Overview
The Department of Health and Aged Care has now published the Stage 3 release of the Aged Care Rules 2025 (the Stage 3 Rules).
The Stage 3 Rules provide further detail on the obligations of registered providers and the conditions on registration applying to registered providers under Chapter 3 of the new Aged Care Act 2024 (Cth) (the new Act).
Many of the requirements contained in the Stage 3 Rules are the same requirements that currently apply to approved providers under the current commonwealth aged care framework. For example, the aged care code of conduct contained in the Stage 3 Rules is the same as the current aged care code of conduct, and the current requirement for aged care providers to have in place a continuous improvement plan continues to apply to registered providers under the Stage 3 Rules. In addition, the requirements regarding reportable incidents in the Stage 3 Rules are substantially similar to how they are currently managed under the Quality of Care Principles 2014 (Cth), in that Priority 1 notices will still be required to be given within 24 hours, and Priority 2 notices will still be required to be given within 30 days.
Below we discuss some of the key new changes for registered providers as required by the new Stage 3 Rules.
Provider obligations
Under Chapter 3 of the new Act, registered providers have certain obligations and conditions of registration. The Stage 3 Rules relating to conditions of registration and providers’ obligations prescribe different requirements according to the category of the registered provider. This ensures that regulation is proportionate to factors such as the type of aged care services delivered, the setting the registered provider operates in, as well as any risks of harm that may be present.
While these obligations and conditions of registration vary according to a provider’s registration category, the Stage 3 Rules prescribe certain conditions that apply to all registered providers. For example, section 144-1 of the Stage 3 Rules requires all registered providers to demonstrate an understanding of the Statement of Rights in the new Act, and to have in place practices to ensure compatibility with those rights. In addition, section 147-5 of the Stage 3 Rules requires registered providers to demonstrate the capability for (and commitment to), continuous improvement towards the delivery of high quality care.
Strengthened Aged Care Quality Standards
At present, the Quality of Care Principles 2014 (Cth) require aged care services operating in residential care, home care, flexible care in the form of short-term restorative care and in the form of transition care, to comply with the Aged Care Quality Standards.
Under the Stage 3 Rules, there is still a requirement for providers to comply with the Aged Care Quality Standards, but the Aged Care Quality Standards will apply to registered providers according to the service types that they provide under their registration category. For example, standard 5 of the Aged Care Quality Standards (being a standard focused on clinical care) applies to registered providers in either of the nursing and transition care category or the residential care registration category, and Standards 6 and 7 (being standards relating to food and nutrition and the residential community) apply to registered providers operating in the residential care registration category.
We also note that the Aged Care Quality Standards have been further strengthened in the Stage 3 Rules, in that they now include increased protections for older people, they provide stronger requirements for clinical care and food and nutrition, and they also reflect the new Statement of Rights in the new Act.
Screening for aged care workers
Section 152 of the new Act sets out that it is a condition of registration that a registered provider of a kind prescribed by the rules, must comply with a number of requirements relating to qualifications, screening and training and capability development of their aged care workers. The Federal Government is currently liaising with the states and territories to extend the National Disability Insurance Scheme (NDIS) worker screening checks to the aged care industry, with a view to properly assessing whether an individual poses a risk of harm while working in aged care. (This extension of the NDIS worker screening checks to the aged care industry is currently expected to commence during 2026).
Before this change can take place (i.e. in the interim period), registered providers have a requirement under the Stage 3 Rules to ensure that their aged care workers and responsible persons have either a police certificate or a NDIS worker screening clearance. Moreover, registered providers are required under the Stage 3 Rules to check an individual’s police certificate for certain convictions that would preclude an individual from working in aged care.
Changes for the Commonwealth Home Support Program (CHSP) providers and National Aboriginal and Torres Strait Islander Flexible Aged Care Program (NATSIFACP) providers
At present obligations imposed on CHSP providers and NATSIFACP providers are set out in their individual grant agreements with the Department of Health and Aged Care, and are explained in the associated provider manuals. CHSP and NATSIFACP providers will be required to become registered providers under the new Act, and as a result these providers will need to comply with any conditions of registration, and obligations that apply to them.
We note that from 1 July 2025 and until the new NDIS worker screening checks commence as discussed above, the Stage 3 Rules require CHSP providers and NATSIFACP providers to ensure that their aged care staff do not have police certificates recording convictions or offences involving the death of a person, sexual offences including sexual assault, or matters relating to significant cases of dishonesty. For CHSP providers, this is a departure from the current requirements where providers are permitted to use their own discretion when assessing a person’s criminal history to determine whether recorded offences are relevant to the job.
Submissions
The new Stage 3 Rules can be accessed via the Department of Health and Aged Care’s website here.
While several parts of the Stage 3 Rules are yet to be drafted, the Department of Health and Aged Care is currently inviting submissions on the new Stage 3 Rules via this online form.
Submissions close 13 March 2025.
