Article
January 29, 2026
Reform in focus – Governance
Significant changes to governance are coming under the new Aged Care Act (2024), Aged Care Rules (2025) and the Strengthened Quality Standards, and for the first time, NATSIFAC-funded organisations are directly subject to many of these legislative and regulatory requirements.
At the heart of the reforms is a stronger focus on governing body accountability, oversight, and assurance that aged care services are safe, high quality, culturally appropriate and person-centred.
What’s changing under the reforms?
Governing body responsibilities have expanded. Governing bodies are now explicitly accountable for ensuring services are delivered in line with the Aged Care Act and Regulatory Framework. This includes setting strategic direction, leading a culture of safety and quality, and ensuring effective systems are in place to monitor performance, risks, incidents, complaints and continuous improvement.
Strengthened quality standard 2 – The organisation
Strengthened Quality Standard 2 applies to registered providers in Categories 4, 5 and 6 and places stronger expectations on governing bodies. In plain terms, boards are expected to actively oversee quality and safety, ensure fit-for-purpose governance systems are in place, and receive reliable information that supports informed decision-making.
Under the new arrangements, providers must ensure their governance policies, reporting and oversight practices align with the strengthened legislative and quality requirements relevant to their registration category. Governing bodies are expected to demonstrate active oversight of service performance, not just receive information.
For some providers, this may also include reviewing governing body composition and capability, such as independence and clinical governance expertise. While not all requirements apply to every organisation, all providers are expected to be able to demonstrate governance that is appropriate, culturally safe and proportionate to the services they deliver.
The reforms also strengthen expectations around accountability and transparency, including responsible person suitability, incident and complaints management, financial oversight, and cooperation with regulators.
How the Support Hub is supporting you
To support providers, boards and executives to understand what applies to them in practice, the NATSIFACP Program Support Hub will be hosting an online governance webinar focused specifically on governing under the reforms.
Upcoming webinar: Governing under the aged care reforms
The board governance online workshop will support board directors, CEOs and senior leaders to understand:
- How the new Aged Care Act and rules apply to NATSIFAC-funded organisations
- Key governing body responsibilities and accountabilities
- Governance requirements by provider type and registration category
- Reporting, assurance and oversight expectations
- Practical ways to navigate the transition to the new requirements.
When: Tuesday 3 February
Time: 12:00pm (AEDT)
Where: Online via MS teams
Board directors are strongly encouraged to attend, and providers are asked to share the invitation with colleagues who may benefit. Register here for NATSIFACP Board Governance Webinar
Governance reform is a significant shift for the aged care sector, and these changes place governing bodies firmly at the centre of quality, safety and accountability. This webinar is an important opportunity to build shared understanding and confidence as we move into the new regulatory environment.
For more resources to help support your work please take a look at our NATSIFAC Regulation Support Hub portal or get in contact with us.