Transcription
Portfolio Budget Statements 2018-19Budget Related Paper No. 1.11Human Services PortfolioBudget Initiatives and Explanations ofAppropriations Specified by Outcomesand Programs by Entity
Commonwealth of Australia 2018ISSN — 2209-2773 (Print)ISSN — 2209-2781 (Online)This publication is available for your use under a Creative Commons BY Attribution 3.0Australia licence, with the exception of the Commonwealth Coat of Arms, theDepartment of Human Services logo, photographs, images, signatures and u/legalcode.Use of Department of Human Services’ material under a Creative Commons BYAttribution 3.0 Australia licence requires you to attribute the work (but not in any waythat suggests that the Department of Human Services endorses you or your use of thework).Department of Human Services’ material used 'as supplied'Provided you have not modified or transformed Department of HumanServices’material in any way including, for example, by changing the Department ofHuman Services’ text; calculating percentage changes; graphing or charting data; orderiving new statistics from published Department of Human Services’ statistics – thenDepartment of Human Services’prefers the following attribution:Source: The Australian Government Department of Human Services’Derivative materialIf you have modified or transformed Department of Human Services’ material, orderived new material from those of the Department of Human Services in any way, thenDepartment of Human Services prefers the following attribution:Based on The Australian Government Department of Human Services’ dataUse of the Coat of ArmsThe terms under which the Coat of Arms can be used are set out on the It’s an Honourwebsite (see www.itsanhonour.gov.au).Other usesEnquiries regarding this licence and any other use of this document are welcome to:Mr Mark Jenkin, Chief Financial Officer, CFO Division, Department of Human Services,PO Box 7788, Canberra BC, ACT 2600 Australia.ii
Abbreviations and conventionsThe following notation may be used:NEC/nec.nanfp m bnot elsewhere classifiednilnot zero, but rounded to zeronot applicable (unless otherwise specified)not for publication million billionFigures in tables and in the text may be rounded. Figures in text are generally roundedto one decimal place, whereas figures in tables are generally rounded to the nearestthousand. Discrepancies in tables between totals and sums of components are due torounding.EnquiriesShould you have any enquiries regarding this publication please contact Mr MarkJenkin, Chief Financial Officer in the Department of Human Services on (02) 6223 4350.Links to Portfolio Budget Statements (including Portfolio Additional EstimatesStatements and Portfolio Supplementary Additional Statements) can be located on theAustralian Government Budget website at: budget.gov.au.iv
USER GUIDETO THEPORTFOLIO BUDGET STATEMENTS
USER GUIDEThe purpose of the 2018-19 Portfolio Budget Statements (PB Statements) is to informSenators and Members of Parliament of the proposed allocation of resources togovernment outcomes by entities within the portfolio. Entities receive resources fromthe annual appropriations acts, special appropriations (including standingappropriations and special accounts), and revenue from other sources.A key role of the PB Statements is to facilitate the understanding of proposed annualappropriations in Appropriation Bills (No. 1 and No. 2) 2018-19 (or Appropriation(Parliamentary Departments) Bill (No. 1) 2018-19 for the parliamentary Departments).In this sense, the PB Statements are Budget related papers and are declared by theAppropriation Acts to be ‘relevant documents’ to the interpretation of the Actsaccording to section 15AB of the Acts Interpretation Act 1901.The PB Statements provide information, explanation and justification to enableParliament to understand the purpose of each outcome proposed in the Bills.As required under section 12 of the Charter of Budget Honesty Act 1998, only entitieswithin the general government sector are included as part of the Commonwealthgeneral government sector fiscal estimates and produce PB Statements where theyreceive funding (either directly or via portfolio Departments) through the annualappropriation acts.The Enhanced Commonwealth Performance FrameworkThe following diagram outlines the key components of the enhanced Commonwealthperformance framework. The diagram identifies the content of each of the publicationsand the relationship between them. Links to the publications for each entity within theportfolio can be found in the introduction to Section 2: Outcomes and plannedperformance.vi
