Chapter 1
The terms of the inquiry
Background to the inquiry
1.1
On 14 October 2008, the Senate referred to the Finance and Public
Administration Committee for inquiry and report by the first sitting day of
April 2009:
The funding, planning,
allocation, capital and equity of residential and community aged care in
Australia with particular reference to:
-
whether
current funding levels are sufficient to meet the expected quality service
provision outcomes;
-
how
appropriate the current indexation formula is in recognising the actual cost of
pricing aged care services to meet the expected level and quality of such
services;
-
measures
that can be taken to address regional variations in the cost of service
delivery and the construction of aged care facilities;
-
whether
there is an inequality in user payments between different groups of aged care
consumers and, if so, how the inequity can be addressed;
-
whether
the current planning ratio between community, high- and low-care places is
appropriate; and
-
the
impact of current and future residential places allocation and funding on the
number and provision of community care places.
1.2
The reporting date was subsequently changed to 29 April 2009.
Conduct of the inquiry
1.3
The inquiry was advertised in The Australian and through the Internet.
The committee invited submission from the Commonwealth Government and
interested organisations and individuals.
1.4
The committee received 121 public and 4 confidential submissions. A list
of individuals and organisations that made public submissions to the inquiry
together with other information authorised for publication is at Appendix 1.
The committee held six days of hearings in Perth on 30 January, Melbourne on 20
February, Canberra on 13 March and 21 April, Launceston on 27 March and
Brisbane on 7 April 2009. Appendix 2 lists the names and organisations of those
who appeared. Submissions and the Hansard transcript of evidence may be
accessed through the committee's website at https://www.aph.gov.au/senate/committee/fapa_ctte/index.htm.
Department of Health and Ageing
1.5
The Department of Health and Ageing (the department) provided a written
submission and appeared before the committee to provide the Commonwealth's position
in relation to the inquiry's terms of reference. However, the committee wishes
to express its considerable disappointment with the level of the department's
assistance to the committee. Not only was the department's submission received
some two months after the due date, it also provided only factual information
and did not address or comment on the major issues of concern raised by
providers and other interested stakeholders many of which are longstanding and
well-known. At the committee's initial hearing with the department on
13 March 2009, it was obvious that the department had not prepared a
response to the significant concerns raised. Senior officers also displayed a
less than forthcoming attitude to the committee and as a consequence the
committee required a further submission from the department and held a second
hearing with officers on 21 April.
1.6
The Senate has referred significant matters to the committee which
impact on a large sector of the community. In doing so, the expectation of the
Senate is that the views of stakeholders will be gained, positions raised will
be tested and having given due consideration to the evidence before it, the
committee will in turn report its findings back to the Senate. As part of this
important process, it is incumbent on officials, as the Commonwealth's
representatives, to assist the committee to the best of their ability and to
provide the necessary information and analysis to support the Government's
policy position. In doing so, the committee is able to come to a considered
position. It is unfortunate that in this instance the department's initial
response to the inquiry was inadequate and its approach less than helpful. As a
result, the committee's final deliberations were delayed and undermined and the
capacity of the committee to effectively review the matter has therefore been
compromised. The direct consequence of this has been to impede the committee's
capacity to report to the Senate on the matter.
Acknowledgement
1.7
The committee thanks those organisations and individuals who made
submissions and gave evidence at the public hearing.
Structure of the report
1.8
The committee's report is structured in the following ways:
-
Chapter 2 provides background information about Australia's
ageing population and current aged care services;
-
Chapter 3 considers arguments for an overall review of the aged
care sector;
-
Chapter 4 considers current funding levels and whether they are
sufficient to meet expected quality service provision outcomes;
-
Chapter 5 examines the current indexation formula;
-
Chapter 6 outlines variations in the cost of service delivery and
considers aged care services for vulnerable groups including the financially
and socially disadvantaged;
-
Chapter 7 addresses the question of whether an inequity in user
payments between different groups of aged care clients exists and considers
initiatives for reform;
-
Chapter 8 reviews the current planning ratio for the aged care
sector and explores the impact of current and future residential care places
allocations on community care.
Note on references
1.9
References to the Committee Hansard are to the proof Hansard: page
numbers may vary between the proof and the official Hansard.
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