When the government announces changes to the National Disability Insurance Scheme (NDIS), the reaction for most families is the same: a knot in the stomach. Will my family member's funding be cut? Will their SDA still be approved? Do I need to do something right now?

We understand that feeling. The NDIS legislation changes introduced through the NDIS Amendment (Getting the NDIS Back on Track No. 1) Act 2024 are real and significant. But for most existing participants, the day-to-day experience has not changed overnight. The rollout is gradual, some details are still being finalised, and your current plan remains in place until your scheduled review.

Here is what actually changed, what is still coming, and what it means specifically for Specialist Disability Accommodation (SDA) housing. For a broader overview of your rights as an NDIS participant, read our guide to the NDIS Quality and Safeguards Framework: Your Rights Explained.

What Is the NDIS Amendment (Getting the NDIS Back on Track No. 1) Act 2024?

The Bill was passed by Parliament on 22 August 2024 and received Royal Assent on 5 September 2024. It became law on 3 October 2024.

This is the first in a series of legislative changes flowing from the 2023 Independent Review of the NDIS. The review found that the scheme had drifted from its original intent and needed structural reform to remain sustainable and consistent for participants. This Act is not the final word. It is the beginning of a multi-year reform process.

The ndis amendment 2024 introduced a clearer definition of what NDIS funding can and cannot be used for, new transparency in how plans display budgets, and the foundations for a new planning and assessment framework expected from mid-2026.

It is worth acknowledging that the changes were not universally welcomed. Some disability advocates supported the reforms as a way to clarify rules and improve consistency. Others raised concerns that the new supports definition could reduce flexibility for participants. Both views have merit, and the debate continues as further rules are designed.

The official NDIS summary is available at the official NDIS guide to legislation changes.

What Changed from 3 October 2024?

The ndis legislation changes that took effect immediately from 3 October 2024 centre on how NDIS funding can be used and how plans are presented. Here is what is different.

New definition of NDIS supports. NDIS funding can now only be used for items on an approved supports list. There is also a list of things NDIS funding cannot be used for. This replaces the previous, broader test in some contexts. This affects new plans approved from that date.

Replacement support rule. Participants can request to substitute a listed support with something not on the standard list if it provides better outcomes and represents value. This flexibility was retained in response to community feedback.

Funding transparency in plans. Plans approved from 3 October 2024 show total budget amounts, funding component amounts, and funding periods. This makes it easier to see how long the money needs to last and what each component covers.

Impairment notices (from 1 January 2025). New participants now receive clearer documentation explaining how they meet the disability or early intervention requirements, including their category of impairment.

One important point: existing plans were not automatically changed on 3 October 2024. These changes roll in as plans are reviewed or renewed. If your family member's plan was already approved, it continues under the previous rules until their next review. To understand how the current review process works, read our guide to the current NDIS plan reassessment process.

What Are Funding Periods and How Do They Affect Your Plan?

From 19 May 2025, new and reassessed plans include funding periods, typically set at three months. This is one of the ndis plan changes that has generated the most questions from families.

The idea is to prevent situations where participants spent their full annual budget early in the year and then ran short before their plan renewed. By releasing funding in quarterly stages, the scheme aims to support more consistent spending across the full plan period.

Unspent funds at the end of each three-month period roll over into the next period within the same plan. You do not lose money that has not been spent.

The total amount funded in your plan is the same. Only the timing of how that funding is released has changed.

The practical implication is that participants and their plan managers need to track spending quarterly rather than just keeping an eye on annual totals. For some families, this will feel straightforward. For others who manage complex support arrangements, it may require more active attention.

This change does not affect which supports can be funded. It only changes when the funds become available within the plan period. If your family member is approaching a scheduled review, here is a guide to how NDIS plan reviews currently work so you know what to expect.

What Do the NDIS Legislation Changes Mean for New Framework Planning?

