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Dateline - May 14, 2010
Government delivers response to Clark Review of Veterans' Entitlements

 

ATTACHMENT A

Proposed Government Response to the Revisitation of the Clarke Review – May 2010

The following table lists the recommendations of the 2003 Clarke Review of the Veterans’ Entitlements that were not accepted or acted upon by the previous Government (left hand side column) and the response of the current Government to the revisitation of those recommendations (right hand column).

Clarke Recommendations not accepted or acted upon by previous Government
Government Response of May 2010 to Revisitation

1B. That the ‘incurred danger’ element of the test has been interpreted too narrowly, in that it does not take sufficient account of a credible risk of harm.

Rejected. The repatriation system is based on levels of risk, with the highest being an objective incurred danger test based on actual and real risk of danger faced from hostile forces. As such it is not appropriate to accept this recommendation.

2, 5 & 67B. The Veterans’ Entitlements Act 1986 (VEA) be amended to deem the following service during World War II as qualifying service during the period of hostilities:

· Northern Australia
North of latitude 14.5 degrees south and islands and waters contiguous to this area, including the Torres Strait Islands, for any period between 7 December 1941 and 7 September 1944 inclusive.

· Outside Australia
-any area other than the West Pacific area — 3 September 1939 to 5 May 1945;
-West Pacific area (except Papua and New Guinea and New Britain before 7 December 1941) —
3 September 1939 to 15 August 1945 — bounded by:
-in the west, longitude 90 degrees east;
-in the east, longitude 165 degrees east;
-in the south, latitude 10 degrees south, including Papua and New Guinea; and
-in the north, by and including the eastern regions of the Asian continent;
-Papua and New Guinea, including New Britain — 7 December 1941 to 15 August 1945; and
-in an aircraft engaged in operations against hostile forces or in patrols or reconnaissance over land occupied by hostile forces of the enemy in one of the areas above at the times prescribed above.

Rejected. This service did not involve direct danger from the hostile forces of the enemy. As such, it is inappropriate to reclassify this service where the ‘incurred danger’ test has not been met. Qualifying service continues to apply for service in the Northern Territory between 19 February 1942 and 12 November 1943 (the dates of the first and last air attacks), or on a single day during a bombing raid. For those areas outside Australia, the Repatriation Commission policy already deems service in these areas as qualifying service and this policy continues to apply.

 

 

 

 

 

 


7. Operational service should also include service immediately before or after that period of service, as currently applies under s.6A of the VEA for veterans with service outside Australia and s.6B of the VEA for Australian mariners with service outside Australia.
Rejected. The Government does not agree that operational service should be extended in this way.

15. Operational and qualifying service be extended for service on or after 16 September 1963 to and including 16 August 1964 for all defence personnel on the posted strength of units located in the operational area of Malaysia.

Rejected. The only hostilities faced by Australians from the Indonesia forces before 17 August 1964 were in Borneo, where service is already covered under the Veterans’ Entitlements Act 1986 (VEA).

31. Service on submarines during special operations be deemed non-warlike hazardous for the purposes of the VEA.

 

 


Accepted. Based on advice from the Department of Defence, for certain submarine special operations between 1978 and 1992 where submariners and others are eligible for the award of the Australian Service Medal with the Submarine Special Operations Clasp, the Government will seek to amend the VEA to extend operational and qualifying service. This goes further than the Clarke Review, and grants Service Pension at age 60, Gold Card at age 70 and disability pension with the reasonable hypothesis standard of proof.
34. The Department of Defence reviews the activities of defence service personnel who located, cleared and disposed of enemy wartime ordnance in PNG and the Pacific Islands, with a view to making a determination on such activities as non-warlike hazardous service.
Deferred. The Government notes that the Department of Defence is scheduled to review this service and will await the outcome of that review.
35. Service by ADF improvised explosive device disposal (IEDD) personnel in IEDD incidents be deemed non-warlike hazardous service under the VEA.
Deferred. The Government notes that the Department of Defence is scheduled to review this service and will await the outcome of that review.
43. Service with BCOF be declared warlike from 21 February 1946 to 30 June 1947.
68B. Should the Government accept recommendation 43, BCOF veterans prior to 1 July 1947 should be entitled to the Gold Card.
Deferred. The Government proposes to defer its response to these recommendations to allow further examination and discussion within the Government and with the Defence Nature of Service review team.

45. Participation by Australian Defence Force personnel in the British atomic tests be declared non-warlike hazardous and the legislation be amended to ensure that this declaration can have effect in extending VEA coverage.

 



Accepted. The Government proposes to accept Clarke’s recommendation to provide former defence force personnel in the British nuclear tests (BNT) with access to the VEA for compensation benefits. This will provide access to disability pension and health care benefits for conditions accepted as caused by their BNT service under the more generous standard of proof. Widow/ers of BNT defence force personnel will become eligible for war widow/ers pension and Gold Card for death accepted as related to BNT service.
54. The VEA be amended so that those war widows who enter into a marriage-like relationship after a veteran’s death will be treated, in regard to the right to claim war widow’s pension, in the same way as those who marry or remarry after the veteran’s death.
Accepted. The Government will seek to amend the VEA to reflect this change.

