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SOCIAL SECURITY LEGISLATION AMENDMENT (PUBLIC HOUSING TENANTS' SUPPORT) BILL 2013

 

 

2010-2011-2012-2013 

 

The Parliament of the 

Commonwealth of Australia 

 

HOUSE OF REPRESENTATIVES 

 

 

 

 

Presented and read a first time 

 

 

 

 

 

 

 

 

 

Social Security Legislation Amendment 

(Public Housing Tenants' Support) Bill 

2013 

 

No.      , 2013 

 

(Families, Housing, Community Services and Indigenous Affairs) 

 

 

 

A Bill for an Act to amend the social security law 

and the family assistance law, and for related 

purposes 

   

   

 

 

i       Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      

, 2013 

Contents 

Short title ........................................................................................... 1

 

Commencement ................................................................................. 1

 

Schedule(s) ........................................................................................ 2

 

Schedule 1--Amendments

 

3

 

Part 1--Social Security (Administration) Act 1999

 

3

 

Part 2--A New Tax System (Family Assistance) 

(Administration) Act 1999

 

16

 

 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013       1 

A Bill for an Act to amend the social security law 

and the family assistance law, and for related 

purposes 

The Parliament of Australia enacts: 

1  Short title 

 

  This Act may be cited as the Social Security Legislation 

Amendment (Public Housing Tenants' Support) Act 2013

2  Commencement 

 

  This Act commences on the day after this Act receives the Royal 

Assent. 

10 

   

   

 

 

2            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

3  Schedule(s) 

 

  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repealed as set out in the applicable items in the Schedule 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. 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            3 

Schedule 1

--

Amendments 

Part 1

--

Social Security (Administration) Act 1999 

1  Paragraph 60(2)(a) 

Omit "and 238", substitute ", 238 and 238A". 

2  After paragraph 60(2)(aa) 

Insert: 

 

(ab)  Schedule 6 to this Act; and 

3  Paragraph 123TH(1)(h) 

Repeal the paragraph, substitute: 

 

(h)  household utilities; 

10 

4  After subsection 123YA(2) 

11 

Insert: 

12 

 

(2A)  For the purposes of subsection (2), if: 

13 

 

(a)  there is in force a request by a public housing lessor: 

14 

 

(i)  under Schedule 6 to this Act for a deduction from a 

15 

divertible welfare payment to the first person; or 

16 

 

(ii)  under Schedule 1 to the Family Assistance 

17 

Administration Act for a deduction from a payment of 

18 

family tax benefit payable to the first person; and 

19 

 

(b)  because of the request, the Secretary would make such a 

20 

deduction under the relevant Schedule were the first person 

21 

not subject to income management; 

22 

it is appropriate for the Secretary to take action under Subdivision 

23 

B of this Division to facilitate payment to the lessor of an amount, 

24 

not greater than the deduction the Secretary would make, to meet 

25 

the first person's unmet priority need of housing indicated by the 

26 

request. 

27 

5  After section 238 

28 

Insert: 

29 

Schedule 1  Amendments 

Part 1  Social Security (Administration) Act 1999 

 

 

4            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

238A  Deductions and payments to public housing lessors 

 

  Schedule 6 has effect. 

6  Subclause 1(1) of Schedule 1 

Insert: 

divertible welfare payment has the meaning given by clause 2 of 

Schedule 6. 

7  Subclause 1(1) of Schedule 1 

Insert: 

household utilities includes: 

 

(a)  electricity; and 

10 

 

(b)  gas; and 

11 

 

(c)  water; and 

12 

 

(d)  sewerage; and 

13 

 

(e)  garbage collection; and 

14 

 

(f)  fixed-line telephone. 

15 

8  Subclause 1(1) of Schedule 1 

16 

Insert: 

17 

public housing lessor has the meaning given by clause 3 of 

18 

Schedule 6. 

19 

9  At the end of the Act 

20 

Add: 

21 

Schedule 6--Deductions for payment for 

22 

public housing 

23 

Note: 

See section 238A. 

24 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            5 

Part 1--Introduction 

   

1  Objects of this Schedule 

 

(1)  The main object of this Schedule is to reduce the risk of persons 

who receive certain welfare payments and lease public housing 

becoming homeless because they are evicted from or abandon that 

housing for failure to make payments required by their leases. 

 

(2)  This Schedule seeks to achieve this object by providing for 

deductions to be made from the welfare payments and paid to 

lessors after they have taken other reasonable action (consistent 

10 

with fair processes for managing public housing) to recover arrears 

11 

for rent or household utilities. 

12 

2  What is a divertible welfare payment

13 

 

(1)  A divertible welfare payment is a payment that: 

14 

 

(a)  is payable (except as an advance) to a particular person at a 

15 

particular time; and 

16 

 

(b)  is of a kind specified under subclause (2). 

