This instrument is the Aged Care Legislation Amendment (2026 Measures No. 1) Rules 2026.

(1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Commencement information
Column 1	Column 2	Column 3
Provisions	Commencement	Date/Details
1. The whole of this instrument	The day after this instrument is registered.	3 February 2026

Note: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.

(2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.

3 Authority

This instrument is made under the following:

(a) the Aged Care Act 2024;

(b) subitem 2(1) of Schedule 6 to the Aged Care (Consequential and Transitional Provisions) Act 2024.

4 Schedules

Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

Schedule 1—System Modification amendments—payments of subsidy

Aged Care (Consequential and Transitional Provisions) (Aged Care System Modification) Rules 2025

1 In the appropriate position in Schedule 1

Insert:

1D Subsection 250(1) (note)

Repeal the note, substitute:

Note 1: Subsidy is not payable to the extent that there are insufficient funds in an individual’s relevant notional account: see section 251A.

Note 2: Subsidy may also be payable in advance of a claim being made: see Subdivision AA.

1E After subsection 251(4)

Insert:

(4A) In approving a claim for payment of an amount of subsidy to a registered provider for the relevant period for the subsidy, the System Governor must increase or reduce the amount to make any adjustments that are necessary to take account of any subsidy paid to the registered provider for the relevant period for the subsidy in accordance with Subdivision AA.

1F After Subdivision A of Division 6 of Part 2 of Chapter 4

Insert:

Subdivision AA—Payments of subsidy for home support, assistive technology and home modifications in advance of claims

253A Payments of subsidy in advance of claims

Subsidy that would have been payable to a registered provider under section 250 if the registered provider had given the System Governor a claim for that subsidy in accordance with section 251 is also payable by the Commonwealth to the registered provider under that section if:

(a) the registered provider gives the System Governor a request for that subsidy in accordance with subsection 253B(1); and

(b) the System Governor approves the request in accordance with subsection 253B(2).

253B Requests for payments of subsidy in advance of claims

(1) For the purposes of obtaining payment, a registered provider must give to the System Governor a request, in an approved form, for any subsidy that is payable in accordance with section 253A, for the relevant period for the subsidy, to the registered provider for a funded aged care service delivered to an individual through a service delivery branch of the registered provider during the relevant period.

(2) The System Governor may approve the request for the whole or any part of any subsidy that is payable in accordance with section 253A to the registered provider as soon as reasonably practicable after the request is given to the System Governor under subsection (1) if:

(a) the payment is likely to mitigate a risk to the financial viability and sustainability of the registered provider that could disrupt the delivery of funded aged care services by the registered provider; or

(b) the circumstances (if any) prescribed by the rules apply.

(3) To avoid doubt, for the purposes of this section:

(a) multiple requests can be made for a single relevant period; and

(b) requests for multiple days in the same relevant period can be included in a single request.

253C Working out amounts of payments of subsidy in advance of claims

(1) If the System Governor pays an amount of subsidy in accordance with this Subdivision to a registered provider for a relevant period for the subsidy, the System Governor must work out the amount for the relevant period by estimating the amount of subsidy that would be payable under Subdivision A for the relevant period if the registered provider had given the System Governor a claim for that subsidy in accordance with section 251 for the period, taking into account any deductions under subsection 261(1).

(2) The amounts referred to in subsection (1) must be worked out in accordance with any requirements prescribed by the rules.

253D Claims for subsidy following payments of subsidy in accordance with this Subdivision

For the avoidance of doubt, if the System Governor pays an amount of subsidy in accordance with this Subdivision to a registered provider for a relevant period for the subsidy, the registered provider must give the System Governor a claim for that subsidy in accordance with section 251.

Note: If the registered provider fails to give the System Governor a claim for that subsidy in accordance with section 251, the amount of subsidy paid is a recoverable amount, and the entity is a debtor in relation to the amount: see subsection 514(4).

