Smart market for transporting students with disability

In conjunction with international collaborators, the Centre for Market Design proposes a completely new approach to the provision of services required by community members with disability or disadvantage.

The CMD in association with Professor Charles Plott (Caltech) has recently commenced a major project with the National Disability Insurance Agency (NDIA). The objectives of the project are to design, create and demonstrate a mechanism that: improves choice and quality of disability services; harnesses competition; and takes advantage of coordination opportunities between recipients of disability services.

The project will give rise to a pilot where a designed market will be used to allocate and price school transport service contracts for students with disabilities. Professor Plott is leading the economic design and laboratory testing components of the project supported by economists from the Victorian Department of Treasury and Finance, the Australian Treasury, the Department of Education and Training in Victoria, and the NDIA .

The pilot will be implemented in the Barwon region of Victoria as part of the NDIS pilot program. It is planned to commence in the first school term of 2017 and will be evaluated by mid-2017. If successful the pilot will have broader implications for other disability and human services.