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HEALTH LEGISLATION AMENDMENT BILL (NO. 3) 2001

1998-1999-2000-2001

The Parliament of the
Commonwealth of Australia

HOUSE OF REPRESENTATIVES



Presented and read a first time









Health Legislation Amendment Bill (No. 3) 2001

No. , 2001

(Health and Aged Care)



A Bill for an Act to amend legislation relating to health, and for related purposes



Contents

Therapeutic Goods Act 1989 3

Therapeutic Goods Amendment (Medical Devices) Act 2001 8

Health Insurance Act 1973 9

Health Insurance Amendment (Professional Services Review) Act 1999 17

Health Insurance Commission (Reform and Separation of Functions) Act 1997 19

Health Insurance Act 1973 20

National Health Act 1953 21

Health Insurance Act 1973 22

A Bill for an Act to amend legislation relating to health, and for related purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Health Legislation Amendment Act (No. 3) 2001.

2 Commencement

(1) Subject to this section, this Act commences on the 28th day after the day on which it receives the Royal Assent.

(2) If Schedule 1 to the Therapeutic Goods Amendment (Medical Devices) Act 2001 commences before this section, items 3 and 21 of Schedule 1 to this Act do not commence.

(3) If Schedule 1 to the Therapeutic Goods Amendment (Medical Devices) Act 2001 does not commence before this section:

(a) item 4 of Schedule 1 to this Act does not commence; and

(b) item 21 of Schedule 1 to this Act commences immediately after the commencement of Schedule 1 to the Therapeutic Goods Amendment (Medical Devices) Act 2001.

(4) Schedule 4 commences at the later of:

(a) the time when Parts 4 to 10 of the Administrative Review Tribunal Act 2001 commence; and

(b) immediately after the commencement of Schedule 2 to this Act.

(5) Schedule 6 commences, or is taken to have commenced, immediately after the commencement of item 15 of Schedule 1 to the Health Legislation Amendment (Medical Practitioners’ Qualifications and Other Measures) Act 2001.

3 Schedule(s)

Subject to section 2, each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Therapeutic Goods


Therapeutic Goods Act 1989

1 Subsection 3(1) (definition of approved conformity assessment body)

Repeal the definition.

2 Subsection 3(1) (definition of conformity assessment body)

Repeal the definition.

3 Subsection 3(1) (definition of conformity assessment certificate)

Repeal the definition.

4 Subsection 3(1) (definition of conformity assessment certificate)

Repeal the definition, substitute:

conformity assessment certificate means a certificate issued under section 41EE.

5 Subsection 3(1)

Insert:

EC/EFTA attestation of conformity means an attestation of conformity (within the meaning of the EC Mutual Recognition Agreement or the EFTA Mutual Recognition Agreement) issued by an EC/EFTA conformity assessment body that is approved by the Secretary in writing.

6 Subsection 3(1)

Insert:

EC/EFTA conformity assessment body means a Conformity Assessment Body designated in one of the following Sectoral Annexes to the EC Mutual Recognition Agreement or the EFTA Mutual Recognition Agreement:

(a) Sectoral Annex (Medical Devices);

(b) Sectoral Annex (Medicinal Products GMP Inspection and Batch Certification).

7 Subsection 3(1)

Insert:

international instrument means:

(a) any treaty, convention, protocol, agreement or other instrument that is binding in international law; and

(b) a part of such a treaty, convention, protocol, agreement or other instrument.

8 Subsection 3(1)

Insert:

non-EC/EFTA attestation of conformity, for a non-EC/EFTA MRA, means an attestation of conformity issued, after the non-EC/EFTA MRA has come into force, by a conformity assessment body that is designated in the non-EC/EFTA MRA and approved by the Secretary in writing for the non-EC/EFTA MRA.

9 Subsection 3(1)

Insert:

non-EC/EFTA MRA means an international instrument that Australia is bound by, or is a party to, if:

(a) a purpose of the instrument is the recognition of attestations of conformity; and

(b) the instrument satisfies the requirements (if any) set out in regulations made for the purposes of this paragraph;

but does not include:

(c) the EC Mutual Recognition Agreement; or

(d) the EFTA Mutual Recognition Agreement.

10 After section 3A

Insert:

3B Declaration—country covered by non-EC/EFTA MRA

(1) The Minister may declare, in writing, that a country specified in the declaration is covered by the non-EC/EFTA MRA specified in the declaration.

