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

7.6.9 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

7.6.10 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.

    1. The Service residence meets or exceeds the minimum housing standard in section 7.6.12.

      See: Section 7.6.12, Minimum standard for a market-rent-based classification

    2. Rent bands are listed for the Service residence's location in Annex 7.B, or prescribed under subsection 7.6.11.2.

      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 subsection 7.6.11.2.

      See: Annex 7.B, Regional rent bands

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

  2. A Service residence classified at amenity group E under section 7.6.17 is taken to hold a rent band of 5. This is for ease of administration and does not reflect an actual rent.

  3. See:
    Division 4 section 7.6.17, Group E Service residence – Major General or higher
    Division 6, Appointment, tied and assigned residences

7.6.11 Rent bands

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

  2. See: Annex 7.B, Regional rent bands

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

  4. 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.B.

    See:
    Division 4 section 7.6.15, Amenity-based classification
    Annex 7.B, Regional rent band

Persons who can make the decision under subsection 7.6.11.2 on behalf of the CDF:
Director Relocations and Housing
Contract Manager Services Agreement

7.6.12 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.

  1. Three bedrooms.

  2. Lounge.

  3. Dining area.

  4. Kitchen.

  5. Laundry.

  6. Bathroom.

  7. Toilet.

  8. Ensuite bathroom.

  9. Single lock-up garage.

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

  11. Storage.

  12. Security features.

  13. Exception: Back-to-base security system.

    Example: Deadlocks on external doors.

  14. Covered outdoor entertaining area.

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

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

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

Minimum yard size
Item Location Minimum yard size
1. Greater Sydney area 25 square metres
2. All other locations 35 square metres

Exception: Division 10 section 7.6.68, Apartment minimum standards, provides alternative standards for members who choose an apartment as part of the Sydney apartment trial.

7.6.13 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.

    Rent band
    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 section 7.6.17.

  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 section 7.6.4.

    See: Division 2 section 7.6.4, 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 subsection 1, then the member may be allocated a Service residence in one of the following.

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

    2. An amenity group that is one amenity group above or below the one listed for the member's rank group in the table in subsection 7.6.16.1.

      See: Division 4 section 7.6.16, Amenity-based classification for a member's rank group

    Note: An offer made in accordance with this subsection is usually a reasonable offer for the purposes of section 7.6.33, Acceptance or rejection of reasonable offer.

    See: Division 7 section 7.6.33, 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 8.

  4. See: Division 8
    Section 7.6.45, Member allocated a Service residence above their rank group
    Section 7.6.46, Member allocated a Service residence below their rank group
    Section 7.6.43, Higher contribution scheme, above rank group

  5. 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 8 section 7.6.45, 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.

  6. This subsection applies to a member who meets the requirements of section 7.6.55. The member is taken to have been allocated their current Service residence under this section.

    See: Division 8 section 7.6.55, Contribution for member formerly in an amenity-based or on-base residence

Persons who can make the decision under subsection 7.6.13.4 on behalf of the CDF:
Contract Manager Services Agreement
Assistant Contract Manager Services Agreement
Assistant Director Operations
Director Relocations and Housing

 

7.6.13A Useful links

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

Links
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 8 section 7.6.46
3. Member allocated a Service residence below their rank group Division 8 section 7.6.47
4. Member chooses a Service residence above their rank group benefit Division 8 section 7.6.45
5. Member chooses a Service residence below their rank group entitlement Division 8 section 7.6.44
6. Member's contributions Division 8
7. End of eligibility to live in a Service residence Division 9

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



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