AN-ACC assessments understate care needs and could mean more than 20% underfunding to Providers

Optimising AN-ACC capabilities within the broader scope of industry reform

There are three components to AN-ACC:

1.

The fixed component,

2.

the variable component, and

3.

the one-off adjustment payment

The variable component is based on a reference starting price which has been set at $216.80. This price corresponds with the value of 1 NWAU (National Weighted Average Unit). The actual amount a Provider receives depends on the degree of isolation and the weighting of the resident classification.

It is the variable component that Providers can and should seek to influence.

The Variable Component

The variable component for each resident is a function of the NWAU and their assessment outcomes against the AN-ACC Assessment Tool. The AN-ACC classifies in one of 13 levels with the highest classification being 1.0 NWAU, corresponding to $216.80 daily funding applying to classification 13.

As readers will be aware, AN-ACC shadow assessments commenced in April 2021 with phase 2 assessments to be completed by 31^st July 2022 before going live on 1^st October 2022.

With AN-ACC results being progressively released from 8^th April 2022, Providers wishing to influence the variable component should monitor their MyAgedCare Provider Portal dashboard and develop a process to ensure assessments that may be up to 12 months old actually reflect the current care needs of residents.

According to the Dept’s AN-ACC dashboard (see below) as of the end of June 2022, there have been over 6,600 reclassification requests lodged by Providers As at June less than 50% (3,100) of these requests have been actioned.

Looking at the “Result of Re-Classification” graph, it is evident that a significant number of reclassifications have occurred in classification levels 10 -13, the highest funding level. 40% of reclassifications are assessed at levels 10-13 compared with 13% of original assessments.

That’s 3 times the original number of residents now assessed at the higher levels which deliver higher funding.

Given the significant number of reassessments, we decided to calculate the impact on a Provider whose resident profile fitted the original and the revised classification mix.

Taking into account the MMM classification under the original classification, a Provider’s average variable payment would be between $198.50 and $239.70. Under the reclassification, this increases to between $235.80 and $277.00 –  a whopping $37.30 or between 16% and 19%.

As classification determines variable AN-ACC funding, this analysis demonstrates the importance of reviewing your shadow assessments and building both a system and capability to regularly review classifications from 1^st Oct. Providers with an embedded process to ensure the AN-ACC classification reflects current care needs will be in a position to appropriately match care revenue with care costs. This is the foundation stone of sustainability, compliance and most importantly care outcomes for residents.

How we can help

Pride Living appreciates that our clients are under pressure with COVID and business as usual activities. This makes devoting resources to develop capabilities to cope with industry reform particularly challenging.

We’re pleased to announce the following AN-ACC Optimiser services:

Prices exclude GST

1.    AN-ACC Health Check

This Service provides you with analysis and insight into your facility’s AN-ACC funding and potential revenue optimisation.

• Review AN-ACC assessment process and user skill set
• Conduct AN-ACC reappraisal of uplift targets
• Confirm residents for reassessment
• Assist with completion of Request for AN-ACC reassessment
• Mentor facility AN-ACC coordinator/equivalent
• Key Metrics Dashboard Report including financial and care minute uplift projections

2.    Onsite Assessment Service

This is a per-resident assessment service fee, based on the outcome of the AN-ACC Health Check. We utilise the same methodology as the external AN-ACC assessors whereby a suitably qualified practitioner conducts AN-ACC assessments and triangulates assessment results.

• Desktop AN-ACC review
• Review AN-ACC pre-entry assessment process
• Map AN-ACC facility profile against industry average
• Identifies opportunity for resident uplift via reclassification
• Key Metrics Dashboard Report

3.    Ongoing Support Service 

12-month subscription service

This service builds on your internal capacity to effectively manage AN-ACC revenue, whilst providing ongoing expert monitoring, support and resources.

• AN-ACC Help desk support
• Monthly AN-ACC funding/ care minutes monitoring
• Regular check-in with AN-ACC coordinator/equivalent
• Identify and coordinate AN-ACC reclassifications
• Virtual AN-ACC training workshops
• AN-ACC updates and insights
• Quarterly Key Metrics Dashboard Report

We can tailor our services to meet your unique needs. We recognise that each organisation is unique. Hence, it is important for us to create solutions to suit you.

Welcome to the Pride, JC!

We recognise that providing the quality of service you’ve become used to will require more resources, so we’re pleased to announce the appointment of JC Yap who brings a wealth of experience in AN-ACC and rostering to complement that of James Saunders and his team. You can read more about JC’s unique skills here.