Western Australian Government Submission to the Joint Standing Committee on the National Disability Insurance Scheme: National Inquiry into Market Readiness for the National Disability Insurance Scheme
Western Australia (WA) has considered the focus areas for the Joint Standing Committee’s inquiry into Market Readiness for the National Disability Insurance Scheme (NDIS), and submits the following comments, based on previous learnings and experience of the State Government, in relation to:
- Transition to a market based system for service providers;
- Participant readiness to navigate new markets;
- Development of the disability workforce to support the emerging market; and
- Market intervention options to address thin markets, including in remote Indigenous communities.
1. Transition to a market based system for service providers
The WA Government continues to work towards the development of a sustainable, diverse and efficient disability services market by engaging with existing and potential providers in preparation for the roll-out of the NDIS across the State.
In preparation for a market based system, the Department of Communities (Communities) has worked with organisations over several years to support the transition from previous block funded arrangements to individualised planning service models. Support of this nature is crucial to ensuring continuous provision of services when people transition from the current State-based system to the NDIS, and that organisations remain sustainable into the future. In certain situations, it may be necessary to consider alternative funding models to ensure the continued availability of niche, specialised services (for example, where people have highly complex support needs or require highly specialised support strategies).
Communities also promotes the development of partnerships between disability service providers and organisations operating in other sectors, where there is the potential to leverage existing resources and experience for the benefit of the local NDIS market. In WA, some small and medium sized providers have formed consortiums to provide a more holistic and integrated service offering. A number of providers in the remote Pilbara and Kimberley regions are also in the process of establishing connections with Aboriginal organisations that operate under the Commonwealth Community Development Program. This facilitates the provision of locally-based, culturally secure supports to Aboriginal people with disability.
The State Government has also invested in the development of the WA Disability Services Sector Industry Plan (The Industry Plan). The Industry Plan, developed by an independent consultant with expertise in economics and public policy, focuses on the impact of the NDIS on the WA disability sector. The Industry Plan provides a coordinated, strategic approach to change management which aims to ensure that expected growth in demand for disability services will not outpace supply, and that innovation within the sector is supported into the future.
The Industry Plan contains detailed research and analysis, based on extensive stakeholder consultation, to facilitate a better understanding of the sector and its future outlook. A sector profile, containing statistics about the workforce, service types and profit margins for disability service providers, was subsequently used to establish an overview of the sector’s strengths, weaknesses, opportunities and threats. To ensure the WA disability sector is well prepared for the full introduction of the NDIS, the plan recommends 24 actions and initiatives intended to build the knowledge base of the sector, improve the capacity and capability of the sector, and ensure there is strong sector leadership during the transition to the NDIS.
The work by Professor David Gilchrist in the Market Design and Evolution for Better Outcomes Research Program delivered its first report in 2016. Findings included a good awareness by service providers on pricing, cost of service delivery and requirements for financial sustainability.
Key lessons:
- Invest in the development of a whole-of-sector change management strategy that is informed by consultation with the disability sector.
- Support providers to adapt their business models to suit a market-based system.
- Encourage the development of relationships between providers, both within and outside of the disability sector.
- Consider alternative models of funding and support to ensure appropriate supports remain available to people (where such an approach is necessary).
2. Participant readiness to navigate new markets
The WA NDIS planning process strongly emphasises linking people with disability to local, community-based supports and services. This has been integral to supporting individuals, their families and carers to positively engage with the disability services market and maximise their choice and control in decision-making.
Under the WA NDIS model, Local Coordinators have been the initial point of contact for people entering the Scheme, and their main point of contact while they remain in the WA NDIS. Local Coordinators help people to explore their service options, navigate the NDIS market and re-configure their supports and services at plan review. The plan review process also takes any new market opportunities into consideration, to maximise opportunities for people with disability to achieve their individual plan strategies and goals.
Local Coordinators can also call on specialist knowledge to assist them in ensuring people with complex support needs can effectively interface with service providers. For example, Local Coordinators can engage with Regional Intensive Support Coordinators who can provide support in option exploration and complex negotiations with mainstream agencies including Transport, Justice and Child Protection. This approach assists people to understand their local NDIS market, and to exercise choice and control in relation to the support options available to them.
WA has also implemented a range of communication and engagement strategies to support individuals to understand their options and navigate new markets. Communities has prepared written resources to assist individuals to understand the NDIS and its markets, and also made this information available in a number of ways to suit individual
needs and preferences. Accessible and ‘easy read’ versions of these resources are available online, and people also have the option of discussing these matters over the phone, via email or face to face with a Local Coordinator.
