Aged Care (Amount of flexible care subsidy - Extended Aged Care at Home) Determination 2009 (No. 1)

Administered by Department of Health, Disability and Ageing

Legislation au F2009L02384 Not in force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

 

Issued under the authority of the Minister for Ageing

 

Aged Care Act 1997

 

Determination under Subsection 52-1(1)

Aged Care (Amount of flexible care subsidy – Extended Aged Care at Home) Determination 2009 (No. 1)

 

Extended Aged Care at Home (EACH) is a flexible care program in respect of which flexible care subsidy is payable.  EACH provides nursing and personal care services to an aged care recipient in the care recipient’s home where the care recipient would otherwise be eligible for high level residential care.

 

Subsection 52-1(1) of the Aged Care Act 1997 (the Act) provides that the amount of flexible care subsidy that is payable in respect of a day is the amount determined by the Minister by legislative instrument; or worked out in accordance with a method determined by the Minister by legislative instrument.

 

In accordance with paragraph 52-1(1)(b) of the Act, the Determination under subsection 52-1(1) of the amount of flexible care subsidy for flexible care provided in the form of Extended Aged Care at Home (the Determination) specifies the method for working out the amount of flexible care subsidy payable under section 51-1 of the Act for a day in respect of an EACH care recipient.

 

The Determination applies from 1 July 2009 and, from that date, revokes the Determination under section 52-1 of the amount of flexible care subsidy for flexible care provided in the form of Extended Aged Care at Home (ACA Ch. 3 No. 19/2008).

 

Clause 5 sets out the amount of flexible care subsidy payable in respect of a day for a care recipient receiving flexible care in the form of Extended Aged Care at Home (EACH).

 

Subclause (a) of the Determination states that the base amount of flexible care subsidy payable for a day in respect of an EACH care recipient is $118.37

 

(b) and (c) of the Determination require an EACH care recipient to be treated as if he or she were a residential care recipient for the purposes of working out the amount of flexible care subsidy payable for a day in respect of the EACH care recipient. 

 

(b) and (c) of the Determination provide that if the oxygen supplement payable under section 44-13 and/or the enteral feeding supplement payable under section 44-14 would have been payable in respect of the EACH care recipient if he or she was receiving residential care, an amount equivalent to each applicable supplement is added to the amount calculated under (a). 

 

(d) provides for an additional daily amount of flexible care subsidy to be paid to an approved provider who provides EACH to a care recipient in rural and remote location, provided that location has an Accessibility/Remoteness Index of Australia (ARIA) score of 3.52 or more.

 

Under the ARIA, each suburb and town in Australia is allocated an ARIA score based on its accessibility and remoteness. ARIA scores for all Australian locations are contained in the document entitled Viability Funding — ARIA scores for locations as at 30 July 1999, published by the Commonwealth Department of Health and Ageing.  The Department will verify the location of a care recipient by reference to the postcode of the suburb or town in which the care recipient resides.

 

The more remote the EACH care recipient’s residential location, the higher the ARIA score for that location and the higher the amount of the additional flexible care subsidy payable to the approved provider in respect of that care recipient.  This approach reflects the higher costs involved in operating EACH care services in rural and remote areas, including the higher costs associated with attracting and retaining staff. 

 

If the ARIA score for an EACH care recipient’s residential location is less than 3.52 no additional daily amount of flexible care subsidy is payable in respect of the EACH care recipient.  However, where the ARIA score for an EACH care recipient’s residential location is 3.52 or more, the table in (d) of the Determination sets out the additional daily amount that is payable in respect of that care recipient. 

 

Approved providers who are eligible to receive an additional amount of flexible care subsidy in respect of an EACH care recipient will receive the additional amount of subsidy through Medicare Australia’s payment systems.

 

The amount of flexible care subsidy payable in respect of EACH is indexed on 1 July each year.  As part of this process, the additional amount of flexible care subsidy payable in respect of an EACH care recipient has also been indexed.

 

Consultation

 

As the indexation of the subsidy uses well established formula based on the Consumer Price Index and the Wage Cost Index 9, and is in accordance with policy upon which extensive consultation was undertaken, no specific consultation was undertaken with respect to this instrument.

