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2001-02 Budget Paper No. 2

Foreign Affairs and Trade

Commitment to polio eradication

Expenses ($m)

Explanation

The Government will fund a commitment to Rotary International under its programme to eradicate polio from the world by 2005. This programme operates in partnership with the World Health Organisation, UNICEF and the US Center for Disease Control.

The Government will match Australian corporate and philanthropic contributions dollar for dollar up to a total commitment of $10 million over the period between 2001 and 2005.

Improving security within the Australian intelligence community

Expenses ($m)

Explanation

The Government will provide additional funding to the Australian Security Intelligence Organisation, the Australian Secret Intelligence Service and the Office of National Assessments to enhance security practices within these agencies. The Department of Defence will absorb the cost and the Attorney-General's Department will offset the cost of implementing security enhancements.

See also the related capital measure titled Improving security within the Australian intelligence community in the Foreign Affairs and Trade portfolio.

Opening of Australian Consulate-General in Chicago

Expenses ($m)

Explanation

The Government will provide $13.6 million over four years to establish an Australian Consulate-General in Chicago, USA, which will include representation from the Australian Trade Commission.

The Consulate-General will enhance Australia's interaction with economic and political decision-makers in the region, and support Australian business in identifying and developing trade and investment opportunities in a region which generates nearly one third of the gross domestic product (GDP) of the largest economy in the world. It will also improve consular service delivery for Australians in the United States.

Health and Aged Care

Additional practice nurses for rural Australia and other areas of need

Expenses ($m)

Explanation

The Government will provide $104.3 million over four years to improve access to medical services for patients in rural Australia and other areas of need by providing support for general practitioners (GPs) to employ practice nurses. Practice nurses assist GPs by contributing to a range of services, including chronic disease management and population health activities. These arrangements allow GPs to focus on diagnosis and clinical care, while practice nurses assist in the management of chronic diseases such as diabetes and asthma, conducting health assessments, and providing clinical support such as wound dressings and minor surgical procedures. The programme will be targeted to those areas where patient access to medical services is limited in rural and remote Australia, and in provincial and outer metropolitan areas.

This measure also provides for re-entry and up-skilling programmes for rural nurses. This will be provided via a scholarship programme of approximately 400 scholarships per annum.

See also the related expense measure titled Rural Nursing Scholarships in the Health and Aged Care portfolio.

After hours/emergency primary medical care

Expenses ($m)

Explanation

The Government will provide $43.4 million over four years to extend the availability of after hours primary medical care services. Up to 32 sites will be established over four years. These services may include GP/nurse telephone triage; cooperatives or collaborative GP arrangements including with hospital emergency departments and/or Divisions of General Practice; deputising services; funded transport, sessional payments for GPs and home visits.

This initiative will lead to improved quality of care by reducing pressures on GPs in rural and outer urban areas and the workforces of hospital emergency departments and by improving communication and exchange of information between after hours doctors and a person's usual doctor.

Part of the funding will be used to develop national standards and guidelines for after hours phone (`call centre') triage services.

Alcohol Education and Rehabilitation Foundation

Expenses ($m)

Explanation

The Government will fund an independent Alcohol Education and Rehabilitation Foundation aimed at preventing alcohol and other legal substance abuse.

Alcohol abuse is a major cause of death and hospitalisation in Australia. The Foundation will support treatment, rehabilitation, research and prevention programmes as well as community education programmes.

Funding to support this initiative will be appropriated through separate legislation.

Hospital safety initiatives

Expenses ($m)

Explanation

The Government will provide funding for the Commonwealth's contribution to the work of the Australian Council for Safety and Quality in Health Care, which is jointly funded by the Commonwealth and the States and Territories.

This measure includes funds to improve the safety and quality of health care in hospitals. Initiatives under this measure will engage health managers, practitioners and consumers in practical solutions in areas such as risk management, performance measurement and improvement, legislative reform and design of services for safer care.

Critical dates for three major blood contracts will be triggered over the next year and part of the funding from this measure will be used to recruit specialist staff to assist in these negotiations. The remainder of the funding will be used to develop a comprehensive Commonwealth communication strategy, conduct extensive public consultations, and purchase management systems to underpin Commonwealth contract management in this sector.

Better targeting of medical workforce reform

Expenses ($m)

Explanation

This measure will shift the emphasis in the Commonwealth's approach to reform of the medical workforce away from individual support and towards strategic partnerships with major stakeholders such as medical colleges, universities and State governments. This strategic collaboration is necessary to ensure that the availability of training places across the specialty areas meets population health needs, and that training targets are agreed by both States and medical colleges. The measure will result in a saving to the Commonwealth of around $6 million per year from 2002-03 to 2004-05.

