CHSP Provider Community of Practice Hub

The Aged Care Act is changing

The following is based on information provided by Mel Metz, the Assistant Secretary of the Legislative Reform Branch at the Reforming in-home aged care Webinar on 31 August 2022.

Why is a new Aged Care Act being developed?

• The Royal Commission recommended a new Act be developed (Recommendation 1)
• The extent of structural reform necessitates a new Act and a new regulatory model
• A new Act provides the foundation for fundamental change to the aged care system - formalising access for older Australians to an aged care system focused on their individual and diverse needs
• A new Act places older Australians at the heart of the new system - existing legislation is structured around providers and how to fund them, rather than people receiving care

What does the new Act replace?

• The current aged care legislation, including the Aged Care Act 1997 and the Aged Care Quality and Safety Commission Act 2018. New subordinate legislation will also need to be drafted

What will the new Act cover?

The new Act will:

• Outline the rights of older Australians who are seeking, or accessing aged care services
• Provide a single system entry point, with clear eligibility requirements
• Incorporate a fair, culturally-safe single assessment framework
• Support delivery of a range of aged care services, including newly designed in-home care services
• Establish a new system oversight and accountability arrangements
• Introduce a new proportionate risk-based regulatory model designed to increase provide accountability and encourage delivery of high quality and safe aged care services, and strengthen enforcement powers for the regulator

What are its limitations?

• The new Act will be an important vehicle for a reformed aged care system and to influence cultural change - but not everything will be legislated, and process and system changes will also be important
• Not all reforms will commence with the new Act and some arrangements will take time to mature

What are the current legislative amendments that have been put to Parliament?

• ACOLA (Royal Commission Response) Act 2022
  • Introduced to Parliament on 27 July 2022, passed on 2 August and received Royal Assent on 5 August.
  • Responds to 17 Royal Commission recommendations
  • Delivers important reforms, including AN-ACC for residential aged care facilities, Code of Conduct and banning orders, and the extension of Serious Incident Response Scheme (SIRS) to in-home care
    • SIRS is expanding into in-home care on 1 December. For information on SIRS click here (note, this information relates to RACFs though this will provide you with an understanding of what is coming and what you can prepare for. The Commission is holding some workshops on SIRS and other regulatory requirements in September and the coming months. Please see the Community of Practice calendar and the Key Dates document in the Resources Available section for information. CHSP Providers can start preparing now for the 1 December 2022 commencement date.
• ACA (Implementing Care Reform) Bill 2022
  • This Bill was introduced to Parliament on 27 July 2022 and is currently before the House of Representatives
  • It delivers on three of the Government's election commitments and responds to two election commitments

What is happening next with Legislative Reform?

• Work is underway, with engagement processes ramping up with a view to introducing the Bill for a new Aged Care Act in 2023.
• The exact timing will be a matter for the Government, and dependent on policy decisions being made and parliamentary passage.
• The process will look like this:
  • Drafting the Bill - Engaging with peaks through the Councils on drafting - objects and purpose, and how to translate policy intent into the Bill. The Department will engage with peaks through the Council of Elders and National Aged Care Advisory Council
  • Public Consultation - Engagement with stakeholders and public on the Exposure Draft of the Bill. The Department will consult with the public and peaks on the Exposure Draft of Subordinate Legislation alongside the Bill
  • Agreement of Government - Engage and agree across Government - Finalise the Bill for the new Act and agree across Government
  • Bill introduced to Parliament
  • Delivery - Introduction, passage, transition and commencement
  • Bill passes, and transition begins
  • New Act commences

COTA Queensland will keep you up-to-date with information as it becomes available. To contact the Department of Health and Aged Care regarding Aged Care Legislative Reform - email AgedCareLegislativeReform@health.gov.au