Deirdre Clune (Cork South Central, Fine Gael)
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Question 373: To ask the Minister for Health and Children when the fair deal nursing home support scheme will open for application; when it will begin to operate; and if she will make a statement on the matter. [30436/09]

Deirdre Clune (Cork South Central, Fine Gael)
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Question 374: To ask the Minister for Health and Children the way the fair deal nursing home scheme will operate when introduced; and if she will make a statement on the matter. [30437/09]

Olivia Mitchell (Dublin South, Fine Gael)
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Question 376: To ask the Minister for Health and Children when she will introduce the fair deal scheme for nursing homes; and if she will make a statement on the matter. [30459/09]

Michael McGrath (Cork South Central, Fianna Fail)
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Question 429: To ask the Minister for Health and Children when the new nursing home support scheme, A Fair Deal, will be implemented. [30872/09]

Áine Brady (Kildare North, Fianna Fail)
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I propose to take Questions Nos. 373, 374, 376 and 429 together.

The Nursing Homes Support Scheme Act 2009 was signed into law by the President on the 1st July. Certain sections of the Act were commenced on the 3rd July to enable the National Treatment Purchase Fund to immediately begin price negotiations with private nursing homes. The Minister intends to implement the scheme once these negotiations are concluded and no later than the final quarter of this year. Applicants to the scheme must undergo a care needs assessment to determine whether they need nursing home care and a financial assessment to determine their ability to contribute towards their own care. Based on the outcome of both these assessments, the HSE will decide on the payment of financial support.

Under the new scheme, individuals will contribute 80% of their assessable income and 5% of the value of any assets in excess of the asset disregard per annum. The asset disregard is the amount of a person's assets that is totally excluded from the financial assessment. The asset disregard is €36,000 for an individual or €72,000 for a couple. Where a person's assets include land and property, the 5% contribution based on such assets may be deferred and can be collected from their estate. This is an optional element of the scheme called "Ancillary State support".

A person's principal residence will only be included in the financial assessment for the first 3 years of their time in care. This is known as the 15% or 'three year' cap. It means that individuals will pay a 5% contribution based on their principal residence for a maximum of three years regardless of the time they spend in nursing home care. After 3 years, even if they are still getting long-term nursing home care, they will not pay any further contribution based on the principal residence. This 'three year' cap applies regardless of whether individuals choose to opt for Ancillary State support or not. In the case of a couple, the contribution based on the principal residence will be capped at 7.5% where one partner remains in the home while the other enters long-term residential care.

The 'three year' cap will also extend to farms and business in certain circumstances. If there is a partner or certain dependants living in the principal residence, the repayment of contributions may be further deferred for their lifetime. Finally, there are important safeguards built in to the Financial Assessment which are worth noting: nobody will pay more than the actual cost of care; individuals will keep a personal allowance of 20% of their income or 20% of the maximum rate of the State Pension (non-Contributory), whichever is the greater; if there is a spouse/partner remaining at home, he/she will be left with 50% of the couple's income or the maximum rate of the State Pension (non-Contributory), whichever is the greater.

When the Care Needs and Financial Assessments have been completed, the HSE will provide a list of nursing homes to choose from. The list will include public, voluntary and approved private nursing homes. Approved private nursing homes are homes which have agreed the price charged for care with the National Treatment Purchase Fund and are approved for the purposes of the scheme. Individuals can choose care in any nursing home on the list, subject to the following conditions: the facility must be able to cater for their particular needs; and the facility must have a place for them. A person's choice of facility is not connected in any way to the level of their contribution to care.

If a public or voluntary nursing home is selected, the person will pay their contribution to the HSE or voluntary nursing home, as appropriate, each week and the State will pay the balance. If an approved private nursing home is selected, the person will pay their contribution to the nursing home provider each week and the State will pay the balance.