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Division 3: Contributions

7.7.14 Contributions for accommodation

  1. A member living in accommodation under this Part must make a rent contribution based on relevant rank group, living arrangement and rent allowance eligibility.

    See:
    Part 8 Division 1, Member eligible for rent allowance
    Annex 7.D, Contributions for rent allowance

  2. The rent contribution for a member who accepts an offer of accommodation which is below, or corresponds with their rent ceiling under subsection 7.7.12.1 is worked out using the following table.

    See: Division 2 section 7.7.12, Accommodation offer

    Contribution
    Item If the member is... their fortnightly rent contribution is...
    1. living alone the amount that applies for their rank group in Annex 7.D Part 2 column 2.
    See: Annex 7.D Part 2, Contributions for rent allowance
    2. sharing the accommodation with another member the amount that applies for their rank group in Annex 7.D Part 2 column 3.
    See: Annex 7.D Part 2, Contributions for rent allowance
    3. sharing accommodation with a partner or other dependant under section 7.7.8. the amount that applies for their rank group in either of the following references
    1. Annex 7.D Part 1 column 3, if they live in two bedroom accommodation.
    2. Annex 7.D Part 1 column 4, if they live in three or more bedroom accommodation.
    See:
    Division 1 section 7.7.8, Member becomes a member with dependants
    Annex 7.D Part 1, Contributions for rent allowance
    4. is a member with dependants (unaccompanied) not on a flexible service determination for the accommodation they occupy in the gaining location, either of the following:
    a. if the member accepts an offer of accommodation above their rent ceiling, under subsection 7.7.12.1, the difference between the contribution for their rank group under Annex 7.D Part 2 and the rent ceiling that applies to the member's circumstances.
    b. if the member accepts an offer of accommodation at or below their rent ceiling, under subsection 7.7.12.1, no contribution.
    5. a member with dependants (unaccompanied) on a flexible service determination for the accommodation they occupy in the gaining location, the amount required under 7.7.14B.
  3. The fortnightly rent contribution for a member who accepts an offer of accommodation above their rent ceiling, under subsection 7.7.12.1, is the sum of the following amounts.

    1. The contribution for their rank group under Annex 7.D Part 2.

      See: Annex 7.D Part 2, Contributions for rent allowance

    2. The difference between the applicable rent ceiling, under subsection 7.7.13.1 and the rent of the home.

      Note: This is also known as the additional member contribution.

      See: Division 2 subsection 7.7.13.1, Rent ceilings

    Example: A corporal applies to live alone in member's choice accommodation. He is eligible for rent allowance. The accommodation costs $400 per fortnight. This is $100 above his rank group's fortnightly rent ceiling of $300. The corporal must pay the extra $100 each fortnight as well as the fortnightly contribution for his rank group of $150. Each fortnight he must make a $250 contribution towards his accommodation.

    See: Annex 7.G, Example of how the rent ceiling and member's contribution works

    Note: The figures used in the example do not correspond with actual figures in the annexes.

    See:
    Division 2 section 7.7.12, Accommodation offer
    Annex 7.D, Contributions for rent allowance
    Annex 7.E, Rent ceilings

7.7.14A Contribution for member on a flexible service determination

  1. This section applies to a member who meets all of the following conditions.

    1. The member is on a flexible service determination.

    2. The member is required to make a contribution for rent under section 7.7.14.

    3. The member is not a member with dependants (unaccompanied).

  2. Subject to subsection 3, a member pays the rate of contribution that applies to the member's circumstances under Annex 7.D for rented accommodation.

  3. The rate of contribution is 150% of the rate that would have been payable by the member under subsection 2 for the following periods.

    1. Unless subsection b applies, the period commencing on the 29th day of a continuous nonworking period and ending on the last day of the same nonworking period.

    2. Note: This applies to each nonworking period.

    3. The whole period of the member's flexible service determination if the total number of days that are the member's pattern of service in the member's flexible service determination are either of the following.

      1. If a period in the flexible service determination is one year — less than 130 days.

      2. If a period in the flexible service determination is part of a year — less than the number of days calculated using the following formula.

      3. Number of days = 130 times (FSD divided by 365)

        Where:

        FSD is the number days in the period of the member's flexible service determination that is less than one year.

  4. If the member's pattern of service changes for a reason specified in the flexible service determination, and the member has an incomplete cycle, either of the following applies.

    1. If the member's contribution decreases, the member must be reimbursed the difference between the following two amounts.

      1. The contribution that the member has paid for the member's cycle.

      2. The contribution that the member would have paid for the member's incomplete cycle under the changed pattern of service.

    2. If the member's contribution increases, the member is not required to repay any amount to the Commonwealth for the incomplete cycle.

