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Catholic Health Australia’s Aged Care Blueprint

An Aged Care Policy Blueprint has been released by Catholic Health Australia (CHA), following the Commonwealth Government opening applications for 37,000 new aged care places over the next three years. 

CHA has recommended scrapping regulation capping user charges, and creating new safety nets for those unable to afford care.

CHA chief executive officer, Martin Laverty, said: “Aged care operators are under pressure. Regulation prevents them from charging a consumer the actual cost of providing care. Yet government funding is insufficient to cover operating and capital costs.
 
“The maximum Accommodation Charge a service provider can levy an aged care resident is capped by regulation at $26.88 per day. CHA research shows it can cost on conservative calculations around $55.23 per day to provide accommodation.
 
“With the Commonwealth releasing 37,000 new aged care places over the next three years, there is doubt as to how many will be taken up. Some service providers are just not going to take the risk. Older Australian’s might miss out on the care they need if these doubts are confirmed,” Mr Laverty said.
 
The CHA Aged Care Policy Blueprint builds on the experience of Catholic operators to propose options for policy change including:

* Replacement of the current State and Territory Aged Care Assessment Team program with a new Commonwealth managed and funded system;
* Removal of limitations on consumer fees, and the publication of a daily bed rental in all residential aged care;
* Abolition of the distinction between low and high care, with bonds able to be levied across all aged care residents who have a capacity to pay;
* New safety nets for those unable to meet daily rental fees or bond costs.

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