The project, announced in June, provides a $1000 one-off payment for each bed in a facility, to be spent by the end of next year on technology, dementia training or improved business practices.

Aged care facilities do not have to report on their spending until then, so it is unclear how much of the money is being spent on technology.

Anecdotal evidence suggests many in the sector are using the money to buy computers, handheld devices and portable electrocardiogram machines.

Software developers ranging from giants such as Microsoft to smaller players such as iCare are showing interest in supplying their wares to the sector.

A spokesman for Minister for Ageing Julie Bishop said the Government would not be able to track the spending until the end of next year, but it had heard of huge productivity savings from technology.

"It is difficult to get a clear picture of what people are spending the money on, Aged Care Association of Australia chief executive Rod Young said.

"There has been a change in the interest of software developers in the sector and a clear message from the sector itself that it is keen to acquire new technology.

"There has been a change in the attitudes of staff, who two years ago were reluctant to even use a PC.

"We have to be realistic. While $150 million is terrific, a 60-bed facility gets $60,000. Anyone who knows technology knows that doesn't go far. Of course, no one has said they don't want the money."

Until this the one-off payment was announced, only GPs and pharmacists had been given money for health technology systems, Mr Young said.

Some of the facilities had no computers, or only one, he said.

Those with not much technology needed the most help in deciding what to spend the money on, and could probably do with more money.

Aged Care Direct advisory service head Mark Barrett said the smaller providers that made up about half the sector were trying to keep up with the larger players, but had little money to spend and little knowledge to apply to the task.

"A lot of education is required, and that is happening, but most of the decisions on spending will not be made until some time next year," he said.

"There will be tremendous uptake. The industry is like a sponge and we are trying to educate everyone. Software vendors are being bumped from pillar to post to give demos without a sale, but they need to change their pricing models."

Companies don't have the money to buy everything they need, so vendors may introduce a service provider model, supplying the software on a server that more than one party could access, Mr Barrett said.

"I am passionate about getting it right," he said.

"There is huge capacity to create efficiencies for a market seeking ways to deal with a funding shortfall."

There had been considerable interest in electronic health records and electronic information transfer.

"There is potential, but we have to figure out how we can take some of the existing software and hardware and translate it into useful technology for aged care," he said.

At the time of the announcement, Ms Bishop said: "The use of information technology has the potential to improve clinical care for older Australians and reduce paperwork for aged-care staff, enabling them to spend less time on administration and more time on care."

by Selina Mitchell

Article from australianit.news.com.au