  5. If the member's flexible service determination is varied for Service reasons, the member will be reimbursed the difference between the following two amounts.

    1. The contribution amount that the member has paid during the period of the variation.

    2. The contribution rate that the member would have paid under Annex 7.D during the period of the variation.

7.7.14B Member with dependants (unaccompanied) on a flexible service determination

  1. This section applies to a member who meets all of the following conditions.

    1. The member is a member with dependants (unaccompanied).

    2. The member is on a flexible service determination.

  2. A member's may be required to pay a contribution if they meet one of the following conditions.

    1. The member has a nonworking period that exceeds 28 continuous days.

    2. The total number of days that are the member's pattern of service in the member's flexible service determination are either of the following.

      1. If a period in a flexible service determination is one year — less than 130 days.

      2. If a period in a flexible service determination is part of a year — less than the number of days calculated using the following formula.

      3. Number of days = 130 times (FSD divided by 365)

        Where:

        FSD is the number days in the period of the member's flexible service determination that is less than one year.

  3. If subsection 2 applies, the member must make a contribution towards accommodation for each weekday in the member's nonworking period. The member's contribution is calculated as follows.

  4. Member's contribution = NWP times (C divided by 10)

    Where:

    NWP is the number of weekdays during the members nonworking period in the pay fortnight.

    C is 50% of the fortnightly contribution rate set for the member's rank and circumstances in Annex 7.D that would apply to the member if they were categorised as a member without dependants and not on a flexible service determination.

  5. If the member's pattern of service changes for a reason specified in the flexible service determination, and the member has an incomplete cycle, either of the following applies.

    1. If the member's contribution decreases, the member must be reimbursed the difference between the following two amounts.

      1. The contribution that the member has paid for the member's cycle.

      2. The contribution that the member would have paid for the member's incomplete cycle under the changed pattern of service.

    2. If the member's contribution increases, the member is not required to repay any amount to the Commonwealth for the incomplete cycle.

  6. If the member's flexible service determination is varied for Service reasons, the member will be reimbursed the difference between the following two amounts.

    1. The contribution amount that the member has paid during the period of the variation.

    2. The contribution rate that the member would have paid under Annex 7.D during the period of the variation.

7.7.14C When a flexible service determination ends early

  1. This section applies to a member who meets both of the following criteria.

    1. The member pays a contribution for accommodation under either of the following sections.

      1. Section 7.7.14A, for a member on a flexible service determination.

      2. Section 7.7.14B, for a member with dependants (unaccompanied) on a flexible service determination.

    2. The member's flexible service determination ends before the end date specified in the flexible service determination.

  2. If the member has an incomplete cycle, the following table applies.

  3. Contribution for incomplete cycle
    Item If the contribution the member would have paid for the incomplete cycle is... and the flexible service determination was ended... then...
    1. higher than what the member has paid for the incomplete cycle on request from the member the member must pay to the Commonwealth the difference between the following two amounts.
    a. The contribution that the member has paid for the member's cycle.
    b. The contribution that the member should have paid for the member's incomplete cycle.
    2. less than what the member has paid for the incomplete cycle on request from the member the member must be reimbursed the difference between the following two amounts.
    a. The contribution that the member has paid for the member's cycle.
    b. The contribution that the member should have paid for the member's incomplete cycle.
    3. less than what the member has paid for the incomplete cycle for Service reasons or a reason set out in the flexible service determination
    4. higher than what the member has paid for the incomplete cycle for Service reasons or a reason set out in the flexible service determination the member is not required to pay any amount to the Commonwealth.

    See: Part 1 Division 3 section 7.1.14, for the definitions of incomplete cycle and member's cycle.

7.7.15 Change in classification of accommodation under this Part

  1. Rent ceilings and member contributions for accommodation are generally reviewed annually.

  2. If the CDF changes the member contribution rate, then the new rate of contribution the member must pay takes effect on the relevant date in the following table.

    Change in contribution rate
    Item If a contribution rate changes... the contribution rate change will take effect...
    1. during the first 12 months of the member's lease for the accommodation on the first day after the first 12 months of occupation.
    2. after the first 12 months the member occupies the accommodation under this Part on the date it is changed.

7.7.16 Member promoted

  1. This section applies to a member who lives in accommodation provided under this Part and is promoted.

  2. If the member stays in the same rank group, their contribution rate will not change.

  3. If the member moves to a higher rank group, their contribution may increase.

  4. The member may apply in writing to the CDF to have their contribution reviewed. The review must be based on whether the member's rent ceiling is affected by their change in rank group. The member can ask for the review either before or after they are promoted. The CDF must notify the member of their decision in writing.

  5. If the CDF determines that the amount of contribution should change, the new rates are payable from the later of these dates.

