Major NDIS Changes: What Participants and Providers Need to Know
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The past year has seen some huge changes to the NDIS, impacting both participants and service providers. These changes have been brought in with the lofty aim of making the NDIS more supportive and sustainable for the future. But, it's clear that this is a challenging time for everyone, and adjusting to the new normal will take some time.
In this article, we'll highlight some of the major changes from the past year. These are just a few updates, and be ready… there’s much more on the horizon. There’s been both critics and champions of them and we’ve had some lively discussions in the Kinora community about what they all mean. But one thing is clear: staying informed and prepared is crucial as we move forward. So whether you're a participant figuring out how these changes affect your plan, or a provider figuring out where your services now fit, understanding these updates is essential.
Let's dive into these key changes and how they might impact you as you move forward.
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The NDIS Review
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The NDIS Review is an independent review initiated by the Minister for the NDIS on October 18, 2022.
The goal of the review is to put people with disability back at the centre of the NDIS by examining the scheme's design, operations, and sustainability. It also looks at ways to make the market and workforce more responsive, supportive, and sustainable.
The final report of the review was released in December 2023, providing a comprehensive set of 26 recommendations and 139 detailed actions to improve the NDIS.
In response to the review, several legislative changes have already been made, with more expected to follow.
For example, new laws that came into effect on October 3, 2024, include updates to the definition of NDIS supports and changes to how plans are managed. These changes aim to clarify what NDIS funding can cover and improve the overall management of the scheme.
While these updates are intended to enhance the NDIS, they may also require you to adapt to new rules and guidelines.
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For you and your family, the NDIS Review aims to create a more participant-focused and efficient NDIS.
The review's recommendations are designed to ensure that the NDIS better meets your needs and provides the necessary supports in a timely and effective manner.
You can expect changes in accessing the NDIS and getting the supports you need. The review suggests simplifying the process, with clearer guidelines and more support during the application process.
Managing your NDIS plan should also become easier, with more flexibility and control over how you use your funding.
The review emphasises the importance of a positive participant experience, aiming for better communication and more personalised support from the NDIA.
However, it's important to acknowledge that these changes might also bring some challenges. As the NDIA works to implement the review's recommendations, there may be periods of adjustment and potential disruptions.
You might experience delays or need to navigate new processes, which can be frustrating.
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For service providers, the NDIS Review brings a focus on creating a more sustainable and supportive market.
The recommendations aim to improve the way providers interact with the NDIS and deliver services to participants. The review highlights the need for a more responsive market that can quickly adapt to the needs of participants.
This might involve changes in how services are delivered and funded. There is a strong emphasis on supporting the NDIS workforce, ensuring that workers are well-trained and supported to deliver high-quality services.
Providers can also expect changes aimed at reducing administrative burdens and improving the overall efficiency of service delivery.
However, these changes may also present challenges. Providers will need to stay informed about the new guidelines and be prepared to adapt their practices. This might involve additional training for staff and adjustments to service delivery models.
The NDIA will provide resources and support to help providers navigate these changes, but it's important to be prepared for a period of transition.
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Support Lists
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The NDIS Support Lists are a set of guidelines introduced to clarify what items and services can be funded by the NDIS. These lists specify approved supports that participants can use their NDIS funds for, as well as items that are not covered. Often referred to as the “in” and “out” lists, they draw a much clearer line in the sand for what won't be covered.
The lists came into effect on October 3, 2024, with the aim of ensuring that NDIS funding is used effectively and appropriately to meet participants' needs.
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he NDIS Support Lists provide clearer guidance on what supports you can access with your NDIS funding. It's important to check these lists to ensure that the supports you want to purchase are approved. This change aims to reduce confusion and ensure that your funds are used for necessary and reasonable supports.
There is a one-year transition period, from October 3, 2024, to October 3, 2025. During this time, the NDIA will focus on educating rather than penalising you if you make a mistake for the first or second time, as long as the support costs less than $1,500.
