Second Reading SpeechMr TEHAN (Wannon - Minister for Education)
That this bill be now read a second time.
I am pleased to introduce the Aged Care Legislation Amendment (Improved Home Care Payment Administration No. 2) Bill 2020.
This bill amends the way that home-care providers are paid government subsidy such that home-care providers will only be paid subsidy for the care and services delivered to a home-care recipient during a month, with Services Australia retaining the unspent Commonwealth subsidy for which a home-care recipient is eligible to receive each month.
This builds on changes made by the Aged Care Legislation Amendment (Improved Home Care Payment Administration No. 1) Bill 2020 which amends the Aged Care Act 1997 and the Aged Care (Transitional Provisions) Act 1997 such that home-care providers will not receive a payment in advance but in arrears.
Any unspent Commonwealth subsidy withheld as a result of this bill will be available for a provider to draw down on behalf of a home-care recipient as care and services are provided in future. There is no change to a consumer's access to their full subsidy, and no change to the treatment of consumer contributions.
The bill introduces more contemporary business practices into home-care subsidy payment arrangements and brings these arrangements into alignment with other government programs.