60. The VEA be amended to enable a BCAL veteran to be able to establish a domicile of choice in Australia before the age of 21 years, with all other common law tests used in determining domicile continuing to apply.

Accepted. The VEA is to be amended to allow those to establish a domicile of choice in Australia between the ages of 18 and 21, so long as all other common law tests used in determining domicile are met.
61. The VEA be amended to allow British and other Commonwealth veterans whose only service was within their country of enlistment to be considered as having qualifying service if they meet the same requirements that apply for service outside the country of enlistment.
Rejected. The Government does not feel it is appropriate to accept this measure as it would extend benefits to BCAL veterans that are not available to some Australian veterans with similar service.
63. The VEA should be amended to allow British and other Commonwealth veterans who served in the operational area of Malaya and or Singapore between 1 September 1957 and 31 July 1960 to be regarded as having rendered qualifying service if their service was the same as that of veterans of the Australian armed services in that operational area during that period.
Rejected. The Government continues its position that it is appropriate for BCAL veterans to meet the ‘incurred danger’ test. As such, this recommendation is not accepted.

64. The VEA be amended to remove the campaign medal requirement for BCAL mariners, with qualifying service being only subject to whether the mariner was detained by the enemy or incurred danger from hostile forces of the enemy during the period of hostilities in World War II.
Rejected. The Government does not feel it is appropriate to accept this measure as it would extend benefits to BCAL veterans that are not available to some Australian veterans with similar service.
65. If the government accepts the Committee’s recommendation to accord warlike and qualifying service to veterans of the Australian armed services serving in Japan with BCOF between 21 February 1946 and 30 June 1947, British and other Commonwealth veterans serving with BCOF in Japan during that period and United States veterans performing a similar peace enforcement role, also be regarded as having rendered qualifying service.
Rejected. Although the Government is continuing to consider its response to recommendations 43 and 68B, it does not support the extension of qualifying service to British Commonwealth and Allied veterans who served in Japan at the same time as the BCOF.
70. The VEA be amended so that there will be no further grants of the Gold Card to post-World War II veterans of the Australian armed services at age 70 on the basis of their having rendered qualifying service, unless the veteran satisfies some measure of financial need.
Rejected. The Gold Card should not be means tested, as it is provided in recognition of a person being placed in danger from an enemy.
72. The VEA should be amended to enable assistance with private health insurance to be provided for the dependent children of veterans entitled to the special rate disability pension who transfer to the proposed new disability pension structure outlined in Chapter 30, or entitled to the extreme disablement adjustment, through the provision of a tax-free health care allowance, indexed to the Consumer Price Index, if the family takes out private health insurance.






Accepted and acted upon. A Parliamentary Inquiry examined the needs of carers across Australia as part of a broader review, resulting in the Who Cares…? Report, which the Government responded to on 29 October 2009, and most of the recommendations were agreed in full or part. In implementing one of those recommendations, the war widow/ers pensions and income support payments were increased as part of the Harmer Review in September 2009. Pensions and benefits for war widow/ers and for severely disabled adult children have increased significantly since the Clarke review. The Government’s proposed National Disability Strategy will also address the issue of support for the disabled and their carers in the community more broadly.

73. The Government should examine the needs of war widows and others caring for severely disabled adult orphans of veterans and the adequacy of existing support systems to meet those needs.

 

 

 



Accepted and acted upon. A Parliamentary Inquiry examined the needs of carers across Australia as part of a broader review, resulting in the Who Cares…? Report, which the Government responded to on 29 October 2009, and most of the recommendations were agreed in full or part. In implementing one of those recommendations, the war widow/ers pensions and income support payments were increased as part of the Harmer Review in September 2009. Pensions and benefits for war widow/ers and for severely disabled adult children have increased significantly since the Clarke review. The Government’s proposed National Disability Strategy will also address the issue of support for the disabled and their carers in the community more broadly.

76. The Government accept that the principles of disability compensation on which the Committee’s proposed disability compensation structure is based are sound and appropriate for Australia’s disabled veterans.


Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the Military Rehabilitation and Compensation Act 2004 (MRCA). This recommendation falls within the scope of that review to consider in the context of the development of MRCA, and has been referred for further consideration.

77. Following this acceptance, the Government adopt and implement the proposed structure as soon as practicable, given its beneficial nature for veterans and their families.

Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the MRCA. This recommendation falls within the scope of that review to consider in the context of the development of MRCA, and has been referred for further consideration.

78. The Government adopt the proposed transitional arrangements.



Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the MRCA. This recommendation falls within the scope of that review to consider in the context of the development of MRCA, and has been referred for further consideration.

79. As enhancements to the new structure, the Government consider how additional assistance can be provided to veterans who experience difficulties in maintaining housing equity and to children of veterans who wish to undertake tertiary education.

