Information For Prospective Residents

September 8, 2009
Filed under General Information

Information about fees, charges, assessments, payments, accommodation bonds, residents agreements etc.

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1. General Information

1.1. Prospective residents and their families are encouraged to visit the facilities. Please contact the administration to arrange a mutually convenient time.

1.2. In accordance with the guidelines issued by the Commonwealth Department of Health and Ageing, all prospective residents need to have a current Assessment for Residential Care completed by the Aged Care Assessment Service.

1.3. Before being placed on a waiting list, prospective residents need to complete the following forms:

  • Application for Respite Care or Permanent Entry to an Aged Care Home;
  • Request for an Asset Assessment – Centrelink/Department of Veterans Affairs

Prospective residents are also required to provide:

  • A copy of the Assessment issued by the Aged Care Assessment Service
  • A copy of the Centrelink/Department of Veterans Affairs Asset Assessment Notification Letter.

1.4. A Pre-admission meeting with the General Manager is required so that the necessary forms can be completed with the resident and/or their representative:

1.5. Acceptance for admission will be determined by the availability of a suitable vacancy and the Prom Country Aged Care’s ability to meet the applicant’s particular care and service needs.

1.6. All Daily Care Fees and Accommodation Payments (if applicable) are charged strictly in accordance with the formulae and regulations determined by the Department of Health and Ageing and provided for in the Aged Care Act 1997.

1.7. In accordance with the Aged Care Act 1997, all residents are required to enter into a formal Resident Agreement. See Section 4.

2. Ongoing Care Fees

2.1. Daily Care Fees

Fees for care are payable monthly in advance. Payment may be made via periodic bank transfer or by cheque payable to Prom Country Aged Care Inc.

There are two parts to these fees:

  • Basic daily care fees – equivalent to 85% of the single aged pension.
  • Income tested fees

Part-pensioners and non-pensioners may be asked to pay an additional income tested fee. Centrelink or the Department of Veterans Affairs carries out income testing. Further information about assessing income for daily care fees can be obtained from the Department of Health and Ageing.

2.2. Fees during Temporary Leave

  • Social Leave
  • Residents are entitled to take up to 52 days Social Leave a year without paying fees in addition to the daily care fee. An absence is counted as Social Leave only if it includes an overnight stay. For example, a resident may spend every weekend, including Saturday night, with his/her family. During this time the Government will continue to pay the daily care subsidy to the facility. Should a resident choose to take more than 52 days Social Leave, the Government will not pay the subsidy and the resident will be asked to pay additional fees.

  • Hospital Leave
  • Although Hospital Leave is unlimited, residents’ normal daily care fees apply.

3. Accommodation Payments

3.1. Accommodation Bonds – Low Care Residents

3.1.1 What is an Accommodation Bond?

An Accommodation Bond is an amount that a resident may be asked to pay when he/she enters Low-level care. It is in addition to any Daily Care Fee payable by Residents. An Accommodation Bond is like an interest free loan to the facility which is refunded when the resident leaves (less the retention amount).

Accommodation Bonds can only be charged by facilities that are accredited and meet minimum building and care standards. Providers are allowed to retain an amount each month from the Accommodation Bond called the Monthly Retention Amount. These amounts can only be retained for a maximum period of five years (the Retention Period).

3.1.2 Payment Options

There are a number of ways of paying Accommodation Bonds. They can be paid as a:

  • Lump sum;
  • Periodic (monthly) payment; or
  • Combination of lump sum and periodic payment.

The amount of Accommodation Bond to be paid is agreed between the Resident or their Representative and Prom Country Aged Care Inc. following receipt of Asset Assessment Notification Letter from Centrelink/Department of Veterans Affairs and where possible prior to admission. Accommodation Bonds are payable on the day of admission and where a delay in payment occurs, interest will be charged at rates specified by the Department of Health and Ageing.

For more information about payment options, please contact the General Manager.

