National Disability
Insurance Scheme (NDIS):
Service, Citizens & Economic
Challenges & Opportunities for
Local Government in Victoria
Local Government
Human Service Directors &
Aged & Disability Services Managers
Wednesday 11 November 9.30 - 12.30
Joseph Connellan MC Two Pty Ltd
Introductions


Joseph Connellan, Consultant, MC Two Pty Ltd has:

25+ years experience in housing & disability

Worked in policy & program development within Govt

Been Executive Officer in 6 NGOs

Worked for MAV in a policy role ( a long time ago)
Now


Consults to NFP, Government & others around housing, disability &
other areas
Sits on Victorian Disability Advisory Council (VDAC)

Works on strategic plans for housing agencies around NDIS

Facilitated first NDIS housing forum in Barwon

Passionate, realistic, pragmatic supporter of NDIS
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NDIS Impact: Opportunities for Local Government

Biggest reform in 40 years

Rollout at beginning

Challenges and Opportunities
for Local Government:



Services to people with a
disability including and
beyond Local Govt
Citizens as the social and
economic participation of
people with a disability
increases
Citizens
Economic
Service
Economic as extra $2.5bn in
Victoria mainly on
employment
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Background: 1m in Victoria with a disability
& the NDIS
<65 with NDIS
10% = 100,000
<65 need support
no NDIS
7%
65+ or not
require support
83%
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Local Government Strategic Framework
for people with a disability (2011)
Ways Victorian councils can work to create a more inclusive
community for people with a disability & their families & help
meet legal obligations to remove barriers to discrimination:
 Why


Facilitate civic participation & inclusive consultation
Influence community attitudes & perceptions
 Improve employment opportunities
 Foster partnership & collaboration

How









A whole-of council approach
Incorporate access & inclusion objectives in key documents
Improve accessibility of council buildings & infrastructure
Adopt inclusive communication & information approaches
Strategic use of statutory & regulatory roles
Exercise leadership in advocating to other organisations
Promote accessible & inclusive council services, programs &
events
Utilise effective accountability practices
Review & evaluate progress
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NDIS – Big & Different: Economic & Social
NDIS is the biggest social reform in Australia in 40 years which
will create significant service, economic and social challenges
and opportunities.

How big?

460,000 people nationally..2% or 1 in 50 people.

$22bn+ pa by 2019 .. $900 allocated ..$500 spent per person

NDIS will become bigger than aged care (residential & community)

Equal to more than 50% of all Local Government expenditure
45,000
40,000
35,000
30,000
25,000
20,000
15,000
10,000
5,000
0
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Disability Services Aged Care 18/19
(Federal and State (Residential &
Govt) 13/14
Community)
Projected NDIS
18/19
Local Govt
Expenditure 18/19
NDIS: Biggest Social Reform in 40 years

How Different?

Key Elements


Focus on Whole of life cost

Move to Consumer choice

Creation of a national market

Double the amount of money
Key Changes
 From
mostly Government/NFP to mostly Private
 From
Govt managed regional catchment to national market
 From
Govt mandated service standards to consumer choice
 Migration
 New
of Govt staff & corporate knowledge
functions & costs of marketing, individualising & co-ordination
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 Reforming
More
& replacement of the current NFP organisation system
extreme than Compulsory Competitive Tendering (CCT)…?
NDIS Process

We are only at the beginning of a mammoth task

6.5% of NDIS recipients have an approved plan
2012
2022
NDIS Days on 1/11/2015
• 853 days from Scheme Start (1/7/2013)
• 1,157 days to Full Geographic Coverage (1/1/2019)
• Full Coverage progressively after that
Observations - NDS Barwon Trial Site Providers Forum - Oct 2015

Welcomed by providers but has been challenging

Profitability at client level & cash flow are key issues

NDIS has lead to growth & more funding

NDIA & system has been in development

Staff is emerging issue (demand & casualization)
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NDIS Progress (con’t)

Bi-Lateral with Victoria signed

Rollout timelines announced

Specialist Disability Housing Schedule J released

First Local Area Coordination (LAC) Tender Announced

Assist people with disability, their families and carers to
build and pursue their goals for a good life, exercise
choice and control and engage with the Scheme.

Ensure that people with disability can be supported
outside the Scheme by working with communities and
mainstream services to build awareness and to become
more inclusive of the range of needs and aspirations of
people with disability.
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Services

NDIS this will have a profound impact on the scale and
viability of many services including Council’s own direct
services

There is likely to rebalance from not for profit and
Government to private sector

Larger providers are likely to emerge which may centralise
outside of the catchment.

Service models are likely to change radically with the focus
on hole of life cost

Possible Directions: Reconfigure Council provision of services
to people with disability in context of NDIS


Example Action: Test Council services configurations for
viability in NDIS future
Possible Directions: Seek to attract large providers

Example Action: Provide briefings for large providers on
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virtues of locating in the catchment
Economic
Citizens
Service
Citizens

It is in interests of the Council and citizens that they:

Are aware of the NDIS

Register if eligible

Have the impact of their disability fully assessed

Receive a package of services that is comprehensive,
effective and linked to the right long term goals

NDIA has leadership on this largely through LAC and
providers promoting access

Risk is that some areas and cohort will be underserviced

Possible Direction: Promote an understanding of the NDIS
to people with a disability & their families


Example Action: Partner with the LAC provider in
their communication activities
Possible Direction: Facilitate information exchange
amongst NDIS recipients and families

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Example Action: Target resourcing to the development
and support of NDIS recipients and carers groups
Economic
Citizens
Service
Economic

NDIS represents a large and increased economic activities
and employment opportunities (perhaps double or more)
There will also be redistribution away from historical
accumulations and under/overprovisions
Larger LGA
Small LGA
Population
150,000
15,000
NDIS recipients full scheme
2,875
288
NDIS Spend pa
$97.8m
$9.8m
Economic
Citizens


Possible Direction: Inform key council decision makers on
potential economic impact


Example Action: Brief Council Economic Development
staff on likely NDIS spend and employments growth as
well as potential impact on providers
Possible Direction: Support Local Providers Adaption

Example Action: Facilitate co-operative development
work with local agencies to promote survival and growth
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(possibly in partnership with peaks such as NDS)
Service
Summary


NDIS

Roll out timeframe is now clear.

Impact will huge but is unknown

Will reshape community services including Council
NDIS Local Government Challenge and Opportunities

Services, Economic and Citizens

Need to consider broad as well as narrow

First step is developing common understanding amongst
all council stakeholders of:

NDIS scale

Potential impacts

Timeframes

Joseph Connellan, MC Two Pty Ltd

0438 388 444 or joseph.connellan@mctwo.com.au
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