17 

 

(2)  The Minister may by legislative instrument specify one or more of 

18 

the following for the purposes of paragraph (1)(b): 

19 

 

(a)  one or more kinds of social security benefit; 

20 

 

(b)  one or more kinds of social security pension; 

21 

 

(c)  one or more kinds of social security periodic payment that 

22 

are neither a social security benefit nor a social security 

23 

pension; 

24 

 

(d)  one or more kinds of payment under the scheme known as 

25 

the ABSTUDY scheme that include an amount identified as 

26 

living allowance. 

27 

3  What is a public housing lessor

28 

 

(1)  A public housing lessor is a person or authority specified under 

29 

subclause (2). 

30 

Note: 

A State or Territory is a person: see section 2C of the Acts 

31 

Interpretation Act 1901

32 

Schedule 1  Amendments 

Part 1  Social Security (Administration) Act 1999 

 

 

6            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

 

(2)  The Minister may by legislative instrument specify any of the 

following as a public housing lessor: 

 

(a)  a State or Territory; 

 

(b)  an authority of a State or Territory; 

 

(c)  a person. 

 

(3)  The Minister may specify a person (including a State or Territory) 

or authority under subclause (2) only if the Minister is satisfied 

that: 

 

(a)  there is an appropriate process for reviewing decisions made 

by the person or authority, or by an officer or employee of 

10 

the person or authority, relating to amounts due and payable, 

11 

under leases of accommodation by the person or authority to 

12 

other persons, for rent or household utilities; and 

13 

 

(b)  the person or authority has appropriate processes that the 

14 

person or authority, and officers and employees of the person 

15 

or authority, follow in dealing with matters relating to leases 

16 

of accommodation by the person or authority to other 

17 

persons. 

18 

 

(4)  In deciding whether the Minister is satisfied as mentioned in 

19 

paragraph (3)(a), the Minister must have regard to the following: 

20 

 

(a)  the cost of the review process to applicants; 

21 

 

(b)  the timeliness of the review process; 

22 

 

(c)  whether the review process provides that applicants are 

23 

entitled to be represented and heard; 

24 

 

(d)  the degree of independence of the review process; 

25 

 

(e)  whether the review process provides for the use of the 

26 

services of an interpreter. 

27 

 

(5)  In deciding whether the Minister is satisfied as mentioned in 

28 

paragraph (3)(b), the Minister must have regard to the following: 

29 

 

(a)  the transparency of the processes for making decisions on the 

30 

matters mentioned in paragraph (3)(b); 

31 

 

(b)  the extent to which those processes provide for lessees' 

32 

individual circumstances to be taken into account in making 

33 

such decisions; 

34 

 

(c)  the processes for informing lessees under leases described in 

35 

paragraph (3)(b) of their rights and responsibilities and of 

36 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            7 

services available to support them in dealing with matters 

relating to the leases; 

 

(d)  the processes for taking reasonable action to recover amounts 

due and payable under leases described in paragraph (3)(b). 

 

(6)  Subclauses (4) and (5) do not limit the matters to which the 

Minister may have regard. 

Note: 

The Minister may revoke a legislative instrument specifying a person 

or authority as a public housing lessor if the Minister ceases to be 

satisfied of the matters in subclause (3): see subsections 33(3) and 

(3AA) of the Acts Interpretation Act 1901

10 

4  This Schedule binds the Crown 

11 

 

  This Schedule binds the Crown in each of its capacities. 

12 

Part 2--Deductions from divertible welfare 

13 

payments 

14 

   

15 

5  Request by public housing lessor for deduction 

16 

 

(1)  A public housing lessor may request the Secretary to make a 

17 

deduction from a divertible welfare payment payable to a person 

18 

who, under a written lease, leases accommodation for the person 

19 

from the lessor, if: 

20 

 

(a)  both conditions in clause 6 are met; or 

21 

 

(b)  both conditions in clause 7 are met. 

22 

 

(2)  For the purposes of subclause (1), it does not matter: 

23 

 

(a)  whether the lease was entered into before, on or after the 

24 

commencement of this clause; or 

25 

 

(b)  whether the person is the only lessee or a joint lessee of the 

26 

accommodation; or 

27 

 

(c)  whether or not the accommodation is also accommodation 

28 

for others. 

29 

Schedule 1  Amendments 

Part 1  Social Security (Administration) Act 1999 

 

 

8            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

Content of request 

 

(3)  The request must specify the maximum amount to be deducted 

from the divertible welfare payment. That amount must not be 

more than: 

 

(a)  if the request is made because the conditions in clause 6 are 

met--the amount described in subclause 6(1); or 

 

(b)  if the request is made because the conditions in clause 7 are 

met--the amount that is payable under the lease for rent and 

household utilities for the period to which the divertible 

welfare payment relates. 

10 

 

(4)  The public housing lessor may amend the request to specify a 

11 

different maximum amount to be deducted from the divertible 

12 

welfare payment if: 

13 

 

(a)  after the request was made, the rate at which amounts are 

14 

payable under the lease for rent and household utilities 

15 

changes; and 

16 

 

(b)  before making the amendment, the lessor: 

17 

 

(i)  has taken reasonable action to inform the person that the 

18 

lessor proposes to amend the specification in one or 

19 

more requests of the maximum amount to be deducted; 

20 

and 

21 

 

(ii)  has given the person a reasonable opportunity to make 

22 

representations to the lessor about the proposal. 

