(2) provides that the identity card must:

•

satisfy the requirements prescribed by the rules; and

•

contain a photograph that is no more than 5 years old of the approved needs assessor.

Identity card to be carried and produced in accordance with rules

Subclause 343(3) provides that an approved needs assessor must carry and produce the identity card as prescribed by the rules.

Strict liability offence

Subclause 343A(4) provides that a person commits an offence of strict liability if:

•

the person has been issued with an identity card under subsection (1); and

•

the person ceases to be an approved needs assessor; and

•

the person does not return the identity card to the System Governor within 14 days after ceasing to be an approved needs assessor.

The penalty is 1 penalty unit.

The offence has been considered against the Guide to Framing Commonwealth Offences, Infringement Notices and Enforcement Powers, and carries a maximum penalty of 1 penalty unit with no possibility of imprisonment. This is intended to reduce the risk of misuse as approved needs assessors are integral to the System Governor's determinations of classifications and, by extension, funding, and hold positions of trust that allow access to vulnerable individuals. This offence of strict liability is reasonable, necessary and proportionate due to the nature of the offence, the available defence at subclause (5) and the level of penalty. Accordingly, the application of strict liability to this offence is not inconsistent with the presumption of innocence.

Subclause 343A(5) provides that subclause (4) does not apply if the identity card was lost or destroyed.

The note provides that a defendant bears an evidential burden in relation to the matter in subclause (5): see subsection 13.3(3) of the Criminal Code.

It is reasonable, necessary and proportionate that a person who is an assessor bears an evidential burden to prove any claim of loss or damage to identification that prevents its return, consistent with the level of access to vulnerable individuals that possession of an identification card allows.

Item 249 – Paragraph 376(2)(b)

This item amends paragraph 376(2)(b) by inserting references to accommodation bonds, accommodation charges and entry contributions.

This insertion clarifies the scope of financial recordkeeping that the Financial and Prudential Standards may deal with and accounts for the revised definitions of "accommodation bonds", "accommodation charges" and "entry contributions". In this way the requirements relating to keeping financial records relating to the delivery of funded aged care services cover all the different daily and lump sum options for accommodation as well as other residential care fees.

Making standards to ensure the adequate recordkeeping of accommodation bonds and accommodation charges, in addition to refundable deposits, fees, payments and contributions, allows the Commissioner to effectively monitor financial viability and ensure that financial obligations are met when they fall due.

Item 250 – Paragraph 377(1)(b)

This item inserts "accommodation bonds and entry contributions" after "the refundable deposits" in paragraph 377(1)(b).

This insertion responds to the revised definition of "accommodation bond" and "entry contribution" and clarifies the scope of responsibility and consideration the Commissioner must have with regard to making standards under subsection 376(1).

Item 251 – Paragraph 448(a)

This item amends paragraph 448(a) by repealing the paragraph and substituting it with a new subclause (a) which prescribes that an infringement notice under Part 5 of the Regulatory Powers (Standard Provisions Act) 2014 can occur due to the following:

•

(a) subsections 166(4) and 166A(6) (failure to give or publish reports);

Item 252 –After paragraph 511(1)(a)

This item amends subclause 511(1) to insert paragraph 511(1)(aa) after paragraph 511(1)(a). Paragraph 511(aa) is as follows:

•

(aa) APS employees in Services Australia; or

This is a technical amendment required to include APS employees in Services Australia in the parties who may assist the System Governor with the conduct of their assurance activities. It does not change the purpose or intent of the provision.

Item 253 – Subsection 511(2)

This item amendments subsection 511(2) by omitting "under 489" and substituting "under section 489". This is a technical amendment to insert the word 'section'.

Item 254 – Paragraph 511(2)(a)

This item amends paragraph 511(2)(a) to insert "569(1) or 570(1)" after "567(1).

This is a technical amendment required to provide that the power to give a registered provider a notice under clause 489 or 494 may be exercised by an APS employee in Services Australia, or a person engaged to perform services for Services Australia.

Item 255 – Before subsection 514(1)

This item inserts a subheading before subsection 514(1) named 'Recoverable amounts—entity not entitled to payment'. This is consequential to inserting a new subclause 514(3).

Item 256 – At the end of section 514

This item amends section 514 to insert subclause 514(3) at the end of section 514 relating to the recoverable amounts—unspent Commonwealth portion.

Subsection 514(3) provides that the available balance of an unspent Commonwealth portion for an individual that is held by an entity is a recoverable amount, and the entity is a debtor in relation to the amount, if:

•

the entity was required to return the available balance to the Commonwealth in accordance with section 226B, 226C or 226D; and

•

the entity failed to comply with that requirement.

This ensures that where an unspent Commonwealth portion is held by a registered provider and it is not returned in accordance with the requirement set out in the new Act, it is a recoverable amount that can be recovered under the relevant provisions of this Act.

Item 257 – Subsection 521(3)

This item amends subsection 521(3) by repealing the subsection and substituting with subsection 531(3) which provides that the System Governor may, on behalf of the Commonwealth, waive the right of the Commonwealth to recover a class of recoverable amounts only if:

•

circumstances described in section 522, 523 or 524 apply to each recoverable amount in the class; or

•

circumstances described in section 524A apply to the class.

This is a technical amendment which aligns the waiver of debt provisions to those across the care sector, particularly as they apply to the waiver of debt for classes of recoverable amounts.

Item 258 – At the end of Division 3 of Part 13 of Chapter 6

This item inserts section 524A at the end of Division 3 of Part 13 of Chapter 6. Section 524A relates to circumstances for waiver—determined classes.

Subsection 524A(1) provides that the System Governor may waive the right to recover a recoverable amount that is included in a class of recoverable amounts determined by the Minister by legislative instrument.

Subsection 524A(2) provides that a determination under subsection (1) may state:

•

any conditions to be met before the System Governor exercises the power to waive the recoverable amounts; and

•

any limits on the amounts of the recoverable amounts to be waived.

This is a technical amendment which aligns the waiver of debt provisions to those across the care sector, particularly as they apply to the waiver of debt for classes of recoverable amounts.

Item 259 – After Subsection 537(8)

This item insets two new subclauses after subsection 537(8). New subclause (8A) provides that a person may use or disclose relevant information to the chief executive officer (however described) of a State or Territory fire department if:

•

the relevant information relations to fire safety; and

•

the use or disclosure of the relevant information is for the purposes of assisting the State or Territory fire authority to perform its functions.

Subclause (8B) clarifies that a State or Territory fire authority means a State or Territory authority that has functions relating to fire safety under a law of the State or Territory, including under local by-law.

This amendment would, for example, permit a person performing an audit under section 110 of the new Act, to disclose information, including relevant information, relating to fire safety at an approved residential care home to the chief executive office (however described) of a State or Territory fire department, for the purpose of assisting them to perform their functions.

Item 260 – Subsection 541(2)

This item amends subsection 541(2) by repealing the subsection and inserting new subclauses 541(2) and 541(2A). Subclause 541(2) provides that the System Governor must publish information in relation to funded aged care services delivered by registered providers in approved residential care homes about:

•

the quality of those services;

•

action taken under this Act:

o

to ensure the quality of those services; or

o

to ensure compliance with this Act in relation to delivery of those services; or

o

because of a failure to comply with this Act in relation to the delivery of those services; or

•

any other matter prescribed by the rules relating to:

o

those services; or

o

registered providers in their delivery of those services.

Paragraph 541(2)(b) clarifies that the provision includes regulatory and compliance action taken under the new Act against registered providers in relation to the delivery of funded aged care services in approved residential care homes, including new regulatory and compliance action that may be taken by the Commissioner or the System Governor. For example, under section 143 of the new Act the Commissioner has a new regulatory power to impose a condition on the registration of a registered provider relating to the quality and safety of funded aged care services it delivers.

Paragraph 541(2)(c) provides that the System Governor may add additional matters relating to funded aged care services delivered in approved residential care homes or the registered providers who deliver those services to subsection 541(2). This paragraph enables the System Governor to extend the range of information published about funded aged care services delivered in residential care homes, including in the form of star ratings.

Subclause 541(2A) provides that subsection 541(2) does not apply in relation to services delivered under specialist aged care programs unless the rules provide otherwise.

This is, in part, a technical amendment to align subsection 541(2) with the current legislative framework which does not apply to services delivered under specialist aged care programs such as the Multi-Purpose Service Program. However, it also allows the provision to be extended to specialist aged care programs in the future.

Item 261 – Subsection 541(3)

This item amends subsection 541(3) by substituting the words "for an approved" for "for a" before "residential care home". This is a technical amendment that clarifies that the subsection applies to residential care homes that are approved under the new Act.

Item 262 – Subsection 541(4)

This item amends subsection 541(4) by repealing the subsection and inserting new subsclauses541(3A) and 541(4).

Subsection 541(3A) provides that the System Governor may give an approved residential care home a low star rating for quality if the registered provider in relation to whom the approved residential care home is approved fails to comply with requirements under this Act to report on that quality.

Registered providers who deliver funded aged care services in approved residential care homes are obliged to report information relating to the quality of those services to the System Governor. For example, they must report information on quality indicators across critical areas of care that affect the health and wellbeing of older Australians residing in their residential care homes quarterly, within certain timeframes.

This subclause permits the System Governor to apply a low star rating to a residential care home if the registered provider does not report information relating to the quality of funded aged care services delivered in residential care homes in accordance with its obligations.

Subsection 541(4) provides that the System Governor may use or disclose information for the purposes of:

(a)

creating information for publication under subsection 541(2); or

(b)

calculating star ratings for approved residential care homes.

This is a technical amendment that clarifies that the System Governor may use or disclose information by creating it for publication. For example, collating that information or presenting it in certain formats, or publishing it in the form of one or more star ratings to help older Australians, their families and supporters compare residential care homes.

Item 263 – Subsection 541(6)

This item amends subsection 541(6) by adding the words "in relation to whom an approved residential care home is approved" after "registered provider". This is a technical amendment that clarifies that the subsection applies to the registered provider in relation to whom a residential care home is approved.

Item 264 – Section 557 (after table item 21)

This item amends section 557 to insert an item 21A after item 21 in the table.

Item 21A provides that a decision by the System Governor under subsection 243A(1) to revoke a determination that an approved residential care home in relation to a registered provider has specialised status is a reviewable decision. This reviewable decision affects the registered provider.

Item 265 – Section 557 (table item 33, column 1)

This amendment omits "325(2) or" and is a technical amendment required due to amendments made by Item 234.

Item 266 – Section 557 (table item 38, column 1)

This amendment omits "332(2) or" and is a technical amendment required due to amendments made by Item 240.

Item 267 – Subsection 567(1)

This amendment repeals subsection 567(1) and inserts a new subclause (1) which allows the System Governor to delegate, in writing, any of the System Governor's functions and powers, other than those functions and powers set out in Parts 2 to 9 of Chapter 6 (regulatory mechanisms) to a person engaged (whether as an employee or otherwise) by a:

•

Commonwealth entity withing the meaning of the Public Governance, Performance and Accountability Act; or

•

an organisation who performs services for the Commonwealth

Paragraph (1A) provides that an organisation performs services for a Commonwealth entity even if that organisation performs those services in accordance with a contract or other arrangement with another organisation that performs services for the Commonwealth entity.

This is in part a technical amendment to allow the System Governor to delegate functions and powers set out in the Act to persons who perform services for the Commonwealth, including the Single Assessment Workforce and My Aged Care Contact Centre agents. This delegation in subclause 567(1) is appropriate to assist the System Governor to manage workload, operate efficiently and ensure those functions and powers are discharged in a timely manner.

Item 268 – Subsection 569(1)

This item repeals subsection 569(1) and substitutes it with a new subclause (1) which provides that the System Governor may, in writing, delegate all or any of the System Governor's functions or powers under this Act, other than Parts 2 to 9 of Chapter 6 (regulatory mechanisms), to the Chief Executive Centrelink.

This delegation is required to enable Services Australia to administer the scope of services delivered by Services Australia (the Agency) in relation to the aged care system and to enable a future change in the scope of services as agreed to by the Department. This delegation includes delegation of automation of administrative actions by the System Governor to the Chief Executive Centrelink.

Item 269 – Subsection 569(2)

This item repeals subsection 569(2) and substitutes a new subclause (2) which provides that, subject to subclause (5), if the System Governor delegates a power or function to the Chief Executive Centrelink under subsection (1), the Chief Executive Centrelink may, in writing, subdelegate the power or function to a person engaged (whether as an employee or otherwise) by Services Australia.

This delegation in subclause 569(2) is appropriate to assist the Chief Executive Centrelink to manage workload, operate efficiently and ensure aged care functions and powers are discharged in a timely manner.

Item 270 – Subsection 569(3)

This Item amends subsection 569(3) by omitting 'Departmental employee' and substituting 'an APS employee in Services Australia'.

Item 271 – At the end of section 569

This item amends section 569 by insert a new subclause (4) which provides that before subdelegating a function or power under subsection 569(2) to a person who is not an APS employee in Services Australia, the Chief Executive Centrelink must have regard to whether the person has appropriate qualifications or expertise to perform the function or exercise the power. Where a person is not an APS employee, the requirements in subclause 569(4) appropriately limit the delegation of functions or duty or powers to ensure that the Chief Executive Centrelink has considered that the person has the appropriate qualifications or expertise to perform the function or duty or exercise the power. Such limitations provide safeguards around the delegation of Commonwealth functions, duty, or power outside of the APS.

This item also amends section 569 by inserting a new subclause (5) which provides that the Chief Executive Centrelink may only subdelegate a function or power under subclause 582(1) (which deals with automation of administrative action) to an APS employee who is holding, occupying or performing the duties of an SES office or position.

Subclause (5) brings section 569 in line with the limitation in subsection 567(4) of the new Act in relation to delegation of automation of administrative action.

Item 272 – Subsection 570(1)

This item repeals subsection 570(1) and substitutes it with a new subclause (1) which provides that the System Governor may, in writing, delegate all or any of the of the System Governor's functions or powers under this Act, other than Parts 2 to 9 of Chapter 6 (regulatory mechanisms), to the Chief Executive Medicare.

This delegation is required to enable Services Australia to administer the scope of services delivered by Services Australia (the Agency) in relation to the aged care system and to enable a future change in the scope of services as agreed to by the Department. This delegation includes delegation of automation of administrative actions by the System Governor to the Chief Executive Medicare.

Item 273 – Subsection 570(2)

This item repeals subsection 570(2) and substitutes a new subclause (2) which provides that, subject to subclause (5), if the System Governor delegates a power or function to the Chief Executive Medicare under subsection (1), the Chief Executive Medicare may, in writing, subdelegate the power or function to a person engaged (whether as an employee or otherwise) by Services Australia.

This delegation in subclause 569(2) is appropriate to assist the Chief Executive Medicare to manage workload, operate efficiently and ensure aged care functions and powers are discharged in a timely manner.

Item 274 – Subsection 570(3)

This item amends subsection 570(3) to omit 'a Departmental employee (within the meaning of the Human Services (Medicare) Act 1973)' and substitute 'an APS employee in Services Australia.

Item 275 – At the end of section 570

This item amends section 570 by insert a new subclause (4) which provides that before subdelegating a function or power under subsection (2) to a person who is not an APS employee in Services Australia, the Chief Executive Medicare must have regard to whether the person has appropriate qualifications or expertise to perform the function or exercise the power. Where a person is not an APS employee, the requirements in subclause 570(4) appropriately limit the delegation of functions or duty or powers to ensure that the Chief Executive Medicare has considered that the person has the appropriate qualifications or expertise to perform the function or duty or exercise the power. Such limitations provide safeguards around the delegation of Commonwealth functions, duty, or power outside of the APS.

This item also amends section 570 by inserting a new subclause (5) which provides that the Chief Executive Medicare may only subdelegate a function or power under subclause 582(1) (which deals with automation of administrative action) to an APS employee who is holding, occupying or performing the duties of an SES office or position.

Subclause (5) brings section 570 in line with the limitation in subsection 567(4) of the Act in relation to delegation of automation of administrative action.

Item 276 – At the end of subsection 571(1)

This Item adds a new paragraph to subsection 571(1) which provides that the System Governor may, in writing, delegate to the Secretary of the Department administered by the Minister who administers the Veterans' Entitlement Act 1986 the System Governor's powers and functions under section 582 (automation of administrative action).

This amendment is required to give legislative authority for the System Governor to delegate automated administrative actions to the Secretary of the Department of Veterans' Affairs.

Item 277 – Subsection 571(2)

This Item amends subsection 571(2) by providing that this subsection is subject to subclause (4). This is a technical amendment required due to the amendment by Item 278 which inserts a new subclause (4).

Item 278 – At the end of section 571

This item amends section 571 by inserting a new subclause (4) which provides that the Secretary of the Department of Veterans' Affairs may only subdelegate a function or power under subclause 582(1) (which deals with automation of administrative action) to an APS employee who is holding, occupying or performing the duties of an SES office or position.

Subclause (5) brings section 571 in line with the limitation in subsection 567(4) of the Act in relation to delegation of automation of administrative action.

Item 279 – Before paragraph 573(1)(aa)

This item inserts a new paragraph into subsection 573(1) to provide that the System Governor may, in writing, delegate to the Social Services Secretary the System Governor's powers and functions under Subdivision A of Division 2 of Part 4 of Chapter 3 (obligations relating to reporting, notifications and information).

Item 280 – Subsections 582(1) and (2)

This item repeals subsections 582(1) and (2) of the new Act and substitutes them with new subclauses (1) and (2).

Subclause (1) provides that the System Governor may, in writing, arrange for the use, under the System Governor's oversight, of computer programs to take administrative action that must be taken by the System Governor under this Act.

Subclause 582(1) provides that the System Governor 'may... arrange for the use' of computer programs to take specified administrative action, as defined in subclause 582(2). The word 'may' is intended to indicate that the power to arrange for the use of a computer program to take administrative action is discretionary in nature, in accordance with subsection 33(2A) of the Acts Interpretation Act. This would mean that the System Governor is not required to make an arrangement of this kind, but is permitted to do so.

Subclause (2) provides that an administrative action is any of the following:

•

Making, or refusing or failing to make, a decision under a provision mentioned in subclause (2A);

•

Exercising, or refusing or failing to exercising, a power under a provision mentioned in subclause (2A);

•

Performing, or refusing or failing to perform, a function or duty under a provision mentioned in subclause (2A);

•

Doing, or refusing or failing to do, anything (including giving a notice) related to making a decision, exercising a power or performing a function or duty under a provision mentioned in subclause (2A).

Subclause (2) is intended to clarify that an administrative action that can be taken by a computer program is broader than just the making of a decision. It includes exercising (or refusing to exercise) a power or performing (or refusing or failing to perform) a function or duty under a provision mentioned in subclause (2A). It also extends to any administrative action (including giving a notice) related to the making of a decision, exercise of power or performance of a function or duty under subclause (2A).

Subclauses 582(1) and 582(2) are not intended to imply that the making of an arrangement is the only means by which a computer program may be used to take administrative action under the new Act, if that action would otherwise not require statutory authorisation in order to be validly taken.

For example, subclauses 582(1) and 582(2) should not be read as implying that it would not be lawful to use a computer program to assist a human decision-maker to make a decision, perform a function or duty, or exercise a power that is not subject to an arrangement under those subsections, which is generally something that can validly be done without statutory authority.

Subclauses 582(1) and 582(2) does not affect the operation of part 2 of Chapter 8 relating to the reconsideration and review of decisions.

Subclause 582(2A) provides that for the purposes of subclause (2), the provisions (i.e. administrative actions) are the following provisions of the new Act:

•

Subsection 78(1) (which deals with classification levels);

•

Subsection 86(1) (which deals with priority category decisions);

•

Subsection 92(1) (which deals with allocation of places to individuals);

•

Subsection 93(1) (which deals with deciding the order of allocation of places to individuals);

•

Parts 2 to 5 of Chapter 4 (which deal with funding of aged care services);

•

Section 541 (which deals with star ratings);

•

A provision of this Act prescribed by the rules.

The inclusion of Parts 2 to 5 of Chapter 4 in paragraph 582(2A)(e) is to give legislative authority to automate administrative actions in relation to the funding of aged care services including subsidies, individual fees and contributions, and means testing. Due to the changes in Commonwealth subsidy payments and in individual contributions under the new Act, it is anticipated that a higher volume of payments and determinations will need to be processed by various agencies using automation to enable efficient administration of the new Act.

The inclusion of section 541 in paragraph 582(2A)(f) is to give legislative authority to automate administrative actions in relation to the publication of information about the quality of services delivered by registered providers in approved residential care homes, and any actions take under this Act in relation to those approved care homes, including as a star rating.

Item 281 – Subsection 582(3) (heading)

This is an editorial amendment that omits 'relevant' so that the heading of subsection 582(3) reads 'System Governor is treated as having taken administrative action'. This editorial amendment is required due to the amendments made by Item 280.

Item 282 – Subsection 582(3)

This is a technical amendment that omits "Relevant administrative" and substitutes "Administrative" in subsection 582(3) and is required to due to the amendment made by Item 280.

Item 283 – Subsection 582(3)

This is a technical amendment that omits 'relevant' in subsection 582(3) and is required to due to the amendment made by Item 280.

Item 284 – Subsection 582(4) (heading)

This is a technical amendment that omits 'decisions' and substitutes 'actions' in subsection 582(4) and is required due to the amendment made by Item 280.

Item 285 – Subsection 582(4)

This is a technical amendment that omits 'make a decision in substitution for a decision', substitute 'take administrative action (the substituted action) in substitution for administrative action' in subsection 582(4). This amendment is required due to amendments made by Item 280.

Item 286 – Subsection 582(4)

This is a technical amendment that omits 'decision taken' and substitutes 'administrative action taken' in subsection 582(4) and is required due to amendments made by Item 280.

Item 287 – Subsection 582(5)

This is a technical amendment that omits 'the substituted decision' and substitutes 'The substituted action' in subsection 582(5) and is required due to the amendments made by Item 280.

Item 288 – Paragraph 582(5)(a)

This is a technical amendment that omits 'substituted decision takes effect (which may be earlier than the day the substituted decision is made' and substitutes 'substituted action takes effect (which may be earlier than the day the substituted action is taken' in paragraph 582(5)(a). This is amendment is required due to the amendments made by Item 280.

Item 289 – Paragraph 582(5)(b)

This is a technical amendment that omits 'the decision", substitute "the administrative action".

Item 290 – After subsection 582(5)

This item inserts a new subclause (5A) to provide that the day specified under paragraph (5)(a) may be earlier than the day the substituted action is taken but not earlier than the day of the administrative action taken by the operation of the computer program.

This item also inserts a new subclause (5B) to provide that an arrangement under subsection (1) does not prevent the System Governor from taking administrative action under the provisions referred to in that subsection.

Item 291 – Subsection 582(6)

This is a technical amendment that omits 'a decision' and substitutes 'an administrative action' in subsection 582(6) and is required due to the amendments made by Item 280.

Item 292 – Subsection 583(1) (heading)

This is an editorial amendment that omits 'relevant' from the heading for subsection 583(1) so that it read 'System Governor to ensure administrative action is action that could be validly taken'. This amendment is required due to the amendments made by Item 280.

Item 293 – Subsection 583(1)

This is an editorial amendment that omits "relevant" (wherever occurring) in subsection 583(1) and is required due to the amendments made by Item 280.

Item 294 – Subsection 583(2) (note)

This is an editorial amendment that omits 'Relevant administrative' and substitutes 'Administrative' in the note to subsection 583(2) and is required due to the amendments made by Item 280.

Item 295 – Subsection 583(3)

This is an editorial amendment that omits 'relevant' from subsection 583(3) and is required due to the amendments made by Item 280.

Item 296 – After subsection 583(5)

This item inserts a new subclause in section 583 to provide that a failure to comply with subsection (4) or (5) (which provides for notices to entities of substituted decisions) does not affect the validity of the substituted decision.

Item 297 – Paragraph 583(7)(a)

This is a technical amendment that omits 'decisions made' and substitutes 'actions taken' in paragraph 583(7)(a) and is required due to the amendments made by Item 280.

Item 298 – Paragraph 583(7)(b)

This is a technical amendment that omits 'decisions so made' and substitutes 'actions so taken' in paragraph 583(7)(b) and is required due to amendments made by Item 280.

Item 299 – Paragraph 583(7)(c)

This is a technical amendment that omits 'decisions taken' and substitutes 'administrative action taken' in paragraph 583(7)(c) and is required due to the amendments made by Item 280.

Item 300 – Subsection 602(10)

This item inserts "or Division 4A" after "Division 4". This is a technical amendment which recognises the insertion of Division 4A in Item 153.

Part 2—Amendments commencing 1 July 2026

Aged Care Act 2024

Item 301 – Paragraph 539(4)(b)

This item amends paragraph 539(4)(b) of the Aged Care Act 2024 to replace "Veterans' Entitlements Act 1986" with "Military Rehabilitation and Compensation Act 2004" to reflect that the relevant provisions within the Veterans' Entitlements Act 1986 will instead be within the Military Rehabilitation and Compensation Act 2004 following the commencement of the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024.

Item 302 – Paragraph 539(4)(d)

This item repeals paragraph 539(4)(d) of the Aged Care Act 2024 as the Military Rehabilitation and Compensation Commission will be merged into the Repatriation Commission through the operation of the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024.

Item 303 – Subsection 572(2)

This item amends subsection 572(2) of the Aged Care Act 2024 to replace "section 213 of the Veterans' Entitlements Act 1986" with "section 360DB of the Military Rehabilitation and Compensation Act 2004" as the power to subdelegate powers delegated to the Repatriation Commission will be provided within the Military Rehabilitation and Compensation Act 2004, rather than the Veterans' Entitlements Act 1986, through the operation of the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024.

