The Federal Government recently announced that they will cease funding the Aboriginal Legal Services' Prisoner ThroughCare program, effective as of 30 June 2014. The purpose of the program, which was implemented at the recommendation of the Royal Commission into Aboriginal Deaths in Custody, is to reduce Aboriginal imprisonment rates by providing those leaving prison with "support", and assisting with their "rehabilitation and their return to families and communities."

Explaining the Government's decision to axe the program that costs $500,000 annually, Minister Scullion said "In a competitive funding environment, the reports indicated the service was not delivering strong enough outcomes on the ground to warrant further government investment".

The decision came as a "shock" to the Aboriginal Legal Service. Phil Naden, CEO of the Aboriginal Legal Service (NSW/ACT), considers the work done by the Prisoner ThroughCare staff as "vitally important". Speaking on the Government's decision, Mr Naden argued that "Cost-saving measures are one thing, but a direct hit to frontline services - losing the whole Prisoner ThroughCare unit – well that's just disappointing."

Read the Aboriginal Legal Services' Media Release here.

AGED CARE LAW REFORM FOR NEW RESIDENTS FROM 1 JULY 2014 CHANGES TO ACCOMMODATION PAYMENTS EFFECTIVE 1 JULY 2014

Are you a hostel or nursing home Aged Care Provider? Or a Resident considering entering into such an Aged Care Facility? If so, we alert you to some changes in the Aged Care (Living Longer Living Better) Act 2013, which will become effective for new residents from 1 July 2014.

Existing residents will remain governed by their current Agreements with their Aged Care Provider.

The summary of the changes:

  • Aged Care Providers are now required to advertise their accommodation on the MyAgedCare website, their own website (if they have one) and in written documents given to the Resident. The advertisement must be published in advance and identify the key features of rooms, price and the payment options for the Resident.
  • Aged Care Providers will now have to seek written approval from the Aged Care Pricing Commissioner where the prices advertised for the accommodation exceed $550,000.00.
  • Aged Care Providers will no longer withhold retention amounts from accommodation bonds.
  • There are now three types of Aged Care Facility accommodation payments which will apply regardless of whether the accommodation is high care or low care. The three options available to new residents for payment are:
    1. A lump sum payment known as a "Refundable Accommodation Deposit" (previously known as an accommodation bond).
    2. A periodic payment known as a "Daily Accommodation Payment".
    3. A combination of both the Refundable Accommodation Depositand Daily Accommodation Payment.
  • Residents will have up to 28 days after entering the Aged Care Facility to decide the method of accommodation payment they wish to use.
  • There is now a cap on the amount of interest that can be charged by an Aged Care Provider on any unpaid fees. This is known as the Maximum Permissible Interest Rate (MPIR) and is published by the Department of Social Services every three months.
  • There are new means testing arrangements to assess Residents who may be eligible for the Government's accommodation supplement.
  • Fees for services (a Basic Fee and a Means Tested Fee Subsidy) are also payable, the actual sum varying for each resident depending upon their income and assets.

Aged care providers should now ensure that all of these changes are recorded in all Resident Care Services Agreements intended for signing after 1 July 2014.

If you require any assistance with reviewing your standard agreements we can assist.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.