What’s the future of our community-owned aged care facility, Longridge Aged Care (LAC)?

LAC is facing financial pressures due to the increased cost of business and is struggling to retain a stable workforce.

While it has not considered exiting the market at this point, LAC has written to the Naracoorte Lucindale Council to come to its rescue so it can continue to provide the best care for its residents.

In a letter to the council, sighted by this newspaper [Naracoorte Community News], LAC chief executive officer Ravi Aulukh said the council should be working hand in glove to support the community-owned aged care provider.

Mr Aulukh pointed out to the council KPMG’s 2023 Aged Care Market Analysis, which reflects on what’s being experienced by LAC.

According to data released from the first quarterly financial report (September 2022 quarter), LAC was advised that:

The CEO said LAC was experiencing similar financial pressures and has not considered exiting the market at this point, but continued financial pressures due to increased business costs and struggles in retaining a stable workforce remained a critical issue.

“The reallocation of LAC from a five to a four in the Modified Monash Model has further impacted grant funding opportunities and reduced additional supplementary funding from the Federal Government,” Mr Aulukh wrote in his letter.

The CEO said the LAC Board in 2023 had approved and initiated design and quarantined funds to build an external storage shed attached to the aged care facility.

“These funds in excess of $100,000, however, were redirected to the commissioning of an onsite generator in December 2024, following SA Power’s advice of potential instability in the grid.

“This has proven to be an astute move by the Board, as we have enjoyed business continuity when power losses were experienced onsite.”

Mr Aulukh said the redirection of funds to commission an onsite generator currently restricts LAC’s ability to undertake the construction of a shed, which is quoted to cost $151,781.30.

“As such, we continue to utilise the resident’s library as our storage.

“Our first request is for the council to consider the opportunity to assist LAC with financial support to complete this project and to acknowledge this funding support in the Council’s FY 2024/2025 budget.”

He said, according to Mirrus Australia, in a March 2024 report prepared for LAC that considered the supply and demand of the South East Aged Care Planning Region, it was instructed that the region will require an additional 216 beds as over 70 populations grow to 13,166 by 2026.

This report advised that there were only 742 beds currently in the region.

“LAC would like to advise the council of our intentions to continue to support the Naracoorte and Limestone Coast communities by increasing accommodation supply, a national crisis, to the region for anyone over 55 years who has retired from full-time work.

“The LAC Board acknowledges the report, and we have begun consultation with architects to begin the development of a master plan for 29 Attiwill Street, Naracoorte.”

As a second request, LAC has asked the council to consider lending support to the development of this site through planning approvals and civil works, including advocating for grant funding opportunities to support this development.

“It is recommended that the council note this brief and consider how it would like to support a community-owned aged care facility.”

Longridge Aged Care (LAC) is a private, not-for-profit community organisation owned by the Naracoorte and Districts community.

It was established in 1969 by the Naracoorte community to provide accommodation and services for any retiree or person with a disability.

LAC operates a 52-bed residential aged care facility and has a further 53 independent living units for anyone who has attained the age of 55 and above and retired from full-time employment.

Prior to 2021, LAC had used one residential aged care room as storage for equipment and non consumables.

As demand for aged care increased, LAC in 2021 decided to offer an additional bed to the community, however, in doing so, it repurposed its onsite resident’s library into the new storage room.

The library was sacrificed to support the community’s need for aged care beds.

LAC also owns a Greenfields site on 29 Attiwill Street with a land size of 9553m2.

This article appeared in the Naracoorte Community News.