Thursday, 06 November 2008

Member for Davidson, Jonathan O’Dea is throwing his support behind retirees, battling the State Government’s draconian Retirement Villages Amendment Bill.

“This Bill could have far reaching financial implications for some of the most vulnerable in our society,” Mr O’Dea said.

“The Bill allows retirement village operators to charge residents 50% of maintenance costs as well as half the capital costs!

“This may benefit retirement village operators but is simply unfair, unreasonable and unaffordable for thousands of residents with limited financial resources,” Mr O’Dea said.

“I will be meeting with Shadow Fair Trading Minister, Catherine Cusack and representatives of the Glenaeon Retirement Village at Belrose next week (Friday 14th) to discuss the implications of the proposed legislation.

“The State Labor Government will not withdraw the Retirement Villages Amendment Bill – and we will not let it pass,” Ms Cusack said.

“The Bill is supposed to provide protection for residents against cost shifting items such as road repairs, the replacement of hot water systems and operating costs such as payroll tax. However, if passed, residents will be vulnerable to a raft of new charges from operators,” Mr O’Dea said.

“I am supporting moves to amend the Bill so that residents will not be required to pay for payroll tax or 50% of capital costs and maintenance and will require operators to explain the annual budget and answer related questions.

“The amendments will also require operators to ensure they cannot unilaterally increase recurrent charges beyond residents’ capacity to pay and will provide for a cap on exit fees for all residents,” Mr O’Dea concluded.