Law Talks Episode: Aged care reforms

Robyn:  Good morning and welcome to another edition of 4CRB’s Law Talks. And today we have joining us Attwood Marshall Lawyers Wills and Estates Partner and accredited aged care professional, Debbie Sage, to discuss the complexities and implications of the current aged care reforms. Debbie, these reforms have been referred to as the biggest shake up for the sector in decades.

Debbie: Yeah, that’s right Robyn. This system is broken, and some of the most vulnerable people in our society are suffering as a result. It’s critical that the sector can reform to better serve our ageing population because aged care is not a single service. It’s a wide range of services and programs from low level support to more intensive services.

As most of your listeners. may know, aged care covers assistance with everyday living activities such as cleaning, laundry, shopping, and meal prep. But it can also include respite, equipment, home modifications, personal care, health care, and accommodation. So, the industry is diverse and complex, and this is one of the reasons why I believe the reforms have been delayed.

Robyn: Yeah, anyone who’s ever had to navigate that system will attest to how complex, um, and frustrating it can be. What can people expect from the rollout of the new Aged Care Act and these reforms?

Debbie: So, the new Aged Care Act will mark a significant shift for the aged care sector. It will bring a wide range of changes that will impact everyone who accesses or delivers funded aged care services.

There’s still a lot of uncertainty about what the changes will look like in its final form, but the government has been clear that it wants to legislate a more holistic approach to aged care services. So, at this stage, all signs are pointing to one principal act, with one set of rules, a statement of rights, a statement of principles, and a single point of entry for those wanting to access aged care services.

Robyn: How is this different from the current system? 

Debbie: So, the old system, well the current system, is focused on aged care providers and how they’re funded, whereas the new act will be more consumer focused with an aim to place older Australians at the heart of the aged care system. It will set out obligations of aged care providers and their workers and there will be a stronger focus on quality and safety.

They will be introducing a new risk-based regulatory model, which is designed to increase provider accountability and encourage them to deliver higher quality and safe aged care services. So, they’re intending to shift more towards, as I say, a consumer-focused model where recipients and their families have more choice and control over the care services that they receive.

This could mean more flexible care options, greater transparency and a clearer right for aged care recipients.

Robyn: So, the government has stated that it is putting high quality care at the forefront of the new act. What does this mean in practice? 

Debbie: So, in practice, this means that ensuring that aged care services prioritize safety, dignity and the wellbeing of older Australians. Now that includes rigorous standards for care delivery, improved transparency and accountability, continuous improvement with better training and support for their workers, and also empowering consumers with more choice and control over their care options. So the goal is to create a system where the care recipients feel secure, respected, and well looked after with their needs and preferences at the centre of how their care is being provided.

Robyn: That seems like something that should already be the standard. How will operators be held accountable to ensure they are delivering high quality care? 

Debbie: So aged care recipients will have pathways under the new Act to seek that their rights are being upheld. So, the regulator will have new powers to ensure that they can take stronger action where providers fail to meet their obligations.

And operators will be held accountable through this new regulatory framework. So, it includes mandatory compliance with quality standards, regular monitoring, including spot checks, like just random spot checks without notice, and inspections to ensure services meet these defined expectations.

There will be sanctions and penalties that will be enforced for non-compliance and there is meant to be some kind of civil and criminal penalties that may apply to providers who fail to meet their obligation or cause harm through serious misconduct. Now, these specific penalties could include fines for breaches of regulations or criminal charges in cases of severe neglect or abuse.

But this is being reviewed, so there is quite a lot of rumours around saying that these might change dramatically to what we currently see in the exposure draft, but to give you an example, under the new act, as it’s currently written,  where a complaint is made, both early intervention and restorative justice outcomes can be sought by the Aged Care Quality and Safety Commissioner, as well as a more formal investigation and these enforcement pathways such as civil and criminal penalties.

Robyn: Okay. The latest federal budget released announced plans to invest a further 2. 2 billion into aged care reforms.  Where is this money likely to be going? 

Debbie: So, I believe half a billion dollars will be spent in the next financial year to provide an extra, gosh, I think it’s 24, 100 home care packages, which should lead to reduced waiting times for these home care packages and give our older Australians the opportunity to remain in their own home for longer.

There’s also a promise for additional staffing for My Aged Care and Centrelink to try and clear this massive backlog at the moment for processing income and asset assessments for aged care. There’s also been, this long-awaited pay increase for aged care workers, and changes are being made to the carer payment, which allows recipients to be able to work up to 25 hours a week.

And there’s, I believe, 1. 4 billion set aside to be invested to upgrade the sector’s technology and digital infrastructure. And there’ll also be additional funding for the Aged Care Quality and Safety Commission.

Robyn: Debbie, we know that entering aged care can be incredibly confusing and the assessment process is clunky at best. What is likely to change to make it easier for people who need aged care to get the support they need? 

Debbie: So, currently, there are different assessment pathways to access aged care services, and as a result, the assessments are not consistent. And often, older people are being moved between these assessment organisations as their needs change.

Now, from the 1st of July 2024, a new single assessment pathway is going to be introduced, which is meant to simplify and improve the experience of older people. By providing them this new flexible system that’s apparently going to quickly adapt to their care needs and they’re changing care needs without having to change assessment providers.

So, this newer single assessment system will replace all of the current assessment services at the moment, which is like the ACAT assessment, which a lot of people hear about, the regional assessment service, which we hear a lot for the Commonwealth Home Support Program. Now those things will now change with the exception of a new assessment service being introduced progressively for First Nations older people.

Now with First Nations, assessment organizations will be introduced progressively from the first of July next year. And that’s with the aim to provide a culturally safe pathway for First Nations older people to access aged care services. So, the first step, the first stage of implementing this single assessment system is the introduction of what they’re calling the integrated assessment tool, IAT, from the 1st of July.

So, this new assessment tool is going to assess eligibility for accreditation. Government subsidised aged care services and it’s going to replace this National Screening and Assessment form that they’ve been using. Now this tool is reportedly going to collect better information to ensure that the service recommendations and referrals are more tailored to each person’s care needs.

Robyn: Yeah, that’s got to be a good thing. So, for anyone considering transitioning to aged care, what advice do you have to help people know how to navigate the aged care process with confidence? 

Debbie: So, for those transitioning to aged care, I think it’s essential to start by understanding your needs and preferences.

Your research is available, for aged care services in your area, so have a look around to what’s in your area and get an assessment done as soon as possible through this new single assessment system to determine your eligibility. I would recommend engaging early with aged care providers and assessors just to clarify any questions or concerns you have and stay informed about your rights, entitlements and just the process itself through reputable sources such as the Australian Government website, My Aged Care, again it’s really important too to seek legal and financial advice from an accredited aged care professional because the advice will help you understand and navigate this process confidently to ensure that your transition is as smooth as possible and to help you make these informed decisions.

Robyn: Yeah, with an aging population in Australia and an increasing demand on health services, let’s hope the Act can streamline the process, reduce wait times, and promote continuous improvement for older Australian’s needs. Nice to catch up with you Debbie, and as usual, you’ve got your finger on the pulse when it comes to the aged care reforms. Thanks for breaking it all down for us today. 

Debbie: Thanks, Robyn.

Robyn: You’ve been listening to Law Talks here on 4CRB, which you can hear every Friday morning from 9am, and this interview is also on our website 4crb.com.