Item 304 – Paragraph 598(2)(b)

This item amends paragraph 598(2)(b) of the Aged Care Act 2024 to replace "Military Rehabilitation and Compensation Commission" with "Repatriation Commission" as the Military Rehabilitation and Compensation Commission is being merged into the Repatriation Commission through the operation of the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024.

SCHEDULE 2 — AMENDMENT OF THE AGED CARE (CONSEQUENTIAL AND TRANSITIONAL PROVISIONS) ACT 2024

Part 1—Amendments commencing immediately after the transition time

Aged Care (Consequential and Transitional Provisions) Act 2024

Item 1 – Subitem 1(1) of Schedule 2

This item amends Item 1 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which sets out the definitions.

Specifically, this item amends subitem 1(1) to insert new definitions as follows:

modify the operation of the provisions of an Act or instrument includes modify that operation by notionally adding, omitting or substituting text.

Note: Examples of modifying the operation of the provisions of an Act or instrument by notionally adding, omitting or substituting text include notionally adding, omitting or substituting:

•

words in a provision; or

•

part of a provision; or

•

a whole provision; or

•

a series or group of provisions.

new law means any of the following laws:

•

the new Act;

•

an instrument made under the new Act.

This is a technical amendment required to clarify the scope and effect of other provisions within the Aged Care (Consequential and Transitional Provisions) Act 2024 and does not change the intent or purpose of those provisions.

Item 2 - Subitem 1(1) of Schedule 2 (definition of old law )

This item amends Item 1 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which sets out the definitions.

Specifically, this item amends subclause 1(1) to repeal the definition of old law and substitute it with:

old law means any of the following laws:

•

the old Act;

•

the Commission Act;

•

the old Transitional Provisions Act;

•

an instrument made under the old Act, the Commission Act or the old Transitional Provisions Act.

This is a technical amendment to clarify that instruments made under the relevant Acts form part of the 'old law' and does not change the intent or purpose of the provision.

Item 3 – Subitem 1(1) of Schedule 2

This item amends Item 1 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which sets out the definitions.

Specifically, this item amends subclause 1(1) to insert new definitions:

Subsidy Principles means the Subsidy Principles 2014.

This is a technical amendment to clarify that a reference to the Subsidy Principles made in the Aged Care (Consequential and Transitional Provisions) Act 2024 is a reference to the Subsidy Principles 2014.

Item 4 – Subitem 1(2) of Schedule 2

This item amends subitem 1(2) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which provides for the interpretation of terms used in Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 where these are also used in the Aged Care Act 2024 and instruments made under that Act.

Specifically, this item amends subclause 1(2) of to omit "new Act" and substitute with "new law".

This is a technical amendment to clarify that instruments made under the Aged Care Act 2024 form part of the 'new law' as inserted by Item 1 of this Schedule and does not change the intent or purpose of the provision.

Item 5 – At the end of Part 1 of Schedule 2

This item inserts Item 1A at the end of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

Clause 1A - Section 7 of the Acts Interpretation Act 1901

This clause provides that Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 does not limit the effect of section 7 of the Acts Interpretation Act 1901 in relation to the repeals and amendments made by this Act.

Item 6 – Subitem 2(1) of Schedule 2

This item amends subitem 2(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which deals with access approvals and related decisions.

This item inserts "or who is in a transitional cohort under a determination made under subitem (3)".

This is a technical amendment which provides for access approvals and related decisions for a class of individuals identified in an instrument created under subitem 2(3). Instruments made under subitem 2(3) are no longer dealt with under subitem 2(2).

This is so that such instruments may deal with subject matter (resulting in deemed approval under this item) that is determined to be in effect under the Aged Care Act 1997 which is determined after the transition time.

Item 7 – Paragraph 2(1)(g) of Schedule 2

This item amends paragraph 2(1)(g) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

This item amends the subitem to change "referred to in paragraph (2)(g) of this item", to "who is in a transitional cohort under a determination made under subitem (3)".

This item provides for the System Governor to be taken to have made a decision relating to service group and classification types for individuals of a class identified in a determination under subitem 2(3).

Item 8 – Paragraph 2(2)(f) of Schedule 2

This item amends paragraph 2(2)(f) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

This item amends subitem 2(2)(f) by closing the list after 'Program'. This is an editorial amendment to the list of individuals to whom transition applies.

Item 9 – Paragraph 2(2)(g) of Schedule 2

This item repeals paragraph 2(2)(g) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

The paragraph "(g) was in a class of individuals determined under subitem (3) by the System Governor to be a transitional cohort." is no longer necessary with the amendment to subitem 2(1)(g).

Item 10 – Subitem 2(3) of Schedule 2

This item amends subitem 2(3) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

This item amends "determine a class of individuals to be a transitional cohort for the purposes of paragraph (2)(g), and replaces it with "determine that individuals included in a specified class are in a transitional cohort for the purposes of this item".

This amendment links to the amendment in subitem 2(1) to allow for access approvals and related decisions for a class of individuals.

Item 11 – Subitem 3(1) of Schedule 2

This item amends subitem 3(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which provides for the transition of approvals for individuals to access residential aged care between the Aged Care Act 1997 and the Aged Care Act 2024.

This item amends 3(1) to insert after "subitem (2) applies" the following: "or who is in a transitional cohort under a determination made under subitem (4)".

This item links access approval for residential care to a new power to determine a class of individuals under new subitem 3(4).

Item 12 – Subparagraph 3(1)(c)(iii) of Schedule 2

This item amends Item 3 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, which provides for the transition of approvals for individuals to access residential aged care between the Aged Care Act 1997 and the Aged Care Act 2024.

Specifically, the item amends subparagraph 3(1)(c)(iii) to reflect paragraph (3)(2)(f) has been repealed by item 13 below as the relevant matters are incorporated into paragraph (3)(2)(e) by that item.

Item 13 – Paragraphs 3(2)(e) and (f) of Schedule 2

This item amends Item 3 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, which provides for the transition of approvals for individuals to access residential aged care between the Aged Care Act 1997 and the Aged Care Act 2024.

Specifically, the item incorporates the matters provided for at paragraph (3)(2)(f) into paragraph (3)(2)(e) and repeals paragraph (3)(2)(f). This amendment ensures that individuals who have been accessing aged care services through the Multi-Purpose Service Program or National Aboriginal and Torres Strait Islander Flexible Aged Care Program, whether by reason of sickness or being a First Nations person, are provided with the correct access approvals for residential care, that is both ongoing or short term, at the transition time.

Item 14 – Subitem 3(3) of Schedule 2

This item amends Item 3 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which provides for the transition of approvals for individuals to access residential aged care between the Aged Care Act 1997 and the Aged Care Act 2024.

Specifically, the item amends paragraph 3(3) to clarify that an individual accessing care under the Multi-Purpose Service Program or National Aboriginal and Torres Strait Islander Flexible Aged Care Program may have their existing access approval deemed to be an access approval for funded aged care services where that current access is for reason of sickness or where the individual is an Aboriginal or Torres Strait Islander person.

Item 15 – At the end of item 3 of Schedule 2

This item creates new subitems 3(4) and 3(5) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which provides for the transition of approvals for individuals to access residential aged care between the Aged Care Act 1997 and the Aged Care Act 2024.

This item provides a new power for the System Governor to determine, by legislative instrument, a transitional cohort of individuals for the purposes of subitem 3(1).

The System Governor may do so if the individuals in that class were eligible to access, at any time in the 12-month period ending at the transition time:

•

residential care, or flexible care provided in a residential setting, under the old Act

•

care provided in a residential setting under a Commonwealth program; and

the System Governor considers it reasonably necessary to make the determination to ensure continuity of funded aged care services through the service group residential care for those individuals.

This item provides for a flexible determination power to ensure that classes of individuals that are eligible to forms of residential care under the Aged Care Act 1997, who are not contemplated in existing provisions, may continue to access care on and after transition.

Commonwealth program includes programs such as the National Aboriginal and Torres Strait Islander Flexible Aged Care Program.

Subitem (5) provides that a determination under subitem (4) may be made after the transition time. This allows a determination to be made after the transition time, and includes circumstances where a class of individuals is determined to be eligible for care under the Aged Care Act 1997 after transition time.

Item 16 – Subitem 4(1) of Schedule 2

This item amends subitem 4(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 to provide for a determination made by the System Governor to determine the classification level, priority category and that a place is to be taken to have been allocated to that individual for the classification type for the service groups home support, assistive technology, and home modifications to be assigned to a class of individuals at the transition time.

This item makes a technical amendment in subitem 4(1) after "subitem 2(2) applies" to insert "or who are in a transitional cohort under a determination made under subitem 2(3),".

This item provides for the determination of a priority category for service groups dealt with under item 2 of Schedule 2 made by a determination.

Item 17 – Subitem 4(2) of Schedule 2

This item amends subitem 4(2) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 to provide for a determination made by the System Governor to determine the classification level, priority category and that a place is to be taken to have been allocated to that individual for the classification type for the service group residential care to be assigned to a class of individuals at the transition time.

This item makes a technical amendment in subitem 4(2) after "subitem 3(2) applies" insert "or who are in a transitional cohort under a determination made under subitem 3(4),".

This item provides for the determination of a priority category for residential care service groups dealt with under Schedule 2 item 3 made by a determination.

Item 18 – After paragraph 4(2)(a) of Schedule 2

This item amends paragraph 4(2)(a) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 to provide for a determination made by the System Governor to determine the priority category for the classification type for the service group residential care to be assigned to a class of individuals at the transition time.

This amendment is necessary to ensure that all required elements of an access approval for an individual are able to be determined at the transition time.

Item 19 – Paragraph 6(3)(a) of Schedule 2

This item amends Item 6 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which provides for the deeming of registered providers. Specifically, this item amends paragraph 6(3)(a) to omit and substitute "the entity" with "an entity". This amendment is necessary to allow for entities that provided aged care services as sub-contractors to an aged care service to be deemed to be a registered provider to ensure continuity of those services for individuals accessing funded aged care services.

Item 20 – After Part 3 of Schedule 2

This item amends Schedule 2 to insert Part 3A, which provides for transitional provisions for Chapter 4 of the new Act, after Part 3. Included in Part 3A are:

•

Division 1—Home care subsidy under the old law

•

Division 2—Subsidy for home support

•

Division 3—Unspent home care amounts

•

Division 4—Residential care subsidy under the old law

•

Division 5—Subsidy for residential care

•

Division 6—Flexible care subsidy under the old law

These inserted provisions broadly provide for claims for subsidy, variations to those claims, and recovery of moneys related to aged care services delivered under the Aged Care Act 1997 to continue despite the repeal of that Act in accordance with the existing timeframes for such actions to be undertaken by approved providers.

Part 3A—Transitional provisions for Chapter 4 of the new Act

Division 1—Home care subsidy under the old law

Clause 20B – Claims for home care subsidy—pre-transition time payment periods

Clause 20B provides for matters related to pre-transition time payment periods and claims for subsidy for home care.

Subclause (1) provides that despite the repeal of the old Act by this Act and the repeal of the Subsidy Principles, a claim for home care subsidy, or a variation of a claim for home care subsidy, may be made on or after the transition time in respect of a payment period ending before the transition time, and the old Act and the Subsidy Principles continue to apply to the claim and any subsidy payable as a result of the claim, as if those repeals had not happened.

Subclause (2) provides that if an overpayment to a person of an amount by way of home care subsidy is made before or after the transition time, and the amount has not been recovered by the Commonwealth before the transition time:

•

the amount is taken, after the transition time, to be a recoverable amount for the purposes of the new Act; and

•

the entity is taken to be a debtor in relation to the recoverable amount for the purposes of the new Act.

Clause 20C – Pending application for hardship supplement

Clause 20C provides that despite the repeal of the old Act by this Act and the repeal of the Subsidy Principles, sections 48-10, 48-11 and 48-12 of the old Act, and Subdivision A of Division 4 of Part 2 of Chapter 3 of the Subsidy Principle s, continue to apply to an application under subsection 48-11(4) of the old Act that was made, but not decided, before the transition time, as if those repeals had not happened.

Division 2—Subsidy for home support

Clause 20D – Notification of service delivery branches

Clause 20D provides for the notification of service delivery branches.

Subclause (1) provides that this item applies if, at the transition time:

•

an entity is, because of subitem 5(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, taken to be a registered provider under paragraph 105(1)(a) of the new Act; and

•

a home care service is, because of subitem 5(8) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, taken to be a service delivery branch of the registered provider.

Subclause (2) provides that the registered provider is taken, at the transition time, to have given the System Governor a notification for the service delivery branch in accordance with subsection 203(1) of the new Act.

Division 3—Unspent home care amounts

Clause 20DA Unspent home care amounts—Commonwealth portions and home care accounts

Clause 20DA relates to the responsibilities to pay the Commonwealth portion of an individual's unspent home care amount to the Commonwealth.

Responsibility to pay Commonwealth portion after the transition time

Subclause (1) provides that subclause (2) applies, if before commencement of the new Act:

•

section 21F or section 21JB of the User Rights Principles 2014 applied to the Commonwealth portion of a care recipient's unspent home care amount; and

•

the time at which the Commonwealth portion becomes due and payable to the Commonwealth had not occurred; and

•

the requirement to pay the Commonwealth portion to the Commonwealth had not been complied with.

Subclause (2) provides that despite the repeal of the User Rights Principles 2014 by the Aged Care (Consequential and Transitional Provisions) Rules 2024, that section continues to apply after the transition time, in relation to the Commonwealth portion, as if the repeal had not happened. This ensures that any requirements that apply to an unspent Commonwealth portion prior to transition time continue to apply after transition time.

Recovery of Commonwealth portion—registered providers

Subclause (3) provides that if a person who is, at the transition time, taken to be a registered provider because of subitem 5(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 fails, after the transition time, to comply with section 21F or 21JB of the User Rights Principles 2014 (as that section continues to apply because of subitem (2) of this item) in relation to the Commonwealth portion of a care recipient's unspent home care amount:

•

the Commonwealth portion is taken to be a recoverable amount under section 514 of the new Act; and

•

the registered provider is taken to be a debtor under section 514 of the new Act in relation to the recoverable amount.

The note provides that Division 2 of Part 13 of Chapter 6 of the new Act deals with the recovery of recoverable amounts.

Recovery of Commonwealth portion—persons who are not registered providers

Subclause (4) provides that Division 95 of the old Act, despite its repeal, continues to apply after the transition time in relation to the Commonwealth portion of a care recipient's unspent home care amount as if the repeal had not happened, if:

•

subclause (2) of clause 20A applies in relation to the Commonwealth portion; and

•

the person who was, immediately before the transition time, the approved provider in relation to the Commonwealth portion is not, at the transition time, taken to be a registered provider because of subitem 5(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

The note provides that Division 95 of the old Act deals with the recovery of overpayments.

Credit to new Act home care account for return of Commonwealth portion after the transition time

Subclause (5) provides that subclause (6) applies in relation to an individual if:

•

immediately before the transition time, the individual was a care recipient with an unspent home care amount; and

•

at a time (the post-transition time) after the transition time:

o

a person who is a registered provider pays the Commonwealth portion of the care recipient's unspent home care amount to the Commonwealth in accordance with section 21F or 21JB of the User Rights Principles 2014 (as that section continues to apply because of subitem (2) of this clause); or

o

the Commonwealth recovers the Commonwealth portion of the care recipient's unspent home care amount under Part 13 of Chapter 6 of the new Act (because of the operation of subitem (4) of this clause); and

•

at the post-transition time, the individual has a home care account in accordance with section 226E of the new Act.

Subclause (6) provides that the individual's home care account is credited, at the start of a day prescribed by the transitional rules, by the amount of the Commonwealth portion.

Clause 20DB – Unspent home care amounts—care recipient portions

Clause 20DB provides for the transitional provisions for a care recipients portion of the unspent home care amount.

Subclause(1) provides that subclause (2) applies if, before the transition time:

•

section 21F of the User Rights Principles 2014 applied to the care recipient portion of a care recipient's unspent home care amount; and

•

the period within which the care recipient portion must be paid in accordance with that section had not ended; and

•

the care recipient portion had not been paid in accordance with that section.

Subclause (2) provides that despite the repeal of the User Rights Principles 2014, that section continues to apply after the transition time, in relation to the care recipient portion, as if the repeal had not happened.

Division 4—Residential care subsidy under the old law

Clause 20E – Claims for residential care subsidy—pre-transition time payment periods

Clause 20E provides for matters related to pre-transition time payment periods and claims for subsidy for residential care.

Subclause (1) provides that from transition time, despite the repeal of the old Act and the Subsidy Principles, a claim for residential care subsidy or a variation of such a claim may be made in respect of a payment period ending before the transition time, and the old Act and the Subsidy Principles continue to apply to the claim and any subsidy payable, as if those repeals had not happened.

Subclause (2) provides that where an overpayment of residential care subsidy occurs before or after the transition time, which not been recovered by the Commonwealth before the transition time:

•

the amount is taken, after the transition time, to be a recoverable amount for the purposes of the new Act; and

•

the entity is taken to be a debtor in relation to the recoverable amount for the purposes of the new Act.

Clause 20F – Pending application for hardship supplement

Clause 20F provides that despite the repeal of the old Act and Subsidy Principles, sections 44-30, 44-31 and 44-32 of the old Act, and Subdivision B of Division 5 of Part 3 of Chapter 2 of the Subsidy Principle s, continue to apply to an application under subsection 44-31(4) of the old Act, that was made, but not decided, before the transition time, as if those repeals had not happened.

Division 5—Subsidy for residential care

Clause 20G – Leave from an approved residential care home

Clause 20G relates to when an individual on leave from a residential care service is taken to have been on leave from an approved residential care home for the purposes of the new Act.

Subclause (1) provides that this item applies if, at the transition time:

•

an entity is, because of subitem 5(1) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, taken to be a registered provider under paragraph 105(1)(a) of the new Act; and

•

because of subitem 5(7) of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024, a place through which a residential care service is provided is taken to be an approved residential care home in relation to the entity.

Hospital leave

Subclause (2) provides that a day before the transition time on which an individual was on leave from the residential care service under subsection 42-2(2) of the old Act or subsection 42-2(2) of the old Transitional Provisions Act is to be counted, for the purposes of the new Act, as a day on which the individual was on hospital leave from the approved residential care home.

Hospital transition leave

Subclause (3) provides that a day before the transition time on which an individual was on leave from the residential care service under subsection 42-2(3A) of the old Act is to be counted, for the purposes of the new Act, as a day on which the individual was on hospital transition leave from the approved residential care home.

Social leave

Subclause (4) provides that any day during that financial year on which the individual was on leave from the residential care service under subsection 42-2(3) of the old Act is to be counted for the purposes of determining the number of days during a financial year on which an individual has previously been on leave from the approved residential care home.

Division 6—Flexible care subsidy under the old law

Clause 20H – Flexible care provided as short-term restorative care—claims for flexible care subsidy—pretransition time payment periods

Clause 20H provides for matters related to pre-transition time payment periods and claims for subsidy for flexible care provided as short-term restorative care.

Subclause (1) provides that from transition time, despite the repeal of the old Act and the Subsidy Principles, a claim for subsidy payable for flexible care as short-term restorative care, or a variation of such a claim, may be made in respect of a payment period ending before the transition time, and the old Act and the Subsidy Principles continue to apply to the claim and any subsidy payable, as if those repeals had not happened.

Subclause (2) provides that where an overpayment of subsidy for flexible care as short-term restorative care occurs before or after the transition time, which not been recovered by the Commonwealth before the transition time:

•

the amount is taken, after the transition time, to be a recoverable amount for the purposes of the new Act; and

•

the entity is taken to be a debtor in relation to the recoverable amount for the purposes of the new Act.

Item 21 – Paragraph 52(1)(b) of Schedule 2

This item amends item 52 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which relates to protected information.

Specifically, this item amends paragraph 52(1)(b) to omit "Act" and substitute with "Act, or." and is a technical amendment required due to the amendment made by Item 22.

Item 22 – At the end of subitem 52(1) of Schedule 2

This item amends item 52 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which relates to the application of the information management regime in the new Act to information obtained or generated prior to the commencement of that Act.

Specifically, this item inserts a new paragraph 52(1)(c) at the end of subitem 52(1).

Paragraph 52(1)(c) provides that information that was obtained or generated before the transition time for the purposes of the aged care programs under any of the following items in the Financial Framework (Supplementary Powers) Regulations 1997:

•

Item 415.018 – Schedule 1AA – Residential and flexible care;

•

Item 163 – Schedule 1AB – Commonwealth Home Support Programme,

is information to which subitem 52(2) is to apply. That is, such information is to be taken to be relevant information for the purposes of the new Act after the transition time.

Item 23 – Subitem 52(2) of Schedule 2

This item amends item 52 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which relates to protected information.

Specifically, this item repeals subitem 52(2) and substitutes it with new subclauses 52(2) and 52(3).

Subclause (2) provides that for the purposes of the new Act, the information is taken, after the transition time, to be relevant information (instead of protected information) within the meaning of that Act. This will ensure the information set out in subclause 52(1) can be used and disclosed in accordance with the authorisations in Division 2 of Part 2 of Chapter 7 of the new Act. Under the new Act, any information taken to be relevant information which also meets the definition set out in s 21 of the new Act will be protected information and protected by the secrecy provision in s 535 of the new Act.

Subclause (3) provides that to avoid doubt, a reference in paragraph (1)(a) to protected information within the meaning of the old Act includes a reference to information that is taken to be protected information because of the operation of item IM65 of Schedule 4 to this Act (which deals with information acquired or generated for transitional purposes). This clarifies that information which is acquired or generated for a transitional purpose (and falls within the criteria set out in s 86-1(b) of the old Act) will be treated in the same way as information which was acquired under or for the purposes of the old Act. This information acquired or generated for transitional purposes will be able to be used and disclosed in accordance with the authorisations in Division 2 of Part 2 of Chapter 7 of the new Act.

Item 24 – After item 52 of Schedule 2

This item amends item 52 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which relates to protected information.

Specifically, it inserts new clauses 52A and 52B after item 52.

Clause 52A – Public interest certificates and determinations

Clause 52A relates to the public interest certificates and determinations.

Subclause 52A(1) provides that a certificate issued by the Secretary under paragraph 86-3(1)(a) of the old Act that is in force immediately before the transition time continues in force (and may be dealt with) after the transition time as if it were a determination made by the System Governor under subsection 539(10) of the new Act.

Subclause 52A(2) provides that a determination made by the Commissioner under paragraph 61(1)(a) of the Commission Act that is in force immediately before the transition time continues in force (and may be dealt with) after the transition time as if it were a determination made by an Appointed Commissioner under subsection 539(11) of the new Act.

These operate as a savings provision to maintain certifications and determinations already made by the Secretary and the Commissioner so as to have effect under the new Act.

Clause 52B – Modification of provision relating to unauthorised use or disclosure of protected information

Clause 52B relates to the modification of provisions relating to unauthorised use or disclosure of protected information.

Subclause 52B(1) provides that for the purposes of applying subsection 535(2) of the new Act after the transition time, in relation to protected information disclosed to a person before that time, the operation of paragraph 535(2)(d) of that Act is modified as if it included a reference to the disclosure of the information to the person being authorised by or under any of the following provisions:

•

section 86-3, 86-4 or 86-4A of the old Act;

•

section 61 of the Commission Act.

Subclause 52B(2) provides that for the purposes of applying subsection 535(2) of the new Act after the transition time, in relation to protected information disclosed to a person before that time, paragraph 535(2)(e) of the new Act is to be disregarded.

This clause amends the unauthorised use or disclosure of protected information provision in two main ways. It makes it so persons who received protected information under the specified provisions of the old Act or Commission Act are subject to the protected information regime in the new Act. It also provides that paragraph 535(2)(e) is to be disregarded. This replicates the effect of the protected information offence provisions under section 86-5 of the old Act and section 62 of the Commission Act. This ensures that persons who received protected information under the old law in circumstances where an offence would apply to their subsequent unauthorised use or disclosure of that information will continue to be subject to a similar offence following the repeal of the old law. Paragraph 535(2)(e) is to be disregarded to reflect that persons who received protected information under sections 86-3, 86-4 or 86-4A of the old Act, or under section 61 of the Commission Act, should continue to be subject to an offence if they use or disclose that information in a way that is not authorised, regardless of whether they are now entrusted persons or not. Persons who received protected information under sections 86-3, 86-4 or 86-4A of the old Act, or under section 61 of the Commission Act will be permitted to use or disclose the information either for the purpose for which the information was disclosed to them, or otherwise as authorised by a provision in Division 2, Part 2 of Chapter 7 of the new Act due to paragraph 535(2)(f) and subsection 535(3) of the new Act.

Item 25 – After item 58 of Schedule 2

This item inserts a new item, item 58A, into Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024.

Clause 58A – System Governor may make a determination about a reconsidered decision

Clause 58A provides for transitional arrangements for reconsideration of decisions.

Subclause 58A(1) provides that this item applies to decisions made after the transition time, which are the outcome of a reconsideration of a decision made before the transition time which is subject to review under the old law or the Administrative Review Tribunal Act 2024.

Subclause 58A(2) provides for the System Governor to determine matters relating to the application of the old law and the new Act, a state of affairs taken to exist before, on or after the transition time, or any other matter the System Governor is satisfied is necessary or convenient to give effect to a reconsidered decision.

Subclause 58A(3), without limiting the matters the System Governor may determine, clarifies the kinds of matters which the System Governor may need to determine in the ordinary course of giving effect to a reconsidered decision affecting the approval of an approved provider.

Subclause 58A(4), without limiting the matters the System Governor may determine, clarifies the kinds of matters which the System Governor may need to determine in the ordinary course of giving effect to a reconsidered decision affecting the approval of an individual's access to aged care.

