Division 3: Market-rent-based classification of a Service residence

7.5.9    Purpose
7.5.10   Market-rent-based classification
7.5.11   Rent bands
7.5.12   Minimum standard for a market-rent-based classification
7.5.13   Rent band for a member's rank group
7.5.13A  Useful links (This clause is policy guidance)

7.5.9    Purpose

 

This Division sets out how a Service residence is given a market-rent-based classification.

 

Note: If a Service residence is not classified as a market-rent-based residence, it may be classified under the amenity-based classification.

 

See: Division 4, Amenity-based classification of a Service residence

7.5.10   Market-rent-based classification

1.

If a Service residence meets all the following conditions, then it may be given a market-rent-based classification by Defence Housing Australia.

 

a.

The Service residence meets or exceeds the minimum housing standard in clause 7.5.12.

 

 

See: Clause 7.5.12, Minimum standard for a market-rent-based classification

 

b.

Rent bands are listed for the Service residence's location in Annex 7.A2, or prescribed under subclause 7.5.11.2.

 

 

Note: Rent bands may not be set in some small or remote locations. If a Service residence is allocated in the location, rent bands may be set under subclause 7.5.11.2.

See: Annex 7.A2, Regional rent bands

 

c.

Its market rent falls into one of the rent bands listed for the location it is in.

 

d.

...

 

e.

...

2.

...

3.

A Service residence classified at amenity group E under clause 7.5.17 is taken to hold a rent band of 5. This is for ease of administration and does not reflect an actual rent.

See:
Division 4 clause 7.5.17, Group E Service residence – Major General or higher
Division 8, Appointment, tied and assigned residences

 

7.5.11   Rent bands

1.

Rent bands for each location are set out in Annex 7.A2.

 

See: Annex 7.A2, Regional rent bands

2.

If no rent bands exist for a location, the CDF may assign temporary rent bands for the location for a fixed period.

 

Note: This mechanism is used to give a rent band to homes in posting locations for which rent bands have not been set in Annex 7.A2.

 

See:

Division 4, clause 7.5.15, Amenity-based classification

Annex 7.A2, Regional rent band

3.

...

  

Persons who can make the decision under subclause 7.5.11.2 on behalf of the CDF:

Director of Relocations and Housing

Contracts Manager Service Agreement

7.5.12   Minimum standard for a market-rent-based classification

 

A Service residence is only to be given a market-rent-based classification if meets at least the minimum housing standard, which includes all of the following amenities.

 

a.

Three bedrooms.

 

b.

Lounge.

 

c.

Dining area.

 

d.

Kitchen.

 

e.

Laundry.

 

f.

Bathroom.

 

g.

Toilet.

 

h.

Ensuite bathroom.

 

i.

Single lock-up garage.

 

 

Exception: For Service residences in Darwin the minimum standard is a carport.

 

j.

Storage.

 

k.

Security features.

 

 

Exception: Back-to-base security system.

 

 

Example: Deadlocks on external doors.

 

l.

Covered outdoor entertaining area.

Exception: Residences acquired by Defence Housing Australia before 1 July 2007 are exempt.

 

m.

A yard, that has a minimum size in accordance with the following table.

Exception: Residences acquired by Defence Housing Australia before 1 July 2007 are exempt.

 

Item

Location

Minimum yard size

1.

Greater Sydney area

25 square metres

2.

All other locations

35 square metres

7.5.13   Rent band for a member's rank group

1.

A member who holds a rank in a group listed in the following table may be allocated a Service residence in the rent band that is listed for their rank group.

 

Item

If a member has a rank in this group...

then the member may be allocated a home in this rent band...

1.

Corporal or lower

Sergeant

Staff Sergeant

Second Lieutenant

Lieutenant

1

2.

Warrant Officer Class 2

Warrant Officer Class 1

Captain

2

3.

Major

Lieutenant Colonel

3

4.

Colonel

Brigadier

4

 

 

Note: For a Major-General or above, see subclause 7.5.10.3 and clause 7.5.17.

2.

An offer of a Service residence in the rent band listed for the member's rank group is taken to be a reasonable offer of a suitable Service residence, provided that it meets the other conditions for suitability set out in clause 7.5.4.

See: Division 2 clause 7.5.4, Suitable Service residence

3.

If a Service residence is not available at the rent band that is listed for the member's rank group in the table in subclause 1, then the member may be allocated a Service residence in one of the following.

 

a.

A rent band that is one rent band above or below the one listed for the member's rank group in the table in subclause 1.

 

b.

An amenity group that is one amenity group above or below the one listed for the member's rank group in the table in subclause 7.5.16.1.

See: Division 4 clause 7.5.16, Amenity-based classification for a member's rank group

 

Note: An offer made in accordance with this subclause is usually a reasonable offer for the purposes of clause 7.5.32, Acceptance or rejection of reasonable offer.

 

See: Division 7 clause 7.5.32, Acceptance or rejection of reasonable offer

 

Exception:
A member may also choose a Service residence with a classification that is higher or lower than the one they are eligible for in their rank group. This affects the member's contribution and is dealt with in Division 9.

See: Division 9

Clause 7.5.46, Member allocated a Service residence above their rank group

Clause 7.5.47, Member allocated a Service residence below their rank group

Clause 7.5.44, Higher contribution scheme, above rank group

4.

The CDF may allocate a member a Service residence that is more than one level above the rent band for the member's rank group, if accommodation is not available at a lower rent band. The member's contribution is dealt with in the same way as other members allocated a Service residence above their rank group eligibility.

See: Division 9 clause 7.5.46, Member allocated a Service residence above their rank group

Note: A member would not be allocated a Service residence two groups below their rank group eligibility. Rent band choice or housing with rent allowance give alternatives to allocation.

5.

This subclause applies to a member who meets the requirements of clause 7.5.55A. The member is taken to have been allocated their current Service residence under this clause.

See: Division 9 clause 7.5.55A, Contribution for member formerly in an amenity-based or on-base residence

 

Persons who can make the decision under subclause 7.5.13.4 on behalf of the CDF:

Contract Manager Services Agreement

Assistant Contract Manager Services Agreement

Assistant Director Operations

Director Relocations and Housing

7.5.13A  Useful links (This clause is policy guidance)

 

The following table holds links to relevant information in this Part.

 

Item

members conditions

See

1.

When a member is eligible to live in a Service residence

Division 7

2.

Member allocated a Service residence above their rank group

Division 9 clause 7.5.46

3.

Member allocated a Service residence below their rank group

Division 9 clause 7.5.47

4.

Member chooses a Service residence above their rank group entitlement

Division 9 clause 7.5.44

5.

Member chooses a Service residence below their rank group entitlement

Division 9 clause 7.5.45

6.

Member's contributions

Division 9

7.

End of entitlement to live in a Service residence

Division 10

 

PACMAN                                                                   AL12 (October 2011)                                      Chapter 7 – Part 5 Division 3 – 1