23 

Way of giving requests and amendments 

24 

 

(5)  To be effective, the request, and any amendment of the request, 

25 

must be given to the Secretary in a way approved by the Secretary. 

26 

The Secretary may approve a way of giving requests and the same 

27 

or a different way of giving amendments. 

28 

Combining requests or amendments 

29 

 

(6)  To avoid doubt: 

30 

 

(a)  2 or more requests relating to different divertible welfare 

31 

payments payable to the person may be given to the 

32 

Secretary at the same time, in the same communication; and 

33 

 

(b)  2 or more amendments of different requests relating to the 

34 

person may be given to the Secretary at the same time, in the 

35 

same communication. 

36 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            9 

6  Request because of amount unpaid for rent or utilities 

 

(1)  The first condition for making a request is that, under the lease, 

there is due and payable by the person to the public housing lessor 

an amount that: 

 

(a)  is only for rent and/or household utilities; and 

 

(b)  exceeds the minimum prescribed for the person under 

subclause (2). 

 

(2)  The Minister may by legislative instrument prescribe minima for 

persons for the purposes of paragraph (1)(b). The instrument may 

prescribe a minimum either by specifying it or by specifying a 

10 

method for working it out. 

11 

Note: 

The instrument may specify different minima for different classes of 

12 

persons: see subsection 33(3A) of the Acts Interpretation Act 1901

13 

 

(3)  The second condition is that the public housing lessor has taken 

14 

reasonable action to recover the amount described in subclause (1). 

15 

 

(4)  For the purposes of subclause (3), a public housing lessor is taken 

16 

not to have taken reasonable action to recover the amount 

17 

described in subclause (1) unless: 

18 

 

(a)  the lessor has given the person written notice demanding 

19 

payment of some or all of the amount within a specified 

20 

period that is reasonable; and 

21 

 

(b)  that period has passed without the demand being met; and 

22 

 

(c)  the lessor has taken reasonable action to inform the person 

23 

of: 

24 

 

(i)  financial counselling services, and other services 

25 

relating to the lease, that are or may be available to the 

26 

person; and 

27 

 

(ii)  the person's rights to review of decisions of the lessor or 

28 

its officers or employees relating to amounts due and 

29 

payable under the lease; and 

30 

 

(d)  the lessor: 

31 

 

(i)  has taken reasonable action to inform the person that the 

32 

lessor proposes to make one or more requests under 

33 

clause 5 because of the amount; and 

34 

 

(ii)  has given the person a reasonable opportunity to make 

35 

representations to the lessor about the proposal. 

36 

Schedule 1  Amendments 

Part 1  Social Security (Administration) Act 1999 

 

 

10            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

Note: 

Even if the conditions in paragraphs (4)(a) to (d) are all met, it may in 

some cases be necessary for something more to have been done before 

it is true to say that the lessor has taken reasonable action to recover 

the amount described in subclause (1). 

7  Request after arrears for rent and utilities have been paid 

 

(1)  The first condition is that the public housing lessor: 

 

(a)  has taken reasonable action to inform the person that the 

lessor proposes to make one or more requests under clause 5 

because of this clause; and 

 

(b)  has given the person a reasonable opportunity to make 

10 

representations to the lessor about the proposal. 

11 

 

(2)  The second condition is that the request is made at the time the 

12 

public housing lessor gives a notice under subclause 10(4) to the 

13 

Secretary of the happening and time of an event that: 

14 

 

(a)  is described in paragraph 10(1)(d); and 

15 

 

(b)  caused another request made by the public housing lessor in 

16 

relation to the person to cease to be in force. 

17 

Note: 

Under paragraph 10(1)(d), a request made because more than the 

18 

minimum amount for rent and/or household utilities was due and 

19 

payable by the person to the lessor ceases to be in force when no 

20 

amount for rent or household utilities is due and payable by the person 

21 

to the lessor. 

22 

8  Making a deduction as requested 

23 

 

(1)  The Secretary may make a deduction, from a divertible welfare 

24 

payment payable to a person, in accordance with a request that the 

25 

Secretary is satisfied has been made, and is in force, under this 

26 

Part. 

27 

Note: 

Clause 10 explains when a request made under clause 5 ceases to be in 

28 

force. 

29 

When a deduction must not be made 

30 

 

(2)  However, the Secretary must not make a deduction if the person: 

31 

 

(a)  is subject to the income management regime (within the 

32 

meaning of section 123TC); or 

33 

 

(b)  is covered by a determination under subclause (3). 

34 

Note: 

Even though the Secretary must not make a deduction if the person is 

35 

subject to the income management regime, the request for the 

36 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            11 

deduction may affect what the Secretary does under that regime in 

relation to the person: see subsection 123YA(2). 