vii
CONTENTSUSER GUIDE . viHUMAN SERVICES PORTFOLIO OVERVIEW . 3ENTITY RESOURCES AND PLANNED PERFORMANCE . 7DEPARTMENT OF HUMAN SERVICES . 11PORTFOLIO GLOSSARY . 53ix
PORTFOLIO OVERVIEW1
HUMAN SERVICES PORTFOLIO OVERVIEWMinister and portfolio responsibilitiesThe Human Services Portfolio comprises the Department of Human Services(the Department) and Australian Hearing.The minister responsible for the Human Services Portfolio is: The Hon Michael Keenan MP, Minister for Human Services.The Minister for Human Services is responsible for administering the followinglegislation for the Human Services Portfolio: Human Services (Centrelink) Act 1997 Human Services (Medicare) Act 1973, except to the extent administered by the Ministerfor Health Australian Hearing Services Act 1991, except to the extent administered by the Ministerfor Health.For information on resourcing across the Human Services portfolio, please refer toPart 1: Agency Financial Resourcing in Budget Paper No. 4: Agency Resourcing.DEPARTMENT OF HUMAN SERVICESThe Department is responsible for providing advice to government on design,development, delivery, co-ordination and monitoring of government services, socialsecurity, child support, students, families, aged care and health programmes (excludingHealth provider compliance) and Australian Hearing Services.The Department is subject to the Public Governance, Performance and AccountabilityAct 2013 (PGPA Act). The Department has one outcome and delivers a range ofgovernment and other payments and services to almost every Australian, including: Centrelink payments and services for retirees, the unemployed, families, carers,parents, students, people with disability, Aboriginal and Torres Strait Islanderpeoples, people from culturally and linguistically diverse backgrounds, and peopleliving overseas. Some of these payments and services are provided at times of majorchange including after natural disasters. Aged care payments to services funded under the Aged Care Act 1997 includingresidential care, home care and flexible care services.3
Portfolio overview Health services and payments such as Medicare, the Pharmaceutical BenefitsScheme, digital health, Private Health Insurance Rebate, the AustralianImmunisation Register, the National Bowel Cancer Screening Register, theAustralian Organ Donor Register, and related services for eligible veterans, theirspouses and dependants. Child Support services for separated parents to provide the financial supportnecessary for their children’s wellbeing.The Department also delivers other services including the Tasmanian FreightEqualisation Scheme and whole of government services such as myGov.AUSTRALIAN HEARINGAustralian Hearing is a Public Non-Financial Corporation (Trading) entity establishedunder the Australian Hearing Services Act 1991. Accordingly, Australian Hearing is notreported in the Portfolio Budget Statements or Portfolio Additional EstimatesStatements. Australian Hearing is a corporate Commonwealth entity under the PGPAAct and is governed by a board that is appointed by the Minister for Human Services.4
Portfolio overviewFigure 1: Human Services Portfolio structure and outcomesThe Hon Michael Keenan MPMinister for Human ServicesMinister Assisting the Prime Minister for Digital TransformationDepartment of Human ServicesSecretary: Ms Renée Leon PSMAustralian HearingActing Managing Director:Mr Kim TerrellOutcome 1: Support individuals,families and communities to achievegreater self‐sufficiency; through thedelivery of policy advice and highquality accessible social, health andchild support services and otherpayments; and support providers andbusinesses through convenient andefficient service delivery.5
ENTITY RESOURCES ANDPLANNED PERFORMANCEDEPARTMENT OF HUMAN SERVICES . 97
DEPARTMENT OF HUMAN SERVICESENTITY RESOURCES AND PLANNEDPERFORMANCE9
DEPARTMENT OF HUMAN SERVICESSECTION 1: ENTITY OVERVIEW AND RESOURCES . 131.1Strategic direction statement . 131.2Entity resource statement . 151.3Budget measures. 21SECTION 2: OUTCOMES AND PLANNED PERFORMANCE . 262.1Budgeted expenses and performance for Outcome 1. 27SECTION 3: BUDGETED FINANCIAL STATEMENTS . 393.1Budgeted financial statements . 393.2.Budgeted financial statements tables . 4111