2 After item 21 of Schedule 1

Insert:

22 At the end of section 514

Add:

Recoverable amounts—subsidy for home support, assistive technology and home modifications paid in advance of claims but not subsequently claimed

(4) An amount of subsidy paid to an entity in accordance with Subdivision AA of Division 6 of Part 2 of Chapter 4 is a recoverable amount, and the entity is a debtor in relation to the amount, if the entity fails to give the System Governor a claim for that subsidy in accordance with section 251.

Schedule 2—System Modification amendments—prioritisation and place allocation

Aged Care (Consequential and Transitional Provisions) (Aged Care System Modification) Rules 2025

1 In the appropriate position in Schedule 1

Insert:

1A Section 89

Before “A”, insert “(1)”.

1B At the end of section 89

Add:

(2) A decision that has ceased to have effect under subsection (1) resumes being in effect for a period in circumstances prescribed by the rules.

1C Paragraph 92(4)(b)

Omit “if the service group is residential care—”.

2 In the appropriate position in Schedule 2

Insert:

1A At the end of Part 4 of Chapter 2

Add:

Division 5—Period of effect of decisions

89‑5 Circumstances in which decisions resume being in effect for a period

(1) For the purposes of subsection 89(2) of the Act, this section prescribes circumstances in which a decision under subsection 86(1) of the Act about an individual’s priority category for a classification type for a service group that has ceased to have effect under subsection 89(1) of the Act resumes being in effect for a period.

Place allocated but taken to be withdrawn—service groups home support, assistive technology and home modifications

(2) A decision about an individual’s priority category for a classification type for a service group that has ceased to have effect under paragraph 89(1)(a) or (aa) of the Act:

(a) resumes being in effect, immediately after it ceased to have effect, if:

(i) the place allocated to the individual for the classification type for the service group under subsection 92(1) of the Act does not take effect and is taken to be withdrawn under subsection 92A(2) of the Act; and

(ii) the individual notifies the System Governor that the individual needs the decision to resume being in effect; and

(b) remains in effect in accordance with section 89 of the Act.

Classification level resumes being in effect under section 80‑49—service group home support

(3) A decision about an individual’s priority category for a classification type for the service group home support that has ceased to have effect under paragraph 89(1)(a) of the Act:

(a) resumes being in effect if:

(i) the place allocated to the individual for the classification type for the service group under subsection 92(1) of the Act ceased to have effect under paragraph 92A‑10(a) of this instrument because a classification level for the classification type ongoing for the service group residential care has taken effect for the individual; and

(ii) a classification level for a classification type for the service group home support for the individual, that ceased being in effect because the classification level for the classification type ongoing for the service group residential care mentioned in subparagraph (i) has taken effect for the individual, resumes being in effect under subsection 80‑49(1) of this instrument; and

(iii) the individual notifies the System Governor that the individual needs the decision to resume being in effect; and

(b) resumes being in effect when the individual so notifies the System Governor; and

Classification level resumes being in effect under section 80‑49—classification type short‑term for service group assistive technology

(4) A decision about an individual’s priority category for the classification type short‑term for the service group assistive technology that has ceased to have effect under paragraph 89(1)(aa) of the Act:

(a) resumes being in effect if:

(ii) a classification level for the classification type short‑term for the service group assistive technology for the individual, that ceased being in effect because the classification level for the classification type ongoing for the service group residential care mentioned in subparagraph (i) has taken effect for the individual, resumes being in effect under subsection 80‑49(3) of this instrument; and

(iii) the individual notifies the System Governor that the individual needs the decision to resume being in effect; and

(b) resumes being in effect when the individual so notifies the System Governor; and

Classification level resumes being in effect under section 80‑49—classification type short‑term for home modifications

(5) A decision about an individual’s priority category for the classification type short‑term for the service group home modifications that has ceased to have effect under paragraph 89(1)(aa) of the Act:

(a) resumes being in effect if:

