Nursing Homes and Hostels provide residential aged care to permanent residents. They are subsidised by the Commonwealth Department of Health and Ageing. These facilities are regulated by the Commonwealth Aged Care Act 1997 and Aged Care Principles as well as some State legislation, for example, for building regulations, food handling provisions and registration of staff. In order to access an aged care facility (nursing home or hostel) it is necessary to have an assessment by an Aged Care Assessment Team (ACAT) to determine if the person requires low or high level care.
The accommodation is usually a single room with basic furniture and sometimes an ensuite bathroom and/or kitchenette. The resident is provided with supervision, meals, laundry and cleaning services. Other services available include social activities, diversional therapy, and allied health care, for example, physiotherapy. Personal and some basic nursing care is provided in accordance with specified services, but it is not necessary for the facility to provide this 24 hours a day.
The operator of the facility (the provider) receives a subsidy from the Commonwealth Government for each resident, based on the level of care they require. Almost all residents, depending on their assets, may be asked to pay an accommodation bond to secure a place in the hostel. This is a lump sum payment that is refundable when the resident leaves the facility; a pre-determined drawdown amount is retained by the provider, as well as any interest earned on the investment of the bond by the facility.
All residents pay a Basic Daily Care Fee, at either pensioner or non-pensioner rate. This fee is varied according to the Consumer Price Index (CPI) in the same way as the Age Pension. Residents who are part pensioners or self funded retirees, and have a private income, may be assessed by Centrelink and be required to pay an Income Tested Fee. This fee is capped and is reviewed quarterly.
This consists of nursing care based on the person's assessed requirements and is available by a registered nurse who is on duty 24 hours per day, 7 days per week. Medication management is also available, delivered by registered nursing staff. Nursing home accommodation consists of rooms containing usually one, (1), two (2) to four (4) beds, but sometimes more. There may be a bathroom attached. Some single rooms may be available but are in high demand. Meals, laundry and housekeeping services are provided. An assessment is required by an ACAT before entry in to a nursing home.
The operator of the facility (the provider) receives a subsidy from the Commonwealth Government for each resident, based on the level of care they require. In a nursing home the subsidies are paid at a higher rate to reflect the higher level of care provided. Each resident pays the same Basic Daily Care Fee as hostel residents at either pensioner or non-pensioner rate. This fee is varied according to the Consumer Price Index (CPI) in the same way as the Age Pension. Some residents, depending on their assets, are required to pay an Accommodation Charge as well. This fee is capped and reviewed according to the CPI; it is payable for the duration of the resident's stay in the facility. Residents who are part pensioners or self funded retirees, and have a private income, may be assessed by Centrelink and be required to pay an Income Tested Fee. This fee is capped and is reviewed quarterly.
The Commonwealth Department of Health and Ageing makes provision for hostel and nursing home residents who cannot afford to pay an accommodation bond or charge. These residents pay only the Basic Daily Care Fee and the government pays an extra subsidy to the provider on their behalf. The beds occupied by these residents are called 'assisted'.
A resident receiving low level care whose needs increase may receive high level care in the same facility if that facility provides ageing in place. Two benefits for residents are that they do not need to leave the facility in order to continue to receive the level of care particular to their needs, and those residents who have built relationships with staff and with other residents can maintain those relationships throughout their stay in one aged care facility. Each facility can choose the range of services it wishes to deliver, it is necessary for the facility to have met certain standards in order to be able to provide ageing in place.