Accompanying Report for Long-Term Care (Residency Conditions) (J) Regulations 201
The Island faces a substantial increase in both the number and proportion of older residents over the next 30 years, with care costs predicted to more than double by 2044. In response to this issue, in July 2011 the States approved the Long Term Care (Jersey) Law 2012. Details of the operation of the proposed scheme have now been set out in Proposition P.99/2013, which will be debated before these Regulations are considered.
The introduction of a long-term care (LTC) scheme is designed to share long-term care costs more fairly across the community and the scheme will establish a clear and simple process to help individuals and their families understand the choices available and plan for the cost of long-term care. The proposed new scheme will provide financial support to Jersey residents who have significant long-term care needs and who are being cared for either in their own home or in a care home.
As set out in section 21 of the report accompanying P.99, individuals will need to meet a number of eligibility conditions to qualify for support under the LTC scheme. Four of these conditions are already specified in the LTC Law itself (relating to age, care level, care setting and previous offences). Article 3(2)(e) of the LTC law refers to other eligibility conditions that will be approved through Regulations, including conditions related to residency.
These Regulations set out the residency condition for the LTC scheme.
Residency rules - Regulation 1 (a) and (b)
Two main conditions are proposed around residency and these are reflected in Regulation 1.
- the individual has been ordinarily resident continuously in Jersey for a period of ten years at some time since reaching the age of 18; and
- the individual has been ordinarily resident in Jersey for the 12 months immediately preceding the application for the LTC benefit.
The term “ordinarily resident” is used in several laws administered by the Social Security Department but it does not have a single, legal definition. If there is any doubt that someone is “ordinarily resident” the Department’s officers will refer to previous legal decisions. To be “ordinarily resident” the individual must have made a decision to stay permanently in Jersey and must have somewhere to live locally.
The combination of the two tests will ensure that individuals are likely to have made a reasonable contribution to the LTC fund – and potentially in other ways to the wellbeing of the Island community – and that an individual is less likely to return to Jersey specifically to apply for the LTC scheme. It recognises that today the careers of Islanders may involve them working for periods in different parts of the world, but later on they may want to return to Jersey where they have friends and family.
Special arrangements for Jersey residents under the age of 28 - Regulation 1 (c) and (d)
For applicants below the age of 28, the first test will be modified so that they will need to have been ordinarily resident continuously in Jersey for a period of ten years at any age.
This ensures that local children who grow up with a serious disability will be eligible for the long-term care scheme from the age of 18 onwards. The arrangement also covers young adults under 28 who have a serious accident or illness that leaves them needing long-term care for the rest of their life. To ensure consistency with the approach taken to older adults, this residency condition must be met immediately preceding the application; otherwise they must be ordinarily resident for a further year before becoming eligible.
Persons not treated as ordinarily resident – Regulation 2
Regulation 2 sets out particular situations where a person is not treated as being ordinarily resident. These provisions echo those that apply to Income Support.
Regulation 2(1) excludes periods spent in detention following a sentence of imprisonment or youth detention. The time spent in detention does not count towards the residency condition but it does not create a gap in continuous residency. Consider an individual who has been resident in Jersey for seven years, and is then sentenced to a five-year prison sentence. Upon release, the individual will continue to build up continuous residency from the seven-year period and must remain in Jersey for a further three years in order to create a ten-year residency period. This exclusion only applies to individuals who have been sentenced to a period of imprisonment and it does not apply to individuals detained in prison on remand.
Regulation 2(2) and 2(3) cover the situation when individuals are working in Jersey but employed by an employer from outside Jersey and paying contributions in that other country (as per a reciprocal agreement); these individuals do not build up years of residence towards the LTC scheme. Likewise, they will not be making contributions into the LTC Fund and will remain covered by the social security system of their home country.
Persons receiving long-term care outside Jersey – Regulation 3
Some individuals have specialist long-term care needs which cannot be provided in Jersey. In this situation an off-island placement will be provided, normally in the UK, and will be arranged and funded by the HSS Department. The time spent outside Jersey in these circumstances will continue to be included as ordinary residence in Jersey. This will allow the individual to satisfy the residence condition if it becomes possible to arrange care in Jersey at a later date. This Regulation applies to both children and adults.
Commencement – Regulation 4
These Regulations form part of the long-term care legislation and will come into force at the same time as the long-term care benefits are introduced under the main law. If approved, the Appointed Day Act will bring the long-term care benefits into force on 1 July 2014.
Financial and manpower considerations
The development costs of the LTC scheme are being met through existing departmental budgets. Ongoing costs will be met through the LTC Fund itself. It is estimated that an additional 9.5 FTE will be required to administer the new scheme.
L:\Strategy & Policy\Policy\Long Term Care Law\Law drafting\current drafts\Residency conditions - Report sep 13 v.4.doc