Carers information and support

Expenses ($m)

Explanation

The Government will extend funding to support carers of older Australians. The continuation of this measure will ensure that practical information on government programmes and other matters is available to carers. Provision for this funding has already been included in the forward estimates ($10.3 million over four years).

Cervical screening incentives for general practitioners

Expenses ($m)

Explanation

The Government will provide $71.9 million over four years for general practitioners (GPs) to increase rates of participation in the National Cervical Screening Programme, particularly by targeting women who are unscreened or under-screened. This will improve early detection of cervical abnormalities, thereby reducing mortality from cervical cancer.

This measure will specifically introduce a targeted incentive to reward individual GPs who screen high risk women including women in rural and remote areas and from culturally and linguistically diverse backgrounds. It will also provide a population based incentive through the Practice Incentives Programme to reward general practices reaching an overall screening target, along with funding to support the recruitment of under-screened women.

This is a cross-portfolio measure, and as the Department of Veterans' Affairs provides health services to veterans, a small expense for the Department of Veterans' Affairs will result from the implementation of this initiative.

Clarifying the funding arrangements for the provision of methadone to private patients

Expenses ($m)

Explanation

The Government has decided that funding associated with the 1997-98 Budget measure Restructure arrangements for funding services related to the provision of methadone (for which provision of $90 million had been included in budget and forward estimates) will be transferred to support new policy priorities in the Health and Aged Care portfolio.

This will not have a detrimental impact on the provision of drug treatment services, as methadone services will continue to be provided under other existing mechanisms. In addition, the Government's National Illicit Drug Strategy has put in place a national network of drug treatment and rehabilitation services not available at the time of the methadone decision. As a result, methadone patients are now far more likely to have access to support through public clinics or private providers.

Dementia Education and Support Programme

Expenses ($m)

Explanation

The Government will continue funding to support carers and people with dementia to reduce stress, increase effectiveness of the caring role and delay unnecessary entry to residential care. Support will also be provided for a 24 hour Dementia Helpline. This programme will help meet the increasing demand for dementia support services in country areas and less populated regions. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($10.8 million over four years).

Electronic commerce for Medicare claiming

Expenses ($m)

Explanation

The Government will continue to fund the development of systems to enable the electronic lodgment of Medicare claims directly from doctors' surgeries. This measure is consistent with Government policy in promoting electronic commerce. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($4.7 million over four years).

Ensuring quality care for older Australians - checks of aged care homes

Expenses ($m)

Explanation

The Government will provide $10 million over two years to the Aged Care Standards and Accreditation Agency to monitor compliance with accreditation requirements and ensure improved quality care outcomes for frail older people. The activities of the agency have increased beyond those originally funded to include more review audits and spot checks of aged care homes. These checks are critical to effective management and assurance of quality care standards.

Ensuring quality care for older Australians - Community Visitors Scheme and the Residential Aged Care Advocacy Services Programme

Expenses ($m)

Explanation

This measure provides $5.3 million over four years to extend the Community Visitors Scheme, through which volunteers provide companionship and social support to people in residential aged care. This will allow for 1,000 additional visitors, including 400 in rural areas. The measure also provides resources to meet increased demand for the services of the User Rights Advocacy Programme, which protects the rights of residents in aged care homes.

A 1999 review found that the Community Visitors Scheme is highly cost effective for both the Government and the community and that demand for community visitors is six times greater than the current supply.

Ensuring quality care for older Australians - Complaints Resolution Scheme

Expenses ($m)

Explanation

The Government will provide $3.8 million over four years to enable greater investigative activity of more complex cases and the prompt resolution of complaints against aged care providers, and to ensure that residential aged care service providers comply with their responsibilities under the aged care legislation.

Ensuring quality care for older Australians - information management for quality care

Expenses ($m)

Explanation

The Government will provide $7.6 million over four years to improve the use of information technology in promoting the delivery of quality care and monitoring the suitability of aged care providers under the Aged Care Act 1997. The measure will also increase the capacity of the Department to manage information on care standards, complaints and consumer rights.

Ensuring quality care for older Australians - Quality Care Communication Strategy

Expenses ($m)

Explanation

The Government will provide $2 million over two years to ensure that information is provided to the community to enable them to make more informed decisions about suitable residential care, and for residents to be better informed about their rights and better able to exercise them.

Fringe benefits tax supplementation for Aboriginal and Torres Strait Islander organisations

Expenses ($m)

Explanation

On 30 March 2001, the Government announced that it will allocate $43.8 million over four years to assist not-for-profit indigenous organisations adjust to the introduction of the new fringe benefits tax (FBT) arrangements. The additional funding will be available to Aboriginal and Torres Strait Islander organisations which provide health, housing, employment, education and legal services to indigenous communities and are affected by the new arrangements.

