Outcomes-based commissioning and consumers

A new report has just been published by the Sax Institute based on a piece of work that myself, Katie Moon and Karen Gardner. The NSW Department of Family and Community Services (FACS) commissioned this review to explore which approaches to outcomes-based commissioning have been effective in improving client outcomes in the human services sector. Stage One of this review found that very few studies actually explored the impact of commissioning on consumer outcomes. Stage 2 examined literature about when and how consumers have been involved in the various stages of the commissioning cycle, then searched for evidence within that literature about improvements to client outcomes.

Although many sources described the theoretical benefits of consumer engagement, little empirical data exists to demonstrate these outcomes in practice. Perceived benefits of consumer engagement fell into two categories: benefits for consumers participating in commissioning processes and improvements in services, including to environments (e.g. decor, food) and access. The review revealed no evidence of the effectiveness of outcomes-based commissioning in improving client outcomes. The most universal element of the reviewed literature was the description of the challenges of consumer engagement in commissioning and recommendations about how to undertake it effectively.

We conclude that, as both commissioning and consumer engagement are relatively new fields, there is an opportunity to grow the evidence base in coming years, especially if we can achieve consistency about how engagement and commissioning processes are described and measured.

You can download the full report you can find it here.

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Research – nothing about us without us

The Consumers Health Forum of Australia (CHF) is the national peak body representing the interests of Australian healthcare consumers. CHF works to achieve safe, quality, timely healthcare for all Australians, supported by accessible health information and systems.  One of the things they do in meeting these aims is produce a journal called ‘Health Voices‘ which is published two times a year to promote debate on health care issues affecting all Australians and of interest to health consumers, government and industry.

The latest issue focuses on how consumers can influence research.  I have the privilege to have a piece in this issue alongside a number of leading research and consumer engagement voices, which I have written about a the co-produced project on the NDIS which I have previously written about in this blog.  In this I reflect on what we learned about doing consumer-engaging research and where next for this field.  The full article is open access and can be found here.

Power in Editorial Positions: A Feminist Critique of Public Administration

In recent years I have had the great privilege of being involved with a great group called Academic Women in Public Administration (AWPA).  AWPA is a network of academic women in public administration seeking to address gender issues in the field.  They organise some great events, provide information about upcoming roles and opportunities in the field and mentoring opportunities.  They also have some good GIF game if you follow them on Twitter (@AWPArocks).

Through AWPA I had the pleasure of virtually meeting the wonderful Mary Feeney who is an Associate Professor at Arizona State University.  We got talking about some work she had done looking at journal leadership and gender equity and decided we would develop this into a journal article.  We were joined by Lisa Carson who is a fantastically talented post-doctoral fellow with us at the Public Service Research Group and the resulting publication has just appeared in Public Administration Review.  The abstract for this is reproduced below:

Journal editors serve a vital, powerful role in academic fields. They set research priorities, serve as gatekeepers for research, play a critical role in advancing junior scholars as reviewers and eventually into editorial roles, build extensive networks, and gain valuable insight into the behavior and preferences of reviewers and scholars. This article analyzes data collected from leading public administration journals in 2017 to investigate the role of women as gatekeepers of public administration knowledge. The data illustrate a clear underrepresentation of women on editorial boards. Drawing from these data, research on journal editorships, and feminist theory, the authors present a critique of the current state of public administration research and a discussion of a way forward. They conclude with a proposal for how all public administration scholars (junior, senior, men, and women), journal leadership, and academic departments can move toward increasing women’s representation in these important positions.

If you are interested in reading the paper in full then you can access this here, it is open access so you don’t need to be able to access a journal library to get it in full.

Budget 2018 boosts aged care, rural health and medical research: health experts respond

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A$1.6 billion over four years will allow 14,000 more older Australians to remain in their home for longer.
Tanoy1412/Shutterstock

Kees Van Gool, University of Technology Sydney; Andrew Wilson, University of Sydney; Helen Dickinson, UNSW; Lesley Russell, University of Sydney; Peter Sivey, RMIT University, and Rosalie Viney, University of Technology Sydney

The winners of this year’s health budget are aged care, rural health and medical research.

The government has announced A$1.6 billion over four years to allow 14,000 more older Australians to remain in their home for longer through more high-level home care places. For those in aged care, an additional A$82.5 million will be directed to improve mental health services in the facilities.

