Minister reports good news on ACFI aged care funding changes
The Minister for Ageing Justine Elliot has reported that the Federal Government’s new aged care funding model is delivering better care as well as reducing red tape.
The new funding model – known as the Aged Care Funding Instrument (ACFI) – replaced the Resident Classification Scheme on 20 March this year.
In addition, several providers, including large commercial and not-for-profit mission-based providers, have confirmed that on average, their preliminary overall returns under the ACFI have been higher than under the pre 20 March funding model.
This is in line with the intent of the new arrangements which was to provide increased funding for residents with the greatest care needs such as high care and dementia.
The maximum care subsidy payments have increased from $125 a day to $135 a day and will increase each year until they reach $160 a day by 2011.
As at 26 May, 2008, 14,478 ACFI appraisals had been submitted to Medicare Australia.
Earlier advice from Access Economics to the Department of Health and Ageing indicated that 20,000 ACFI appraisals would need to be submitted before any conclusive analysis could be undertaken.
“Nevertheless, it is pleasing that the initial and preliminary indications are that the new funding model is delivering better care, more funding and reduced paperwork,” Mrs Elliot said.
Nursing staff have also welcomed the new approach taken in classifying residents for care funding. They say it is consistent with evidence-based nursing practice and better matches residents with care.
Other positive feedback on the ACFI says that it reduces the amount of paperwork that aged care services need to complete. Already more than 30% of ACFI forms are being submitted electronically.
The Australian Government has reiterated its earlier commitment to review the ACFI in 18 months.