Communities has successfully employed large-scale community engagement strategies to provide people with disability, their families and carers with the opportunity to understand the local services available in their area. As an example, an exhibition that included over 40 disability service providers was held in the City of Rockingham in the early stages of the NDIS roll-out to provide an opportunity for people to meet potential providers in an informal, relaxed environment. Information about the event was publicly advertised and provided to non-disability agencies to ensure it reached people who may be eligible for the NDIS but have historically not been part of the State’s disability support system, for example, people with psychosocial disability. The exhibition was planned with a strong focus on inclusion, accessibility and localised support. The exhibition attracted over 190 people, and as a result of its success, the same engagement model was repeated across the State.
Funding has also been provided to a variety of organisations through Information, Linkages and Capacity Building (ILC) grants to support people to navigate the NDIS and its markets. Activities undertaken through the 2017-18 WA ILC grants round have to date resulted in increased information about the NDIS being available to people who will be joining the Scheme (including information tailored to the needs of particular cohorts of people), an increase in people with disability, their carers and families contacting local service providers, and seen engagement activities occur that have helped to identify barriers faced by people from Culturally and Linguistically Diverse backgrounds when accessing services.
Key lessons:
- Provide a consistent point of contact to assist individuals, families and carers to navigate their local NDIS market, and to do so in a way that is suited to their unique needs and preferences.
- Use community engagement forums to educate people with disability, their families and the wider public on the diverse range of activities and supports offered by a growing disability services market.
- Use community forums as an opportunity to engage the broader community in the NDIS.
- Support the disability sector to develop innovative strategies to engage people with disability and families who have had limited or no previous interaction with the disability services market.
3. The development of the disability workforce to support the emerging market
The introduction of the NDIS in WA, and the subsequent roll-out of the comparative NDIS trials across the State since July 2014, has familiarised WA’s current disability workforce with the principles and practices of the NDIS. As a result, the State’s disability workforce is well placed to successfully transition to a full-scheme NDIS environment.
Since 2014, Communities has provided a number of grants to assist organisations delivering or seeking to deliver disability services prepare their workforce for the roll-out of the NDIS. Grants have been provided for purposes including:
- Traineeships and accredited training to encourage individuals to pursue a career in the disability services sector;
- Development of targeted and general promotion strategies to increase the profile and desirability of employment within the disability services sector;
- Development and delivery of training to support middle management and support workers in disability service organisations to understand the NDIS;
- Training to develop skills in designing and tailoring services that reflect choice and control; and
- Development of a WA Disability Services Sector Industry Plan to identify critical issues and strategies aimed at fostering and maintaining a workforce that is productive, inclusive, efficient and mobile.
Communities supports the NDIA to provide information and engagement opportunities across the State to ensure the disability sector and its workforce are aware of WA’s transition to the NDIS, the potential implications of this change, and the opportunities that will arise.
Key lessons:
- Support disability sector organisations to invest in re-skilling disability services workers to participate in delivery of individualised disability services.
- Create awareness and promote benefits of working in disability services.
- Develop a strategic approach to addressing critical issues facing the disability workforce going forward.
- Provide information and training opportunities for disability services workers to build awareness of whole-of-sector level changes.
- Provide adequate remuneration and a career structure to make disability an attractive work choice.
4. Market intervention options to address thin markets, including in remote
indigenous communities.
It is vital to provide a strong foundation for market viability and growth. To prevent the need for market intervention at a point of market failure, Communities has identified opportunities to support service providers operating in thin markets. This is particularly important in regional and remote areas of the State, where providers face challenges related to attracting and retaining staff, and additional cost pressures. The development of innovative and efficient models of service delivery in these areas will be essential to ensuring the effective delivery of the NDIS across the whole of WA.
Communities has conducted work across multiple sectors to identify human services providers in related fields, such as the Aged Care and Health sectors, that have the potential to expand into supporting people with disability and broaden the choice of available services, particularly in regional and remote areas. Organisations identified have been provided with information regarding the process to register as an NDIS provider. The process benefits those providers choosing to operate in thin markets by reducing the level of administrative duties required for registration.
Targeted strategies are employed to attract new providers in known thin markets. Interested providers are provided with information about the individual funding approach, the support price framework and information regarding how to proceed to registration, allowing them to make an informed business decision about expanding into the NDIS market.
Government investment in awareness and education about the NDIS allows service providers to focus effort and resources on their core business of supporting people with disability. This becomes particularly important in situations where engaging clients can be challenging. Support for the roll-out of the NDIS in regional and remote WA has included a number of localised communication and engagement activities. Targeted activities to engage Aboriginal and Torres Strait Islander (ATSI) people has been undertaken, such as group and one-to-one information sessions, workshops and yarning sessions.
Key lessons:
- Support service providers in regional and remote areas to develop effective and efficient models of service delivery suited to their local market.
- Employ a collaborative cross-sector approach in thin markets to identify growth opportunities for non-disability providers.
- Streamline administrative processes and make key market information available to providers considering operating in thin markets.
- Invest in awareness and education about the NDIS to allow service providers to focus resources on their core business of supporting people with disability.
- Consider attraction and retention strategies such as housing, cost of living allowances etc. in remote areas.