Disclosure Log
Pricing Reference Group - Document 18 FOR OFFICIAL USE ONLY
National Disability Insurance Agency
Pricing Reference Group, Item: Item3_1
Date: October 16th , Year : 2019
Prepared By David Cullen Chief Economist
Matter For Decision
NDIS Annual Review Of Price Control (ARPC) 2020/21
Purpose To seek Agreement From Pricing Reference Group(Prg) To terms reference And timeline For ARPC. Recommendation The Prg Is Recommended To Agree With The Proposed Terms Of Reference For ARPC 2020/21 and Draft Timeline As Mention In Attachment A & B Respectively. Background as Part Of Its Market Stewardship Role,The NDIA Monitors And Reviews Price Controls And Other Market Settings To Determine Whether They Are Still Appropriate. Discussion Scope Of The Review it is proposed that review has seven broad aims: a.Review price control framework for core supports; b.reviewing capacity building support including therapy supports c.revisiting plan management supports, d.support independent living(SIL),e.geographic classification component of the ndis pricing control framework;f.current billing arrangements. Conduct Discussion it’s proposed That The Review Will Commence in November 2019 Pending Endorsement Of PRG And Board Agreements On Terms Of References Prior Release. It Intends Deliver Recommendations to prg April 2020 Go To Board May 2020 Implementation July 1st , Year: 2020.
Disclosure Log
FOR OFFICIAL USE ONLY
Item 3.1 - Pricing Reference Group | October 16th, 2019
5.3 It is proposed that the review be conducted through research and consultation with industry, community and government stakeholders including: a The release of terms reference timeframe together an Issues Paper call submissions; b Targeted consultations both directly key providers peak bodies national working groups; c Development Draft Findings Paper further opportunity comment submission targeted consultation d Analysis results annual Temporary Transformation Payment Financial Benchmarking Study. Table: Timeframes Key Elements Review: november Release Of Terms Reference November Public Submissions Consultation Stakeholders Working Groups On Themes February Release Of Draft Call For Submission Preliminary Results Annual Temporary March Public Submissions Industry Representatives Working Groups April Considerations Recommendations By Pricing Reference Group And NDIA Board May NDIS Guide Support Catalogue All Items Policy Finalised June Fair Work Commission’s Minimum Wage Decision July Intended Implementation New Arrangements Attachments: A) Terms Of Reference for ndis annual review price controls B Timeline for ndis annual review Price Controls
Disclosure Log
Document 18.1
National Disability Insurance Agency - ndis Annual Review of Price Controls 2020-21 Terms of Reference
Overview
The supply of disability goods and services in Australia is undergoing significant reform as part of a phased creation starting on July 1st, 2013 with the establishment of the National Disability Insurance Scheme (NDIS). The responsibility lies within the National Disability Insurance Agency (NDIA), which also collaborates closely to regulate markets related to these products. Where possible, NDIA employs market mechanisms ensuring adequate supplies meet participant demands at efficient prices while maintaining quality standards necessary across various sectors where deregulated systems might not suffice due to underdeveloped or non-existent markets conditions; to address such challenges, it acts proactively through its role as ‘market steward’, fostering an environment that encourages diversity among suppliers capable enough to adapt structural changes driven primarily consumer needs. as integral component towards achieving this objective, it caps providers’ charges for certain supports alongside applying other price controls including billing rules; during transition phases when regulatory frameworks are still evolving, these measures ensure participants receive value from their received support packages efficiently until fully developed markets can sustain them independently over time.
