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Payment Essentials October 2007

The October 2007 Payment E$$ential$ newsletter designed to keep financial officers within Residential Aged Care Services (RACS) informed of changes to all payment related forms and processes for residential aged care. It has been redesigned and renamed Aged Care Essentials.

You may download this document in PDF format:

Payment Essentials October (PDF 434 KB)

Would you like to see an article on a particular topic?

Email the Editor at Agedcare_essentials@health.gov.au or send a facsimile to (02) 6289 8595.
Past issues can be accessed via our web page at: http://www.health.gov.au/internet/main/publishing.nsf/Content/ageing-rescare-payessdx.htm
Editor

Provisional Allocation of Places More Than Two Years Old

An allocation of new aged care places to an approved provider is called a 'provisional allocation' until the provider is ready to provide care. Section 15-7(1) of the Aged Care Act 1997 (the Act) allows approved providers up to two years to make provisionally allocated places operational. Under certain circumstances (as specified in section 15-7 of the Act) an approved provider can apply to the Secretary of the Department of Health and Ageing (the Department) to extend the period of the provisional allocation. If no extension is granted, the provider will lose the places automatically.

In accordance with a determination made by the Secretary of the Department under subsection 14-6 (1) of the Act, providers holding a provisional allocation of residential aged care places are required to provide quarterly (three monthly) reports to the Department on their progress towards bringing their provisional allocation of places into operation. It also requires providers to state whether they are meeting their milestones, for example, whether they have local council approval or have started construction.

The Department of Health and Ageing is concerned about the number of provisional aged care places where approved providers have not made reasonable progress in making them operational.

If the department believes that an approved provider is not making reasonable progress towards making provisional places operational, section 15-4 of the act allows action to be taken to revoke the allocation.

The Department is aware that there are sometimes local objections to the development of new or expanded aged care homes. However, providers are expected to work closely with the relevant authorities to address any concerns that are raised.
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Information Lines

There are now two information lines available to assist aged care service providers.

Aged Care Information Line 1800 500 853

The Aged Care Information Line provides information to aged care service providers and the general public about fees, charges, publications, programs and procedures for Australian Government funded residential and community care options.

The hours of operation are 8.30am to 5pm Eastern Standard Time Monday to Friday. It is closed on national public holidays.

Medicare Australia Aged Claims 1800 195 206

Medicare Australia has established a single number for Aged Care processing and online claiming enquiries. This provides faster and more streamlined services from Medicare Australia.

Aged Care providers can call one number about all claiming and processing enquiries as well as online claiming information and technical enquiries.

The hours of operation are 8.30am to 5pm Eastern Standard Time Monday to Friday. It is closed on national public holidays.
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Conditional Adjustment Payment(Cap) 2007 Annual Notice has been sent to all Approved Providers of Residential Aged Care Services

All Approved Providers of Residential Aged Care Services receiving the Conditional Adjustment Payment (CAP) have been sent the 'Conditional Adjustment Payment (CAP) 2007 Annual Notice'. The questionnaire in the Annual Notice has to be completed by a key personnel stating that the Approved Provider is compliant for the CAP requirements, and the Annual Notice has to be returned to Forms Administration by 31 October 2007. (This is a month earlier than the return date last year.)

The address for Forms Administration is:

Forms Administration
PO Box 5008
NOWRA DELIVERY CENTRE NSW 2541

If a completed Annual Notice, stating that the Approved Provider is compliant, is not received by Forms Administration by 31 October 2007, the payment of CAP to the Approved Provider will be suspended until a month after the Approved Provider can certify that it is compliant.

If you are an Approved Provider of a Residential Aged Care Service and have not received an Annual Notice, please ring Forms Administration immediately on 02 4447 8711 and request that an Annual Notice be sent to you.
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News from IT IN AGED CARE (ITAC) 2007

There's no doubt that this year's ITAC (IT in Aged Care) conference was a resounding success. Everyone who was there seemed to be doing business, selling software, winning awards or soaking up the collective wisdom delivered by a huge range of national and international speakers.

Not only were there in excess of 40 exhibitors, there were over 40 speakers covering a variety of topics, and more than 400 delegates to mix with and share the latest industry developments. It provided an ideal opportunity for attendees to learn why some are forging ahead with IT upgrades or installations and to understand the benefits of doing so.

The Federal Minister for Ageing, the Hon Christopher Pyne MP, presented the Welcome address to the conference which highlighted the government's involvement in supporting the take-up of technology across the aged care sector. In addressing the conference, Minister Pyne identified the adoption of new technology as a critical area that requires industry and government to work together to continue progress.