Subclause 58A(5) provides that a determination made under subclause 58A(2) has effect according to its terms.

Subclause 58A(6) provides that a determination made under subclause 58A(2) is not a legislative instrument.

Item 26 – Subitem 65(4) of Schedule 2

This item amends item 65 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which empowers the Minister to make legislative rules required or permitted by that Act, or that are necessary or convenient for carrying out or giving effect to that Act.

Specifically, this item amends subclause 65(4) to omit "subitem (5)" and substitute with "subitems (4A) and (5)". This is a technical amendment required due to the amendment made by Item 28.

Item 27 – After subitem 65(4) of Schedule 2

This item amends item 65 of Schedule 2 of the Aged Care (Consequential and Transitional Provisions) Act 2024 which empowers the Minister to make legislative rules required or permitted by that Act, or that are necessary or convenient for carrying out or giving effect to that Act.

Specifically, this item amends item 65 to insert subclause 65(4A) after subclause 65(4). Subclause 65(4A) provides that rules expressed to take effect from a date before the rules are registered under the Legislation Act 2003 must not be made after the end of the period of 24 months beginning on the day subitem 65(4A) commences.

Part 2—Protected information

Aged Care (Consequential and Transitional Provisions) Act 2024

Item 28 – In the appropriate position

This item amends the Aged Care (Consequential and Transitional Provisions) Act 2024 to insert the schedule below in the appropriate position within that Act, which relates to special rules about provisions for information management for transitional purposes.

Schedule 4—Special rules about provisions for information management for transitional purposes

Part 1—Interpretation

Item 1 – Meaning of expressions—general

This item gives meaning to the following within this Schedule:

new law means the Aged Care Act 2024 and any instruments made under that Act.

old law means any of the following laws:

•

the Aged Care Act 1997;

•

the Aged Care Quality and Safety Commission Act 2018;

•

the Aged Care (Transitional Provisions) Act 1997;

•

an instrument made under any of those Acts.

personal information has the same meaning as in the Privacy Act 1988.

System Governor means the Secretary of the Department.

transition time means the time the new Act commences.

Item 2 – Meaning of transitional purpose

This item gives meaning to transitional purpose.

Subitem (1) provides that a transitional purpose, in relation to the performance of a function or duty, the exercise of a power or the doing of a thing, means the performance of the function or duty, the exercise of the power or the doing of the thing for the purposes of the transition from the regime provided for by the old law to the regime provided for by the new law:

•

whether the performance of the function or duty, the exercise of the power or the doing of the thing is under, for the purposes of or in connection with the old law or the new law; and

•

whether the performance of the function or duty, the exercise of the power or the doing of the thing is before, on or after the transition time.

Subitem (2) provides that without limiting subitem (1), the performance of a function or duty, the exercise of a power or the doing of a thing is for a transitional purpose if it is:

•

in preparation for the performance of a function or duty, the exercise of a power or the doing of a thing under, for the purposes of or in connection with the new law; or

•

under, for the purposes of, or in connection with:

o

a savings, transitional or application provision (however described); or

o

the application of the Acts Interpretation Act in relation to the interaction between the old law and the new law.

Part 2—Dealing with information in performing functions, etc. for a transitional purpose

Item 3 – Authorisations to collect, use or disclose protected information for transitional purpose

This item authorises the collection, use or disclosure of certain information for transitional purposes.

Subitem (1) provides that a person may, for a purpose mentioned in subitem (2), collect, use or disclose any of the following types of information:

•

protected information within the meaning of;

o

the Aged Care Act 1997;

o

the Aged Care Quality and Safety Commission Act 2018;

o

the Social Security Act 1991;

o

the Social Security (Administration) Act 1999;

•

information that was obtained or generated before the transition time for the purposes of the aged care programs under any of the following items in the Financial Framework (Supplementary Powers) Regulations 1997:

o

Item 415.018 – Schedule 1AA – Residential and flexible care;

o

Item 163 – Schedule 1AB – Commonwealth Home Support Programme.

Subitem (2) provides that the purposes include performing a function or duty, exercising a power or doing a thing for a transitional purpose; or assisting another person to perform a function or duty, exercise a power or do a thing for a transitional purpose.

Note 1 provides that subitem (2) constitutes an authorisation for the purposes of paragraph 86-2(2)(e) of the Aged Care Act 1997 and section 60(3)(c) of the Commission Act.

Note 2 provides that subitem (2) constitutes an authorisation for the purposes of the Privacy Act 1988 and other laws (including the common law).

Subitem (3) provides that this item applies to the collection, use or disclosure of information on or after the day the Aged Care Act 2024 received the Royal Assent and before the transition time.

Subitem (4) provides that the status and rights of all persons are, by force of this subitem, declared to be, and always to have been, the same as if this item had been in force during the period:

•

beginning on the day the Aged Care Act 2024 received the Royal Assent; and

•

ending at the transition time.

Subitem (5) provides that to avoid doubt, a reference in paragraph (1)(a) to protected information within the meaning of the Aged Care Act 1997 includes a reference to information that is taken to be protected information because of the operation of item 37 of this Schedule (which deals with information acquired or generated for transitional purposes).

This clause provides an authorisation to collect, use, or disclose protected and personal information for a transitional purpose. This is intended to deal with the handling of information obtained under the old law, and during the transition process, which is required to give effect to the new Act in advance of its commencement. This is necessary to ensure processes and activities which are required to facilitate the effective transition from the regime provided by the old law to the regime provided by the new law are authorised for the purposes of the secrecy provisions in the old law and the Privacy Act 1988. This is important so preparatory activities can be undertaken to ensure continuity of care for persons receiving aged care services under the old law, or under Item 415.018 – Schedule 1AA – Residential and flexible care or Item 163 – Schedule 1AB – Commonwealth Home Support Programme of the Financial Framework (Supplementary Powers) Regulations 1997, once the new Act commences.

Section 537(1) of the new Act will authorise a person to use or disclose relevant information in the course of performing a function or duty, or exercising a power, under or in connection with the new Act, or assisting another person to do so. However, this authorisation in section 537(1), and the relevant powers, functions and duties, will not be in effect until the new Act commences. It is therefore necessary for IM 30 to authorise the use and disclosure of information for transitional purposes, prior to the new Act coming into effect.

It is necessary for this authorisation to have retrospective effect from the day the Aged Care Act 2024 received the Royal Assent as many activities to prepare for the commencement of the new Act will be required to be undertaken prior to the commencement of this provision due to the lead time required to implement the significant changes made by the new Act. Without this authorisation, action taken to avoid an interruption in the aged care services that people receive could be subject to the criminal offence provisions in section 86-2(1) of the old Act and section 60 of the Commission Act, or be in breach of the Privacy Act 1988. It is necessary to have an authorisation under law for the use and disclosure of personal information as obtaining consent from every individual receiving aged care services for their information to be used and disclosed for the various activities required to transition to the new Act, would not be practicable. If consent was unable to be obtained in time, those individuals may not be able to be transitioned to receive services under the new Act at the time it commences.

Item 4 – System Governor may request information or documents from persons or bodies

Item relates to when the system Governor may request information or documents from persons or bodies for a transitional purpose.

Subclause (1) provides that if the System Governor reasonably believes that a person or body has information or documents relevant to the performance of the System Governor's functions for a transitional purpose, the System Governor may, before the transition time, request the person or body to give the System Governor any such information or documents (or copies of any such documents).

Subclause (2) provides that the person or body is not required to comply with the request.

The note provides that the System Governor may require a person to attend to answer questions or give information or documents under item 34.

Item 5 – Notices to give information or produce documents required for System Governor's functions

This item relates to notices to give information or produce documents required for System Governor's functions.

Subitem (1) provides that the System Governor may, by notice in writing given to a person, before the transition time, require the person, within 14 days or another reasonable time stated in the notice, to

•

give the System Governor any information; or

•

produce to the System Governor any documents (or copies of documents);

specified in the notice that the System Governor requires for the performance of the System Governor's functions for a transitional purpose.

Subitem (2) provides that the System Governor may, by notice in writing given to the person, before or after transition time, extend the time within which the information must be given or documents or copies of documents must be produced in accordance with the notice under subitem (1).

Item 6 – Failing to comply with notice

This item relates to a failure to comply with a notice.

Strict liability offence

Subitem (1) provides that a person commits an offence of strict liability if:

•

the person is required to give information, or produce documents or copies of documents, in accordance with a notice given to the person under subitem 34(1); and

•

the person fails to comply with the requirement.

The penalty is 30 penalty units.

Civil penalty provision

Subitem (2) provides that a person is liable to a civil penalty if:

•

the person is required to give information, or produce documents or copies of documents, in accordance with a notice given to the person under subitem 34(1); and

•

the person fails to comply with the requirement.

The civil penalty is 30 penalty units.

This provision is modelled on the failure to comply provision in section 495 of the new Act.

Item 7 – Privilege against self-incrimination not abrogated

This item relates to the privilege against self-incrimination, and notes that it is not abrogated.

Subitem (1) provides that nothing in this Part affects the right of a person to refuse to answer a question, give information or give a document or a copy of a document on the ground that answering the question, giving the information or giving the document might tend to incriminate the person.

Subitem (2) provides that the fact that this item is included in this Part does not imply that the privilege against self-incrimination is abrogated in any other Act.

This clause maintains the common law privilege against self-incrimination and ensures it is not inadvertently abrogated by a clause in this and any other Act.

Item 8 - Meaning of protected information —information acquired or generated for transitional purposes

This item provides for the meaning of protected information—information acquired or generated for transitional purposes.

The definition of protected information given by paragraph 86-1(a) of the Aged Care Act 1997 is taken to include information acquired or generated under or for the purposes of the old law or this Act for a transitional purpose.

This ensures that protected information acquired or generated for transitional purposes, and not acquired or generated under the old Ac t, is taken to be protected information under that Act where the information is personal information or relates to the affairs of an approved provider under the old Act; or relates to the affairs of an applicant for a grant under Chapter 5 of the old Act. This ensures such information acquired or generated for a transitional purpose is treated consistently with how similar information acquired under or for the purposes of the old Act is treated. The protections of the secrecy offence provision in subsection 86-2(1) of the old Act will apply to these categories of information which are acquired or generated for transitional purposes. The authorisation in item 32 will then also authorise such information to be used and disclosed for transitional purposes.

Item 9 – Use of protected information for transitional purposes

This item provides for the use of protected information for transitional purposes.

Paragraphs 86-2(1)(c) and (2)(a) of the Aged Care Act 1997 are taken to apply to information acquired or generated under or for the purposes of the old law or this Act for a transitional purpose.

This ensures information acquired or generated under this Act are subject to the protected information offence provision under the Aged Care Act 1997. The offence would not apply to conduct that is carried out in the performance of a function or duty under the old Act, or the exercise of a power under, or in relation to the old Act.

Item 10– Compensation for acquisition of property

This item provides for compensation for the acquisition of property.

Subitem (1) provides that if the operation of this Part would result in an acquisition of property (within the meaning of paragraph 51(xxxi) of the Constitution) from a person otherwise than on just terms (within the meaning of that paragraph), the Commonwealth is liable to pay a reasonable amount of compensation to the person.

Subitem (2) provides that if the Commonwealth and the person do not agree on the amount of the compensation, the person may institute proceedings in the Federal Court of Australia or the Supreme Court of a State or Territory for the recovery from the Commonwealth of such reasonable amount of compensation as the Court determines.

Part 3—Automation of administrative action

Item 29 – In the appropriate position

This item amends the Aged Care (Consequential and Transitional Provisions) Act 2024 to insert the schedule below in the appropriate position within that Act, which relates to automation of administrative action.

Schedule 5—Automation of administrative action

Item 1 – Definitions

This item gives meaning to the following within this Schedule:

•

administrative action : see subitem 2(2).

•

System Governor means the Secretary of the Department.

Item 2 – Automation of administrative action

This item provides legislative authority for the automation of administrative action for transitional purposes under the Aged Care (Consequential and Transitional Provisions) Act 2024. This item replicates the legislative authority for automation of the administrative actions under the new Act.

Subitem (1) provides that the System Governor may, in writing, arrange for the use, under the System Governor's oversight, of computer programs to take administrative action that must be taken by the System Governor under the Aged Care (Consequential and Transitional Provisions) Act 2024 or legislation instruments made under the Aged Care (Consequential and Transitional Provisions) Act 2024.

Subitem (1) provides that the System Governor 'may... arrange for the use' of computer programs to take specified administrative action, as defined in subitem (2). The word 'may' is intended to indicate that the power to arrange for the use of a computer program to take administrative action is discretionary in nature, in accordance with subsection 33(3) of the Acts Interpretation Act 1901. This would mean that the System Governor is not required to make an arrangement of this kind, but is permitted to do so.

Subitem (2) provides that an administrative action is any of the following:

•

Making, or refusing or failing to make, a decision under a provision mentioned in subclause (3);

•

Exercising, or refusing or failing to exercise, a power under a provision mentioned in subclause (3);

•

Performing, or refusing or failing to perform, a function or duty under a provision mentioned in subclause (3);

•

Doing, or refusing or failing to do, anything (including giving a notice) related to making a decision, exercising a power or performing a function or duty under a provision mentioned in subclause (3).

Subitem (2) is intended to clarify that an administrative action that can be taken by a computer program is broader than just the making of a decision. It includes exercising (or refusing to exercise) a power or performing (or refusing or failing to perform) a function or duty under a provision mentioned in Subitem (3). It also extends to any administrative action (including giving a notice) related to the making of a decision, exercise of power or performance of a function or duty under Subitem (3).

Subitems 582(1) and 582(2) are not intended to imply that the making of an arrangement is the only means by which a computer program may be used to take administrative action under the Act, if that action would otherwise not require statutory authorisation in order to be validly taken.

For example, subitems 582(1) and 582(2) should not be read as implying that it would not be lawful to use a computer program to assist a human decision-maker to make a decision, perform a function or duty, or exercise a power that is not subject to an arrangement under those subsections, which is generally something that can validly be done without statutory authority.

Subitem (3) provides that for the purposes of subitem (2), the provisions are the following:

•

Provisions of the Aged Care (Consequential and Transitional Provisions) Act 2024 prescribed by the transitional rules under subitem (11)

•

A provision of a legislative instrument made under the Aged Care (Consequential and Transitional Provisions) Act 2024. Prescribed by the transitional rules under subitem (11).

System Governor is treated as having taken administrative action

Subitem (4) provides that administrative action taken by the operation of a computer program under an arrangement under subitem (1) is treated, for all purposes, as administrative action taken by the System Governor.

Substituted actions

Subitem (5) provides that the System Governor may take administrative action (the substituted action) in substitution for administrative action the System Governor is treated as having taken under subitem (4) if the System Governor is satisfied that the administrative action taken by the operation of the computer program is not correct. This provides a safeguard to ensure that if a computer program is not operating correctly or has made a decision that the System Governor considers is wrong, the decision can be substituted by the System Governor without the need for formal review.

Subitem (6) clarifies that the substituted action takes effect on:

•

if the System Governor specifies the day on which the substituted action takes effect (which may be earlier than the day the substituted action is taken)—that specified day; or

•

otherwise—the day of the administrative action taken by the operation of the computer program.

Subitem (7) provides that the day specified under paragraph (6)(a) may be earlier than the day the substituted action is taken, but not earlier than the day of the administrative action taken by the operation of the computer program.

System Governor may still take administrative action

Subitem (8) provides that an arrangement under subitem (1) does not prevent the System Governor from taking administrative action under the provisions referred to in subitem (3).

Subitem (9) provides that subitem (5) does not limit any other provision of the Aged Care (Consequential and Transitional Provisions) Act 2024 that provides for the review or reconsideration of administrative action.

Arrangement not a legislative instrument

Subitem (10) clarifies that an arrangement under subitem (1) is not a legislative instrument.

Rule-making power

Subitem (11) provides that the Minister may also include in the report any other information (other than personal information within the meaning of the Privacy Act 1988) about the operation of item 2 and this item in that period that the System Governor considers appropriate.

Item 3 – Oversight and safeguards for automation of administrative action

System Governor to ensure administrative action is action that could be validly taken

Subitem (1) requires the System Governor to take all reasonable steps to ensure that administrative action taken by the operation of a computer program under an arrangement under subitem 2(1) is administrative action that the System Governor could validly take under:

•

the Aged Care (Consequential and Transitional Provisions) Act 2024; or

•

A legislative instrument made under the Aged Care (Consequential and Transitional Provisions) Act 2024.

Subitem (2) provides that, without limiting subitem (1), the System Governor must do the things (if any) prescribed by rules made under subitem 2(11) for the purposes of this subitem.

The note under subitem (2) clarifies that an administrative action may still be invalid even if subitems (1) and (2) are complied with.

Subitem (3) clarifies that a failure to comply with subitem (1) or (2) does not affect the validity of the administrative action (or decision) taken by the operation of a computer program under an arrangement under subitem 2(1).

Notice to entities of substituted decisions

Subitem (4) provides that if, under subitem 2(5), the System Governor makes a decision in substitution for a decision the System Governor is treated as having taken under subitem 2(4), the System Governor must, within 14 days of the making of the substituted decision, give the entity that is the subject of the substituted decision written notice of the substituted decision.

Subitem (5) provides that the must include how the entity may apply for reconsideration of the substituted decision.

Subitem (6) provides that a failure to comply with subitem (4) or (5) does not affect the validity of the substituted decision.

Publication

Subitem (7) provides that if the System Governor makes an arrangement under subitem 2(1) in relation to particular provisions of the Aged Care (Consequential and Transitional Provisions) Act 2024 or of a legislative instrument made under the Aged Care (Consequential and Transitional Provisions) Act 2024, the System Governor must cause a statement to be published on the Department's website:

•

to the effect that the System Governor has made such an arrangement; and

•

setting out those particular provisions.

Details in annual report

Subitem (8) provides that the System Governor, when preparing the Department's annual report under section 46 of the Public Governance, Performance and Accountability Act 2013 for a period, must include the following information in that report:

•

the total number of substituted actions taken by the System Governor under subitem 2(5) of the Aged Care (Consequential and Transitional Provisions) Act 2024 in that period;

•

The kinds of substituted actions taken;

•

The kinds of administrative action taken by the operation of the computer program that the System Governor was satisfied was not correct.

Subitem (9) provides that the System Governor may also include in the report any other information (other than personal information within the meaning of the Privacy Act 1988) about the operation of item 1 and this item in that period that the System Governor considers appropriate.

Subitems (8) and (9) are for transparency about the arrangements made for automated decision-making under the Aged Care (Consequential and Transitional Provisions) Act 2024.

Part 4—Modification of operation of Commonwealth aged care system during first 24 months

Aged Care (Consequential and Transitional Provisions) Act 2024

Item 30 – In the appropriate position

This item amends the Aged Care (Consequential and Transitional Provisions) Act 2024 to insert Schedule 5 within that Act.

Schedule 6—Modification of operation of Commonwealth aged care system during first 24 months

Item 1 – Definitions

Item 1 of schedule 6 inserts the following definitions:

modify the operation of the provisions of an Act or instrument includes modify that operation by notionally adding, omitting or substituting text.

Note: Examples of modifying the operation of the provisions of an Act or instrument by notionally adding, omitting or substituting text include notionally adding, omitting or substituting:

•

words in a provision; or

•

part of a provision; or

•

a whole provision; or

•

a series or group of provisions.

new Act means the Aged Care Act 2024.

old law means any of the following laws:

•

the Aged Care Act 1997;

•

the Aged Care Quality and Safety Commission Act 2018;

•

the Aged Care (Transitional Provisions) Act 1997;

•

an instrument made under any of those Acts.

transition time means the time the new Act commences.

Item 2 – Modification of operation of Commonwealth aged care system during first 24 months

Item 2 of Schedule 6 empowers the Minister, by legislative instrument, to make rules which modify the operation of the Commonwealth aged care system during the first 24 months, beginning on the day after the rules are made or earlier if specified in those rules.

This clause provides a rule making power which allows the Minister to take action to ensure that the Aged Care Act 2024 functions with the intended effect of providing funded aged care services to individuals, following its commencement.

This rule making power will be utilised to ensure continuity and operability in relation to care provided under the old and new law, despite transition. The foremost reason for this provision is to serve as a failsafe which ensures that the Minister is empowered to act swiftly to address the impact that unintended or unforeseen circumstances may have on the operation of the new Commonwealth aged care system, as interruption to these critical services may result in significant detriment to the older persons who rely upon them.

Further, this rule making power is intended to ensure that technical matters, such as the payment of certain forms of subsidy to registered providers in respect of older persons, which may be unrealised at the time of commencement, may be dealt with by the Minister in accordance with the expected outcome. The Minister's legislative power has been appropriately confined as the clause contains controls which ensure that the power may only be exercised where the Minister is satisfied that it is necessary or appropriate to do so. Further, any rules made may only modify the effect of legislation that is related to the Commonwealth aged care system. This means that any rules must only contemplate matters which are related in a material way to the provision and support of Commonwealth-funded aged care to individuals. Notably, such rules cannot provide for conviction or pecuniary penalties as a result of their operation.

While the modification power enables delegated legislation to alter or override the operation of the primary law, the scope for any delegated legislation created pursuant to the Minister's power is confined in effect to matters that address inconsistencies with the introduction of the new law or the Commonwealth aged care system. Given the scope of the Commonwealth aged care system, the significance of the care provided under this system to individuals, their families, and registered providers, and the breadth of legislative reform, this provision is intended to resolve issues that cannot be reasonably predicted and require minor technical and operational amendments to maintain or give proper effect.

These provisions are time limited, both in relation to the period in which they may be exercised and in the period of effect of any rules made through that exercise. This power to make rules may only be exercised for the first 24 months of operation of the new Act. This provides time for unforeseen and unintended matters to arise and to be promptly addressed over a period of time commensurate with the broad scale of the aged care reforms which the new Act supports and the complexity of the aged care system itself. Secondly, any rules made through the exercise of this power are automatically repealed at the end of 24 months after they are made, or at such earlier time as the rules require. This ensures that the rules are in effect only for a period of time which allows the Commonwealth and associated stakeholders, such as registered providers, to work with the new Act and identify critical issues requiring substantive legislative reform. Notably, this is aligned with the policy approach for the time allowed for registered providers to make a variation of a claim for subsidy. Finally, the limited period of operation is intended to cause any significant matters requiring further legislative reform to be brought before the Parliament where ongoing legislative repair is required to address those matters which have come to light during implementation of the new aged care system.

Ultimately, any legislative instrument made by the Minister is disallowable by Parliament, which ensures that there is appropriate Parliamentary scrutiny and oversight of any exercise of legislative power under this provision by the Minister.

Subitem (1) provides that if the Minister is satisfied that it is necessary or appropriate to do so, the Minister may, by legislative instrument, make rules that alter the operation of any aspect of the Commonwealth aged care system by:

•

modifying the operation of the provisions of the new Act, this Act (other than this Schedule) or any other Act or instrument; or

•

saving (with or without modifications) specified provisions of the old law.

This power requires the Minister to have some objective basis for being satisfied that the making of rules which alter the operation of the Commonwealth aged care system is necessary or appropriate in the particular circumstance. It would not empower the Minister to make rules where it is merely convenient to do so, or to use the rules to take action in any given circumstances – the making of rules must be either requisite or suitable and fitting to achieve the purpose or outcome for the Commonwealth aged care system.

The use of the expression 'Commonwealth aged care system' reflects the objects of the new Act (see sections 5(d) and 5(g)). It is a broad expression that includes any person or activity that is, or will be, regulated by the Commonwealth in relation to aged care. The expression covers the delivery, funding, regulation and operation of Commonwealth-funded aged care, specifically in relation to the older individuals who access those services.

Subitem (1) also provides four examples of when the rules may modify the operation of the aged care system. These examples are intended to illustrate the kinds of matters that have the potential to arise that may be addressed by the rules but are not an exhaustive list.

Subitem (2) provides that without limiting paragraph (1)(a), modifications made by the rules may be expressed to apply generally or in relation to a specified person or class of persons.

Subitem (3) provides that without limiting subitem (1), the rules may include application, saving or transitional provisions relating to any modifications or savings made by those rules.

Expiry of rules

Subitem (4) provides that the rules made under subitem (1) are repealed:

•

at the end of the period of 24 months beginning on the day after the rules are made; or

•

if the rules specify an earlier time—at the specified earlier time.

Time limit on making rules

Subitem (5) provides that rules must not be made under subitem (1) after the end of the period of 24 months beginning on the day this subitem commences.

Retrospective effect of rules

Subitem (6) provides that despite subsection 12(2) of the Legislation Act 2003 and subject to subitem (7), rules made under subitem (1) may be expressed to take effect from a date before the rules are registered under that Act.

Rules that would be made under this item are expressly excluded from the application of subsection 12(2) of the Legislation Act and may commence retrospectively. Retrospective application is necessary and appropriate to allow the Minister to address matters arising from unforeseen circumstances which adversely affect the operation of the new aged care system, where the impact of those matters is not known until after it has occurred.

The scope for retrospective application of the rules provides the Commonwealth with the ability to account for disadvantageous outcomes for individuals and providers, or for the functionality of the aged care system. Given the scope of the legislative reform involved in the commencement of the Aged Care Act 2024, and the significance of the impact of this reform on individuals, a flexible rule making power is adapted and proportionate.

Subsection 12(2) is disregarded because there may be circumstances where the rules contemplate subject matter that affect a person's rights or the imposes a liability. For example, this may be necessary should it become apparent that a cohort of individuals who are intended to be eligible for a supplement or subsidy to be paid on their behalf are inadvertently made ineligible by the operation of the new Act. Should this occur, it is likely to be necessary to retrospectively adjust the operation of those provisions to first grant eligibility to the affected individuals, and then to give effect to such payments as are required (noting that this may necessitate retrospective effect) to fully address the matters identified. Alternatively, an individual may be determined as eligible for a funded aged care service which has been both paid for by a subsidy and under the terms of a grant – a scenario which is not intended to be able to occur under the new Act. Should these circumstances arise, this is likely to result in disadvantage to the individual as the operation of the rules would allow for the dealing with or the recovery of overpayments. This subitem is limited in effect by the below subitem.

