PC call to reveal cost-shifting over NDIS

The ‘troubling’ behaviour of governments should be made public to put an end to cost-shifting, the Productivity Commission says.

The “troubling” behaviour of state and territory governments in capitalising on the uncertainty about who should fund services inside and outside the $22 billion National Disability Insurance Scheme should be made public to put an end to cost-shifting, the Productivity Commission says.

Delivering its final report into the National Disability Agreement — an overarching plan it says is now “outdated and irrelevant” with the introduction of the NDIS — the commission has excoriated all levels of government but particularly the states for being deliberately unclear about responsibilities.

The landmark disability scheme has soaked up funding from community disability services, especially in relation to mental health, but it was never designed to replace support for all 4.3 million Australians with a disability. Only 475,000 people with the most severe and permanent disabilities are projected to be covered by the NDIS, the report says.

“There is potentially a large gap in the number of people with severe psychosocial disability not eligible for the NDIS,” it says.

“Psychosocial disability relates to the effects (through impairments or restrictions) on someone’s ability to participate fully in life as a result of mental ill-health. About 282,000 people aged up to 65 are estimated to have severe psychosocial disability requiring supports.

“Once the NDIS is fully implemented, approximately 64,000 people are estimated to be covered on the basis of a primary disability of psychosocial disability.”

The commission has heard evidence some jurisdictions with responsibility for “mainstream” systems such as health, education and transport are blocking access under the belief the NDIS will take on the cost instead. A recent example may be the impending closure of the Halwyn Centre in Brisbane that houses 39 severely disabled clients.