The Department's exhibition booth at the conference was well attended providing information about relevant programs and subsidies. Other exhibitors included Cisco Systems, Intel, Medicare, Healthphone and Aged Care Direct, the sponsors of the ITAC Awards.

One of the overseas visitor/speakers was Shannon Lundberg, the Director of Cultural and Technological Integration from Elite Care in Milwaukie, Oregon, USA. Shannon shared her organisation's experience with technology. She said that Elite Care has found the value of technology lies not in the accumulation of data, but in its ability to engage participants in active relationship-based care.

Other speakers included Dr Phillip Shade, the General Manager of Silver Chain in WA, talking about 'Wounds West.' The project centres on the development of world leading SmartPhone technology to assist nurses and others in improving wound care for both residents within care facilities and those living at home, sometimes in the most isolated areas of Western Australia.

Those attending the conference were able to update themselves on topics as diverse as governance, medication management, technology and sustainable building design, improved clinical care from mobile tablets, international experiences from the UK, USA, South Korea and from across the Tasman. There was up to date information presented on remote medical observations and hospital avoidance through smart technology home environments.

ITAC was sponsored by the Department of Health and Ageing as an initiative of the National Aged Care Industry Council, incorporating the Aged Care Association Australia (ACAA) and Aged and Community Services Australia (ACSA).

For further information, including copies of the ITAC presentations, visit the ACAA website at: http://www.agedcareassociation.com.au
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The 2007 National Aged Care Workforce Census and Survey is coming

In 2003 the Department of Health and Ageing commissioned the National Institute of Labour Studies to conduct a National Census and Survey of the Residential Aged Care Workforce. The information gained from that research has been invaluable in informing decisions about workforce planning and addressing workforce issues. The Department is now building on the original research and has again commissioned the National Institute of Labour Studies to conduct the 2007 National Aged Care Workforce Census and Survey.

The 2007 National Aged Care Census and Survey which is funded by the Department of Health and Ageing will be extended to cover both residential aged care and the community aged care workforces. In addition, the Australian and State and Territory Governments have supported the inclusion of HACC services in the and Survey. This extended scope will help to develop a more complete picture of the aged care workforce.

This research is actively supported by Aged and Community Services Australia (ACSA), Aged Care Association Australia (ACAA), and the Australian Nursing Federation (ANF) who in conjunction with the Australian Government request that you respond to the 2007 National Aged Care Workforce Census and Survey.

A strong response rate will mean more reliable information will be available and will help all aged care providers in the future planning of their businesses. It is vital the sector participates in the census and survey. The results will be of enormous benefit to the aged sector in workforce planning and ensuring viability into the future.

The 2007 Census and Survey will build on the results of the 2003 Census and Survey of the residential workforce which provided the Australian Government and the aged care sector with a comprehensive profile of workers who care for frail older people.

The 2007 National Aged Care Workforce Census and Survey will run from 1 October 2007 to 31 October 2007.

Enquiries relating to completion of the Census and Survey should be directed to 1800 801 609.

Special requirements for residential providers

Participation in the 2007 National Aged Care Workforce Census and Survey is mandatory if Approved Providers want to receive the Conditional Adjustment Payment. The Department wrote to all Approved Providers concerning the legislative requirements for the Conditional Adjustment Payment on 24 August 2007.

The 2007 National Aged Care Workforce Census and Survey will be sent directly to all Residential Aged Care Services (RACS) receiving the Conditional Adjustment Payment (CAP). The Census will not be sent to the address of the Approved Providers if the address of the Approved Provider and the Residential Aged Care Service differ.

Therefore, Approved Providers should be aware that in many cases they will not directly observe the arrival of the Census package at the Residential Aged Care Services, and take steps accordingly.

The package received by the Residential Aged Care Services will include a Workforce Census return titled the '(Census Return) Residential Facility Questionnaire', a Census Declaration, and a set of Guidelines.

It is a requirement of the Residential Care Subsidy Principles 1997 that for CAP to continue to be paid to that RACS, the RACS must complete the Census to the satisfaction of the Department and return it to the address provided by the due date. The return date, shown on top of the Census Return, is 31 October 2007. The return address is that of AC Nielsen Pty Ltd, who have been contracted to process the Census results. The address of AC Nielsen is:

AC Nielsen Pty Ltd
PO Box 130
NORTH RYDE NSW 1670

A reply paid addressed envelope will be supplied for the Census Return.