The budget includes A$83.3 million over five years for a rural health strategy, which aims to place more doctors and nurses in the bush and train 100 additional GPs.

There’s A$1.3 billion over ten years for a National Health and Medical Industry Growth Plan, which includes A$500 million for new research in the field of genomics.

Other key announcements include:

– A$1.4 billion for new and amended listings on PBS
– A$302.6 million in savings over forward estimates by encouraging greater use of generic and bio similar medicines
– A$253.8 million for a new Aged Care Quality and Safety Commission.




Read more:
Infographic: Budget 2018 at a glance


Aged care

Helen Dickinson, Associate Professor, Public Service Research Group at UNSW

It was well foreshadowed that this budget would bring with it significant provisions for aged care. It has been widely reported that reforms to pension and superannuation tax have resulted in disaffection in the Coalition within older age groups.

Making older Australians the cornerstone of budget measures is a calculated political tactic in a budget that in the short term makes only limited tax cuts for low- and middle-income earners.

The A$1.6 billion for 14,000 new places for home-care recipients will be welcome, but are a drop in the ocean, given there are currently more than 100,000 people on the national priority list for support.

Additional commitments around trials for physical activities for older people, initiatives to improve connections to communities and protections for older people against abuse will bolster those remaining in homes and communities.

Commitments made for specific initiatives for Aboriginal and Torres Strait Islander people and aged care facilities in rural and remote Australia will be welcomed, although their size and scope will likely result in little to address older age groups with complex needs.

While investment in aged care services will be welcome, it remains to be seen whether this multi-million-dollar commitment will succeed in clawing back support from older voters.

Recent years have seen around A$2 billion of cuts made to the sector through adjustments to the residential care funding formula. The current financial commitments go some way to restoring spending, but do not significantly advance spending beyond previous levels in an area of the population we know is expanding substantially in volume and level of need and expectation.

A number of new budget commitments have been announced in relation to mental health services for older people in residential aged care facilities, for a national mental health commission, and for Lifeline Australia.

However, given the current turbulence in mental health services, it’s unclear whether these will impact on the types of issues that are being felt currently or whether this will further disaggregate an already complex and often unconnected system.

It’s unclear whether this will be enough to win back older Australians’ support.
U.J. Alexander/Shutterstock

Equity, prevention and Indigenous health

Lesley Russell, Adjunct Associate Professor, Menzies Centre for Health Policy at the University of Sydney

The government states its desire for a stronger economy and to limit economic imposts on future generations, but this budget highlights a continued failure to invest in the areas that will deliver more sustainable health care spending, reduce health disparities, and improve health outcomes and productivity for all Australians.

We know what the best buys in primary prevention are. But despite the fact that obesity is a heavy and costly burden on the health care system, and the broad agreement from experts on a suite of solutions, this can is once again kicked down the road.

There is nothing new to address the harms caused by excessive alcohol use or opioid abuse.

The crackdown on illegal tobacco is about lost taxes rather than smoking prevention.

There is A$20.9 million over five years to improve the health of women and children – an assorted collection of small programs which could conceivably be claimed as preventive health.

There is nothing in this budget to address growing out-of-pocket costs that limit the ability of many to access needed care.

Additional funding (given in budget papers as A$83.3 million over five years but more accurately described as A$122.4 million over 2018-19 and 2019-20, with savings of A$55.6 million taken in 2020-21 and 2021-22) is provided for rural health that should help improve health equity for country Australians.

Continued funding is provided for the Indigenous Australians’ Health Program (A$3.9 billion over four years); there is new money for ear, eye and scabies programs and also for a new Medicare item for remote dialysis services.

There are promises for a new funding model for primary care provided through Aboriginal Community Controlled Health Services (but no details) and better access for Indigenous people to aged care.

The renewal of the Remote Indigenous Housing Agreement with the Northern Territory will assist with improved health outcomes for those communities.

PBS, medicines and research

Rosalie Viney, Professor of Health Economics at the University of Technology Sydney

The budget includes a notable increase in net expenditure on the Pharmaceutical Benefits Scheme (PBS) of A$1.4 billion for new and amended listings of drugs, although most of these have already been anticipated by positive recommendations by the Pharmaceutical Benefits Advisory Committee (PBAC).

Access to a number of new medicines has been announced. The new and amended medicine listings are clearly funded through savings in PBS expenditure from greater use of generic and bio-similar medicines, given the net increase in expenditure over the five year outlook is around A$0.7 billion.