(2) A declaration under subsection (1) must be published in the Gazette.

11 At the end of section 24D

Add:

(6) Despite subsection (5), if:

(a) the Secretary has given the applicant all evaluation reports relating to the application; and

(b) the Secretary has given those reports, or proposes to give those reports, to a committee established under the regulations to advise the Secretary on applications to register therapeutic goods to which subsection (1) applies; and

(c) the applicant withdraws the application after being given the reports, and before the end of the period mentioned in subsection (1);

the evaluation is taken for the purposes of subsections (2), (3) and (4) to be completed immediately before the time of withdrawal.

12 Subparagraph 25(2)(a)(i)

Repeal the subparagraph, substitute:

(i) if the goods are not therapeutic devices and a step in the manufacture of the goods has been carried out in a country that is a member of the European Community or a member of EFTA—an EC/EFTA attestation of conformity in relation to the goods; or

(ia) if the goods are not therapeutic devices and a step in the manufacture of the goods has been carried out in a country declared by the Minister under section 3B to be covered by a non-EC/EFTA MRA—a non-EC/EFTA attestation of conformity, for the non-EC/EFTA MRA, in relation to the goods; or

13 Paragraph 25B(1)(b)

Omit “a conformity assessment certificate”, substitute “an EC/EFTA attestation of conformity”.

Note: The heading to section 25B is altered by omitting “conformity assessment certificate” and substituting “EC/EFTA attestation of conformity”.

14 Subparagraph 26(2)(a)(i)

Repeal the subparagraph, substitute:

(i) if the goods are not therapeutic devices and a step in the manufacture of the goods has been carried out in a country that is a member of the European Community or a member of EFTA—an EC/EFTA attestation of conformity in relation to the goods; or

(ia) if the goods are not therapeutic devices and a step in the manufacture of the goods has been carried out in a country declared by the Minister under section 3B to be covered by a non-EC/EFTA MRA—a non-EC/EFTA attestation of conformity, for the non-EC/EFTA MRA, in relation to the goods; or

15 Paragraph 26AA(1)(b)

Omit “a conformity assessment certificate”, substitute “an EC/EFTA attestation of conformity”.

Note: The heading to section 26AA is altered by omitting “conformity assessment certificate” and substituting “EC/EFTA attestation of conformity”.

16 Subparagraph 26A(4)(a)(i)

Repeal the subparagraph, substitute:

(i) if a step in the manufacture of the medicine has been carried out in a country that is a member of the European Community or a member of EFTA—an EC/EFTA attestation of conformity in relation to the medicine; or

(ia) if a step in the manufacture of the medicine has been carried out in a country declared by the Minister under section 3B to be covered by a non-EC/EFTA MRA—a non-EC/EFTA attestation of conformity, for the non-EC/EFTA MRA, in relation to the medicine; or

17 After paragraph 37(1)(d)

Insert:

(da) if the applicant proposes to carry out steps in the manufacture of blood or blood components under the licence—contain information relating to those steps set out in regulations made for the purposes of this paragraph; and

18 After paragraph 40(4)(a)

Insert:

(aa) if:

(i) the holder of the licence carries out, or proposes to carry out, steps in the manufacture of blood or blood components under the licence; and

(ii) regulations made for the purposes of this paragraph set out particular information relating to those steps;

comply with a request by the Secretary to provide such information, in accordance with those regulations; and

19 Application

(1) The amendment made by item 11 applies in relation to applications made on or after the commencement of that item.

(2) The amendment made by item 17 applies in relation to applications for licences made on or after the commencement of that item.

(3) Paragraph 40(4)(a) of the Therapeutic Goods Act 1989 as amended by this Schedule applies in relation to a request made under that paragraph on or after the commencement of this item, even if the licence to which the request relates was granted before that commencement.

20 Transitional

(1) An approval of a body as an approved conformity assessment body that was in force under the Therapeutic Goods Act 1989 immediately before the commencement time has effect after the commencement time as if it were an approval of the body by the Secretary in writing for the purposes of the definition of EC/EFTA attestation of conformity in subsection 3(1) of the Therapeutic Goods Act 1989 as in force after the commencement time.

(2) In subitem (1):

commencement time means the time at which this item commences.