For CAP to be continue to be paid to the RACS, it is also a requirement that the Declaration, stating that the has been completed, be completed by a Key Personnel of the Approved Provider at the RACS, and returned, not to AC Nielsen, but to Forms Administration at the address given on the form. The address of Forms Administration is:

Forms Administration
PO Box 5008
NOWRA DELIVERY CENTRE NSW 2541

A reply paid addressed envelope will be supplied for the Declaration.

As the return date is the same as that of the Annual Notice, all Providers are advised to make sure that the complete and return both the Return and the Declaration at an early date.
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Care Essentials

Care Essentials – for clinicians in residential aged care. By now you should have received the latest edition of Care Essentials. This edition is also available on the Health and Ageing website: http://www.health.gov.au/agedcareclinicians

New Entrants to Residential Aged Care Fees and Charges Flow Chart – (permanent entry*)

*different arrangements apply for respite entry residents who:

• cannot be asked to pay an accommodation payment or income-tested fees
• can be asked to pay a basic daily care fee up to the 'pensioner' rate (currently $31.52 a day), regardless of whether they are pensioners or not

+

OTHER FEES may apply including:

• An Extra Service Daily Amount is payable by residents who occupy a place on an Extra Service basis (can differ from home to home and also for different rooms within homes)
• Remote area amount of up to $1.06 a day (for aged care homes in designated remote areas eg. Northern Territory)
• Additional amounts for certain residents who have received compensation awards (eg. through workers compensation, third party, common law)
• Additional daily amounts in circumstances where the resident uses more than 52 days of social leave away from the aged care home in a financial year
• Additional charges agreed between resident and provider (eg for newspapers, hairdressing)
• Residents on high dependency care leave can be asked to pay basic daily care fees at both aged care homes.

OTHER FEE REDUCTIONS may apply including:

• A reduced basic daily care fee for residents under the age of 21 years
• Reduced fees for residents who have been granted financial hardship assistance

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Update on the Community Visitors Scheme

How you can assist the Community Visitors Scheme volunteers and Co-ordinators

The Community Visitors Scheme (CVS) has been in operation for over fifteen years now and continues to provide a valuable community service to the more socially and culturally isolated residents of aged care homes. Many residents have benefited from the companionship offered by a community visitor. The enrichment to the lives of lonely residents through these relationships should not be underestimated.

CVS auspices have, over the years the program has been in operation, proved to be a very committed group of people who work tirelessly to recruit, train, and support visitors to be matched with lonely residents.

When a resident who has a community visitor is hospitalised or passes away

As you can appreciate, many visitors form a special bond with their resident – indeed, for many residents the community visitor may be their only link to the community – and it can be distressing for the visitor to arrive at the home for a visit and be told that the resident has passed away.

Homes are encouraged, where possible, to inform the Co-ordinator at the relevant CVS auspice when one of your residents with a community visitor passes away or is taken seriously ill (as the visitor may wish to visit the resident at the hospital). This would enable the Co-ordinator to notify the visitor and support them through the ensuing processes.

Approved Providers have certain responsibilities under section 62-1 of the Aged Care Act 1997 in relation to the protection of personal information, so you need to exercise caution when considering this action.

If you have residents who receive CVS services, it would be prudent to discuss with them the level of information they wish you to disclose to the CVS visitor and seek their consent at an early stage.

These actions will assist in improving this wonderful Scheme and supporting its volunteers who give of their time to enrich the lives of the lonely and isolated in our aged care homes.

Your assistance in this matter is much appreciated.
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Extra Service Status for Residential Aged Care Homes Invitation to Apply

The Secretary of the Department of Health and Ageing invites approved providers of residential aged care to apply for Extra Service status in 2008.

Closing Date: Friday 29 February 2008

Applications will be accepted between: 15 February 2008 and 29 February 2008

A further opportunity to apply for Extra Service status will be held in conjunction with the 2008 Aged Care Approvals Round (ACAR) and the same closing dates will apply as apply for residential aged care places. In that applications' process both providers with places and providers seeking places in the ACAR are invited to apply for Extra Service status.

All applications will be assessed against the criteria set out in the Aged Care Act 1997 and the Extra Service Principles 1997. Note that in some regions, applications maybe assessed competitively.

All applicants must complete the approved application form. The application form and guidelines are available on the Department's internet site at: http://www.health.gov.au/internet/main/publishing.nsf/Content/ageing-rescare-ess-essprov.htm

It will be to an applicant's advantage to send in sufficient text and material evidence to support the claims made in the application. If the documentation cannot be downloaded from the internet, please contact the Aged Care Information Line on 1800 500 853 to obtain a copy. The Information Line is open from 8.30am to 5pm Eastern Standard time (Monday to Friday).

