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HEALTH INSURANCE AMENDMENT (ENHANCING THE BONDED MEDICAL PROGRAM AND OTHER MEASURES) ACT 2021 (NO. 138, 2021) - SCHEDULE 1

Amendments relating to the Bonded Medical Program

   

Health Insurance Act 1973

Subsection 3(1)

Insert:

"extended compliance determination " has the meaning given by subsection 124ZUA(1).

"RoSO compliance period " means the period referred to in paragraph 124ZF(2)(a).

Subsection 124ZE(4)

Repeal the subsection, substitute:

When a person ceases to be a bonded participant

             (4)  If:

                     (a)  a person is a bonded participant; and

                     (b)  any of the following events occur:

                              (i)  the person completes their return of service obligation;

                             (ii)  the person withdraws from, or is barred from, a course of study in medicine at an Australian university;

                            (iii)  the person breaches the condition mentioned in paragraph 124ZG(1)(c);

                            (iv)  the person withdraws from the Bonded Medical Program in accordance with section 124ZP;

                             (v)  the person dies;

                            (vi)  the Secretary makes a determination under subsection 124ZEA(3) that exceptional circumstances apply in relation to the person;

the person ceases to be a bonded participant immediately after the first of those events occurs.

3  At the end of Subdivision A of Division 1 of Part VD

Add:

124ZEA   Determination that exceptional circumstances apply in relation to a person

             (1)  If:

                     (a)  a person (the affected person ) is or was a bonded participant; or

                     (b)  a person is a legal personal representative of an affected person who:

                              (i)  is deceased; or

                             (ii)  lacks capacity to make an application under this section;

the affected person, or the legal personal representative, may apply to the Secretary for a determination that exceptional circumstances apply in relation to the affected person.

             (2)  The application must:

                     (a)  be made in writing; and

                     (b)  set out the exceptional circumstances that apply in relation to the affected person; and

                     (c)  set out any other information specified in the Bonded Medical Program rules; and

                     (d)  be accompanied by any documents specified in the Bonded Medical Program rules.

             (3)  If an applicant makes an application under subsection (1), the Secretary may determine that exceptional circumstances apply in relation to the affected person.

             (4)  In determining whether exceptional circumstances apply in relation to the affected person, the Secretary must have regard to any matter specified in the Bonded Medical Program rules.

             (5)  If the Secretary makes the determination under subsection (3) that exceptional circumstances apply in relation to the affected person, the Secretary must:

                     (a)  give the applicant written notice of the determination; and

                     (b)  state in the notice that the Secretary is satisfied that:

                              (i)  the exceptional circumstances will prevent the affected person from complying with the condition mentioned in paragraph 124ZG(1)(a) or (c); or

                             (ii)  the affected person breached a condition mentioned in paragraph 124ZG(1)(a) or (c) as a result of the exceptional circumstances; or

                            (iii)  the affected person withdrew from the Bonded Medical Program under section 124ZP as a result of the exceptional circumstances; and

                     (c)  set out, in the notice, the effect of subparagraph 124ZE(4)(b)(vi) and whichever of the following provisions is applicable in relation to the affected person:

                              (i)  subsection 124ZH(4);

                             (ii)  subsection 124ZJ(4);

                            (iii)  subsection 124ZQ(6).

             (6)  A statement under subparagraph (5)(b)(ii) or (iii) may relate to a breach of a condition or a withdrawal (as the case may be) that occurs before or after the commencement of this section.

             (7)  If the Secretary refuses to make the determination under subsection (3) in relation to the affected person, the Secretary must give the applicant written notice of the following:

                     (a)  the decision to refuse to make the determination;

                     (b)  the reasons for the decision;

                     (c)  how the applicant may apply for review of the decision.

124ZEB   Secretary may request further information

             (1)  If:

                     (a)  a person makes an application under subsection 124ZEA(1); and

                     (b)  the Secretary needs further information to make a decision on the application;

the Secretary may, by written notice, request the person to give further information to the Secretary within a specified period.

             (2)  The specified period must not be shorter than 28 days after the notice is given.

             (3)  The Secretary may, at the person's request, extend the specified period. The request must be made in writing and before that period ends.

             (4)  If the person does not give the requested further information within:

                     (a)  in a case in which the specified period has been extended under subsection (3)--the period as so extended; or

                     (b)  otherwise--the specified period;

the application is taken to be withdrawn at the end of the period.

             (5)  A notice given under subsection (1) must set out the effect of subsection (4).

Subsection 124ZH(2)

Omit "The person", substitute "Subject to subsection (4), the person".

5  At the end of section 124ZH

Add:

             (4)  Subsection (2) does not apply to a person if:

                     (a)  a determination is made under subsection 124ZEA(3) that exceptional circumstances apply in relation to the person; and

                     (b)  the written notice of the determination includes a statement that the Secretary is satisfied that the person breached the condition mentioned in paragraph 124ZG(1)(a) or (c) (as applicable) as a result of those exceptional circumstances.

Subsection 124ZJ(1)

Omit "A medicare", substitute "Subject to subsection (4), a medicare".

7  Paragraph 124ZJ(1)(a)

Omit "is", substitute "was".

8  Paragraph 124ZJ(1)(b)

Repeal the paragraph, substitute:

                     (b)  breached the condition mentioned in paragraph 124ZG(1)(c) when the medical practitioner was a bonded participant.

9  At the end of section 124ZJ

Add:

             (4)  This section does not apply to a person who is a medical practitioner if:

                     (a)  a determination is made under subsection 124ZEA(3) that exceptional circumstances apply in relation to the person; and

                     (b)  the written notice of the determination includes a statement that the Secretary is satisfied that the person breached the condition mentioned in paragraph 124ZG(1)(c) as a result of those exceptional circumstances.