(ii) a classification level for the classification type short‑term for the service group home modifications for the individual, that ceased being in effect because the classification level for the classification type ongoing for the service group residential care mentioned in subparagraph (i) has taken effect for the individual, resumes being in effect under subsection 80‑49(4) of this instrument; and

(iii) the individual notifies the System Governor that the individual needs the decision to resume being in effect; and

(b) resumes being in effect when the individual so notifies the System Governor; and

Schedule 3—Rules amendments—classification, prioritisation and place allocation

Aged Care Rules 2025

1 After Subdivision B of Division 2 of Part 3 of Chapter 2

Insert:

Subdivision BA—Circumstances in which classification levels resume being in effect for a period

80‑47 Purpose of this Subdivision

For the purposes of subsection 80(1) of the Act, this Subdivision prescribes, subject to subsection 80(3) of the Act, circumstances in which a classification level for an individual that has ceased being in effect resumes being in effect for a period.

80‑49 Circumstances in which classification levels resume being in effect for a period—service groups home support, assistive technology and home modifications

Service group home support

(1) A classification level for a classification type for the service group home support for an individual that has ceased being in effect because a classification level for the classification type ongoing for the service group residential care has taken effect for the individual:

(a) resumes being in effect if the individual notifies the System Governor that the individual needs the classification level to resume being in effect; and

(b) resumes being in effect when the individual so notifies the System Governor; and

(c) remains in effect in accordance with section 80 of the Act and Subdivision B of Division 2 of Part 3 of Chapter 2 of this instrument.

(2) Subsection (1) does not apply to the classification level CHSP class for the classification type ongoing for the service group home support.

Classification type short‑term for service group assistive technology

(3) A classification level (the individual’s old AT classification level) for the classification type short‑term for the service group assistive technology for an individual that has ceased being in effect because a classification level for the classification type ongoing for the service group residential care has taken effect for the individual:

(a) resumes being in effect if:

(i) the individual notifies the System Governor that the individual needs the classification level to resume being in effect; and

(ii) when the individual so notifies the System Governor, the account period for the individual’s notional assistive technology account established in respect of the individual’s old AT classification level has not ended; and

(b) resumes being in effect when the individual so notifies the System Governor; and

(c) remains in effect in accordance with section 80 of the Act and Subdivision B of Division 2 of Part 3 of Chapter 2 of this instrument.

Classification type short‑term for service group home modifications

(4) A classification level (the individual’s old HM classification level) for the classification type short‑term for the service group home modifications for an individual that has ceased being in effect because a classification level for the classification type ongoing for the service group residential care has taken effect for the individual:

(a) resumes being in effect if:

(i) the individual notifies the System Governor that the individual needs the classification level to resume being in effect; and

(ii) when the individual so notifies the System Governor, the account period for the individual’s notional home modifications account established in respect of the individual’s old HM classification level has not ended; and

(b) resumes being in effect when the individual so notifies the System Governor; and

(c) remains in effect in accordance with section 80 of the Act and Subdivision B of Division 2 of Part 3 of Chapter 2 of this instrument.

2 Sections 92A‑5 and 92A‑10

Repeal the sections, substitute:

92A‑5 When a place is in effect—period for start day—service groups home support, assistive technology and home modifications

For the purposes of subsection 92A(2) of the Act, the period for a place allocated under subsection 92(1) of the Act to an individual is:

(a) 56 days from the day the place is allocated to the individual; or

(b) if, within the period referred to in paragraph (a), the individual notifies the System Governor that the individual needs an extension to that period—84 days from the day the place is allocated to the individual.

92A‑10 When a place ceases to have effect—service groups home support, assistive technology and home modifications

For the purposes of subsection 92A(4) of the Act, the time when a place allocated under subsection 92(1) of the Act to an individual for a classification type for the service group home support, assistive technology or home modifications ceases to have effect is the end of the earlier of the following (as applicable):

(a) for a place allocated to an individual for whom a classification level has been established for the classification type for the service group by a classification decision—the period of effect for the classification level;

(b) the day the individual dies.