Under The New Tax System, the FBT exemption for public benevolent institutions (PBIs) has been capped at $30,000 of grossed up taxable value per employee, effective from 1 April 2001. A significant number of indigenous organisations are classified as PBIs. The additional funding will enable affected organisations to continue to offer remuneration at competitive market rates in order to attract and retain professional staff.

Further information is available in the Treasurer's Press Release No. 22 of 30 March 2001.

Funding for the Office of the Gene Technology Regulator

Expenses ($m)

Explanation

The Government will contribute to the cost of operating the Office of the Gene Technology Regulator for two years. This period will enable time for consultation on the implementation of cost recovery arrangements with universities, other scientific and medical research institutions, and industry undertaking gene technology research. The Gene Technology Act 2000 and the Office of the Gene Technology Regulator are scheduled to come into force on 21 June 2001.

Greater scrutiny of aged care homes' funding claims

Expenses ($m)

Explanation

The Government has decided to increase the frequency of auditing of aged care homes' funding claims, so that each home is checked at least once every two years and the majority are checked every year. Funding claims made by aged care homes are made on resident care plans, which are accessed by the homes themselves.

This measure will help ensure that subsidy payments made on the basis of claims by service providers are consistent with residents' confirmed care needs under the Resident Classification Scale.

The Commonwealth Nursing Officers, while auditing the funding claims, also provide a departmental presence in aged care homes and will be able to refer any cases of poor care for further action. Education and other assistance will be provided to aged care homes to improve their assessment processes thus minimising future problems with the accuracy of funding claims.

This measure is expected to achieve savings to the Commonwealth of $71 million over four years.

This is a cross-portfolio measure, and as the Department of Veterans' Affairs provides health services to veterans, a small saving for the Department of Veterans' Affairs will result from the implementation of this initiative.

Health and Other Services (Compensation) Act 1995 review implementation

Expenses ($m)

Explanation

The Government will amend the Health and Other Services (Compensation) Act 1995 to streamline the administration of the Compensation Recoveries Programme. The new arrangements will achieve administrative savings of the order of $7 million a year.

The Health and Other Services (Compensation) Act 1995 was introduced to prevent double dipping from Commonwealth Medicare and other benefits by successful claimants for compensation who had received benefits prior to their claim being settled. The streamlining will not affect access to Medicare and residential care subsidies for compensable persons. It is expected that administrative costs and procedures for insurers and workers' compensation authorities will also be streamlined. This will help, in a small way, to reduce pressure on insurance premiums.

HealthConnect: a health information network for Australia - development phase

Expenses ($m)

Explanation

In order to lay the foundations necessary for building a robust system of health information exchange, this measure provides an additional $15.8 million over two years to fund research and development work to test and evaluate the feasibility of a national health information network, HealthConnect. Together with $0.2 million in a related capital measure and $2.5 million of previously committed funding, the total Commonwealth contribution will be $18.5 million over two years. States and Territories will provide matching contributions to the total Commonwealth funding.

This measure supports the development of common standards and infrastructure for HealthConnect, a lead implementation site and regional projects to demonstrate and thoroughly test the benefits to be delivered by a national network. At the end of the two years, the Government will have practical evidence on which to base decisions about HealthConnect.

Hospital innovation

Expenses ($m)

Explanation

This measure continues the Government's programme of direct support for innovation in the delivery of hospital services. The two year programme will build on the achievements of the National Demonstration Hospitals Programme, supporting clinical leadership of improved approaches to the organisation and delivery of care in hospitals.

Improved primary health care for Aboriginal and Torres Strait Islander communities

Expenses ($m)

Explanation

This measure builds on the Primary Health Care Access Programme for indigenous Australians, approved in the 1999-2000 Budget.

The additional resources will enable Primary Health Care Access Programme arrangements to be implemented in a number of new sites to provide expanded comprehensive primary health care services, including clinical care, population health and education, and health promotion activities. The focus of this package is on reform of the service delivery network and financing arrangements to ensure that indigenous people have access to health services and that the services delivered are effective and sustainable.

These arrangements will continue to involve collaboration with the Aboriginal community controlled health sector, State and Territory governments, the Aboriginal and Torres Strait Islander Commission, general practice, and other health professionals. This will bring about a better integration of general practice and mainstream health providers in delivering services for indigenous people.

Commonwealth funding is conditional on States and Territories providing resources to meet their funding obligations in this area.

