Department of Social Services
Provisional Stage One findings of the stocktake of regulation
Areas of high burden
1. Social security

Social Security was found to have the highest regulatory burden in DSS.

The scale of this burden was mainly due to the large population impacted by the
legislation. The major regulatory impacts include:

o
the application process for the various social security payments (this is generally
considered to take 1-4 hours, and as millions of people are in receipt of these
payments the cumulative burden is considerable);
o
reporting requirements for various payments, such as reporting against activity
tests or participation requirements;
o
reporting change of circumstances (we estimate there are 4,500,000 instances
where a notifiable event is reported annually).
Income management also imposes a regulatory burden on people and businesses.
o
However, while it can involve a lot of interaction with Government, it only affects a
small population and therefore the overall burden is smaller.
***
2. Aged care

Based on the audit findings, the regulatory requirements associated with aged care have
been categorised as having a high burden.

The level of compliance burden differs across the aged care system.
o
Most of the burden is felt with those activities specified under the
Aged Care Act 1997 (the Act) e.g. Home Care and Residential Care.
o
The compliance burden on individuals and providers for the programmes not
under the Act (the Commonwealth HACC Program, National Respite for Carers
Program, Day Therapy Centres and Assistance with Care and Housing for the
Aged) is significantly less.
1
o
39 per cent of the overall regulatory burden in the aged care space relates to
residential aged care, 25 per cent relates to Home Support, 5 per cent relates to
Home Care, and 32 per cent relates to both residential and home care.

The bulk of regulatory burden in the aged care space relates to assessing (and
reviewing) the needs and financial circumstances of consumers and entering into
agreements with consumers.
o
This is largely because the audit captures requirements placed on individuals and
not just providers.
o
Assessment-related compliance impacts have the highest impost because
providers and individuals are both affected. Many of the other
processes/requirements captured by the audit relate solely to providers.
o
The intensity of this activity is most keenly felt at the residential care end of the
system.

These assessments primarily include:
o
The Aged Care Assessment (ACAT)
o
Assessments for community care programs i.e. Commonwealth HACC Program,
National Respite for Carers Program etc


o
A Centrelink assessment of financial status
o
The Aged Care Funding Instrument appraisal
And the agreements include:
o
A Home Care agreement
o
A Residential Care agreement/s
The compliance impact with the highest burden relates to the ACAT assessment.
o
This process has resulted in a high impact because of the time taken to conduct
the assessment and the large number of people who undergo the assessment.
o
It has been assumed that the initial ACAT assessment, reassessment and annual
review takes one day annually of an individual’s time.

The processes surrounding quality assurance of aged care providers makes up a smaller
component of overall regulatory burden, although the processes are time
consuming. These quality assurance processes include:
2
o
Applying to become an approved provider
o
Applying for accreditation
o
Applying for certification
o
Ongoing quality assurance checks (e.g. review audits, unannounced visits,
reaccreditation audits, quality reporting)

The underlying assumptions for these processes are:
o
It takes a provider more than a week to apply to become an approved provider.
o
It takes a provider more than a week to apply for certification.
o
In relation to ongoing quality assurance checks, it takes more than a week
annually of a provider’s time to perform all related activities.

The processes surrounding the allocation of aged care places, while time consuming for
providers, make up a relatively small component of overall regulatory burden.
o
These processes include the allocation of places through the Aged Care
Approvals Round (ACAR), the allocation of places through other mechanisms
(e.g. providers preparing submissions seeking places through the Indigenous
Flexible, Emergency Care, Transition Care and Multipurpose Services
programmes) and the movement of places.

The relative level of burden is a reflection that this activity occurs less frequently than
annually. However, it is recognised that applying through the Aged Care Approvals
Round (ACAR) is a very intensive process with providers required to apply for Home
Care places and/or Residential Care places at the outlet level (rather than the
organisational level). However, when considered in proportion to all compliance activity
across the aged care system within a 12 month period this is relatively low.

The reporting application and reporting requirements under aged care grant programmes
is comparable with other grant programmes the Department funds.
***
3. Disability Employment Services analysis

3
The regulatory requirements associated with Disability Employment Services have also
been categorised as having a high burden.

The bulk of regulatory impact for Disability Employment Services (81 per cent) is
associated with the mandatory number of contact requirements. Contacts may cover:
o
functional capacity evaluations, physical assessment or other assessments to
determine a participant’s limits or abilities;
o
discussion of job search activities;
o
identification of and referral to appropriate activities;
o
reviewing progress and discussion of ways to overcome barriers;
o
reviewing and updating their Employment Pathway Plan; and
o
reviewing any change in circumstances and updating a participant's Job Seeker
Classification Instrument.

