Final Report on RREF 2001 - Department of Health

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Part A: Background and Scope of the RREF Review Figure 1 shows that considerable progress towards equity as defined by the current RREF has been made over time: • In 1995-96, three regions were 15% above equity, one was 14% below, and only three were within 5% of equity. • By 1999-2000, seven regions were within 2.5% above or below equity, a 5% variation overall, and the other two regions were only 3% and 5% above equity. How the RREF works at local and regional level The Rural Shire of Jindyworobak has a total population of 11,038 as at the 1996 Census. The Department of Infrastructure (DOI) projections give a population of 11,520 for that LGA in 2001. As the HACC target population covers only the population living in the community, all those living in any kind of residential care facilities are excluded. The number of people with a moderate, severe or profound handicap aged 0 to 85 in the LGA is estimated by applying the Statewide prevalence rates in the 1998 Disability, Ageing and Carers Survey to the age structure of the projected population of Jindyworobak. This number is estimated as 1,136 people. The total number of people aged 85 and over are included in the target population. According to DOI projections, there will be 196 people aged 85 and over living in the community in Jindyworobak in 2001. The total HACC Target Population of Jindyworobak is 1,136 + 196 = 1,332 people. Now consider rurality. The Shire of Jindyworobak has a density of 0.37 target group persons per square kilometre. All LGAs with a density below 2 target group persons per sq. km are assigned a 30% weighting for rurality. Weighting of Jindyworobak’s HACC Target Population by 30 % gives a RREF Population of 1,732 people (1,332 x 1.30). Jindyworobak is a small rural shire in the Eastern Rural Region, which has 17 LGAs in all, including a large provincial city. This exercise is repeated for each LGA. When summed, the total regional HACC Target Population accounts for 8% of the State HACC Target Population, so the region will receive 8% of the HACC Growth Funds that are allocated through the RREF for 2000/01. If these growth funds were $15m, the region would receive $1.2m. As Jindyworobak has 0.34% of the total Victorian HACC RREF Target Population, it should notionally receive 0.34% of the growth funds, or $51,000. However, most of the region’s Aboriginal population is located in Jindyworobak, and following consultation on regional priorities, a decision is reached to provide more than the notional share of funds to Jindyworobak. <strong>Final</strong> <strong>Report</strong> July 2001 8
Part A: Background and Scope of the RREF Review Figure 1: Convergence on Relative Equity 1995/96 - 1999/2000 20.0% 15.0% BAR GRAM 10.0% 5.0% 0.0% -5.0% -10.0% LOD HUME GIP WMR NMR SMR 1995/96 1996/97 1997/98 1998/99 1999/2000 -15.0% EMR -20.0% Region This steady progress towards equity is, of course, completely dependent on a particular definition of the HACC Target Population. The graph shows convergence towards equity as defined by the present RREF. If the operational definition of the target population were significantly altered, the trend shown in the graph would change. Alternative ways of operationalising the HACC target populations are presented as options for the Base Population in the RREF in Part B of this <strong>Report</strong>. It should also be noted that the operational definition is not intended to be used by service providers to calculate the number of people actually eligible for HACC services in their catchment area. If the RREF calculates that the HACC Base Population of a given municipality is 1775 people, it is not legitimate to conclude that 1775 people are actually in need of HACC services, and it is not legitimate to criticise the formula on the basis that local agencies believe more (or fewer) people are actually in need of services. The only legitimate use of the number is to say that the LGA has a given share of the State’s total HACC Base Population when the populations in all LGAs are calculated by the same method. A final comment on the current RREF is that it is a dynamic model and even with continuation of the current RREF there would be changes in the shares of HACC resources allocated to each region, in line with demographic trends. THE HACC TARGET POPULATION IN THE CURRENT RREF Definitions The main principle behind the RREF is that any geographical region should receive funds in proportion to the number of people in that region who need HACC services. Since the exact number of people requiring HACC services is not known with any precision, the allocation formula uses an approximation or proxy measure. The approximation used is the population who are eligible for HACC services in each region. <strong>Final</strong> <strong>Report</strong> July 2001 9
Page 1 and 2: FINAL REPORT REVIEW OF THE RELATIVE
Page 3 and 4: STEP 3: OPTIONS FOR SCALING NEED VA
Page 5 and 6: ABBREVIATIONS AND NOTE ON TERMINOLO
Page 7 and 8: ACKNOWLEDGEMENTS An exercise as ext
Page 9 and 10: EXECUTIVE SUMMARY The Review of the
Page 11 and 12: Executive Summary All regions will
Page 13 and 14: Executive Summary Beyond the detail
Page 15 and 16: Executive Summary 9. The planning a
Page 17 and 18: PART A: BACKGROUND AND SCOPE OF THE
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Page 65 and 66: Profiles of Need Variables Part B:
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Part B: Development of Options for
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Part B: Development of Options for
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Final Repo
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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 By way of illustra
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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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Four features of the revised outcom
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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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