Bill
Family Assistance Legislation Amendment (Cheaper Child Care) Bill 2022
passed, as at 2022-11-29. Education portfolio.
- Sponsor
- Not recorded
- Portfolio
- Education
Recorded stages
- introduced — 2022-09-27
- second reading — 2022-09-27
- second reading — 2022-10-25
- second reading — 2022-10-26
- second reading — 2022-10-27
- third reading — 2022-10-27
- introduced — 2022-10-27
- second reading — 2022-10-27
- second reading — 2022-11-21
- second reading — 2022-11-21
- committee — 2022-11-21
- committee — 2022-11-22
- third reading — 2022-11-22
- other — 2022-11-23
- other — 2022-11-23
- passed — 2022-11-23
- royal assent — 2022-11-29
Divisions
- The majority voted in favour of an [amended motion](https://www.openaustralia.org.au/debates/?id=2022-10-26.128.2) to suspend the usual procedural rules of parliament, which are known as [standing orders](https://peo.gov.au/understand-our-parliament/how-parliament-works/parliament-at-work/standing-orders/), and instead agree to the timetable set out below. ### Motion text > *That so much of the standing and sessional orders be suspended as would prevent the following from occurring in relation to proceedings on the [Family Assistance Legislation Amendment (Cheaper Child Care) Bill 2022](https://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;query=Id%3A%22legislation%2Fbillhome%2Fr6914%22):* > > *(1) from 8 pm on Wednesday 26 October, the time limit for Members speaking on the second reading debate being reduced to 10 minutes;* > > *(2) from 9 pm on 26 October, the time limit for Members speaking on the second reading debate being reduced to 5 minutes;* > > *(3) the second reading debate continuing until either:* > >> *(a) no further Members rise to speak; or* >> >> *(b) a Minister requires that the debate be adjourned at no earlier than 10 pm; at which point, debate being adjourned and the House immediately adjourning until Thursday 27 October at 9 am;* > > *(4) during the sitting of Thursday 27 October, the bill being called on and questions being immediately put on any amendments moved to the motion for the second reading and on the second reading of the bill;* > > *(5) if required, a consideration in detail stage of the bill, with any detail amendments to be moved together, with:* > >> *(a) one question to be put on all government amendments;* >> >> *(b) one question to be put on all opposition amendments; and* >> >> *(c) separate questions then to be put on any sets of amendments moved by crossbench Members; and one question to be put that the bill [as amended] be agreed to;* > > *(6) should a Minister require, any question provided for under paragraph — 2022-10-26, House of Representatives: affirmative, ayes 78, noes 64
- The majority voted in favour of *disagreeing* with an amendment introduced by Griffith MP [Max Chandler-Mather](https://theyvoteforyou.org.au/people/representatives/griffith/max_chandler-mather) (Greens), which means it failed. Note that this is an amendment to a [second reading](https://peo.gov.au/understand-our-parliament/how-parliament-works/bills-and-laws/making-a-law-in-the-australian-parliament/) motion, which means that it would have no legal force even if it had succeeded. Instead, these types of motions are symbolic and represent the will of the House majority. ### Motion text > *That all words after "reading" be omitted with a view to substituting the following words:* > > *the House:* > > *(1) notes this bill only provides limited support for families that are currently paying exorbitant fees for early childhood education and care; and* > > *(2) calls on the government to make early childhood education and care universal and free, and address the workforce crisis by ensuring educators receive better pay and conditions".* — 2022-10-27, House of Representatives: affirmative, ayes 84, noes 5
- The majority voted in favour of *disagreeing* with an amendment introduced by Moncrieff MP [Angie Bell](https://theyvoteforyou.org.au/people/representatives/moncrieff/angie_bell) (LNP), which means it failed. Note that this is an amendment to a [second reading](https://peo.gov.au/understand-our-parliament/how-parliament-works/bills-and-laws/making-a-law-in-the-australian-parliament/) motion, which means that it would have no legal force even if it had succeeded. Instead, these types of motions are symbolic and represent the will of the House majority. Note also that "*to give a bill a second reading*" is parliamentary jargon for agreeing with its main idea. ### Motion text > *That all words after "That" be omitted with a view to substituting the following words:* > > *"whilst not declining to give the bill a second reading, the House:* > > *(1) notes that this bill does nothing to address broader challenges for access to child care in Australia, namely:* > >> *(a) child care service gaps in regional Australia; and* >> >> *(b) early childhood education and care workforce shortages which are preventing families from accessing the care they need;* > > *(2) notes that the Government's child care package, which costs $4.5 billion, does not add one additional child care place;* > > *(3) notes that child care providers have already increased fees since the Government came to office and the additional demand placed on child care services as a result of this bill will put further inflationary pressure on fees;* > > *(4) calls on the Government to ensure that the promised savings for families will not be eroded by higher fees due to the additional demand for child care services as a result of this bill; and* > > *(5) notes that the bill commits to higher ongoing structural spending and calls on the Government to manage its spending commitments to improve the budget while standing by their promise to deliver legislated targeted income tax relief"* — 2022-10-27, House of Representatives: affirmative, ayes 78, noes 67