3.1.3 Accommodation Bond Amount

Applicants are required to submit a ‘Request for an Asset Assessment’ to Centrelink/Department of Veterans Affairs and to provide Prom Country Aged Care with a copy of Asset Assessment Notification letter. Accommodation Bond Amounts are set as follows:

  • No Accommodation Bond is payable where the value of the applicant’s assets is less than 2.5 times the annual standard single rate aged pension.
  • For all other applicants, the Accommodation Bond payable is based on the value of the assets and is negotiated before entry to the home. There is no legislated maximum bond amount and applicants are encouraged to seek independent financial advice in regard to the impact Accommodation Bonds may have on their individual financial circumstances.
  • For the purpose of calculating Accommodation Bonds, ‘assets’ are real estate (including the applicant’s home), investments, personal property, money in the bank and other accounts, cash and motor vehicles, less any amounts owing under mortgages or charges over those assets other than mortgages or charges to family members.
  • Where a husband and wife are both applicants for residency the assets of each are deemed to be one half of the total assets of both.
  • Where an applicant’s spouse or dependent child, as defined in the Aged Care Act 1977, is still living in the family home, the value of the family home should not be included in the calculation of the applicant’s assets.
  • Applicants who choose not to lodge a ‘Request for an Asset Assessment’ to Centrelink/Department of Veterans Affairs will have an Accommodation Bond set at a minimum of $500,000

3.1.4 Monthly Retention Amounts and Refunds

Monthly Retention Amounts
The Government determines the method for calculating the Monthly Retention Amount that can be deducted from the Accommodation Bond for each month or part thereof that the resident is provided with care. Retention amounts are capped.

Refund of Balance of Accommodation Bond
When a resident permanently leaves the facility, the Accommodation Bond balance will be refunded within the following time frames:

  • Upon the resident permanently leaving the facility to enter another Residential Aged Care Service, or a return to the community – within 14 days.
  • In the case of the death of a resident, the estate of the resident shall receive payment only upon production of a certified true copy of a grant of probate or letters of administration.

3.2. Accommodation Charges – High Care

3.2.1 What is an Accommodation Charge?

An Accommodation Charge is an additional daily amount that a resident may be asked to pay when he/she enters high-level care. Accommodation Charges can only be charged by facilities that are accredited and meet minimum building and care standards.

3.2.2 Payment of Accommodation Charges

Accommodation Charges are included on residents’ Monthly Billing Statements and must be paid with their daily care fees. Accommodation Charges are payable from the day of admission. Where a delay in payment occurs, interest will be charged from the day of admission at rates specified by the Department of Health and Ageing.

3.2.3 Accommodation Charge Amount

Applicants are required to submit a ‘Request for an Asset Assessment’ to Centrelink/Department of Veterans Affairs and to provide Prom Country Aged Care with a copy of Asset Assessment Notification.
The Department of Health and Ageing will advise the applicant and Prom Country Aged Care of the amount of Accommodation Charge payable.

  • No Accommodation Charge is payable where the value of the applicant’s assets is less than 2.5 times the standard single rate aged pension.
  • The Department of Health and Ageing set the maximum rate of daily Accommodation Charge.
  • Applicants who choose not to lodge a ‘Request for an Asset Assessment’ to Centrelink/Department of Veterans Affairs will have an Accommodation Charge set at the maximum amount.

4. Resident Agreement

4.1. Before the applicant takes up residence, both the applicant and Prom Country Aged Care must sign a formal Resident Agreement. This Agreement specifies the services to be provided and the fees. It also ensures that the rights and responsibilities of the resident and the services provided are understood and agreed to. A signed copy is made available for the resident.

5. Process for submitting an application to become a resident.

5.1. Please read this information and discuss the matter with your family, friends, Doctor and legal adviser.

5.2. If you have not already done so, arrange for an assessment by the Aged Care Assessment Team.

Should you have further queries or concerns, please do not hesitate to contact the General Manager by phone on (03) 5683 9613 or use the CONTACT FORM.

Thank you for your interest in Prom Country Aged Care Inc,
Prom View Lodge and Banksia Lodge.