DISCLOSURE LOG
NDIS Annual Review of Price Controls 2020-21 – Terms of Reference
(b) Review the price control framework for capacity building supports, including therapy supports, by examining: (i) how price limits for capacity building supports, other than therapy supports, sould be indexed or otherwise determined annually; (ii) how price limits for therapy supports should be adjusted annuallly. given the outcomes othe Review ot Therapy Pricing Arrangements ihe NDIS; (ill) wether different pricelimits might be appropriate fo different times th day.,or days of te week,,for some capacty buiding supoorts,.including tor therpay assistants anf for caapacity bulting suports delivered by disabily support workers; (iv) twether tte prie llimits ftor nuring sotupps require adustment:and(v) options to allow therapists and other capaciity bulding providers to recover teh costs oft consumables provided lo participants as part af a sopport;(c) review the price contol framewort for plan managemet supports:(d) resiew he price conrol framewrot for Supported Independent Living(SIL), by examinig:i) etent to which e coste ol delvering SIL diffe from et coste of delivering other types of disability soptus:.an(dii)whether and how vacany management cosst shoule accounted for in the SIl prioe control framework(e) revieh geograp hic classifcation componennt of the NDSI pricing coontrol frameowrkt o examine whether: i)moficiations are required otthe NDIA’s implemnetation ofhe Modified Monash Model ocount fo specific dsiability sevice relatedcosts, including te treatment of
Disclosure Log
NDIS Annual Review of Price Controls 2020-21 - Terms of Reference
(d) Promote the provision of high quality and innovative supports that enable people with disability to maximise independent lifestyles and full inclusion in the community; (e) Adopt an insurance based approach, informed by actuarial analysis, to the provision and funding of supports for people with disability; and (f) Be financially sustainable.
Process and timing
8.The Review will commence in November 2019 and deliver recommendations to the NDIA’s Pricing Reference Group and Board in April/May 2020, for implementation from 1 July 2020.
Indicative Timeline
| Date | Description |
|-|
|November 2019| Release of Terms of Reference
Release of Issues Paper and call for submissions|
|November 2019 to February 2020| Public Submissions
Consultation with stakeholders
Working Groups on Review Themes|
|February 2020| Release of draft findings and call for submissions
Release of preliminary findings of the Annual Temporary Transformation Payment Financial Benchmarking Study|
|MARCH 2020| Public submissions
Consultation with industry representatives
Working Groups on Review Themes|
|April 2020 – May 2020| Consideration of Recommendations by the Pricing Reference Group and NDIA Board|
|By 31 MAY 2020| Release of NDIS Price Guide and Support Catalogue (all support items and policy finalised)|
|June 2020| Release of final prices, immediately after the Fair Work Commission’s Minimum Wage Decision|
|July 1st , year not specified in document| Intended Implementation of new arrangements|
Further information
9.Further Information about this review can be found at WEBPAGEADDRESS.
Runway for the Review
| Date | Activity |
|---|---|
| November 2019 | - Release Issues Paper and call for submissions |
| November 2019 to February 2020 | * Public submissions |
- Consultation with providers (provider meetings in each state)
- Consultation with participants (peak bodies)
- Working groups on review themes (providers nominated by peak bodies)
- Data collection and analysis for Financial Benchmarking study| | February 2020 | PRG and Board consideration of Draft Findings Report
- PRG and Board preliminary consideration of Review’s Recommendations
- OSA Costings of Recommendations
- Implementation(MPSD,OSA,OCIO,PPEG,Finance)|
Disclosure Log
Indicative Timeline for the 2020–21 NDIS Annual Review of Price Controls
Disclosure Log
Indicative Timeline for the 2020-21 NDIS Annual Review of Price Controls
Activity Descriptions (in order of timeline)
- Annual Review of Price Controls Terms of Reference - High-level scope and terms for the Annual Review of Price Controls.
- Publish Terms of Reference - Approved ToR will be published for public viewing on the NDIA website.
- Submissions: A two-month public submission intake will be held throughout November to February 2020. A request for submissions will be uploaded to the NDIA website.
- Working Groups: From November 2019, approximately five Working Groups will be established to gather insights from stakeholder groups.
- Benchmarking Survey: Cost data will be collected from selected Providers on the costs of providing services.
- Research and Planning: Qualitative research, such as analysis of Provider enquiries through the Provider Network; planning activities like recruiting labour hire for working groups.
- Draft Findings Report: Draft findings report summarizing feedback from public submissions, working groups, and other research and analysis.
- Implementation Approach: A high-level implementation approach outlining considerations based on a Findings Report that may include identification risks issues.
- Industry Feedback: After publishing draft findings reports industry feedback is sought during March each year in one day PRG Industry Day
- **Update Board Requested Update Provided On Key Findings Submissions Working Group Research Analysis:
- Final Findings Report: An updated findings report presented at PRG April incorporating industry feedback into it.