Council appears to have learnt a lesson from its last disastrous effort to sell off our aged care facilities when the decision was made in secret and without community consultation prior to the decision making. This time at least, there is some notification and community consultation prior to the ultimate decision.
Over the past few years council has slowly but surely divested itself of some fundamental community services (ie child care, aged care; home support) and the refrain remains the same – costs are too high and will impact on other services unless we get rid of them! The result, despite cutting the previously mentioned services, council has still voted to apply for a 5% rate hike. What therefore needs to be asked is – how well is council dealing with our financial resources? How can you cut back on so many services and staff, and still claim to be unable to ensure financial sustainability?
The following media release is important. Please read carefully. We have bolded and underlined sections for emphases.
Have your say on the future of Warrawee Community
Residential aged care is a specialised and highly regulated service, and the sector has seen significant change in recent years.
For over 30 years, Warrawee Community — Glen Eira’s 90-bed residential aged care facility in Bentleigh East — has been a place of care and connection for local residents.
Recent Australian Government reforms have strengthened registration requirements and tightened governance, compliance and safety standards for all residential aged care providers. These changes are designed to improve the quality of care — which is something we wholeheartedly support — but they also bring added complexity, regulation and cost, particularly for smaller, standalone providers like Council to continue operating sustainably.
These reforms tend to favour larger providers who operate a number of facilities and have the scale to meet strengthened standards more efficiently.
Keeping up with these requirements requires ongoing investment which impacts funding available for other important community services. We are the only council in Victoria — and one of very few in Australia — that operates a standalone residential aged care facility. The cost of delivering this service has risen sharply, and Warrawee is forecast to operate at a $5.5 million loss in 2025–26. This impacts Council’s ability to continue delivering more than 120 services across our municipality.
A decision now needs to be made about the future of Warrawee Community. This is the beginning of an important conversation — one we’re committed to approaching with care, transparency and respect for everyone involved, to inform our future decision.
The options we’re considering
We are seeking community feedback on two possible options:
- continuing to operate Warrawee as a Council-run facility requiring ongoing investment.
- transferring ownership to a registered aged care provider that can continue delivering high-quality, local care at the site.
This is a conversation about Warrawee Community continuing as business as usual or transferring ownership to a new provider — we are not considering closing the site.
In both options, Warrawee remains a residential aged care home — that does not change.
Cr Dr Zmood said Council’s priority is the wellbeing and stability of residents.
“Warrawee Community is not closing.
“Care continues as usual. We want to make sure residents keep receiving the high-quality care they know and trust, and that staff feel supported through this process.”
She also emphasised that the community’s voice will directly shape the outcome.
“No decision has been made,” she said.
“This engagement process is about listening to you, gathering information, and understanding our community’s priorities before any decision is made.”
Responsible long-term planning
This decision is about planning carefully for the future and understanding what will best support our entire community now and for years to come.
We need to review how we can best support older residents to ensure our services to our residents remain sustainable, compliant with sector reforms, equitable and aligned with community expectations.
We know from previous conversations that residents want Council to focus on services that benefit the whole community and make fair, transparent decisions. Reviewing assets and services like Warrawee is part of responsible long-term planning.
Read the report summary
We’re committed to transparency, so we’ve created a summary of the Council report which includes all the information we can release. This is available on our Have Your Say page, and includes the full report except for sensitive commercial and staff information.
How to get involved
Your feedback will play a key role in the decision Council makes later this year.
Hearing from all voices in our community is essential in helping us understand what matters most.
Visit Have Your Say to learn more and complete the survey by Wednesday 25 March.
www.haveyoursaygleneira.com.au/aged-care
Several statements in the above media release emphasise that Warawee will not close and that the service will continue either as a council operation or by another organisation. We then have to query why in the accompanying Have Your Say survey pages, we find the following –

Does this mean that there is a real possibility that the site could be sold? Doesn’t this contradict what the above media release has stated? Will we be informed prior to any sell off decision or will we see a repeat of what occurred a few years back?
Going back over past budgets, we find a few interesting facts in terms of stated deficits.
2020/1 – $5.6M – to run 3 facilities
2021/2 – $7.39 (“including internal overheads”! – whatever this might mean!) – 2 facilities
2022/3 – $2.7M – one facility
2023/4 – $4.3M deficit – one facility
2024/5 – $4.95M – one facility
2025/6 -5.5M – one facility
We have no doubt that regulations, staffing and overall standards have changed. But again we have to question why only two years ago the deficit for running one facility was $2.7M and has more than doubled in the space of 2 years. Surely it can’t all be due to government changes? Or how much has this been caused by years of lack of attention to the facility and then having to upgrade? Surely it would be informative if council produced some detailed information as to how this $5.5M deficit is calculated and verified?
The bottom line in our opinion is that if council is really there to serve the community, then it is the community who must decide whether they wish to subsidise this service.














