Three ways Support at Home providers are failing prudential management rules
ACQSC reviews target Support at Home compliance
- Prudential reviews: ACQSC is reviewing Support at Home provider compliance
- Common gaps: Pricing transparency and service agreements remain key issues
- Regulatory focus: Reviews target financial governance and reporting practices
- Collaborative approach: ACQSC is prioritising education and risk management
The Aged Care Quality and Safety Commission (ACQSC) is undertaking a prudential review of Support at Home providers - and given the early-stage nature of the reforms, lapses are likely.
Minster EllisonPartner Penny Eden, Partner with MinterEllison said most of their work in this area is "proactive", rather than reactive to ACQSC actions, because the reforms are still only new.
But, while Eden is not aware of any compliance gaps among their clients, "given providers are still in the process of adapting to the new framework, it is foreseeable that gaps will emerge", she said.
The review
The ACQSC's review is focussed on three core areas: financial and prudential management, financial reporting compliance, and pricing practices under Support at Home.
The ACQSC is selecting providers for the review based on those with a history of late financial reporting or because they believe a review would support improved compliance and governance outcomes.
Providers must submit documents for the review, and the ACQSC may request a meeting to better understand the operator's financial management processes. Following its assessment, the ACQSC will determine if the provider is compliant, and in most cases will issue providers with recommendations for improvement.
Where non-compliance is identified, the Commission will focus on education and risk management. An agreed timeframe will be set for providers to return to compliance.
However, the ACQSC may take regulatory action where a provider deliberately avoids their obligations or fails to rectify issues.
The common failings
The ACQSC has identified three areas with recurring compliance gaps:
- service agreements that satisfy new legislative requirements particularly around pricing transparency,
- service prices published on My Aged Care, with providers using the correct billable units, and
- Financial and Prudential Management Systems for providers in registration categories 4 (home care) and 5 (nursing care and transition care).