DEPARTMENT OF HUMAN SERVICESSection 1: Entity overview and resources1.1STRATEGIC DIRECTION STATEMENTThe Department delivers payments and associated services to individuals, families andcommunities through face-to-face, telephone and digital channels.To shape more effective and efficient service delivery, the Department plays an activerole in developing new approaches to social and health-related service delivery policywith our partner agencies. The Department will continue to build on its foundation ofservice excellence to the Australian community, through close collaboration with thecommunity and third parties. A key aim of the Department is to deliver digital servicesthat support customers to be self-sufficient and manage their own affairs.The contribution of the Department to the government’s agenda is reflected in itsOutcome Statement which is to:Support individuals, families and communities to achieve greater self-sufficiency; through thedelivery of policy advice and high quality accessible social, health and child support services andother payments; and support providers and businesses through convenient and efficient servicedelivery.The Department provides support to eligible Australians facing financial hardship andworks with them through every stage of their lives.The Department’s mission is ‘connecting Australians to the services they need’. TheDepartment’s priorities include the following: Transforming our service delivery to support secure and convenient digital access toour services when people need them, in line with the government’s digitaltransformation agenda Making the delivery of services and regulatory functions as efficient as possible,including reducing red tape, while providing effective government and customeroutcomes Seeking opportunities to enhance efficiencies and increase service effectiveness bypartnering with industry and not-for-profit organisations Working closely with partner agencies to shape the development and delivery ofjoined-up government services13
DHS Budget Statements Designing and developing new innovative and effective service approaches thatencourage responsibility and enable self-sufficiency, while identifying andsupporting those most in need.14
DHS Budget Statements1.2ENTITY RESOURCE STATEMENTTable 1.1 shows the total funding from all sources available to the entity for itsoperations and to deliver programs and services on behalf of the Government.The table summarises how resources will be applied by outcome (government strategicpolicy objectives) and by administered (on behalf of the Government or the public) andDepartmental (for the entity’s operations) classification.For more detailed information on special accounts and special appropriations, pleaserefer to Budget Paper No. 4 – Agency Resourcing.Information in this table is presented on a resourcing (that is, appropriations/cashavailable) basis, whilst the ‘Budgeted expenses by Outcome’ tables in Section 2 and thefinancial statements in Section 3 are presented on an accrual basis.The Average Staffing Level (ASL) represents the average number of paid staff directlyemployed by the Department (full time, part time and casual). The Department’s totalworkforce is a blended workforce, comprising ASL, contracted staff and peopleemployed by outsourced providers. This allows the Department to deliver its serviceswithin the staffing level set by Government and provide flexibility to meet demand forservices.15
DHS Budget StatementsTable 1.1: Department of Human Services resource statement — Budgetestimates for 2018-19 as at Budget May 20182017-18Estimatedactual '000DepartmentalAnnual appropriations - ordinary annual services (a)Prior year appropriations available (b)Departmental appropriation (c)s 74 retained revenue (d)Departmental capital budget (e)Annual appropriations - other services - non-operating (f)Prior year appropriations availableEquity injectionTotal departmental resourcingAdministeredAnnual appropriations - ordinary annual services (a)Prior year appropriations availableOutcome 1 (g)s 74 retained revenue receipts (h)Total administered annual appropriationsSpecial accountsOpening balanceAppropriation receipts (i)Non-appropriation receipts to special accounts (j)Adjustments (k)Total special account availableless administered appropriations drawn from annual/specialappropriations and credited to special accounts (i)Total administered resourcingTotal resourcing for Department of Human 1,5951,952,8828,088,1212017-1828,587Average staffing level (number)2018-19BudgetEstimate '0002018-1927,307Prepared on a resourcing (that is, appropriations available) basis.Please note: All figures shown above are GST exclusive – these may not match figures in the cash flowstatement.(a) Appropriation Bill (No.1) 2018-19.(b) Prior year appropriations available excludes 9.6 million of 2015-16 appropriation and 0.6 million of2016-17 appropriation subject to quarantine by Department of Finance under section 51 of the PGPA Act.