{"id":"F2016L01010","name":"Military Rehabilitation and Compensation (Lump Sum Rate of Interest) Determination 2016","slug":"military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":129669,"registerId":"commonwealth-F2016L01010-current","compilationNumber":null,"startDate":"2026-04-03","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"MILITARY REHABILITATION AND COMPENSATION","sectionType":"part","heading":"MILITARY REHABILITATION AND COMPENSATION (LUMP SUM RATE OF INTEREST) DETERMINATION 2016","content":"# MILITARY REHABILITATION AND COMPENSATION (LUMP SUM RATE OF INTEREST) DETERMINATION 2016","sortOrder":0},{"sectionNumber":"Instrument No. M8 of 2016","sectionType":"part","heading":"Instrument No. M8 of 2016","content":"# Instrument No. M8 of 2016\n\nI, DAN TEHAN, Minister for Veterans’ Affairs, under subsection 79(3) of the Military Rehabilitation and Compensation Act 2004, determine that:","sortOrder":1},{"sectionNumber":"1. The Instrument entitled the “Military","sectionType":"part","heading":"1. The Instrument entitled the “Military Rehabilitation and Compensation (Determination of Rate of Interest) Determination 2006 (Instrument No. M18 of 2006) and made by the then Minister for Veterans’ Affairs, Bruce Billson, on 6th July 2006 is revoked.","content":"# 1. The Instrument entitled the “Military Rehabilitation and Compensation (Determination of Rate of Interest) Determination 2006 (Instrument No. M18 of 2006) and made by the then Minister for Veterans’ Affairs, Bruce Billson, on 6th July 2006 is revoked.\n\n2. The rate of interest for the purposes of subsection 79(3) of the Military Rehabilitation and Compensation Act 2004 is the weighted average yield of 90 day bank-accepted bills, as published by the Reserve Bank of Australia, settled immediately prior to the last day of the thirty day settlement period.\n\n3. This determination commences on the day after it is registered.\n\nDated this 20th day of April 2016\n\nDan Tehan\n\nDAN TEHAN\n\nMINISTER FOR VETERANS’ AFFAIRS","sortOrder":2}],"analysis":{"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":true,"description":"This instrument replaces the 2006 determination and changes the method for calculating the lump‑sum interest rate under s.79(3) MRCA 2004. Mechanically, it shifts the determinant to the RBA published weighted average yield of 90‑day bank‑accepted bills (as of a specified settlement timing), which alters how interest amounts are computed for claimants and the Commonwealth and increases reliance on an external market publication."},"complexity_factors":["Simple statutory action: revokes prior instrument and substitutes a new rate formula.","Formula depends on an external, published market figure (RBA 90‑day bank‑accepted bill yield).","Reference to subsection 79(3) of the Military Rehabilitation and Compensation Act 2004 requires reading the parent Act to see practical effects.","Timing phrase—\"settled immediately prior to the last day of the thirty day settlement period\"—may invite interpretive questions for administrators.","Commencement is immediate (day after registration), creating operational lead time for implementing the new calculation."],"plain_english_summary":"This rule replaces a 2006 determination and sets how the interest rate is calculated for lump‑sum payments under subsection 79(3) of the Military Rehabilitation and Compensation Act 2004. The interest rate is now the weighted average yield of 90‑day bank‑accepted bills published by the Reserve Bank of Australia, using the figure settled immediately before the last day of the 30‑day settlement period. It changes how interest on MRCA lump sums is computed, affecting amounts paid or received by veterans and the Commonwealth and the department’s reliance on published market data."},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This instrument performs exactly the function intended by its enabling provision (subsection 79(3) of the Military Rehabilitation and Compensation Act 2004): setting the applicable interest rate for lump sum payments. It replaces an earlier determination without expanding beyond this specific technical purpose."},"complexity_factors":["Very short instrument (3 operative sections plus revocation clause)","Only 1 defined concept requiring external reference (90-day bank-accepted bills yield)","Single cross-reference to the parent Act (subsection 79(3) of the Military Rehabilitation and Compensation Act 2004)","No nested conditions or exceptions","Straightforward commencement clause (day after registration)"],"plain_english_summary":"This instrument replaces a 2006 determination and sets the interest rate for lump-sum compensation under the Military Rehabilitation and Compensation Act 2004 by linking it to the Reserve Bank of Australia’s weighted average yield on 90‑day bank‑accepted bills, using the rate settled just before the last day of a 30‑day settlement period. It affects ADF members and veterans receiving lump sums and the Department of Veterans’ Affairs, ensuring interest tracks current market conditions so recipients aren’t disadvantaged."}},"importantCases":[],"_links":{"self":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016","history":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016/history","analysis":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016/analysis","conflicts":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016/conflicts","importantCases":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016/important-cases","documents":"/api/acts/military-rehabilitation-and-compensation-lump-sum-rate-of-interest-determination-2016/documents"}}