DOCUMENT 2
OFFICIAL: SENSITIVE
NDIA Board meeting of 27 April 2022
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2.6.
2.7.
Therapy and Nursing Supports
2.8. That the Board AGREE that the Agency should not make any structural adjustment to the NDIS pricing arrangements for therapy or nursing supports at this time (pending the further work outlined in paragraph 2.13 below), and that:
2.8.1. the price limits for therapy supports not be indexed on 1 July 2022, and
2.8.2. the price limits for nursing be indexed as one of the other supports in paragraph 2.2.2 on 1 July 2022.
2.9. redacted: s22(1)(a)(ii) - irrelevant material
2.10.
2.11.
OFFICIAL: SENSITIVE
Annual Pricing Review 4.2.1.3
Board deliberations relating to its statutory functions are confidential – see Board Resolution of 4 September 2017
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OFFICIAL: SENSITIVE
NDIA Board meeting of 27 April 2022
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2.12.
2.13.
2.13.2. consultations between the Agency and the Department of Social Services and other relevant departments across government on the alignment of pricing arrangements across Australian Government and state/territory funding and insurance programs for nursing and therapy supports.
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3.1.
3.2.
3.3.
3.4.
3.5.
OFFICIAL: SENSITIVE
Annual Pricing Review 4.2.1.4
Board deliberations relating to its statutory functions are confidential – see Board Resolution of 4 September 2017
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OFFICIAL: SENSITIVE
NDIA Board meeting of 27 April 2022
4. Discussion
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4.2.
5. Risks
5.1. Providers are campaigning strongly for significant increases in funding for the sector and for increases in the price limits of supports. Several of the submissions to the Annual Pricing Review included sophisticated cost models that sought to demonstrate the inadequacy of current price limits for core, nursing, therapy, plan management and support coordination supports. There are also strong arguments against increasing price limits – including the need to ensure scheme sustainability and the high levels of inefficiencies still present in some providers. As is often the case the arguments against price limit increases may not be as immediately intuitively appealing as those in favour of increases in price limits (“participants will be at risk because of supply failure”) which means any decisions on pricing will need to be carefully communicated.
5.2. redacted: s22(1)(a)(ii) - irrelevant material
6.1.
7.1.
OFFICIAL: SENSITIVE
Annual Pricing Review 4.2.1.5
Board deliberations relating to its statutory functions are confidential – see Board Resolution of 4 September 2017
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OFFICIAL: SENSITIVE
NDIA Board meeting of 27 April 2022
| Impact ($m) | 2022/23 | 2023/24 | 2024/25 | 2025/26 | Total |
|---|---|---|---|---|---|
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|||||
| Therapy price limits | -$67m | -$75m | -$81m | -$87m | -$310m |
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7.2. The AFSR projections and the forward estimates published in MYEFO 2021-22 included an assumption that price limits increase each year as the input costs of providers, like wages, increase. The proposals in this paper to not increase the price limits for plan management and therapy supports on 1 July 2022 therefore slightly lower projected expenditure by the Scheme.
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7.4.
7.5.
8.1.
8.2.
Attachments
Attachment A: Report of the 2021-22 Annual Pricing Review
OFFICIAL: SENSITIVE
Annual Pricing Review 4.2.1.6
Board deliberations relating to its statutory functions are confidential – see Board Resolution of 4 September 2017
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