Inquiry into the administration of the
National Disability Insurance Scheme (NDIS)
Submission from the Department of Health, Disability and Ageing to the Joint Committee of Public Accounts and Audit
29 January 2026
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Contents
Introduction ………………………………………………………………………………………………………………………. 3
Overview of Commonwealth agency roles in the administration of the National Disability Insurance Scheme (NDIS) ……………………………………………………………………………………………………. 3
National Disability Insurance Agency (NDIA) .................................................................................. 3
National Disability Insurance Scheme Quality and Safeguards Commission (NDIS Commission) .. 3
The Department of Health, Disability and Ageing (the department) ............................................. 3
Policy development and governance support……………………………………………………………………….. 4
NDIS reforms policy and legislation ................................................................................................ 4
NDIS regulatory and market policy ................................................................................................. 4
Engagement with states and territories ......................................................................................... 4
Disability Reform Ministerial Council (DRMC) ................................................................................ 5
National Disability Insurance Agency Board (NDIA Board) ............................................................. 5
National Disability Insurance Scheme Reform Advisory Committee (NDIS RAC) ........................... 5
Oversight, evidence and advice …………………………………………………………………………………………… 6
NDIS Evidence Advisory Committee (EAC) ................................................................................. 6
NDIS fraud and integrity issues ……………………………………………………………………………………. 7
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Introduction
On 28 November 2025, the Joint Committee of Public Accounts and Audit (JCPAA) invited the Department of Health, Disability and Ageing (the department) to provide a submission regarding the Inquiry into the administration of the National Disability Insurance Scheme. The invitation notes the Committee will examine the department’s policy advice to the government.
Accordingly, this submission focuses on the department’s role in the administration of the National Disability Insurance Scheme (NDIS). This includes how the department works with the National Disability Insurance Agency (NDIA) and the NDIS Quality and Safeguards Commission (the NDIS Commission), and the department’s role as lead policy agency for the NDIS.
Overview of Commonwealth agency roles in the administration of the NDIS
National Disability Insurance Agency (NDIA)
The NDIA is an independent statutory agency, established under the National Disability Insurance Scheme Act 2013 (NDIS Act) to deliver the NDIS. The NDIA’s role, as set out in the NDIS Act, is to deliver the NDIS, manage the financial sustainability of the NDIS, develop the sector, build community awareness, and undertake data collection and research relating to disability.
National Disability Insurance Scheme Quality and Safeguards Commission (NDIS Commission)
The NDIS Commission is an independent statutory authority established to improve the quality and safety of the NDIS supports and services provided to NDIS participants. The NDIS Commission regulates the NDIS using a nationally consistent approach to promote safe practices and elevate the quality and diversity of providers’ services.
The Department of Health, Disability and Ageing (the department)
The department is responsible for development and administration of Government policies and legislation, programs and services relating to people with disability, including the NDIS. The department performs its NDIS policy role in collaboration with the disability community, state and territory government disability officials, the NDIA, the NDIS Commission, Commonwealth central agencies, and other Commonwealth agencies as required. This includes work across a range of matters, including NDIS policy and reforms, financial oversight, stewardship of the NDIS market, and administration of the NDIS Act.
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Policy development and governance support
The department leads the development of new policy relating to people with disability for consideration by government.
The department also plays a key role in supporting NDIS governance arrangements including the Disability Reform Ministerial Council (DRMC), the NDIS Reform Advisory Committee, and leading on NDIA Board appointments.
NDIS reforms policy and legislation
The department leads legislative and policy reform to improve the administration, governance, participant experience, and sustainability of the NDIS. It is also responsible for the development and drafting of legislative instruments to implement the reforms enacted by the National Disability Insurance Scheme Amendment (Getting the NDIS Back on Track No. 1) Act 2024. These reforms give effect to key recommendations of the NDIS Review.
The department works closely with the NDIA, NDIS Commission, Commonwealth central agencies, state and territory governments, and the disability community to ensure reforms are coordinated, effective, and responsive to participant needs. The NDIA and the NDIS Commission contribute to the department’s development of NDIS policy options, and are responsible for operationalising and implementing legislative changes.
NDIS regulatory and market policy
The department leads NDIS market stewardship and regulation policy, which are focused on safeguarding participants and the functioning of NDIS markets. This includes policy development on a range of issues including quality and safeguarding, regulation, provider viability, provider of last resort arrangements, and market stewardship frameworks. These functions are informed by evidence including on complaints and incidents, access risks and market functioning.
This work is developed in collaboration with the NDIA and the NDIS Commission. The NDIA leads operational delivery of the NDIS and implementation of agreed market interventions, while the NDIS Commission leads regulatory oversight, including provider compliance and safeguards.
Engagement with states and territories
Collaboration and negotiation with states and territories is progressed through established NDIS governance and reform mechanisms. This includes the Disability Reform Ministerial Council (DRMC) and the Disability Senior Officials Group (DSOG). DSOG is a group of senior government officials nominated to undertake key pieces of work by DRMC.
