Ndis partners in the community program

QUESTIONS ADDED 6/9/2016

19.MANAGEMENT OF CONFLICTS OF INTEREST/REGISTERED PROVIDERS OF SUPPORT – BOTH LAC AND ECEI SERVICES

19.1Can an entity, who is a Registered Provider of Supports, establish a separate legal entity to deliver LAC and/or ECEI Services under the Partners in the Community Program? Is this separate legal entity eligible to apply for the Partners in the Community Program?

Whether or not an organisation decides to establish a separate legal entity to apply (ie. to be the Applicant) is a matter for each organisation. However, that separate legal entity will need to comply with the eligibility criteria in paragraph 4.1.1.1 of the Program Guidelines and other requirements that apply in respect of Registered Providers of Supports.

Paragraphs 4.1.1.3 and 4.1.1.4 of the Program Guidelines set out the eligibility criteria and other requirements for Applicants applying to deliver LAC and/or ECEI Services, where the Applicant or a subcontractor is a Registered Provider of Supports.

In particular, paragraph 4.1.1.3 (which is relevant to Applicants applying to deliver LAC Services) provides:

An Applicant which applies to deliver LAC Services, must not be a Registered Provider of Supports as defined under section 9 of the NDIS Act, or:

1. 
   be a Related Body Corporate (as defined under section 9 of the Corporations Act 2001 (Cth)) of a Registered Provider of Supports; or
   
2. 
   have another entity or person in a position to exercise influence over the Applicant who is related to a Registered Provider of Supports, including where:
   
   1. 
      a director of the Applicant is also the director of a Registered Provider of Supports;
      
   2. 
      a shareholder or member of the Applicant is a Registered Provider of Supports; or
      
   3. 
      a shareholder or member of the Applicant is also the shareholder or member of a Registered Provider of Supports.
      

(emphasis added)

In addition, paragraph 5.5 of the Program Guidelines provides:

Applicants must undertake reasonable enquiries to identify all actual, potential or perceived conflicts of interest they consider will or may arise through the submission of an Application, including any conflicts of interest in relation to a Registered Provider of Supports. Applicants must identify all of these actual, potential or perceived conflicts of interest in their Application, including a description of the conflict and its proposed mitigation and how the conflict will be monitored to ensure it does not compromise the outcomes sought under the Program.

…

A conflict of interest arises where:

1. 
   a person makes a decision or exercises a power in a way that may be, or may be perceived to be, influenced by either material personal interests (financial or non-financial) or material personal associations; or
   
2. 
   due to a direct or indirect relationship or interest, the Applicant or its related entities, personnel or subcontractors is, or may reasonably be perceived to be, unable to discharge their obligations or duties to the NDIA in an objective and independent manner to the best of their ability…
   

(emphasis added)

20.MANAGEMENT OF CONFLICTS OF INTEREST/REGISTERED PROVIDERS OF SUPPORT – LAC SERVICES

20.1What is the time period for Registered Providers of Support to transition Participants from its provision of funded supports?

See response to questions 12.1 and 12.3 of this Question and Answers document.

20.2Will an application to provide LAC Services from a Registered Provider of Supports be accepted where there is a transition out plan in place to de-register by February if successful and limited services are currently being provided?

No. An Applicant which applies to deliver LAC Services must not be a Registered Provider of Supports as defined under section 9 of the NDIS Act as at the Closing Time and Date.  Accordingly, if your organisation wishes to submit an Application, it would be necessary for your organisation to have its approval as a Registered Provider revoked before submitting your application. 

See also response to questions 12.1 – 12.3 of this Question and Answers document.

20.3Given the requirement that LACs cannot be Registered Providers of Support, anywhere in Australia, are you able to provide examples of the type of organisations you expect to become Partners?

Paragraph 4.1.1 of the Program Guidelines sets out the types of entities that are eligible to apply to become a LAC Partner.

Paragraph 1.4.1 of the Statement of Requirements provides:

The NDIS Partners in the Community Program enables the Scheme to be implemented at a local community level. The NDIA will partner with suitably experienced and qualified organisations, with strong local knowledge and understanding of the needs of people with disability or developmental delay, to deliver either or both LAC Services and/or ECEI Services as part of the NDIS Partners in the Community Program.

20.4Is an entity eligible to apply to the NDIS Partners in Community Program if it is a Registered Provider of Supports but only provides services in a different region to the Service Area for which it proposes to apply to deliver LAC Services?

See responses in this Question and Answers document to questions 2.5 and 11.22 (for a similar question in relation to ECEI Services).

20.5What is the NDIA's current thinking in relation to any potential conflict of interest service providers may have when delivering LAC services?

The NDIA's position on conflict of interest for Partners who are delivering LAC Services is set out in the Application Pack. See in particular: paragraphs 4.1.1.3 and 5 of the Program Guidelines; and clauses 33 and 34 of the draft Grant Agreement.