The transition period to the new pricing arrangements for group-based supports under the National Disability Insurance Scheme (NDIS) is set to conclude on 31 December 2023. This shift is significant for providers who deliver group-based social and community participation supports as core services. It is essential to understand these changes to ensure compliance and to continue delivering quality services to participants.
Overview of the New Pricing Arrangements
The new pricing structure aims to enhance the delivery of group-based supports by ensuring that funding aligns more closely with individual needs and service delivery costs. The key change is the move from a fixed group rate to a more flexible pricing model, where the hourly rate for group activities is divided by the number of participants in the group.
Example of Implementing the New Pricing Model
Consider a provider who delivers group-based supports to 20 participants in their centre, supported by 4 workers. Under the transitional pricing, these participants are charged at the 1:5 weekday, daytime standard rate. If the provider continues to support these participants as one large group under the new pricing arrangement, they may face a reduction in revenue, threatening the financial viability of the service.
To adapt, the provider can split the group into smaller units, for example, four groups of five participants, each supported by one worker. This restructuring allows the provider to meet the new pricing requirements while still delivering effective support. Additionally, providers may choose to offer different activities within each group, tailored to the individual needs of participants.
Scenarios in Group-Based Support Activities
The transition also impacts specific scenarios within group-based support activities, such as shopping for ingredients for a cooking class. Here are two examples illustrating how these activities might be affected:
Scenario 1: Independent Living Skills
Participants aim to increase their independent living skills to move out of home in the next few years. The provider estimates that shopping for ingredients will take 30 minutes. Although this may limit the cooking session, shopping for groceries is an essential independent living skill. If both the provider and participant agree, the time spent shopping as part of their face-to-face activity can be justified to achieve their goals. However, these costs are not likely to be appropriate Non-Face-to-Face (NF2F) costs.
Scenario 2: Socialisation Goals
Participants attend a centre for group activities for two hours each week, with the goal of socialising with friends. If the provider and participant agree, it may be appropriate to claim the shopping time for ingredients as a NF2F support, split among the participants. This flexibility allows for more personalised support planning.
Enhancing Participant Experience Through Tailored Activities
Providers are encouraged to diversify the activities offered within group supports to better meet the individual needs of participants. For instance, a group of participants who share a love of music may regularly attend a centre designed for high support needs. They might decide to attend a series of free concerts in the community, enhancing their social and cultural engagement.
In such cases, even if the participants are out of the centre for the activity duration, they may still be charged the Centre Capital Costs for the full session since the centre remains available to them if needed. This approach ensures that participants can enjoy varied and enriching experiences while maintaining the necessary support structures.
Conclusion
The transition to the new pricing arrangements for group-based supports under the NDIS is a significant shift aimed at improving the alignment of funding with individual needs and service delivery costs. Providers must adapt by restructuring their service delivery models, diversifying activities, and ensuring compliance with the new guidelines. By doing so, they can continue to offer high-quality, tailored support to participants, enhancing their social and community participation outcomes.
For more detailed information on the new pricing arrangements and how to implement them, providers should refer to the NDIS Pricing Arrangements and Price Limits documentation. This guide is designed to support providers in navigating the changes and ensuring a smooth transition for their services and participants.