Therapeutic Goods Amendment (Medical Devices) Act 2001

21 Item 7 of Schedule 1

Repeal the item, substitute:

7 Subsection 3(1)

Insert:

conformity assessment certificate means a certificate issued under section 41EE.

Schedule 2—Professional Services Review


Health Insurance Act 1973

1 Subsection 19D(11) (at the end of the definition of disqualified practitioner)

Add:

; or (c) who is fully disqualified under an agreement that is in effect under section 92; or

(d) who is fully disqualified under section 105; or

(e) in relation to whom a final determination under section 106TA containing a direction under paragraph 106U(1)(h) that the practitioner be fully disqualified is in effect; or

(f) who is fully disqualified for the purposes of this section under section 106ZPM.

2 Subparagraph 23B(7)(a)(ii)

Omit “section 106T”, substitute “section 106TA”.

3 Subparagraph 23B(7)(b)(ii)

Omit “section 106T”, substitute “section 106TA”.

4 Subsection 23D(2)

Repeal the subsection, substitute:

(2) A determination takes effect at the end of the 28 day period beginning on the day on which the notification of the determination was served on the person.

(3) If an application for review of the determination is made under section 23DAA within the period allowed for the application, subsection (2) operates subject to any order by the Administrative Appeals Tribunal or by a court in relation to the application.

5 At the end of Part II

Add:

23DAA Review of refusal of undertaking

Application may be made to the Administrative Appeals Tribunal for review of a determination (within the meaning of section 23D).

Note: Under section 27A of the Administrative Appeals Tribunal Act 1975, the decision-maker must notify persons whose interests are affected by the making of the decision of their right to have the decision reviewed. In notifying any such persons, the decision-maker must have regard to the Code of Practice determined under section 27B of that Act.

6 Section 23DA (paragraph (e) of the definition of relevant person)

Omit “section 106T”, substitute “section 106TA”.

7 Paragraph 23DC(6)(d)

Omit “section 106T”, substitute “section 106TA”.

8 Paragraph 23DF(7)(c)

Omit “section 106T”, substitute “section 106TA”.

9 Section 81 (paragraph (a) of the definition of legal services)

Before “an adjudicative referral”, insert “an instrument making”.

10 At the end of section 89

Add:

(3) To avoid doubt, the Director may consider the conduct mentioned in subsection (6) in deciding whether to set up (and make an adjudicative referral to) a Committee to consider whether the person under review has engaged in inappropriate practice in connection with rendering or initiating the referred services.

(4) The Director may, in making that decision, consider that conduct only to the extent that it is in connection with rendering or initiating those services.

(5) The Director may, in making that decision, consider that conduct whether or not it was mentioned:

(a) in the reasons given by the Commission under paragraph 86(4)(b); or

(b) during any prior counselling of the person under review.

(6) The conduct for the purposes of subsection (3) is as follows:

(a) the conduct of the person under review;

(b) the conduct of a practitioner employed by the person under review;

(c) the conduct of a practitioner employed by a body corporate of which the person under review is an officer.

11 After subsection 93(1)

Insert:

(1A) To avoid doubt, the instrument making the adjudicative referral need not specify conduct by the person under review.

12 Subsection 93(3)

Before “an adjudicative referral”, insert “an instrument making”.

13 Subsection 93(4)

Before “adjudicative referrals”, insert “instruments making”.

14 Paragraph 93(6)(b)

Before “adjudicative referral”, insert “instrument making the”.

15 Subsection 93(7)

Before “adjudicative referral”, insert “instrument making the”.

16 Subsection 93(8)

Before “adjudicative referral”, insert “instrument making the”.

17 At the end of section 102

Add:

(4) The notice may require the person under review to appear at the hearing and give evidence to the Committee.

18 Sections 104 and 105

Repeal the sections, substitute:

104 Consequences of failing to appear, give evidence or answer a question when required

(1) This section has effect if:

(a) the notice under section 102 requires the person under review to appear at the hearing and give evidence to the Committee; and

(b) the person under review:

(i) fails to appear at the hearing; or

(ii) appears at the hearing but refuses or fails to give evidence or to answer a question that the person is asked by a Committee member in the course of the hearing.

(2) If the person under review is a practitioner, the Committee may notify the Director of the person’s failure to appear at the hearing or refusal or failure to give the evidence or to answer the question.

