House of Representatives

Explanatory Memorandum

(Circulated by the authority of the Minister for Industry, Science and Technology, Senator the Hon Peter Cook)

NOTES ON CLAUSES

PART 1 - PRELIMINARY

Clause 1 - Short title

This clause would provide for this Act to be cited as the "Student Assistance (Youth Training Allowance - Transitional Provisions and Consequential Amendments) Act 1994".

Clause 2 - Commencement

This clause would provide for the commencement of the provisions of the Act to be on 1 January 1995, immediately following the commencement of the Student Assistance (Youth Training Allowance) Amendment Act 1994.

PART 2 - SAVING AND TRANSITIONAL PROVISIONS

Clause 3 - Definition of "YTA introduction day"

This clause would define the term 'YTA introduction day' to mean the day the Student Assistance (Youth Training Allowance) Amendment Act 1994 commences.

Clause 4 - Certain job search allowances to continue even though allowee is under 18 years of age

This clause would provide that if a determination granting a claim for job search allowance under the Social Security Act 1991 was in force immediately before the YTA introduction day and the person was under 18 years of age on that day then the person will remain on job search allowance.

Clause 5 - Outstanding claims for job search allowance

This clause would set out rules for determining whether claims under the Social Security Act 1991 for job search allowance which have been lodged by persons under the age of 18 years and which have not been determined before the YTA introduction day should be determined in accordance with the Social Security Act 1991 or the Student and Youth Assistance Act 1994.

New subclause 5(2) would require the claim to be considered in the first instance under the Social Security Act 1991 as if the Student Assistance (Youth Training Allowance) Amendment Act 1994 had not been enacted.

New subclause 5(3) would provide that, if consideration of the claim in accordance with new subclause 5(2) resulted in the person's commencement date for payment of job search allowance being a day earlier than the YTA introduction date, the claim is to be treated under the Social Security Act 1991.

New subclause 5(4) would provide, that if consideration of the claim resulted in the person's commencement date for payment of job search allowance having effect on the YTA introduction day or a later day, then the claim is taken to be a claim for youth training allowance and from then on to be treated under Part 8 of the Student and Youth Assistance Act 1973.

Clause 6 - New claims for job search allowance or youth training allowance

This clause would provide for the situations where, after the YTA introduction day, a person who is under the age of 18 years lodges a claim under either the Social Security Act 1991 for job search allowance or Part 8 of the Student and Youth Assistance Act 1973 for youth training allowance. New subclause 6(2) would deem a claim for a job search allowance to be a claim for youth training allowance under the Student and Youth Assistance Act 1973 and provide that the claim be considered under the Student and Youth Assistance Act 1973.

New subclause 6(3) would provide that, if consideration of the claim resulted in the person's commencement date for payment of job search allowance having effect a day earlier than the YTA introduction date, the claim is to be treated under the Social Security Act 1991.

New subclause 6(4) would provide, that if consideration of the claim resulted in the person's commencement date for payment of job search allowance having effect on the YTA introduction day or a later day, then the claim is taken to be a claim for youth training allowance and from then on be treated under Part 8 of the Student and Youth Assistance Act 1973.

Clause 7 - Saving of certain instruments in force under Social Security Act

This clause would preserve the effect of an instrument made in respect of a provision in Part 2.11 of the Social Security Act 1991 in force immediately before the YTA introduction day which relates to a person under the age of 18 years.

Such an instrument would have effect after the YTA introduction day as if it were an instrument made for the purposes of the corresponding provision in Part 8 of the Student and Youth Assistance Act 1973.

Subclause 7(2) would provide examples of the nature of 'instrument' as referred to in subclause (1).

Subclause 7(3) would provide that subclause 7(1) would not apply to a delegation or determination under Clause 4.

Subclause 7(4) would provide for instruments, to which subclause (1) applies and which have effect for limited periods, to be effective after the YTA introduction day only for the period which had not expired before the YTA commencement day.

Clause 8 - This Part overrides Social Security Act and Part 8 of Student and Youth Assistance Act

Clause 8 would provide for the saving and transitional provisions to have effect despite anything in the Social Security Act 1991 or Part 8 of the Student and Youth Assistance Act 1973.

Part 3 - Amendments of the Social Security Act 1991

Clause 9 - Amendments

Clause 9 would provide for the Social Security Act 1991 to be amended as set out in Schedule 1 and Schedule 2.

Part 4 - Amendments of other Acts

Clause 10 - Amendments

This clause would amend other Commonwealth Acts as set out in Schedule 3 as a consequence of the Student Assistance (Youth Training Allowance) Amendment Act 1994.