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BETTER LIVING: Members
with dependants will soon have access to more properties in
their rank group. Pictured is FLTLT Lexy Woodbury with daughter
Scarlett and dog Mouse outside their Service residence in Jerrabomberra,
NSW.
Photo by LACW Kim Eager |
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IF A man’s home is his castle, then ADF members with dependants
(MWDs) will welcome the new housing classification policy that will give
them access to a greater range of properties in their rank groups.
Defence Minister Brendan Nelson announced details of the new policy on
March 22, effective from the start of the new financial year.
“Tax-free subsidised housing is a significant benefit of ADF service
and is a major factor in members deciding to maintain their military careers,”
Dr Nelson said.
“It is also important that the Defence housing stock reflects current
community standards and meets the needs and expectations of today’s
military workforce and their families.”
The New Housing Classification Policy (NHCP) will change the way off-base
Service residences are classified. It will be phased-in over the next
10 years from July 1, but the new policy will not affect members until
they move house.
“The NHCP allows the Defence Housing Authority to deliver a greater
variety of housing types within each rank group,” CAF AIRMSHL Geoff
Shepherd said. “This means that we can meet the diverse needs of
ADF families more effectively.”
The ADF’s current amenity-based housing classification system reflects
housing standards of the early 1990s and has become outdated. Under NHCP,
the minimum standard for Service residences will be raised to mirror current
community standards, providing improved housing for junior ranks in particular.
Defence will continue to subsidise 50 per cent of the MWD rent bill. The
subsidy is tax-free in the hands of ADF members and the value of the fringe
benefit is not reportable on members’ income payment summaries.
Member contributions will not change during the current tenancy, except
for the annual adjustment.
The improved minimum standard and better quality housing stock over time
will result in slightly higher than usual member rental contribution increases
for personnel at or below CPL rank. The transitional Group Rent Scheme
(GRS) contribution will progressively close the dollar gap between the
group A and group B1/RB1 contributions.
To reduce the financial impact on members at or below CPL rank, introduction
of the transitional GRS contribution will be deferred for two years. Member
rental contributions are planned to then gradually increase over a 10-year
period, starting from July 1, 2009. Arrangements for the transitional
GRS contribution will be circulated before the commencement date.
While the new policy will retain the rank group approach, the number of
rank groups has been reduced from six to five, so some ranks will move
to different rank groups. CPL and lower ranks have been combined with
SGTs into a single rank group within rent band 1 (RB1). FLGOFF and PLTOFF
will now be moved down one group to the RB1 rank group and will pay the
RB1 contribution. This will provide FLGOFF/PLTOFF members with a rent
contribution that is better aligned with their salary.
Service residences will be allocated on the basis of a member’s rent
band and bedroom entitlement, which will continue to be based on the number,
sex and age of their dependants. Arrangements for families with special
needs will not change.
When members move house after July, they could be offered a property that
has been classified under the new policy, or one that is still classified
under the amenity-based system. Both will be considered reasonable offers
during the 10-year transition period.
For more information on NHCP, visit http://intranet.defence.gov.au/pac/
or call the Defence Service Centre on 1800 333 362. Information sessions
will be held at major Defence installations from May.
| Minimum housing
standard |
Policy fast facts |
Current housing standard
- 3 bedrooms
- Storage
- Kitchen
- Dining
- Lounge
- Bathroom
- Toilet
- Laundry
- Car accommodation (Carport)
- New classification policy to take effect July 1, 2007
New minimum standard
The current minimum standard plus the following amenities:
- Ensuite
- Lock-up garage (except for Darwin)
- Security
- Covered outdoor entertainment area (from July 1, 2009)
- Minimum size fenced yard of 25sqm in Sydney area and 35sqm for all
other posting locations (from July 1, 2009)
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- The New Housing Classification Policy enables
DHA to deliver a greater variety of housing types within each rank
group.
- Improved housing for junior ranks will reflect community standards.
- A new minimum amenity standard for all Service residences will be
phased in over 10 years from July 1, 2007.
- Off-base housing will be classified according to a combination of
the minimum standard and market rent, within four rent bands.
- On-base housing will continue to be classified by amenity but will
be assigned to an appropriate rent band.
- Houses will be reclassified on change of tenancy or, where this
has not occurred, at the end of the 10-year transition period.
- The Group Rent Scheme (GRS) for determining contributions according
to rank will be retained.
- The Defence policy on sharing the MWDs rent bill 50/50 will be retained.
- The improved housing standard will gradually increase contributions
for ‘A’ entitled members over 10 years, with Transitional
GRS Contributions planned to commence in FY09/10. |
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