Subitem (7) provides that if:

•

rules made under subitem (1) are expressed to take effect from a date before the rules are registered under the Legislation Act 2003; and

•

a person engaged in conduct before the registration date; and

•

but for the retrospective effect of the rules, the conduct would not have contravened a provision of an Act;

then a court must not convict the person of an offence, or order the person to pay a pecuniary penalty, in relation to the conduct on the grounds that it contravened a provision of that Act.

Relationship with other provisions

Subitem (8) provides that neither of the following limit the rules that may be made under subitem (1), which includes:

•

section 602 of the new Act;

•

anything in the Aged Care (Consequential and Transitional Provisions) Act 2024.

Part 5—Delegation

Aged Care (Consequential and Transitional Provisions) Act 2024

Item 31 – [DEL321] In the appropriate position

This item amends the Aged Care (Consequential and Transitional Provisions) Act 2024 to insert Schedule 7 within that Act.

Schedule 7—Delegation

Item 1 – Definitions

Item 1 of schedule 7 inserts the following definitions:

Chief Executive Centrelink has the same meaning as in the Human Services (Centrelink) Act 1997.

Chief Executive Medicare has the same meaning as in the Human Services (Medicare) Act 1973.

System Governor means the Secretary of the Department.

The purpose of including a definition of Chief Executive Centrelink and Chief Executive Medicare is to clarify that the meaning is the same as in the Human Services (Centrelink) Act 1997.

These definitions are relevant to the delegation framework in the Bill, which enables the System Governor to delegate all or any of the System Governor's functions or powers under this Act (other than Parts 2 to 9 of Chapter 6 (regulatory mechanisms) to the Chief Executive Centrelink and Chief Executive Medicare.

The purpose of including a definition of System Governor in the Bill is similarly required for the operations of the delegation's framework and the aged care system more broadly. The definition assists in making clear the functions and powers of the Secretary of the Department, and in turn what may be delegated under the Act.

Item 2 – Delegation—general

Item 2 of schedule 7 provides for the System Governor to delegate their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024, or a legislative instrument made under that Act.

Subitem (1) provides that the System Governor may by written instrument delegate all or any of their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024, or a legislative instrument made under that Act, to a person engaged (whether as an employee or otherwise) by the Department.

The note following subitem (1) clarifies that sections 34AA to 34A of the Acts Interpretation Act 1901 contain provisions relating to delegations.

Delegation to holders of specified non SES offices or positions

Subitem (2) provides that before subdelegating a function or power under subitem (1) to an APS employee in the Department holding, occupying, or performing the duties of a specified office or position that is not an SES office or position, the System Governor must have regard to whether the office or position is sufficiently senior for the employee to perform the function or exercise the power.

Delegation to persons who are not APS employees

Subitem (3) provides that before delegating a function or power under subitem (1) to a person who is not an APS employee, the System Governor must have regard to whether the person has appropriate qualifications or expertise to perform the function or exercise the power.

Limitation—automation of administrative action

Subitem (4) provides that the System Governor may only delegate a function or power under subitem 2(1) of Schedule 5 (which deals with automation of administrative action) to an APS employee who is holding, occupying, or performing the duties of an SES office or position in the Department.

Item 3 – Delegation to the Chief Executive Centrelink

Item 3 of schedule 7 provides for the System Governor to delegate their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024, or a legislative instrument made under that Act, to the Chief Executive Centrelink.

Subitem (1) provides that the System Governor may by written instrument delegate any of their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024 to the Chief Executive Centrelink.

Subdelegation

Subitem (2) provides that, subject to subitem (5), the Chief Executive Centrelink may by written instrument subdelegate a power or function delegated to them by the System Governor under subitem (1), to a person engaged (whether as an employee or otherwise) by Services Australia.

Subdelegation to holders of specified non-SES offices or positions

Subitem (3) provides that before subdelegating a function or power under subitem (2) to an APS employee in Services Australia holding, occupying, or performing the duties of a specified office or position that is not an SES office or position, the Chief Executive Centrelink must have regard to whether the office or position is sufficiently senior for the employee to perform the function or exercise the power.

Subdelegation to persons who are not APS employees

Subitem (4)provides that before subdelegating a function or power under subitem (2) to a person who is not an APS employee in Services Australia, the Chief Executive Centrelink must have regard to whether the person has appropriate qualifications or expertise to perform the function or exercise the power.

Limitation—automation of administrative action

Subitem (5) provides that the Chief Executive Centrelink may only subdelegate a function or power under subitem 2(1) of Schedule 5 (which deals with automation of administrative action) to an APS employee who is holding, occupying, or performing the duties of an SES office or position in Services Australia.

Item 4 – Delegation to the Chief Executive Medicare

Item 4 of schedule 7 provides for the System Governor to delegate their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024, or a legislative instrument made under that Act, to the Chief Executive Medicare.

Subitem (1) provides that the System Governor may by written instrument delegate any of their functions or powers under the Aged Care (Consequential and Transitional Provisions) Act 2024 to the Chief Executive Medicare.

Subdelegation

Subitem (2) provides that, subject to subitem (5), the Chief Executive Centrelink may by written instrument subdelegate a power or function delegated to them by the System Governor under subitem (1), to a person engaged (whether as an employee or otherwise) by Services Australia.

Subdelegation to holders of specified non-SES offices or positions

Subitem (3) provides that before subdelegating a function or power under subitem (2) to an APS employee in Services Australia holding, occupying, or performing the duties of a specified office or position that is not an SES office or position, the Chief Executive Medicare must have regard to whether the office or position is sufficiently senior for the employee to perform the function or exercise the power.

Subdelegation to persons who are not APS employees

Subitem (4) provides that before subdelegating a function or power under subitem (2) to a person who is not an APS employee in Services Australia, the Chief Executive Medicare must have regard to whether the person has appropriate qualifications or expertise to perform the function or exercise the power.

Limitation—automation of administrative action

Subitem (5) provides that the Chief Executive Medicare may only subdelegate a function or power under subitem 2(1) of Schedule 5 (which deals with automation of administrative action) to an APS employee who is holding, occupying, or performing the duties of an SES office or position in Services Australia.

Item 5 – Delegations in relation to specified kinds of matters

Item 5 of schedule 7 provides that, without limiting this Schedule or subsection 33(3A) of the Acts Interpretation Act 1901, a power or function may be delegated or subdelegated generally or only in relation to specified kinds of matters.

Item 6 – Subdelegation

Item 6 of schedule 7 provides that sections 34AA, 34AB and 34A of the Acts Interpretation Act 1901 apply in relation to a subdelegation in the same way to the way in which they apply to a delegation.

Item 7 – Complying with directions

Item 7 of schedule 7 provides that in exercising powers or performing functions delegated or subdelegated by a person under this Schedule, the delegate or subdelegate must comply with any directions of the person.

SCHEDULE 3 — AMENDMENTS OF OTHER ACTS

Aged Care (Accommodation Payment Security) Act 2006

Item 1 – Section 3 (paragraph beginning "In certain circumstances")

This Item replaces the term 'approved provider' with 'registered provider' in the paragraph beginning "In certain circumstances" in the simplified outline and reflects the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 2 – Section 3 (paragraph beginning "Any rights")

This Item replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' in the paragraph beginning "Any rights" in the simplified outline and reflects the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 3 – Section 3 (paragraph beginning "The Commonwealth")

This Item replaces the term 'approved provider' with 'registered provider' in the paragraph beginning "The Commonwealth" in the simplified outline and reflects the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 4 - Subsection 6(1) (definition of accommodation bond )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and to refer to where this term is defined in the new Act. The intent and application is unchanged.

Item 5 - Subsection 6(1) (definition of accommodation bond balance )

Item AP7 amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and to refer to where this term is defined in the new Act. The intent and application is unchanged.

Item 6 – Subsection 6(1)

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to insert a definition of 'approved residential care home', which has the same meaning as in the new Act, and reflects the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 7 - Subsection 6(1) (definition of entry contribution )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and to refer to where this term is defined in the rules made under the Aged Care Act 2024. The intent and application is unchanged.

Item 8 - Subsection 6(1) (definition of entry contribution balance )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and refer to where this term is defined in the Aged Care Act 2024. The intent and application is unchanged.

Item 9 - Subsection 6(1) (definition of formal agreement )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and refer to where this term is defined in the rules made under the Aged Care (Consequential and Transitional Provisions) Act 2024. The intent and application is unchanged.

Item 10 – Subsection 6(1)

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to insert a definition of 'funded aged care service', which has the same meaning as in the new Act.

Item 11 - Subsection 6(1) (definition of insolvency event )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' where it first occurs in the definition of 'insolvency event' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 12 - Subsection 6(1) (definition of insolvency event )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces 'approved provider or former approved provider' with 'registered provider or former registered provider' in the definition of 'insolvency event' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 13 - Subsection 6(1) (definition of insolvency event )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' in the definition of 'insolvency event' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 14 - Subsection 6(1) (at the end of the definition of insolvency event )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to insert two additional events within the definition of an 'insolvency event'. This amendment reflects the broader range of entities eligible to become a registered provider under the new Act than under the repealed Aged Care Act 1997.

Item 15 - Subsection 6(1) (definition of provisional allocation )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to repeal the definition of provisional allocation, as this concept is not used within the new Act.

Item 16 - Subsection 6(1) (definition of refundable deposit balance )

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and to refer to where this term is defined in the Aged Care (Consequential and Transitional Provisions) Act 2024. The intent and application is unchanged.

Item 17 – Subsection 6(1)

This Item amends subsection 6(1) of the Aged Care (Accommodation Payment Security) Act 2006 to insert a definition of 'registered provider', which has the same meaning as in the new Act.

Item 18 – Subsection 6(2)

This Item amends subsection 6(2) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 19 – Paragraph 6(2)(aa)

This Item amends paragraph 6(2)(aa) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the old Act and to refer to the equivalent section within the new Act, under which rules are to be made which relate to the circumstances in which refundable deposit balances must be refunded. The intent and application is unchanged.

Item 20 – Subparagraphs 6(2)(b)(i) and (iii)

This Item repeals subparagraphs 6(2)(b)(i) and (iii) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces them with new subparagraphs:

"(i) for accommodation bond balances—the rules made under the Aged Care Act 2024; or

(iii) for entry contribution balances—a formal agreement applying in respect of the balance, and"

to refer to where these terms are defined under the rules made under the new Act or Aged Care (Consequential and Transitional Provisions) Act 2024. This amendment is required to ensure the continued operation of these provisions by referring to the circumstances and timeframes in which an accommodation bond balance or entry contribution balance must be refunded to an individual. The intent and application is unchanged.

Item 21 – Subparagraph 6(2)(c)(ii)

This Item repeals subparagraph 6(2)(c)(ii) of the Aged Care (Accommodation Payment Security) Act 2006 and inserts a new subparagraph which reflects the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 22 – After subsection 6(2)

This item amends section 6 of the Aged Care (Accommodation Payment Security) Act 2006 by inserting a new subsection following subsection 6(2A) which defines the funded aged care services relevant to the circumstances in which an unregulated lump sum must be refunded in line with updated concepts and terminology used within the new Act. The intent and application is unchanged.

Item 23 – Paragraph 6(3)(d)

This item amends paragraph 6(3)(d) of the Aged Care (Accommodation Payment Security) Act 2006 to substitute "was" in place of "is", to reflect that the circumstances referenced were to be in place prior to 1 January 2009. This is a technical correction only and the intent and application is unchanged.

Item 24 – At the end of subsection 6(3)

This item amends section 6 of the Aged Care (Accommodation Payment Security) Act 2006 by inserting a note following subsection 6(3) which informs the reader that unregulated lump sums cannot be paid under the new Act but may form part of an outstanding accommodation payment balance. The intent and application is unchanged.

Item 25 – At the end of Part 1

This item inserts a new clause, clause 6A, at the end of Part 1 of the Aged Care (Accommodation Payment Security) Act 2006 which provides that an expression used in provision of Aged Care (Accommodation Payment Security) Act 2006 and in the Aged Care Act 1997 has the same meaning in that provision as it had in the Aged Care Act 1997 immediately before the commencement of the new Act. In addition, the new clause provides that a reference to a registered provider is taken to include an approved provider or former approved provider, as relevant. This amendment is required to ensure that relevant terms are defined to support the ongoing application and intent of the Aged Care (Accommodation Payment Security) Act 2006. The intent and application is unchanged.

Item 26 – Subsection 7(1)

This item amends subsection 7(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 27 – Paragraph 7(1)(a)

This item repeals and replaces paragraph 7(1)(a) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the circumstances provided for in paragraph 7(1)(b) are now provided for within the definition of an 'insolvency event' within subsection 6(1).

Item 28 – Paragraph 9(1)(a)

This item amends paragraph 9(1)(a) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 29 – Paragraph 9(1)(b)

This item amends paragraph 9(1)(b) of the Aged Care (Accommodation Payment Security) Act 2006 to include reference to paragraphs (h) and (i) inserted by the operation of Item 14 of this Schedule. The intent and application is unchanged.

Item 30 – Paragraph 9(2)(a)

This item amends paragraph 9(2)(a) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider' with 'registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 31 – Paragraph 9(2)(b)

This item amends paragraph 9(2)(b) of the Aged Care (Accommodation Payment Security) Act 2006 to include reference to paragraphs (h) and (i) inserted by the operation of Item 14 of this Schedule. The intent and application is unchanged.

Item 32 – Paragraph 10(1)(a)

This item amends paragraph 10(1)(a) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'an approved provider (the approved provider or former approved provider)' with 'a registered provider (the registered provider or former registered provider)' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 33 – Paragraph 10(1)(b)

This item amends paragraph 10(1)(b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 34 – Paragraphs 10(2)(b) and (c)

This item amends paragraphs 10(2)(b) and (c) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 35 – Paragraphs 11(1)(a) and (b)

This Item amends paragraphs 11(1)(a) and (b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 36 – Subsection 12(1)

This Item amends subsection 12(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term an approved provider (the approved provider or former approved provider)' with 'a registered provider (the registered provider or former registered provider)' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 37 – Paragraphs 12(1)(a) and (b)

This Item amends paragraphs 12(1)(a) and (b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 38 – Paragraph 12(2)(c)

This Item amends paragraph 12(2)(c) of the Aged Care (Accommodation Payment Security) Act 2006 to reflect the repeal of the Fees and Payments Principles made under the old Act and to refer to the equivalent rules made for the purposes of section 313 of the new Act, which relate to the manner in which interest on an outstanding amount is to be calculated. The intent and application is unchanged.

Item 39 – Paragraph 12(2)(d)

This Item amends paragraph 12(2)(d) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 40 – Paragraphs 12(3)(b) and (c)

This Item amends paragraphs 12(3)(b) and (c) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 41 – Subsection 13(1)

This Item amends subsection 13(1) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'an approved provider (the approved provider or former approved provider)' with 'a registered provider (the registered provider or former registered provider)' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 42 – Paragraph 13(2)(b)

This Item amends paragraph 13(2)(b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 43 – Section 13A (heading)

This Item amends the heading of section 13A of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 44 – Paragraph 13A(1)(a)

This Item amends paragraph 13A(1)(a) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider (the approved provider or former approved provider)' with 'registered provider (the registered provider or former registered provider)' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 45 – Paragraphs 13A(1)(d) and (e)

This Item amends paragraphs 13A(1)(d) and (e) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 46 – Paragraph 13A(3)(b)

This Item amends paragraph 13A(3)(b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 47 – Paragraph 14(1)(b)

This Item amends paragraph 14(1)(b) of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 48 – Section 15

This Item amends section 15 of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 49 – Section 15 (note)

This Item amends the note following section 15 of the Aged Care (Accommodation Payment Security) Act 2006 and replaces the term 'approved provider or former approved provider' with 'registered provider or former registered provider' to reflect the updated concepts and terminology within the new Act. The intent and application is unchanged.

Airports Act 1996

Item 50 - Subsection 71A(3) (paragraph (a) of the definition of community care facility )

This Item amends subsection 71A(3) of the Airports Act 1996 to omit "aged care" and substitute "funded aged care services" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 51 - Subsection 71A(3) (paragraph (a) of the definition of community care facility )

This Item amends subsection 71A(3) of the Airports Act 1996 to omit "1997" and substitute "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 52 - Subsection 71A(3) (paragraph (c) of the definition of community care facility )

This Item amends subsection 71A(3) of the Airports Act 1996 to omit "1991;" and substitute "1991." to reflect the repeal paragraph (d) of the definition of community care facility.

Item 53 - Subsection 71A(3) (paragraph (d) of the definition of community care facility )

This Item amends subsection 71A(3) of the Airports Act 1996 to repeal paragraph (d) of the definition of community care facility as a respite care facility would now fall under the amended paragraph 71A(3)(a).

A New Tax System (Goods and Services Tax) Act 1999

The amendments to the A New Tax System (Goods and Services Tax) Act 1999 support the operation of the Aged Care Act 2024. Generally, these amendments preserve the GST treatment that applied under the A New Tax System (Goods and Services Tax) Act 1999 prior to the commencement of the new Act on 1 November 2025, while modernising language to align with the new Act.

This approach is consistent with the general principle under section 11 of the A New Tax System (Managing the GST Rate and Base) Act 1999 and section 1-3 of the A New Tax System (Goods and Services Tax) Act 1999 that there would be no change to the GST base or rate unless each State and Territory agrees to the change.

Item 54 – Paragraph 38-25(1)(a)

This Item amends paragraph 38-25(1)(a) of A New Tax System (Goods and Services Tax) Act 1999 to omit "Schedule 1 to the *Quality of Care Principles" and substitute with "a provision of the *aged care service list specified in regulations made for the purposes of this paragraph" to reflect the repeal of the Quality of Care Principles 2014. References to the Quality of Care Principles 2014 have been replaced with a regulation making power. The intention of the regulation making power is to provide a mechanism that ensures consistent GST treatment between how concepts are framed in the new Act and the former Act. This regulation making power allows for the specification of appropriate services from among those that are included in the aged care service list, which, at the time of preparing the primary law amendments, have not been legislated. A regulation making power is necessary and appropriate in this instance to ensure that there are no unintended changes on commencement of the new Act and avoid any need for further changes to the A New Tax System (Goods and Services Tax) Act 1999 should the aged care service list be revised.

Item 55 – Paragraph 38-25(1)(b)

This Item amends paragraph 38-25(1)(b) of A New Tax System (Goods and Services Tax) Act 1999 to replace "through a residential care service (within the meaning of the Aged Care Act 1997)" with "at an *approved residential care home" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 56 – Paragraph 38-25(1)(c)

This Item amends paragraph 38-25(1)(c) of A New Tax System (Goods and Services Tax) Act 1999 to replace "an approved provider (within the meaning of that Act)" with "a registered provider (within the meaning of the Aged Care Act 2024)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 57 – Paragraph 38-25(2)(b)

This Item amends paragraph 38-25(2)(b) of A New Tax System (Goods and Services Tax) Act 1999 to omit "Schedule 1 to the *Quality of Care Principles" and substitute with "a provision of the *aged care service list specified in regulations made for the purposes of this paragraph" to reflect the repeal of the Quality of Care Principles 2014. References to the specific items of the Quality of Care Principles 2014 have been replaced with a regulation making power. The intention of the regulation making power is to provide a mechanism that ensures consistent GST treatment between how concepts are framed in the new Act and the former Act. This regulation making power allows for the specification of appropriate services from among those that are included in the aged care service list, which at the time of preparing the primary law amendments, have not been legislated. A regulation making power is necessary and appropriate in this instance to ensure that there are no unintended changes on commencement of the new Act and avoid any need for further changes to the A New Tax System (Goods and Services Tax) Act 1999 should the aged care service list be revised.

Item 58 – Paragraph 38-25(3)(b)

This Item amends paragraph 38-25(3)(b) of A New Tax System (Goods and Services Tax) Act 1999 to omit "Schedule 1 to the *Quality of Care Principles" and substitute with "a provision of the *aged care service list specified in regulations made for the purposes of this paragraph" to reflect the repeal of the Quality of Care Principles 2014. References to the Quality of Care Principles 2014 have been replaced with a regulation making power. The intention of the regulation making power is to provide a mechanism that ensures consistent GST treatment between how concepts are framed in the new Act and the former Act. This regulation making power allows for the specification of appropriate services from among those that are included in the aged care service list, which at the time of preparing the primary law amendments, have not been legislated. A regulation making power is necessary and appropriate in this instance to ensure that there are no unintended changes on commencement of the new Act and avoid any need for further changes to the A New Tax System (Goods and Services Tax) Act 1999 should the aged care service list be revised.

Item 59 – Paragraphs 38-25(3)(c)

This Item amends paragraph 38-25(3)(c) of A New Tax System (Goods and Services Tax) Act 1999 to omit all the words after "set out" and substitute with "a provision of the *aged care service list specified in regulations made for the purposes of this paragraph" to reflect the repeal of the Quality of Care Principles 2014. References to specific services within the Quality of Care Principles 2014 have been replaced with a regulation making power. The intention of the regulation making power is to provide a mechanism that ensures consistent GST treatment between how concepts are framed in the new Act and the former Act. This regulation making power allows for the specification of appropriate services from among those that are included in the aged care service list, which at the time of preparing the primary law amendments, have not been legislated. A regulation making power is necessary and appropriate in this instance to ensure that there are no unintended changes on commencement of the new Act and avoid any need for further changes to the A New Tax System (Goods and Services Tax) Act 1999 should the aged care service list be revised.

Item 60 – Paragraph 38-25(3B)(b)

This Item amends paragraph 38-25(3B)(b) of A New Tax System (Goods and Services Tax) Act 1999 to replace "*Aged Care Secretary" with "*Aged Care System Governor" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 61 – Paragraph 38-25(4A)(c)

This Item amends paragraph 38-25(4A)(c)) of A New Tax System (Goods and Services Tax) Act 1999 to replace "*Aged Care Secretary" with "*Aged Care System Governor" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 62 – Subsection 38-25(5)

This Item amends subsection 38-25(5) of A New Tax System (Goods and Services Tax) Act 1999 to omit all the words after "is covered by "and substitute with "an extra service fee (within the meaning of the Aged Care Rules 2025) is only GST-free under this section to the extent that the services were covered by Schedule 1 to the Quality of Care Principles 2014 (as in force before the commencement of the Aged Care Act 2024) when the extra service agreement concerned was entered into." Extra service fees will no longer able to be charged from 1 November 2026, being 12 months from the commencement of the new Act. On commencement of the new Act, no new extra service fee agreements will be able to be entered into. Extra service agreements, under the new framework, are set to be replaced with higher everyday living agreements. Individuals with extra service fee agreements will be transitioned to higher everyday living fee agreements as the extra service fee agreements naturally expire. The amended provision is intended to maintain existing GST exemptions for extra service fee arrangements for the life of the relevant agreement. This provision will become obsolete for supplies that are made after 31 October 2026.

Item 63 – Subsection 38-30(1)

This Item amends subsection 38-30(1) of A New Tax System (Goods and Services Tax) Act 1999 to omit all the words after "is GST-free" and substitute with "if subsidy is payable under Division 1, 2 or 3 of Part 2 of Chapter 4 of the Aged Care Act 2024 to the supplier for the care" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 64 – Subsection 38-30(3)

This item amends subsection 38-30(3) of A New Tax System (Goods and Services Tax) Act 1999 to omit "*home" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 65 – Paragraph 38-30(3)(b)

This Item amends paragraph 38-30(3)(b) of A New Tax System (Goods and Services Tax) Act 1999 to omit "item 2.1 (daily living activities assistance) of Part 2 of Schedule 1 to the *Quality of Care Principles" and substitute with "a provision of the *aged care service list specified in regulations made for the purposes of this paragraph". References to specific services within the Quality of Care Principles 2014 have been replaced with a regulation making power. The intention of the regulation making power is to provide a mechanism that ensures consistent GST treatment between how concepts are framed in the new Act and the former Act. This regulation making power allows for the specification of appropriate services from among those that are included in the aged care service list, which at the time of preparing the primary law amendments, have not been legislated. A regulation making power is necessary and appropriate in this instance to ensure that there are no unintended changes on commencement of the new Act and avoid any need for further changes to the A New Tax System (Goods and Services Tax) Act 1999 should the aged care service list be revised.

Item 66 – Paragraph 38-30(4)(b)

This Item amends paragraph 38-30(4)(b) of A New Tax System (Goods and Services Tax) Act 1999) to omit "to be similar to a supply that is GST-free because of subsection (2)" and substitute with "for the purposes of this paragraph". This is intended to allow for use of this provision without reliance on the use of the Home and Community Care Act 1985.

Item 67 – Section 38-35

This Item replaces section 38-35 of A New Tax System (Goods and Services Tax) Act 1999 with:

38-35 Specialist aged care programs

A supply of a funded aged care service (within the meaning of the Aged Care Act 2024) is GST-free if subsidy for a specialist aged care program is payable under Division 5 of Part 2 of Chapter 4 of that Act to the supplier for the care.

