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NDIS On Target to Savings – Annual Report


Thursday, 20th November 2014 at 10:21 am
Lina Caneva, Editor
The first annual report of the National Disability Insurance Agency that administers the NDIS says that the economic benefits of the Scheme will outweigh its costs in the long term, saving $20 billion per year by 2035.

Thursday, 20th November 2014
at 10:21 am
Lina Caneva, Editor


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NDIS On Target to Savings – Annual Report
Thursday, 20th November 2014 at 10:21 am

The first annual report of the National Disability Insurance Agency that administers the NDIS says that the economic benefits of the Scheme will outweigh its costs in the long term, saving $20 billion per year by 2035.

The Annual Report, tabled in Federal Parliament, shows that at full rollout, it is expected that only seven per cent of NDIS costs will be spent on administration, with 85 per cent of NDIA staff roles dealing directly with people with disability.

“The long-term economic benefits of the NDIS are estimated to exceed its costs, adding around 1 per cent to gross domestic product and saving $20 billion per year by 2035,” the report said.

The National Disability Insurance Scheme (NDIS) commenced on 1 July 2013. The NDIA is chaired by Bruce Bonyhady AM and the CEO is David Bowen.

The report said that at 30 June 2014, the National Disability Insurance Agency (NDIA) had approved 7316 plans for people with disability, “allowing them access to the reasonable and necessary support they require to lead an ordinary life”.

“Headline results from 2013–14 show that the NDIA’s progress is extremely positive. Costs are under control, the Agency is driving efficiencies and participant satisfaction is extremely high,” the report said.

“The NDIA delivered the Scheme in four trial sites in 2013–14: the Hunter in New South Wales, the Barwon region in Victoria, Tasmania and South Australia. During this time, $130.9 million of support was provided to participants — which is within the funding envelope of $148.8 million.

“Average annualised package costs were $34,600 at the end of June 2014, in line with the $35,000 average estimated by the Productivity Commission. The NDIA ended the financial year with a surplus of $18.0 million.

“Process improvements mean that time taken for participant eligibility determination has fallen from an average of 29.7 days in July–December 2013 to 13.3 days in January–June 2014. And satisfaction levels of participants in the trial sites are very high — 94 per cent rated NDIA planning good, or very good.

“At the close of the financial year, there were approximately 1350 NDIS registered service providers across the four trial sites, providing supports across diverse areas ranging from assistance with personal care to support with accessing and participating in the community, including support with obtaining employment.”

The Report said the NDIA used the Sector Development Fund (SDF) to invest approximately $4.5 million in programs and activities to help both individuals and organisations make the transition from Commonwealth, State and Territory based systems to the NDIS.

The NDIA employed 516 staff across the trial sites and National Office.

“Nearly 11 per cent of this workforce identified as having disability —  compared with around 3 per cent for the Australian Public Service (APS) — and 53 per cent identified as having a lived experience of disability,” the report said.

 


Lina Caneva  |  Editor  |  @ProBonoNews

Lina Caneva has been a journalist for more than 35 years, and Editor of Pro Bono Australia News since it was founded in 2000.


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