Councils seek more support for Aged Care Act transition

Some councils are seeking a two-year transition plan to help them implement the new Aged Care Act that’s expected to be presented to Parliament in the coming months before coming into effect in mid-2025. 

As reported by Government News, Victoria’s City of Kingston moved that the National General Assembly of the Australian Local Government Association (ALGA) calls on Government to “work with aged care providers to develop a 24+ month transition plan that provides a staged and structured implementation of the new Aged Care Act.”

The City of Kingston is Victoria’s largest provider of council aged care services. Among their leading concerns is the lack of certainty over the legislation and how councils can adapt quickly while working through new complexities. 

A Commonwealth Home Support Programme (CHSP) and Home Care Package (HCP) provider, the City of Kingston will also deal with the Support at Home transition.  

Their motion noted the important role councils play in providing aged care and positive ageing services to the community. Examples include personal care, domestic care, meal preparation, assisted shopping, transport and carer support/in-home respite services. 

They said these services face significant change under the new Aged Care Act and residents will be at risk if there isn’t a smooth transition. 

“Despite the commonly used descriptors like ‘entry level’ or ‘basic support’, the reality is these services play a role in supporting the most vulnerable and marginalised people in our communities,” Kingston said.

Numerous councils have already departed from the aged care sector due to Support at Home’s new funding model. Under the incoming changes, funds they once received directly will instead go to service users. 

The City of Kingston also noted how the single assessment system has created change. The new Integrated Assessment Tool (IAT) is the first stage of the single assessment system to be introduced with three companies to oversee the assessment process. They can no longer directly assess their own clients.

Complex, confusing fees

Heading north to New South Wales’ MidCoast Council, their major gripes with the current aged care system are complex fees and a difficult assessment process. Located just north of Newcastle, over half of their resident population is 55 or older.

“It says anyone entering aged care is faced with a complex system of assessment and fees including the widespread imposition of non-regulated payments to cover costs such as choice of menu, pay TV, additional fruit, a daily newspaper, a larger bed and even a better pillow,” Government News reported. 

“Residents are also faced with regulated base fees, additional means tested fees, additional service fees and need to navigate a choice between a means tested accommodation deposit (RAD) or a daily accommodation payment.

“In many cases the cost of care ends of exceeding the single age pension and while the fees are intended to increased costs faced by providers.”

The Council added this is an unsustainable model for aged care residents with limited means. 

Midcoast Council had already announced its departure from aged care and disability support in February. 

“The decision is not a reflection of a lack of effort or capability on the part of MidCoast Assist staff,” Director of Liveable Communities, Paul De Szell, said. 

“We are facing uncertainty in funding models and arrangements for aged care and disability services and we know continued reform is expected.”