This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 68 – Section 177-11 (heading)

This Item amends section 177-11 (heading) of A New Tax System (Goods and Services Tax) Act 1999 to replace "*Aged Care Secretary" with "*Aged Care System Governor" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 69 – Section 177-11

This Item amends section 177-11 of A New Tax System (Goods and Services Tax) Act 1999 to replace "*Aged Care Secretary may" with "*Aged Care System Governor may" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 70 – Paragraph 177-11(a)

This Item amends paragraph 177-11(a) of A New Tax System (Goods and Services Tax) Act 1999 to replace "Aged Care Secretary of functions under subsection 962(5) of the Aged Care Act 1997" with "Aged Care System Governor of functions under Division 1 of Part 3 of Chapter 8 of the Aged Care Act 2024" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 71 – Subparagraph 177-11(b)(ii)

This Item amends subsection 177-11(b)(ii) of A New Tax System (Goods and Services Tax) Act 1999 to replace "*Secretary" with "*System Governor" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 72 - Section 195-1 (definition of Aged Care Minister )

This Item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to replace "Aged Care Act 1997" with "Aged Care Act 2024" in the definition of Aged Care Minister to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 73 - Section 195-1 (definition of Aged Care Secretary )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to repeal the definition of Aged Care Secretary to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 74 – Section 195-1

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to insert new definitions for the following terms:

aged care service list means the list of services prescribed in the rules made under the Aged Care Act 2024 for the purposes of section 8 of that Act.

Aged Care System Governor means the System Governor (within the meaning of the Aged Care Act 2024).

approved residential care home has the meaning given by section 7 of the Aged Care Act 2024.

This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 75 - Section 195-1 (definition of home care )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to repeal the definition of home care to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 76 - Section 195-1 (definition of Quality of Care Principles )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to repeal the definition of Quality of Care Principles to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 77 - Section 195-1 (definition of residential care service )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to repeal the definition of residential care service to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 78 - Section 195-1 (paragraph (d) of the definition of retirement village )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to repeal and replace paragraph (d) under the definition of retirement village with "(d) *an approved residential care home;" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 79 - Section 195-1 (paragraph (a) of the definition of serviced apartment )

This item amends section 195-1 of A New Tax System (Goods and Services Tax) Act 1999 to omit all the words after "who require" and substitute with "the services set out in a provision of the *aged care service list specified in regulations made for the purposes of this paragraph" under the definition of serviced apartment to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006

Item 80 - Subsection 4(1) (paragraph (a) of the definition of hospital or other institution )

This item amends the definition of hospital or other institution in paragraph 4(1)(a) of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 to omit "residential care service (within the meaning of the Aged Care Act 1997)" and substitute with "an approved residential care home (within the meaning of the Aged Care Act 2024)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 81 – Section 13A

This item amends section 13A of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 to omit "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" and substitute with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 82 – Paragraph 16(4A)(b)

This item amends paragraph 16(4A)(b) of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 to omit "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" and substitute with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and updated concepts and refer to the relevant provisions within the new Act. The intent and application is unchanged.

Item 83 – Transitional—continuity of arrangements

This item provides that the amendment of the definition of hospital or other institution in subsection 4(1) of the Australian Participants in British Nuclear Tests and British Commonwealth Occupation Force (Treatment) Act 2006 made by this Schedule does not affect the continuity of any arrangement entered into in accordance with section 15 of that Act that was in force immediately before the commencement of this item. This is to ensure there is no disruption to current arrangements.

Child Support (Registration and Collection) Act 1988

Item 84 - Subsection 16AB(3) (paragraph (c) of the definition of designated program Act )

This item amends subsection 16AB(3) of the Child Support (Registration and Collection) Act 1988 to omit and substitute Aged Care Act 1997 with Aged Care Act 2024 under the definition of designated program Act to reflect the repeal of the old Act. The intent and application is unchanged.

Item 85 – Saving provision

This item provides for the continued function of section 16AB of the Child Support (Registration and Collection) Act 1988 to apply on and after the commencement of this item as if a reference in paragraph 16AB(3)(c) of the definition of designated program Act in subsection 16AB(3) of that Act to the Aged Care Act 2024 included a reference to the former Aged Care Act 1997. This is required due to the repeal of the old Act and to ensure proper continued function of this provision.

Health and Other Services (Compensation) Act 1995

Item 86 - Subsection 3(1) (paragraph (b) of the definition of eligible benefit )

This item repeals paragraph (b) of the definition of eligible benefit in section 3(1) of the Health and Other Services (Compensation) Act 1995 which references a nursing home benefit, due to the repeal of the old Ac t, as this concept is not used within the new Act. The intent and application is unchanged.

Item 87 - Subsection 3(1) (definition of home care )

This item repeals the definition of home care in section 3(1) of the Health and Other Services (Compensation) Act 1995 and substitutes with 'a funded aged care service (within the meaning of the Aged Care Act 2024) delivered in a home or community setting (within the meaning of that Act)' to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 88 - Subsection 3(1) (definition of home care subsidy )

This item repeals the definition of home care subsidy in section 3(1) of the Health and Other Services (Compensation) Act 1995 and substitutes with 'a person-centred subsidy or provider-based subsidy for the service group home support under the Aged Care Act 2024' to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 89 - Subsection 3(1) (definition of nursing home benefit )

This item repeals the definition of nursing home benefit in section 3(1) of the Health and Other Services (Compensation) Act 1995 to reflect the repeal of the old Act and the concept not being used within the new Act. The intent and application is unchanged.

Item 90 - Subsection 3(1) (definition of nursing home care )

This item repeals the definition of nursing home care in section 3(1) of the Health and Other Services (Compensation) Act 1995 to reflect the repeal of the old Act and the concept not being used within the new Act. The intent and application is unchanged.

Item 91 - Subsection 3(1) (definition of residential care )

This item repeals the definition of residential care in section 3(1) of the Health and Other Services (Compensation) Act 1995 and substitutes with 'a funded aged care service (within the meaning of the Aged Care Act 2024) delivered in a residential setting (within the meaning of that Act).' to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 92 - Subsection 3(1) (definition of residential care subsidy )

This item repeals the definition of residential care subsidy in section 3(1) of the Health and Other Services (Compensation) Act 1995 and substitutes with 'a person-centred subsidy or provider-based subsidy for the service group residential care under the Aged Care Act 2024' to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 93 – Division 2 of Part 2 (heading)

This item amends the heading of Division 2 of Part 2 of the Health and Other Services (Compensation) Act 1995 to omit "nursing home benefit, residential" and substitute "Residential" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 94 – Section 9 (heading)

This item amends the heading of section 9 of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 95 – Paragraph 9(1)(b)

This item amends paragraph 9(1)(b) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 96 – Subsection 9(2A)

This item amends subsection 9(2A) of the Health and Other Services (Compensation) Act 1995 to omit "Part 3.1 of the Aged Care Act 1997 and Part 3.1 of the Aged Care (Transitional Provisions) Act 1997", and substitute with "Part 2 of Chapter 4 of the Aged Care Act 2024". to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 97 – Subsection 9(3)

This item amends subsection 9(3) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" wherever it occurs to reflect the repeal of the old Act and this concept not being used within the New Act.

Item 98 – Subsection 9(3)

This item amends subsection 9(3) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home benefit" wherever it occurs to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 99 – Section 10 (heading)

This item amends the heading of section 10 of the Health and Other Services (Compensation) Act 1995 to omit "nursing home benefit" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 100 – Subsection 10(1)

This item amends subsection 10(1) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" wherever it occurs to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 101 – Subsection 10(1)

This item amends subsection 10(1) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home benefit" wherever it occurs to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 102 – Subsection 10(3)

This item amends subsection 10(3) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home expenses" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 103 – Paragraph 17(1)(b)

This item amends paragraph 17(1)(b) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 104 – Subparagraph 21(7)(b)(ii)

This item amends subparagraph 21(7)(b)(ii) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 105 – Paragraph 23(5)(b)

This item amends paragraph 23(5)(b) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 106 – Paragraphs 23(7)(b) and (c)

This item amends paragraphs 23(7)(b) and (c) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care needs" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 107 – Subsection 23B(5)

This item amends subsection 23B(5) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 108 – Subparagraph 24(9)(b)(ii)

This item amends subparagraph 24(9)(b)(ii) of the Health and Other Services (Compensation) Act 1995 to omit "nursing home care" to reflect the repeal of the old Act and this concept not being used within the new Act.

Item 109 – Paragraph 42(1)(f)

This item amends paragraph 42(1)(f) of the Health and Other Services (Compensation) Act 1995 to omit all the words after "Minister administering", and substitute with "the Aged Care Act 2024 should make a determination under subsection 199(3), 207(3), 216(3), 225(3), 233(3) or 241(3) of that Act" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Healthcare Identifiers Act 2010

The amendments to the Healthcare Identifiers Act 2010 (Healthcare Identifiers Act) enable healthcare identifiers and other identifying information to be used in relation to the delivery of health and aged care and other support services, including the delivery of disability services, and for health-related and health administration purposes.

The objective of the Healthcare Identifiers Act is to uniquely identify healthcare recipients, healthcare practitioners and healthcare provider organisations, to facilitate the accurate matching of health information to the individuals receiving care and the providers delivering care. Accurate identification and matching of information to the right individual is fundamental to an interoperable health system, where information follows a patient wherever they present, and whether they access primary or acute care and public or private health services.

Consultation to inform reform of the healthcare identifiers legislative framework identified that healthcare identifiers are not being used to their full potential to provide the foundational element of a connected care system – that is the ability to uniquely identify all consumers and providers interacting with the health system. Barriers to the use of healthcare identifiers cited during consultation include the current narrowly prescriptive approach to authorisations for entities to use healthcare identifiers. Stakeholders provided feedback that clear authorisations for relevant entities to use healthcare identifiers related to the delivery and administration of health care would support enhanced use and adoption.

Existing authorisations were drafted narrowly, to address concerns that healthcare identifiers may provide access and risk to sensitive health information. However, the Healthcare Identifiers Act does not provide authorisation to access health information. Rather, it authorises the handling of healthcare identifiers and the identifying information associated with that identifier for the purpose of communicating or managing health information. The effect of the authorisations under the Healthcare Identifiers Act is that where an entity is otherwise authorised to handle health information, they may associate healthcare identifiers with that information. This then helps to ensure that information about a consumer is able to be accurately matched across different data sets, and securely and confidently shared across different care settings to the right provider.

Healthcare identifiers have successfully underpinned a number of digital health capabilities, such as the My Health Record system, electronic prescriptions and the Australian Immunisation Register. There is increased recognition that the widespread use of healthcare identifiers to support health information sharing will contribute to better health outcomes for consumers, as it will support capabilities to facilitate near real-time access to all health information about a person at the point of care.

The current healthcare identifiers framework supports narrow health information sharing and clinical workflows, but does not clearly support the use of healthcare identifiers in the delivery and administration of health services. Use of healthcare identifiers is also largely confined to clinical health settings, and would benefit from expansion to support use across a wider range of support services that contribute to overall health outcomes for individuals.

The amendments in the Bill address the current limitations of the healthcare identifiers framework.

Item 110 – Subsection 3(1)

This item amends section 3 which sets out the purpose of the Healthcare Identifiers Act 2010 (the Act). The update reflects the objectives of other amendments made by the Bill, which is to correctly match information about both the healthcare and support services provided to individuals.

Item 111 – Section 3A (paragraph beginning "Under this Act")

This item amends the simplified outline to provide that a healthcare identifier may be assigned to a "healthcare support service provider".

Item 112 – Section 3A (paragraph (c) of paragraph beginning "There are strict rules")

This item amends section 3A(c) to include reference to healthcare support service providers, as the strict rules in relation to the purposes for which identifying information can be collected, used and disclosed will also apply to healthcare support service providers, who will be eligible to be assigned a healthcare identifier as a result of these amendments.

Item 113 – Section 3A (paragraph beginning "This Act facilitates")

This item makes a grammatical amendment to update the simplified outline to indicate that the Act facilitates the use of healthcare identifiers for certain purposes.

Item 114 – Section 3A (paragraph beginning "This Act facilitates")

This item amends section 3A to provide that the Act also facilitates the use of healthcare identifiers for health administration purposes that support the delivery of healthcare and support services.

Item 115 – Section 5

This item updates section 5 to insert a new subsection (1).

Item 116- Section 5 (definition of aged care )

This item repeals the definition of aged care. This is because the definition is no longer applicable. Aged care services are now included in the new definition of support service.

Item 117 - Section 5 (definition of Aged Care Minister )

This item updates the definition of Aged Care Minister to reflect that it is the Minister administering the Aged Care Act 2024.

Item 118 - Section 5 (definition of aged care purpose )

This item repeals the definition of aged care purpose. This is because the definition is no longer applicable. The new definition of health administration covers matters covered by the repealed definition.

Item 119 - Section 5 (definition of contracted service provider )

This item inserts "or a health administration entity" after "of a healthcare provider".

This has the effect that a contracted service provider would include an entity that provides certain services for a health administration entity, in addition to a healthcare provider.

Note that pursuant to section 36, an authorisation under the Act to an entity for a particular purpose is also an authorisation to a contracted service provider where certain conditions are satisfied.

Item 120 - Section 5 (paragraph (b) of the definition of contracted service provider)

This item omits "services;" and inserts "services; or", to facilitate an update to the definition of contracted service provider.

Item 121 - Section 5 (after paragraph (b) of the definition of contracted service provider )

This item updates the definition of contracted service provider so that an entity that provides business or administrative support to assist in the delivery of healthcare or support services or health administration will also be a contracted service provider.

Item 122 - Section 5 (definition of contracted service provider )

This item inserts "or health administration entity" after "the healthcare provider" throughout the definition of contracted service provider. This is because the amended definition will apply so that a contracted service provider includes an entity that provides certain services for a health administration entity, in addition to a healthcare provider.

Item 123 – Section 5

This item inserts definitions of a funded aged care service, health administration and a health administration entity.

A funded aged care service has the same meaning as in the Aged Care Act 2024.

Health administration is defined in section 7A and includes a range of activities that support the administration and delivery of healthcare and support services.

A health administration entity is defined as an entity, or an entity included in a class of entities, determined by the Minister under subsection 7B(1).

Section 7B sets out the requirements and arrangements relating to the determination by the Minister that an entity, or an entity included in a class of entities, is a health administration entity.

The purpose of including a definition of health administration entity is to facilitate such entities to collect, use and disclose healthcare identifiers and identifying information for relevant purposes authorised under the Act.

Health administration entities support the delivery, management, monitoring and oversight of health and support services. The amendments in this Bill will provide authorisation for healthcare identifiers to be used in relation to those activities.

Item 124 - Section 5 (at the end of the definition of healthcare provider )

This item updates the definition of healthcare provider so that an entity that provides a support service, as defined by the Act, is included in the definition of healthcare provider.

This has the effect that where the Act refers to a healthcare provider, that will include an individual healthcare provider (that is a health practitioner such as a doctor, pharmacist or surgeon), a healthcare provider organisation (such as a hospital or general practice), and a healthcare support service provider (such as a funded aged care service provider).

Item 125 - Section 5 (definition of healthcare recipient )

This item adds "or a support service" after "healthcare". This means that a healthcare recipient includes a person who has received, receives, or may receive, healthcare or a support service.

Item 126 – Section 5

This item inserts the definition of healthcare support service provider.

A healthcare support service provider is an entity that provides healthcare (which is a health service as defined in the Privacy Act 1988) or a support service (as defined in the Healthcare Identifiers Act); and that does not usually employ an identified individual healthcare provider.

Due to the broad definition of health service in the Privacy Act, there are some providers that may provide health services within that definition, but where the services are not delivered by individual healthcare providers eligible for a healthcare identifier. Inclusion of these providers in the definition of healthcare support service provider will mean that they will be authorised to be assigned a healthcare identifier and to collect, use and disclose healthcare identifiers in relation to the services provided to healthcare recipients.

Item 127 - Section 5 (definition of identified healthcare provider )

This item amends the definition of identified healthcare provider so that it includes an identified healthcare provider organisation, an identified healthcare support service provider, and an identified individual healthcare provider.

The effect of this definition is that where the Act refers to an identified healthcare provider, it includes an individual healthcare practitioner, a healthcare provider organisation, or a healthcare support service provider that has been assigned an identifier under paragraph 9(1)(a) or subsection 9(2).

Item 128 – Section 5

This section inserts definitions of an identified healthcare provider organisation, an identified healthcare support service provider and an identified individual healthcare provider.

An identified healthcare provider organisation means a healthcare provider that has been assigned a healthcare identifier under paragraph 9(1)(a) on the basis of subsection 9A(2), (3) or (9). The definition refers to a healthcare provider organisation, such as a general practice, pharmacy, hospital or a medical centre, that has been assigned a healthcare identifier.

An identified healthcare support service provider means a healthcare provider that has been assigned a healthcare identifier under paragraph 9(1)(a) on the basis of subsection 9BA(1).

The definition refers to a healthcare support service provider, such as a respite care provider, or a provider delivering in-home support services, that has been assigned a healthcare identifier.

An identified individual healthcare provider means a healthcare provider that has been assigned a healthcare identifier under paragraph 9(1)(a) on the basis of subsection 9A(1) or subsection 9(2). The definition refers to individual healthcare providers, such as doctors, physiotherapists, or pharmacists, who have been assigned a healthcare identifier.

Item 129 - Section 5 (paragraph (b) of the definition of linked )

This item amends the definition of linked to remove the word "support". This is to remove the reference to "support services", so as to avoid confusion with the new definition of support service. Under the amended definition, an individual healthcare provider is considered to be linked to a healthcare provider organisation, where the organisations provides services or facilities to the individual healthcare provider, where those services or facilities facilitate the provision of healthcare by the individual healthcare provider.

Item 130 – Section 5

This item inserts the definitions of National Disability Insurance Agency and NDIS Act.

The definition provides that National Disability Insurance Agency has the same meaning as in the National Disability Insurance Scheme Act 2013.

The NDIS Act means the National Disability Insurance Scheme Act 2013.

Item 131 - Section 5 (definition of organisation maintenance officer )

This item amends the definition of organisation maintenance officer to refer to the definition applicable to healthcare provider organisations in subsection 9A(8) and to healthcare support service providers in subsection 9BA(3).

Item 132 - Section 5 (definition of professional association )

This item repeals the definition of professional association, as it is being replaced by the term professional body throughout the Act.

Item 133 – Section 5

This item inserts the definitions of a professional body and a registered NDIS provider.

A professional body means an organisation that is a separate legal entity under a law of the Commonwealth or a State or Territory and meets the required characteristics.

The definition applies to organisations that represent, or provide credentials to (or both), health professionals and set standards and requirements expected of individuals in the profession.

Under the Act, an individual who is not registered with a registration authority, but is provided with credentials by a professional body, may be assigned an individual healthcare provider identifier.

A registered NDIS provider has the same meaning as in the National Disability Insurance Scheme Act 2013.

Item 134 - Section 5 (definition of responsible officer )

This item amends the definition for responsible officer to refer to the definition applicable to healthcare provider organisations in subsection 9A(7) and to healthcare support service providers in subsection 9BA(2).

Item 135 - Section 5 (definition of retirement )

This item makes a grammatical amendment, by inserting ", or a healthcare support service provider's," after "healthcare provider organisation's". This grammatical amendment is required, so that the definition of retirement will also apply to the healthcare identifier of a healthcare support service provider.

Item 136 - Section 5 (definition of retirement)

This item amends the definition of retirement so that it also applies to healthcare support service providers. Where a healthcare identifier is retired by the service operator, that is, it is in a state of retirement, it means that the healthcare identifier may no longer be used to identify a healthcare provider organisation or a healthcare support service provider.

Item 137 – Section 5

This section inserts the definition of support service to mean a funded aged care services, as defined in the Aged Care Act 2024 and a support or service provided by a registered NDIS provider under the National Disability Insurance Scheme Act 2013.

The definition will apply so that certain aged care and disability service providers will be able to be assigned a healthcare support service provider identifier and as a result of other amendments, to collect, use and disclose healthcare identifiers in relation to the delivery of support services to healthcare recipients.

Support service is also defined to mean a support or service, or a support or service included in a class of supports or services, prescribed by the regulations.

The ability to prescribe additional types of support services via delegated legislation will provide flexibility to include other supports and services in future where it would be appropriate for healthcare identifiers to be used in relation to those services. Consultation in relation to these reforms, and in response to previous reviews of the healthcare identifiers legislative framework, identified that there would be a range of benefits from the inclusion of aged care and disability services in the healthcare identifiers legislative framework, so that healthcare identifiers can be used in relation to the delivery of those services, such as when determining an individual's eligibility for services, administering programs that fund and monitor the delivery of such services and to facilitate the communication of information about both the healthcare and support services delivered to individuals. In addition, during the consultation conducted in relation to these reforms, a range of other potential services that may be considered for inclusion in the healthcare identifiers framework were identified, such as services delivered to people experiencing domestic violence or homelessness. Further consultation would be undertaken to inform any expansion of the framework to include additional types of support services.

Item 138 – At the end of section 5

This item inserts subsection 5(2) to clarify that a healthcare provider is not an identified healthcare provider if the healthcare identifier assigned to the provider is in a state of retirement.

In accordance with the definition of retirement, the healthcare identifier of a healthcare provider organisation or a healthcare support service provider may be put in a state of retirement by the service operator. Where this occurs, it means that the provider, at that time, is not an identified healthcare provider for the purposes of the Act.

Item 139 – After section 7

This item inserts section 7A and sets out the definition of health administration, which includes a range of activities that support the administration and delivery of health and support services.

The definition applies in the Act so that healthcare identifiers may be used by certain entities for the purpose of health administration.

The definition of health administration includes a broad range of activities related to the administration, management and delivery of health and support services including creating and maintaining records of healthcare or support services provided to individuals. Additionally, health administration includes assessing and monitoring individuals' healthcare needs and access to services including support services, documenting participation in health-related programs and support services, managing health programs and registries, including governance, reporting, billing, and complaints handling and for health-related claims and payments?, analysing healthcare system performance, including statistical research and workforce planning and linking data across different healthcare datasets?.

The use of healthcare identifiers for health administration purposes will provide the basis for more efficient administration and processes which support the delivery of healthcare.?

The use of healthcare identifiers for health administration purposes will also underpin analysis and monitoring of healthcare, including support for demand and trend analysis, and for population health and research.? As an example, as a result of the authorisations in this Bill, healthcare identifiers will be able to be used in relation to the work performed by Clinical Quality Registries, which are responsible for the systematic monitoring and provision of feedback on the appropriateness and effectiveness of healthcare, for the purpose of driving ongoing improvements in safety and quality in the Australian health system.

This item also inserts new section 7B. New section 7B provides for the Minister to determine that an entity, or an entity included in a class of entities, is a health administration entity.

A determination made by the Minister under this section will be a legislative instrument, and therefore subject to parliamentary disallowance processes.

The ability for the Minister to determine the entities or classes of entities that are considered to be health administration entities will provide flexibility to include relevant entities where they have a role in health service delivery and health administration.

Section 7B also requires the Minister to consult an appropriate subcommittee of the Ministerial Council.

States and territories have been involved in extensive consultation in the development of these reforms to the national healthcare identifiers framework and will continue to be involved in informing the scope of entities that should be included in the definition of a health administration entity.

The types of entities that might be prescribed to be a health administration entity include entities that perform functions related to health administration, such as administrators of health and support services and health programs; entities undertaking the collection, management, and analysis of and reporting on health and health-related data; the monitoring of health interventions and outcomes; the management of public health responses and other functions that support the delivery of health and support services.

Under section 7B, the Minister may also delegate the power to determine who is a health administration entity to the secretary of the Department of Health, Disability and Ageing, or an SES employee or acting SES employee of the Department. Where the Minister provides directions in relation to the exercise of a delegation under this section, the delegate would be required to comply with those directions.

It is considered appropriate that the power to determine health administration entities be able to be delegated to the secretary or a senior executive officer within the Department, as this will support efficient prescription of relevant entities who are authorised to use healthcare identifiers to communicate or manage health information or for health administration purposes.

It is important to note that such entities have access to health information and data as part of their functions to support the delivery and administration of health and support services. The effect of these amendments will be that they are also able to associate a healthcare identifier with that information or data, which will support the objective of ensuring information is accurately matched to the correct individual, and supports consistent identification of consumers across different health settings.

Item 140 – Section 9AA (paragraph beginning "Healthcare identifiers")

This item amends the simplified outline for Part 2 of the Act to include reference to the assignment of healthcare identifiers to healthcare support service providers.

Item 141 – Section 9AA (after paragraph beginning "For a healthcare provider organisation")

This item updates the simplified outline to summarise the eligibility requirements for a healthcare support service provider to be assigned a healthcare identifier.

Item 142 – Paragraph 9(1)(a)

This item amends paragraph 9(1)(a) with the effect that the service operator may assign a healthcare identifier to uniquely identify a healthcare provider to whom section 9BA applies, namely a healthcare support service provider.

Section 9BA provides the criteria for the assignment of a healthcare identifier to a healthcare support service provider.

Item 143 – After paragraph 9(3)(b)

This item amends subsection 9(3) to include new paragraph 9(3)(ba). The amendment applies so that the types of healthcare identifiers include an identifier assigned to a healthcare support service provider.

Item 144 – Section 9A (heading)

This item amends the heading for Section 9A to clarify that the section refers to the assignment of identifiers by the service operator to individual healthcare providers and healthcare provider organisations.

Item 145 -– Paragraph 9A(1)(b)

This item replaces existing subparagraph 9A(1)(b) to update the criteria applicable for the assignment of a healthcare identifier to individual healthcare providers who are not assigned an identifier by a national registration authority under subsection 9(2) or by a registration authority under paragraph 9A(1)(a).

An individual healthcare provider previously could be assigned a healthcare identifier if they were a member of a professional association, where the professional association satisfied certain criteria.

The amendment has the effect that eligibility for a healthcare identifier will no longer be on the basis of membership of a professional association which meets certain characteristics. Rather, the individual will need to be represented by a professional body that provides credentials for that individual to practice and through which the individual is regulated and subject to oversight in relation to their professional conduct. The minimum requirements in relation to regulation and oversight are set out in new subsection 9A(11).