 

(3)  The Minister may by legislative instrument determine that 

deductions must not be made from divertible welfare payments 

payable to specified persons. 

Note: 

For specification by class, see subsection 13(3) of the Legislative 

Instruments Act 2003

Notifying when a deduction is not made 

 

(4)  If the Secretary does not make a deduction in accordance with a 

request made by a public housing lessor, the Secretary may notify 

10 

the lessor of that fact. 

11 

9  Maximum amount of deduction 

12 

 

(1)  The amount the Secretary may deduct, from a divertible welfare 

13 

payment payable to a person, in accordance with a request cannot 

14 

exceed: 

15 

 

(a)  the amount specified in the request as the maximum amount 

16 

to be deducted from the payment; or 

17 

 

(b)  the amount of the payment apart from this Schedule; or 

18 

 

(c)  35% of what would be the amount of the payment apart from 

19 

any law of the Commonwealth (including this Schedule) that 

20 

provides for a deduction from the payment, except: 

21 

 

(i)  Division 3A of Part 3 of this Act; and 

22 

 

(ii)  section 1231 of the 1991 Act; or 

23 

 

(d)  if the divertible welfare payment is a kind of payment under 

24 

the scheme known as the ABSTUDY scheme that includes an 

25 

amount identified as living allowance--35% of what is 

26 

known as the basic component of that allowance. 

27 

 

(2)  To reduce the amounts of divertible welfare payments for the 

28 

purposes of paragraph (1)(c), the Minister may by legislative 

29 

instrument specify provisions of the social security law that are to 

30 

be disregarded for the purposes of that paragraph. The instrument 

31 

has effect according to its terms. 

32 

Schedule 1  Amendments 

Part 1  Social Security (Administration) Act 1999 

 

 

12            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

10  When a request for a deduction ceases to be in force 

When a request ceases to be in force 

 

(1)  A request under subclause 5(1) for a deduction from any divertible 

welfare payment payable to a person ceases to be in force when 

one of the following events happens: 

 

(a)  the request is revoked; 

 

(b)  the person ceases to lease accommodation for the person 

from the public housing lessor; 

 

(c)  the lessor of accommodation for the person ceases to be a 

public housing lessor; 

10 

 

(d)  if the request was made because the conditions in clause 6 

11 

were met--no amount is due and payable by the person to the 

12 

public housing lessor under the lease for rent or household 

13 

utilities; 

14 

 

(e)  if the request was made because the conditions in clause 7 

15 

were met--the 12 months beginning on the day the request 

16 

was given to the Secretary end. 

17 

Revoking a request 

18 

 

(2)  The public housing lessor may revoke the request by giving notice 

19 

of the revocation to the Secretary in a way approved by the 

20 

Secretary. 

21 

 

(3)  To avoid doubt, notice of revocation of 2 or more requests relating 

22 

to different divertible welfare payments payable to a person may be 

23 

given to the Secretary at the same time, in the same 

24 

communication. 

25 

Notice of circumstances causing request to cease to be in force 

26 

 

(4)  If an event described in paragraph (1)(b) or (d) happens and causes 

27 

a request to cease to be in force, the public housing lessor must as 

28 

soon as practicable give notice to the Secretary, in a way approved 

29 

by the Secretary, of the happening and time of the event. 

30 

Amendments  Schedule 1 

Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            13 

Part 3--Treatment of amounts deducted 

   

11  Application 

 

  This Part applies if under Part 2 an amount is deducted, from a 

divertible welfare payment payable to a person, in accordance with 

a request made by a public housing lessor. 

12  Secretary must pay amount to public housing lessor 

 

  The Secretary must pay the amount to the public housing lessor. 

13  Person's liability to public housing lessor reduced 

 

(1)  If the amount is paid to the public housing lessor, the person's 

10 

liability to the public housing lessor is reduced by that amount. 

11 

 

(2)  This clause applies to a liability under a lease even if the amount of 

12 

the liability is not yet due and payable. 

13 

14  Person taken to be paid amount deducted 

14 

 

(1)  The person is taken to be paid the amount deducted, at the time of 

15 

the divertible welfare payment. 

16 

 

(2)  Subclause (1) has effect for the purposes of all laws of the 

17 

Commonwealth except any law of the Commonwealth specified by 

18 

the Minister by legislative instrument for the purposes of this 

19 

subclause. 

20 

 

(3)  To avoid doubt, subclause (1) has effect whether or not the amount 

21 

was paid to the public housing lessor. 

22 

Part 4--Overpayments to public housing lessors 

23 

   

24 

15  Payment exceeding deduction 

25 

 

(1)  This clause applies if: 

26 

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14            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

 

(a)  an amount is paid to a public housing lessor purportedly 

under Part 3 in connection with a deduction properly made 

under Part 2; and 

 

(b)  the amount paid exceeds the deduction. 

 

(2)  The excess is a debt due to the Commonwealth by the public 

housing lessor. 