Improving the use of cholesterol lowering medicines on the Pharmaceutical Benefits Scheme

Expenses ($m)

Explanation

The Government has decided to clarify and improve the wording of the current Pharmaceutical Benefits Scheme instructions to prescribers for the use of cholesterol lowering medicines. This will help ensure that these medicines will be used by those most likely to benefit from them.

These new instructions will come into effect on 1 August 2001, and will be accompanied by enhanced Health Insurance Commission audit and counselling procedures to ensure that the new instructions are followed. There will also be an emphasis on informing doctors and consumers about the reworded instructions through the National Prescribing Service and through the consumer information activities provided for in the Quality Use of Medicines Package.

This is a cross portfolio measure and, as the Department of Veterans' Affairs provides health services to veterans, a small saving for the Department of Veterans' Affairs will result from the implementation of this initiative.

Increases in patient funding for general practitioner services

Expenses ($m)

Explanation

This measure recognises the central role general practitioners (GPs) play in the provision of health care by providing an additional $300.6 million over four years for increases in patient rebates for GP services. The additional funding will focus on increasing the rebates for longer GP consultation times, which will particularly benefit patients with complex or chronic conditions who may need to spend more time with their doctor.

This measure forms part of the Government's response to the Relative Value Study of the Medicare Benefits Schedule. It will increase the average annual income of a full-time GP by around $6,100 a year. Together with other measures announced in this Budget, the average annual income of a full-time GP will increase by about $13,900 a year.

Increasing care and diversity for older Australians - Continence Aids Assistance Scheme

Expenses ($m)

Explanation

The Government has decided to provide an additional $10.8 million over four years under the Continence Aids Assistance Scheme. The scheme supports continued workforce and community participation by people of working age with permanent incontinence arising from permanent disabilities and, in some circumstances, people over the age of 65, by providing financial assistance for the purchase of continence aids.

Increasing care and diversity for older Australians - culturally appropriate (ethnic) care

Expenses ($m)

Explanation

An additional $6.1 million over four years will be made available to assist aged care providers in supporting older people from non-English speaking backgrounds. The measure will provide for an expansion of the successful `ethnic clusters' which group numbers of people from a particular community together in homes, as well as supporting the development of ethnic-specific homes and culturally appropriate community aged care packages.

Increasing care and diversity for older Australians - Day Therapy Centres

Expenses ($m)

Explanation

The Government has decided to provide $4.3 million over four years to enhance Day Therapy Centre services. There are currently 151 Day Therapy Centres providing rehabilitation and therapy services, mostly to residents of residential aged care homes. This measure will support their outreach into the community with the aim of preventing premature nursing home entry for older Australians, in particular those with dementia.

The funding will be used to assess, enhance and develop Day Therapy Centre service delivery models to better meet the needs of older people.

Increasing care and diversity for older Australians - Extended Aged Care at Home

Expenses ($m)

Explanation

The Government will provide $1.9 million over two years for the development of a management and quality assurance framework for the innovative Extended Aged Care at Home programme.

This measure will continue the programme of providing high level care in peoples' own homes on a cost neutral basis.

A comprehensive evaluation to test the feasibility and cost effectiveness of the Extended Aged Care at Home pilot projects was completed in March 2001. Results indicate that the model is effective in providing the equivalent of high (nursing home level) care in people's own homes.

Increasing care and diversity for older Australians - Safe at Home Pilot

Expenses ($m)

Explanation

The Government will provide $1.2 million over four years to continue the provision of personal alert systems for frail aged people on the programme, and to allow for continued evaluation of this initiative.

The Safe at Home Pilot commenced in 1999. An evaluation report on the pilot identified a number of benefits of personal alert systems for frail aged people living in their own homes, including evidence that their use in an emergency reduced complications resulting from falls and delayed entry to residential care.

Integrated National Diabetes Programme

Expenses ($m)

Explanation

The Government will provide $49.8 million over four years to ensure a national approach to improving the prevention, earlier diagnosis and management of people with diabetes through general practice. The package will:

• provide incentives to general practitioners (GPs) for earlier diagnosis and effective management for people with diabetes;
• provide support for Divisions of General Practice to work with GPs and other health professionals to remove barriers to better care for people with diabetes;
• engage consumers with diabetes to support appropriate self care and partnerships with health professionals; and
• support changes in the practices of health professionals.

In addition, the Government will enter into a new Agreement with Diabetes Australia to provide access to subsidised syringes and diagnostic agents under the National Diabetes Services Scheme. Diabetes Australia has administered the Scheme under a series of grant agreements since 1987, with the latest agreement due to begin in 2001. As part of the new agreement, additional funding of $6.4 million over four years will be provided.