    1. The day the member is promoted.

    2. A day chosen by the member.

  6. After the member moves out of the accommodation, the benefits for the member's next accommodation will be based on the member's new rank.

Persons who can make the decision under subsection 7.7.16.4 on behalf of the CDF:
An employee of Defence Housing Australia who performs the duties of:

  • Team Leader in the Housing Contact Centre
  • Regional Housing Specialist in the Housing Management Centre
  • Housing Contact Centre Manager
  • Regional Director in a Housing Management Centre
  • National Housing Manager
Contract Manager Services Agreement
Assistant Contract Manager Services Agreement
Assistant Director Operations
Director Relocations and Housing

7.7.17 Member reduced in rank

  1. This section applies to a member who lives in accommodation provided under this Part and is reduced in rank.

  2. If the member stays in the same rank group, their contribution rate will not change.

  3. If the member moves to a lower rank group, the contribution rate the member pays is reduced. The new contribution rate takes effect on the day the member's demotion takes effect.

  4. Despite subsection 3, the member's rent ceiling is preserved until the member moves out of the accommodation.

  5. After the member moves out of the accommodation, the rent ceiling for the member's next accommodation is the amount that applies to their new rank group. The reduced rent ceiling applies from the day after the member moves out of the accommodation provided under this Part.

  6. A member who has been reduced in rank must notify the Defence Housing Australia Housing Management Centre Manager in writing. This allows Defence Housing Australia to assess whether the reduction in rank has any effect on the member's contribution.

7.7.18 Exemptions from contributions

A member without dependants is not required to make a contribution towards their rent for a period the member satisfies any the criteria of the table at section 7.8.18.

7.7.19 Contribution for member on leave without pay

  1. A member is not eligible for accommodation under this Part while they are on leave without pay under Chapter 5 Part 10, Leave without pay.

    See: Chapter 5 Part 10, Leave without pay

  2. This section does not apply to a member on the following types of leave.

    1. Maternity leave.

    2. Parental leave.

  3. The CDF may decide that the member was granted the leave without pay for exceptional reasons. In this case, the member may apply to keep their accommodation provided under this Part. They must pay Defence Housing Australia the full market rent for the accommodation.

    Exception: Members under section 7.7.18, Exemptions from contributions.

Persons who can make the decision under subsection 7.7.19.3 on behalf of the CDF:
Director General Navy People
Director Navy Personnel Policy and Governance
Director Navy Employment Conditions
Director General Army People Capability
Director Personnel Policy – Army
Staff Officer Grade 1 – Personnel Policy – Army
Director General Personnel – Air Force
Director Personnel Policy – Air Force
Deputy Director Personnel Policy – Air Force
Deputy Director Service Conditions – Air Force

7.7.20 ...

7.7.21 How visiting members affect contributions

  1. A member who is a visitor to the household may be required to contribute to the cost of the accommodation provided under this Part. The contribution for the visitor is worked out as follows.

    1. If the visit is for less than four weeks the visiting member is not required to pay a contribution towards the accommodation.

    2. If the visit is for four weeks or more then the visiting member's required contribution is shown in the following table.

      Contribution for visitor
      Item If the visitor has... the visitor is...
      1. a permanent home at another location not taken to be a resident.The visiting member is not required to pay a contribution towards the accommodation.
      2. no permanent home taken to be a resident member.The visiting member is required to pay a contribution under the rate for shared accommodation in Annex 7.D Part 2 that applies for their rank group and accommodation.
  2. If the visiting member is required to pay a contribution under subsection 1 the resident member pays a contribution rate for the shared accommodation in Annex 7.D Part 2 that applies for their rank group and accommodation.

  3. After the day that the visiting member leaves the accommodation the resident member's contribution payment returns to the normal contribution worked out for the member under this Part.

  4. The member must apply in writing to the Defence Housing Australia Housing Management Centre Manager to obtain approval if the person will be living in their home for longer than four weeks.

    See: Division 1 section 7.7.7, Members sharing accommodation

7.7.22 Contribution when one member leaves a shared home

  1. This section applies to a member who remains in shared accommodation provided under this Part after a housemate has left the accommodation for Service reasons.

  2. The remaining member continues to contribute at the shared rate they paid, in accordance with subsection 7.7.14.2 table item 2, for up to four weeks after their housemate has left the home.

  3. If the housemate is not replaced within the four week period, then at the end of that period the member must take either of the following actions.

    1. Contribute at the relevant rate in column 2 of Annex 7.D Part 2, for a member who lives alone.

    2. Vacate the choice accommodation at their own expense.

    See: Annex 7.D Part 2, Contribution for rent allowance – member without dependants

Application to Reservists: Yes, on continuous full-time service.



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