16  Payment equal to excessive deduction 

 

(1)  This clause applies if: 

 

(a)  under Part 3 a public housing lessor is paid the amount of a 

deduction from a divertible welfare payment payable to a 

10 

person; and 

11 

 

(b)  the deduction exceeded the amount (which may be a nil 

12 

amount) that should have been deducted under Part 2 from 

13 

the divertible welfare payment; and 

14 

 

(c)  the Secretary is satisfied that: 

15 

 

(i)  the person has requested the lessor to pay the person an 

16 

amount equal to the excess in connection with the 

17 

deduction; and 

18 

 

(ii)  the lessor has refused to pay the person the whole of 

19 

that amount. 

20 

 

(2)  The difference between the excess and the amount (if any) the 

21 

public housing lessor paid the person in connection with the 

22 

deduction is a debt due to the Commonwealth by the lessor. 

23 

 

(3)  The Secretary must pay the person an amount equal to the 

24 

difference, whether or not the Commonwealth recovers the debt. 

25 

 

(4)  However, the Secretary must not pay the person an amount equal 

26 

to so much (if any) of the difference as is attributable to the 

27 

divertible welfare payment being greater than the amount of the 

28 

relevant payment properly payable to the person at the time of the 

29 

divertible welfare payment. 

30 

 

(5)  The person is taken not to have been paid an amount that was paid 

31 

to the person under subclause (3). 

32 

Note: 

Subclause (5) is to prevent double counting, because the person is 

33 

taken to have been paid the deduction (see clause 14). 

34 

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Social Security (Administration) Act 1999  Part 1 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            15 

 

(6)  Subclause (5) has effect for the purposes of all laws of the 

Commonwealth except: 

 

(a)  this clause; and 

 

(b)  any law of the Commonwealth specified by the Minister by 

legislative instrument for the purposes of subclause 14(2). 

17  Setting off payments under Part 3 against debts under this Part 

 

  The Secretary may set off an amount payable to a public housing 

lessor under Part 3 against a debt due to the Commonwealth by the 

lessor under this Part. 

18  Overpayment does not reduce person's liability to public housing 

10 

lessor 

11 

 

  Clause 13 does not apply (and is taken never to have applied) to 

12 

reduce a person's liability to a public housing lessor by so much of 

13 

an amount paid to the lessor as gives rise under this Part to a debt 

14 

due to the Commonwealth by the lessor. 

15 

Part 5--Miscellaneous 

16 

   

17 

19  Fees 

18 

 

(1)  The Secretary may charge public housing lessors fees for either or 

19 

both of the following: 

20 

 

(a)  deducting amounts under Part 2 in accordance with requests 

21 

made by the lessors; 

22 

 

(b)  paying the lessors amounts under Part 3. 

23 

 

(2)  The fees must not be such as to amount to taxation. 

24 

20  Relationship with Chapter 5 of the 1991 Act 

25 

 

(1)  Section 1223 of the 1991 Act does not apply to a payment under 

26 

clause 12 of this Schedule to a public housing lessor so as to give 

27 

rise to a debt due by the lessor to the Commonwealth. 

28 

 

(2)  Chapter 5 of the 1991 Act does not apply to a debt due by a public 

29 

housing lessor to the Commonwealth under Part 4 of this Schedule. 

30 

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16            Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       

No.      , 2013 

Part 2

--

A New Tax System (Family Assistance) 

(Administration) Act 1999 

10  Subsection 3(1) 

Insert: 

household utilities includes: 

 

(a)  electricity; and 

 

(b)  gas; and 

 

(c)  water; and 

 

(d)  sewerage; and 

 

(e)  garbage collection; and 

10 

 

(f)  fixed-line telephone. 

11 

11  Subsection 3(1) 

12 

Insert: 

13 

public housing lessor has the meaning given by clause 2 of 

14 

Schedule 1. 

15 

12  Subsections 23(6) and 24(4) 

16 

Omit "and sections 225 and 226", substitute ", sections 225, 226 and 

17 

228A and Schedule 1". 

18 

13  After paragraph 66(2)(f) 

19 

Insert: 

20 

 

(fa)  section 228A and Schedule 1 (about deductions from family 

21 

tax benefit to pay for public housing); and 

22 

14  After section 228 

23 

Insert: 

24 

228A  Payment of deductions to public housing lessors 

25 

 

  Schedule 1 has effect. 

26 

15  At the end of the Act 

27 

Add: 

28 

Amendments  Schedule 1 

A New Tax System (Family Assistance) (Administration) Act 1999  Part 2 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            17 

Schedule 1--Deductions for payment for 

public housing 

Note: 

See section 228A. 

Part 1--Introduction 

   

1  Objects of this Schedule 

 

(1)  The main object of this Schedule is to reduce the risk of individuals 

who receive family tax benefit and lease public housing becoming 

homeless because they are evicted from or abandon that housing 

for failure to make payments required by their leases. 

10 

 

(2)  This Schedule seeks to achieve this object by providing for 

11 

deductions to be made from payments of family tax benefit and 

12 

paid to lessors after they have taken other reasonable action 

13 

(consistent with fair processes for managing public housing) to 

14 

recover arrears for rent or household utilities. 