10  Subsection 124ZK(2)

Omit "$10,000", substitute "$1,000".

11  Before paragraph 124ZN(a)

Insert:

                    (aa)  a decision of the Secretary, under subsection 124ZEA(3), to refuse to determine that exceptional circumstances apply in relation to a person;

12  After paragraph 124ZN(b)

Insert:

                   (ba)  a decision of the Secretary, under subsection 124ZUA(3), to refuse to make an extended compliance determination in relation to a person;

13  Subsection 124ZQ(1)

Omit "If a", substitute "Subject to subsection (6), if a".

14  Subsection 124ZQ(3)

Omit "A medicare", substitute "Subject to subsection (6), a medicare".

15  At the end of section 124ZQ

Add:

Exception

             (6)  This section does not apply to a person if:

                     (a)  a determination is made under subsection 124ZEA(3) that exceptional circumstances apply in relation to the person; and

                     (b)  the written notice of the determination includes a statement that the Secretary is satisfied that the person withdrew from the Bonded Medical Program under section 124ZP as a result of the exceptional circumstances.

16  At the end of section 124ZU

Add:

             (4)  If a person to whom subsection (1) applies makes an application under subsection 124ZUA(1), the person must not advise the Department of the matters mentioned in subsection (2) of this section until both of the following apply:

                     (a)  a decision on the application has been made;

                     (b)  any rights of review and appeal in relation to the decision have been exhausted.

17  After section 124ZU

Insert:

124ZUA   Extended compliance determination for certain BMP and MRBS participants

             (1)  If:

                     (a)  a person is:

                              (i)  a party to a deed of agreement with the Commonwealth (as represented by the Department) for funding of a place in the Bonded Medical Places Scheme, including a deed of agreement as varied; or

                             (ii)  a party to a contract with the Commonwealth (as represented by the Department) for a Medical Rural Bonded Scholarship, including a contract as varied; and

                     (b)  the person meets the requirements specified in the Bonded Medical Program rules;

the person may apply to the Secretary for a determination (the extended compliance determination ) that, if the person were to become a bonded participant, the person would be required to complete their return of service obligation within a period that is longer than the RoSO compliance period.

             (2)  The application must:

                     (a)  be made in writing; and

                     (b)  be made before the person advises the Department of the matters mentioned in subsection 124ZU(2); and

                     (c)  be made within any period specified in the Bonded Medical Program rules that applies in relation to the person; and

                     (d)  specify a period within which the person would be able to complete their return of service obligation (which must not be a period that would be more than 6 years longer than the RoSO compliance period); and

                     (e)  be accompanied by a written plan that sets out:

                              (i)  how the person proposes to complete their return of service obligation within the period specified under paragraph (d); and

                             (ii)  any other matters specified in the Bonded Medical Program rules; and

                      (f)  be accompanied by any other documents specified in the Bonded Medical Program rules; and

                     (g)  set out any other information specified in the Bonded Medical Program rules.

             (3)  If the person makes an application under subsection (1), the Secretary may make the extended compliance determination in relation to the person if the Secretary is satisfied that:

                     (a)  the person is a person of kind mentioned in subparagraph (1)(a)(i) or (ii); and

                     (b)  the person meets the requirements specified in the Bonded Medical Program rules for the purposes of paragraph (1)(b); and

                     (c)  if the person were to become a bonded participant, the plan referred to in paragraph (2)(e) sets out a reasonable proposal for the completion of their return of service obligation within a period that is longer than the RoSO compliance period.

             (4)  If the Secretary makes the extended compliance determination in relation to the person, the Secretary must:

                     (a)  give the person written notice of the determination; and

                     (b)  specify in the notice the period within which the person would, if the person were to become a bonded participant, be required to complete their return of service obligation.

             (5)  The period specified under paragraph (4)(b):

                     (a)  must not be a period that would be more than 6 years longer than the RoSO compliance period; and

                     (b)  may be the same as, or different from, the period specified in the application.

             (6)  If the Secretary refuses to make the extended compliance determination in relation to the person, the Secretary must give the person written notice of the following:

                     (a)  the decision to refuse to make the determination;

                     (b)  the reasons for the decision;

                     (c)  how the person may apply for review of the decision.

124ZUB   Secretary may request further information

             (1)  If:

                     (a)  a person makes an application under subsection 124ZUA(1); and

                     (b)  the Secretary needs further information to make a decision on the application;

the Secretary may, by written notice, request the person to give further information to the Secretary within a specified period.

             (2)  The specified period must not be shorter than 28 days after the notice is given.

             (3)  The Secretary may, at the person's request, extend the specified period. The request must be made in writing and before that period ends.

             (4)  If the person does not give the requested further information within:

                     (a)  in a case in which the specified period has been extended under subsection (3)--the period as so extended; or

                     (b)  otherwise--the specified period;

the application is taken to be withdrawn at the end of the period.

             (5)  A notice given under subsection (1) must set out the effect of subsection (4).

18  At the end of subsection 124ZV(2)

Add:

            ; and (d)  if an extended compliance determination has been made under subsection 124ZUA(3) in relation to the person--the person is to be taken, for the purposes of this Part, to be required to complete their return of service obligation within the period specified in the written notice of the determination given to the person.

19  At the end of subsection 124ZW(2)

Add:

            ; and (d)  if an extended compliance determination has been made under subsection 124ZUA(3) in relation to the person--the person is to be taken, for the purposes of this Part, to be required to complete their return of service obligation within the period specified in the written notice of the determination given to the person.



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