The Minister for Ageing has determined under section 32-7 of the Aged Care Act 1997 that the maximum proportion of residential care places allocated in each State and Territory that may be Extra Service places is 15 per cent.

Two signed application forms with one set of clearly labelled attachments are to be sent to:

Postal Address
Extra Service Applications
Residential Program Management Branch
Department of Health and Ageing
MDP 75
GPO Box 9848
CANBERRA ACT 2601

OR

Street Address
Extra Service Applications
Residential Program Management Branch
Department of Health and Ageing
MDP 75
Ground Floor Reception
Alexander Building
Furzer Street
WODEN ACT 2606

Please submit the Benchmark List section of the application form for approval of Extra Service status in electronic format as well as in hard copy to facilitate the publication of successful Extra Service packages on the Departmental website.

When sending the Benchmark List, the List should be marked with the name of the facility and its location. Commercial-in-confidence information which appears elsewhere in the application form should not be sent to the Department in electronic format. Electronic copies of the Benchmark List are to be sent to the following e-mail address: ESS Applications and Inquiries@health.gov.au

Should providers approved for Extra Service status, who were not approved under the Extra Service Benchmarks, wish to have their list of approved Extra Services published on the website, they can also submit their information to the above e-mail address.

Information for Potential Extra Services Status Applicants South Coast Planning Region of Queensland

Following the competitive assessment processes applied to applicants for Extra Service status in the South Coast Aged Care Planning Region of Queensland in the April 2007 Round, this region is now considered to be well supplied with Extra Service places. Applicants considering future applications for Extra Service approvals in the South Coast region can expect to have the supply of Extra Service in this region taken into account in the assessment process. The Department of Health and Ageing will keep the supply of Extra Service places in this planning region under review.
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Aged Care Client Record 3020 (0705)

A new Aged Care Client Record (ACCR) has been developed in conjunction with the implementation of the eACCR. A 'proof of concept' demonstration commenced in the Blacktown ACAT (NSW) on 11 September 2007.

The purpose of the introduction of the eACCR is to enable ACATs to transmit the ACCR to Medicare Australia electronically.

The revised ACCR (3020 (0705)) is being issued to ACATs nationally when they restock their supplies of the ACCR.

Changes made to the ACCR include the moving of the Part six (6) 'Statement of Application' to the front of the ACCR and retitled the 'Application Form'. The Application Form now contains the 'Use and disclosure of client's personal information' statement previously located on the front cover of the ACCR. Part 6 of the revised ACCR now includes the 'Approval as a care recipient', previously contained in Part 7.

In cases of Emergency Care, Providers must have lodged the completed 'Application Form' with the ACAT within five (5) business days of the care commencing. An Extension of the five business days can be obtained from the Secretary of the Department of Health and Ageing, but only in exceptional circumstances.
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Medicare Australia's Aged Care Online Claiming Update

Aged Care Online Claiming has reached a significant milestone!

On Tuesday 14 August 2007 Medicare Australia received its first residential subsidy finalise claim event via the B2B channel. The claim was made by Assisi Centre Aged Care in Melbourne, using Management Advantage software and support. There are currently eight software vendors who have Medicare Australia tested software products, four of which have products that allow claims to be lodged online.

Along with online claiming, Medicare Australia's focus over the coming months, is to develop a web based training environment for capturing ACFI data prior to production release. This will deliver ACFI online functionality within a dedicated training environment. This training environment will allow aged care providers and their users to:

• familiarise themselves with the Aged Care Online Claiming website
• use the available functions and navigation associated with the ACFI registration module; and
• allow users to test, train and practice ACFI data entry through web form.

At this stage we anticipate the training environment will be available for general access from the middle of November 2007. The implementation date is still to be confirmed and dependant upon delivery of specialised hardware. Further details on the training environment and access there to, will be sent out at a later date.

Aged online solution for eACCR

Medicare Australia are working closely with the Department of Health and Ageing and the NSW Evaluation Unit (Sydney West Area Health Service) to provide Aged Care Assessment Teams with the ability to electronically capture, lodge and correct Aged Care Client Record (ACCR) information with Medicare Australia for processing within the aged care payment systems.

The NSW Evaluation Unit has now completed their integration testing with Medicare Australia and was issued with their Notice of Integration on 27 August 2007. The Blacktown ACAT team will be the first to have the eACCR software integrated into their systems for the initial proof of concept phase. The proof of concept phase will be used to resolve any technical or procedural issues that may exist. The Victorian and West Australian Evaluation Units will be conducting their integration testing shortly.

