Jan 31, 2020

Targeted support to improve residential age care services

The Australian Government is committed to ensuring senior Australians can access high quality care through aged care providers.

Minister for Aged Care and Senior Australians, Richard Colbeck, today announces a targeted aged care Business Improvement Fund (BIF) of almost $50m aimed at supporting facilities and improving business operations, ensuring the needs of seniors are met.

“We recognise the expectation of higher quality and appropriate care for our loved ones comes at a cost and some providers need help to meet these standards,” Minister Colbeck said.

“As the Royal Commission continues its important work, new safety and quality standards are implemented and a new residential care funding model is trialled, targeted support from the BIF will be available to eligible facilities to improve their capacity to deliver care.”

Minister Colbeck said the targeted support would help each eligible residential aged care provider manage costs without compromising the care of residents.

The funding builds on the Morrison Government’s Business Advisory Service (BAS) to assist eligible providers’ operations into the future.

Eligible applications from services in rural and remote areas who have utilised the BAS and those affected by this season’s bushfires will be prioritised.

To qualify for grants, aged care providers must have limited access to other funding sources, be in a financial position impacting on the ability to care for residents, and have a clear strategy for business improvement.

Grants will support eligible aged care providers to do one of the following:

  • Implement improved business strategies, such as those identified by the aged care Business Advisory Service. Examples include restructuring business operations and upgrading of financial management and IT systems;
  • Maintain services while the aged care residence is sold to a new provider which can make it viable and sustainable;
  • Where there is no other option, close down the home in a safe and orderly manner and transition residents to alternative suitable facilities.

Applications for grants from the fund are expected to open at the end of February 2020.

Services which receive grants will be closely monitored for business viability, quality of care and use of the funds.

Further information can be found on the Department of Health website.

Image: sturti, iStock. Models are posed, stock image.

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