It is difficult to determine the exact frequency of contact appointments due to participants
having different requirements. For this task, it has been assumed these contacts occur
on average at least monthly (which is the best fit available using the costing tool) and
take up less than an hour of an individual’s time.

The requirement for DES providers to report various information to the Department
accounts for around 12 per cent of the regulatory impact for the programme. The
majority of this impact is comprised of the following reporting requirements:

o
Payment claims (makes up 87 per cent of all reporting requirements)
o
Program Summary Report on Participants' progress (9 per cent)
o
Star Ratings indicator reporting (2 per cent)
Assessments of eligibility and needs across the various activities within the programme
account for only 4 per cent of overall regulatory burden.
o
o

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Assessments include:

Employment Services Assessment

Supported Wage Assessment

Ongoing Support Assessment

Workplace Modifications Assessment

Employment Assessment Fund Assessment

Move 2 Work Programme Assessment

Risk Assessment for Disability Employment Services Work Experience
Activities; and

Assessment to directly register and commence participants not
receiving income support payments.
It has been assumed most of these assessments take between 1 to 4 hours
to complete.
An application to become a DES provider accounts for about 2 per cent of the regulatory
impact of the programme.
o


It has been assumed it takes an organisation between 1 and 5 days to complete
the application.
The processes surrounding quality assurance of DES providers makes up a relatively
small component of overall regulatory burden. These quality assurance processes
include:
o
Full certification audit
o
Surveillance audit
o
Site visits
The underlying assumptions for these processes are:
o
It takes a provider more than a week to participate in the full certification audit
o
It takes a provider between 1 and 5 days to participate in the surveillance audit
o
In relation to site visits, it takes between 1 and 5 days of a provider’s time
annually.
***
4. Family Assistance

Family assistance payments have been assessed as imposing a high burden.

This is largely due to the large number of individuals impacted by these payments.

There is no regulation imposed on businesses or community organisations, all the
regulation is imposed on individuals.

The biggest burden relates to individuals notifying DHS of a change in their
circumstances and being required to report certain information to DHS regarding their
FTB payments.
o

FTB reporting requirements account for 63 per cent of overall regulatory impact for
family assistance payments.

The application process also has a high compliance impact.
o
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For example, some customers are required to inform DHS that they are not
required to lodge tax return, and some customers are required to report to
DHS that a health check has been completed).
DHS receives over 500,000 applications for FTB a year, and on average it is
estimated that each application process takes less between 1 and 4 hours to
complete.
Areas of medium burden
1. Communities
 There are two community related programmes:

o
Community Investment Programme; and
o
Allowances, Concessions and Services for Seniors Programme.
Together these programmes are considered to impose a medium compliance
burden.
Community Investment Programme

The application process for community capacity building projects under the
Community Investment Programme is taking 1-5 days to apply.

The application process for volunteer grants under the Community Investment
Programme is taking 4-8 hours to apply per annum. Approximately 10,000 to 50,000
organisations apply annually.
Allowances, Concessions and Services for Seniors Programme

Allowances, Concessions and Service for Seniors Programme has an onerous
application process (1-5 days) and reporting requirements (1-5 days).
***
2. Housing and Homelessness

The Housing and Homelessness framework includes the following programmes:
o
National Rental Affordability Scheme
o
Housing Assistance and Homelessness Prevention Program
o
Housing Affordability Fund Program

Together these programmes and initiatives impose a medium regulatory burden.

Most of the regulatory impact for this framework, at 94 per cent, is associated with
reporting requirements, with the rest related to the application process.
National Rental Affordability Scheme

The following compliance impacts have been identified for the National Rental
Affordability Scheme:
o
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The process relating to activating an incentive. It has been assumed this process
takes between 1 to 4 hours.
o
The process relating to transferring/changing/withdrawing allocation of incentive.
It has been assumed this process takes on average between
1 to 4 hours for the participant to complete.
o
Preparing the Annual Statement of Compliance. It has been assumed complying
with this annual statement takes between 1 to 4 hours.
Housing Assistance and Homelessness Prevention Program

The compliance impacts identified for this programme mainly relate to reporting
requirements (i.e. annual progress reports, annual financial acquittal statements and
quarterly data input on the number of clients assisted and outcomes), which are
assumed to take between 1 and 4 hours quarterly.
Housing Affordability Fund Program

The compliance impacts identified for this programme all relate to reporting
requirements. The financial reporting requirements have the most impact, followed by
project performance reporting.
***
3. Financial Management Programme

