An NDIS service agreement is an agreement between the provider and participant about the support and services to be offered. It can also serve as a negotiation between the two. It is beneficial as it helps the provider and their participants to establish a strong and stable relationship. It also allows them to be on the same page and avoid any misconceptions in the future.
Service agreements do not necessarily have to be written; however, for Specialist Disability Accommodation (SDA), the NDIA requires a written service agreement. The NDIA does not have a say in what is being decided between the provider and participant as far as it aligns with the NDIS Act 2013 and the NDIS price limits.
As a provider, you need to know some things about service agreements to satisfy your participants. These include:
1. Be careful about the language
Try to use simple and straightforward language when communicating with your participant. Technical language and jargon can confuse them and their families. Also, ensure that the agreement is discussed in simple English. If it has to be written down, use short sentences so that the participant finds it easy to read and understand. If participants find it difficult to understand spoken language, you must discuss the service agreement with them in ways they find it most likely to understand.
2. Explain the supports you are offering in detail
The primary purpose of the service agreement is to let the participants know about the variety of services they can receive from you. To explain the support and services efficiently, you can list the support, the day and time that they will be administered. Also, include the cost of each support line item. This is to make sure that the participant is well-aware of the support details and to avoid the development of any misunderstanding later on.
3. Have a record of all the service agreement details
You must have a record of the services the participant agrees to avail. This is because needs and demands can change. If a participant wants to change the nature of their service or adopt a new support, it will be easier for you to simply update your records instead of making a new one. This will also help you keep a record of the start and end date of the service agreement.
It is essential for you to clearly outline and have in writing how participants can make changes to the service agreement in the future. Also, let them know about the cancellation procedure of the service agreement, and the notice period they will be required to serve. A record of service agreement details will also assist you during the NDIS Verification Audits in Sydney if you are a low-risk service provider.
4. Updating rate limits and the overall agreement
Rate limits are set by the NDIS price guide and are updated regularly based on the labour cost and other varying expenses. The service agreement must explain in detail how the participants will be informed about the rate changes. Ideally, participants must be provided with a document showing all the updated rates.
However, it is important to note that the participants’ rates must not suddenly be increased. They must be given a minimum of 14 days’ notice. There are also changes to costs and rules about telehealth services, support provision, staff travel, and transportation facilities. Make sure your service agreement is updated accordingly.
5. Signing the agreement
It is imperative for you to note who must be signing the agreement. Participants can sign the agreement if they are capable of looking after themselves; however, if they have a legally appointed decision maker, then the decision maker will sign it. If the participant has a guardian or administrator, they can also sign the agreement on behalf of the participant.
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