National Disability Insurance Scheme (NDIS) MAV Human Services Directors Forum Barny Lee Director, Market Stewardship and Analytics 27 July 2017

Agenda First year progress Focus for improvement Update on key policy and resources for providers

What the first year looked like in Victoria Timing of rollout z z Participants 2016 2017 2018 2019 11,823 participants with plans 124% increase in 9 months Represents 16% of participants nationally z Providers 1,935 providers registered 116% increase in 9 months Represents 28% of providers nationally 86% of bilateral estimate in VIC1 Note: All figures as at 31 March 2017 1 Calculated by dividing the number of participants with plans as at 31 March 2017 by the cumulative intake estimate for Q3 2016-17 from the bilateral agreement SOURCE: NDIA Scheme Actuary, VIC Bilateral Agreement

What the first year looked like nationally Timing of rollout 2016 2017 2018 2019 NT 291 Participants 336 Providers QLD WA 5,053 Participants 1,046 Providers 3,440 Participants 632 Providers NSW SA 36,035 Participants 3,322 Providers 11,052 Participants 947 Providers ACT VIC 5,988 Participants 687 Providers 11,823 Participants 1,935 Providers TAS 1,877 Participants 616 Providers National totals Participants 75,567 participants with plans 150% increase in 9 months Providers 6,814 providers registered 94% increase in 9 months Note: All figures as at 31 March 2017 SOURCE: NDIA Scheme Actuary

The NDIA has a clear focus on responding to review activities Productivity Commission Position Paper The NDIA is considering the draft PC findings, and we will continue to work cooperatively with the PC in the lead up to its final report. NDIA commissioned McKinsey & Company to undertake an Independent Pricing Review The Independent Pricing Review has commenced and McKinsey will shortly engage with the sector directly as part of the review. Participant and Provider Pathway review Since early April 2017, the NDIA has been undertaking a review to improve the way it interacts with participants and providers.

Participants and Provider Pathway Review Providers Improving the participant pathway will also assist in provider experience.

Pricing Changes for 2017/18 Price amendments to price limits for registered providers for FY 2017/18 were announced by the NDIA in June. Key changes included: 4.5% increase for daily activity and community participation supports 1.9% increase for capacity building supports 2.1% increase for capital-related supports including SDA No change for therapy services The changes are applicable for services delivered on and after 1 July 2017 and remaining funds in plans will be adjusted accordingly. Separate claims are necessary when applying pre and post 1 July prices Current agreements/ service bookings remain valid until completed or varied. Existing service bookings can accommodate 2017/18 pricing where this has been explicitly agreed with the participant.

Market stewardship activities in action Growing the Specialist Disability Accommodation market: SDA rules are in effect, and provide certainty for investment Supported Independent Living pack ensures a more efficient and nationally consistent process Intermediaries project Feedback from range of intermediaries including 1:1 interviews with 30+ providers COMMISSIONING PRICE REVIEW ENGAGEMENT SIGNALLING EDUCATION INTERVENTION

Growing the Specialist Disability Accommodation market Specialist Disability Accommodation (SDA) rules are in effect, and provide certainty to providers about investment in the model. The NDIA’s pricing approach has two objectives to accommodate past disability related supported accommodation models set the direction for the future of innovation in SDA housing- to increase smaller forms of accommodation and move away from large congregate care models. The SDA amount included in a plan depends on the housing type and location, and any additional features as outlined in the SDA price guide. More information is available on the provider section of NDIS website: https://www.ndis.gov.au/specialist-disability-accommodation.html

A better Supported Independent Living (SIL) process As of 1 July 2017, all providers must use the new SIL pack and quoting tool when they submit quotes for these services. The SIL pack ensures a more efficient and nationally consistent process, which will enable provider quotes to be assessed in a more timely and responsive manner. The SIL tool calculates an appropriate cost range, based on the Provider’s proposed care hours for each participant. Planners can then compare proposed care hours and pricing with information provided by the tool. Planners are able to use the SIL tool information to assess reasonable and necessary supports more quickly.

A shared vision on improving intermediary supports PROPOSED CHANGES AND IMPROVEMENTS Simple self direction Providing improved data sharing to enable scalability and better participant supports. Participant choice Simplifying administrative and system arrangements to support market growth and participant choice. Focus on design Focus on assisting participants to continuously improve their outcomes over time and connecting to providers and community supports Clear expectations of outcomes Improve definition of intermediaries roles (within NDIA and externally) Independence Ongoing review of independence and conflict of interest requirements and how best to manage this for intermediary functions.

NDIS ready NDIA resources available at: www.ndis.gov.au/providers • Provider toolkit: – Registration information – Terms of Business – Guide to suitability • Price Guide and CSV support lists • Specialist Disability Accommodation Resources • Updated Operational Guidelines (incl. supports that can be funded) • Market information incl. provider and participant dashboards; quarterly reports Stay informed through our online resources: • Sign up for Provider Newsletter • Webinars • Social media • Check state information Participate in local engagement events: www.ndis.gov.au/news/events/all