House of Representatives

Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Bill 2024

Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2025

Explanatory Memorandum

(Circulated by authority of the Minister for Veterans' Affairs and Minister for Defence Personnel, the Honourable Matthew James Keogh MP)

Schedule 4 - Merging Commissions

This schedule will create a single body to administer veterans' compensation legislation, simplifying governance arrangements within the Veterans' Affairs portfolio, by consolidating the powers of the existing two commissions, the Repatriation Commission and the MRCC, into the Repatriation Commission.

The Repatriation Commission and the MRCC share equivalent functions, and the consolidation of powers and functions of the two entities into the Repatriation Commission will realise administrative and decision-making efficiencies for both the Commission and DVA. Transferring all powers to the Repatriation Commission, rather than selecting which powers should be transferred, allows for the Commission to exercise its powers with greater flexibility and certainty. It also means that all powers formerly held by the MRCC will have a repository in the Repatriation Commission.

This schedule will:

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transfer the powers and functions of the MRCC into the Repatriation Commission
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continue the roles of the Repatriation Commission under the MRCA.

Divisions 2 and 3 of Schedule 7 set out the transitional provisions relating to the Repatriation Commission and the MRCC.

Military Rehabilitation and Compensation Act 2004

Item 1 amends section 3 which describes the general purpose and practices of the Act, to replace the reference to the MRCC with Repatriation Commission, being the name of the single governing body upon commencement of the Simplification Act.

Items 2 to 9 update definitions in subsection 5(1) relating to the MRCC and the Repatriation Commission, and consolidate the terms which refer to the membership under the restructure.

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appointed Commissioner is inserted distinguish a person who is a Commissioner other than the President, in place of appointed Commission member and Commission member
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Commission is updated to reference the Repatriation Commission, as continued in existence by new section 360B, instead of the MRCC
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Commissioner is inserted to mean a Commissioner or the President
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Commission Chair is repealed as it is no longer required with the merging of the Commissions
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President is inserted to mean President of the Commission
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Repatriation Commission is no longer required as a defined term, with the merging of the Commissions.

Items 10 and 11 amend the definition of trust funds in subsection 5(1) to make clear that the amounts received and managed by the trustee includes compensation and other benefits.

Items 12 to 22 update references to a trustee arrangement in subsections 49(1), 59(1), 83(1), 207(1), the note after subsection 220(1), subsections 224(1) and (5), the notes after subsections 224(6), 230(1), and section 238, subsection 241(1) including the note, subsections 248(1) and (5) and the note after subsection (6), the notes after subsection 257(1) and section 264, subsections 268(1), 288G(1), and the notes after subsection 296(1) and section 299, and subsections 303(1), (5) and the note after subsection (6). These updates reflect throughout the Act that the Commission may appoint a trustee, or the Commission may assume the office of trustee.

Item 23 repeals and replaces Chapter 9 to abolish the MRCC and sets out the continuation of the Repatriation Commission under this Act, conferring functions and powers that operate across the VEA, DRCA and MRCA. Of note is that the membership of the Repatriation Commission will undergo some changes, as detailed at subsection 360C.

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The Secretary of DVA is to continue to hold the position of President. If the office of President is vacant (for instance, if the Secretary is on a leave of absence), the Acting Secretary will, by default, hold the office of President.
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The provisions will set out for the appointment of two full-time commissioners:

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one person from a list of names submitted by organisations representing veterans, known as the Repatriation Commissioner
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one person whom the Minister is satisfied will represent families, known as the Veteran Family Advocate Commissioner.

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The provisions will set out for other appointments on a part-time basis:

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a person nominated by the Chief of the Defence Force (a variation from the existing two members of the MRCC nominated by the Defence Minister)
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a person representing Comcare
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a person representing the Commonwealth Superannuation Corporation and
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up to three additional commissioners as determined by the Minister.

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There will no longer be a Deputy President position, or a commissioner known as the Defence Engagement Commissioner.

The new Chapter draws largely on Part XI of the VEA, integrated with the provisions and language that were specific to the MRCC. Some of the VEA and previous MRCA sections are replicated with only technical updates to terminology or referenced legislative provisions, or to reflect conventional drafting and notification practices. This table provides a ready reference between the new and old provisions.