The amendment to the eligibility criteria for individual healthcare providers will address concerns associated with the previous version of the provisions, which meant that potentially an individual may be a member of an association which applied a level of regulation and oversight for members of the association practicing a particular health profession, but that individual members may not necessarily be the subject of that regulation and oversight.

The amendment also operates to include some health professionals that were not covered by the prior criteria. This was because in some cases health professionals were credentialed and subject to appropriate levels of oversight, but there was no applicable professional association for that profession, or the individual was not a member of the association.

The intention of the provisions was to ensure that individual healthcare providers who may be assigned a healthcare identifier were subject to minimum admission requirements and a level of oversight, and consequences for failure to adhere to standards of practice and ethical conduct or to maintain professional skills and knowledge through continuing professional development.

The amendments give effect to this intent by ensuring that an individual healthcare provider will be eligible to be assigned a healthcare identifier if the individual is provided with credentials to practice by an organisation meeting the definition of professional body under the Act, and where the individual is regulated and subject to oversight by that professional body. Amended paragraph 9A(1)(b) also applies so that the provision of credentials would be subject to the relevant admission requirements and qualifications set by the professional body. In order to be eligible, the required qualification must be at level 7 or above of the Australian Qualifications Framework, or at an equivalent level prescribed by the regulations. This means that an individual healthcare provider, to be eligible to be assigned a healthcare identifier under this provision, must have a bachelor's degree or above.

The provision to prescribe in regulations a qualification of an equivalent level, is to allow for update in the event of change to the Australian Qualifications Framework, so that the expectation of a minimum bachelor level qualification can be maintained.

The amendments provide clarification to the application of the eligibility criteria for an individual healthcare provider to be assigned a healthcare identifier under paragraph 9(1)(a) on the basis of paragraph 9A(1)(b). This will ensure that eligibility for an individual healthcare provider to be assigned a healthcare identifier provides confidence that consumer's sensitive health information is appropriately secured and only accessible by trusted providers.

This item also inserts paragraph 9A(1)(c) which provides that the regulations may specify other classes of individual healthcare providers who are eligible to be assigned a healthcare identifier. The intent is to provide flexibility to accommodate new or emerging classes of healthcare providers who should be eligible to be assigned an individual healthcare provider identifier and to handle healthcare identifiers. Consultation would be undertaken to support any expansion to other types of providers under this regulation-making power.

Item 146 – Paragraph 9A(2)(a)

This item amends paragraph 9A(2)(a) to replace reference to "one of the employees" of the organsiation with "one of the linked individual healthcare providers" of the organisation.

Linked is defined in section 5 so that an individual healthcare provider is linked to a healthcare provider organisation if the individual healthcare provider is an employee of the organisation, or if the organisation provides services or facilities to the individual healthcare provider, to facilitate the provision of healthcare by the individual healthcare provider.

Item 147 – Subparagraph 9A(2)(a)(ii)

This item amends subparagraph 9A(2)(a)(ii) to complement the amendment to subparagraph 9A(2)(a), so that a healthcare provider organisation may be assigned a healthcare identifier if at least one of its linked individual healthcare providers is an identified healthcare provider and either provides healthcare as part of his or her duties, or provides healthcare with the support or using the facilities of the organisation.

This means the existing criteria will continue to apply, that is, where at least one employee of the healthcare provider organisation who provides healthcare as part of his or her duties, is an identified individual healthcare provider, the organisation would be eligible to be assigned a healthcare identifier, provided it also meets the other criteria in subsection 9A(2).

The amendment will apply so that a healthcare provider organisation will also be eligible to be assigned a healthcare identifier if they have a linked identified individual healthcare provider who provides healthcare with the support or using the facilities of the organisation, and provided it meets the other criteria in subsection 9A(2).

The amended provision is intended to support the different business models that apply to the delivery of healthcare, with the effect that a healthcare provider organisation is eligible for a healthcare identifier without having to employ an identified individual healthcare provider, in circumstances where the organisation provides support or facilities to an individual healthcare provider or providers, to facilitate the provision of healthcare.

Item 148 – After paragraph 9A(9)(a)

This item amends subsection 9A(9), which is applicable to sole practitioners providing healthcare, by inserting new paragraph 9A(9)(ab).

A sole practitioner is defined in section 5 to mean a person who is both an individual healthcare provider and a healthcare provider organisation.

New paragraph (ab) applies to clarify that a healthcare provider organisation that is a sole practitioner can be assigned a healthcare identifier if the sole practitioner has been assigned an individual healthcare provider identifier under paragraph 9(1)(a) on the basis of subsection 9A(1) or under subsection 9(2).

Item 149 – At the end of section 9A

This item inserts subsection 9A(11) to set out the minimum regulation and oversight requirements that must apply in order for an individual healthcare provider to be eligible to be assigned a healthcare identifier on the basis of paragraph 9A(1)(b).

The effect of paragraph 9A(1)(b) and subsection 9A(11) is that a healthcare identifier may be assigned to an individual healthcare provider who is represented by a professional body where the professional body provides a level of assurance that the individuals they represent are suitably credentialled and accountable through various check and balances, to practice the relevant healthcare profession.

While different professions will have different admission requirements and expectations related to the maintenance of professional knowledge and skills, a minimum level of oversight will be required by professional bodies in order for the individuals they represent to be eligible to be assigned a healthcare identifier. Subsection 9A(11) sets out the minimum requirements in this regard. Professional bodies may also have other requirements beyond the matters set out in subsection 9A(11). The minimum requirements are that the individual seeking to be assigned a healthcare identifier must be required to:

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comply with the standards of practice and ethical conduct set by the professional body

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comply with any constitution, rules, articles of association, by-laws or codes of conduct, and

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maintain professional skills and knowledge by continuing professional development.

Additionally, the professional body must be able to impose sanctions for any breach of the above requirements.

Item 150 – After section 9A

This item inserts new clause 9BA to provide authorisation for the service operator to assign a healthcare identifier to a healthcare support service provider.

Clause 9BA provides the criteria applicable for assigning the new type of healthcare identifier for healthcare support service providers.

Clause 9BA applies so that a healthcare support service provider may be assigned a healthcare identifier if the provider is not otherwise eligible to be assigned a healthcare identifier on the basis of subsection 9A(2), (3) or (9) and where there is a responsible officer for the healthcare support service provider, as defined in subclause 9BA(2). Regulations may also prescribe other requirements that must be satisfied in order for a healthcare support service provider to be assigned a healthcare identifier.

The provision in paragraph 9BA(1)(c) to prescribe additional requirements in delegated legislation will ensure that should additional service types be added to the definition of support service, additional requirements in relation to eligibility for a healthcare identifier may also be specified. This will ensure that the flexibility to prescribe additional support services will be complemented by the ability to put in place appropriate requirements and safeguards to support expansion, as necessary.

The effect of paragraph 9BA(1)(a) is that where an organisation is eligible to be an identified healthcare provider organisation, it should not also be an identified healthcare support service provider.

A healthcare provider organisation with a linked identified individual healthcare provider is eligible to be an identified healthcare provider organisation. An entity providing support services, or a healthcare where they do not have a linked identified individual healthcare provider, is eligible to become an identified healthcare support service provider.

While under the Act, identified healthcare support service providers have the same authorisations to collect, use and disclose healthcare identifiers, as do identified healthcare provider organisations, other legislation or policy may afford different authorisations and access to different types of identified providers. For example, under the My Health Records Act 2012, an identified healthcare provider organisation may seek to register with the My Health Record system, provided they meet other registration requirements under the My Health Records Act. An identified healthcare support service provider, will not be eligible to register with the My Health Record system as a result of these amendments.

The authorisations in other sections of the Act will apply so that identified healthcare support service providers can use healthcare identifiers in relation to the supports and services provided to consumers (healthcare recipients). This means, for example, that where a provider reports on the care and support services provided, the healthcare recipient's healthcare identifier can be included with that report, so the information can be accurately matched to the healthcare recipient and matched to other health information about them.

Unlike healthcare provider organisations, a healthcare support service provider will only be required to have a responsible officer and not be required to have both a responsible officer and an organisation maintenance officer. However, in accordance with subclause 9BA(2), a responsible officer may optionally nominate one or more organisation maintenance officers. Subclauses 9BA(2) and (3) provide the definition of responsible officer, and organisation maintenance officer, respectively, for a healthcare support service provider.

A responsible officer is the main point of contact for managing the provider's official records with the service operator. A person is considered the responsible officer for a healthcare support service provider if they have the authority to act on the organisation's behalf in relation to the following:

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requesting the assignment, retirement, merger or reconfiguration of a healthcare identifier for the healthcare support service provider,

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nominating one or more organisation maintenance officers, and

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any other duties of a responsible officer for the provider.

Subclause 9BA(4) applies so that a person will continue to be the responsible officer of a healthcare support service provider, even during a period of time when the responsible officer's duties are undertaken or executed by another employee of the provider on behalf of the person.

Subclause 9BA(3) sets out the duties of an organisation maintenance officer for a healthcare support service provider. These duties may be performed by the responsible officer for the provider, and also by a person or persons nominated to be the provider's organisation maintenance officer.

The main duties of an organisation maintenance officer for a healthcare support service provider are to keep the information held by the service operator about the provider accurate and up-to-date, including providing information about the provider requested by the service operator.

Item 151 – Subsection 9B(2)

Section 9B sets out the information that may be requested before assigning a healthcare identifier to a healthcare provider.

This item amends subsection 9B(2) so that the service operator may request a healthcare support service provider to provide certain information before assigning a healthcare identifier to the provider.

Item 152 – Paragraph 9B(2)(b)

This item amends subsection 9B(2)(b) so that, before the service operator assigns a healthcare identifier to a healthcare support service provider, the service operator may collect information to establish that new section 9BA applies to the provider.

Item 153 – After section 9B

This item inserts new clause 9CA to authorise professional bodies to facilitate the assignment of healthcare identifiers for individual healthcare providers. This means that the professional body can effectively apply for healthcare identifiers to be assigned on behalf of the individuals they represent.

Under this new clause, where a professional body provides credentials for individual healthcare providers to practice their healthcare profession, the professional body may also facilitate the assignment of healthcare identifiers to those individuals. A professional body may also assist the service operator to maintain information about those individual healthcare providers, where they have been assigned a healthcare identifier. This means the professional body will be authorised to provide the service operator with updates about the individual on the individual's behalf. For example, if there was a change to the individual's identifying information, such as their address, if this were notified to the professional body, the professional body could then provide that updated information to the service operator. A change in the status of the individual's credentials would also be authorised to be provided to the service operator, such as advising that the individual was no longer credentialed to practice because their credentials were suspended, cancelled or lapsed.

It will not be mandatory for professional bodies to take on this role to facilitate the assignment of healthcare identifiers, and maintenance of information about individuals who have been assigned a healthcare identifier. However, where they elect to do so, the effect of this provision will be to enable more streamlined processes to be put in place for the assigning of healthcare identifiers to individual healthcare providers on the basis of paragraph 9A(1)(b). Rather than individuals having to apply to the service operator to be assigned a healthcare identifier, professional bodies will be able to apply in bulk on behalf of the individuals represented by the professional body. The professional body would also be able to put in place streamlined, bulk processes to notify the service operator of any changes about the individuals it represents.

This will also provide the basis for more streamlined assignment processes by the service operator, including via electronic exchanges of information between the service operator and professional bodies.

Subclause 9CA(2) will apply so that where a professional body elects to facilitate the assignment and management of healthcare identifiers for the individuals it represents, the professional body will have an obligation to gather consent from each individual healthcare provider for whom they perform this function. Accordingly, a professional body could not apply for a healthcare identifier to be assigned to an individual without that individual's consent. Consent should also be provided to enable the professional body to maintain information about the provider held by the service operator. It would be expected that professional bodies would have in place suitable privacy protections, including the ability for an individual to periodically refresh or withdraw their consent to the professional body maintaining information about the individual held by the service operator.

This item also inserts new subclause 9CA(3) so that regulations may provide for additional requirements that must be satisfied in order for a professional body to facilitate the assignment of healthcare identifiers to, and maintenance of related information about, individual healthcare providers. This regulation-making power will ensure that there is flexibility to adjust the requirements that will apply to this process. For example, the regulations may specify requirements in relation to how information may be exchanged (such as by means of electronic data exchange) and requirements related to the timing and process for notifying of changes to the information held by the service operator about individual healthcare providers represented by the professional body.

Item 154 – Section 11 (paragraph beginning "The service operator may collect")

This item amends the simplified outline in section 11. The effect of the amendment is to provide that once a healthcare identifier is assigned to a healthcare recipient, the service operator may disclose it to healthcare administration entities to assist in communicating and managing health information.

Item 155 – Section 11 (paragraph beginning "A healthcare provider can obtain the healthcare identifier of a healthcare recipient")

This item amends section 11 to update the simplified outline to reflect the amendments made under this Bill. The previous provision outlined that a healthcare provider could obtain the healthcare identifier of a healthcare recipient from the service operator, so that the healthcare provider could communicate and manage health information.

The amended paragraph refers to the ability for health administration entities to also obtain the healthcare identifier of a healthcare recipient from the service operator for this purpose.

The amended paragraph also reflects that both healthcare providers and health administration entities can also obtain the healthcare identifier from the service operator for the purposes of health administration.

Item 156 – Section 11 (paragraph beginning "The service operator may disclose")

This item amends section 11 to update the simplified outcome to reflect the amendments made under this Bill. The previous provision outlined that the service operator could disclose the healthcare identifiers of healthcare providers to other healthcare providers to assist in communicating and managing health information.

The amended paragraph refers to the ability for the service operator to also disclose the healthcare identifiers of healthcare providers to healthcare administration entities.

The amended paragraph also reflects that healthcare provider identifiers may be disclosed to both healthcare providers and health administration entities for the purposes of health administration.

Item 157 – Section 11 (paragraph beginning "A healthcare provider can obtain the healthcare identifier of a healthcare provider")

This item amends section 11 to update the simplified outcome to reflect the amendments made under this Bill. The previous provision outlined that a healthcare provider could obtain the healthcare identifier of a healthcare provider from the service operator, so that the healthcare provider could communicate and manage health information.

The amended paragraph refers to the ability for health administration entities to also obtain the healthcare identifier of a healthcare provider from the service operator for this purpose.

The amended paragraph also reflects that both healthcare providers and health administration entities can also obtain the healthcare identifier from the service operator for the purposes of health administration.

Item 158 – Section 12 (cell at table item 1, column 1)

Section 12, item 1 previously applied to provide authorisations for an identified healthcare provider. This item amends section 12, so that the authorisation in item 1 will also apply to a health administration entity.

This means an identified healthcare provider and a health administration entity will be authorised to use and disclose to the service operator identifying information of a healthcare recipient to assist the service operator to assign a healthcare identifier to a healthcare recipient.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 159 – Section 12 (table item 3, column 2, after paragraph (a))

Section 12, item 3 provides for the service operator to collect identifying information about a healthcare recipient from certain entities. This item inserts paragraph (aa), so that the authorisation in item 3 will also apply to the collection of information from a health administration entity. This means the service operator can collect identifying information from a health administration entity and use that identifying information for the purpose of assigning a healthcare identifier to a healthcare recipient.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 160 – Subsection 14(1) (cell at table item 1, column 1)

Section 14, item 1 previously applied to provide authorisations for an identified healthcare provider. This item amends section 14, so that the authorisation in item 1 will also apply to a health administration entity.

Item 161 – Subsection 14(1) (table item 1, column 4)

This item amends subsection 14(1), table item 1, column 4 to insert "or health administration entity" after "provider".

The effect of this item, and related amendments to item 1 are that an identified healthcare provider and a health administration entity will be authorised to use and disclose to the service operator identifying information of a healthcare recipient to assist the service operator to disclose the healthcare identifier of a healthcare recipient to the provider or the health administration entity.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 162 – Subsection 14(1) (table item 2, column 2)

This item amends subsection 14(1), item 2, column 2 so that the service operator will be authorised to collect identifying information from a health administration entity, and disclose identifying information to a health administration entity, in the circumstances described in item 2, column 4.

Item 163 – Subsection 14(1) (table item 2, column 4)

This item amends subsection 14(1), item 2, column 4 so that the service operator will be authorised collect, use and disclose identifying information under this item for the purpose of disclosing the healthcare identifier of a healthcare recipient to a health administration entity.

The effect of the amendments to section 14(1), items 1 and 2, under this Bill, is that the service operator will be authorised to exchange identifying information with an identified healthcare provider or a health administration entity, for the purpose of disclosing the healthcare identifier of a healthcare recipient to the healthcare provider or health administration entity.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 164 – Subsection 14(1) (table item 3, column 2)

Subsection 14(1), item 3 previously applied to authorise the service operator to use and disclose the healthcare identifier of a healthcare recipient to an identified healthcare provider. This item amends section 14, so that the authorisation in item 3 will also apply to disclosure of the healthcare identifier of a healthcare recipient to a health administration entity.

Item 165 – Subsection 14(1) (cell at table item 3, column 4)

This item will amend the circumstances where the healthcare identifier of a healthcare recipient may be used and disclosed by the service operator to an identified healthcare provider or a health administration entity. The circumstances set out in column 4 are amended to include the purpose of communicating or managing information about support services, as part of providing healthcare or support services to a healthcare recipient, and health administration.

Item 166 – Subsection 14(1) (cell at table item 4, column 1)

Subsection 14(1), item 4 previously applied to provide authorisations for an identified healthcare provider. This item amends section 14, so that the authorisation in item 4 will also apply to a health administration entity.

Item 167 – Subsection 14(1) (cell at table item 4, column 4)

This item will amend the circumstances where an identified healthcare provider or health administration entity may collect the healthcare identifier of a healthcare recipient from the service operator. The circumstances set out in column 4 are amended to include the purpose of communicating or managing information about support services, as part of providing healthcare or support services to a healthcare recipient, and health administration.

The effect of the amendments to subsection 14(1), items 3 and 4, under this Bill, is that the service operator will be authorised to exchange the healthcare identifier of a healthcare recipient with an identified healthcare provider or a health administration entity, for the purposes of communicating or managing health information, or information about support services, as part of providing healthcare or support services to the healthcare recipient, or for the purpose of health administration.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 168 – Subsection 14(1) (table item 5)

This item replaces item 5 with a new item which applies to authorise an identified healthcare provider or a health administration entity to collect, use and disclose the healthcare identifier and identifying information of a healthcare recipient for the following purposes:

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communicating or managing health information, or information about support services, as part of providing healthcare or support services to the healthcare recipient,

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health administration,

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the provision of indemnity cover for a healthcare provider,

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communicating or managing health information or information about support services provided to a healthcare recipient, as part of the conduct of research that has been approved by a Human Research Ethics Committee.

Item 169 – Subsection 14(1) (cell at table item 6, column 3)

This item updates item 6, column 3 to authorise the entity to whom a healthcare identifier of a healthcare recipient is disclosed for a purpose mentioned in column 4 of item 5, to collect, use and disclose the healthcare identifier and identifying information of a healthcare recipient in the circumstances set out in column 4 of item 6.

Amended subsection 14(1) will have the effect that identified healthcare providers and health administration entities can collect the healthcare identifier of a healthcare recipient from the service operator for the purpose of communicating or managing health information or health administration

The effect of the amendments to subsection 14(1), items 5 and 6, and other amendments under this Bill, are that identified healthcare providers and health administration entities will be authorised to collect, use and disclose healthcare identifiers and identifying information of a healthcare recipient for a range of health, health-related and health administration purposes, as set out in the circumstances described in item 5, column 4.

As identified healthcare providers and health administration entities will collect and validate healthcare identifiers with the service operator as part of the communication and management of health information and information about support services and for health administration purposes, this will provide confidence that information is being accurately matched to the correct healthcare recipient.

Item 6 will operate so that other entities, including other healthcare providers who may not have been assigned a healthcare identifier and the providers of technical solutions who facilitate the sharing of and access to information about health care and support services, will be able to collect healthcare identifiers and identifying information for a particular purpose and use and on disclose healthcare identifiers for the same purpose.

However, these other entities are not able to collect a healthcare identifier for one purpose and use it for another purpose. This will ensure that other entities can effectively pass or communicate health information and data for a particular purpose, and not disrupt the sharing of information for an authorised purpose. However, because these other entities will not regularly validate healthcare identifiers with the service operator, they will not be authorised to use healthcare identifiers for the broader range of health, health-related and health administration purposes beyond the purpose for which the healthcare identifier was disclosed to them. This will ensure that use by other entities does not risk the objective of the healthcare identifiers framework, which is to ensure that information is correctly matched to the right healthcare recipient.

Item 170 – Section 16

This item repeals section 16

Item 171 – Section 17 (heading)

This item amends the heading of section 17, to distinguish the section from new section 17A, which will apply to adoption of the healthcare identifier of a healthcare recipient by a health administration entity.

Item 172 – Section 17 (table item 1, column 2)

This item corrects an error in the current section, replacing "healthcare representative" with "healthcare recipient" to reflect the intent of the provision.

Item 173 – After section 17

This item inserts new clause 17A to provide that a health administration entity may adopt the healthcare identifier of a healthcare recipient as the entity's own identifier for the healthcare recipient.

Item 174 – At the end of section 18

This item amends section 18 to insert new paragraph 18(1)(d), which will apply to authorise a health administration entity to disclose the healthcare identifier of a healthcare recipient to the healthcare recipient or a responsible person for the healthcare recipient.

Item 175 – Section 21 (cell at table 1, column 4)

This item amends section 21, item 1 to authorise the service operator to collect and use the identifying information of a healthcare provider for a purpose relating to the Healthcare Provider Directory, in addition to the purpose of assigning a healthcare identifier to the healthcare provider.

This and similar amendments under this Bill have the effect that where identifying information is collected for the purpose of assigning or managing healthcare provider identifiers, the information will also be able to be used for the purposes of the Healthcare Provider Directory.

Item 176 – Section 21 (cell at table item 2, column 4)

This item amends section 21, item 2 to authorise the entities mentioned in column 1 to use and disclose identifying information of a healthcare provider for a purpose relating to the Healthcare Provider Directory, in addition to the purpose of assigning a healthcare identifier to the healthcare provider.

This and similar amendments under this Bill have the effect that where identifying information is collected for the purpose of assigning or managing healthcare provider identifiers, the information will also be able to be used for the purposes of the Healthcare Provider Directory.

Item 177 – Section 21 (cell at table item 3, column 4)

This item amends section 21, item 3 to authorise the service operator to collect and use the information requested by the service operator under 9B for a purpose relating to the Healthcare Provider Directory, in addition to the purpose of assigning a healthcare identifier to the healthcare provider.

This and similar amendments under this Bill have the effect that where identifying information is collected for the purpose of assigning or managing healthcare provider identifiers, the information will also be able to be used for the purposes of the Healthcare Provider Directory.

Item 178 – Section 21 (at the end of the table)

This item adds additional items to the table in section 21, to provide additional authorisations to complement other amendments made under this Act.

New items 4 and 5 in section 21 have the effect of authorising the service operator to exchange the healthcare identifier and identifying information of a healthcare provider with a registration authority or a professional body, for the purpose of assigning a healthcare identifier to a healthcare provider or a purpose relating to the Healthcare Provider Directory.

In this section, a registration authority includes a national registration authority. Currently the Australian Health Practitioner Regulation Agency is the national registration authority for the purposes of the Act.

New items 6 and 7 in section 21 have the effect of authorising the service operator to exchange information with the Aged Care Department, the National Disability Insurance Agency or another entity prescribed by the regulations, for the purpose of assigning a healthcare identifier to a healthcare provider or a purpose relating to the Healthcare Provider Directory. The information which may be exchanged is the healthcare identifier or identifying information of a healthcare support service provider.

Item 179 – Section 22 (cell at table item 1, column 4)

This item amends section 22, item 1 to authorise a national registration authority to use and disclose the healthcare identifier, or information that relates to the healthcare identifier, or a healthcare provider, for a purpose relating to the Healthcare Provider Directory, in addition to the purpose of assisting the service operator to establish and maintain a record mentioned in section 10.

This and similar amendments under this Bill have the effect that where identifying information is collected for the purpose of assigning or managing healthcare provider identifiers, the information will also be able to be used for the purposes of the Healthcare Provider Directory.

Item 180 – Section 22 (after table item 1)

This item inserts new item 1A into the table in section 22.

New item 1A authorises a professional body or a registration authority to collect from the service operator, use, and disclose to the service operator, the healthcare identifier, or information that relates to the healthcare identifier, of a healthcare provider for:

•

the purposes of assisting the service operator to establish and maintain a record mentioned in section 10, or

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a purpose relating to the Healthcare Provider Directory.

Item 181 – Section 22 (cell at table item 2, column 2)

Section 22, item 2 currently provides for the service operator to collect the information set out in column 3 from a national registration authority.

This item replaces section 22, item 2, column 2 so that the service operator is authorised to collect the information set out in column 3 from a registration authority or a professional body, and to use that information in the circumstances mentioned in column 4.

In this section, a registration authority includes a national registration authority. Currently the Australian Health Practitioner Regulation Agency is the national registration authority for the purposes of the Act.

The effect of the amendment is to expand the entities from which the service operator can collect a healthcare identifier or information related to a healthcare identifier for the purposes set out in item 2, column 4.

Item 182 – Section 22 (cell at table item 2, column 4)

This item amends section 22, item 2 to authorise the service operator to collect and use information for a purpose relating to the Healthcare Provider Directory, in addition to the purpose of establishing and maintaining a record mentioned in section 10. The information that may be collected and used is the healthcare identifier, and information that relates to the healthcare identifier, of a healthcare provider.

