Senate

Revised Supplementary Explanatory Memorandum

Circulated by the authority of the Minister for Families, Housing, Community Services and Indigenous Affairs, the Hon Jenny Macklin MP

Government amendments

Notes On Amendments

Amendment 1 amends the commencement clause in the Bill. The amended clause provides for the delayed disability support pension residence measure, and the new portability measure, to commence on 1 July 2011. The beneficial special disability trusts measure in Schedule 1 will continue to commence with effect from 1 January 2011.

Amendment 2 changes the title of Schedule 2 to reflect the inclusion in the Schedule of the new disability support pension portability measure, along with the original disability support pension residence measure.

Amendment 3 inserts, ' 1218AB' into a table item substituted by item 7 of Schedule 2. This is to make sure item 7 still operates correctly in view of the insertion of the new section 1218AB, relating to the disability support pension portability measure.

Amendment 4 inserts section 1218AB into the Social Security Act 1991 . Subsection 1218AB(1) provides that the Secretary may extend portability for a disability support pensioner who accompanies a family member overseas, provided that the qualifying circumstances set out in the section are met. The disability support pensioner must be severely disabled, must be wholly or substantially dependent on the family member, and must be living with the family member during the proposed absence from Australia. The family member must be working in Australia for an employer before working overseas for that employer. If the Secretary extends portability in these circumstances for a period, the disability support pensioner will continue to be paid the pension during that period.

Subsection 1218AB(2) provides for the duration of the extended portability period. Should any of the qualifying circumstances set out in subsection (1) cease to exist (for example, should the family member cease employment with the employer he or she was working for immediately before the period of absence), the qualifying circumstance set out in paragraph 1218AB(1)(f) would cease to exist, enabling the Secretary to revoke the determination.

Subsection 1218AB(3) provides that the Secretary may revoke a determination to extend portability.

Subsection 1218AB(4) is for the benefit of readers. This subsection makes clear that a determination under subsection (1) is not a legislative instrument within the meaning of the Legislative Instruments Act 2003 .