Once the eACCR project has been implemented, existing users of the Online Claiming system, including Residential and Community care providers as well as ACATs, will be able to access care recipient information including ACCRs lodged electronically via the website without the need for PKI certificates.
ACAT users will also be able to search and monitor their transmissions lodged electronically.

We will continue to provide you with updates during the course of the project.
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Schedule Of Fees And Charges: From 20 September 2007

Description	Old Rates (to 19 Sept 2007)	New Rates (from 20 Sept 2007)
Maximum Basic Daily Care Fee#:
- all respite residents (pensioners and non-pensioners)	up to $30.77	up to $31.52
- other residents who receive a full or part means-tested Australian pension ##	up to $30.77	up to $31.52
- other non-pensioner residents ###	up to $38.35	up to $39.28
Residents who were receiving care in a hostel on 30 September 1997 and who are NOT currently at a home that was a nursing home before 1 October 1997.
- residents receiving full or part means-tested Australian pension##	up to $29.97	up to $30.72
- non-pensioners###	up to $37.55	up to $38.48
Residents who are currently receiving care in the same 'hostel' where they were living on 30 September 1997 and who are paying 'grandparented' variable fees	(see Residential Care Manual section 7.3.3)
Maximum Daily Income Tested Fee:
- residents receiving a full means-tested Australian pension	N/A	N/A
- residents receiving a part means-tested Australian pension
may be asked to pay	up to $23.70	up to $24.26
if they have private income per year of: (single)	$37,939	$38,755
(married - combined)	$75,046	$76,677
- non-pensioner residents
may be asked to pay	up to $53.96	up to $55.28
if they have private income per year of: (single)	$81,998	$83,920
(married - combined)	$163,164	$167,007
Pensioner allowable limit for accommodation bonds:
The non-pensioner rate of basic daily care fee (above) may apply for pensioner residents whose accommodation bond is over this amount	$132,000	$135,000
Minimum assets a person must be left with when calculating the maximum Accommodation Bond	$33,000	$33,500
Maximum Accommodation Charge for new entrants to your home* 20 September 2007 - 30 June 2008
- for concessional residents and charge exempt residents	N/A	N/A
- for residents who first entered residential aged care from 1/7/2004
assisted residents, if their assets at entry are at least $51,823	$10.04	$10.04
assisted residents, if their assets at entry are less than $51,823	calculated amount**	calculated amount**
other residents, if their assets at entry are at least $65,529	$17.55	$17.55
other residents, if their assets at entry are less than $65,529	calculated amount**	calculated amount**
- for residents who first entered residential aged care before 1/7/2004****
assisted residents, if their assets at entry are at least $47,498	$7.67	$7.67
assisted residents, if their assets at entry are less than $47,498	calculated amount**	calculated amount**
other residents, if assets at entry are at least $61,441	$15.31	$15.31
other residents, if assets at entry are less than $61,441	calculated amount**	calculated amount**
Asset cutoff level
- for concessional *** resident status	$33,000	$33,500
- for assisted *** resident status	$52,500	$54,000
Maximum permissible interest rate for Accommodation Payment agreements entered into
- Accommodation Bond	From 1 July 2007 to 30 September 2007	From 1 October 2007 to 31 December 2007
	10.37%	10.75%
- Accommodation Charge	From 20 March 2007	From 1 July 2007
	7%	7%
Pensioner Supplement (per day)	From 1 July 2006 to 30 June 2007	From 1 July 2007 to 30 June 2008
	$6.32	$6.45
Age pension per fortnight (maximum basic rate)	$506.80	$519.20
Age pension per fortnight (maximum basic rate + GST supplement)	$525.10	$537.70

^# Residents in designated remote areas may be asked to pay an additional $1.06 per day (See section 7.3.9 of the Residential Care Manual)
^## 'Pensioner' maximum rate also applies to blind pensioners & non-pensioner residents who have a dependent child
^### 'Non-pensioner' maximum rate also may apply for pensioners who agree to pay a bond above the 'pensioner allowable limit'
* Rate remains unchanged for resident's stay in the one home, regardless of annual indexation of the max. rate for new entrants
** Margin of assets over $33,500 divided by 1,825 (See section 8.3.3.4 of Residential Care Manual).
*** See Residential Care Manual for additional criteria for concessional (6.3.5.1.2) and assisted (6.3.5.1.4) status.
**** Accommodation charge limited to a maximum period of five years and is fixed at date of entry.
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