The Financial Management Framework is comprised entirely of the Financial
Management Programme. It imposes a medium burden and includes the activities:

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o
Home Energy Saver Scheme
o
Money Management services
o
Commonwealth Financial Counselling
o
Emergency Relief
o
Microfinance and matched savings initiative
o
National Information Centre on Retirement Investments
Most of the regulatory impact, 63 per cent, relates to the requirements for funded
organisations to report various pieces of information to the department. These
reporting requirements can be broken down as follows, in terms of total reporting:
o
Performance (45%)
o
Approved money management course schedule (30%)
o
Financial (15%)
o
Evaluation (7%)
o
Activity work plans (2%)
o
Participation in site visits and reviews (<1%)

The rest mostly related to the requirement for workers to complete (within six
months) units of study specific to the programme.

Applications for funding account for the remaining 5 per cent of the regulatory impact
of the programme.
***
4. Family Support Programme

This programme was found to have a medium level of burden.

Almost three quarters of its regulatory impact is associated with the requirements to
assess eligibility and needs across the various activities within the programme.
o About 60 per cent of this impact falls on organisations (43% of total impact
across the programme)

Individuals interacting with the programme experience the remaining 40 per cent of
this impact (30 per cent of total).

The requirement for funded organisations to report various information to DSS
accounts for around 21 per cent of the regulatory impact of the Family Support
Programme. This includes performance (6%), financial (5%), and VADCAS (4%)
reporting, as well as other minor reporting.

Applications for funding account for about 5 per cent of the regulatory impact of the
programme.

Does anyone have any questions or comments about the overall findings in relation
to the Family Support Programme?
***
5. Child support

8
Based on the audit findings, the Child Support Scheme (relative to other programmes
within the Department of Social Services) carries a medium regulatory burden.

While there may not be many processes imposed on individuals, some processes
can be time consuming and impact on a large population.

The vast majority of the regulation is imposed on individuals.

And of the regulation imposed on individuals, the biggest burden is imposed through:
o
the application for child support process, and
o
the change of assessment process.

Both of these processes impact on receiving and paying parents.

On average, it is estimated that each child support application process can take
between 4-8 hours and there are approximately 75,000 each year.

There are approximately 20,000 change of assessment applications each year, and
the process can take considerably more time (1-5 days in total) than an initial
assessment.
***
6. Disability grant programmes analysis

This part of the audit includes all activities under the:
o
Services and Support for People with Disability programme
o
Early Intervention Services for Children with Disability programme; and
o
Targeted Community Care programme

It does not capture the Disability Employment Services Programme or the National
Disability Insurance Scheme, which we’ll discuss separately.

The regulatory requirements associated with disability grant programmes has been
categorised as having a medium burden.
o

Eligibility and assessment processes relating specifically to the Targeted Community
Care Programme account for over 50 per cent of overall regulatory impact in the
disability grant space.
o

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Assessments/agreements account for around 60 per cent of the overall
regulatory impact.
It has been assumed providers conduct these assessments at least weekly and
they take between 1 to 4 hours of a provider’s time.
The requirement for funded organisations to report various information to the Department
accounts for around 30 per cent of the regulatory impact for disability grant programmes.
The largest reporting requirements relate to performance (11%) and financial (2%)
matters.

In relation to performance reporting, it has been assumed that on average it takes
between 1 to 5 days a year of a provider’s time to complete.

The processing of payment claims by service providers under the Early Interventions
Services for Children with Disability Programme accounts for 14 per cent of the overall
regulatory impact.
o

Regulatory requirements associated with disability grant application processes accounts
for around 7 per cent of overall regulatory impact.
o

It has been assumed providers perform this activity monthly and it takes between
1 to 4 hours of their time.
It has been assumed that it takes a provider on average between 1 and 5 days to
complete.
Another reporting requirement that runs across a number of disability grant activities is
the Disability Service Census. It has been assumed it takes a provider between 1 and 5
days to provide the required information.
Breakdown by programme



***
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Services and Support for People with Disability programme
o
Assessment accounts for 46 per cent of the regulatory impact for the programme;
o
Reporting accounts for 34 per cent; and
o
The application process accounts for 19 per cent.
Early Intervention Services for Children with Disability programme; and
o
Assessment accounts for 5 per cent of the regulatory impact for the programme;
o
Processing of payment claims accounts for 58 per cent
o
Reporting accounts for 29 per cent; and
o
The application process accounts for 8 per cent.
Targeted Community Care programme
o
Assessment accounts for 89 per cent of the regulatory impact for the programme.
o
The remaining regulatory impacts across the programme collectively contribute to
around 10 per cent of the total and relate to the reporting and application
requirements on organisations.
7. National Disability Insurance Scheme (NDIS)

The regulatory requirements associated with the NDIS has been categorised as having a
medium burden.