(3) The Committee may in any case:

(a) proceed with the hearing, despite section 103, even though the person under review fails to appear or appears but refuses or fails to give evidence or to answer a question; or

(b) propose to hold another hearing in accordance with section 102.

(4) If the person under review subsequently:

(a) appears at a hearing; and

(b) gives evidence as required; and

(c) answers every question that the person is asked by a Committee member in the course of the hearing;

then:

(d) paragraph (3)(a) ceases to apply; and

(e) the Committee must inform the Director that the person has appeared and given evidence and answered questions (as required).

(5) Subsection (2) and paragraph (3)(a) do not apply if:

(a) before the hearing takes place, the person notifies the Committee that he or she has a medical condition preventing him or her from appearing or from giving evidence or answering questions; and

(b) the person has complied with any reasonable requirements of the Committee that he or she undergo medical examination to establish the existence and extent of the medical condition; and

(c) the results of the medical condition indicate that the person has a medical condition preventing him or her from appearing or from giving evidence or answering questions.

(6) Subsection (2) and paragraphs (3)(b) and (4)(c) do not apply in relation to a question if:

(a) the person under review refuses to answer the question on the ground that the answer to the question might tend to incriminate him or her; and

(b) the Committee believes that the answer might tend to do so.

105 Disqualification for failing to appear, give evidence or answer a question when required

(1) As soon as practicable after receiving a notice under subsection 104(2), the Director must:

(a) fully disqualify the person under review; and

(b) give the Commission written notice of the disqualification.

(2) As soon as practicable after being informed under paragraph 104(4)(e), the Director must:

(a) revoke the disqualification; and

(b) give the Commission written notice of the revocation.

(3) If the person under review is disqualified under subsection (1), the person may request the Committee, in writing, to hold another hearing in accordance with section 102. The Committee must comply with the request as soon as practicable.

(4) A request under subsection (3) must be made no later than 21 days after the day on which a copy of a draft report is given to the person under subsection 106KD(3).

19 Paragraph 106G(2)(a)

Before “the adjudicative referral”, insert “the instrument making”.

20 Subsection 106H(1)

Before “adjudicative referral”, insert “instrument making the”.

21 After subsection 106H(1)

Insert:

(1A) To avoid doubt, the Committee may consider the conduct mentioned in subsection (1D) in finding whether the person under review has engaged in inappropriate practice in connection with rendering or initiating some or all of the specified services.

(1B) The Committee may, in making that finding, consider that conduct only to the extent that it is in connection with rendering or initiating those services.

(1C) The Committee may, in making that finding, consider that conduct whether or not it was mentioned:

(a) in the reasons given by the Commission under paragraph 86(4)(b); or

(b) in the reasons given by the Director under paragraph 93(6)(a); or

(c) during any prior counselling of the person under review.

(1D) The conduct for the purposes of subsection (1A) is as follows:

(a) the conduct of the person under review;

(b) the conduct of a practitioner employed by the person under review;

(c) the conduct of a practitioner employed by a body corporate of which the person under review is an officer.

22 Subsection 106H(2)

Omit “Despite subsection (1)”, substitute “Despite subsections (1) and (1B)”.

23 After section 106S

Insert:

106SA Director may give Determining Authority information

(1) The Director may give the Determining Authority any information that the Director considers is relevant to the Authority making its draft determination or final determination in accordance with section 106U.

(2) The information must be given no later than the day on which the Committee’s final report is given to the Determining Authority under subsection 106L(4).

(3) If the Director gives the Determining Authority information under subsection (1) at a particular time, the Director must also give the information to the person under review at that time.

(4) The Determining Authority must consider the information in making its draft determination or final determination in accordance with section 106U.

24 Section 106ZPM

After “rendered”, insert “or initiated”.

25 At the end of section 106ZPM

Add:

(2) If the Director considers that subsection (1) prevents medicare benefits from being payable in respect of services rendered by the person under review, the Director must give a notice to that effect to the person.

(3) The Director must give a copy of a notice under subsection (2) to the Commission.

(4) If:

(a) subsection (1) prevents medicare benefits from being payable in respect of services rendered by the person under review at a time; and

(b) the Director gave a notice under subsection (2) to the person before that time;

the person is taken to be fully disqualified at that time for the purposes of section 19D.

26 Paragraph 124FAA(2)(a)

Omit “section 106T”, substitute “section 106TA”.

