The NDIS Commission has recently announced amendments to the National Disability Insurance Scheme (Provider Registration and Practice Standards) Rules 2018 which will come into effect on 1 January 2020. The changes will primarily impact on the auditing process for new and existing NDIS providers.
CHANGES TO AUDIT TYPE FOR SOME BODY CORPORATES
Currently, providers structured as a body corporate but delivering lower risk supports and services are required to have a full Certification audit. The removal of section 21 of the rules eliminates this requirement, and as of next year providers delivering lower risk services can be assessed by a desktop Verification audit regardless of their business structure. (The registration groups considered ‘lower risk’ are outlined in Annex D of the National Disability Insurance Scheme (Approved Quality Auditors Scheme) Guidelines 2018.)
Over the coming weeks, the NDIS Commission will be contacting and re-issuing scopes of audit for providers that will be impacted by this change. The new scopes of audit will show if a provider is eligible for the Verification audit pathway.
REDUCTION OF FREQUENCY OF AUDITS FOR CERTIFIED PROVIDERS
The second key amendment removes the requirement for annual surveillance audits for Certified providers. Instead, providers will require only one mid-term audit, no greater than 18 months from the provider’s initial registration approval date. The mid-term audit will include:
– The governance and operational management section of the Core Module;
– Any standard for which a previous assessment by an approved quality auditor identified a need for the provider to implement a corrective action plan; and
– Any standard specified in relation to the audit by the Commissioner in a written notice given to the provider.
A re-certification audit to the full suite of Standards and relevant Modules will still be required no greater than three years after the initial registration approval date.
Providers approved by Verification will currently remain on one desktop assessment every three years.
Please contact HDAA if you would like more information about these changes or to discuss whether this will impact your organisation.