(c) Excludes Departmental Capital Budget (DCB).(d) Estimated retained revenue under section 74 of the PGPA Act.(e) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part ofordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, thisamount has been designated as a 'contribution by owner’.(f) Appropriation Bill (No.2) 2018-19.(g) Appropriation Bill (No.1) 2018-19 provides funding for operating expenses only. The Department does nothave an administered capital budget.(h) Administered repayments received by the Department.(i) Amounts credited to the special account(s) from annual administered appropriations relating to ChildSupport.(j) Non-appropriation receipts comprise receipts from non-custodial parents through the Child Support specialaccount and receipts for compensation recoveries.(k) The available balance of the Child Support special account is adjusted under s 77 of the Child Support(Registration and Collection) Act 1988 (Child Support Act) for deductions made by employers but not yetreceived; and under s 78 of the Child Support Act for unexplained remittances not yet credited.16
DHS Budget StatementsTable 1.1: Department of Human Services resource statement — Budgetestimates for 2018-19 as at Budget May 2018 (continued)Third party receipts from and payments on behalf of other entities2017-18Estimatedactual '0002018-19BudgetEstimate '000Payments made on behalf of other entities(as disclosed in the respective entity's resource statement)Attorney-General's Department (a)Special appropriation - Social Security (Administration) Act 1999- Australian Victim of Terrorism Overseas Payment1,745-- Disaster Recovery Allowance2,171-- Disaster Recovery 0,597326,223321,236Annual appropriation - Ex gratia assistance - New Zealand citizensTotalDepartment of Agriculture and Water ResourcesSpecial appropriation - Farm Household Support Act 2014 s 105- payments for Farm Household Allowance and Exceptionalcircumstances relief paymentsTotalDepartment of Education and TrainingSpecial appropriation - A New Tax System (Family Assistance)(Administration) Act 1999 (b)Ordinary annual services (Appropriation Bill No. 1 and Bill No. 3) (b)TotalDepartment of Foreign Affairs and TradeOrdinary Annual Services - Foreign Affairs and Trade OperationsTotalDepartment of HealthSpecial account - Medicare Guarantee Fund - medical benefitsSpecial account - Medicare Guarantee Fund - pharmaceuticalbenefitsSpecial appropriation - Private Health Insurance Act 2007Special appropriation - Dental Benefits Act 2008Special appropriation - National Health Act 1953 - Aids andAppliances353,784356,371Special appropriation - Medical Indemnity Agreement Act 200291,80078,800Special Account - Australian Childhood Immunisation RegisterSpecial appropriation - Midwife Professional Indemnity(Commonwealth Contribution) Scheme Act 2010Special appropriation - Aged Care Act 1997Special appropriation - National Health Act 1953- Continence Aids Assistance SchemeOrdinary annual Services - Hearing 7
DHS Budget StatementsTable 1.1: Department of Human Services resource statement — Budgetestimates for 2018-19 as at Budget May 2018 (continued)Third party receipts from and payments on behalf of other entities (continued)2017-18Estimatedactual '000Department of Home Affairs (a)Special appropriation - Social Security (Administration) Act 1999- Australian Victim of Terrorism Overseas Payment- Disaster Recovery Allowance- Disaster Recovery PaymentAnnual appropriation - Ex gratia assistance - New Zealand citizensAnnual appropriation - Asylum Seeker SupportTotalDepartment of Infrastructure, Regional Development and Cities (a)Annual appropriation - Tasmanian Freight Equalisation SchemeAnnual appropriation - Bass Strait Passenger Vehicle EqualisationSchemeTotal2018-19BudgetEstimate ,392Department of Jobs and Small Business (a)Annual appropriation - Job Commitment BonusAnnual appropriation - PaTH Internship SupplementTotalDepartment of Social ServicesSpecial appropriation - Social Security (Administration) Act 1999Special appropriation - A New Tax System (Family Assistance)(Administration) Act 1999Special appropriation - Paid Parental Leave Act 2010Special appropriation - Student Assistance Act 1973Special appropriations - Business Services Wage Assessment ToolPayment Scheme Act 2015 (c)Special appropriations - Commonwealth Redress Scheme for InstitutionalChild Sexual Abuse Bill 2017(d)Annual Administered 2113,885,615
