SDA Pricing Review

Implementing New Prices For SDA

The new prices for Specialist Disability Accommodation (SDA) came into effect on 1 July 2023.
Updating of the new prices for SDA in participants’ plans is occurring and will continue over the coming months.
Participants will be informed by letter of the updated SDA funding in their plans.
Providers will also be advised when the SDA funding adjustments have been made to the NDIS plans of participants residing in their enrolled SDA dwellings.

SDA Pricing Review – Final Report released

The National Disability Insurance Agency (NDIA) has released the Specialist Disability Accommodation (SDA) Pricing Review 2022-2023.

The Review was undertaken to evaluate the impact of current SDA prices on supply and demand of SDA housing and to set new SDA prices to guide market investment in areas that will most benefit people with disability over the next five years.

The SDA Pricing Review was about making sure SDA eligible NDIS participants receive the supports they need and to ensure pricing reflects what is needed for investment to support NDIS participants into the future.

The reports released as part of the announcement are:

Ernst & Young (“EY”) was engaged on the instructions of the National Disability Insurance Agency (“NDIA”) to assist in undertaking independent technical research and analysis to support the Specialist Disability Accommodation (“SDA”) Pricing Review.

The 8 Technical Reports are listed below:

EY Technical Report - Benchmark Construction Costs

1a. SDA Reference Designs – Kennedy Associates Architects

1b. Detailed Cost Estimate Report – MBM Quantity Surveying

EY Technical Report - Land Costs
EY Technical Report - Geographic Variation in Construction Costs
EY Technical Report - Sprinkler Cost
EY Technical Report - Exit Costs
EY Technical Report - Vacancy Rates
EY Technical Report - Ownership Costs
EY Technical Report - Capital Asset Pricing Model
SDA KA Reference Designs

The full reports are available on the SDA Pricing Review Technical Reports page.

The new SDA benchmark price changes will take effect from 1 July 2023, and be introduced from 1 October 2023, to allow operational and system changes to be implemented.

The NDIA will adjust the amount of funding included in participant plans to ensure participants can continue to access their SDA supports.

Further information for Participants and SDA Providers is available on the New Specialist Disability Accommodation (SDA) Prices page.

SDA Pricing Review Background

In 2022 the Government announced a review of the pricing for SDA.

The pricing and payments framework for the funding of the land and built elements of SDA under the NDIS is set out in the Specialist Disability Accommodation Pricing and Payments Framework (“the SDA Pricing Framework”), which was approved by the Commonwealth and all state and territory ministers in 2020.

Under the Framework, the NDIA is responsible for setting the pricing arrangements for SDA.

If you have any questions, please contact the SDA Pricing Review team via email at [email protected]

SDA Pricing Review terms of reference

The terms of reference for the SDA Pricing Review were released on 22 August 2022.

Download the consultation paper

SDA Pricing Review Panel

The Review process was assisted by a panel of independent experts appointed for a fixed term. They considered the impact of any proposed recommendations from the SDA Pricing Review.

The Panel comprised six members:

Ms Tricia Malowney OAM (IAC member), Chief Accessibility Advocate Department of Transport, Victoria
Professor Flavio Menezes, Director Australian Institute of Business & Economics
Ms Keran Howe OAM, former Executive Director, Women with Disabilities Victoria, and disability Advocate
Ms Wendy Hayhurst, CEO Community Housing Industry Association
Mr Russell Cocks, property lawyer, specialising in all aspects of property law and conveyancing
Ms Leanne Pilkington, Deputy President, Real Estate Institute of Australia

The Panel convened for their first meeting on Friday 2 December 2022.

SDA Background

SDA is one of the supports that may be funded under the National Disability Insurance Scheme (NDIS) for some participants.

SDA funding is provided to participants who meet strict eligibility criteria. Participants who meet the eligibility criteria will have extreme functional impairment and high support needs.

The SDA Pricing Review ensures that SDA-eligible participants receive the support they need.

Visit the Specialist Disability Accommodation explained | NDIS for further information.