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C10/1998 MARCH 1998 QUARTERLY LETTERS MAILOUT

Document

DATE OF ISSUE:  20 FEBRUARY 1998

MARCH 1998 QUARTERLY LETTERS MAILOUT

Purpose of instruction

This Departmental Instruction is to provide information about processing information for the March quarterly letters mailout.

BOB HAY

BRANCH HEAD

INCOME SUPPORT


Background

Introduction

The Department's quarterly letters facility has been designed to enhance communication between the Department and the veteran community.  In general, quarterly letters are sent in January, March, June and September of each year.  Letters are sent to income support pensioners.  The size of the mailout is dependent on the issues (eg. Budget changes, pension indexation, etc) current at the time.

A/L Events

The March Quarterly mailout will incorporate the following events for pay-day 26 March 1998:

  • increase in service pension rates;
  • global refresh of managed investment and share data;
  • payment of telephone allowance to those eligible.

CPI/MTAWE Increases

As the Consumer Price Index (CPI) figure for the most recent reference period was negative there will be no increase to pension or allowance rates, thresholds or limits on this basis.

Rates of income support pension may be increased in line with movements in Male Total Average Weekly Earnings (MTAWE).  The final MTAWE figure will not be available until 5 March 1998.  Early indications are that service and age pension rates will be increased and the attached mock-ups have been prepared on this basis.  If necessary these will be amended once the final figure is available.  Movements in MTAWE do not affect rates of allowances, disability or war widow pension.

Target Audience

A letter is to be produced for:

  • all less than maximum rate SP/ISS clients;
  • all persons with Saved Rent Assistance.

Obligations

Obligations are to be suppressed for all letters produced.  Reference will be made to previous obligations issued to clients.

Income and Asset listings

Full Income - Asset listings are to be produced only for clients who have either shares or managed investments listed in their assessment.

Production

The reassessment processing run and letter production will be conducted on the weekend of 6-8 March 1998.  No fortnightly run for deprived assets and Profit Fort will be done prior to the weekend quarterly run and will therefore not impact on the transactions generated for the quarterly letters run.  The major reassessment program ("BAL") will be run to reassess cases affected by any of the events above.  Detailed ADP processing requirements will be sent separately to State System Support Officers.

Rules for processing

Letters

System support and letters contact officers in each State Office have been provided with copies of mock ups and variations paragraphs.

Payment

processing

The payment processing is scheduled to run from Friday evening 6 March until Sunday evening 8 March 1998.  A processing timetable appears later in this instruction.

Pensioners for whom a letter will be generated

Affected clients

A quarterly letter is to be produced for all less than maximum rate service pensioners and all less than maximum rate income support supplement clients (less than ceiling rate of $120.10).  The letter may include other relevant paragraphs, such as treatment and/or fringe benefits eligibility.

Client numbers

The estimated number of letters for this run is approximately 74,000.

Letter printing

All letters will be printed and enveloped at Security Mailing Services in Kingsgrove, Sydney.  Data cartridges will be supplied to Security Mailing Services on 9 March 1998.

Special register

Special Register and overseas letters will be supplied to the mailing houses on separate cartridges and forwarded to the relevant State Offices for enveloping and despatch.


Components of the mailout

Quarterly letters processing

As mentioned earlier, a letter will be produced for all less than maximum rate service pensioners and less than maximum rate income support supplement pensioners.  Letters will also be produced for those in receipt of Saved Rent Assistance.  The range of paragraphs, the circumstances under which these will be applied and the paragraph wording have been supplied to State Office contact officers.  Sample letters are contained in this DI.

Letters - general

ADP

Processing

Detailed information regarding ADP Processing will be issued to State Systems Support Officers in a separate memorandum.  The Systems Support Officers will be issuing a local processing timetable and should be consulted on any matter concerning ADP Processing.

Timetable

Key time frames and events for the March mailout are summarised below.  The first processing run will begin on the evening of Friday 6 March 1998.

Date

Event

Friday 6 March 1998

Cut off for pay period 71 (12 March 98), 5.00 pm State Office time (4.30 pm Western Australia).

Saturday 7 March

Day 1 processing for pay period 72

(26 March 98).  Daily letters from this processing to be dispatched immediately.

Saturday 7 March

BAL re-assessment run.

Saturday 7 March

Quarterly Letters processing runs.

Mon. 9 March until cut-off for pay 59

Examiner action on manual schedules.


Letters - daily

Holding of daily letters

Cases processed in advance for day 1 of pay period 72 (26 March 1998) should have the daily letter dispatched prior to the quarterly letter being sent.

Daily payment letters produced after the processing run on 6-8 March 1998 for pay period 72 (26 March 1998), should be held by State Offices until confirmation is received from the quarterly letters project officer in National Office to release such letters.  This will ensure that pensioners who have pension variations processed for payday 26 March 1998 will receive their daily letter after the quarterly letter rather than in advance of it.

Manual

cases

To minimise the number of daily letters to be held whilst quarterly letters are processed, it is suggested that only manual cases (and essential processing) should be processed for pay day 26 March 1998.  General pensions processing should continue unabated but should be submitted for the subsequent pay day.

