UNDERSTANDING THE INDIVIDUALISED CONSUMER BUDGET ...
UNDERSTANDING THE INDIVIDUALISED CONSUMER BUDGET FOR HOME CARE PACKAGE COSTS This information is for people receiving assistance via a consumer directed home care package. The budget for your home care package consists of the income components (the Government subsidy plus your co-contribution) and the expenditure or cost items. This information sheet explains the cost items on your individual account, which is what your budget is buying. Information about the income items including Government subsidies and fees is available from www.dss.gov.au/our-responsibilities/ageing-and-aged-care/aged-care-funding/aged-care-subsidiesand-supplements (Government subsidies) and www.myagedcare.gov.au/financial-and-legal/helphome-costs-explained (fees). When you look at your budget it may seem as if not all of the costs should be related to the support you are receiving. However they do represent the costs that your provider incurs to deliver your assistance. In many cases, such as quality improvement or compliance related costs, they mean that you know can be assured that you will have well trained staff who understand their responsibilities. That your provider discloses all their costs indicates that the service is open and transparent about meeting their financial and legal responsibilities. The cost items in your home care package can be broken into three, possibly four items: 1. 2. 3. 4.
Administrative costs Case management/advisory services Service and support provision and/or purchases You may also have a contingency fund.
This information sheet outlines what each of these areas covers (what your budget is buying) and what value that brings to you as a consumer. This will help you to make informed choices about which provider you would like to arrange your home care. With consumer directed care (CDC) you also have the option to be more involved in managing your package, which might reduce your costs in some of these areas.
1. Administrative costs Why does your package budget need to contribute to administrative costs and why are they important? The Home Care Guidelines define administrative costs as follows By receiving services from a home care provider who is a Commonwealth Approved Provider you receive some assurances that they are complying with relevant laws and quality standards. They are also operated by approved “key personnel” who have been subject to a range of probity checks.
The following table gives examples of some of the administrative costs that might included on your individual account:
Administrative costs
Examples
Compliance costs
Costs associated with ensuring that your provider meets relevant standards and guidelines, including: Work health and safety requirements (to prevent worker injuries) Police checks for staff and volunteers Meeting the Home Care Common Standards and other quality standards Relevant insurance and workcover coverage
Set up costs also called capital costs
The costs associated with setting up (or updating) office space and equipment, including buildings, vehicles, computer and phone systems The everyday costs of running a business, including office supplies, rent, utilities, internet and phone bills Costs associated with improving the services you are receiving, Including research, evaluation and quality systems Including first aid, health and safety, skills training This can be information for the general public like updating a website and general brochures or information specifically for people who are using that provider’s service. It can also include face to face meeting you may have while you are thinking about and planning which provider you will use. Working with sub contracted service providers to make sure that they meet the legal requirements and quality standards expected in government guidelines. The costs associated with writing and managing contract with a sub-contractor on your behalf. Costs associated with the reporting providers must do to government as part of their funding agreement, including financial audits and government reporting.
Operating costs Quality improvement Staff training Providing information
Sub-contracting costs
Accountability costs
These costs will vary between organisations and regions, due to the size and structure of the organisation and the geographic area that they cover. This is not to say that other organisations (who are not Commonwealth Approved Providers) are not acting within the law or do not have their own quality systems. Other organisations who provide direct services through a brokerage arrangement will include their administrative overheads and coordination and rostering costs within their unit cost or hourly rate for services. If you are unsure about how your costs are calculated, ask your home care provider.
2. Case management/advisory services In the context of Home Care Packages, case management refers to advisory and support services associated with: The initial assessment by the home care provider The identification of the consumer’s goals Development of the Home Care Agreement, care plan and individualised budget Co-ordination of the services requested by the consumer Ongoing monitoring and informal reviews with the consumer Formal re-assessment of the consumer’s needs, and adjustment of the Home Care Agreement, care plan and individualised budget if required; and Referral to an Aged Care Assessment Team (if a re-assessment is needed to move to a higher broad-banded level of package) Provision of support to consumers who elect to manage the package themselves. It is not expected that a consumer would take on the functions of a case manager, although the consumer may choose to have an active role in the management of the package. Ongoing monitoring, reviews and re-assessment must be undertaken by the home care provider, not the consumer. (Home Care Package Guidelines (August 2013) p37). Your provider must appoint a Case Manager or Adviser this is required to fulfil the accountability requirements for Government funding. They do the job set out in the Home Care Packages Guidelines above and are also a helpful resource to help you plan the support you require to help you remain living the way you wish at home and participating in the community. Case Managers/ Advisers generally have qualifications and experience in aged and community care, and knowledge of the resources available in your local community. While there are certain government requirements for case managers/advisers to fulfil, consumers or their nominated representatives should be actively involved in the planning and review of their support arrangements, and can question a provider’s decision.
3.
