Ageing Australia: 1 July transition is becoming "impossible"

Ageing Australia says an “11th hour decision” to require new service agreements is making transition to the new Aged Care Act on 1 July impossible and is warning that more than 830,000 older Australians receiving Commonwealth Home Support Program (CHSP) services “will be left in limbo”. Ageing Australia said the surprise new obligations on providers now require service agreements with every CHSP care recipient for the very first time, even though the rules to create the contracts are still to be finalised.

“Being ready for the new Act was already near impossible, but this new decision crosses the line, making it truly impossible,” Ageing Australia CEO Tom Symondson said. “The goal posts have been moved. This new requirement has come out of nowhere, was called for by nobody and there has been no consultation.” There are currently no obligations for CHSP providers to have service agreements with recipients.

Ageing Australia said, as a result of this, providers will have to create and negotiate 830,000 agreements before 1 July — with providers already snowed under by the requirements of transitioning to the new Act and the rules outlining what those agreements must look like not yet even finalised. “If the government insists on doing this, which we don’t think is necessary, it needs to provide the sector with transition timelines of at least 12 months,” Symondson said.

“There should also be exemptions for very small providers, particularly for those with grants as small as $10,000 operating in rural areas,” Symondson added. Given that many CHSP care recipients have never had to sign agreements, Ageing Australia said the new requirements will be wide-ranging and include those receiving even very small amounts of support — such as occasional transport to medical appointments or a few meals a week from a Meals on Wheels provider.

“The interaction with the system is very small for a large number of older people receiving services under the CHSP, but critical in keeping them independent and living in their own homes,” Symondson said. “Additional red tape and unnecessary, formal agreements will likely make many avoid services altogether, including those most in need.” Ageing Australia noted that providers have been struggling to overhaul entire systems, replacing complex ICT infrastructure and moving to new requirements, all on top of caring for older Australians. And with the final information required to complete this process for the new Aged Care Act still not available, Ageing Australia said this latest change “may be the straw that breaks the camel’s back”.

“More than 830,000 older Australians will be left in limbo unless something changes urgently,” Symondson said. “There will be widespread confusion for community care recipients, their families and providers alike, with a very real risk that hundreds of thousands of older people will miss out on the vital services they require.”

Image credit: iStock.com/Jacob Wackerhausen