While the lists aim to be clear, there may still be some grey areas. If you're unsure whether a support can be covered in your plan, make sure to review the lists regularly and consult with your plan manager or support coordinator. This way, you can avoid any issues and make the most of your NDIS funding.
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For service providers, the NDIS Support Lists mean that you need to be aware of the approved supports and ensure that the services you offer are compliant with these guidelines. You'll need to update your offerings and communicate clearly with participants about what is covered under the NDIS.
The transition period for providers was 30 days, ending on November 1, 2024. This means that if you provide a support or service that is no longer considered an “NDIS support,” you will not be able to be paid via a participant's funding.
It's crucial to stay informed about the latest updates and ensure your staff are trained accordingly. If you’re unsure whether your service complies with the new guidelines, contact the NDIA for clarification
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PACE
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PACE is the new computer system developed by the NDIA to replace the existing system known as PRODA. Announced in 2022, PACE is designed to be more user-friendly and efficient, making it easier for NDIA staff, participants, and providers to manage NDIS plans and services.
PACE aims to streamline processes, improve data accuracy, and enhance the overall experience for everyone involved with the NDIS.
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PACE should mean a more efficient experience when interacting with the NDIS. The new system is designed to be user-friendly, making it easier to manage your NDIS plan and track your funding with real-time updates.
However, as often happens with big system changes, there have been significant delays with new plans. If you are waiting on a new plan or need changes, you may experience longer wait times than usual as a result of the new system.
PACE introduces new support categories and a different look for NDIS plans. The number of support categories that could be included in your plan increased from 15 to 21, and funding is now described as a whole amount per support type. The support types include Core, Capacity Building, Capital, and a new type called Recurring.
If you have agency-managed supports, you can endorse your providers as “My Provider” in PACE, to allow for quick payment of their invoices. You should only do this if you trust your provider. If you are plan managed, you can endorse your plan manager to pay all your invoices swiftly.
The transition to PACE will occur gradually. All new participant plans are being created in PACE, and existing participants will roll over to PACE when their plan is up for renewal. All NDIS plans should be on PACE by May 2025.
If you have any questions or need assistance with the new system, the NDIA and your support coordinator or plan manager will be there to help you transition smoothly.
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For service providers, PACE represents a significant upgrade to the current system. The new platform should streamline administrative tasks, improve data accuracy, and enhance communication with participants and the NDIA. The aim of PACE is to simplify tasks such as submitting claims and improve the accuracy of data to reduce errors. Better integration with other tools and platforms will make it easier to manage your services and support participants.
PACE also brings operational changes, such as the removal of service bookings, making the coordination process simpler. You will need to familiarise yourself with the new system and may need to undergo training to ensure a smooth transition. For agency managed supports, you should request that your participants endorse you as their “My Provider” in PACE to allow for swift payments.
The NDIA will provide resources and support to help you adapt to PACE.
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Mandatory Registration
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Mandatory registration is a significant change introduced to ensure that all providers delivering certain types of supports and services under the NDIS are registered with the NDIS Quality and Safeguards Commission.
This change, announced on September 16, 2024, requires platform providers (such as HireUp or Mable), Supported Independent Living (SIL) providers, and Support Coordinators to become registered.
The aim is to strengthen safeguards for NDIS participants and ensure a higher standard of service delivery. The exact deadline for mandatory registration is still being finalised, but the transition process will be phased in gradually.
It’s worth noting that there were already some supports and services that required mandatory registration, including specialist disability accommodation (SDA), specialist behaviour support services, supports or services to NDIS participants with NDIA-managed funding, and plan management services.
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For participants and families, mandatory registration means that if you currently access SIL, support coordination, or use a platform to hire supports, you will need to ensure they are registered by the deadline.
Registered providers have undergone a rigorous assessment process to ensure they meet the NDIS Practice Standards, so you can have confidence in the supports and services you receive.
This change aims to protect participants by ensuring that all providers are held to the same high standards.
