NDIS costs underestimated, Senate told
The Gillard government underestimated the cost of national Disability Insurance Scheme trial sites by close to $400 million, parliament has been told.
Assistant Social Services Minister Mitch Fifield released the second quarter figures for NDIS trial sites during Senate question time on Thursday.
Average package costs are down to $40,466 but this is still 15 per cent higher than the budgeted cost of $35,000.
So far 2586 plans have been completed, well behind the target of 4340.
The difference between the expected annual cost in 2013/14 to 2015/16 and the actuarial baseline model is $392.1 million.
It was due to errors in the bilateral agreements under which the Commonwealth is liable for cost blowouts, Senator Fifield said.
Launch sites have been operating since July in South Australia, Tasmania, the Barwon region in Victoria and the NSW Hunter region.
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