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Child Support Scheme background
Before the Child Support Scheme
Prior to 1988, it was generally recognised that the child maintenance system, dealt with by the courts, was not working for the benefit of separated parents and their children.
At that time:
- Obtaining a court order was too expensive for many single parents
- Less than 30% of parents had court orders for child support
- Court orders were for low amounts - usually $10-$30 was being paid per week as child maintenance
- Court orders could not be easily updated to take account of inflation or changes in the parent's circumstances
- It was difficult to enforce court orders - less than 30% of child maintenance was being paid
- Social welfare payments increased to bridge the gap.
Child Support Scheme introduction
In October 1986 the Federal Government proposed reforms in three areas:
- Enforcement of maintenance collection through the Australian Taxation Office (ATO)
- Use of a formula to determine the level of maintenance orders
- The application of this formula by an administrative process with a right of appeal to the courts.
The first Act is known as the Child Support (Registration and Collection) Act 1988, and it:
- established the Child Support Agency
- implemented the first reform which saw the registration, collection and enforcement of court orders and court registered agreements for child support, and
- took effect from 1 June 1988.
The second Act is known as the Child Support (Assessment) Act 1989, and it:
- established the Child Support Agency
- implemented the first reform which saw the registration, collection and enforcement of court orders and court registered agreements for child support.
The Child Support Agency was formed to administer the Government's Child Support Scheme. Read the history of the Child Support Agency.
Since then several changes have been made to these Acts. For example, in 1992 the Child Support (Assessment) Act 1989 was amended to introduce Senior Case Officers who have the ability to review administrative assessments under prescribed circumstances. This is an alternative to going to court and applies to child support amounts raised after 1 July 1992.
Further reforms have taken place since 1 July 2006, following the recommendations of The Ministerial Taskforce on Child Support report, In the Best Interests of Children - Reforming the Child Support Scheme.
Further information about CSA legislative history is available in The Guide.
Formation of FaCS portfolio
In 1998 the Government formed the department of Family and Community Services (FaCS) to improve service to the public. The Department of Family and Community Services was comprised of the former Department of Social Security, parts of the community services functions of the former Department of Health and Family Services (Disability Programs, Family and Children's Services and the Commonwealth Rehabilitation Service), the Child Support Agency and part of the Legal Aid and Family Services Division of the Attorney-General's Department.
In October 2004, FaACS was separated out as a policy portfolio and CSA became part of the Department of Human Services.
This brought under one umbrella six service delivery agencies including Centrelink, Medicare, Health Services Australia, Commonwealth Rehabilitation Services, Australian Hearing and the Child Support Agency.
The primary focus of the Human Services department is to further improve the development and delivery of government services to the Australian public.