This and similar amendments under this Bill have the effect that where identifying information is collected for the purpose of assigning or managing healthcare provider identifiers, the information will also be able to be used for the purposes of the Healthcare Provider Directory.

Item 183 – Section 22 (at the end of the table)

This item inserts new items 3 and 4 into the table in section 22. New items 3 and 4 have the effect of authorising the service operator to exchange the healthcare identifier and identifying information of a healthcare support service provider with the Aged Care Department, the National Disability Insurance Agency or an entity prescribed by regulations. The information may be exchanged for the purposes of assisting the service operator to establish and maintain a record mentioned in section 10.

Item 184 – Section 23 (cell at table item 1, column 1)

This item amends item 1 of section 23 to extend the authorisations in item 1 to a health administration entity, in addition to an identified healthcare provider.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 185 – Section 23 (cell at table item 1, column 4)

This item updates the purposes for which an identified healthcare provider or health administration entity may use, or disclose to the service operator, identifying information of a healthcare provider. The amendment includes authorisation for the use or disclosure for the purpose of assisting the healthcare provider to communicate or manage health information or information about support services, as part of providing healthcare or support services to a healthcare recipient or health administration.

Item 186 – Section 23 (cell at table item 2, column 2)

This item amends item 2 of section 23 so that the service operator may collect identifying information of a healthcare provider from an identified healthcare provider or a health administration entity in the circumstances mentioned in column 4.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 187 – Section 23 (cell at table item 2, column 4)

This item updates the purposes for which the service operator may collect identifying information of a healthcare provider from an identified healthcare provider or health administration entity. The amendment includes authorisation for the collection of identifying information for the purpose of assisting the healthcare provider to communicate or manage health information or information about support services, as part of providing healthcare or support services to a healthcare recipient or health administration.

Item 188 – Section 23 (cell at table item 3, column 2)

This item amends table item 3 of section 23 so that the service operator may use, and disclose to an identified healthcare provider or a health administration entity, the healthcare identifier of a healthcare provider in the circumstances mentioned in column 4.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 189 – Section 23 (cell at table item 3, column 4)

This item updates the purposes for which the service operator may use, or disclose to an identified healthcare provider or health administration entity, the healthcare identifier of a healthcare provider. The amendment includes authorisation for the use or disclosure of the healthcare identifier for the purpose of assisting the healthcare provider to communicate or manage health information or information about support services, as part of providing healthcare or support services to a healthcare recipient, or health administration.

Item 190 – Section 23 (cell at table item 4, column 1)

This item amends item 4 of section 23 to extend the authorisations in item 4 to a health administration entity, in addition to an identified healthcare provider.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 191 – Section 23 (cell at table item 4, column 4)

This item updates the purposes for which an identified healthcare provider or health administration entity can collect from the service operator, the healthcare identifier of a healthcare provider. The amendment includes authorisation for the collection of the healthcare identifier for the purpose of assisting the healthcare provider to communicate or manage health information or information about support services, as part of providing healthcare or support services to a healthcare recipient or health administration.

Item 192 – Section 23 (table item 5)

This item replaces item 5 in table 23 with a new set of authorisations which provide that an identified healthcare provider or a health administration entity may collect, use, or disclose the healthcare identifier or identifying information of a healthcare provider for the following purposes:

•

communicating or managing health information or information about support services, as relating to healthcare or support services to a healthcare recipient,

•

health administration,

•

the provision of indemnity cover for a healthcare provider,

•

communicating or managing health information or information about support services provided to a healthcare recipient, as part of the conduct of research that has been approved by a Human Research Ethics Committee or under another Australian law.

This item also inserts new item 6 into section 23, to authorise the entity to whom the healthcare identifier of a healthcare provider is disclosed for a purpose mentioned in column 4 of item 5, to collect, use and disclose the healthcare identifier and identifying information of a healthcare provider in the circumstances set out in column 4 of item 6.

Amended section 23 will have the effect that identified healthcare providers and health administration entities can collect the healthcare identifier of a healthcare provider from the service operator for the purpose of communicating or managing health information or health administration.

The effect of the amendments to section 23, items 5 and 6, and other amendments under the Bill, are that identified healthcare providers and health administration entities will be authorised to collect, use and disclose healthcare identifiers and identifying information of a healthcare provider for a range of health, health-related and health administration purposes, as set out in the circumstances described in item 5, column 4.

Identified healthcare providers and health administration entities will collect and validate healthcare identifiers with the service operator as part of the communication and management of health information and information about support services and for health administration purposes. This will provide confidence that information is being accurately matched to the correct healthcare recipients and available to the correct healthcare providers.

As a result of other amendments under the Bill, this authorisation will apply to identified individual healthcare providers, identified healthcare provider organisations and identified healthcare support service providers, as they are included in the definition of identified healthcare provider for the purposes of the Act.

Item 6 will operate so that other entities, including other healthcare providers who may not have been assigned a healthcare identifier and the providers of technical solutions who facilitate the sharing of and access to information about healthcare and support services, will be able to collect healthcare identifiers and identifying information for a particular purpose and use and on disclose healthcare identifiers for the same purpose. This will ensure that other entities can effectively use the healthcare identifier when passing or communicating health information and data for a particular purpose, and not disrupt the sharing of that information or data.

However, those other entities are not able to collect a healthcare identifier for one purpose and use it for another purpose. Those other entities will not regularly validate healthcare identifiers with the service operator, as identified providers and health administration entities will be authorised to do. Accordingly, while other entities may use healthcare identifiers for the purpose for which they were received, they will not be authorised to use healthcare identifiers for the broader range of health, health-related and health administration purposes beyond the purpose for which the healthcare identifier was disclosed to them. This will ensure that use by other entities does not risk the objective of the healthcare identifiers framework, which is to ensure that an entity that provides healthcare or support services is correctly matched to health information that is created when healthcare or a support service is provided.

As an example, a technology provider that facilitates the passing of health information and the healthcare identifier from one healthcare provider to another healthcare provider (where the information may be temporarily stored to confirm receipt), would be authorised. They would also be authorised to use (here, temporarily storing) the healthcare identifier as that is also for the purpose of communicating health information. However, that technology provider could not also use and disclose the healthcare identifier for another purpose, such as sharing the health information and healthcare identifier to a research entity, as that was not the purpose for which the identifier was disclosed to the technology provider.

Item 193 – Section 25A (table item 3, column 2)

This item amends table item 3 of section 25A to include authorisation for the service operator to collect from and disclose to a professional body, the healthcare identifier and identifying information of a healthcare provider, in the circumstances mentioned in column 4.

Item 194 – Section 25A (cell at table item 3, column 4)

This item updates item 3 of section 25A to authorise the service operator to collect, use and disclose information for the purpose of ensuring that information held by the service operator, a registration authority or a professional body is accurate, up-to-date and complete, or for a purpose relating to the Healthcare Provider Directory. The information that may be collected, used and disclosed for these purposes is the healthcare identifier, and identifying information of a healthcare provider.

Item 195 – Section 25A (cell at table item 4, column 1)

This item amends item 4 of section 25A to extend the authorisations in item 4 to a professional body, in addition to a registration authority.

Item 196 -– Section 25A (cell at table item 4, column 4)

This item updates item 4 of section 25A to authorise a registration authority or a professional body to collect from, use, and disclose to the service operator, the healthcare identifier or identifying information of a healthcare provider. The collection, use or disclosure may be for the purpose of ensuring that information held by the service operator, a registration authority or a professional body is accurate, up-to-date and complete, or for a purpose relating to the Healthcare Provider Directory.

Item 197 – After section 25C

This item adds new clause 25CA to provide that any entity (including the service operator) may collect, use and disclose to another entity the healthcare identifier of an identified healthcare provider or an identified healthcare support service provider for the following purposes:

•

communicating or managing health information, or information about support services, as part of providing healthcare or support services to a healthcare recipient

•

health administration.

Item 198 – Subsection 25E(1)

This item amends subsection 25E(1) so that it applies to healthcare support service providers in addition to healthcare provider organisations.

Item 199 – Subsection 25E(1)

This item amends subsection 25E(1) so that subsection 25E(1) applies to healthcare support service providers in addition to healthcare provider organisations.

Item 200 – Paragraph 25E(2)(b)

This item amends paragraph 25E(2)(b) so that it applies to healthcare support service providers in addition to healthcare provider organisations. The effect of the provision is that a healthcare support service provider or a healthcare provider organisation may advise the service operator that a person no longer consents to the provision of their information to the service operator, instead of providing updated information about the person to the service operator. As an example, this may relate to information about a responsible officer or an organisation maintenance officer, or for a healthcare provider organisation, to information about a linked healthcare provider.

Item 201 – After subsection 25E(3)

This item inserts new subsection 25(3A) to provide that subsection (1) does not apply to a healthcare support service provider if certain conditions are met.

Subsection 25E(1) requires a healthcare support service provider to give the service operator, in writing, accurate, up-to-date and complete information about the provider within 20 business days after becoming aware that the information held by the service operator is not accurate, up-to-date and complete.

New subsection 25(3A) applies so that this obligation will not apply if the healthcare support service provider is required, and complies with the requirement, to give the accurate, up-to-date and complete information to any of the following: the National Disability Insurance Agency, the Aged Care Department or an entity prescribed by regulations for the purposes of item 6 of the table in section 21.

This has the effect that if the healthcare support service provider updates an administrator of a relevant class of support services, such as the Aged Care Department which is responsible for the administration of funded aged care services, and that administrator shares that updated information to the service operator, the healthcare support service provider only has to tell the administrator and not also tell the service operator about the updated information.

Item 202 – Paragraph 26(1)(c)

This item amends paragraph 26(1)(c) to clarify that the information that must not be used or disclosed under that paragraph is identifying information about an individual. Identifying information is defined in section 7 for the purposes of the Act, and sets out what is identifying information of an individual healthcare provider, and of a healthcare provider that is not an individual (which under the Act includes a healthcare provider organisation and a healthcare support service provider).

The effect of this amendment is to provide that it is not an offence to use or disclose identifying information of a healthcare provider organisation or a healthcare support service provider, unless that information is about an individual. An example of identifying information for an organisation or provider that is about an individual includes information about a responsible officer or an organisation maintenance officer.

Item 203 – Subsection 31(2)

This item amends subsection 31(2) to apply so that consent is not required in order for the service operator to collect and use personal information for the purposes of establishing and maintaining the Healthcare Provider Directory.

The effect of this provision, and other amendments under the Bill, is that where information is collected by the service operator for a purpose related to the assignment and management of healthcare identifiers under Parts 2 or 3 of the Act, that information may be used for the purposes of the Healthcare Provider Directory.

The service operator will continue to only be authorised to disclose personal information on the Healthcare Provider Directory with the consent of the individual to whom the personal information relates.

Item 204 – After paragraph 31(3)(d)

This item adds new paragraph 31(3)(da) to provide that the professional and business details of a healthcare support service provider that may be included in the Healthcare Provider Directory includes information on whether the provider is a registered provider within the meaning of the new Act, or an NDIS provider within the meaning of the NDIS Act.

Item 205 – Paragraph 31(4)(a)

This item amends paragraph 31(4)(a) so that information that is disclosed on the Healthcare Provider Directory may be collected, used and disclosed for the purpose of communicating or managing health information or information on support services as part of providing healthcare or support services to a healthcare recipient.

Item 206 – Paragraph 31(4)(a)

This item applies together with other amendments to paragraph 31(4)(a) so that paragraph 31(4)(a) authorises the collection, use and disclosure of the professional and business details of a healthcare provider for purposes related to the communication and management of health information and information on support services as part of providing both healthcare and support services to a healthcare recipient.

As a result of other amendments under the Bill, this authorises the collection, use and disclosure of information about an individual healthcare provider, a healthcare provider organisation and a healthcare support service provider for the specified purposes.

Item 207 – After 36A

This item inserts new clause 36BA which has the effect that where an individual healthcare provider is authorised, under the Act, to collect, use or disclose information for a particular purpose, a healthcare provider organisation to which the individual healthcare provider is linked, is also authorised to collect, use and disclose that information on behalf of the individual healthcare provider.

This authorisation reflects practice in the healthcare sector, whereby a healthcare provider organisation may do things on behalf of an individual healthcare provider. For example, a practice manager in a general practice clinic may share information or register for particular health programs on behalf of a general practitioner providing healthcare through that clinic.

Health Insurance Act 1973

Item 208 – Subparagraph 16A(5AA)(d)(v)

This item amends subparagraph 16A(5AA)(d)(v) of the Healthcare Insurance Act 1973 to omit "a residential care service within the meaning of the Aged Care Act 1997", and substitute with "a residential care home (within the meaning of the Aged Care Act 2024)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 209 – Subparagraph 16A(5AA)(e)(ii)

This item amends subparagraph 16A(5AA)(e)(ii) of the Healthcare Insurance Act 1973 to omit "a residential care service within the meaning of the Aged Care Act 1997", substitute "residential care home (within the meaning of the Aged Care Act)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Home and Community Care Act 1985

Item 210 - Subclause 4(1) of the Schedule (definition of long term residential care )

This item amends the definition of 'long term residential care' in subclause 4(1) of the Schedule in the Home and Community Care Act 1985 to omit "through a residential care service within the meaning of the Aged Care Act 1997", ands substitute with "in an approved residential care home (within the meaning of the Aged Care Act 2024)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Human Services (Centrelink) Act 1997

Item 211 - Subsection 40A(3) (paragraph (b) of the definition of designated program Act )

This item amends paragraph (b) of the definition of designated program Act in subsection 40A(3) of the Human Services (Centrelink) Act 1997 to replace Aged Care Act 1997 with Aged Care Act 2024 to reflect the repeal of the old Act. The intent and application is unchanged.

Item 212 – Saving provision

This item provides for the continued operation of section 40A of the Human Services (Centrelink) Act 1997 on and after the commencement of this item as if a reference in paragraph (b) of the definition of designated program Act in subsection 40A(3) of that Act to the Aged Care Act 2024 included a reference to the former Aged Care Act 1997. This is required due to the repeal of the old Act and to ensure proper continued function of this provision.

Human Services (Medicare) Act 1973

Item 213 – Subparagraphs 41G(a)(iv) and (iva)

This item repeals subparagraphs 41G(a)(iv) and (iva) of the Human Services (Medicare) Act 1973 and replaces them with "(iv) the Aged Care Act 2024; or". This is to reflect the repeal of the old Act. The intent and application is unchanged.

Item 214 –Saving provision

This item provides for the continued operation of section 41G of the Human Services (Medicare) Act 1973 on and after the commencement of this item as if a reference in subparagraph 41G(a)(iv) of the new Act included a reference to the former Aged Care Act 1997 and former Aged Care (Transitional Provisions) Act 1997. This is required due to the repeal of the old Act and the Aged Care (Transitional Provisions) Act 1997 and to ensure proper continued function of this provision.

Item 215 -Subsection 43A(3) (paragraph (b) of the definition of designated program Act )

This item amends paragraph (b) of the definition of designated program Act in subsection 43A(3) of the Human Services (Medicare) Act 1973 to replace Aged Care Act 1997 with Aged Care Act 2024 under the definition of designated program Act to reflect the repeal of the old Act. The intent and application is unchanged.

Item 216 –Saving provision

This item provides for the continued operation of subsection 43A of the Human Services (Medicare) Act 1973 on and after the commencement of this item as if a reference in paragraph (b) of the definition of designated program Act in subsection 43A(3) of that Act to the Aged Care Act 2024 included a reference to the former Aged Care Act 1997. This is required due to the repeal of the old Act and to ensure proper continued function of this provision.

Income Tax Assessment Act 1997

The amendments to the Income Tax Assessment Act 1997 support the operation of the new Act. Generally, these amendments preserve the tax treatment that applied under the Income Tax Assessment Act 1997 prior to the commencement of the new Act on 1 November 2025, while modernising language to align with the new Act.

Item 217 – Subsection 230-475(3) (heading)

This item amends subsection 230-475(3) (heading) of the Income Tax Assessment Act 1997 to omit "flexible" and substitute with "specialist" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 218 – Subsection 230-475(3)

This item amends subsection 230-475(3) of the Income Tax Assessment Act 1997 to omit all the words after "under which" and substitute with "*funded aged care services are provided at an *approved residential care home or under a *specialist aged care program" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 219 – Subsection 995-1(1)

This item amends subsection 995-1(1) of the Income Tax Assessment Act 1997 to insert: "approved residential care home has the same meaning as in the Aged Care Act 2024" to reflect updated concepts and terminology within the new Act.

Item 220 - Subsection 995-1(1) (definition of flexible care )

This item amends subsection 995-1(1) of the Income Tax Assessment Act 1997 to repeal the definition of flexible care to reflect the repeal of the old Act and updated concepts and terminology within the new Act.

Item 221 – Subsection 995-1(1)

This item amends subsection 995-1(1) of the Income Tax Assessment Act 1997 to insert: "funded aged care service has the same meaning as in the Aged Care Act 2024" to reflect updated concepts and terminology within the new Act.

Item 222 - Subsection 995-1(1) (definition of residential care )

This item amends subsection 995-1(1) of the Income Tax Assessment Act 1997 to repeal the definition of residential care to reflect the repeal of the old Act and updated concepts and terminology within the new Act.

Item 223 – Subsection 995-1(1)

This item amends subsection 995-1(1) of the Income Tax Assessment Act 1997 to insert: "specialist aged care program has the same meaning as in the Aged Care Act 2024" to reflect updated concepts and terminology within the new Act.

Inspector-General of Aged Care Act 2023

Item 224 - Section 5 (after paragraph (a) of the definition of aged care funding agreement )

This item amends the definition of aged care funding agreement in section 5 of the Inspector-General of Aged Care Act 2023 to insert "an arrangement made under section 264 or 265 of the Aged Care Act 2024;" after paragraph (a) of the definition of aged care funding agreement to reflect updated concepts and terminology within the new Act. This is intended to ensure no disruption to the functions of the Inspector-General.

Item 225 - Section 5 (after paragraph (a) of the definition of aged care law )

This item amends the definition of aged care law in section 5 of the Inspector-General of Aged Care Act 2023 by inserting an additional paragraph such that the provisions of the new Act fall within this definition. This is intended to ensure the oversight functions of the functions of the Inspector-General extend to the new Act in addition to the existing aged care laws.

Item 226 - Section 5 (paragraph (d) of the definition of aged care law )

This item amends paragraph (d) of the definition of 'aged care law' in section 5 of the of the Inspector-General of Aged Care Act 2023 by inserting at "(aa)," immediately following "paragraph (a)," to provide that a provision of a legislative instrument made under the new Act falls within the definition of an aged care law for the purposes of that Act.

Item 227 - Section 5 (subparagraph (b)(i) of the definition of protected information )

This item amends subparagraph (b)(i) of the definition of 'protected information' in the Inspector-General of Aged Care Act 2023 to repeal the subparagraph and substitute with 'a registered provider (within the meaning of the Aged Care Act 2024); or' to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 228 – Subparagraph 18(2)(d)(iii)

This item amends subparagraph 18(2)(d)(iii) of the Inspector-General of Aged Care Act 2023 to omit "under a provision of the Aged Care Quality and Safety Commission Act 2018", and substitute with "of an Appointed Commissioner under a provision of the Aged Care Act 2024" as required due to the repeal of the Aged Care Quality and Safety Commission Act 2018 and updated concepts and terminology within the new Act. An Appointed Commissioner is specified here, as while the powers under the Aged Care Quality and Safety Commission Act 2018 were vested in the Aged Care Quality and Safety Commissioner, under the new Act the relevant powers, duties and functions are vested in either the Aged Care Quality and Safety Commissioner or the Complaints Commissioner – both of which are Appointed Commissioners for the purposes of the new Act. The intent and application is unchanged.

Item 229 – Subparagraph 18(2)(d)(iv)

This item amends subparagraph 18(2)(d)(iv) of the Inspector-General of Aged Care Act 2023 to omit "Aged Care Quality and Safety Commission Act 2018", substitute "Aged Care Act 2024" as required due to the repeal of the Aged Care Quality and Safety Commission Act 2018. The intent and application is unchanged.

Item 230 – Paragraph 21(3)(c)

This item repeals paragraph 21(3)(c) of the Inspector-General of Aged Care Act 2023 and substitutes with:

(c) if the review relates to the exercise of powers, or the performance of functions or duties, of an Appointed Commissioner under a provision of the Aged Care Act 2024—the Commissioner of the Aged Care Quality and Safety Commission;

to reflect the repeal of the old Act and updated concepts and terminology within the new Act. An Appointed Commissioner is specified here, as while the powers under the Aged Care Quality and Safety Commission Act 2018 were vested in the Aged Care Quality and Safety Commissioner, under the new Act the relevant powers, duties and functions are vested in either the Aged Care Quality and Safety Commissioner or the Complaints Commissioner – both of which are Appointed Commissioners for the purposes of the new Act. The intent and application is unchanged.

Item 231 – Subsection 28(5)

This item amends subsection 28(5) of the Inspector-General of Aged Care Act 2023 to omit "1 March 2026", and substitute with "1 November 2027". This is due to the delay in commencement of the new Act, and to give the Inspector-General appropriate time to gather sufficient evidence on the impact of the new Act to inform their review.

Item 232 – Subsection 64(12)

This item amends subsection 64(12) of the Inspector-General of Aged Care Act 2023 to omit all the words after "if the", and substitute with:

disclosure:

(c)

is necessary to lessen or prevent a serious threat to the safety, health or well-being of an individual seeking to access, or accessing, funded aged care services (within the meaning of the Aged Care Act 2024); or

(d)

is for the purpose of, or in relation to, reporting a past threat to an individual's life, health or safety to an entity (within the meaning of the Aged Care Act 2024) that has regulatory, compliance or law enforcement functions.

This is required due to the repeal of the old Act and to reflect updated concepts and terminology within the new Act. It is further intended to maintain alignment of authorisations to use or disclose protected information under the Inspector-General of Aged Care Act 2023 with those under the new Act.

Military Rehabilitation and Compensation Act 2004

Item 233 – Subparagraph 286(1)(h)(ii)

This item amends subparagraph 286(1)(h)(ii) of the Military Rehabilitation and Compensation Act 2004 to omit "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" and substitute with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and reference equivalent provisions within the new Act. The intent and application is unchanged.

Item 234 – Paragraph 287(2A)(b)

This item amends paragraph 287(2A)(b) of the Military Rehabilitation and Compensation Act 2004 to omit "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" and substitute with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and reference equivalent provisions within the new Act. The intent and application is unchanged.

Item 235 - Subsection 409(5) (paragraph (e) of the definition of receiving Commonwealth body )

This item amends paragraph (e) of the definition of receiving Commonwealth body in subsection 409(5) of the Military Rehabilitation and Compensation Act 2004 to replace Aged Care Act 1997 with Aged Care Act 2024 under the definition of receiving Commonwealth body to reflect the repeal of the old Act. The intent and application is unchanged.

My Health Records Act 2012

Item 236 – Paragraph 43(a)

This item makes a consequential amendment to the My Health Records Act 2012 to clarify that an identified healthcare provider organisation, within the meaning of the Healthcare Identifiers Act 2010 is eligible for registration with the My Health Record system. This amendment, to reflect the new definition in the Healthcare Identifiers Act 2010 means that only a healthcare provider organisation who has been assigned a healthcare identifier under paragraph 9(1)(a) on the basis of subsection 9A(2), (3) or (9) under the Healthcare Identifiers Act is eligible.

The effect is to confirm that a healthcare support service provider, within the meaning of the Healthcare Identifiers Act 2010 is not eligible to register with the My Health Record system.

Item 237 – Subparagraph 45(ba)(ii)

This item amends subparagraph 45(ba)(ii) to reflect relevant changes made to the Healthcare Identifiers Act 2010 under this Bill. The item replaces reference to an individual who is a member of a professional association with an individual who is represented by a professional body, reflecting the updated provisions in the Healthcare Identifiers Act 2010.

Under section 45 of the My Health Records Act 2012, a healthcare provider organisation may only upload a record to the My Health Record system if certain conditions are met. Relevant to this amendment, where it is a record of a kind specified in the My Health Records Rules for the purposes of paragraph 45(b)(ii) in the Act, the record must have been prepared by an identified individual healthcare provider. This amendment also updates the requirement so that where the identifier was assigned on the basis that the individual is credentialed by a professional body, the credentials must not be conditional, suspended, cancelled or lapsed.

National Disability Insurance Scheme Act 2013

Item 238 - Section 9 (definition of entry )

This item amends section 9 of the National Disability Insurance Scheme Act 2013 to repeal the definition of entry. This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act.

Item 239 - Section 9 (definition of home care )

This item amends section 9 of the National Disability Insurance Scheme Act 2013 to repeal the definition of home care. This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act.

Item 240 – Section 9

This item amends section 9 of the National Disability Insurance Scheme Act 2013 to insert a definition of ongoing funded aged care service, which has the same meaning as in the new Act. The new definition reflects updated concepts and terminology within the new Act and is required to support the proper function of other amended provisions.

Item 241 - Section 9 (definition of residential care service )

This item amends section 9 of the National Disability Insurance Scheme Act 2013 to repeal the definition of residential care service. This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act.

Item 242 – Section 9

This item amends section 9 of the National Disability Insurance Scheme Act 2013 to insert a definition for specialist aged care program, which has the same meaning as in the new Act. The new definition reflects updated concepts and terminology within the new Act and is required to support the proper function of other amended provisions.

Item 243 – Paragraph 29(1)(b)

This item amends paragraph 29(1)(b) of the National Disability Insurance Scheme Act 2013 to omit "enters a residential care service on a permanent basis, or starts being provided with home care on a permanent basis" and substitute with "commences accessing ongoing funded aged care services on a permanent basis, other than under a specialist aged care program," to reflect the repeal of the old Act and to provide for the same circumstances to apply in relation to an individual accessing funded aged care services in line with updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 244 – Subsection 29(1) (note)

This item repeals the note under subsection 29(1) of the National Disability Insurance Scheme Act 2013 as it is no longer required due to related amendments.