Investment to upgrade the Health Insurance Commission technical infrastructure to improve service

Expenses ($m)

Explanation

This measure provides for expenses associated with the Health Insurance Commission's information systems infrastructure.

The investment described in the related capital measure Investment to upgrade the Health Insurance Commission technical infrastructure to improve service in the Health and Aged Care portfolio, delivers the savings shown in the table above. These savings occur as a result of greater efficiencies in the Health Insurance Commission and additional fraud control capability as the upgraded systems come into full operation and continue into 2005-06 and beyond (at around $35 million a year).

Mental health: More options, better services

Expenses ($m)

Explanation

The Government has provided an additional $120.4 million over four years to improve the quality of care provided through general practice to Australians with a mental illness.

This package will address the significant barriers to the early identification and treatment of mental health disorders in Australia. It provides more appropriate remuneration for focused diagnosis and care of patients presenting to GPs with mental health problems. It will:

• encourage better identification and informed clinical care for mental health patients through financial support to GPs;
• provide GPs with quality education and training, and access to additional allied mental health support;
• provide new Medicare Benefits Schedule items to allow appropriately trained GPs to provide mental health counselling to patients; and
• provide a new Medicare Benefits Schedule item for psychiatrists to provide consultancy assistance to GPs in emergency situations.

National Immunisation Strategy

Expenses ($m)

Explanation

The Government will continue to provide funding to States and Territories for the provision of vaccines recommended by the National Health and Medical Research Council. The National Immunisation Strategy will increase immunisation coverage of Australian children and prevent continuing outbreaks of vaccine preventable diseases. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($45.4 million over four years).

National Rural and Remote Health Support Programme

Expenses ($m)

Explanation

The Government will extend funding for the National Rural and Remote Health Support Programme to support various projects, including the Advanced Specialist Training Programme, rural and remote nursing projects, and a range of initiatives supported by the Rural Health Support, Education and Training Programme. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($25.9 million over four years).

New Medicare item for Domiciliary Medication Management Review

Expenses ($m)

Explanation

The Government will introduce a new item on the Medicare Benefits Schedule to reward medical practitioners for participating in collaborative Domiciliary Medication Management Reviews. This will encourage general practitioners (GPs) and pharmacists to work together to ensure that consumers understand their medication and use it optimally.

Pricing review for the Department of Health and Aged Care

Expenses ($m)

Explanation

The Government has endorsed the outcomes of a pricing review for the Department of Health and Aged Care resulting in a reduction in its resourcing.

The reduction in resourcing reflects a range of improvements to efficiency and effectiveness that were developed as part of the review. The reduction will not result in any change to the quantity or quality of the outputs produced by the Department of Health and Aged Care.

Proactive GP management of asthma: The 3+ Visit Plan

Expenses ($m)

Explanation

The Government will provide $48.4 million over four years to improve the quality of clinical care provided by general practitioners (GPs) for people with moderate to severe asthma. The 3+ Visit Plan will encourage the provision of best practice treatment and management for people with asthma. The plan is based on the need for a structured approach by GPs over at least three consultations, which incorporate diagnosis and assessment with the patient (including appropriate spirometry tests), development of an asthma care plan and review of asthma management. The measure will provide financial support to GPs and will also finance education about proactive asthma management.

This is a cross-portfolio measure, and as the Department of Veterans' Affairs provides health services to veterans, a small expense for the Department of Veterans' Affairs will result from the implementation of this initiative.

Quality use of medicines package - consumer education

Expenses ($m)

Explanation

This measure will finance the introduction of a consumer education strategy to ensure the judicious, safe and effective use of medicines in the community. It will encompass population level campaigns, as well as regional education activities designed to meet local needs.

The strategy will encourage consumers to be more critical and active in their use of medications, and to ask questions of their prescribers and pharmacists, particularly about possible side effects and how a medication will interact with other medications taken.

Quality use of medicines package - enhancement of the National Prescribing Service

Expenses ($m)

Explanation

This measure will improve the quality of prescribing through enhancement of National Prescribing Service activities. These activities are designed to improve patient health while reducing growth in the Pharmaceutical Benefits Scheme.

Since it was established in 1997-98, the National Prescribing Service has developed a regional network of facilitators and provided support to around 70 per cent of Divisions of General Practice. In addition to continuing the current activities, the National Prescribing Service will be expanded, so that it can extend its support to all Divisions of General Practice and work more systematically with specialists, pharmacists and hospital doctors.

This expansion of activities will cost about $22 million over the four years, but is expected to achieve gross savings under the Pharmaceutical Benefits Scheme of around $59 million over the same period.

