Clause 5. Good cause and exercise of discretion

5

Good cause and exercise of discretion

(1)

For the purposes of section 339(1) of the Act, you may, without limitation, consider there is good cause to redirect a person's benefit, and may exercise your discretion to redirect the person's benefit, if you are satisfied that the person is in any of the following situations:

(a)

the person is a tenant of any social housing and the redirection is required to ensure the person meets his or her rental commitments:

(b)

the person is a resident assessed as requiring care or a person receiving residential care services who is required to contribute, from the person's benefit, to-

(i)

the cost of contracted care services provided to the person; or

(ii)

the cost of the residential care services provided to the person:

(c)

the person is or has a history of being at risk of being disconnected from essential services or telecommunication services, or of incurring late payment penalties, reconnection charges, or both because of non-payment and the redirection is required to help prevent that risk:

(d)

the person is a vulnerable tenant and the redirection is required to reassure the person's landlord, or prospective landlord, that the person will meet his or her rental commitments:

(e)

the person has been ordered to pay, or is in default of payment of, any fine (within the meaning of clause 13(6) of Schedule 6 of the Act) and the redirection is required to make payments towards that fine:

(f)

the person has money due under any judgment or order of any court or tribunal of New Zealand and the redirection is required to make payments towards the amount due:

(g)

the person is otherwise liable to pay any debt or other liability for goods or services that you consider are essential for the person or any of his or her dependants and the redirection is necessary to make payments towards the amount due:

(h)

the person has a history of poor financial management and the redirection is necessary to ensure the priority needs (including those relating to essential services, telecommunication costs, accommodation costs, medical care, or education) of the person and his or her dependants are met:

(i)

the person is required to make an emergency housing contribution under the Emergency Housing Grants Programme.

(2)

Nothing in subclause (1) requires you to redirect a benefit or an instalment of a benefit if, in the circumstances of the case-

(a)

you exercise your discretion not to do so; or

(b)

you consider there would be insufficient funds for the redirection to operate having regard to-

(i)

any abatement of the person's benefit due to income:

(ii)

any required deductions from the person's benefit under any deduction notice or attachment order under any enactment:

(iii)

any required reduction of the person's benefit under any provision of the Act (for example, section 189, 192, or 198).