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HEALTH INSURANCE AMENDMENT ACT (No. 2) 1976 No. 101 of 1976 - SECT 10

Schedule 2.
10. Schedule 2 to the Principal Act is repealed and the following Schedule
substituted:-

SCHEDULE 2
Section 30

HEADS OF AGREEMENT

1. The agreement is to relate to a specified period but may provide for the
extension of that period.

2. The agreement is to list the hospitals in the State that are to be
recognized hospitals for the purpose of the agreement but may provide for the
making of alterations to the list.

3. (1) The agreement may provide for the whole or a part of the costs or
receipts of authorities or institutions listed in the agreement, being
authorities or institutions providing services related to the conduct of
recognized hospitals, to be taken into account in ascertaining the operating
payments or operating receipts of recognized hospitals and the net operating
costs of recognized hospitals.

(2) The agreement may provide for the making of alterations to the list of
authorities or institutions contained in the agreement in accordance with
sub-paragraph (1) of this paragraph and for the variation of the extent to
which costs or receipts of any authority or institution are to be taken into
account in accordance with that sub-paragraph.

4. Subject to provisions made in accordance with paragraph 5, the Commonwealth
is to pay to the State amounts equal in total to-

   (a)  50 per centum of the net operating costs, as defined by the agreement,
        in respect of all recognized hospitals in the State in respect of the
        period to which the agreement relates; or

   (b)  the total of the amounts paid by the State from its own resources
        towards meeting those costs, whichever is the less.

5. A committee, to be provided for by the agreement-

   (a)  is to formulate, in respect of each of specified periods included in
        the period to which the agreement relates, a budget relating to all
        recognized hospitals in the State and setting out estimates of the
        operating payments and operating receipts, as defined by the
        agreement, in respect of those hospitals in the period to which the
        budget relates;

   (b)  is to review, as provided by the agreement, budgets so formulated and,
        where appropriate, formulate variations of any such budget; and

   (c)  is to submit budgets so formulated, and any such variations, for
        approval in accordance with the agreement, and the agreement may make
        provision for limiting the obligation of the Commonwealth referred to
        in paragraph 4 in respect of a period by reference to a budget in
        respect of that period approved in accordance with the agreement and
        any variation of that budget so approved, but, if the agreement makes
        such a provision, it may authorize the Minister to approve further
        payments under the provision made in accordance with paragraph 4 where
        he is satisfied that circumstances justify those payments.

6. The State is to endeavour to ensure that all eligible persons in the State
are able to obtain, at a recognized hospital in the State, care and treatment
in accordance with the agreement.

7. An eligible person, other than a privately insured person, is to be
entitled to receive care and treatment as a hospital patient in a recognized
hospital free of charge and the agreement may extend such entitlement to all
or any privately insured persons.

8. Subject to paragraph 9, an eligible person, other than a privately insured
person, is to be entitled to receive, free of charge, out-patient services
provided by a recognized hospital.

9. The agreement may provide that entitlement to out-patient services-

   (a)  in the case of particular services, is to be, or may be, restricted to
        persons who are able to satisfy a means test; and

   (b)  in the case of particular services, is to be, or may be, subject to
        charges.

10. The agreement may provide that the supply of all or any out-patient
services to privately insured persons is, subject to any provision made in
accordance with paragraph 9, to be free of charge or is to be subject to
charges.

11. Notwithstanding the foregoing paragraphs, the agreement may permit, either
generally or as specified in the agreement, the making, otherwise than in
accordance with the foregoing paragraphs, of charges in respect of the
provision of care and treatment of an eligible person by a recognized hospital
in respect of injury, illness or disease where the eligible person is or may
be entitled to, or receives, compensation, damages or other benefits in
respect of that injury, illness or disease.

12. Subject to the foregoing paragraphs, the agreement may make provision for
and in relation to the making of charges in respect of care and treatment
provided to eligible persons by recognized hospitals. Additional amendments.
11. The Principal Act is amended as set out in the Schedule to this Act.
Application.
12. The amendments of the Principal Act made by sections 3 and 4 of this Act
do not apply in relation to a professional service that was requested before 1
October 1976 or was, before that date, determined to be necessary by the
medical practitioner by whom or on whose behalf it was rendered. Transitional
provision.
13. At any time after this Act receives the Royal Assent and before 1 October
1976, agreements may be entered into in accordance with section 30 of the
Principal Act as amended by this Act as if all the provisions of this Act had
come into operation on the day on which this Act receives the Royal Assent,
but any agreement so entered into shall not be expressed to operate with
respect to a period before 1 October 1976. Validation of payments.
14. Payments made in accordance with a document purporting to be an agreement
entered into before 1 October 1976 by the Commonwealth with a State under
section 30 of the Principal Act shall be deemed to have been as validly and
effectually made as if that document had been a valid agreement.

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