If The Salvation Army has been unable to operate these centres viably, how will a new owner achieve viability without reducing care standards or services?
Quality of care within Residential Aged Care Facilities is overseen by the Aged Care Standards and Accreditation Agency. Standards are highly regulated and audited to ensure all operators meet an adequate standard of care for their residents. Particular to The Salvation Army’s centres, there is currently a high proportion of residents who are deemed to be “concessional”, that is, they are not required to pay a bond when they enter a low care facility. While not affecting existing residents at all, it is possible that a new owner’s admissions policy will reflect a different concessional/non-concessional profile (notwithstanding they will be required to meet Commonwealth concessional ratios) and thereby create an opportunity for greater revenue and viability.