This is a cross-portfolio measure, and as the Department of Veterans' Affairs provides health services to veterans, a small saving for the Department of Veterans' Affairs will result from the implementation of this initiative.

Quality use of medicines package - National Medicines Disposal Programme

Expenses ($m)

Explanation

This measure provides funding for the continuation of the National Medicines Disposal Programme. This programme uses the national community pharmacy network to collect expired and unwanted medicines from consumers, reducing the risks of accidental childhood poisoning and medication misuse among older Australians.

These medicines are destroyed in an environmentally friendly manner using high temperature incineration. Approximately 225 tonnes of medicines are disposed of annually throughout Australia by this method, avoiding the significant environmental health hazard posed by previous inappropriate disposal through the sewerage system and landfill.

Reduction in wholesalers' remuneration under the Pharmaceutical Benefits Scheme

Expenses ($m)

Explanation

The Government has decided to reduce the remuneration paid to the distributors of pharmaceuticals under the Pharmaceutical Benefits Scheme.

Wholesalers are currently paid a margin of 10 per cent for stocking the medicines available under the Pharmaceutical Benefits Scheme and supplying them to community pharmacies. The new arrangements are still to be negotiated with wholesalers, so a provision has been made in the Contingency Reserve for the savings expected from this measure. The Government expects the new arrangements to take effect from February 2002.

Replacement of speech processors for children with cochlear implants

Expenses ($m)

Explanation

The Government will provide further funding to extend the current programme that provides, replaces and updates speech processors for children who require cochlear implants. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($1.6 million over four years).

Restructuring rural and urban fringe aged care homes

Expenses ($m)

Explanation

The Government will provide $5 million in 2001-02 to assist a group of rural and urban fringe residential aged care homes to meet accreditation standards. This funding will be used to address the specific accreditation challenges faced by each home. For example, funding may be used for assistance to homes requiring capital expenses to meet regulatory requirements or for minor capital grants for projects such as fire safety work.

Rural Nursing Scholarships

Expenses ($m)

Explanation

The Government will provide $13.0 million over four years to improve access to undergraduate nursing education for rural and regional students.

This initiative is designed to provide access to undergraduate nursing degrees for students specifically from rural and regional Australia. One hundred Rural Nursing Scholarships of $10,000 per annum will be available for rural students who nominate to study the majority or entirety of their degree at a rural campus. A further ten scholarships will be available for indigenous students or Aboriginal Health Workers who want to up-grade their qualifications.

In addition, $2.1 million over four years will be provided for support measures associated with the scholarships, with a particular emphasis placed on indigenous students.

See also the related expense measure Additional practice nurses for rural Australia and other areas of need in the Health and Aged Care portfolio.

Safety of Australia's blood supply

Expenses ($m)

Explanation

This measure will allow the Government to help maintain continuity and confidence in the Australian blood supply.

Critical dates for three major blood contracts will be triggered over the next year and part of the funding from this measure will be used to recruit specialist staff to assist in these negotiations. The remainder of the funding will be used to develop a comprehensive Commonwealth communication strategy, conduct extensive public consultations, and purchase management systems to underpin Commonwealth contract management in this sector.

Strategy on electromagnetic public health issues

Expenses ($m)

Explanation

The Government will continue to support research into possible health effects from electromagnetic energy emissions from radio communications devices. This research will continue to ensure that community concerns about the safety of these devices are addressed through high quality research and advice on health effects. The above table shows the net effect on the budget as zero because the funding had already been included in the forward estimates ($4.0 million over four years).

See also the related revenue measure titled Strategy on electromagnetic public health issues in the Communications, Information Technology and the Arts portfolio.

The National Childhood Pneumococcal Vaccination Programme

Expenses ($m)

Explanation

The Government will provide funding for the purchase of a new vaccine for children at high risk of contracting invasive pneumococcal disease. Funding for the programme will be limited to those population groups and individuals at highest risk of either contracting, or suffering severe complications from, pneumococcal disease. These groups are:

• Aboriginal and Torres Strait Islander children in all States and Territories;
• non-indigenous children living in the Central Australian region; and
• children with particular medical conditions that place them at high risk from the complications of pneumococcal disease.

Catch-up vaccinations for eligible children aged up to five years in the categories of highest risk will also be conducted over the next two years. Spending is therefore higher for that period.

Westmead Children's Hospital

Expenses ($m)

Explanation

The Government will provide $5 million to the Royal Alexandra Hospital for Children at Westmead in 2000-01. This funding is conditional on a contribution of $10 million from a private donor and $5 million in matched funding from the New South Wales Government.