MRCA Chapter 9 – Repatriation Commission Based on ... Extent of change
Section 360A Simplified outline of this Chapter - New – navigation guide
Section 360B Establishment VEA section 179 Provides for the continuance of the Commission and reflects drafting conventions.
Section 360BA Application of the Public Governance, Performance and Accountability Act 2013 to the Commission VEA section 179A No change.
Section 360BB Functions of the Commission VEA section 180 and MRCA section 362 Reflects the merger with the MRCC for activities under this Act, the DRCA and the VEA, and omits the function to establish, operate, or maintain hospitals and similar treatment facilities.
Section 360BC Powers of the Commission VEA section 181 Reflects drafting conventions and omits the power to acquire, hold and dispose of property.
Section 360C Membership VEA subsections 182(1), (3) and (4) and MRCA paragraphs 364(1)(b)(ii) and (ii) Detailed above.
Section 360CA Appointment of Commissioners VEA subsection 181(2) Reflects updated terminology and standard appointment practices. A note is added to inform readers that the President of the Commission is not an appointed position.
Section 360CB Period and basis of appointment VEA subsections 182(5) and (7) and MRCA subsection 364(4) Reflects the merger with the MRCC and includes a note to inform readers that the Acts Interpretation Act 1991provides guidance on reappointment.
Section 360CC Acing appointments VEA sections 191, and 193; MRCA sections 367 and 367 Clarifies that a person acting as DVA Secretary will also assume the role of acting President of the Commission. Informs readers that the Secretary's appointment is set out in the Public Service Act 1991.

Updates reflect drafting conventions and relies on the Acts Interpretation Act 1991 for the rules and power of on acting appointment.
Section 360CD Remuneration VEA paragraph 184(c), section 185 and MRCA section 369 Limited – updated terminology and reflects drafting conventions. A note is added to inform readers that the President of the Commission is not an appointed position.
Section 360CE Leave of absence VEA section 186 Includes provision for part-time appointments.
Section 360CF Other paid work - New - consistent with the protection on similar appointments, where permission is required to undertake any other paid work. The intent is to ensure the discharge of duties by a full-time Board member is not adversely affected and no conflict of interest arises.
Section 360CG Other terms and conditions VEA subsection 182(8) and MRCA subsection 365(4) Limited – updated terminology and reflects drafting conventions.
Section 360CH Resignation VEA section 187 and MRCA section 371 Updates to terminology and reflects drafting conventions. Also sets out the effective date.
Section 360CI Termination of appointment VEA subsections 188(1)and (6) and MRCA section 372 Updates to terminology and reflects drafting conventions and termination of appointment practices.
Section 360CJ Suspension of appointment VEA subsections 188(2) and (5) Adds that on the recommendation of the Minister, the Governor-General may terminate the appointment of a suspended Commissioner, to continue the suspension for a specified period, or to end the suspension.
Section 360CK Commissioner to disclose any interest in claims etc. VEA section 189 and MRCA sections 379 and 380 Reflects the merger with the functions of the MRCC and includes a guidance note to inform readers that delegates of the Commission, are subject to disclosure requirements of the Public Service Act 1999 or contract conditions, instead of this section.
Section 360CL Convening meetings VEA subsections 195(1) and (2) and MRCA section 373 Reflects drafting conventions and sets out that a meeting is to be convened within 30 days of the conditions being met.
Section 360CM Presiding at meetings VEA subsections 195(3) and (5) and MRCA section 374 Limited - reflects drafting conventions.
Section 360CN Quorums VEA paragraph 195(6)(a) and MRCA section 375 Reflects the updated membership and quorum is to consist of a simple majority. If necessary as a result of a Commissioner not partaking in deliberations due to a conflict of interest, a direction by the Minister, or a requirement under the PGPA rules, the remaining Commissioners at the meeting would constitute a quorum.
Section 360CO Voting at meetings VEA paragraphs 195(6)(b), (c) and (d) and MRCA subsection 376(2) The commissioner presiding at a meeting has both a deliberative and, if necessary, a casting vote.
Section 360CP Conduct of meetings VEA subsection 195(7) and MRCA subsection 378(1) Updates reflect drafting conventions and relies on the Acts Interpretation Act 1991 on meeting participation.
Section 360CQ Minutes VEA subsection 195(7) and MRCA subsection 378(3) Limited – reflects drafting conventions.
Section 360CR Decisions without meetings MRCA section 377 Adds that a Commissioner is not entitled to vote in a decision without a meeting, if they would not have been entitled to vote on that proposal in a meeting. Consistent with decisions made at Commission meetings, there is a requirement that records be kept of all decisions made without meetings.
360D Staff VEA section 196 and MRCA section 382 Adds that staff are subject to the directions of the Commission.
Section 360DA Contractors VEA paragraph 181(3)(d) and MRCA section 383 Limited – reflects drafting conventions.
Section 360DB Delegation by the Commission VEA section 213 and MRCA section 384 Reflects drafting conventions and includes a guidance note refers readers to sections 34AA to 34A of the Acts Interpretation Act 1901, which contain the principles relating to the effect of delegation and the exercise of delegated powers.
Section 360DC Annual Report VEA subsection 215(4) and MRCA section 385 Limited – updates to terminology and reflects drafting conventions, including a note to inform readers that the Acts Interpretation Act 1991 sets out extra requirements.

