Chapter summaries

Chapter 1 – Introduction to the Act

Chapter 1 explains the ideas and terms used in the Act. This makes sure everyone uses the terms in the same way, and that everyone’s roles and duties are clear. 

Chapter 1 includes:

• the purpose of the law, which are called the objects of the Act  
• the Statement of Rights, which outlines the rights older people are entitled to in the aged care system
• the Statement of Principles, which guides decision-makers and people administering the Act
• information on how registered supporters can help older people make decisions.

Chapter 2 – Entry to the aged care system

Chapter 2 covers: 

• who can access funded aged care services
• how people get approved to access funded aged care services
• how we assess needs and decide on which services suit someone’s needs and preferences
• how we decide priority access to services for people who have urgent needs.

Chapter 3 – Providers and workers

Providers must apply to register with the Aged Care Quality and Safety Commission (the Commission) before they can deliver funded aged care services. Chapter 3 explains how the Commission assesses these applications. It also explains the process for approving residential care homes. 

Chapter 3 outlines the rules and obligations for:

• registered providers, even if they subcontract the delivery of some services
• aged care workers
• people in leadership roles within aged care providers, known as a provider’s responsible persons
• digital platform providers that make websites, apps or systems to facilitate the delivery of funded aged care services.

The Commission can take regulatory action if a provider doesn’t meet their obligations. This may include serious penalties, such as fines or imprisonment.

Chapter 4 – Funding aged care services

Chapter 4 explains how fees and funding for aged care services works. It sets out:

• what the Government will pay, based on a person’s needs and a provider’s fixed costs
• what older people may need to pay
• how means testing works
• how providers must manage payments
• when funding is paid through specialist aged care programs, whether through subsidies or grants.

Chapter 4 also has rules about how registered providers can:

• sign accommodation agreements with older people
• charge for accommodation
• manage refundable accommodation deposits.

Chapter 5 – Governance of the aged care system

Chapter 5 explains who will manage the aged care system and how. This is called governance. 

A range of roles will manage the aged care system:

• the Secretary of the department, called the System Governor – they manage how the aged care system runs
• the Aged Care Quality and Safety Commissioner – they manage provider registration and regulate aged care quality, safety and financial matters
• the Complaints Commissioner – they handle complaints made to the Aged Care Quality and Safety Commission
• the Aged Care Quality and Safety Advisory Council – it oversees the work of the Aged Care Quality and Safety Commission.

The Inspector-General of Aged Care plays a role in independent oversight to help make aged care safer, fairer and more transparent. Their role is established in a different piece of law: the Inspector-General of Aged Care Act 2023.

Chapter 6 – Regulatory mechanisms

The Aged Care Quality and Safety Commissioner, Complaints Commissioner and System Governor have a range of powers to carry out their roles. Chapter 6 explains:

• how they can use these powers
• when the Aged Care Quality and Safety Commissioner can allow an authorised person to enter an approved residential care home without a provider’s consent or a warrant
• their powers for issuing notices and getting information they need to fulfill their roles
• banning orders, which are a way to stop workers and providers who do the wrong thing from delivering funded aged care services.

Chapter 7 – Information management

Chapter 7 includes new rules for managing information in the aged care system. This will help protect people’s privacy and make sure information on registered providers is clear and open.

The chapter includes:

• an updated framework to manage information
• a new definition of protected information
• who can collect, use and share protected information and in what circumstances.

Chapter 7 also includes the laws that protect whistleblowers – people who call out issues. This is to make sure older people, their families and carers, and workers can report information without fear of being punished or treated unfairly. People can make a report if they know or think someone hasn’t followed the law.

Chapter 8 – Miscellaneous

Chapter 8 covers other things that will support the aged care system. It includes:

• how and when the System Governor, Aged Care Quality and Safety Commissioner and Complaints Commissioner can have others act on their behalf
• when the System Governor and the Aged Care Quality and Safety Commissioner can approve forms, charge fees and use computer programs to make specific decisions
• that the Minister for Aged Care and Seniors can make rules about the aged care system.

Chapter 8 allows people to ask for a review of certain decisions. It also explains that the System Governor will report on their work each year and must review accommodation pricing.