Until 27 February 2017, CDC funding for home care is provided to
places as allocated to Approved Providers via the Aged Care
Approval Rounds (ACAR).
The Government has passed the Aged Care Legislation
Amendment (Increasing Consumer Choice) Act 2016 (Cth).
The reforms will be implemented in two stages.
Stage 1 – From 27 February 2017, home care will not be
subject to ACAR. The model will change from the funding and
allocation of places to funding which will follow the consumer.
This will allow the consumer to choose a provider that is suited to
them and to direct the funding to that provider. The consumer will
also be able to change their provider if they wish, including if
they move to another area to live.
Stage 2 – will integrate the Home Care Packages Programme
and the Commonwealth Home Support Programme into a single care at
home programme. This will simplify the way that services are
delivered and funded. Stage 2 is intended to be introduced from
The Stage 1 changes are in three main areas:
funding for a home care package will follow the consumer;
there will be a consistent national approach to prioritising
access to home care packages through My Aged Care (the Government
to reduce red tape under the Aged Care Amendment (Red Tape
Reduction in Places Management) Act 2016, which commenced on
11 February 2016.
The system will remain only open to Approved Providers. Under
section 46-1 an Approved Provider is eligible for a home care
subsidy if the following conditions are met:
the Approved Provider must be approved under Part 2.1 of the
Aged Care Act 1997 (Cth) (the Act) as a
provider of home care;
on the day the services are provided there is in force a home
care agreement under which a care recipient approved under Part 2.3
of the Act in respect of home care is to be provided a home care by
the Approved Provider through a home care service;
the home care service is a notified home care service
(which is a new concept);
the care recipient is a prioritised home care
on the relevant day the home care provided is required under
the home care agreement; and
the Approved Provider has agreed in the claim relating to those
services on that day to deal with the care recipient's unspent
home care amount in accordance with the User Rights
The concept of notified home care service is a requirement of
the approved provider to notify the department of the service, the
address for the service and other information as may be included in
the Approved Provider Principles (likely to be included in the 2017
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.
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