Dispatch of quarterly letters

Letter lodgement

The quarterly letters will be held at the mailing houses for lodgement with Australia Post on 12 to 13 March.

Reprint of selected letters

Any requests for reprints of individual quarterly letters should be referred to State Office System Support Officers.

Insert

The Australian War Memorial Foundation is including a one page A4 insert with this mailout.  The insert is asking the veteran community to “Keep the Spirit Alive” by becoming a Friend of the Memorial and making a donation or leaving a bequest in their will.  The insert includes a coupon to be completed and returned to the Australian War Memorial Foundation by those wishing to contribute.

A sample of this insert will be sent to all State Offices as soon as it is available.

Contacts

Any queries regarding wording of letters, AL data cartridges, mailing house printing and letter lodgement should be referred to:

Matthew Willis

(02) 6289 6446  (or by e-mail)

Payment and rates matters should be directed to:

Murray Chynoweth

(02) 6289 6654 (or by e-mail)

Quarterly letters - pensioner feedback

Feedback from State Offices

Any concerns regarding letters produced as part of this run should be directed immediately to the NO contact officer, Matthew Willis.  At the end of this AL we will be collating all State feedback to avoid problems recurring.  Any problems noted should be reported to the contact officer with the nature of the query and the file number of the client.  Please ensure that problems are reported as early as possible.

Letter Mockups

Letter mockups

Attached are mock ups and examples of paragraphs for the quarterly letters:

Example 1:   Less than maximum rate, increase, with Telephone

                      Allowance and MI/SH in assessment

Example 2:  Saved rent assistance paragraphs

Example 3:  Generic indexation paragraph - no increase

Letter variables

Please note, in the following samples:

  • letterhead, DC name and signature block will change according to State;
  • the words “service pension”, “age pension” and “Income Support Supplement” each represent variables which will appear for those clients in receipt of the applicable pension;
  • the words “income test” represent a variable; “assets test” will appear where applicable (these variables appear in the income and asset attachment which is not included with the samples).

Contact: T-CONTACT-OFFICER STATE OFFICE

Telephone: T-CONTACT-TELEPHONE

AMP Place

10 Eagle Street

Brisbane Qld 4000

Postal Address:

GPO Box 651 Brisbane Qld 4001

Telephone:

Metropolitan Residents: (07) 32238333

Country Residents: 1800 113304

Interstate Residents: 1800 777634

Facsimile: (07) 32238585

T-ADVICE-PRINT-DATE

YOUR FILE NUMBER IS T-FILE-NUMBER

T-ADVICE-SALUTATION,

I am writing to you about your T-PENSION-SP-ISS-AP payment from Veterans' Affairs.

Payment Details

The fortnightly rate of pension you will receive from T-CLNT-EFFECTIVE-DATE is shown below.

INSERT PAYBOX

Indexation of pensions

Each year in March and September the Department reviews the rates of pensions and certain allowances.  These rates may be increased in line with changes in the cost of living and average earnings.

T-PENSION-SP-ISS-AP rates have been increased in line with changes in these figures.  The new rates will apply from T-CLNT-EFFECTIVE-DATE.  Other rates and thresholds have not changed.

Reassessment of Financial Assets

The asset values of listed shares and unit based managed investment products have been reassessed.  Details of your investments are listed in this advice.

Telephone Allowance

Your quarterly telephone allowance will be paid on T-DATE-OF-PAYMENT, together with your fortnightly rate of pension.  The current telephone allowance rates are:

  • World War 1 - $42.50

  • General Rate (single pensioners, war widow(er)s and recipients of certain rates of disability pension) - $15.60

  • Married Rate - $7.80 each for pensioner couples.

Your Obligations

Your obligations have been explained to you in previous letters; these obligations still apply.

Changes You Have Already Told Us About

If you have told us recently about a change to your income and assets or your domestic situation, it may not have been processed before this letter was sent.  When that change has been finalised, we will send you another letter providing details of your new pension assessment.

Your Right of Review

If you do not agree with this variation to your pension, you may apply to have it reviewed by a Review Officer at this office.  If you decide to apply you must do so within three months of being advised of this variation.  A request for review must be in writing and set out your reasons for seeking this review.

If you have any questions about any of the above matters, please contact the Department at the address or telephone number shown at the top of this letter.

Yours sincerely,

.si sigql3 depth 5 absolute

Gary Collins

ATTACHMENT

FULL INCOME AND ASSETS LISTING

Paragraphs for Saved Rent Assistance cases

NOTE: Anyone affected by the Saved Rent Provisions will have one of the paragraphs below inserted into their advice letter

  1. To be used for less than max rate service pensioners with saved RA, or less than ceiling rate ISS with saved RA, where the value of the indexation or adjustment is less than the amount of saved RA.  This means that SP/ISS is increased by the indexation/adjustment amount, saved RA is reduced by the indexation/adjustment amount, and some saved RA remains.

