SILosophy Episode 25: The SIL Reform from an SDA Perspective

Yeah.

So where are we today? What does it look like for an SDA provider in the market now?

So let's move SDA providers into two buckets.

There's the SDA providers that provide the SDA service.

So they essentially will be the property managers and they'll engage with the participant and essentially manage the dwelling.

And then there's the SDA landlords who are usually the developers that are kind of behind the scenes.

And they're the ones who fund, often design and manage create the the SDA so they're not the SDA developers for the record are not not funded by the NDIS they've really got nothing to do with the NDIS all that all that they're required to do or we're required to do I should say is create a product that's fit for purpose and compliant and can get certified.

And then an SDA provider kind of takes it over.

So what has happened is when we started, there was lots of SDA developers and almost no SDA providers.

Now it's gone the other way where there's better SDA providers and there's more SDA providers, but the market conditions for SDA are just not really... um inviting developers to participate in that in that market segment at the moment at least not like they were a few years ago um

yeah there seems to be a massive amount of change going on with njs providers all over the place um but i haven't really heard anyone mention sda from a reform perspective from a legislation perspective um on how any of these changes are kind of playing out.

And it seems like we had a really big blow up in the media about a whole lot of really large SDA providers and a whole lot of bad actors.

I guess it was late last year.

And then since then, it's kind of been definitely quiet from, all different stakeholders.

What has happened and where did we end up with SDA at the moment? Are these reforms hitting SDA providers as hard as everybody else? Is there other things at play? Has everyone put their head in the sand? Have the bad actors completely left the space? What's really going on out there?

Yeah, good question.

So the SDA, as a segment of the NDIS, it's a very small segment.

I think the total funding might be in the range of a couple of percent, and it was getting probably 98% of the attention.

I'm not sure why it became front and center.

And maybe the reason it became front and center was because how many people were being sold SDAs.

So it became very visible.

Whereas for things like SIL, if you're not in the industry, you weren't seeing it.

It's not like people were trying to buy SIL businesses, but they were selling SDA properties.

And so it became very popular and it became very front and center for a while.

We did have a fairly significant price review, maybe 21, was it? Maybe 22, something like that.