The bulk of regulatory burden associated with the NDIS relates to reporting
(80 per cent).

The compliance impact with the highest regulatory burden relates to
self-management reporting.
o
This process has resulted in a high impact largely because of the time taken and
the frequency of this reporting.

The compliance impact with the second highest regulatory burden relates to providers
submitting payment claims online through the provider portal.

The development and ongoing maintenance of the NDIS Participant Plan is the third
highest compliance impact.
8. Paid Parental Leave
***
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
The audit identified that the Paid Parental Leave Scheme has a medium regulatory
burden.

Most of it, about 88 per cent, falls on employers.
o This is a result of employers’ role as pay master for parental leave payments
and reflects the requirements associated with employers establishing and
undertaking this role.

The remaining regulatory burden of the scheme, about 12 per cent, is on people
required to apply for Parental Leave Pay or Dad and Partner Pay, and notify any
changes to eligibility.
Areas of low burden
1. Multicultural and Settlement Services

The Multicultural and Settlement Services framework includes grant programmes and
funding to support social cohesion and meet settlement needs, including:
o
Diversity and Social Cohesion Programme (DSCP)
o
Multicultural Arts and Festival Grants (MAFG)
o
Settlements Grants Programme (SGP)
o
Support for Federation of Ethnic Communities’ Councils of Australia
(FECCA), the peak, national body representing Australians from culturally and
linguistically diverse backgrounds
o
Support for the National Accreditation Authority for Translators and
Interpreters (NAATI) in the provision of an effective credentialing framework
for translators and interpreters.

Together these programmes and initiatives impose a relatively low regulatory
burden.

Most of their regulatory impact, more than 67 per cent, results from performance and
financial reporting requirements on funded organisations, with most organisations
assumed to spend up to a week meeting these requirements annually.

Only the requirement on FECCA to provide an activity work plan every financial year
and various reporting requirements on NAATI were estimated to take more than a
week.

The remaining impact relates to requirements associated with applying for and
establishing the grant funding, with this estimated to take up to one day.

These assumptions are similar to timeframes associated with other departmental
programmes.
***
2. Carers


12
There are three carer related activities with compliance impacts under the Support for
Carers Programme:
o
Young Carers Respite and Information Services;
o
MyTime Peer Support Groups for Parents of Young Children with Disability; and
o
The previous National Carer Awareness Campaign (ended in June 2013).
Overall, this programme is considered to impose a low burden.
Young Carers Respite and Information Services


The eligibility assessment process accounts for over half of the regulatory impact for this
service.
o
Assessment of a client’s eligibility for assistance through the Young Carers
activity is generally done over the phone and should take no longer than
10-15 minutes of the individual’s time.
o
This may take longer if the assessment is conducted in a face to face meeting or
if the client is new to the service.
Reporting requirements on providers account for nearly a quarter of overall regulatory
impact for this activity.
o
It is difficult to determine how long it takes each provider to complete reports.
o
For the purposes of the audit, it has been assumed it takes a provider one week
to complete their six monthly performance reporting and it taking one week to
complete their annual financial audited acquittal.

The application process makes up a small percentage of the overall regulatory impact.

Providers delivering the Young Carers activity have only ever had to apply for funding
once when the activity commenced in 2004/05.
MyTime Peer Support Groups for Parents of Young Children with Disability

Three compliance impacts have been identified for this activity – the application process
and two reporting requirements.

The reporting requirements and application process are the same as for the Young
Carers Respite and Information Services.
***
3. Women and Children

For the purpose of the audit of regulatory stock, the Women and Children Framework is
comprised of the following activities:
o National Framework for Protecting Australia’s Children
o
Gender Equality for Women Programme

These programmes were found to have a relatively low regulatory burden.

The requirement for funded organisations to report information to the department
accounts for the majority of regulatory impact of these programmes, at 59 per cent.
13

This impact is comprised of the following reporting requirements (in terms of total
reporting):
 Performance (42%)

Activity work plans (39%)

Financial (10%)

Evaluation (8%)
(Note: Rounding results in the total of these amounts equalling less than 100%)

The remaining regulatory impact, 41 per cent, relates to the requirements on
organisations in applying for and establishing funding.

This proportion of reporting to application related burden is similar to other comparable
programmes within the department.
***
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