This is an HTML version of an attachment to the Freedom of Information request 'Australian Government Policy Change in support of ILC transfer to DSS effective 31 January 2021'.


Document 1
OFFICIAL: Sensitive 
MINUTE 
Ref: EC20-000886 
SECRETARY 
Through: 
Catherine Rule  
Deputy Secretary 
Disability and Carers Stream 
Cc:  
Peter Broadhead, Group Manager, Participants and Performance 
SUBJECT: Transitioning administration of the Information, Linkages and Capacity 
Building Program (ILC) from the National Disability Insurance Agency (NDIA) to 
Department of Social Services (the department) 

Recommendations: 
1.
That you note considerations for transition of the ILC from NDIA to the department.
NOTED  /  PLEASE DISCUSS 
Secretary:……………………………….. 

/2020 
Issues: 
1.
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  The intention of ILC is to support all people with disability, not just those
with individualised plans through services such as information provision, referral,
community capacity building and web support.  The ILC has two components:
Local Area Coordination (LAC) and grant funding.  Further background is at Additional
Information
.
2.
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3.
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. The move could highlight the benefits of better connecting ILC to other
related grant activities in the department, and ensuring a closer connection between the
ILC and the National Disability Strategy.
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Additional Information 
1.
ILC was outlined conceptually in the 2011 Productivity Commission Inquiry on
Disability Care and Support, originally described as Tier 2 support. The intention of ILC
was to reduce or defer the entry of some people with disability into the NDIS by
supporting all people with disability, not just those with individualised plans, through
services such as information provision, referral, community capacity building and web
support.
2.
ILC has two components:
a.
Local Area Coordination funded approximately $450 million per annum. This is
appropriated directly to the NDIA through Program 1.2 – Community Inclusion
and Capacity Development Grants and is delivered through the NDIA’s partners
in the community.
b.
Grants to assist people with disability funded $132 million per annum. Since 2017
this is appropriated to DSS through Program 3.2 and NDIA undertake
administration of the grants. DSS reimburses NDIA for grant payments made to
service providers.
3.
The Disability and Carers Stream considers there are significant benefits in transitioning
ILC grants to the department. These include:
a.
better alignment with the broader disability system and services which are the
primary responsibility of the department and not the NDIA, such as Disability
Employment services; disability carer reform.
b.
the department has significantly more experience in administering grants than the
NDIA. The Community Grants Hub already run ILC assessment processes and
details of ILC grants are already in FOFMS.
c.
the ability to increase the decision making role of Ministers in ILC selection
process, including the design of programs (which is currently determined by the
NDIA Board).
d.
and, the capability to respond more quickly, flexibly and effectively to program
design concerns s47C
. This
includes adjusting funding models to reflect differences in maturity of local ILC
markets, rather than adopt a one size fits all approach.
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Document 2
OFFICIAL: Sensitive 
General Brief 
AustraJian Government 
t>'  DepartmentofSocial Services 
MS20-000498 
To: 
Minister for Families and Social Services (for decision) 
To: 
Minister for the National Disability Insurance Scheme (for decision) 
Subject:  Transfer of the Information, Linkages and Capacity Building (ILC) grant program 
Recommendations for Minister Ruston: That  ou

1. Agree with Minister Robert to transfer policy and administrative
responsibility for the lLC grant program from the National
--....:::::-----
Disability Insurance Agency (NDJA) to the Department of Social
Services (the department).
2. Agree the transfer occur as follows:
a. The immediate transfer of policy responsibility for the
future of the ILC grant program, including the lead on the
evaluation of ILC grant program and development of a new
Investment Strategy.
b. Transitioning approximately 300 existing ILC grants as soo ,  Agreed I. Npt Agreed
as practicable, with further advice on precise arrangements
____.-/
and timing to be provided.
c. The department and the NI?IA working closely to finalise
Agreed  Not Agreed
the Individual Capacity Building grant round that closed on
f',ie_�  4==,  .k:e.  """'� 
6 May 2020, with further advice to be provided on how
0..\  C]::)0 IO  {<2_C0:::,
these grants will be transitioned to the department.
\vv..-�&\10QS 
d. The NOJA's two planned Economic and Community
�otAgreed
Participation grant rounds not proceed until the department
provides you with further advice on options for the
remaining uncommitted I LC grant funding.
3. Agree the NOIA retain the Local Area Coordination function.
A  reed  Not Agreed
4. If you agree recommendations  l to 3, agree the Secretary of the
Agreed,  Not Agreed
department write to the Chief Executive Officer (CEO) of the NOI A
to advise of your decision and the implications for the NOIA' s
planned forthcoming grant rounds.
s22 
Minister Ruston's si  nature 
�n.s 
Date: ... .1 ... .12020 
MS20-000498 
OFFICIAL: Sensitive 












Document 3






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Document 6
PRIME MINISTER 
Reference: MC20-145896 
3 0 SEP 2020 
Senator the Hon Anne Ruston 
Minister for Families and Social Services 
Parliament House 
CANBERRA  ACT  2600 
The Hon Stuart Robert MP 
Minister for the National Disability Insurance Scheme 
Minister for Government Services 
Parliament House 
CANBERRA  ACT  2600 
Dear Ministers 
Thank you for your joint letter dated 11 September 2020 regarding the transfer of 
administrative responsibility for the Information, Linkages and Capacity Building (ILC) 
grants program from the National Disability Insurance Agency (NDIA) to the Department of 
Social Services (the Department). 
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I have reviewed your advice and agree with the proposal as outlined in your letter, on the 
understanding that the NDIA Board has considered and agreed with the proposal, and that 
consultation with government and sector stakeholders, including State and Territory disability 
ministers, has also occurred. I understand this transfer will be budget neutral as it does not 
involve any change to overall Commonwealth expenditure. 
Parliament House  CANBERRA  ACT  2600 
Telephone (02) 6277 7700 
www.pm.gov.au 



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