Final Report on RREF 2001 - Department of Health

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Executive Summary While a number of options were considered, including variables based on take-up of age and disability support pensions; median household income was identified as the most appropriate and robust variable. This socio-economic status variable makes the greatest contribution to need weighting in the RREF model, and remains dominant even in models which make adjustments to the weightings of other variables. Notwithstanding the close relationship between socio-economic status and health status, it was considered more appropriate to include separate variables to capture the somewhat different nature of these two dimensions of need than to give added weight to the socio-economic variable and exclude the health status variable. 7. The basis on which judgements should be made in allocating resources between LGAs within regions; and 8. The relationship to local area planning and needs analysis These Terms of Reference both relate to planning and allocation of the resources that the RREF allocates on a regional level. There was a widespread view that more consistent and systematic approaches to resource allocation and service development across all DHS regions was needed to achieve equity within regions. While planning approaches that were seen to be effective in some regions may have wider applicability, it also has to be recognised that each region faces a different pattern of need and a different configuration of existing services. The field was aware that DHS is currently addressing issues of regional and local planning in HACC, and there was strong support for progressing HACC planning in conjunction with implementation of a revised RREF. The analysis of need variables carried out in the Review provided considerable insight into the level and nature of variations in total need weightings for LGAs within any one region. This LGA level data was of considerable interest to the field and access to this type of data was seen to have a very useful contribution to make to regional planning. At the same time, these data did not provide a basis for allocating resources to a local level within regions, but needed to be complemented with a range of other service provision data and local knowledge. The lack of consistent data on service provision at local and regional level was recognised and the HACC Minimum Data Set was seen as the means for addressing this problem. Primary Care Partnerships and the Memorandum of Understanding between DHS and the Municipal Association of Victoria provide vehicles for exchange of information and discussion at subregional and local level, and issues such as uneven access to Work to this end is currently underway in DHS. In considering approaches to planning and resource allocation at the regional and local level, it is important to remember that the annual growth funds only add marginally to existing resources. As by far the major part of resources are bound up in existing services, planning and service development needs to give at least as much attention to existing services as to new service development and to use growth funds as a catalyst to adjusting existing services to respond to changing needs. <strong>Final</strong> <strong>Report</strong> July 2001 x
Executive Summary 9. The planning and resource allocation methodologies used by community support programs which delivery similar services to HACC in Victoria; 10. The DHS Aged Community and Mental Health Division’s funding reform project; and 11. Methodologies used for these purposes in other states These Terms of Reference can be considered together. An analysis was made of a number of other resource allocation formula used in Victoria and the variables included and methods of construction were taken into account in developing options for the RREF. The major consideration in relation to other programs is not so much the difference between resource allocation formulas, but between major programs for which resources are allocated on the basis of a known formula and small programs in which resources appear to be allocated without the benefit of a formula. The processes of the RREF Review and acceptance of a revised RREF should inform discussion about more systematic resource allocation and planning in such programs in the context of the funding reform project underway in Aged, Community and Mental Health Division in DHS. No other states were found to have a developed mechanism for allocating HACC resources and it is rather the review of the RREF that has attracted interstate and Commonwealth attention. The operation of the high care pool by the NSW Home Care Service was canvassed and some interest expressed in a similar option for Victoria but any such option will be more appropriately pursued through HACC assessment and targeting strategies. In conclusion, the purpose of this <strong>Report</strong> is to present a number of options and preferences identified in the consultations and provide a basis on which the Minister for Housing and Aged Care can make an informed decision on the mechanism for regional resource allocation in the HACC Program in Victoria, in the context of relevant budget and policy developments. <strong>Final</strong> <strong>Report</strong> July 2001 xi
Page 1 and 2: FINAL REPORT REVIEW OF THE RELATIVE
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Page 7 and 8: ACKNOWLEDGEMENTS An exercise as ext
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Profiles of Need Variables Part B:
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Final Repo
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Part B: Development of Options for
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Part C: Outcomes In the initial mod
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Part C: Outcomes 5.3 FURTHER ISSUES
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Part C: Outcomes Step 6: Outcomes o
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Part C: Outcomes • The Northern a
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Part C: Outcomes The outcomes of th
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Part C: Outcomes 7.4 FURTHER ISSUES
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Part C: Outcomes The adjustment for
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Part D: Achieving Equity in the HAC
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Unit cost structure The unit cost s
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Part D: Achieving Equity in the HAC
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APPENDIX 1.1 continued Commonwealth
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APPENDIX 1.4: SUBMISSIONS RECEIVED
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Frequently Asked Questions A number
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DACS • 2.5% of children in the 0-
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LGA Median H’hold Inc. YLD Lang o
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Department of Human Services 1999b.
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Final Report on RREF 2001 - Department of Health

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