Final Report on RREF 2001 - Department of Health

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Part B: Development of Options for a Revised RREF • Stability. A variable based on take up of one or a combination of benefits is subject to instability arising from changes to eligibility conditions, and a degree of substitution between different benefits that individuals can receive; abolition of the Mature Age Allowance for example diverted beneficiaries to DSP or unemployment benefits. There is also the prospect of considerable welfare reform in the next 12 to 18 months. The short term and longer term instability make projection on the basis of a benefit based variable particularly problematic • Quality of data. While a statewide data set suitable for use in the RREF would be available at suitable intervals, there are issues of quality of a data set that has to combine data from all Centrelink offices, and from different benefit payment systems. Assembling such a data set involves considerably more computation and hence risk of error, and would be very difficult for others to replicate. • Close correlation. The relationship between median household income and the proportion of residents in each LGA in receipt of DSP and the full rate age pension was tested by correlation. The result of .79 shows that the population in receipt of benefits is distributed between LGAs in accord with median household incomes. In making the choice between median household income or a variable based on benefit take-up, it has to be remembered that either will serve to rank LGAs from high to low on the basis of their relative socio-economic status. ⇒ Median household income is the preferred option for the socio-economic indicator. 1 variable remained These two single variables were both identified in the consultations, and both remain for consideration as variables for weighting the RREF. ⇒ Koori population to be considered as a need variable 2.4 OPTIONS FOR CONSIDERATION FOR NEED VARIABLES The process of elimination and selection between alternative variables resulted in identification of five possible need variables for weighting the RREF in addition to those included in the Base Populations. The Consultations sought views on these options. What are the • Have the final range of variables adequately addressed your concerns options for about factors for inclusion in the RREF? variables for • Of the 28 variables identified from consultations for possible inclusion weighting the for weighting the RREF, 12 have been taken into account: RREF? 1 1. 7 considered in base population options 2. 5 identified as appropriate for consideration in weighting the RREF: 3. Socio-economic status: Median household income 4. Health indicators: Life expectancy 5. Cultural diversity: Use of a language other than English at home 6. Koori population 7. Location factors: Accessibility/Remoteness Index of Australia (ARIA) 1 : Residential care shortfall was initially included as a need variable in the Options Paper but the issues raised and their resolution has been dealt with in Section 1.8 <strong>Final</strong> <strong>Report</strong> July 2001 38
Part B: Development of Options for a Revised RREF 2.5 FURTHER ISSUES AND PREFERRED OPTIONS FOR NEED VARIABLES • No further variables were identified for inclusion in the RREF on a statewide basis but the need to take account of factors such as development of retirement villages in regional and local planning was reiterated. • Each of the proposed variables was reviewed in the consultations and clarification on some aspects of particular variables was provided, mainly by reference back to details in the Options Paper. It was emphasised that the variables drawn from Census data would all be updated following the 2001 Census. • There was considerable interest in maps of the variables presented in the Round 2 Consultations; rather than showing a rural-urban divide, the maps highlighted the extent of variation within rural and urban regions on all the variables; these maps are included in the profile of variables presented below. • The discussion of the variable Service system factor: Shortfall in aged residential care places has been detailed above. • There was no change in three further variables: Socio-economic status: Median Household Income Cultural Diversity: Language other than English spoken at home Location factors: Accessibility/Remoteness Index of Australia (ARIA) • Changes were canvassed for the two remaining variables: Koori Population Health Indicator: Life expectancy • Two comments were made on the Koori population: 1. Undercounting of the Koori population was noted in the Options Paper and reiterated in the consultations. Comparison of the results of the forthcoming 2001 Census with the number and age distribution of the Koori population reported in the 1996 Census will give some indication as to whether this problem has been moderated. 2. As the Koori population is small in total and very unevenly distributed across the state, it was proposed that the number of Kooris in each LGA rather than the proportion they comprised of the total LGA population would provide a better indicator of the impact on the service system. Further analysis of this alternative approach showed a “swings and round abouts” effect, and for other technical reasons, the use of the proportion Koori in LGA populations is preferred. Other issues of Koori service delivery also need to be addressed through regional and local planning and on-going service development initiatives. • There was strong support for inclusion of a health indicator, and discussion focused on the choice between Life Expectancy and one of the measures developed in the DHS Burden of Disease study. Points considered in resolving this issue were: 1. The question that arose with regard to the selection of life expectancy was whether higher or lower life expectancy indicated an increased need for HACC services. The ambivalent nature of this relationship was canvassed in the Options Paper. <strong>Final</strong> <strong>Report</strong> July 2001 39
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FINAL REPORT REVIEW OF THE RELATIVE
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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
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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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