Provider‑based reduction amount
242 Provider‑based reduction amount
The provider‑based subsidy reduction for a registered provider for the classification types ongoing for the service group residential care for an individual for a day is worked out as follows:
Method statement
Step 1: Work out the daily means tested amount for the individual for the day (see section 319).
Step 2: Subtract the sum of the following from the daily means tested amount:
the maximum accommodation supplement amount (see subsection 235(3));
the maximum hotelling supplement amount (see subsection 235(4)).
Step 3. If the Step 2 amount does not exceed zero, the provider‑based subsidy reduction is zero.
Step 4. If the Step 2 amount exceeds zero, the provider‑based subsidy reduction is the lesser of the following:
the Step 2 amount;
the maximum non‑clinical care contribution (see subsection 279(3));
the standard base provider amount (see subsection (2)).
The standard base provider amount for a day for an individual is the amount prescribed by the rules.
If the individual has means not disclosed status for a day, the provider‑based subsidy reduction for the day is the lesser of the following:
the maximum non‑clinical care contribution for the day;
the standard base provider amount for that day.
Despite subsection (1), the provider‑based subsidy reduction for a registered provider for the classification type ongoing for the service group residential care for an individual for a day is zero if:
the hotelling contribution and non‑clinical care contribution for the individual for the day is taken to be zero under section 280; or
the non‑clinical care contribution for the individual for the day is zero under subsection 279(4) or (5).
This Act’s bill:Explanatory memorandumSecond reading speech
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