DHS Budget StatementsTable 1.1: Department of Human Services resource statement — Budgetestimates for 2018-19 as at Budget May 2018 (continued)Third party receipts from and payments on behalf of other entities (continued)2017-18Estimatedactual '000Department of Veterans' AffairsSpecial appropriation - Veterans’ Entitlements Act 1986and related actsSpecial appropriation - Military Rehabilitation and CompensationAct 2004Special appropriation - Safety, Rehabilitation and CompensationAct 1988Special appropriation - Australian Participants in British NuclearTests (Treatment) Act 2006TotalTotal Payments made on behalf ofother entities2018-19BudgetEstimate epared on a resourcing (i.e. appropriations available) basis.(a) Under Administrative Arrangements Order (AAO), effective from 20 December 2017: respons bility forthe above payments made on behalf of the Attorney-General’s Department transferred to theDepartment of Home Affairs (previously Department of Immigration and Border protection); Departmentof Infrastructure and Regional Development was renamed as Department of Infrastructure, RegionalDevelopment and Cities, and Department of Employment was renamed as Department of Jobs andSmall Business.(b) From 1 July 2018 all child care payments will be processed by the Department. Previously, payments toproviders were processed by the Department of Education and Training.(c) The payments made for the Business Services Wage Assessment Tool Payment Scheme are not forpublication (nfp) so as not to prejudice the Commonwealth in relation to legal claims brought against it.(d) The payments relating to Commonwealth Redress Scheme for Survivors of Institutional Child SexualAbuse is not for publication (nfp) due to ongoing negotiations with the governments and organisations.19
DHS Budget StatementsTable 1.1: Department of Human Services resource statement — Budgetestimates for 2018-19 as at Budget May 2018 (continued)Third party receipts from and payments on behalf of other entities (continued)2017-18Estimatedactual '0002018-19BudgetEstimate '000Payments made to other entities for the provision ofservices3,800Australian Federal Police3,800Australian Postal 25849849Commonwealth Superannuation CorporationDepartment of Defence4,000-43,10743,418Department of Home Affairs1,7271,727Department of Veterans' neral's Department1,650-Australian Bureau of Statistics2,845-Australian Digital Health Agency44,94521,891Australian Electoral Commission1,4936,70512,3677,883Department of Education and TrainingDepartment of FinanceReserve Bank of AustraliaTotal payments to other entities for the provision of servicesReceipts received from other entities for the provision ofservices (disclosed above in s 74 Retained revenue section)Australian Taxation OfficeDepartment of Jobs and Small Business8811,433Department of Foreign Affairs and Trade6,0306,03049,50140,1063,0932,036Department of HealthDepartment of Home AffairsDepartment of the Prime Minister and CabinetDepartment of Social Services5443392,4273,063Department of Veterans' Affairs64,34580,370National Disability Insurance AgencyTotal s 74 receipts received from other entities for the provision ofservices92,68658,610282,807228,466Prepared on a resourcing (i.e. appropriations available) basis.20
DHS Budget Statements1.3BUDGET MEASURESBudget measures in Part 1 relating to the Department are detailed in Budget Paper No. 2and are summarised below.Table 1.2: Department of Human Services 2018-19 Budget measuresPart 1: Measures announced since the 2017-18 Mid-Year Economic and FiscalOutlook (MYEFO)Expense measures (a)Department of Human ServicesDelivering Australia's Digital Future —Welfare Payment InfrastructureTransformation — Tranche Three (b)Departmental expenseDepartment of Human Services —improving service delivery (c)Departmental expenseDepartment of Education andTrainingIT System to Support VET StudentLoans — implementationDepartmental expenseResponse to the IndependentReview into Regional, Ruraland Remote Education —additional support for studentsDepartmental expenseDepartment of HealthA Stronger Rural Health StrategyDepartmental expenseGuaranteeing Medicare— Medicare Benefits Schedule —new and amended listings (d)Departmental expense— Medicare Benefits ScheduleReview — response toTaskforce recommendationsDepartmental expense— modernising the health and agedcare payments systemsDepartmental expenseImproving Access to Medicines— e-prescribing for safer medicinesDepartmental expense— sustainability of the pharmacyapprovals processDepartmental expenseProgram2017-18 '0002018-19 '0002019-20 '0001.1(1,788)24,639(14,895)2020-21 '0002021-22 23)Prepared on a Government Finance Statistics (fiscal) basis. Figures displayed as a negative (-) represent adecrease in funds and a positive ( ) represent an increase in funds.21