Item 24 repeals paragraph (d) of the definition of a receiving Commonwealth body in subsection 409(5) which refers to the Repatriation Commission, as the distinction is no longer necessary, upon the merging of the Commissions as a single administrative body.

Items 25 updates paragraphs 410(1)(a) and (2)(a) and 411(1)(a), consequential to the updated definitions in subsection 5(1). These changes do not affect the operation of these legal provisions regarding official documents or statements signed by former Commissioners.

Item 26 inserts new subsections 427A and 427B dealing with the capacity for the Commission to accept contributions and to administer trusts, based on sections 200 and 201 of the VEA. The item replicates the existing provisions to provide that the Commission may apply the contribution for a purpose specified by the donor, or for application by the Commission, as it deems fit, for carrying out its functions or duties.

The Commission may be appointed as a trustee, may act as a trustee (for example, under the will of a veteran who bequeaths property on trust), and it may decline to do so, or accept an appointment conditionally. The provision also sets out the powers regarding the investment of trust funds, allowing the management of the investment portfolio be delegated, while the Commission retain the duties and liabilities as trustee.

Items 27, 28 and 29 amend subsection 430A, which deals with the administrative arrangements for managing account details and a person's payments under the VEA and this Act. The items update the heading of subsection 430A and make changes to subsection (1) to insert the new defined term of Commissioner. Subsections (2) to (4) are replaced to reflect the merging of the Commissions, thus the disclosure obligations are no longer applicable as there will be a single administrative body across the two Acts. Corresponding changes to the VEA are made by items 60 and 61.

Items 30 to 39 update provisions dealing with trusts and trustees in sections 432 to 435 to reflect the consolidation of the arrangements across the VEA, the DRCA and the MRCA. In some circumstances, it may be necessary to appoint trustees to manage a person's payments. This is not a common occurrence but may be needed where the person does not have the capacity to look after their compensation due to a legal disability, or for children of deceased veterans without a primary carer. The Commission has the discretion to appoint the Commonwealth or any other person to be trustee or assume the office of the trustee itself.

Item 40 updates the reference to a Commissioner in paragraph 437A(1)(a), consequential to the updated definitions in subsection 5(1).

Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988

Items 41 and 42 insert a definition of Commission referring to the meaning in the MRCA and repeals the term MRCC.

Item 43 repeals section 110, which is no longer necessary as trustee provisions are consolidated under the MRCA.

Items 44, 45 and 46 replace references to the MRCC with Commission, in subsections 4(1) and 115(2) and section 140, and throughout this Act.

Veterans' Entitlements Act 1986

Items 47 makes a technical change to section 5 Definitions – simplified outline, consequential to item 49.

Item 48 repeals section 5A which deals with definitions relating to the Repatriation Commission.

Items 49 to 56 reflect the update or deletion of provisions and definitions in the VEA, to give effect to the move of the legislative authority for the Commission to the MRCA.

Item 57 updates section 58C which deals with the general administration of payments to refer to the trustee provisions in the MRCA.

Item 58 updates subsection 91(8) which deals with the preparation of the Repatriation Pharmaceutical Benefits Scheme to reflect the merging of the Commissions.

Item 59 updates the reference to the MRCC in the note at the end of section 106 to reflect the Commission may also grant special assistance under the MRCA.

Items 60 and 61 update references to the use and disclosure of account details in section 122 and interaction with the Privacy Act 1988, which corresponds to section 430A of the MRCA. Changes to subsection 122AA(1) reflects the new defined term of Commissioner in subsection 5Q(1). The items align with the changes made by items 27 to 30 to the MRCA.

Item 62 repeals paragraph (c) of the definition of receiving Commonwealth body in section 131 referring to the MRCC, as the term is redundant.

Item 63 repeals Part XI, which is no longer necessary, as the continuation of the Repatriation Commission, its functions and powers, are set out in Chapter 9 of the MRCA.

Item 64 repeals sections 200 to 202B dealing with the Commission accepting contributions and with trusts and trustees, which are no longer necessary, as the provisions which set out trustee arrangements are contained in the MRCA.

Items 65 updates the reference to the MRCC in subsection 203(4) to reflect the merging of the Commissions for the purposes of administering international arrangements.

Items 66, 67 and 68 amend section 212 which deals with delegation by the Minister and reflect the new defined term of Commissioner being inserted in subsection 5Q(1).

Item 69 repeals sections 213 and 215 which is no longer necessary, as delegation by the Commission and the preparation of an annual report are set out in sections 360DB and 360DC of the MRCA respectively.

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