The budget includes A$1.4 billion for pharmaceuticals.
Iakov Filimonov/Shutterstock

In terms of medical research, there is an encouraging announcement of significant further investments through the Medical Research Futures Fund. This will be welcomed by health and medical researchers across Australia.

What is notable is the focus on the capacity of health and medical research to generate new jobs through new technology. While this is certainly important, it is as much about boosting the local medical technology and innovation industry than on improving health system performance. And the announcements in the budget are as much about the potential job growth from medical innovation as on providing more or improved health services.

There is new funding for medical research, development of diagnostic tools and medical technologies, and clinical trials of new drugs. The focus on a 21st century medical industry plan recognises that health is big business as well as being important for all Australians.

All of this is welcome, but it will be absolutely critical that there are rigorous processes for evaluating this research and ensuring the funding is allocated based on scientific merit. This can represent a major challenge when industry development objectives are given similar standing in determining priorities as health outcomes and scientific quality.

Rural health

Andrew Wilson, Co-Director, Menzies Centre for Health Policy at the University of Sydney

Rural Australians experience a range of health disadvantages including higher rates of smoking and obesity, poorer survival rates from cancer and lower life expectancy, and this is not solely due to the poor health of the Aboriginal community.

The government has committed to improving rural health services through the Stronger Rural Health Strategy and the budget has some funding to underpin this.

The pressure to fund another medical school in rural NSW and Victoria has been sensibly addressed by enhancing and networking existing rural clinical schools through the Murray Darling Medical Schools network. This will provide more opportunities for all medical students to spend a large proportion of their studentship in a rural setting while not increasing the number of Commonwealth supported places.

There is a major need to match this increased student capacity with a greater investment in specialist training positions in regional hospitals to ensure the retention of that workforce in country areas. Hopefully the new workforce incentive program will start to address this.

The budget includes a Stronger Rural Health Strategy.
jax10289/Shutterstock

Hospitals and private health insurance

Peter Sivey, Associate Professor, School of Economics, Finance and Marketing, RMIT University

There was no new money in today’s budget for Australia’s beleaguered public hospitals. The government is still locked in a deadlock with Queensland and Victoria, which have refused to agree to the proposed 6.5% cap on yearly funding increases from the Commonwealth. With health inflation of about 4% and population growth close to 2% the cap doesn’t allow much room for increased use due to ageing or new technology.

There is no change in the government’s private health insurance policy announced last year and nothing to slow the continuing above-inflation premium rises.

On the savings side, there was also no move yet on the private health insurance rebate which some experts think could be scrapped.

Kees Van Gool, Health economist, University of Technology Sydney; Andrew Wilson, Co-Director, Menzies Centre for Health Policy, University of Sydney; Helen Dickinson, Associate Professor, Public Service Research Group, UNSW; Lesley Russell, Adjunct Associate Professor, Menzies Centre for Health Policy, University of Sydney; Peter Sivey, Associate Professor, School of Economics, Finance and Marketing, RMIT University, and Rosalie Viney, Professor of Health Economics, University of Technology Sydney

This article was originally published on The Conversation. Read the original article.

Explainer: how much does the NDIS cost and where does this money come from?

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More Australians are joining the NDIS than predicted, so cost predictions have had to be updated.
Shutterstock

Helen Dickinson, UNSW

Although the National Disability Insurance Scheme (NDIS) is relatively young, there has been much debate over how it will be funded.

Treasurer Scott Morrison recently said Labor had left a A$57 billion shortfall in funding for the NDIS. So many were left scratching their heads at the announcement that next year’s proposed increase in the Medicare levy – which was supposed to cover some of this shortfall – would be scrapped.




Read more:
Turnbull government abandons $8.2 billion Medicare levy increase


So how much does, and will, the scheme actually cost? Who is supposed to pay for it and why is there debate over the funding?

Calculating the costs

These are difficult questions to answer because we lack high-quality data about the extent and nature of disability in Australia. The information we do have is based on predictions, and work is underway to check these are accurate.

The case for creating an NDIS was made by the Productivity Commission in its 2011 inquiry on Disability Care and Support. The commission recommended Australia’s system of inequitable, fragmented and inefficient disability services be replaced by a new national scheme that would provide insurance cover to all Australians in the event of significant disability.

The one thing all sides of politics agree on is the NDIS represents a significant increase in disability spending, which stood at around A$8 billion per year at the time of the initial Productivity Commission report.