27 Subsection 124FAA(6)

Omit “section 106T”, substitute “section 106TA”.

28 Section 129AD

Omit “section 106T”, substitute “section 106TA”.

29 Application

(1) The amendment made by item 1 applies in relation to a person who, on or after the day on which that item commences, becomes:

(a) fully disqualified under an agreement that is in effect under section 92 of the Health Insurance Act 1973; or

(b) fully disqualified under section 105 of that Act; or

(c) fully disqualified in accordance with a direction under paragraph 106U(1)(h) of that Act contained in a final determination under section 106TA of that Act; or

(d) fully disqualified for the purposes of section 19D of that Act under section 106ZPM of that Act.

(2) The amendments made by items 4 and 5 apply in relation to determinations made after the commencement of item 63 of Schedule 1 to the Health Insurance Amendment (Professional Services Review) Act 1999.

(3) If such a determination was made before the commencement of this item, subsection 23D(3) of the Health Insurance Act 1973 (as amended by this Schedule) operates as if the reference in that subsection to the period allowed for the application were a reference to the period of 28 days beginning on the day of that commencement.

(4) The amendments made by items 17 and 18 apply in relation to hearings held by Committees that are set up under section 93 of the Health Insurance Act 1973 on or after the commencement of those items.

(5) The amendments made by items 24 and 25 apply:

(a) in relation to a refusal or failure to comply with a requirement in a notice under subsection 89B(2) of the Health Insurance Act 1973—if the notice was given in relation to an investigative referral made on or after the commencement of that item; or

(b) in relation to a refusal or failure to comply with a requirement in a notice under subsection 105A(2) of that Act—if the notice was given by a Committee set up under section 93 of that Act on or after the commencement of that item.

30 Transitional

(1) In determining the meaning that Part VAA of the Health Insurance Act 1973 had before the commencement of this item, the amendments of that Part made by items 9, 11, 12, 13, 14, 15, 16, 19 and 20 are to be disregarded.

(2) For the purposes of section 106SA of the Health Insurance Act 1973 (as inserted by item 23) , the Director may, on or after the commencement of that item, give information to the Determining Authority under that section even if the Committee’s final report to which the information relates was prepared before the commencement of that item.

Health Insurance Amendment (Professional Services Review) Act 1999

31 Item 65 of Schedule 1

Omit “67(3)”, substitute “67(3), (3A)”.

32 At the end of subitem 67(3) of Schedule 1

Add “but not on or after the commencement of Schedule 2 to the Health Legislation Amendment Act (No. 3) 2001”.

33 After subitem 67(3) of Schedule 1

Insert:

(3A) Despite item 65, on or after the commencement of Schedule 2 to the Health Legislation Amendment Act (No. 3) 2001:

(a) a Committee may exercise the power conferred on it by section 105A of the Health Insurance Act 1973 (as amended by this Schedule) in respect of an old matter; and

(b) the amendments made by this Schedule to the Health Insurance Act 1973 apply in relation to the exercise of the power by the Committee.

34 Item 68 of Schedule 1

Insert:

commencement of this Schedule means the commencement of this Schedule (other than items 8 and 27).

Schedule 3—Number of Commissioners of Health Insurance Commission


Health Insurance Commission (Reform and Separation of Functions) Act 1997

1 Item 81 of Schedule 1

Omit “5”, substitute “7”.

Schedule 4—Changed administrative law arrangements


Health Insurance Act 1973

1 Subsection 23D(3)

Omit “Administrative Appeals Tribunal”, substitute “Administrative Review Tribunal”.

2 Section 23DAA

Omit “Administrative Appeals Tribunal”, substitute “Administrative Review Tribunal”.

3 Section 23DAA (note)

Repeal the note, substitute:

Note: Section 56 of the Administrative Review Tribunal Act 2001 requires the decision-maker to notify persons whose interests are affected by the decision of the making of the decision and their right to have the decision reviewed. In so notifying, the decision-maker must have regard to guidelines issued under subsection (4) of that section.

Schedule 5—National Health Act 1953


National Health Act 1953

1 Subsection 67(7)

Repeal the subsection.

2 Subparagraph (s)(i) of Schedule 1

Omit “6”, substitute “3”.

Schedule 6Technical correction


Health Insurance Act 1973

1 Subsection 19AB(4A)

Omit “subsection (4A)”, substitute “subsection (4B)”.

 


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