Better health and ageing for all Australians

Legislation

New Arrangements for Aged Care

On 4 December 2008, the Aged Care Amendment (2008 Measures No. 2) Act 2008 (the Amending Act) was passed by Federal Parliament.

In this section:

The new arrangements contained in the Amending Act address current inadequacies in the legislation, and enhance protections for residents, including ensuring that any accommodation bonds or like payments paid by frail, older Australians for entry into aged care are further protected under the Accommodation Bond Guarantee Scheme.

In her media release the Minister noted that:

The Aged Care Amendment (2008 Measures No. 2) Act 2008 is part of a package of reforms that also extends police checks to all staff – supervised and unsupervised – working in Australia's 2,830 aged care homes. The package of reforms also includes:

    • Better financial protection by tightening regulations surrounding bonds held by the aged care sector;
    • Extending police checks to cover all those working in aged care, which will come into effect on1 January 2009;
    • Slashing waiting times of Aged Care Assessments by avoiding current duplication – cutting the number of people waiting to be unnecessarily re-assessed by up to 30,000, which comes into effect 1 July 2009;
    • Improved formal notification to the Department of Health and Ageing where residents are reported missing which come into effect 1 January 2009.
    • Expanding the range of people who are "key personnel" to include those pulling the financial strings so there is greater scrutiny and transparency on who is exercising control over an aged care home. This will prevent a provider with a poor quality record re-appearing behind a front entity or a shelf company from avoiding scrutiny;
    • Putting beyond doubt that the primary purpose of "sanctions" is to protect current and future residents and their interests;
    • Changes to the hardship provisions to enable a partial accommodation subsidy for people who are able to pay a small bond or charge;
    • Putting beyond doubt that the arrangements for assets assessment under the Aged Care Act are in line with the Social Security Act and the Veterans Entitlements Act in respect to private trusts and companies; and
    • Allowing the transfer of aged care places that are not yet operational in exceptional circumstances when it is in the best interest of the community in an area of high need.

Where can I get more information about the changes?

A detailed Implementation Guide will be provided to all approved providers to assist with transitioning to the new arrangements.

In addition, Frequently Asked Questions have been developed if you require further information. Or, alternatively, you can phone the Aged Care Information Line on 1800 500 853.
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