Original estimates suggested the NDIS would cover 411,000 participants and cost A$13.6 billion at maturity. However the Productivity Commission now estimates that around 475,000 people with disability will receive individualised support at a cost of around A$22 billion per year.

The A$8.9 billion difference between the Productivity Commission’s original estimates and the current estimate is a substantial gap. But A$6.4 billion of this difference is due to pay rises awarded to social and community services employees.

The remainder is due to the growth in the population and also the inclusion of participants over 65 years who were not included in original estimates. Once we account for these, estimates are fairly close to those originally predicted.

Last year’s Productivity Commission review of costs found the NDIS was broadly coming in on budget. Greater-than-expected numbers of children with autism and intellectual disability were accessing the scheme, but not all those with an individualised plans were able to spend their budgets.

So, for now, the NDIS seems to be tracking as intended. The NDIS budget is estimated to gradually increase over time to 1.3% of GDP by 2044-45 as participants age. Estimates also suggest the scheme will produce benefits adding around 1% to the GDP.

Where the money comes from

The original Productivity Commission report suggested the federal government be the single funder of the NDIS and that revenue to support the NDIS be paid into a separate fund (the National Disability Insurance Premium Fund) to provide stable funding for the scheme.

The Productivity Commission suggested this approach because disability services have long been subject to debate about who should bear the costs of these services: the Commonwealth or the states and territories. Indeed, part of the reason for the NDIS was to guarantee funding for disability services and stop these debates and blame-shifting.

But this isn’t what happened.




Read more:
The NDIS costs are on track, but that doesn’t mean all participants are getting the support they need


The way the NDIS is funded is complex, with revenue coming from a number of sources. The NDIS is funded via a pooled approach from Commonwealth and state and territory governments. The Commonwealth provides just over half of the funding for the NDIS and the rest comes from state and territories. This arrangement is governed by a number of bilateral agreements that are revisited every five years.

At the creation of the scheme, all existing money spent by various governments was directed into the NDIS to cover costs. Then, in July 2014 we saw a first increase in the Medicare levy: from 1.5% to 2% of taxable income.

However, the increased Medicare levy doesn’t meet the full costs of the scheme – just as the levy doesn’t cover all the annual costs of Medicare. This revenue was directed into a special fund for the NDIS, DisabilityCare Australia, which is designed to reimburse governments for NDIS expenditure.

Any additional funding the NDIS needs has to come from general budget revenue or borrowings.

The NDIS Savings Fund Special Account was established to collect the Commonwealth’s contribution to the scheme. This fund pools underspends or savings from across government, protecting these as a forward contribution to the scheme as it grows over future budgets.

Behind the funding debate

Warnings have been sounded about the NDIS’s reliance on multiple sources, fearing it creates a risk of future instability of financing.

When the Labor government originally introduced the NDIS, it said it would fund the scheme through an increase in the Medicare levy, reforms to private health insurance and retirement incomes, and a range of “selected long-term savings” including an increase in tobacco excise and changes to fringe benefits tax rules.

Labor said the combination of these revenue streams would ensure the NDIS was fully funded to 2023. But many of the savings Labor promised were intentional, rather than set in stone, and were not dedicated to the NDIS as the Medicare levy was.

It’s estimated the Commonwealth will contribute around A$11.2 billion to the NDIS in 2019. Of this, around A$6.8 billion will come from the redirection of existing disability funds and the Commonwealth’s share of the DisabilityCare Australia Fund.

This leaves an annual funding gap of around A$4 billion once the scheme becomes fully operational, accumulating to around A$56 billion by 2028.

The Commonwealth announced it would increase the Medicare levy from 2% to 2.5% of taxable income from July 2019 as a way of filling the funding gap. Estimates predicted this would raise an additional A$8 billion in revenue over its first two years.

The bill needed to do this had stalled in the Senate, with Labor and the Greens opposed. They suggested the increase should only be applied to those in higher income tax brackets.

Last week the Treasurer announced tax receipts were running A$4.8 billon higher than was estimated in December, meaning the levy was no longer needed.

For now it looks like funding for the NDIS is assured, but many within the disability community have expressed concern this does not assure funding for the long term and uncertainty may continue to prevail.




Read more:
Disability workers are facing longer days with less pay


Helen Dickinson, Associate Professor, Public Service Research Group, UNSW

This article was originally published on The Conversation. Read the original article.