It's important to note that this change may mean your current provider needs to register or you might need to find a new registered provider. If your provider is not registered by the deadline (yet to be finalised), they will no longer be able to deliver certain supports.
If you need to change providers, start by talking to your current provider about their registration status. If they are not registering, you can contact the NDIA for assistance in finding a new registered provider, use the NDIS Provider Finder tool, or consult your plan manager or support coordinator to help you transition smoothly.
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For service providers, mandatory registration means that you must register with the NDIS Quality and Safeguards Commission if you provide certain types of supports and services. This includes platform providers, SIL providers, and Support Coordinators. The registration process involves a self-assessment against the NDIS Practice Standards, an audit, and a suitability assessment.
You must comply with the NDIS Practice Standards and the NDIS Code of Conduct. This includes having effective systems for managing complaints and incidents, and ensuring workers have NDIS Worker Screening clearances.
You will need to undergo regular audits to maintain your registration. These audits assess your compliance with the NDIS Practice Standards and may involve participant engagement. If you are not registered by the deadline, you will not be able to provide certain supports to participants. This could impact your business if you currently offer these services.
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Impairment Notices
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Starting from January 1, 2025, all participants entering the NDIS will receive an impairment notice when they meet the access requirements, and existing participants will receive one when they transition to new framework plans (at a later date).
This notice will list the impairments that qualify them for the NDIS, based on the disability and/or early intervention criteria. Instead of being approved based on a diagnosis, participants will be approved under one or more impairment categories. The aim is to clearly identify and communicate the specific impairments that justify their inclusion in the NDIS.
The impairment categories will include:
Intellectual Impairment: Difficulties with speaking, listening, reading, writing, problem-solving, and processing and remembering information.
Cognitive Impairment: Affects thinking, learning new things, using judgment to make decisions, and paying attention.
Neurological Impairment: Issues with body functions due to conditions affecting the nervous system.
Sensory Impairment: Impairments related to vision and hearing.
Physical Impairment: Affects the ability to move parts of the body.
Psychosocial Disability: Reduced capacity to perform daily life activities due to mental health conditions.
These impairments can be caused by various conditions, including genetic disorders, injuries, or chronic illnesses. The NDIS focuses on the impact of these impairments on daily life and whether they are likely to be permanent.
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For you, receiving an impairment notice means having an official record of the impairments that qualify you for the NDIS. This notice will help show why you are eligible and ensure that your plan is tailored to your specific needs.
If you are applying to access the NDIS for the first time, you will receive this notice as part of the application process starting from January 1, 2025. For current participants, you will receive an impairment notice before transitioning to the new framework plans, although the exact date for this transition is yet to be confirmed.
This change aims to make the process more transparent and ensure that all participants understand their impairments and how they relate to their NDIS supports.
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For service providers, the introduction of impairment notices means that you will need to be aware of the specific impairments listed for each participant you support. This will help you tailor your services more effectively to meet their needs.
The impairment notice will provide a clear reference for the types of supports that are necessary and reasonable for each participant, based on their identified impairments.
Providers will need to ensure that their services align with the impairments listed in the notices and that they are prepared to support participants through the transition to the new framework plans.
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Plan Funding Periods
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From the start of 2025, all new NDIS plans will specify the total amount of funding, how it is divided into different components, and the period over which these funds should be used.
Plans will be split into funding periods of 12 months. For example, a plan could be for three years and include three funding periods of 12 months each. This change aims to provide clearer guidance on how long the funds need to last and ensure better budget management.
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For participants and their families, this change means that each new plan will clearly outline the total funding available and how it is divided over specific periods.
Initially, these periods will be set at 12 months, helping you manage your budget more effectively. Knowing exactly how much you have to spend within each period can help you plan your supports and services better. If you don't use all your funds in one period, they will roll over to the next, giving you flexibility.
However, you won't be able to access future funds early unless there are serious circumstances. These circumstances include cases of fraud or exploitation, a threat to life, health, or safety, a variation needed due to your impairments, or a crisis.
