Table 6: Analysis of options for administrative support for retirement villages Who Funding options Purpose of organisation Costs Benefits CAV Registration fees Grants from the Victorian Property Fund CAV purposes include: Review legislation Advise and educate consumers Conciliate disputes Enforce consumer laws Employment of new staff is not consistent with sustainable Government Initiative Not consistent with Reducing Red Tape Initiative. CAV administers 40 acts and has competing priorities CAV would need to make regulations and prepare a RIS adding significant costs (even more then the cost of the total annual salaries of two people over two years) and delaying the introduction of this initiative by 18 months CAV has an premises and capacity RRVV Membership fees Grants from the Victorian Property Fund Donations and sponsorship Policy and advocacy on behalf of the community of retirement village residents. Information & education for members Facilitating a collective voice on issues, needs and problems Promoting interaction between retirement village residents. Providing general information Encourage sustainability in existing and future retirement villages. Currently does not have sufficient to carry out this role. Does not have a premises RRVV membership fees may need to increase. Empowers residents of retirement villages Residents will develop knowledge and skills by learning by doing Enhances consumer confidence in the retirement village industry Will build general confidence and investment in the Victorian retirement village industry Reduces costs to residents, industry and Government Could be implemented immediately subject to funding CAV and the RVA contribute to costs of administrative support. Funds may be available from the Victorian Property Fund Engagement could be by fixed term contract for two years
RVA Membership fees from the Retirement Village Industry RVA provides advocacy, support and promotional services for retirement village businesses and the retirement village industry at large. There is already a power imbalance. RVA providing the service would further disadvantage residents RVA has an premises and capacity CALC Funded by VLA and CAV Focused on consumer advocacy, litigation and policy organisation. CALC skill base is advocacy and litigation There will be competing demand on resources because of broader role CALC has an premises and capacity Council of the Aging/ Seniors Victoria COTA receives funding from a range of organisations for agreed priorities Main focus is information and education for seniors COTA will have competing demands on resources because of broader role COTA has an premises and capacity
2 Reduced disputes Simplified village legal and financial arrangements Less processes or conflicting processes applying to residents committees Confidence and continued investment in the retirement village industry Improved communication and processes between management, committees and residents Improved financial transparency and accountability in setting of fees and charges Reduced Set up a folder of key documents affecting the village Identify key attributes of legal and financial arrangements affecting Victorian retirement villages The RRVV (with assistance from the RVA and CAV) will develop a range of fact sheets for general meetings and committee meetings The RRVV will engage administrative support to provide independent facilitation at general meetings, or alternatively, a Retirement Village Commissioner will provide an independent facilitator at general meetings. 2 Reduced Simplified village legal and financial arrangements Less processes or conflicting processes applying to residents committees Confidence and continued investment in the retirement village industry Improved communication and processes between management, committees and residents Improved financial transparency and accountability in setting of fees and charges Reduced Pool resources to engage professional administrative support for all villages. Funding for administrative support will be funded by: The collective RRVV, RVA and CAV The RRVV apply for funding from the Victorian Property Fund, The RRVV may increase fees CAV charges an annual registration fee for all villages (possibly requiring amendments to the Act, significant new regulatory powers, system changes and a RIS) Alternatively CAV could apply for funds from the Victoria Property Fund to engage two full time workers to provide administrative support and independent facilitation of meetings at all villages. Figure 1: Flowchart of actions to simplify the regulatory framework Is this vision for retirement village living achievable?
In summary the vision is achievable, cost effective and aligns with the RRVV’s, RVA’s and Government’s priorities. Critical success factors Aligns with members expectations of the RRVV Potential stakeholder support RVA Financially sustainable Aligns with Government priorities Achievable Reduce red tape priorities Yes Reduce disputes Yes Reduced costs Yes Improved simplicity Yes