Aged Care Act 1997
No. 112, 1997
Compilation No. 91
Compilation date: 20 September 2025
Includes amendments: Act No. 45, 2025
About this compilation
This compilation
This is a compilation of the Aged Care Act 1997 that shows the text of the law as amended and in force on 20 September 2025 (the compilation date).
The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.
Uncommenced amendments
The effect of uncommenced amendments is not shown in the text of the compiled law. The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au).
Application, saving and transitional provisions
If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.
Editorial changes
For more information about any editorial changes made in this compilation, see the endnotes.
Presentational changes
The Legislation Act 2003 provides for First Parliamentary Counsel to make presentational changes to a compilation. Presentational changes are applied to give a more consistent look and feel to legislation published on the Register, and enable the user to more easily navigate those documents.
Modifications
If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. Any modifications affecting the law are accessible on the Register.
Self‑repealing provisions
If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.
Contents
Chapter 1—Introduction
Division 1—Preliminary matters
1‑1 Short title
1‑2 Commencement
1‑3 Identifying defined terms
1‑4 Tables of Divisions and Subdivisions do not form part of this Act
1‑5 Application to continuing care recipients
Division 2—Objects
2‑1 The objects of this Act
Division 3—Overview of this Act
3‑1 General
3‑2 Preliminary matters relating to subsidies (Chapter 2)
3‑3 Subsidies
3‑3A Fees and payments
3‑4 Responsibilities of approved providers (Chapter 4)
3‑5 Grants (Chapter 5)
Division 4—Application of this Act
4‑1 Application of this Act
4‑2 Binding the Crown
Chapter 2—Preliminary matters relating to subsidies
Division 5—Introduction
5‑1 What this Chapter is about
5‑2 Which approvals etc. may be relevant
Part 2.1—Approved providers
Division 6—Introduction
6‑1 What this Part is about
Division 7—What is the significance of approval as a provider of aged care?
7‑1 Pre‑conditions to receiving subsidy
7‑2 Payment of subsidy if approval of provider is restricted to certain…
Overview
The Aged Care Act 1997, enacted by the Commonwealth Parliament, aims to address the need for comprehensive and effective funding and regulation of aged care services in Australia. The Act establishes a framework for the provision of subsidies and grants to approved aged care providers to support the delivery of quality care to elderly individuals. It also outlines the responsibilities of these providers and sets out the processes for the classification of care recipients and the allocation of residential care places. The overarching policy objective of the Act is to ensure that aged care services are accessible, affordable, and of high quality, while also promoting the accountability and transparency of aged care providers.
Scope and Application
The Aged Care Act 1997 applies to all states and territories within Australia, except for external territories, with specific provisions made for Norfolk Island, the Territory of Christmas Island, and the Territory of Cocos (Keeling) Islands. The Act governs the provision of financial support through subsidies and grants for aged care services, ensuring the quality and accessibility of aged care for eligible recipients. It applies to approved providers of aged care services and to individuals who require aged care services, with certain exclusions for continuing care recipients, who are regulated under different legislation. The Act outlines the criteria for approval of providers and recipients, the process for allocating places and approving services, and the conditions that approved providers must meet, including notifying the Secretary of changes in circumstances that could affect their suitability to provide care. It also establishes the obligations of providers regarding quality of care, user rights, and financial transparency. Additionally, the Act provides for the establishment of principles and the delegation of powers to various authorities, including the Quality and Safety Commissioner and the Pricing Authority, to ensure effective oversight and administration of aged care services. The scope of the Act extends to the management of overpayments and the protection of personal information, with specific provisions for record-keeping and the use of protected information. The Act binds the Crown and includes enforcement mechanisms, such as civil penalties for non-compliance and the ability to recover overpayments.
Key Provisions
- The Aged Care Act 1997 provides financial support through subsidies and grants to aged care providers and recipients in Australia. The Act includes various operative sections that establish the framework for subsidies, allocations of places, and approvals for both providers and care recipients. For example, Section 7-1 mandates that subsidies can only be paid to approved providers of aged care who have allocated places for the services they provide. Additionally, Sections 9-1A to 9-3B detail the obligations of approved providers, such as notifying the Secretary of changes in home care services, and providing information about key personnel and financial details when requested. These provisions are crucial for ensuring that the aged care services meet quality standards and are appropriately funded.
- The Act imposes several obligations on the parties it governs. Approved providers, for instance, must ensure they are properly approved to provide specific types of aged care services and that they notify relevant authorities of changes in their operational circumstances. For care recipients, the Act requires that they be approved before subsidies can be paid for residential or home care. Furthermore, providers and recipients must adhere to certain quality and safety standards, as outlined in the Aged Care Quality and Safety Commission Act. They are also required to maintain records and provide necessary information to the Secretary or other authorities as stipulated in the Act. These obligations ensure that the aged care system operates efficiently and that the needs of elderly Australians are met effectively.
- The Act includes provisions for offences and penalties for breaches, ensuring compliance with its requirements. For example, if an approved provider fails to notify the Secretary of a change in circumstances that affects their suitability to provide aged care, they can be subject to penalties as outlined in Sections 9-1 to 9-3. Specifically, Sections 9-2A and 9-3 impose strict penalties for failure to notify changes related to key personnel or financial matters, with penalties reaching up to 300 penalty units. Additionally, Sections 95C-1 and 95BA-1 establish civil penalties for incorrect classifications of care recipients and for failing to comply with home care assurance reviews. These provisions are designed to enforce compliance and maintain the integrity of the aged care system.
- Area of Law
- Elder Law
- Consumer Law
- Health Law
- Instrument
- Act
- Concepts
- Definitions & Interpretation
- Offence Provisions
- Licensing & Registration
- Reporting & Disclosure Obligations
- Enforcement Powers
- Compliance Obligations
- Subsidies & Grants