Funding rules shift as NDIS restructures support framework
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The National Disability Insurance Scheme (NDIS), a lifeline for many Australians living with disabilities, is undergoing significant changes this week.
These updates, the subject of intense debate and anticipation, are set to reshape how participants receive and manage their support.
With less than two days' notice before the changes take effect, the disability community has been left scrambling to understand the implications for their funding and support.
One of the most notable changes is introducing a clear definition of 'NDIS support.'
This definition is crucial as it delineates what the scheme will and will not fund.
The detailed list of approved supports includes items and services directly linked to managing a disability, such as eligible assistance animals, specialist disability housing, and early intervention supports for children.
However, the scheme will not cover services that are not evidence-based or directly linked to a participant's disability, such as childcare fees, alternative therapies like crystal and wilderness therapy, and everyday living costs like rent, groceries, and bills.
Suppose participants require something not on the list to manage their disability.
In that case, they can request consideration from the National Disability Insurance Agency (NDIA), which will evaluate the item's value for money and supporting evidence.
The NDIS Minister, Bill Shorten, has emphasised that the NDIA will consider requests for items not on the list if they can be more cost-effective or beneficial than the approved alternatives.
‘You might need a pair of specially designed shoes because of your disability. That could cost literally hundreds and hundreds of dollars,’ he said.
‘If you can prove that getting [that] particular shoe off the shelf actually is better than the specially designed one, even though that shoe is not on the list, the agency will take that into account.’
To ease the transition, participants will not be penalized for inadvertently purchasing unapproved items for a 12-month period.
‘If you make a mistake … we'll be in touch to let you know and help you understand what you can do,’ the NDIA stated.
It will only pursue action for incorrectly claimed supports over $1,500 or if there is a pattern of incorrect claims despite advice.
Another significant change is the way funding amounts and periods are presented.
New plans will now show a total budget figure and indicate the funding duration, moving away from the previous line-by-line support items.
This change is designed to prevent 'intra-plan inflation,' which occurs when participants exhaust their funds quickly and seek additional support.
Plans will initially last 12 months, and some adjustments can now be made without creating a new plan.
The NDIA also gains greater authority to manage a participant's plan if there is suspicion of fund misuse.
However, some disability advocates are concerned that these new powers lack sufficient participant safeguards.
While most participants won't see immediate changes, the transition to the new planning framework will bring more noticeable shifts later next year.
Other recommendations from the NDIS review, such as 'foundational supports' for those outside the scheme, are still being discussed.
Specifics will be determined through co-design with the disability sector.
The disability community's response to these changes has been mixed.
While some see the potential for a clearer and simpler experience with the NDIS, others are frustrated by the lack of transparency and the short notice given for such significant changes.
Advocates like El Gibbs, deputy CEO of Disability Advocacy Network Australia, have expressed disappointment.
‘This has been a time of significant change and concern for people with disability, and that is continuing with these lists out at such short notice,’ he said.
‘It's not fair that people with disability are being expected to wade through enormous changes with no support and no clear explanation.’
Credit: YouTube
How do you feel about the NDIS changes? What support do you need to adapt to the new framework? Feel free to share your thoughts and opinions in the comments below.
These updates, the subject of intense debate and anticipation, are set to reshape how participants receive and manage their support.
With less than two days' notice before the changes take effect, the disability community has been left scrambling to understand the implications for their funding and support.
One of the most notable changes is introducing a clear definition of 'NDIS support.'
This definition is crucial as it delineates what the scheme will and will not fund.
The detailed list of approved supports includes items and services directly linked to managing a disability, such as eligible assistance animals, specialist disability housing, and early intervention supports for children.
Major changes to the NDIS include a clear definition of 'NDIS support' and a detailed funding list. Credit: ABC News Australia / YouTube
However, the scheme will not cover services that are not evidence-based or directly linked to a participant's disability, such as childcare fees, alternative therapies like crystal and wilderness therapy, and everyday living costs like rent, groceries, and bills.
Suppose participants require something not on the list to manage their disability.
In that case, they can request consideration from the National Disability Insurance Agency (NDIA), which will evaluate the item's value for money and supporting evidence.
The NDIS Minister, Bill Shorten, has emphasised that the NDIA will consider requests for items not on the list if they can be more cost-effective or beneficial than the approved alternatives.
‘You might need a pair of specially designed shoes because of your disability. That could cost literally hundreds and hundreds of dollars,’ he said.
‘If you can prove that getting [that] particular shoe off the shelf actually is better than the specially designed one, even though that shoe is not on the list, the agency will take that into account.’
To ease the transition, participants will not be penalized for inadvertently purchasing unapproved items for a 12-month period.
‘If you make a mistake … we'll be in touch to let you know and help you understand what you can do,’ the NDIA stated.
It will only pursue action for incorrectly claimed supports over $1,500 or if there is a pattern of incorrect claims despite advice.
Another significant change is the way funding amounts and periods are presented.
New plans will now show a total budget figure and indicate the funding duration, moving away from the previous line-by-line support items.
This change is designed to prevent 'intra-plan inflation,' which occurs when participants exhaust their funds quickly and seek additional support.
Plans will initially last 12 months, and some adjustments can now be made without creating a new plan.
The NDIA also gains greater authority to manage a participant's plan if there is suspicion of fund misuse.
However, some disability advocates are concerned that these new powers lack sufficient participant safeguards.
While most participants won't see immediate changes, the transition to the new planning framework will bring more noticeable shifts later next year.
Other recommendations from the NDIS review, such as 'foundational supports' for those outside the scheme, are still being discussed.
Specifics will be determined through co-design with the disability sector.
The disability community's response to these changes has been mixed.
While some see the potential for a clearer and simpler experience with the NDIS, others are frustrated by the lack of transparency and the short notice given for such significant changes.
Advocates like El Gibbs, deputy CEO of Disability Advocacy Network Australia, have expressed disappointment.
‘This has been a time of significant change and concern for people with disability, and that is continuing with these lists out at such short notice,’ he said.
‘It's not fair that people with disability are being expected to wade through enormous changes with no support and no clear explanation.’
Credit: YouTube
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