Australia's Disability Services Sector 2016 : Report 1 - Financial Sustainability: Summary of Key Findings

This is the first report of the Market Design and Evolution for Better Outcomes Research Program. It provides a snapshot of the financial status of 180 Disability Service Organisations from across Australia for the 2014-15 financial year. It also provides a baseline against which change can be compared. Importantly, the organisations in this study reported that only 2% of their income for the 2014-15 financial year was received from the National Disability Insurance Scheme (NDIS) and therefore this report essentially provides insight into the financial position of organisations prior to the introduction of NDIS.This report summarises the findings of the first of four surveys. Subsequent reports will be published in Q4, 2016 - Sector Response; Q2 2017 - Financial Sustainability Report No. 2, and Q4 2017 Sector Response Report No.2. The aim of this research is to provide governments, service providers and the broader community with detailed information on the supply and sustainability of disability services in Australia. The information produced is intended to facilitate the development of policy that fosters a strong, competitive and efficient supply of disability services and supports the achievement of the objectives of the NDIS. This research program examines the following research questions:1. What is the likely impact of the NDIS on the structure and therefore costs and availability of supply?2. What are the key risks (for various jurisdictions) and how can these be ameliorated?3. How can we support the development of an efficient market?4. What is the current aggregate financial sustainability of disability service organisations and how can we ensure sufficient supply?5. To what extent and how are disability services organisations responding to market forces through different forms of strategic alliances and sector collaboration?