Service and support provision and/or purchasing
The Home Care Package Guidelines outline the types of services that might form part of this item, and also the services that cannot be purchased with your package budget. Within these guidelines home care providers should be flexible and accommodate your unique preferences and needs.
4.
Contingency fund
When you are planning your supports with your home care provider, you may want to decide to set aside some funds from your package each week in a contingency fund. This money is then saved for future use and would be available should you need additional support for a period for either planned reasons (such as an informal carer being away) or unplanned reasons (such as illness) or emergencies. Reference: Australian Government, Department of Social Services. Home Care Packages Program Guidelines. July 2014
Administrative costs Case management/advisory services Service and support provision and/or purchases You may also have a contingency fund.
This information sheet outlines what each of these areas covers (what your budget is buying) and what value that brings to you as a consumer. This will help you to make informed choices about which provider you would like to arrange your home care. With consumer directed care (CDC) you also have the option to be more involved in managing your package, which might reduce your costs in some of these areas.
1. Administrative costs Why does your package budget need to contribute to administrative costs and why are they important? The Home Care Guidelines define administrative costs as follows By receiving services from a home care provider who is a Commonwealth Approved Provider you receive some assurances that they are complying with relevant laws and quality standards. They are also operated by approved “key personnel” who have been subject to a range of probity checks.
The following table gives examples of some of the administrative costs that might included on your individual account:
Administrative costs
Examples
Compliance costs
Costs associated with ensuring that your provider meets relevant standards and guidelines, including: Work health and safety requirements (to prevent worker injuries) Police checks for staff and volunteers Meeting the Home Care Common Standards and other quality standards Relevant insurance and workcover coverage
Set up costs also called capital costs
The costs associated with setting up (or updating) office space and equipment, including buildings, vehicles, computer and phone systems The everyday costs of running a business, including office supplies, rent, utilities, internet and phone bills Costs associated with improving the services you are receiving, Including research, evaluation and quality systems Including first aid, health and safety, skills training This can be information for the general public like updating a website and general brochures or information specifically for people who are using that provider’s service. It can also include face to face meeting you may have while you are thinking about and planning which provider you will use. Working with sub contracted service providers to make sure that they meet the legal requirements and quality standards expected in government guidelines. The costs associated with writing and managing contract with a sub-contractor on your behalf. Costs associated with the reporting providers must do to government as part of their funding agreement, including financial audits and government reporting.
Operating costs Quality improvement Staff training Providing information
Sub-contracting costs
Accountability costs
These costs will vary between organisations and regions, due to the size and structure of the organisation and the geographic area that they cover. This is not to say that other organisations (who are not Commonwealth Approved Providers) are not acting within the law or do not have their own quality systems. Other organisations who provide direct services through a brokerage arrangement will include their administrative overheads and coordination and rostering costs within their unit cost or hourly rate for services. If you are unsure about how your costs are calculated, ask your home care provider.
2. Case management/advisory services In the context of Home Care Packages, case management refers to advisory and support services associated with: The initial assessment by the home care provider The identification of the consumer’s goals Development of the Home Care Agreement, care plan and individualised budget Co-ordination of the services requested by the consumer Ongoing monitoring and informal reviews with the consumer Formal re-assessment of the consumer’s needs, and adjustment of the Home Care Agreement, care plan and individualised budget if required; and Referral to an Aged Care Assessment Team (if a re-assessment is needed to move to a higher broad-banded level of package) Provision of support to consumers who elect to manage the package themselves. It is not expected that a consumer would take on the functions of a case manager, although the consumer may choose to have an active role in the management of the package. Ongoing monitoring, reviews and re-assessment must be undertaken by the home care provider, not the consumer. (Home Care Package Guidelines (August 2013) p37). Your provider must appoint a Case Manager or Adviser this is required to fulfil the accountability requirements for Government funding. They do the job set out in the Home Care Packages Guidelines above and are also a helpful resource to help you plan the support you require to help you remain living the way you wish at home and participating in the community. Case Managers/ Advisers generally have qualifications and experience in aged and community care, and knowledge of the resources available in your local community. While there are certain government requirements for case managers/advisers to fulfil, consumers or their nominated representatives should be actively involved in the planning and review of their support arrangements, and can question a provider’s decision.
3.
Service and support provision and/or purchasing
The Home Care Package Guidelines outline the types of services that might form part of this item, and also the services that cannot be purchased with your package budget. Within these guidelines home care providers should be flexible and accommodate your unique preferences and needs.
4.
Contingency fund
When you are planning your supports with your home care provider, you may want to decide to set aside some funds from your package each week in a contingency fund. This money is then saved for future use and would be available should you need additional support for a period for either planned reasons (such as an informal carer being away) or unplanned reasons (such as illness) or emergencies. Reference: Australian Government, Department of Social Services. Home Care Packages Program Guidelines. July 2014