National Health Act 1953

Item 245 - Subsection 93A(1) (paragraph (b) of the definition of prescribed institution )

This item amends paragraph 93A(1)(b) of the National Health Act 1953 to repeal the paragraph, and substitute with a new paragraph which provides that "an approved residential care home within the meaning of the Aged Care Act 2024." is a prescribed institution for the purposes of the National Health Act 1953. This is required due to the repeal of the Aged Care Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

National Health Reform Act 2011

Item 246 - Section 5 (definition of Aged Care Act )

This item amends the definition of 'Aged Care Act' in section 5 of the National Health Reform Act 2011 to refer to the new Act to reflect the repeal of the old Act. The intent and application is unchanged.

Item 247 – Paragraph 131A(1)(a)

This item amends paragraph 131A(1)(a) of the National Health Reform Act 2011 to remove reference to the Aged Care (Transitional Provisions) Act 1997 as required due to its repeal by the Aged Care (Consequential and Transitional Provisions) Act 2024. The intent and application is unchanged.

Item 248 – Subsection 131A(2)

This item amends subsection 131A(2) of the National Health Reform Act 2011 substitutes a reference to the Aged Care Act 1997 and Aged Care (Transitional Provisions) Act 1997 with a reference to the Aged Care Act 2024 as required due to the repeal of the old Act and Aged Care (Transitional Provisions) Act 1997. The intent and application is unchanged.

Item 249 – Paragraphs 131A(2)(a) and (b)

This item repeals paragraphs 131A(2)(a) and (b)of the National Health Reform Act 2011 to reflect the repeal of the old Act and Aged Care (Transitional Provisions) Act 1997 and the relevant Act now being the new Act. The intent and application is unchanged.

Item 250 – Subparagraph 211D(2)(b)(i)

This item amends subparagraph 211D(2)(b)(i) of the National Health Reform Act 2011 to replace the reference to section 52G-4 of the Aged Care Act 1997 with a reference to the equivalent provisions at section 290 in the new Act. The intent and application is unchanged.

Item 251 – At the end of subsection 220A(4)

This item amends subsection 220A(4) of the National Health Reform Act 2011 to add the Inspector-General of Aged Care to the list of agencies, bodies, or persons to which the Chair of the Pricing Authority may, in certain circumstances, disclose health care pricing and costing information and aged care information to. This change has been made to better enable the functions of the Inspector-General of Aged Care.

Item 252 – Subsection 279(5)

This item amends subsection 279(5) of the National Health Reform Act 2011 to omit a care recipient (within the meaning of the Aged Care Act) and a continuing care recipient (within the meaning of that Act)", and substitute with "an individual accessing funded aged care services (within the meaning of the Aged Care Act)" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Private Health Insurance Act 2007

Item 253 – Subparagraph 72-1(1)(c)(i)

This item amends subparagraph 72-1(1)(c)(i) of the Private Health Insurance Act 2007 to replace the text of that subparagraph with "the cost of funded aged care services (within the meaning of the Aged Care Act 2024); or". This is required due to the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Safety, Rehabilitation and Compensation (Defence Related Claims) Act 1988

Item 254 – Subsection 151A(1) (table item 2)

This item amends subsection 151A(1) of the Safety, Rehabilitation and Compensation (Defence Related Claims) Act 1988 to replace Aged Care Act 1997 with Aged Care Act 2024 to reflect the repeal of the old Act. The intent and application is unchanged.

Item 255 - Subsection 151A(4) (paragraph (e) of the definition of receiving Commonwealth body )

This item amends paragraph (e) of the definition of receiving Commonwealth body in subsection 151A(4) of the Safety, Rehabilitation and Compensation (Defence Related Claims) Act 1988 to replace Aged Care Act 1997 with Aged Care Act 2024 under the definition of receiving Commonwealth body to reflect the repeal of the old Act. The intent and application is unchanged.

Sex Discrimination Act 1984

Item 256 - Subsection 4(1) (paragraphs (a) and (b) of the definition of Commonwealth-funded aged care )

This item replaces paragraphs (a) and (b) of the definition of Commonwealth-funded aged care) in subsection 4(1) of the Sex Discrimination Act 1984 such that "funded aged care services (within the meaning of the Aged Care Act 2024)" and "activities carried out in accordance with an arrangement made under subsection 265(1) of the Aged Care Act 2024 for a purpose mentioned in paragraph 265(2)(d) or (e) of that Act" are included within that definition. This reflects the updated concepts and terminology used within the new Act. The intent and application is unchanged.

Social Security Act 1991

Item 257 – Subsection 4(9)

This item amends subsection 4(9) of the Social Security Act 1991 to omit all the words after "if the person" and substitute with "accesses short term funded aged care services (within the meaning of the Aged Care Act 2024) through the service group residential care (within the meaning of that Act) on that day" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 258 – After paragraph 8(8)(zm)

This item inserts a new paragraph 8(8)(zma) after paragraph 8(8)(zm) of the Social Security Act 1991 to exclude "a payment under section 186 of the Aged Care Act 2024" from being treated as income in an income assessment under the Social Security Act 1991. This ensures that any compensation payments for injury or illness arising from an entity contravening their duty as a provider to an individual within their care does not affect the person's income assessment under the Social Security Act 1991.

Item 259 – Paragraph 8(8)(zn) (note 3)

This item replaces the note following paragraph 8(8)(zn) of the Social Security Act 1991 with "Note 3: The operation of this paragraph is limited by subsection (10A)." This is required as subsection 8(10B) is repealed by the amendment at Item 262 of this Schedule.

Item 260 – Paragraph 8(8)(zna) (note 3)

This item replaces the note following paragraph 8(8)(zna) of the Social Security Act 1991 with "Note 3: The operation of this paragraph is limited by subsection (10A)." This is required as subsection 8(10B) is repealed by the amendment at Item 262 of this Schedule.

Item 261 – Paragraph 8(8)(znaa) (note 3)

This item replaces the note following paragraph 8(8)(znaa) of the Social Security Act 1991 with "Note 3: The operation of this paragraph is limited by subsection (10A)." This is required as subsection 8(10B) is repealed by the amendment at Item 262 of this Schedule.

Item 262 – Subsections 8(10A) and (10B)

This item repeals and replaces subsections 8(10A) and 8(10B) of the Social Security Act 1991 with:

(10A) Paragraphs (8)(zn), (zna) and (znaa) do not apply in relation to a person if:

(a)

those paragraphs did not apply in relation to the person immediately before the commencement of the Aged Care Act 2024; or

(b)

a period of 28 consecutive days ends after that commencement in which the person:

o

(i) was not provided with residential care or flexible care through a residential care service or a flexible care service; and

o

(ii) did not access ongoing funded aged care services in an approved residential care home;

other than because the person was on leave.

This amendment preserves the exclusions from the income tests applied to individuals who historically met the requirements of paragraphs (8)(zn), (zna) and (znaa) and began accessing funded aged care services prior to the commencement of the new Act.

In addition, this amendment will continue to apply the circumstances under which eligibility to those exclusions ceases to apply including where the circumstances occur within the framework established by the new Act.

As the replacement subsection addresses the matters previously addressed through subsections 8(10A) and (10B), subsection 8(10B) is repealed as it is no longer required.

Item 263 – Subsection 8(10C)

This item amends subsection 8(10C) of the of the Social Security Act 1991 to omit "or (10B) and in the Aged Care Act 1997" and substitute with "and in the Aged Care Act 2024 or the Aged Care Act 1997 (as in force immediately before the commencement of the Aged Care Act 2024)" to reflect the repeal of the old Act and the repeal of subsection 8(10B) by Item 262 of this Schedule. The intent and application is unchanged.

Item 264 – Subsection 8(10C)

This item amends subsection 8(10C) of the of the Social Security Act 1991 to omit "that Act" and substitute with "those Acts" to reflect changes made in Item 263 of this Schedule. The intent and application is unchanged.

Item 265 - Subsection 11(1) (definition of accommodation bond )

This item amends the definition of accommodation bond in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 266 - Subsection 11(1) (definition of accommodation bond balance )

This item amends the definition of accommodation bond balance in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 267 - Subsection 11(1) (definition of accommodation charge )

This item amends the definition of accommodation charge in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 268 - Subsection 11(1) (at the end of the definition of charge exempt resident )

This item amends the definition of charge exempt resident in subsection 11(1) of the Social Security Act 1991 to add "(as in force immediately before the commencement of the Aged Care Act 2024)" at the end of the definition to reflect the repeal of the old Act. The intent and application is unchanged.

Item 269 - Subsection 11(1) (definition of daily accommodation contribution )

This item amends the definition of daily accommodation contribution in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 270 - Subsection 11(1) (definition of daily accommodation payment )

This item amends the definition of daily accommodation payment in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 271 - Subsection 11(1) (definition of refundable deposit )

This item amends the definition of refundable deposit in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 272 - Subsection 11(1) (definition of refundable deposit balance )

This item amends the definition of refundable deposit balance in subsection 11(1) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 273 – Subparagraph 11A(8)(a)(i)

This item amends subparagraph 11A(8)(a)(i) of the of the Social Security Act 1991 to omit "(or would be accruing such a liability, assuming that no sanctions under Part 7B of the Aged Care Quality and Safety Commission Act 2018 were currently being imposed on the provider of the care concerned)" to reflect the repeal of the Aged Care Quality and Safety Commission Act 2018 and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 274 – Paragraph 11A(8)(a) (note 1)

This item amends paragraph 11A(8)(a) of the Social Security Act 1991 to omit "Note 1" and substitute "Note" to reflect the repeal of 'Note 2' in the same paragraph by this Act.

Item 275 – Paragraph 11A(8)(a) (note 2)

This item repeals Note 2 following paragraph 11A(8)(a) of the Social Security Act 1991 to reflect the repeal of the Aged Care (Transitional Provisions) Act 1997, to which it relates.

Item 276 – Subparagraphs 11A(8)(b)(i) and (ba)(i)

This item amends subparagraphs 11A(8)(b)(i) and (ba)(i) of the Social Security Act 1991 to omit "sanctions under Part 7B of the Aged Care Quality and Safety Commission Act 2018" and substitute with "conditions under section 143 of the Aged Care Act 2024" to reflect the repeal of the Aged Care Quality and Safety Commission Act 2018 and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 277 – Subsections 11A(8A) and (8B)

This item repeals and replaces subsections 11A(8A) and (8B) of the Social Security Act 1991 with:

(8A) Subsection (8) does not apply in relation to a person if:

•

that subsection did not apply in relation to the person immediately before the commencement of the Aged Care Act 2024; or

•

a period of 28 consecutive days ends after that commencement in which the person:

o

was not provided with residential care or flexible care through a residential care service or a flexible care service; and

o

did not access ongoing funded aged care services in an approved residential care home;

other than because the person was on leave.

This amendment preserves the exclusions from the income tests applied to individuals who historically met the requirements of subsection (8) and began accessing funded aged care services prior to the commencement of the new Act.

In addition, this amendment will continue to apply the circumstances under which eligibility to those exclusions ceases to apply including where the circumstances occur within the framework established by the new Act.

As the replacement subsection addresses the matters previously addressed through subsections 11A(8A) and (8B), subsection (8B) is repealed as it is no longer required.

Item 278 – Subsection 11A(8C)

This item amends subsection 11A(8C) of the Social Security Act 1991 to omit "or (8B) and in the Aged Care Act 1997" and substitute with "and in the Aged Care Act 2024 or the Aged Care Act 1997 (as in force immediately before the commencement of the Aged Care Act 2024)" to reflect the repeal of the old Act and the repeal of 11A(8B) by Item 277 of this Schedule. The intent and application is unchanged.

Item 279 – Subsection 11A(8C)

This item amends subsection 11A(8C) of the Social Security Act 1991 to omit "that Act" and substitute with "those Acts" to reflect changes made by Item 277 of this Schedule. The intent and application is unchanged.

Item 280 – Paragraph 13(8A)(b)

This item substitutes the text of paragraph 13(8A)(b) of the Social Security Act 1991 with "an approval to access funded aged care services in the service group residential care is in effect for the person under Division 3 of Part 2 of Chapter 2 of the Aged Care Act 2024". This is to reflect the repeal of the old Act and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 281 – Subsection 23(4CA)

This item substitutes the words following "if the person is" in subsection 23(4CA) of the Social Security Act 1991 with "accessing funded aged care services (other than under a specialist aged care program) through the service group residential care in an approved residential care home" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 282 – Subsection 23(4CB)

This item amends subsection 23(4CB) of the Social Security Act 1991 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Treatment Benefits (Special Access) Act 2019

Item 283 - Subsection 5(1) (paragraph (a) of the definition of hospital or other institution )

This item amends paragraph (a) of the definition of hospital or other institution in subsection 5(1) of the Treatment Benefits (Special Access) Act 2019 to include "an approved residential care home (within the meaning of the Aged Care Act 2024)" within the definition of hospital or other institution. This is to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 284 – Section 15

This item amends section 15 of the Treatment Benefits (Special Access) Act 2019 to omit and substitute "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and reference the equivalent provisions within the new Act. The intent and application is unchanged.

Item 285 – Paragraph 18(5)(b)

This item amends paragraph 18(5)(b) of the Treatment Benefits (Special Access) Act 2019 to omit and substitute "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" with "Part 2 of Chapter 4 of the Aged Care Act 2024" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 286 – Transitional—continuity of arrangements

This item provides that the amendment of the definition of hospital or other institution in subsection 5(1) of the Treatment Benefits (Special Access) Act 2019 made by this Schedule does not affect the continuity of any arrangement entered into in accordance with section 17 of that Act that was in force immediately before the commencement of this item. This is to ensure there is no disruption to current arrangements.

Veterans' Entitlements Act 1986

Item 287 – Paragraph 5H(8)(na)

This item amends paragraph 5H(8)(na) of the Veterans Entitlements Act 1986 to replace "under Part 3.1 of the Aged Care Act 1997 or Part 3.1 of the Aged Care (Transitional Provisions) Act 1997 made to an approved provider (within the meaning of the Aged Care Quality and Safety Commission Act 2018) in respect of care provided" with "made to a registered provider under Division 4 of Part 2 of Chapter 4 of the Aged Care Act 2024 in respect of care delivered" to reflect the repeal of the old Act and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 288 – Paragraph 5H(8)(nb)

This item amends paragraph 5H(8)(nb) of the Veterans Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 289 – After paragraph 5H(8)(nb)

This item inserts a new paragraph 5H(8)(nba) after paragraph 5H(8)(nb) to the Veterans Entitlements Act 1986 to exclude "a payment under section 186 of the Aged Care Act 2024" from being included as income in an income assessment under the Veterans' Entitlements Act 1986. This ensures that any compensation payments for injury or illness arising from an entity contravening their duty as a provider to an individual within their care does not affect the person's income assessment under the Veterans' Entitlements Act 1986.

Item 290 – Paragraph 5H(8)(nc) (note 1)

This item amends Note 1 following paragraph 5H(8)(nc) of the Veterans Entitlements Act 1986 to replace "Act 1997" with "Rules 2025" to reflect the repeal of the old Act and refer to the equivalent provisions in the Aged Care Rules 2025. The intent and application is unchanged.

Item 291 – Paragraph 5H(8)(nc) (note 4)

This item replaces the text of Note 4 following paragraph 5H(8)(nc) of the Veterans Entitlements Act 1986 with "The operation of this paragraph is limited by subsection (11A)." to reflect the repeal of subsection 11B by Item 295 of this Schedule.

Item 292 – Paragraph 5H(8)(nd) (note 3)

This item replaces the text of Note 3 following paragraph 5H(8)(nd) of the Veterans Entitlements Act 1986 with "The operation of this paragraph is limited by subsection (11A)." to reflect the repeal of subsection 11B by Item 295 of this Schedule.

Item 293 – Paragraph 5H(8)(ne)

This item amends paragraph 5H(8)(ne) of the Veterans Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 294 – Paragraph 5H(8)(nf) (note 3)

This item replaces the text of Note 3 following paragraph 5H(8)(nf) of the Veterans Entitlements Act 1986 with "The operation of this paragraph is limited by subsection (11A)." to reflect the repeal of subsection 11B by Item 295 of this Schedule.

Item 295 – Subsections 5H(11A) and (11B)

This item repeals and replaces subsections 5H(11A) and (11B) of the Veterans Entitlements Act 1986 with:

11A) Paragraphs (8)(nc), (nd) and (nf) do not apply in relation to a person if:

(a)

those paragraphs did not apply in relation to the person immediately before the commencement of the Aged Care Act 2024; or

(b)

a period of 28 consecutive days ends after that commencement in which the person:

(i)

was not provided with residential care or flexible care through a residential care service or a flexible care service; and

(ii)

did not access ongoing funded aged care services in an approved residential care home;

other than because the person was on leave.

This amendment preserves the exclusions from the income tests applied to individuals who historically met the requirements of paragraphs (8)(nc), (nd) and (nf) and began accessing funded aged care services prior to the commencement of the new Act.

In addition, this amendment will continue to apply the circumstances under which eligibility to those exclusions ceases to apply including where the circumstances occur within the framework established by the new Act.

As the replacement subsection addresses the matters previously addressed through subsections 5H(11A) and (11B), subsection (11B) is repealed as it is no longer required.

Item 296 – Subsection 5H(11C)

This item amends subsection 5H(11C) of the Veterans Entitlements Act 1986 to omit "or (11B) and in the Aged Care Act 1997", and substitute with "and in the Aged Care Act 2024 or the Aged Care Act 1997 (as in force immediately before the commencement of the Aged Care Act 2024)" due to the repeal of 5H(11B) by Item 295 of this Schedule. The intent and application is unchanged.

Item 297 – Subsection 5H(11C)

This item amends subsection 5H(11C) of the Veterans Entitlements Act 1986 to omit "that Act", and substitute with "those Acts" as required due to Item 296 of this Schedule.

Item 298 - Subsection 5L(1) (definition of accommodation bond )

This item amends the definition of accommodation bond in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 299 - Subsection 5L(1) (definition of accommodation bond balance )

This item amends the definition of accommodation bond balance in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 300 - Subsection 5L(1) (definition of accommodation charge )

This item amends the definition of accommodation charge in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 301 - Subsection 5L(1) (definition of daily accommodation contribution )

This item amends the definition of daily accommodation contribution in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 302 - Subsection 5L(1) (definition of daily accommodation payment )

This item amends the definition of daily accommodation payment in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 303 - Subsection 5L(1) (definition of refundable deposit )

This item amends the definition of refundable deposit of subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 304 - Subsection 5L(1) (definition of refundable deposit balance )

This item amends the definition of refundable deposit balance in subsection 5L(1) of the Veterans Entitlements Act 1987 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 305 – Subsection 5L(3B)

This item amends subsection 5L(3B) of the Veterans Entitlements Act 1987 to replace "Act 1997" with "Rules 2025" to reflect the repeal of the old Act and refer to the equivalent provisions in the Aged Care Rules. The intent and application is unchanged.

Item 306 – Subsection 5L(3B)

This item amends subsection 5L(3B) of the Veteran's Entitlements Act 1986 to omit "that Act" and substitute with "the Aged Care Act 2024. The intent and application is unchanged.

Item 307 – Subsection 5L(3BA)

This item amends subsection 5L(3BA) of the Veteran's Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 308 – Subparagraphs 5LA(8)(a)(i), (b)(i) and (ba)(i)

This item amends paragraphs 5LA(8)(a)(i), (b)(i) and (ba)(i) of the Veteran's Entitlements Act 1986 to replace "sanctions under Part 7B of the Aged Care Quality and Safety Commission Act 2018" with "conditions under section 143 of the Aged Care Act 2024" to reflect the repeal of the Aged Care Quality and Safety Commission Act 2018 and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 309 – Subsection 5LA(8) (note 1)

This item amends Note 1 following subsection 5LA(8) of the Veteran's Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 310 – Subsection 5LA(8) (note 4)

This item amends Note 4 following subsection 5LA(8) of the Veteran's Entitlements Act 1986 to omit all the words after "certain conditions are" and substitute with "met in accordance with rules made for the purposes of Chapter 4 of the Aged Care Act 2024" as required due to the repeal of the Aged Care (Transitional Provisions) Act 1997. The intent and application is unchanged.

Item 311 – Subsections 5LA(8A) and (8B)

This item repeals and replaces subsections 5LA(8A) and (8B) of the Veteran's Entitlements Act 1986 with:

(8A) Subsection (8) does not apply in relation to a person if:

(a) that subsection did not apply in relation to the person immediately before the commencement of the Aged Care Act 2024; or LI>

(b) a period of 28 consecutive days ends after that commencement in which the person:

(i) was not provided with residential care or flexible care through a residential care service or a flexible care service; and LI>

(ii) did not access ongoing funded aged care services in an approved residential care home;

other than because the person was on leave.

This amendment preserves the exclusions from the income tests applied to individuals who historically met the requirements of subsection (8) and began accessing funded aged care services prior to the commencement of the new Act.

In addition, this amendment will continue to apply the circumstances under which eligibility to those exclusions ceases to apply including where the circumstances occur within the framework established by the new Act.

As the replacement subsection addresses the matters previously addressed through subsections 5LA(8A) and (8B), subsection (8B) is repealed as it is no longer required.

Item 312 – Subsection 5LA(8C)

This item amends subsection 5LA(8C) of the Veteran's Entitlements Act 1986 to omit "or (8B) and in the Aged Care Act 1997" and substitute with "and in the Aged Care Act 2024 or the Aged Care Act 1997 (as in force immediately before the commencement of the Aged Care Act 2024)" to reflect the repeal of the old Act and subsection 5LA(8B). The intent and application is unchanged.

Item 313 – Subsection 5LA(8C)

This item amends subsection 5LA(8C) of the Veteran's Entitlements Act 1986 to omit "that Act" and substitute with "those Acts" as required due to the amendment made by Item 53.

Item 314 – Subsection 5N(1) (definition of residential care charge)

This item amends the definition of residential care charge in subsection 5N(1) of the Veteran's Entitlements Act 1986 to replace "an approved provider (within the meaning of the Aged Care Quality and Safety Commission Act 2018) for the provision" with "a registered provider (within the meaning of the Aged Care Act 2024) for the delivery" to reflect the repeal of the Aged Care Quality and Safety Commission Act 2018 and to refer to equivalent provisions and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 315 – Subsection 5N(1) (definition of residential care charge)

This item amends the definition of residential care charge in subsection 5N(1) of the Veteran's Entitlements Act 1986 to replace "the Aged Care Act 1997" with "that Act" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 316 – Subsection 5NC(5)

This item amends subsection 5NC(5) of the Veteran's Entitlements Act 1986 to replace all the words after "purposes of this Act" with "if the person is accessing ongoing funded aged care services (other than under a specialist aged care program) in an approved residential care home operated by a registered provider" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 317 – Subsection 5NC(8)

This item amends subsection 5NC(8) of the Veteran's Entitlements Act 1986 to replace all the words after "if the person" with "accesses short-term funded aged care services through the service group residential care" to reflect the repeal of the old Act and updated concepts and terminology within the new Act. The intent and application is unchanged.

Item 318 – Subsection 5NC(9)

This item amends subsection 5NC(9) of the Veteran's Entitlements Act 1986 to replace "and in the Aged Care Act 1997" with "or (8) and in the Aged Care Act 2024" to reflect the amendment made by item 58. The intent and application is unchanged.

Item 319 – Subsection 84(3A)

This item amends subsection 84(3A) of the Veteran's Entitlements Act 1986 to replace "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" with "Part 2 of Chapter 4 of the Aged Care Act 2024" due to the repeal of the old Act and the Aged Care (Transitional Provisions) Act 1997, and to refer to the equivalent provisions in the new Act. The intent and application is unchanged.

Item 320 – Paragraph 90(1B)(b)

This item amends paragraph 90(1B)(b) of the Veteran's Entitlements Act 1986 to replace "Chapter 3 of the Aged Care Act 1997 or of the Aged Care (Transitional Provisions) Act 1997" with "Part 2 of Chapter 4 of the Aged Care Act 2024" due to the repeal of the old Act and the Aged Care (Transitional Provisions) Act 1997, and to refer to the equivalent provisions in the new Act. The intent and application is unchanged.

Item 321 - Section 131 (paragraph (f) of the definition of receiving Commonwealth body )

This item amends paragraph (f) of the definition of receiving Commonwealth body in section 131of the Veteran's Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 322 – Subclause 12(2) of Schedule 5 (note)

This item amends the note following subclause 12(2) of Schedule 5 of the Veteran's Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 323 – Subclauses 13(1) and (2) of Schedule 5 (note 1)

This item amends Note 1 following subclauses 13(1) and (2) of Schedule 5 of the Veteran's Entitlements Act 1986 to replace "1997" with "2024" to reflect the repeal of the old Act. The intent and application is unchanged.

Item 324 – Subclauses 13(1) and (2) of Schedule 5 (note 2)

This item amends Note 2 following subclauses 13(1) and (2) of Schedule 5 of the Veteran's Entitlements Act 1986 to replace "1997" with "1997 (as in force immediately before the commencement of Schedule 1 to the Aged Care and Other Legislation Amendment (Royal Commission Response) Act 2022): see also" to assist the reader to understand the intended function of these provisions.

Item 325 - Clause 17 of Schedule 5 (at the end of the definition of charge exempt resident )

This item amends clause 17 of Schedule 5 (at the end of the definition of charge exempt resident) of the Veteran's Entitlements Act 1986 to add "(as in force immediately before the commencement of Schedule 1 to the Aged Care and Other Legislation Amendment (Royal Commission Response) Act 2022)" to assist the reader to understand the intended function of this provision.