 

 

 

 

 

 

 

 



Accepted and acted upon. This recommendation was based on younger Special Rate veterans and formed part of Clarke’s proposed Disability Pension restructure which this Government rejects. This recommendation has been largely superseded by recent events. In relation to housing assistance, individual circumstances that come to the notice of the Department are addressed through existing housing support services in the community. Increased access to Defence Housing initiatives have lessened the burden on serving and ex-serving members. The MRCA also allows for a choice of lump sum of permanent impairment payments and income replacement in the form of incapacity payments, which can provide suitable assistance. More broadly, this Government has been addressing housing affordability and efficiency of the housing market. It has committed over $19 billion since being elected to Government through a wide range of measures, many of which will assist veterans with their housing needs.
In relation to assistance for veterans with children undertaking tertiary education, the Government’s recent introduction of scholarships to aid eligible children under both the Veterans’ Children’s Education Scheme and MRCA Education and Training Scheme in the form of Start-Up Scholarships and Relocation Scholarships will go some way towards addressing the concerns raised with the Clarke Review .

82. An extended bereavement payment be made available to the widow of a veteran in receipt of special rate disability pension at the time of the veteran’s death payable, subject to the veteran and partner having satisfied the means test for payment of income support payments immediately before the veteran’s death had income support pensions been payable.

 


Accepted and acted upon. Changes in 2005, subsequent to the Clarke review, whereby widows now receive the bereavement payment equivalent to the veteran’s actual rate of pension rather than capped at 100% of General Rate, has effectively superseded this recommendation. The bereavement payments made available now are equivalent to or exceed what would have been payable under the Clarke’s proposal, and do not have the additional qualification of Clarke’s recommendation that a veteran and partner had to receive income support payments before the veterans’ death.

84. War widows living overseas be able to claim the income support supplement.

 


Rejected. This would create an anomaly in the social security system in that no Australian living overseas is eligible to lodge a claim for income support payments. This Government policy is consistent across the Social Security Act and the VEA. To enable one group to claim an income support pension while resident overseas would create a precedent across both Acts for larger groups under both Acts.

88. All veterans in receipt of EDA now and in the future have access to a Goods and Services Tax (GST) rebate on motor vehicles and parts.



Referred to the Review of Military Compensation Arrangements. As this recommendation was part of Clarke’s proposed Disability Pension rate structure, this has been referred to the Review of Military Compensation Arrangements to consider in the context of the development of the MRCA..

89. EDA veterans receive a private health insurance subsidy if they have dependent children and choose to take out private health insurance.



Referred to the Review of Military Compensation Arrangements. As this recommendation was part of Clarke’s proposed Disability Pension rate structure, this has been referred to the Review of Military Compensation Arrangements to consider in the context of the development of the MRCA..
90. A veteran who is aged under 65 years at the date of introduction of the new structure and who, after reaching that age, is assessed under the Guide to the Assessment of Rates of Veterans’ Pensions as having 70 disability points and a lifestyle rating of six, not be granted EDA but instead receive a benefit package including:
· disability pension at 100 per cent of the general rate;
· access to a GST rebate on motor vehicles and parts (See also recommendation 88);
· a fortnightly means tested home care allowance of $150 while living in his own home;
· a private health insurance subsidy if he has dependent children and chooses to take out private health insurance (See also recommendation 89); and
· the Gold Card (for all conditions).

Referred to the Review of Military Compensation Arrangements. As this recommendation was part of Clarke’s proposed Disability Pension rate structure, this has been referred to the Review of Military Compensation Arrangements to consider in the context of the development of the MRCA..

 

 


92. The Government require of the veteran with a dual entitlement under the VEA and the Safety, Rehabilitation and Compensation Act 1988 (SRCA) a one-time election, which would restrict the veteran to receiving benefits under either the VEA or the SRCA, at that time or in the future if he has not already made a claim under either Act.
Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the MRCA. This recommendation falls within the scope of that review to consider in the context of the development of MRCA, and has been referred for further consideration.
93. The major principles of repatriation rehabilitation should be:
· Veterans’ participation in rehabilitation assessments and, where appropriate, rehabilitation programs, is an integral, obligatory part of the disability compensation provided under the repatriation system.
· DVA has a responsibility to provide suitable and comprehensive rehabilitation to veterans for their service-caused disabilities.
· The aim of rehabilitation is to restore veterans to their optimal level of function commensurate with their service-related disabilities to provide them with better quality of life, maximised vocational outcomes and reduced dependency on financial disability compensation.

Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the MRCA. This recommendation falls within the scope of that review to consider in the context of the development of the MRCA, and has been referred for further consideration.

 


94 – 106. These recommendations provided for the introduction of a rehabilitation program under the Veterans’ Entitlements Act 1986.

 

 


Referred to the Review of Military Compensation Arrangements. The Government is committed to reviewing the Military Rehabilitation and Compensation Act 2004. These recommendations have been superseded by the introduction of the Military, Rehabilitation and Compensation Act 2004 which has broad and comprehensive rehabilitation provisions. However, as these recommendations fall within the scope of that review they have been referred for further consideration in the context of the development of MRCA.