House of Representatives

Explanatory Memorandum

(Circulated by the authority of the Hon. Joe Hockey, Minister for Human Services)

Schedule 2 - Amendments relating to the Health Insurance Commission

Part 2 - Consequential amendments

The Bill will make a number of consequential amendments to other Acts as follows:

Item 80 - Administrative Decisions (Judicial Review) Act 1977

The Bill amends this Act by omitting reference to the "Health Insurance Commission" in paragraph (k) of Schedule 2 (the current effect of the reference in Schedule 2 is to exempt decisions of HIC in respect of commercial activities from the application of section 13 of the Act, which requires the giving of reasons for decisions). It is not intended that a corresponding exemption apply to Medicare Australia, hence reference to Medicare Australia is not to be made in paragraph (k) of Schedule 2.

A transitional provision applies to ensure the ongoing operation of the exemption to HIC decisions made prior to the commencement date.

Items 84 to 89 - A New Tax System (Family Assistance) (Administration) Act 1999

The Bill amends this Act by:

(a)

omitting references to the "Health Insurance Commission" and replacing those references with "Medicare Australia", reflecting that the Bill establishes Medicare Australia (which replaces HIC); and

(b)

omitting references to the "Managing Director of the Commission" or the "Managing Director of the Health Insurance Commission", and replacing those references with the "Chief Executive Officer of Medicare Australia" reflecting that the Bill establishes Medicare Australia (which replaces HIC) with HIC's functions and powers being vested in the new position of CEO.

The Bill also adds a new section (ba) to the definition of "protected information" which clarifies that the definition will continue to cover information about a person obtained by an officer under the family assistance law, that was held in the records of the Health Insurance Commission, even if such information is not transferred to the new Medicare Australia.

Items 90 and 91 - Freedom of Information Act 1982

The Bill amends this Act by omitting reference to the "Health Insurance Commission" in Division 1 of Part II of Schedule 2, and replacing the reference with "Medicare Australia", reflecting the Bill's establishment of Medicare Australia (which replaces HIC).

Item 398 - Income Tax Assessment Act 1936

The Bill amends section 16(4) of this Act by omitting reference to the "Health Insurance Commission" reflecting the Bill's abolition of the Health Insurance Commission and replacing such reference with "the Chief Executive Officer of Medicare Australia" reflecting the establishment of Medicare Australia, with relevant functions, powers and duties being invested in the new position of CEO.