NDIS fails to meet costs for disability support providers

COSTS: Daryl Starkey.

By JOHN VAN KLAVEREN

DISABILITY support agencies are still losing money supplying the NDIS despite an increase in their rates, according to the boss at one of Geelong’s biggest service providers.
Karingal’s Daryl Starkey said the rate for some support services went up from 1 July but still failed to cover the full cost of service delivery.
Mr Starkey said the price in June for assistance with self-care activities and to access community, social and recreational activities was $34.18 an hour compared with $40.15 in South Australia.
A fortnight later the National Disability Insurance Agency (NDIA), which administers the NDIS, announced an increase to $36.70, claiming it allowed providers to deliver high-quality services.
Mr Starkey said the NDIA introduced a transitional price on 1 July of $38.70, which would cease on 30 June 2016.
The transitional increase was aimed at helping agencies “adjust to the price and to ensure a strong supply of supports into the future”.
Mr Starkey said the price rise was a small win but more action was needed.
A joint NDIA and National Disability Services report found that the prices for this financial year were less than the actual cost of delivering supports, he said.
“People with a disability or mental illness and their families should have a skilled, reliable and available workforce,” Mr Starkey said.
“This difference in pricing impacts support workers and ultimately, the quality of support to people with a disability or mental illness.
“Karingal is advocating for higher pricing so we can invest in our people.”