 

Information about the increase in the amount of the subsidy will be disseminated via print and electronic media to approved providers.

 

 

Overview

The Aged Care (Amount of Flexible Care Subsidy – Extended Aged Care at Home) Determination 2009 (No. 1) was enacted under subsection 52-1(1) of the Aged Care Act 1997 by the Minister for Ageing. The primary purpose of this legislation is to determine the amount of flexible care subsidy payable for Extended Aged Care at Home (EACH) services, ensuring that the care provided in the recipient's home is comparable to the care they would receive in a residential setting. The Determination specifies the methodology for calculating the subsidy, including a base amount and additional supplements for oxygen and enteral feeding, and further increases the subsidy for care provided in more remote locations based on the Accessibility/Remoteness Index of Australia (ARIA) score. The policy objective is to provide consistent and equitable care funding, recognising the additional costs associated with delivering aged care services in rural and remote areas.

Scope and Application

The Aged Care (Amount of Flexible Care Subsidy – Extended Aged Care at Home) Determination 2009 applies to care recipients who are eligible for extended aged care at home (EACH) under the Aged Care Act 1997, and to the approved providers delivering these care services. This legislation is concerned with the financial subsidy available to care recipients and their providers for services rendered under the EACH program, which offers nursing and personal care services to elderly individuals in their own homes, where they would otherwise be eligible for high-level residential care. The Act operates on a national level within Australia, as it is a Commonwealth instrument. The Determination sets out the method for calculating the amount of flexible care subsidy payable per day for each EACH care recipient, taking into account factors such as the base amount, applicable supplements for oxygen and enteral feeding, and additional amounts for care recipients in rural and remote locations with an Accessibility/Remoteness Index of Australia (ARIA) score of 3.52 or higher. The Determination also stipulates the indexation of the subsidy amount on 1 July each year. There are no explicit exclusions or thresholds mentioned in the text, but the applicability of the additional daily amount is contingent on the ARIA score of the care recipient’s residential location. The application of this Act may be extended or restricted through subordinate instruments, although specific details are not provided in the text.

Key Provisions

The Aged Care (Amount of Flexible Care Subsidy – Extended Aged Care at Home) Determination 2009 (No. 1) (the Determination) sets out the specific amount of the flexible care subsidy payable for a day in respect of a care recipient receiving extended aged care at home (EACH) (sections 5(a)-(d)). The base amount of the subsidy is $118.37 per day for each EACH care recipient (section 5(a)). For care recipients in more remote areas, an additional amount is payable based on their Accessibility/Remoteness Index of Australia (ARIA) score (section 5(d)). If the ARIA score for the care recipient’s location is 3.52 or more, an additional amount is added to the base amount, reflecting the higher costs of providing care in rural and remote areas (section 5(d)). The amount of the additional subsidy is determined by the ARIA score and is listed in the table in section 5(d) of the Determination. The Act imposes certain obligations on approved providers of EACH services. These providers must comply with the requirements of the Determination when calculating the amount of the flexible care subsidy they are entitled to receive. This includes correctly applying the base amount and any additional amounts based on the ARIA score of the care recipient’s location (section 5(a)-(d)). Approved providers must also ensure that the additional amounts are received through Medicare Australia’s payment systems (section 5(d)). Failure to comply with these obligations may result in the provider not receiving the correct amount of subsidy or facing other administrative consequences. The Determination does not explicitly outline specific offences or penalties for breaches of its provisions. However, non-compliance with the requirements of the Aged Care Act 1997, including the provisions of the Determination, could potentially lead to enforcement actions by the Department of Health or legal proceedings. The penalties for breaches of the Aged Care Act 1997 can include fines and, in serious cases, criminal charges. The specific penalties would depend on the nature and severity of the breach, and would be determined in accordance with the provisions of the Aged Care Act 1997. It is important for approved providers to adhere to the requirements of the Determination to avoid any potential consequences.

Legal classification tags

Area of Law
Aged Care Law
Instrument
Statutory Instrument
Concepts
Definitions & Interpretation
Compliance Obligations
Reporting & Disclosure Obligations
Regulatory Standards

Interactions

Authorises

All Versions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.