Development of the aged care assessment, classification and funding model

Approach

HealthConsult designed a comprehensive programme of work to develop and test the preferred assessment, classification, and funding (ACF) model for in-home aged care. The approach began with the preparation of a discussion paper outlining options for each component of the ACF model, along with evaluation criteria for selecting between these options. The team then developed a Data Request Specification, defining the financial, client, and service delivery data to be collected from in-home aged care providers.

A crucial component was the development of an integrated assessment tool to generate the required assessment data. The project involved a significant recruitment effort, successfully engaging over 100 in-home aged care providers for a three-month data collection exercise, with dedicated field support provided throughout. Additionally, a national assessor workforce was recruited and trained to use the IAT on 3,500 clients living in their homes, generating empirical data for the episode-level classification system.

An activity-based costing methodology was developed to allocate costs down to individual clients, complemented by a robust data quality assurance strategy incorporating automated error checking. The team conducted statistical analysis of the collected data to develop a service event and episode level classification system, which informed the creation of corresponding funding models.

Throughout the study, participating providers received dedicated support to maximise engagement, minimise burden, and optimise data quality. This support was crucial given the substantial data collection required from each service provider.

Outcome

The project established an evidence base linking older Australians’ assessed needs with the services they received and the costs of delivering them. It produced a tested assessment tool, classification systems and funding models to inform the reform of in-home aged care.