This initiative will fund a building that will allow the research activities of the Royal Alexandra Hospital for Children and the Children's Medical Research Institute to merge, forming one of the strongest children's research programmes in Australia. This new body will develop strong links with the Millennium Institute, making the Westmead Campus one of Australia's premier medical research centres.

This project will support the clustering of biomedical research and enable these research bodies to share key infrastructure, as recommended by the Wills Committee.

Immigration and Multicultural Affairs

Backing Australia's Ability - attracting information and communication technology workers

Expenses ($m)

Explanation

The Government has decided that, from 1 July 2001, successful Australian-educated overseas students with information and communications technology qualifications will be able to apply for visas for permanent residence under the Skilled-Independent and related categories without leaving Australia.

Additional resourcing will be provided to the Department of Immigration and Multicultural Affairs to process the new visa applications in Australia.

See also the related revenue measure titled Backing Australia's Ability - attracting information and communication technology workers in the Immigration and Multicultural Affairs portfolio.

Citizenship - media campaign

Expenses ($m)

Explanation

The Government will allocate $4.9 million in 2001-02 for a media campaign to promote Australian citizenship in the Centenary of Federation year. The campaign will be undertaken in 2001 and will concentrate on television, supplemented by print media.

The campaign is part of the Government's response to the report of the Australian Citizenship Council in 2000, which recommended the promotion of Australian citizenship during 2001.

The Department of Immigration and Multicultural Affairs will absorb $2.9 million of the total cost from within its existing resources.

Extension of Living in Harmony Programme

Expenses ($m)

Explanation

The Government will provide additional funds of $2.5 million in 2001-02 to extend the Living in Harmony programme beyond the current expiry date of 30 June 2001. The programme will be fully evaluated late in 2001. The extension will capitalise on the success already achieved through the programme with the provision of community grants, partnerships and publicity, including funding for Harmony Day 2002 activities.

Funding for the New Agenda for Multicultural Australia

Expenses ($m)

Explanation

In November 1999 the Government endorsed the New Agenda for Multicultural Australia with a plan of action including the establishment of the Council for Multicultural Australia. The Council will promote the importance of social harmony. This measure provides additional funding of $2.1 million to continue the initiative for the next two years.

Increase in the permanent migrant intake

Expenses ($m)

Explanation

The Government will increase the Permanent Migration (Non-Humanitarian) Programme to 85,000 places with an additional reserve of 8,000 places in 2001-02.

The programme provides for increases in both the Skill and Family Streams. The Skill Stream will deliver additional economic, budgetary and employment benefits, particularly in addressing current skill shortages in Australia. The Family Stream will provide opportunities for migrant families to reunite in Australia.

A migration programme with a focus on skilled migration is expected to have a strong positive economic and budgetary impact.

Most skilled migrants are unable to access the majority of welfare benefits for two years after arriving in Australia. Expenses within the Immigration and Multicultural Affairs portfolio primarily reflect the provision of English language training to adult migrants in the period new skilled migrants are unable to access most welfare benefits. The costs associated with the Family and Community Services portfolio reflect the expected usage of special benefits payable to certain skilled and family reunion migrants. Expenses in the Health and Aged Care and Education, Training and Youth Affairs portfolios reflect the expected usage of health and education services, by the additional permanent migrants.

See also the related revenue measure titled Increase in the permanent migrant intake, in the Immigration and Multicultural Affairs portfolio.

New social security arrangements between Australia and New Zealand

Expenses ($m)

Explanation

The Government has decided to provide increased resourcing to the Department of Immigration and Multicultural Affairs for the additional workload arising from the new bilateral social security arrangements agreed between Australia and New Zealand in early 2001. The new social security arrangements provide for a more equitable sharing of social security responsibilities.

Under the new arrangements, most New Zealand citizens arriving in Australia after 26 February 2001 will be able to access the broad range of income support payments only if they become a permanent resident.

See also the related revenue and capital measures, New social security arrangements between Australia and New Zealand, in the Immigration and Multicultural Affairs portfolio, and related expense and revenue measures in the Family and Community Services portfolio.

Onshore processing of students in the points tested categories

Expenses ($m)

Explanation

The Government will reform the processing of student visas in points tested categories, to allow students who have completed their study in Australia to apply for migration onshore. These reforms will improve Australia's competitiveness in attracting and retaining skilled migrants.

This reform provides broader access to the opportunities offered to Information and Communication Technology overseas students announced by the Government as part of Backing Australia's Ability.

See also the related revenue measure, Onshore processing of students in points tested categories, in the Immigration and Multicultural Affairs portfolio.

