Payment pending review (PPR) of decision to cancel Disability Support Pension (DSP) due to loss of medical qualification 102-01080060

An adverse decision under social security law is one to suspend, cancel or reduce the rate of payment.

PPR can only apply:

• during a review of an adverse decision by
• an Authorised Review Officer (ARO), or
• the Administrative Appeals Tribunal (AAT) (first review only), and
• if the decision under review requires the decision maker to use discretion or form an opinion

PPR cannot be applied if the customer has requested an explanation of the decision.

PPR may apply if the decision causes the customer financial hardship, or significantly affects the customer or their family in other ways. For example, the customer has a medical condition and cannot afford treatment if payment stops.

PPR may still apply if the customer has been granted another payment after a cancellation decision.

If a customer is eligible for PPR, an application for a formal review should not be recorded as a priority review on the basis of total combined income and assets less than the relevant maximum fortnightly payment rate. A priority review may be recorded on other grounds.

For more information about DSP reviews and appeals see Reviews and appeals for Disability Support Pension (DSP) rejection or cancellation decisions.

For PPR to apply:

• an application for a formal review must be made within 13 weeks of the customer being notified of the cancellation decision, or
• an application for a review by the AAT (first review) must be made within 13 weeks of the customer being notified of the outcome of the internal review.

The decision to apply PPR is discretionary. Relevant considerations include, but are not limited to, whether the customer:

• will be placed in financial hardship
• has dependent children or caring responsibilities that may be significantly affected
• has a medical condition that may be significantly adversely affected (for example because the customer cannot afford treatment)
• is likely to be evicted or will be unable to pay rent or board

If PPR is applied, DSP will be restored and back payment issued from the date of cancellation. It is important to take into account relevant information before paying arrears. This includes income from employment and changes in relationship circumstances.

During the PPR period, the customer must comply with all payment requirements, such as reporting changes in circumstances. The rate of payment must also take into account the customer's (and their partner's) current income and assets.

If DSP is cancelled because the customer is no longer medically qualified, a 42 day period of grace (POG) allows the customer time to claim an alternative income support payment.

If a decision is made to apply PPR within the 42 day POG, the system will start PPR from the future cancellation date, ensuring continuation of payment without interruption.

A customer can make a verbal or written request for PPR.

Services Australia can decide to apply PPR without a request from the customer.

PPR can be considered at any time while a review is in progress.

However, PPR cannot be considered if the customer applied for a review more than 13 weeks after being notified of the adverse decision.

Staff at the APS4 level and above can apply PPR. Staff under APS4 level should seek guidance from a Local Peer Support (LPS) or equivalent.

PPR decisions are generally made by decision making teams. AROs do not make decisions to apply PPR.

An ARO can review PPR decisions.

The AAT cannot review PPR decisions.

PPR is to be ended:

• When the ARO review or AAT review is completed, withdrawn or dismissed. If PPR is not ended
• within 13 weeks of the date of the review decision, a debt will be calculated from the first day after the end of the 13-week period
• from the date the review was withdrawn or dismissed, a debt will be calculated from the day the review is withdrawn or dismissed
• If the customer’s circumstances change and they are no longer in financial hardship, or a new decision will result in less entitlement
  For example: DSP is cancelled, not medically qualified. PPR is applied while the decision is reviewed. Before the review is completed, the value of the customer’s investment property increases and they are no longer payable under the assets test. PPR is ended and DSP cancelled

Note: there is no debt during the period PPR is authorised, unless there is another issue affecting the customer’s entitlement. For example, the customer does not declare their income from employment.

PPR cannot be applied during these reviews. However, the AAT can make a stay order to continue payment while an AAT (second review) is in progress.

The customer must make a written request to the AAT for a stay order.

Once an AAT (second review) is completed, they will instruct on terminating the AAT stay order. See Administrative Appeals Tribunal (AAT).