EXPLANATORY STATEMENT
Issued by the authority of the Minister for Mental Health and Ageing
Aged Care Act 1997
Aged Care (Flexible Care Subsidy Amount - Transition Care) Determination 2013 (No. 2)
The Aged Care Act 1997 (the Act) provides for the regulation and funding of aged care services. Persons who are approved under the Act to provide flexible aged care services can be eligible to receive flexible care subsidy payments in respect of the care they provide to approved care recipients.
Transition care is a form of flexible care in respect of which flexible care subsidy is payable. Transition care provides older people with therapeutic care and support to improve their independence and confidence after a hospital stay (for a period of up to 12 weeks, which may be extended up to a further six weeks). Transition care may be provided in a residential setting or in a person’s own home.
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.
The purpose of the Aged Care (Flexible Care Subsidy Amount - Transition Care) Determination 2013 (No. 2) (the Determination) is to specify the amount of flexible care subsidy that is payable for flexible care in the form of transition care for each day that an approved provider’s flexible care place is occupied by a care recipient who is approved to receive, and is provided with transition care. This Determination also revokes Aged Care (Amount of Flexible Care Subsidy - Transition Care) Determination 2013 (No. 1).
As part of the Living Longer Living Better aged care reforms, approved providers of transition care will receive an amount of funding in addition to the basic subsidy amount. This additional amount, the dementia and veterans’ supplement equivalent amount, provides additional financial assistance in recognition that transition care providers may provide care to veterans with an accepted mental health condition and others with higher care needs associated with dementia or other mental health conditions.
The Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Consultation
The Living Longer Living Better aged care reform package was developed in close consultation with the aged care sector, including consumers, industry and professional bodies.
Consultation on the proposed changes to the Act, and to delegated legislation, commenced in November 2012, with the public release of a paper providing an overview of the proposed legislative changes.
A video presentation detailing the changes was also made available through the Living Longer Living Better website, to assist with public understanding of the proposed changes.
During November and December 2012, the Department of Health and Ageing (the Department) also held briefing sessions in Melbourne, Sydney and Canberra on the proposed changes.
Stakeholders and the general community were able to provide written comments during a four-week period (21 November – 21 December 2012). The comments were made publicly available on the Living Longer Living Better website, unless the author requested otherwise. The Department received 54 submissions from members of the public, peak bodies and approved providers in response to the published overview of legislative amendments. Submissions received via the consultation on the overview of the proposed legislative changes were used to inform drafting of the amending bills and the delegated legislation.
In March and April 2013, the Department held industry briefing sessions across Australia to provide information and to explain, in detail, the proposed legislative changes included in the package of Bills introduced into Parliament on 13 March 2013. The briefing sessions also outlined changes to delegated legislation. For those who were unable to attend the briefings a copy of the presentation, supporting handouts, a detailed Questions and Answers document and an information video were made available on the Living Longer Living Better website.
Commencement
This Determination commences on 1 August 2013.
ATTACHMENT
Details of the Aged Care (Flexible Care Subsidy Amount - Transition Care) Determination 2013 (No. 2)
Section 1 - Name of determination
This section states that the name of the determination is the Aged Care (Flexible Care Subsidy Amount - Transition Care) Determination 2013 (No. 2).
Section 2 - Commencement
This section states that this determination commences on 1 August 2013.
Section 3 - Authority
This section states that this determination is made under the Aged Care Act 1997.
Section 4 - Repeal
This section repeals the previous determination Aged Care (Amount of Flexible Care Subsidy – Transition Care) Determination 2013 (No. 1).
Section 5 - Amount of flexible care subsidy for transition care
This section states how the amount of flexible care subsidy payable to an approved provider for transition care in respect of a day for a care recipient receiving flexible care in the form of transition care is determined. In summary, the flexible care subsidy comprises the basic subsidy amount payable in respect of a day (as described in section 6) and the dementia and veterans’ supplement equivalent amount (as described in section 7).
Section 6 - Basic subsidy amount
This section specifies the basic subsidy amount payable in respect of a day for a care recipient. The basic subsidy amount is paid at a rate of $187.30 per day.
Section 7 - Dementia and veterans’ supplement equivalent amount
This section specifies the ‘dementia and veterans’ supplement equivalent amount’ payable in respect of a day for a care recipient. The amount payable is $3.68 per day.
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Aged Care (Flexible Care Subsidy Amount - Transition Care) Determination 2013 (No. 2)
This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of Legislative Instrument
The purpose of the Aged Care (Flexible Care Subsidy Amount—Transition Care) Determination 2013 (No. 2) (the Legislative Instrument) is to specify the amount of flexible care subsidy that is payable to an approved provider to provide flexible care in the form of transition care. The amount payable includes an amount of basic subsidy and an amount that is the dementia and veterans’ supplement equivalent amount. Transition care provides older people with therapeutic care and support to improve their independence and confidence after a hospital stay.
Human Rights Implications
This Legislative Instrument promotes the human right to health contained in article 12 of the International Covenant on Economic Social and Cultural Rights. The Legislative Instrument engages the right of everyone to the enjoyment of the highest attainable standard of physical and mental health by supplementing the basic subsidy amount payable to approved providers of transition care with an additional amount, the dementia and veterans’ supplement equivalent amount, in recognition of the costs involved in caring for a care recipient with dementia or a mental illness. This helps to ensure that the standard of care and services provided to recipients of transition care services is maintained.
Conclusion
This Legislative Instrument is compatible with human rights as it promotes the human right to health.
Senator the Hon Jacinta Collins
Minister for Mental Health and Ageing