Changes to Aged Care and HACC PYP Services

At a Council meeting in July 2019, Council endorsed exiting the Commonwealth Home Support Program (CHSP) and the state funded Home and Community Care Program for Young People (HACC PYP - Under 65) program by July 2022, due to significant reforms introduced by the Commonwealth Government relating to the provision of aged care services including home based aged care.

From 30 June 2022, Council will cease delivering services under the Commonwealth Home Support Program (CHSP), Home and Community Care Program for Young People (HACC PYP - Under 65) and HACC Support for Carers program.

Impacted programs and services includes:

• Domestic assistance
• Personal Care
• Respite Care
• Property maintenance and home modifications
• Social Support Individual
• Social Support Groups
• Carer Support Group
• Delivered Meals (Meals on Wheels)
• Access & Support (Dementia & At Risk)

These services will be delivered to clients by other service providers from 1 July 2022. 

There will be no changes to current services. Clients will not be required to find a new provider.

The Commonwealth Government is implementing significant Aged care reforms. These reforms commenced in 2016 when the Commonwealth assumed full funding, policy and operational responsibility of aged care services in Victoria.

It is anticipated there will be the need for further change, as a result of the recently released report by the Royal Commission into Aged Care.

The range of Aged Care reforms currently being implemented by the Commonwealth Government are focused on improving the quality of care in the aged care system.  

Government’s agenda is to create a consistent and affordable program nationally, with a suite of aged services from entry level home support through to residential care.

The key philosophies and principles that underpin the reform are:

• simpler to navigate, with face-to-face services to find care
• empowers senior Australians to make informed choices
• is strongly regulated
• is more transparent
• makes sure providers are accountable; and
• values and grows the aged care workforce.

Latrobe City, like many other Victorian Councils, has explored the changing service environment and reviewed current services to determine the potential impacts on service delivery, including the community’s ability to access quality in home care services.

In line with the key directions of the National Aged Care Reforms, it is anticipated existing funding arrangements will be replaced with a competitive market model involving full fee for service and competitive tendering from 1 July 2023.

Under the changes being implemented by the Commonwealth Government significantly higher ratepayer investment would be required, and Council would not be able to adapt to meet these requirements nor offer the suite of services expected as a funding package.

It is unknown whether the reforms will support local governments to continue as a provider of Aged Care Services after 30 June 2023.

Exiting at this time provides Council with the opportunity to influence future service provision to best support the Latrobe City community.

Council is taking a considered and responsible approach to changes in the care sector to ensure clients and the broader community has access to local services that are responsive, affordable and of a high quality to support and enable members of our community to remain living safely at home.

Following Council endorsement in July 2019, Latrobe provided notification to the Commonwealth and State Governments of the intention to transition out of Aged and HACC PYP services. Existing clients, staff and volunteers were also informed of Council’s decision at this time.

Latrobe is currently working with the Commonwealth and State Governments to provide them with information and advice that will assist both governments in their consideration of the appointment of new providers who will take over these services from Council, on behalf of Government.  The services are not being privatised by Council.

Council will seek confidence that suitable service providers have the same approach to the quality of care and staffing support, as currently experienced, including the potential capacity of any new provider to employ existing staff.

Council is also exploring alternative ways to support older and  more vulnerable community members once it is no longer involved in direct care service delivery.

There will be no immediate changes to the current services offered to clients.  The transition of service delivery will occur from 1 July 2022. 

Council officers will continue to work with all clients, as well as the State and Commonwealth Governments and local Service Providers, to transfer service/s to another service provider to commence on or by 1 July 2022.

You do not need to do anything, clients will not be required to find a new provider.

Council remains committed to ensuring clients receive updates on the transition of Council managed in home and other aged care services at each stage of the process.

Council will contact all clients to provide information that is specific to their circumstances as further information becomes available.

There should be minimal changes.

Services are to be delivered under the same Quality Standards that Council must abide by. Specialised service providers may have different ways of supporting service delivery. It is anticipated any changes would be positive.

The delivery of services under the HACC PYP - Under 65 and CHSP programs must be compliant with the relevant body’s fee guidelines.

There will be no immediate change to staffing or volunteering.  Staff and volunteers are valued members of our Aged and HACC PYP Services team.

When Council withdraws from direct care services, the staff who are no longer required will be fully supported and any employer obligations will be met.

Council is committed to working closely with staff throughout this process, and will also work with any new providers to explore future employment opportunities for our local staff

Council values the contribution of all members of our community and will continue to invest in services that meet and supports the needs of older community members.

Council will work with the community and key partners to ascertain Council’s future role, in line with our Council Plan and Municipal Health and Wellbeing Plan.

Council will continue its role in strategic planning and advocacy to ensure the community has equitable access to services.

Should you wish to speak to a member of our Aged Care or HACC Services teams about the transition process, please contact Council on 1300 367 700.