32FReasonable and necessary budget—flexible funding

#### 32F Reasonable and necessary budget—flexible funding (1) This section applies if a participant’s reasonable and necessary budget provides that flexible funding is to be provided under the plan. Funding periods for flexible funding (2) The reasonable and necessary budget must provide: (a) that the flexible funding will be provided under the plan during specified periods (each of which is a funding period); and (b) when each funding period for that funding starts and ends; and (c) the proportion of the total funding amount for flexible funding that will be provided under the plan during each of those funding periods. (3) For the purposes of paragraph (2)(b): (a) a funding period must be no more than 12 months; and (b) the duration of a particular funding period may be different from the duration of any other funding period; and (c) the first funding period for flexible funding must start on the day the plan comes into effect; and (d) each other funding period for flexible funding must start immediately after the end of the immediately preceding funding period for that funding. (4) For the purposes of paragraph (2)(c), the proportion for a particular funding period may be nil. Rolling over unspent funding (5) The reasonable and necessary budget must provide that the amount of flexible funding that will be provided during a funding period will be increased above the proportion provided for the funding period under paragraph (2)(c) by an amount equal to the amount by which: (a) the amount of flexible funding that could have been provided under the plan during the immediately preceding funding period; exceeds (b) the amount of flexible funding that was actually provided. Restriction on how flexible funding is spent (6) If the CEO is satisfied that a circumstance mentioned in subsection (7) exists, the reasonable and necessary budget may provide that the provision of flexible funding under the plan is subject to the restriction that one or more specified proportions of the flexible funding provided during specified funding periods may be spent only on specified NDIS supports for the participant. (7) For the purposes of subsection (6), the circumstances are as follows: (a) the participant would be likely to suffer physical, mental or financial harm if the flexible funding were not subject to the restriction; (b) section 46 (acquittal of NDIS amounts) has not been complied with in relation to any of the participant’s plans; (c) a circumstance prescribed by the National Disability Insurance Scheme rules for the purposes of this paragraph. > Note: National Disability Insurance Scheme rules may be made in relation to this section under section 32J.