Registered Providers Operational Guideline - Ceasing to be a registered provider of supports

7. Ceasing to be a registered provider of supports

A person or organisation ceases to be a registered provider of supports on the earlier of the following:

  • if the instrument approving the person or organisation is revoked - the date on which the revocation takes effect (section 71(a)); or
  • if the instrument specifies that it ceases to be in effect on a specified day - that day (section 71(b)).

7.1 When can a registered provider of supports registration be revoked?

The registration of a registered provider of supports may be revoked if the NDIA is satisfied of one or more of the following:

  • the registered provider no longer meets the criteria to be a registered provider (section 72(1)(a));
  • the registered provider's application contained false or misleading information (section 72(1)(b)); or
  • a circumstance exists that:
    1. is a circumstance set out in the Registered Providers of Supports Rules; and
    2. presents an unreasonable risk to one or more participants (section 72(1)(c)).

The NDIA will consider options to remedy concerns with a registered provider before considering formally revoking the provider's registration.

7.1.1 Revocation where a registered provider of supports no longer meets the criteria for approval

Once a provider is registered, they must continue to meet the criteria for approval to be a registered provider of supports.

Failure to do so is grounds for revoking registration (section 72(1)(a)).

7.1.2 Revocation where an application contained false or misleading information

If a provider's application to be a registered provider contained information that was false or misleading in a material particular, the NDIA may revoke the provider's registration (section 72(1)(b)).

The NDIA should only form a view that the application contained false or misleading information based on sufficient evidence and findings of fact.

7.1.3 Revocation where there is an unreasonable risk to one or more participants

If one of the prescribed circumstances outlined below is found to exist, and the circumstance presents an unreasonable risk to one or more participants, the NDIA may revoke a provider's registration.

The circumstances are as follows:

  • the provider contravenes the NDIA's terms of business as in force from time to time (the provider agrees to be bound by the NDIA's terms of business (External website) (external) as part of its approval) (rule 5.2(a) of the Registered Providers of Supports Rules);
  • the provider, or an employee or contractor of the provider, is the subject of adverse action by a responsible authority (External website) (external) relating to their provision of supports or management of funding for supports, regardless of whether those supports are provided or funded under the NDIS Act (rule 5.2(c) of the Registered Providers of Supports Rules);
  • the provider, or an employee or contractor of the provider, is the subject of adverse action by a responsible authority in respect of an approval (External website) (external) held by the provider or the employee or contractor (rule 5.2(d) of the Registered Providers of Supports Rules);
  • the provider is an insolvent under administration (rule 5.2(e) of the Registered Providers of Supports Rules);
  • the provider contravenes an employment or workplace health and safety law that applies to the provider including, for example, the Fair Work Act 2009 if that Act applies to the provider (rule 5.2(f) of the Registered Providers of Supports Rules);
  • the provider does not have suitable mechanisms in place to ensure that any contractors engaged for the provision of supports or the management of funding for supports comply with all employment and workplace health and safety laws that apply to the contractors in that provision or management (rule 5.2(g) of the Registered Providers of Supports Rules);
  • the provider, or an employee or contractor of the provider, contravenes a law:
    1. that applies to the applicant and its staff in the provision of supports or the management of funding for supports (as the case requires); and
    2. the contravention of which is punishable by a criminal penalty (rule 5.2(i) of the Registered Providers of Supports Rules); or
  • the provider contravenes one or more of the requirements for registered providers (rule 5.2(j) of the Registered Providers of Supports Rules).

Whether an 'unreasonable risk' exists to one or more participants is a question of fact to be determined in the individual circumstances of each case.

Some factors which may be relevant are whether a participant or class of participants, could suffer material harm as a result of the circumstance and the vulnerability of the participant to harm that results from the circumstance.

7.2 Revocation procedure

Before deciding to revoke a registered provider's registration, the NDIA must give written notice to the relevant person or organisation advising that revocation is being considered (section 72(2)).

The notice must:

  • include the NDIA's reasons for considering the revocation (section 72(2)(a));
  • invite the person or organisation to make written submissions to the NDIA within 28 days after receiving the notice (submission period) (section 72(2)(b)); and
  • inform the person or organisation that if no written submissions are made within the submission period, revocation may take effect as early as 7 days after the end of the submission period (section 72(2)(c)).

In deciding whether to revoke a provider's registration, the NDIA must consider any submissions provided within the submission period (section 72(3)).

The NDIA must notify the person or organisation, in writing, of the decision in relation to whether or not their registration will be revoked (section 72(4)).

A decision by the NDIA to revoke a person or organisation as a registered provider of supports is a reviewable decision (section 99 item 8). Therefore, where the NDIA decides to revoke a provider's registration, the notice issued to the provider must include a statement to the effect that the person or organisation may request that the NDIA review the decision (section 100(1A)).

The written notice of decision must be given within 28 days after the end of the submission period. If notice is not given within this period, the NDIA is deemed to have decided not to revoke the provider's registration (section 72(5)).

To minimise the risk of disruption to participants, the NDIA may liaise with a provider, whose registration is to be or has been revoked, to determine the steps necessary to allow for a smooth transition and continuity of supports for any affected participants.

This page current as of
18 July 2019