Pricing review of the Department of Immigration and Multicultural Affairs

Expenses ($m)

Explanation

The Government has endorsed the findings of a pricing review for the Department of Immigration and Multicultural Affairs.

The pricing review focused on testing the reasonableness of the Department's price of outputs following the move to an outcomes and outputs accrual budgeting framework. The review identified that a reduction in the price of all outputs is achievable while improving service delivery.

A new three year purchasing agreement between the Department of Immigration and Multicultural Affairs and the Department of Finance and Administration, which was developed from the pricing review, will take effect from July 2001.

Reform of Independent Executives visa arrangements

Expenses ($m)

Explanation

The Government will reform the visa arrangements for Independent Executives. The reforms will include enhanced and systematic monitoring to ensure compliance with the new arrangements.

The reform is in response to recommendations by the Business Advisory Panel (established by the Minister for Immigration and Multicultural Affairs) following a review of the business entry programme by the Australian National Audit Office.

The additional expenses represent the additional workload in processing the new visa class and new monitoring arrangements.

See also the related revenue measure, Reform of Independent Executives visa arrangements, in the Immigration and Multicultural Affairs portfolio.

Strategy to strengthen Australia's immigration services to priority areas - extension of Electronic Travel Authority arrangements

Expenses ($m)

Explanation

The Government will improve Australia's immigration services to priority areas by increasing the use of Electronic Travel Authority arrangements which allow for short term visitors from selected countries to be issued with visas electronically. This approach will facilitate the ready entry of tourists to Australia, without compromising entry criteria.

The Minister for Immigration and Multicultural Affairs will consider the extension of these arrangements after considering the security and other risk factors for the countries concerned.

The reduction in expenses reflects the lower costs of issuing Electronic Travel Authorities, when compared to the issue of manual visitor visas.

See also the related revenue measure, Strategy to strengthen Australia's immigration services to priority areas - extension of Electronic Travel Authority arrangements, in the Immigration and Multicultural Affairs portfolio.

Strategy to strengthen Australia's immigration services to priority areas - increased Australia-based representation in Brasilia

Expenses ($m)

Explanation

The Government will provide $1.7 million over four years to strengthen Australia's immigration services in South America by increasing the Department of Immigration and Multicultural Affairs' representation in Brasilia.

Improved visa services will benefit both clients in South America and Australian stakeholders in emerging education, tourism and business sectors.

The new Brasilia post will become the hub of immigration services in South America, providing support to other minor posts on the continent. The additional cost of operating the Brasilia post will be partly offset by reallocating resources from other posts.

Unauthorised boat arrivals - review of processing and detention arrangements

Expenses ($m)

Explanation

The Government will provide increased funding to the Department of Immigration and Multicultural Affairs for the detention and processing of unauthorised arrivals. This additional funding follows a review of the initial funding arrangements (announced in the 2000-01 Budget) and undertaken during 2000.

The revised funding arrangements took effect in November 2000, and have given the Department of Immigration and Multicultural Affairs greater certainty in funding relative to the number of unauthorised arrivals, while at the same time providing the necessary incentives to continue to improve the efficiency of operations.

See also the related capital measure, Unauthorised boat arrivals - review of processing and detention arrangements, in the Immigration and Multicultural Affairs portfolio.

Industry, Science and Resources

Pricing review of the Australian Nuclear Science Technology Organisation

Expenses ($m)

Explanation

The Government has endorsed the outcomes of a pricing review for the Australian Nuclear Science Technology Organisation resulting in an overall increase in the agency's resourcing. It particularly reflects the Government's agreement that the Australian Nuclear Science Technology Organisation should be provided with funding to meet the costs associated with increased regulation. The review found that the organisation's price for operating its nuclear facilities and delivering core nuclear expertise at current levels is appropriate.

Backing Australia's Sporting Ability - a More Active Australia

Expenses ($m)

Explanation

The Government will provide an additional $161.6 million over four years towards Australian sport. This measure will help ensure continued Australian international sporting success, increased participation in sport, (with particular emphasis on young people, people with disabilities and Indigenous Australians), and improved governance and management capabilities amongst national sporting organisations. The Government will build on the success of its Tough on Drugs in Sport Strategy by delivering more effective international and domestic anti-doping programmes.

Assistance for the Melbourne 2006 Commonwealth Games

Expenses ($m)

Explanation

The Government will provide $90 million towards capital works associated with the upgrading of the Melbourne Cricket Ground (MCG) for the staging of the Commonwealth Games in Melbourne in 2006. The MCG will be one of the major facilities used during the Games.

The upgrade will provide for essential improvements for spectators in the Northern/Olympic, Members' and Ponsford stands, which in total account for around 55 per cent of current spectator capacity.