Considering future arrangements for residential aged care

Published on 10 July 2013

Monash Council will investigate whether a specialist aged care service provider is better placed to deliver the residential aged care services that are currently provided by Council.

This investigation will apply to the aged care facilities at Elizabeth Gardens in Burwood and Monash Gardens in Mulgrave. It will also apply to the independent living units at Monash Gardens. The independent living units at Elizabeth Gardens will not be part of this process.

Monash Mayor Micaela Drieberg said Council would seek expressions of interest from parties which may be interested in purchasing the land, assets and business associated with the aged care facility and independent living units at Monash Gardens, and the business and assets associated with the residential aged care facility at Elizabeth Gardens.

Cr Drieberg said Council would consider responses to the expression of interest and make a decision on whether to proceed with a sale process at its meeting in late October 2013. Any final decision relating to a possible sale is subject to approval by the Department of Health and Ageing.

She emphasised that Council would only consider selling to providers who are able to meet or exceed care and facility standards.

"We care very much for the welfare of the residents who live at these facilities and will be looking after their interests throughout this process," Cr Drieberg said.

"The decision to seek expressions of interest has been a tough one for Council as we have been providing a high standard of care in these facilities for 20-plus years," she said.

"However, it will become increasingly difficult for small services such as ours to provide the highest possible standard of care into the future."

Cr Drieberg and Council CEO Andi Diamond met on 10 July with residents of the facilities and their families to answer their questions about this process and to reassure them that residents will continue to receive the same high standard of care throughout any sale process. Further meetings with residents and families will be held on Saturday. The Mayor and CEO have also met this morning with staff who work at the facilities to talk to them about this process.

Cr Drieberg said if Council decided to proceed to a sale, the interests of residents would be protected. Any new provider would be bound to provide the arrangements set out in residents' existing Residence Agreements.

In addition, Council has put in place other measures that serve the interests of residents. If Council entertains a sale and considers bids from providers, all potential providers would be evaluated against a set criteria. In its evaluation, Council would give 65% weighting to non-financial considerations compared with 35% weighting for price.

The non-financial considerations which providers would be evaluated against include: bed licences remain within the City of Monash or in close proximity to the City of Monash; providers meet or exceed required care and facility standards; providers have a demonstrated capacity to provide quality residential aged care services, and retirement living in relation to Monash Gardens; the transition process would be open and respectful of the interests of residents, their families and staff, and providers possess strong financial credentials.

Cr Drieberg said Council understood that residents of the facilities, their families, and staff who work at the facilities may have questions and concerns about the process.

"We will make sure we are available to meet with residents, their families and our staff whenever they need to talk," Cr Drieberg said.

"We want to reassure everyone that they will be cared for throughout this process."