PolicyBankruptcySDMS ID Number P2010/0654-001SDMS Title Bankruptcy – Policy – P2010/0654-001Effective From 1 October 2013Applies to Housing Tasmania clientsCustodian Manager Housing StrategySummary This policy outlines Housing Tasmania’s position on how client

Bankruptcy is managed.Replaces Doc. No. n/aAuthor Area Housing Strategy – Social and Affordable Housing Policy UnitContact Manager, Housing OperationsReview Date December 2018

Policy Intent The intent of this policy is to outline Housing Tasmania’s position on clients who are declared bankrupt.Housing Tasmania recognises that for some clients bankruptcy is the only option available to resolve their debt. Housing Tasmania will not exclude clients who have declared bankrupt from accessing housing assistance with Housing Tasmania.

Application This policy applies to all new applications at Housing Connect for housing assistance with Housing Tasmania and, existing Housing Tasmania tenants and declared household members.Collectively, all residents in Housing Tasmania properties are referred to as our “clients”. Our tenants are specifically the clients who have signed a current and legally binding tenancy agreement with Housing Tasmania.

Bankruptcy A bankrupt client is an individual who is unable to pay all their debts and whose financial affairs are controlled by an Official Receiver in Bankruptcy or a Trustee in Bankruptcy.

Housing Tasmania position

Housing Tasmania’s position is that bankruptcy is not the solution for tenants to resolve rental debt. Housing Tasmania has flexible, affordable debt repayment agreements which clients should use as the preferred option for resolving debt. (See Prior Debt Policy).Where it is clear that an existing tenant has declared bankruptcy to avoid repaying a Housing Tasmania debt rather than enter into a debt repayment agreement, a review of the client’s circumstances by the Manager Access and Support will be undertaken. This may result in a referral to Housing Connect for assessment of their support need with the aim of ensuring a tenancy is sustainable and further bankruptcy is avoided. Each case is individually assessed, and the review will look at the level of hardship and any significant negative impact on individual and household member’s health and well-being.An application for housing assistance and support that includes someone who has been declared bankrupt is treated as a normal application with Housing Connect. Clients will have their housing and support need assessed with Housing Connect.

Consent to Share Client Information

Information sharing between services and professionals is critical in an integrated and responsive approach to preventing and reducing episodes of homelessness and housing crisis for

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each client. The initial identification of clients’ needs focuses on early intervention and appropriate referrals. Obtaining client consent at the earliest opportunity is critical to achieving good outcomes for the client.Personal information will only be disclosed to organisations or individuals with client consent, or if it is authorised by law.The privacy of client personal information is protected by legislation. Organisations are guardians of personal information and are responsible for collecting, maintaining and disposing of client information as per the requirements of the Personal Information Protection Act 2004.

Housing Connect Housing Connect is a front door service that provides coordinated access to housing and support services for eligible Tasmanians. Housing Connect provides integrated housing and support services with the aim of supporting clients to retain their tenancy or improving access to longer term stable housing.Referrals will be made with consent and followed up to make sure clients receive the support they need.

Accessing Support through Housing Connect

Some clients may need to access support to assist them maintaining long term housing or, stabilise their current housing. The support may be needed for a short or longer period to manage day to day.Support may include general tenancy support (such as help with housework and cooking and paying bills) short term financial support, and budgeting for example.Housing Connect will work actively with client’s not accessing support they have been assessed as needing to sustain long term housing, to better understand their situation and sensitivities and offer appropriate support services.

New applications Clients have their housing and support needs assessed with Housing Connect. Clients may be provided with information on a range of housing assistance and support options to allow them to make the best decision about securing housing and support based on their needs. Eligible clients may choose to receive offers for properties managed by any housing provider.Clients must meet Housing Tasmania’s eligibility criteria to be allocated a Housing Tasmania property.

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Where an applicant has had a debt to Housing Tasmania and have declared bankruptcy, they are required to pay rent by Direct Debit if receiving Centrelink benefit once housed.

Housing Tasmania Debt Recovery

When a client is declared bankrupt, any outstanding charges up to the date they were declared bankrupt are not recoverable. Housing Tasmania cannot take any action to recover a debt that is the subject of a bankruptcy. This includes ex-gracia payments.

Discretion Discretion allows organisations to be more responsive through early intervention/prevention.

Discretion may be applied to a client’s application for housing assistance and support at the time of assessment with Housing Connect.The area manager with Housing Tasmania has the discretion to make decisions to allocate their vacant property to a client out of order, where a reasonable case has been presented. The decision must be adequately documented on the relevant tenancy file.This supports the creation of mixed communities which promotes social and economic opportunities for clients.

Legal Framework This Policy adheres to the Residential Tenancy Act 1997 where relevant.

Exemptions If required and we want to include publicly.

Responsibilities/ Delegations

All Housing Operations staff members are responsible for ensuring the appropriate application of the policy. Area Managers are responsible for Area management including policy application.

Disclaimer This is a statewide policy and must not be re-interpreted so that subordinate policies exist. Should discrete operational differences exist, these should be expressed in the form of an operating procedure or protocol that must be approved at the same level as this policy.

Audit and Compliance

Failure to comply with this policy, without providing a good reason for doing so, may lead to disciplinary action.Compliance with this policy is monitored by the Manager Housing Services, through the delegated Area Managers.

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Procedures and Forms

If required

Related Policies If required

Glossary If required

Policy Title and Version Bankruptcy Policy Version 4.0Effective DateReview Date December 2018Document Number P2010/0654-001Replaces Document Number

n/a

Custodian Housing Tasmania, Social and Affordable Housing PolicyApproved by Manager Housing Strategy

This Policy may be varied, withdrawn or replaced at any time. Compliance with this directive is mandatory for the Department of Health and Human Services. Please Destroy Printed Copies. The electronic version of this Policy is the approved and current version and is located on the Agency’s intranet. Any printed version is uncontrolled and therefore not current.

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