The department also has established arrangements for supporting inter-agency collaboration with the NDIA and the NDIS Commission.
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Disability Reform Ministerial Council (DRMC)
The NDIS is governed and funded by the Australian, state and territory governments. States and territories contribute to the governance of the NDIS primarily through the DRMC, which comprises Commonwealth, state and territory disability ministers. DRMC focuses on driving national reform in disability policy, including the implementation of Australia’s Disability Strategy and the NDIS. The department is responsible for providing secretariat support to the DRMC.
National Disability Insurance Agency Board (NDIA Board)
The NDIA Board is the governing body and Accountable Authority for the NDIS. Its role and functions are established by the NDIS Act. The Board’s primary functions are to ensure the proper, efficient and effective performance of the NDIA, and to determine the Agency’s objectives, strategies and policies. The NDIA Board is also responsible for reporting its performance to the DRMC as set out in the NDIS Act, the Public Governance, Performance and Accountability Act 2013, and intergovernmental agreements with states and territories.
The NDIA is responsible for providing secretariat support to the NDIA Board. The department has lead responsibility for supporting the Minister on NDIA Board appointments. The Australian National Audit Office (ANAO) findings, referenced in the Inquiry Terms of Reference, assessed departmental processes for NDIA Board appointments and found full compliance with legislative requirements. The ANAO found that the department maintained accurate records, met reporting obligations, and advised the Minister on NDIA Board vacancies.
National Disability Insurance Scheme Reform Advisory Committee (NDIS RAC)
The department provides secretariat support to the NDIS Reform Advisory Committee (NDIS RAC) which was established in 2025 following the recommendation of the 2023 Independent NDIS Review (NDIS Review).
The NDIS RAC provides independent advice from people with disability to DRMC and the Minister for the NDIS. It monitors and advises on the implementation of NDIS reforms, and advises DRMC on effective ways to engage with people with lived experience of disability. The NDIS RAC is made up of representatives from every state and territory and reflects the diversity of the disability community.
The NDIA and NDIS Commission provide relevant information to the NDIS RAC to support reporting to DRMC on the progress of reform implementation and engagement.
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Oversight, evidence and advice
The department monitors NDIA information, data, research and analysis to enable the department to perform its policy and oversight responsibilities. These responsibilities include:
- managing Commonwealth-state relationships and policy and program interfaces between the NDIS and other systems
- supporting the operations of the NDIS Evidence Advisory Committee (EAC)
- collaborating with the NDIA and the NDIS Commission on the design of NDIS reforms, and
- monitoring and evaluating the implementation and outcomes of the NDIS reforms.
The NDIA captures data for the monitoring of participant outcomes, sustainability targets, reforms implementation, and to allow the effective administration of the NDIS. Some of this data and related outputs are shared with the department to allow the department to brief Executive and Ministers on NDIS financial sustainability, outcomes and performance, and to inform future policy design and development.
NDIS Evidence Advisory Committee (EAC)
The EAC was announced in the 2024-25 Budget, as part of the response to the NDIS Review. The EAC provides advice to government based on the best available evidence about the benefits, quality, safety and cost-effectiveness of NDIS supports, with a focus on improving participant outcomes and experiences.
The department provides secretariat support to the EAC, undertakes desktop research and data analysis, and coordinates the production of assessment reports by independent subject-matter experts for EAC consideration. The department conducts public consultations to incorporate lived experience and broader stakeholder input into EAC assessment reports. The department is also responsible for supporting the development of the annual workplan of the EAC, including through convening the EAC Steering Committee.
The NDIA and NDIS Commission are engaged throughout the EAC assessment process. Their role includes contributing to the EAC annual work plan as a part of the EAC Steering Committee, sourcing data for evidence assessments, identifying operational, regulatory and budget implications, and ensuring alignment in the implementation of final EAC recommendations.
The EAC Steering Committee is convened and chaired by the department to identify priorities for EAC annual review topics, and to present the EAC annual work plan to the Minister for the NDIS for DRMC agreement.
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NDIS fraud and integrity issues
The department provides advice to Government on NDIS fraud and integrity issues, capability uplift options in the NDIA and NDIS Commission, and reforms to safeguard people with disability.
The department is the policy lead for the multi-agency Fraud Fusion Taskforce (FFT) and NDIA-led programs of work including the Crack Down on Fraud Program. These initiatives are expected to deliver over $1.7 billion in benefits over 4 years from 1 July 2024. This comprises $469 million in direct savings to the NDIS, and an additional $1.3 billion in payments diverted from problematic providers.
The department leads on legislative amendments to the NDIS Act related to quality, safeguarding, fraud and integrity of the NDIS. In addition, the department holds the delegation instrument National Disability Insurance Scheme (Commissioner – National Disability Insurance Scheme Rules) Delegation 2025.
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