This means you will need to stay on top of your budget more closely to make sure your funds last throughout each period.
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For service providers, these changes mean that you need to be aware of the specific funding periods and amounts allocated in each participant's plan. This will help you understand the financial constraints and timelines your clients are working within.
Providers should stay informed about these changes and be prepared to adjust their services to align with the new funding structures.
The NDIS will no longer pay for services when a participant has used up all their funding, unless there are exceptional circumstances.
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Therapy Line Items
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Starting from June 30, 2025, therapy line items will no longer be claimable from the core supports category of NDIS plans.
This change is part of a broader effort to ensure that funding is allocated more effectively and transparently within NDIS plans. The goal is to streamline the funding categories and make it clearer how funds should be used.
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For participants, this change means that therapy supports will now be funded only under the capacity building category instead of core supports.
You will need to be aware of this change when planning your budget and supports if you currently access therapy with your core budget. It may require some adjustments in how you manage your plan, but the overall goal is to improve the clarity of your funding.
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For service providers, this change means that therapy services will need to be billed under the capacity building category rather than core supports. Providers should update their billing practices and ensure that they are familiar with the new guidelines.
Providers will also need to communicate these changes to participants to ensure a smooth transition and ensure they have the correct funding needed to continue services.
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Plan Management Type Changes
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Starting from October 3, 2024, the NDIA now has the authority to change how your NDIS plan is managed if there are concerns about the proper use of funds.
This applies to participants who self-manage their plans or use a registered plan manager.
The goal is to ensure that NDIS funds are spent appropriately and in line with your plan.
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For participants, this change means that the NDIA can review and potentially alter your plan management type if there are concerns about how your NDIS funds are being used.
This impacts participants who self-manage their plans or use a registered plan manager.
If the NDIA believes that you, your nominee, your plan manager, or a child representative are unlikely to spend your NDIS funds properly, they may decide to change your plan management type.
This is to ensure that your supports are managed effectively and in accordance with your plan. The aim is to provide better security and transparency in how funds are managed.
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For service providers, these changes mean that you need to be aware of the potential for the NDIA to alter a participant's plan management type.
This could affect how you interact with participants and manage their supports. Agency Managed participants can only use registered providers, so if you are not registered, it may change your potential clients.
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Music and Art Therapy access
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The NDIA have announced a change to the way Music and Art therapies are funded, as they believe “they do not meet the evidentiary standards required to be classified as a ‘therapy’ under the definition of NDIS supports.”
Starting February 1, 2025, Music and Art therapies will move from the capacity building budget to the community participation budget.
The rate for one-on-one sessions will drop from $193.99 per hour to $67.56 per hour.
The NDIA is referring art and music therapy to be assessed by the NDIS Evidence Advisory Committee (NDIS EAC), so this decision could change again in the future.
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For participants and families, this might seem like a win because of the lower costs. However, it could also mean fewer therapists available, making it harder to access these services.
Music and art therapists are highly qualified and help improve health and well-being, so this change might impact the support you receive.
You’ll still be able to access these therapies, but the way you do it will change. From February 1, 2025, you can use your community participation budget at the new rates.
If these therapies are already in your plan as stated supports, you can continue at the higher rate until your plan ends.
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For providers, the lower rates are a devastating blow and a big challenge.
Many might struggle to keep their businesses running, which could reduce the number of available therapists.
Providers will need to adapt to the new structure, including offering group sessions at $193.99 per hour for at least four participants. This aims to boost community inclusion but might not work for everyone.
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Staying Strong Through Change
Navigating these changes to the NDIS can be really tough, and it's normal to feel a bit overwhelmed. Both participants and providers are facing a lot of adjustments, but despite the challenges, let’s try to remember that we’re all in this together.
The Kinora community is here for you through these changes, and the many more that are still waiting around the corner of 2025. Whether you need information, support, or just a place to vent, we're here to help you navigate this journey.