15 

2  What is a public housing lessor

16 

 

  A person or authority is a public housing lessor if the person or 

17 

authority is a public housing lessor for the purposes of the Social 

18 

Security (Administration) Act 1999

19 

3  This Schedule binds the Crown 

20 

 

  This Schedule binds the Crown in each of its capacities. 

21 

Part 2--Deductions from family tax benefit 

22 

payments 

23 

   

24 

4  Request by public housing lessor for deduction 

25 

 

(1)  A public housing lessor may request the Secretary to make a 

26 

deduction from a particular payment (whether an instalment or 

27 

other payment) of family tax benefit payable to an individual who, 

28 

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under a written lease, leases accommodation for the individual 

from the lessor, if: 

 

(a)  both conditions in clause 5 are met; or 

 

(b)  both conditions in clause 6 are met. 

 

(2)  For the purposes of subclause (1), it does not matter: 

 

(a)  whether the lease was entered into before, on or after the 

commencement of this clause; or 

 

(b)  whether the individual is the only lessee or a joint lessee of 

the accommodation; or 

 

(c)  whether or not the accommodation is also accommodation 

10 

for others. 

11 

Content of request 

12 

 

(3)  The request must specify the maximum amount to be deducted 

13 

from the payment of family tax benefit. That amount must not be 

14 

more than: 

15 

 

(a)  if the request is made because the conditions in clause 5 are 

16 

met--the amount described in subclause 5(1); or 

17 

 

(b)  if the request is made because the conditions in clause 6 are 

18 

met--the amount that is payable under the lease for rent and 

19 

household utilities for the period to which the payment 

20 

relates. 

21 

 

(4)  The public housing lessor may amend the request to specify a 

22 

different maximum amount to be deducted from the payment if: 

23 

 

(a)  after the request was made, the rate at which amounts are 

24 

payable under the lease for rent and household utilities 

25 

changes; and 

26 

 

(b)  before making the amendment, the lessor: 

27 

 

(i)  has taken reasonable action to inform the individual that 

28 

the lessor proposes to amend the specification in one or 

29 

more requests of the maximum amount to be deducted; 

30 

and 

31 

 

(ii)  has given the individual a reasonable opportunity to 

32 

make representations to the lessor about the proposal. 

33 

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A New Tax System (Family Assistance) (Administration) Act 1999  Part 2 

 

 

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2013            19 

Way of giving requests and amendments 

 

(5)  To be effective, the request, and any amendment of the request, 

must be given to the Secretary in a way approved by the Secretary. 

The Secretary may approve a way of giving requests and the same 

or a different way of giving amendments. 

Combining requests or amendments 

 

(6)  To avoid doubt: 

 

(a)  2 or more requests relating to different payments of family 

tax benefit payable to the individual may be given to the 

Secretary at the same time, in the same communication; and 

10 

 

(b)  2 or more amendments of different requests relating to the 

11 

individual may be given to the Secretary at the same time, in 

12 

the same communication. 

13 

5  Request because of amount unpaid for rent or utilities 

14 

 

(1)  The first condition for making a request is that, under the lease, 

15 

there is due and payable by the individual to the public housing 

16 

lessor an amount that: 

17 

 

(a)  is only for rent and/or household utilities; and 

18 

 

(b)  exceeds the minimum prescribed for the individual under 

19 

subclause 6(2) of Schedule 6 to the Social Security 

20 

(Administration) Act 1999

21 

 

(2)  The second condition is that the public housing lessor has taken 

22 

reasonable action to recover the amount described in subclause (1). 

23 

 

(3)  For the purposes of subclause (2), a public housing lessor is taken 

24 

not to have taken reasonable action to recover the amount 

25 

described in subclause (1) unless: 

26 

 

(a)  the lessor has given the individual written notice demanding 

27 

payment of some or all of the amount within a specified 

28 

period that is reasonable; and 

29 

 

(b)  that period has passed without the demand being met; and 

30 

 

(c)  the lessor has taken reasonable action to inform the 

31 

individual of: 

32 

 

(i)  financial counselling services, and other services 

33 

relating to the lease, that are or may be available to the 

34 

individual; and 

35 

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No.      , 2013 

 

(ii)  the individual's rights to review of decisions of the 

lessor or its officers or employees relating to amounts 

due and payable under the lease; and 

 

(d)  the lessor: 

 

(i)  has taken reasonable action to inform the individual that 

the lessor proposes to make one or more requests under 

clause 4 because of the amount; and 

 

(ii)  has given the individual a reasonable opportunity to 

make representations to the lessor about the proposal. 

Note: 

Even if the conditions in paragraphs (3)(a) to (d) are all met, it may in 

10 

some cases be necessary for something more to have been done before 

11 

it is true to say that the lessor has taken reasonable action to recover 

12 

the amount described in subclause (1). 

