Initiatives to improve the social and economic outcomes for individuals with disability and their families are shaping structural reform within the disability sector. Key reforms include the move away from a welfare-driven jurisdictional model, to start a market-driven, national approach. Within these reforms, disability services are changing to emphasise personalised and self-directed support, with government grants or block funding redirected from disability service groups to the individual to purchase services and resources from preferred suppliers.

Implemented in 2008, Early Intervention Services for Children with Disability (EISCD) incorporates access to a combination of diagnostic, therapeutic and education intervention services. The program is demand-driven, with eligibility based on administrative and diagnostic requirements. It operates to augment services delivered under the Commonwealth State and Territory Disability Agreement and is one of several disability initiatives that will, over time, transition to the National Disability Insurance Scheme (NDIS)

The audit objective was to assess the effectiveness of the Department of Social Services' administration of the EISCD. To form a conclusion against this objective, the Australian National Audit Office (ANAO) examined the department's:

a. arrangements for the registration of eligible children and service providers, and access to and utilisation of funded services

b. approach to managing entry requirements, forecasting demand, and monitoring utilisation and expenditure

c. management of the transition of eligible children to the NDIS trial sites

d. systems for supporting program administration and the assessment of program performance