- The majority voted in favour of a [motion](https://www.openaustralia.org.au/senate/?id=2022-11-22.15.1) that part 2 of [schedule 4](https://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;db=LEGISLATION;id=legislation%2Fbills%2Fr6914_aspassed%2F0004;query=Id%3A%22legislation%2Fbills%2Fr6914_aspassed%2F0000%22;rec=0) remain as it is (in other words, that it stand as printed). This motion took place after Queensland Senator [Malcolm Roberts](https://theyvoteforyou.org.au/people/senate/queensland/malcolm_roberts) (One Nation) moved that it should [be opposed](https://parlinfo.aph.gov.au/parlInfo/search/display/display.w3p;query=Id:legislation/billhome/display.w3p;query=Id%3A%22legislation%2Famend%2Fr6914_amend_ac7a272c-8beb-4787-a93e-6c5a06d26795%22;rec=0). ### What is part 2 of schedule 4? > *Part 2 — Electronic transfer of gap fees* > > *A New Tax System (Family Assistance) (Administration) Act 1999* > > *5 Subsection 201B(1)* > >> *Omit “must take”, substitute “must, subject to subsections (1A) and (1B), take”.* > > *6 Subsection 201B(1)* > >> *After “pays the provider”, insert “, using an electronic funds transfer system,”.* > > *7 After subsection 201B(1)* > >> *Insert:* >> >> *Exceptions to requirement to pay fees using an electronic funds transfer system* >> >> *(1A) The Secretary may decide that a particular individual is not to be required to pay the provider an amount required under subsection (1) using an electronic funds transfer system if the Secretary is satisfied that circumstances prescribed by the Minister’s rules exist in relation to the individual.* >> >> *(1B) If the Secretary is satisfied that exceptional circumstances exist in relation to a particular child care service, the Secretary may direct that all, or a part, of the amount that is to be paid by an individual to the provider of the service under subsection (1) is not required to be paid using an electronic funds transfer system.* >> >> *(1C) A direction under subsection (1B) is not a — 2022-11-22, Senate: affirmative, ayes 45, noes 3
- The majority voted against [amendments](https://www.openaustralia.org.au/senate/?gid=2022-11-22.150.3) introduced by NSW Senator [Mehreen Faruqi](https://theyvoteforyou.org.au/people/senate/nsw/mehreen_faruqi) (Greens), which means they failed. ### What did these amendments do? Senator Faurqi [explained that](https://www.openaustralia.org.au/senate/?gid=2022-11-22.150.3): > *The bill as it's drafted allows providers to give educators employed in their centres a discount on their services. This discount is intended to assist in attracting and retaining educators. It does provide a little bit of that benefit, but it is completely inadequate for that purpose. We support this measure because it does provide support to educators, but, importantly, it is a bit unfair because it excludes many of the other staff at centres. We see no reason why other staff who are not educators but still work at early childhood education and care centres and do important work should not be included in this. These staff are necessary for the functioning of early childhood education and care centres and should not miss out on this discount.* ### Amendment text > *(1) Schedule 5, item 3, page 23 (line 19), omit "educator".* > > *(2) Schedule 5, item 4, page 23 (line 24), omit "educator".* > > *(3) Schedule 5, item 5, page 24 (line 2), omit "educator", substitute "individual".* > > *(4) Schedule 5, item 5, page 24 (line 7), omit "educator".* > > *(5) Schedule 5, item 5, page 24 (lines 12 to 14), omit ", as an educator (within the meaning of the Education and Care Services National Law)".* > > *(6) Schedule 5, item 5, page 24 (line 18), omit "educator".* > > *(7) Schedule 5, item 5, page 24 (line 23), omit "educator".* > > *(8) Schedule 6, item 2, page 27 (line 23), omit "educator".* > > *(9) Schedule 6, item 5, page 28 (line 9), omit "educator".* > > *(10) Schedule 6, item 5, page 28 (line 14), omit "educator".* — 2022-11-22, Senate: negative, ayes 12, noes 31
- Documents - Family Assistance Legislation Amendment (Cheaper Child Care) Bill 2022 - Order for the Production of Documents - Collection of gap fees — 2022-11-28, Senate: affirmative, ayes 35, noes 17
Plain-language summary
Written by a model from the explanatory memorandum; not the record, as at 2022-09-27.
The bill would make child care more affordable for most families using it, without making any family pay more.
It would increase the Child Care Subsidy rate for families, set new income thresholds, and keep a higher rate for families with several young children.
Families earning up to $80,000 would get a 90 per cent subsidy rate, with the rate falling gradually for higher incomes until it reaches zero at $530,000.
- The bill would raise the Child Care Subsidy rate for families.
- It would remove a previously scheduled second phase of the higher subsidy for multiple children.
- It would improve provider transparency, data capabilities, and payment integrity.
Families using child care, particularly women and those facing cost of living pressures.
Sources
em
billhome
frl act