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Reform timeline keeping aged care providers awake at night: Senate Inquiry told repeatedly

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Aged care providers want more time to implement aged care reforms, due to roll out in only eight months' time, and for the Government to fund the huge cost of implementing the changes, Senate Inquiry hearings and submissions have revealed.

Alice Warrington, CEO of Community Based Support in Tasmania, which has 300 staff providing support to 5,000 home care clients, told last Friday's Senate Inquiry hearing in Hobart the reform timeframes are keeping her awake at night.

"I would suggest 12 months is an appropriate time frame," she said, also calling on the Government to release the rules promptly.

"We don't yet have the level of detail required to know the exact resourcing requirements we need, the cost of delivering services, the system and process needs, nor the cost and resource to actually work through the change. "

Release rules ASAP

Silvia Alberti, COO of BaptCare, which has 4,700 home care and 1,500 residential aged care customers across Victoria, Tasmania and South Australia, spoke about "the significant time, effort and work that will be required to implement such an incredible change that is so complex and at this scale."

The 'rules' are needed before providers can begin to implement the reforms, and it will cost providers "millions" to implement reforms to their IT systems. He said at least 12 months was needed to implement the changes.

Staged approach

UnitingCare Australia, whose network provides services to 8% of aged care residents and 8.5% of Home Care Packages, called on the Government to provide a "transition supplement" through an adjustment to the Daily Fee to reimburse providers for some of the costs of implementing the reforms.

"Legislative reforms that require providers to upgrade their internal IT systems and reporting processes are particularly expensive and require significant resources across both residential care and home care," the submission stated.

They noted the 2024-25 Federal Budget included $1.2 billion over five years for its aged care digital systems, and $11.8 million over three years to implement the new Aged Care Act. 

"We believe this level of investment should be reflected in the financial support given to providers to implement a new Act," UnitingCare Australia said in its submission

Burnt out staff could walk away

Peter Williams, CEO of OneCare which provides home care, residential aged care, and retirement living services in Tasmania to 1,000 older Australians, also believes up to 12 months is required to implement the reforms once the rules are released.

"The time required to implement such changes as articulated throughout today [the Hobart Senate Inquiry hearing] is significant.

Peter said he was concerned that if the reforms are "pushed through at a rapid pace" staff will experience "burnout", and some may "walk away from the sector because of the impact".

IT changes will cost millions

Andrew Kinnersly, CEO of Uniting AgeWell which operates 12 residential aged care homes in Victoria, eight in Tasmania, and has a rapidly growing home care operation, providing support to move than 15,000 older Australians over the last 12 months, said the costs of modifying their IT systems alone will be "significant".

"There'll be no change out of $2 million or $3 million for our organisation," he said.


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