13 

6  Request after arrears for rent and utilities have been paid 

14 

 

(1)  The first condition is that the public housing lessor: 

15 

 

(a)  has taken reasonable action to inform the individual that the 

16 

lessor proposes to make one or more requests under clause 5 

17 

because of this clause; and 

18 

 

(b)  has given the individual a reasonable opportunity to make 

19 

representations to the lessor about the proposal. 

20 

 

(2)  The second condition is that the request is made at the time the 

21 

public housing lessor gives a notice under subclause 9(4) to the 

22 

Secretary of the happening and time of an event that: 

23 

 

(a)  is described in paragraph 9(1)(d); and 

24 

 

(b)  caused another request made by the public housing lessor in 

25 

relation to the person to cease to be in force. 

26 

Note: 

Under paragraph 9(1)(d), a request made because more than the 

27 

minimum amount for rent and/or household utilities was due and 

28 

payable by the individual to the lessor ceases to be in force when no 

29 

amount for rent or household utilities is due and payable by the 

30 

individual to the lessor. 

31 

7  Making a deduction as requested 

32 

 

(1)  The Secretary may make a deduction, from a payment (whether an 

33 

instalment or other payment) of family tax benefit payable to an 

34 

individual, in accordance with a request that the Secretary is 

35 

satisfied has been made, and is in force, under this Part. 

36 

Amendments  Schedule 1 

A New Tax System (Family Assistance) (Administration) Act 1999  Part 2 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            21 

Note: 

Clause 9 explains when a request made under clause 4 ceases to be in 

force. 

When a deduction must not be made 

 

(2)  However, the Secretary must not make a deduction if: 

 

(a)  the individual: 

 

(i)  is subject to the income management regime (within the 

meaning of section 123TC of the Social Security 

(Administration) Act 1999); or 

 

(ii)  is covered by a determination under subclause 8(3) of 

Schedule 6 to that Act; or 

10 

 

(b)  the payment of family tax benefit is of a kind specified under 

11 

subclause (3) of this clause. 

12 

Note: 

Even though the Secretary must not make a deduction if the individual 

13 

is subject to the income management regime, the request for the 

14 

deduction may affect what the Secretary does under that regime in 

15 

relation to the individual: see subsection 123YA(2) of the Social 

16 

Security (Administration) Act 1999

17 

 

(3)  The Minister may by legislative instrument specify kinds of 

18 

payments of family tax benefit from which deductions must not be 

19 

made. 

20 

Notifying when a deduction is not made 

21 

 

(4)  If the Secretary does not make a deduction in accordance with a 

22 

request made by a public housing lessor, the Secretary may notify 

23 

the lessor of that fact. 

24 

8  Maximum amount of deduction 

25 

 

(1)  The amount the Secretary may deduct, from a payment of family 

26 

tax benefit payable to an individual, in accordance with a request 

27 

cannot exceed any of the following: 

28 

 

(a)  the amount specified in the request as the maximum amount 

29 

to be deducted from the payment; 

30 

 

(b)  the amount of the payment remaining after all deductions (if 

31 

any) specifically authorised by a law of the Commonwealth 

32 

other than this Part; 

33 

 

(c)  35% of the payment (taking account of any reduction of the 

34 

payment by a deduction under section 84 or a set-off under 

35 

section 84A). 

36 

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Part 2  A New Tax System (Family Assistance) (Administration) Act 1999 

 

 

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No.      , 2013 

 

(2)  To reduce the amounts of payments of family tax benefit for the 

purposes of paragraph (1)(c), the Minister may by legislative 

instrument specify provisions of the family assistance law that are 

to be disregarded for the purposes of that paragraph. The 

instrument has effect according to its terms. 

9  When a request for a deduction ceases to be in force 

When a request ceases to be in force 

 

(1)  A request under subclause 4(1) for a deduction from a payment of 

family tax benefit payable to an individual ceases to be in force 

when one of the following events happens: 

10 

 

(a)  the request is revoked; 

11 

 

(b)  the individual ceases to lease accommodation for the 

12 

individual from the public housing lessor; 

13 

 

(c)  the lessor of accommodation for the individual ceases to be a 

14 

public housing lessor; 

15 

 

(d)  if the request was made because the conditions in clause 5 

16 

were met--no amount is due and payable by the individual to 

17 

the public housing lessor under the lease; 

18 

 

(e)  if the request was made because the conditions in clause 6 

19 

were met--the 12 months beginning on the day the request 

20 

was given to the Secretary end. 

21 

Revoking a request 

22 

 

(2)  The public housing lessor may revoke the request by giving notice 

23 

of the revocation to the Secretary in a way approved by the 

24 

Secretary. 

25 

 

(3)  To avoid doubt, notice of revocation of 2 or more requests relating 

26 

to different payments of family tax benefit payable to an individual 

27 

may be given to the Secretary at the same time, in the same 

28 

communication. 

29 

Notice of circumstances causing request to cease to be in force 

30 

 

(4)  If an event described in paragraph (1)(b) or (d) happens and causes 

31 

a request to cease to be in force, the public housing lessor must as 

32 

soon as practicable give notice to the Secretary, in a way approved 

33 

by the Secretary, of the happening and time of the event. 