DHS Budget StatementsTable 1.2: Department of Human Services 2018-19 Budget measures (continued)Part 1: Measures announced since the 2017-18 Mid-Year Economic and FiscalOutlook (MYEFO) (continued)Program2017-18 '0002018-19 '0002019-20 '0002020-21 '0002021-22 '000Expense measures (continued) (a)Department of Health (continued)More Choices for a Longer Life —healthy ageing and high qualitycare (d)Departmental expensePharmaceutical Benefits Scheme —new and amended listingsDepartmental expenseDepartment of Home AffairsPathway to Permanent Residencyfor Retirement Visa Holders —establishment1.1, 1.2162,3289446836871.213820215546(28)Departmental expenseVisas for General Practitioners —targeting areas of doctorshortages1.1-(1)(2)(3)(23)Departmental expenseDepartment of Jobs and SmallBusiness (e)Better Targeting of Assistance toSupport Jobseekers — amendmentDepartmental expenseStreamlining Services forRefugeesDepartmental expenseDepartment of the PrimeMinister and CabinetCommunity Development Program —reformDepartmental expenseDelivering Australia's Digital Future— data sharing and Departmental expenseDepartment of Social Services50 Years of ABSTUDY —strengthening ABSTUDY forsecondary students1.1, 1.2, 1.3-Departmental expenseDisability Support Pension —aligning suspension periods forimprisoned recipients1.1219Departmental 3)7,741680305316778646650733(761)Prepared on a Government Finance Statistics (fiscal) basis. Figures displayed as a negative (-) represent adecrease in funds and a positive ( ) represent an increase in funds.22
DHS Budget StatementsTable 1.2: Department of Human Services 2018-19 Budget measures (continued)Part 1: Measures announced since the 2017-18 Mid-Year Economic and FiscalOutlook (MYEFO) (continued)ProgramExpense measures (continued) (a)Department of Social Services(continued)Encouraging Lawful Behaviour ofIncome Support Recipients (f)Departmental expenseEncouraging Self-Sufficiencyfor Newly Arrived Migrants —extensionDepartmental expenseExtending the Cashless DebitCard Trial (g)Departmental expenseIntegrated Carer Support Services (h)Departmental expenseMore Choices for a Longer Life —finances for a longer lifeDepartmental expenseNational Disability Insurance Scheme— continuity of supportDepartmental expenseSocial Welfare Debt RecoveryDepartmental expenseDepartment of the TreasuryProtecting Your Super Package— changes to insurance insuperannuationDepartmental expenseDepartment of Veterans' AffairsDelivering Australia’s Digital Future —Veteran Centric Reform— continuationDepartmental expenseDigital Transformation AgencyDelivering Australia's Digital Future —GovPass program — acceleratedimplementation (d)Departmental expenseTotal expense measuresAdministeredDepartmentalTotal2017-18 '0002018-19 '0002019-20 '0002020-21 '0001.1nfpnfpnfpnfp1.1(683)(52)761532021-22 (759)91352,42652,426Prepared on a Government Finance Statistics (fiscal) basis. Figures displayed as a negative (-) represent adecrease in funds and a positive ( ) represent an increase in funds.23
DHS Budget StatementsTable 1.2: Department of Human Services 2018-19 Budget measures (continued)Part 1: Measures announced since the 2017-18 Mid-Year Economic and FiscalOutlook (MYEFO) (continued)Program2017-18 '0002018-19 '000(459)(8,238)2019-20 '0002020-21 '0002021-22 '000(25,273)(20,544)Capital measures (a)Department of Human ServicesDelivering Australia's Digital Future —Welfare Payment InfrastructureTransformation — Tranche Three (b)Departmental capitalDepartment of Education andTrainingIT System to Support VET StudentLoans — implementationDepartmental capitalDepartment of HealthA Stronger Rural Health StrategyDepartmental capitalGuaranteeing Medicare —modernising the health and agedcare payments systemsDepartmental capitalDepartment of the PrimeMinister and CabinetCommunity Development Program —reformDepartmental capitalDepartment of Social Services50 Years of ABSTUDY —strengthening ABSTUDY forsecondary studentsDepartmental capitalEncouraging Lawful Behaviour ofIncome Support Recipients (f)Departmental capitalDepartment of Veterans' AffairsDelivering
legislation for the Human Services Portfolio: Human Services (Centrelink) Act 1997 Human Services (Medicare) Act 1973, except to the extent administered by the Minister for Health Australian Hearing Services Act 1991, except to the extent administered by the Minister for Health. For information on resourcing across the Human Services portfolio .
