Understanding I-CAN and How NDIS Budgets Will Be Set
Many people have recently heard about the I-CAN support needs assessment. What is talked about much less is what happens after the assessment is completed.
The most important question for participants is this:
How does the I-CAN assessment turn into an actual NDIS plan budget?
This matters because the main purpose of any support needs assessment is to decide how much funding a person needs. Without a clear explanation of how budgets are calculated, people are left confused and uncertain about their plans.
This blog article explains what we currently know, what we don’t know yet, and why this is important for NDIS participants.
What Is Changing With New Framework Plans?
The NDIS is introducing a new way of creating plans, called New Framework Plans (NFPs). Most participants over the age of 16 will move to this new system.
Under this model, plan budgets will usually be based on two main assessments:
The I-CAN support needs assessment
The Personal and Environmental Circumstances Questionnaire (PECQ)
For people with more complex needs, the NDIA may use extra assessment tools. In some cases, the NDIA may also ask for external assessments for certain supports, such as:
Home modifications
Behaviour support
Assistive technology
Exactly which supports will require external assessments has not been clearly explained yet.
What Is the PECQ?
The PECQ is a questionnaire created by the NDIA. There is very little public information available about it.
What we do know is that it looks at things like:
Where a person lives
Their environment
Whether they have informal supports (such as family or friends)
How those supports help in everyday life
At this stage, the full PECQ has not been released publicly.
What Will NDIS Plans Look Like Under the New System?
Under New Framework Plans, NDIS plans will change in structure.
Instead of many support categories, plans will have only two types of funding:
Flexible supports
Stated supports
The idea behind this change is to give participants more flexibility in how they use their funding.
So far, we know:
What information goes into the system (assessments)
What comes out of the system (a plan with two funding types)
What is missing is a clear explanation of how the budget amount is calculated in the middle.
Why Is the Budget Process Still Unclear?
The NDIA has said that the details about how budgets will be set will be explained in new NDIS Rules, which are still being written.
Several new Rules must be finalised before the new planning system fully begins. One of these Rules is expected to explain:
How assessment results are turned into a funding amount
However, until these Rules are published, participants do not know:
How I-CAN scores are used
How funding levels are decided
What flexibility exists in the system
Even feedback collected by the NDIA has shown that many people do not understand how funding decisions will be made.
Will There Be Human Oversight?
A major concern is whether humans can review or change a plan budget once it has been calculated.
Under the new system:
Budgets are expected to be generated using computer systems based on assessment results
NDIA delegates will still have some decision-making powers, including:
Deciding whether an assessment is valid or needs to be redone
Setting the length of the plan
Choosing the plan management type
Deciding which supports are flexible and which are stated
Adding funding that requires quotes or further assessment
However, for most participants:
Delegates will not be able to directly change the total budget amount
If a budget does not meet a person’s needs, the main option will be to request another assessment
Why This Matters
No assessment tool is perfect. If the I-CAN and PECQ do not fully capture a person’s needs, there is a risk that:
The budget will not be enough
The participant will need to repeat assessments to try again
This creates a system where funding outcomes depend heavily on how well the assessments reflect real life, with limited ability for human decision-makers to adjust the result.
In Summary
Here is what we know so far:
I-CAN and PECQ will be the main tools used to set budgets
Plans will have fewer categories and more flexibility
The exact method for calculating budgets has not been clearly explained
Human oversight will exist, but may be limited
If an assessment is wrong, the main solution may be to repeat it
Clear information about how budgets are set is essential. Until the new Rules are released, many participants will continue to have questions about how their support needs will be properly funded.
As usual, we at Collabor8 Supports will continue to update and inform you upon release of new information.
If you have any questions about this blog article, please don’t hesitate to reach out to Margaret McGrath - margaret@collabor8supports.com.au.