Saved Rent Assistance

Since March 1996, any indexations or adjustments for T-PENSION-SP-ISS-AP have been offset against the amount of rent assistance you receive.  Because of savings provisions implemented over past budgets, you are receiving rent assistance at a higher rate than your entitlement would be under current legislation.  This will continue until such time as the rate of payment under current legislation is reached.

The value of the increase for T-CLNT-EFFECTIVE-DATE has been offset to further reduce the higher rate of rent assistance you have been receiving.  The amount of your rent assistance has been reduced to T-TOTAL-NEW-SAVED-RA.  Further pension indexations or adjustments will be offset against this amount until your rent assistance is reduced to your correct entitlement.

  1. To be used for less than max rate service pensioners with saved RA, or less than ceiling rate ISS with saved RA, where the value of the indexation or adjustment is equal to the difference between the saved RA amount and the correct rate of RA.  Therefore, SP/ISS is increased by the indexation/adjustment amount, saved RA is reduced by the indexation/adjustment amount to the correct rate of RA (where RA remains payable).

Saved Rent Assistance

Since March 1996, any indexations or adjustments for T-PENSION-SP-ISS-AP have been offset against the amount of rent assistance you receive.  Because of savings provisions implemented over past budgets, you have been receiving rent assistance at a higher rate than your entitlement would be under current legislation.

The value of the increase for T-CLNT-EFFECTIVE-DATE has been offset to further reduce the higher rate of rent assistance you have been receiving.  The amount of your rent assistance has been reduced to T-ASSMTN-TOTAL-RA.  As this is your correct entitlement under current legislation, the full value of future pension indexations or adjustments will be applied to your pension.

  1. To be used for less than max rate service pensioners with saved RA, or less than ceiling rate ISS with saved RA, where the value of the indexation or adjustment is greater than the difference between the amount of saved RA and the correct rate of RA.  This means that SP/ISS is increased by the indexation/adjustment amount, saved RA is reduced to the correct rate of RA (and RA remains payable), and a partial increase is applied.

Saved Rent Assistance

Since March 1996, any indexations or adjustments for T-PENSION-SP-ISS-AP have been offset against the amount of rent assistance you receive.  Because of savings provisions implemented over past budgets, you have been receiving rent assistance at a higher rate than your entitlement would be under current legislation.

The value of the increase for T-CLNT-EFFECTIVE-DATE has been offset to further reduce the higher rate of rent assistance you have been receiving.  The amount of your rent assistance has been reduced to T-ASSMTN-TOTAL-RA.  This is your correct entitlement under current legislation.  On this occasion, a partial increase has been applied to your T-PENSION-SP-ISS-AP; in the future, you will receive the full value of any further pension indexations or adjustments.

  1. To be used for less than max rate service pensioners with saved RA, or less than ceiling rate ISS with saved RA, where the value of the indexation or adjustment is equal to the difference between the saved RA amount, and the correct rate of RA, where the RA is cancelled.  This means that SP/ISS is increased by the indexation/adjustment amount, saved RA is reduced by the indexation/adjustment amount, and no RA remains payable.

Saved Rent Assistance

Since March 1996, any indexations or adjustments for T-PENSION-SP-ISS-AP have been offset against the amount of rent assistance you receive.  Because of savings provisions implemented over past budgets, you have been receiving rent assistance at a higher rate than your entitlement would be under current legislation.

The value of the increase for T-CLNT-EFFECTIVE-DATE has been offset to further reduce the higher rate of rent assistance you have been receiving.  Your rent assistance has been cancelled, because based on your current circumstances, you are not eligible for payment of this allowance.  The full value of future pension indexations or adjustments will be applied to your T-PENSION-SP-ISS-AP.

  1. To be used for less than max rate service pensioners with saved RA, or less than ceiling rate ISS with saved RA, where the value of the indexation or adjustment is greater than the difference between the amount of saved RA and the correct rate of RA, where the RA is cancelled.  This means that SP/ISS is increased by the indexation/adjustment amount, saved RA is reduced to the correct rate of RA, which is $0.00, and a partial increase is applied.

Saved Rent Assistance

Since March 1996, any indexations or adjustments for T-PENSION-SP-ISS-AP have been offset against the amount of rent assistance you receive.  Because of savings provisions implemented over past budgets, you have been receiving rent assistance at a higher rate than your entitlement would be under current legislation.

The value of the increase for T-CLNT-EFFECTIVE-DATE has been offset to further reduce the higher rate of rent assistance you have been receiving.  Your rent assistance has been cancelled, because based on your current circumstances, you are not eligible for payment of this allowance. On this occasion, a partial increase has been applied to your pension; in the future, you will receive the full value of any pension indexations or adjustments.

If an increase in MTAWE does not occur the following para will be substituted.

“During the most recent period there has not been a large enough increase in the cost of living or average earnings to provide for an increase in pension and allowance rates.”

Scenarios

Letters will be sent to those with MI/Shares in the assessment because these will still be reassessed.

Those without MI/Shares in the assessment will mean no reassessment, no change, no letter.