The biggest change is still coming. New framework planning is expected to commence from 1 July 2026, with a phased introduction, meaning not everyone transitions at the same time. This is the part of the ndis reforms 2025 2026 that has attracted the most attention.

The original commencement date of September 2025 was delayed following community consultation feedback. Public consultation on the new planning rules remained open until March 2026. As of the date of this post, the final rules have not been confirmed. We will update this post when they are.

Under the current proposal, a trained assessor (separate from the participant's own treating team) would conduct a structured needs assessment using a tool called the I-CAN v6, the Instrument for the Classification and Assessment of Support Needs. The ndis new needs assessment 2026 focuses on the types of support a participant needs, rather than relying primarily on reports from treating professionals.

Participants can bring a family member, support coordinator, or carer to the assessment. Participants retain the right to challenge decisions through the Administrative Review Tribunal if they disagree with an outcome.

Importantly: current plans remain in place until a participant's individual transition date. Participants will be contacted when it is their turn to transition. No one is being pushed onto the new framework without notice.

What About Mandatory Registration for SIL Providers?

From 1 July 2026, all Supported Independent Living (SIL) providers must be registered with the NDIS Quality and Safeguards Commission. This is mandatory, not optional.

What does this mean if your family member lives in SDA? SIL is the separate support services component, covering the staff who assist participants in their home. SDA is the housing itself. Paramount Disability Homes provides SDA. Participants choose their own SIL provider separately. The ndis sil mandatory registration 2026 requirement affects SIL providers, not SDA providers like PDH.

For SDA participants, the practical implication is this: from July 2026, your family member's SIL provider must be registered, subject to quality audits, worker screening, and conduct requirements. If their current SIL provider is not yet registered, now is a good time to ask about their plans.

You can find detailed guidance on the NDIS Quality and Safeguards Commission's mandatory registration guidance. When you are considering which SIL provider will support your family member through this transition, here is a practical guide on how to choose a registered SIL provider.

Note: mandatory registration for support coordinators was announced in September 2024 but has been paused while further reform is considered.

What Do These NDIS Legislation Changes Mean for SDA Housing Specifically?

SDA funding remains a separate line item in NDIS plans. The legislation changes do not remove SDA as a support category or reduce the funding available to participants who are already approved.

SDA is included on the approved NDIS supports list, so it sits within the new framework without difficulty. Registered NDIS SDA providers, including Paramount Disability Homes, have always been required to maintain NDIS registration. That does not change.

For participants currently seeking SDA funding: the process for getting SDA included in a plan has not fundamentally changed yet. Speak with your support coordinator about an SDA request if you are not yet approved. For a detailed guide, read about how SDA funding works in your NDIS plan.

Where genuine uncertainty exists: the details of how the new I-CAN v6 assessment tool will handle SDA-specific situations are still being worked out. Participants who already have SDA approved should be largely unaffected until their plan is reviewed under the new framework. When that review comes, the new assessment may affect how and why SDA is included. This is something we are watching closely.

We provide SDA homes across Melbourne so families can stay connected to the people and communities that matter most. These legislative changes are part of our working landscape, and we are following their development so our residents and their families do not have to track every government announcement alone.

Conclusion

The NDIS legislation changes are real, but the rollout is gradual. For most existing participants, day-to-day life has not changed dramatically yet. Your current plan stays in place until your scheduled review. SDA funding is protected within the new framework. Participants retain the right to challenge decisions.

What is still being finalised: the new framework planning rules (expected from July 2026, subject to confirmation) and the exact way the new assessment tool will handle SDA-specific situations. We will update this post as those details are confirmed.

Eligibility and funding decisions are made by the NDIA. Speak with your support coordinator or planner for advice specific to your situation. This is general information only and does not constitute advice.

Got questions about how these NDIS legislation changes affect your housing? Call us on (03) 9999 7418 or email admin@paramounthomes.com.au. We are happy to talk through your situation.