NSW: Retirement village law changes too late for some

AAP General News (Australia)
08-14-2006
NSW: Retirement village law changes too late for some

SYDNEY, Aug 14 AAP - New laws proposed by the NSW government won't help the residents
of a northern Sydney retirement village that has gone broke.

NSW Fair Trading Minister Diane Beamer today announced more than 50 proposed amendments
to the Retirement Villages Act aimed at safeguarding the rights of the elderly.

But Ms Beamer said the new laws, which are expected to pass through parliament by year's
end, would not be retrospective.

Last month, the government was forced to organise alternative housing arrangements
for residents of the former Woolcott Court Retirement Village in Wahroonga, in Sydney's
north, now known as the Waldorf Retirement Village, after the former operator went broke.

Some residents reportedly lost deposit payments of up to $300,000.

The Department of Fair Trading is working with about eight residents still at the Waldorf
Retirement Village to help them find new accommodation.

"These laws won't be retrospective," Ms Beamer told reporters.

"We've got someone in there for another month to ensure that we can find the best possible
residential arrangement for those people who live at Woolcott now."

The new measures will include a 90-day cooling-off period for new retirement village
residents, protection for residents from retirement village budget blow-outs and reduction
of red tape for village operators by simplifying accounting and budget procedures.

"One of the most important (amendments) is making sure that the residents are, in fact,
secured creditors when it comes to a retirement village which has gone under, and making
sure that that situation doesn't lead to those people in retirement villages having an
unsecured future," Ms Beamer said.

NSW opposition Leader Peter Debnam said he was pleased the government was moving to
give retirement village residents more security but said it should have acted sooner.

"It has been a couple of years on the way for these reforms but it has been too long
for the eight residents at the Waldorf retirement village," Mr Debnam told reporters.

The Aged and Community Services Association, which represents not-for-profit aged care
facilities, gave the proposed changes to the law in-principle support, but said it wanted
to ensure they did not contain unintended consequences.

"Many of the not-for-profit operators represented by ACS are small community groups
and it is vital to make sure the changes do not place their financial viability at risk,"

association chief executive Paul Sadler said.

AAP dmc/pj/was/ks/bwl

KEYWORD: RETIREMENT NIGHTLEAD

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