34 

Amendments  Schedule 1 

A New Tax System (Family Assistance) (Administration) Act 1999  Part 2 

 

 

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2013            23 

Part 3--Treatment of amounts deducted 

   

10  Application 

 

  This Part applies if under Part 2 an amount is deducted, from a 

payment of family tax benefit payable to an individual, in 

accordance with a request made by a public housing lessor. 

11  Secretary must pay amount to public housing lessor 

 

  The Secretary must pay the amount to the public housing lessor. 

12  Individual's liability to public housing lessor reduced 

 

(1)  If the amount is paid to the public housing lessor, the individual's 

10 

liability to the public housing lessor is reduced by that amount. 

11 

 

(2)  This clause applies to a liability under a lease even if the amount of 

12 

the liability is not yet due and payable. 

13 

13  Individual taken to be paid amount deducted 

14 

 

(1)  The individual is taken to be paid the amount deducted, when the 

15 

payment of family tax benefit is paid to the individual (or would be 

16 

paid apart from the deduction). 

17 

 

(2)  Subclause (1) has effect for the purposes of all laws of the 

18 

Commonwealth except any law of the Commonwealth specified by 

19 

the Minister by legislative instrument for the purposes of this 

20 

subclause. 

21 

 

(3)  To avoid doubt, subclause (1) has effect whether or not the amount 

22 

was paid to the public housing lessor. 

23 

Part 4--Overpayments to public housing lessors 

24 

   

25 

14  Payment exceeding deduction 

26 

 

(1)  This clause applies if: 

27 

Schedule 1  Amendments 

Part 2  A New Tax System (Family Assistance) (Administration) Act 1999 

 

 

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No.      , 2013 

 

(a)  an amount is paid to a public housing lessor purportedly 

under Part 3 in connection with a deduction properly made 

under Part 2; and 

 

(b)  the amount paid exceeds the deduction. 

 

(2)  The excess is a debt due to the Commonwealth by the public 

housing lessor. 

15  Payment equal to excessive deduction 

 

(1)  This clause applies if: 

 

(a)  under Part 3 a public housing lessor is paid the amount of a 

deduction from a payment of family tax benefit payable to an 

10 

individual; and 

11 

 

(b)  the deduction exceeded the amount (which may be a nil 

12 

amount) that should have been deducted under Part 2 from 

13 

the payment of family tax benefit; and 

14 

 

(c)  the Secretary is satisfied that: 

15 

 

(i)  the individual has requested the lessor to pay the 

16 

individual an amount equal to the excess in connection 

17 

with the deduction; and 

18 

 

(ii)  the lessor has refused to pay the individual the whole of 

19 

that amount. 

20 

 

(2)  The difference between the excess and the amount (if any) the 

21 

public housing lessor paid the individual in connection with the 

22 

deduction is a debt due to the Commonwealth by the lessor. 

23 

 

(3)  The Secretary must pay the individual an amount equal to the 

24 

difference, whether or not the Commonwealth recovers the debt. 

25 

 

(4)  However, the Secretary must not pay the individual an amount 

26 

equal to so much (if any) of the difference as is attributable to the 

27 

amount of the payment of family tax benefit being greater than the 

28 

amount of family tax benefit properly payable to the individual at 

29 

the time of the payment. 

30 

 

(5)  The individual is taken not to have been paid an amount that was 

31 

paid to the individual under subclause (3). 

32 

Note: 

Subclause (5) is to prevent double counting, because the individual is 

33 

taken to have been paid the deduction (see clause 13). 

34 

Amendments  Schedule 1 

A New Tax System (Family Assistance) (Administration) Act 1999  Part 2 

 

 

Social Security Legislation Amendment (Public Housing Tenants' Support) Bill 2013       No.      , 

2013            25 

 

(6)  Subclause (5) has effect for the purposes of all laws of the 

Commonwealth except: 

 

(a)  this clause; and 

 

(b)  any law of the Commonwealth specified by the Minister by 

legislative instrument for the purposes of subclause 13(2). 

16  Setting off payments under Part 3 against debts under this Part 

 

  The Secretary may set off an amount payable to a public housing 

lessor under Part 3 against a debt due to the Commonwealth by the 

lessor under this Part. 

17  Overpayment does not reduce individual's liability to public 

10 

housing lessor 

11 

 

  Clause 12 does not apply (and is taken never to have applied) to 

12 

reduce an individual's liability to a public housing lessor by so 

13 

much of an amount paid to the lessor as gives rise under this Part to 

14 

a debt due to the Commonwealth by the lessor. 

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Part 5--Fees 

16 

   

17 

18  Fees 

18 

 

(1)  The Secretary may charge public housing lessors fees for either or 

19 

both of the following: 

20 

 

(a)  deducting amounts under Part 2 in accordance with requests 

21 

made by the lessors; 

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(b)  paying the lessors amounts under Part 3. 

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(2)  The fees must not be such as to amount to taxation. 

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