State and territory leaders have reiterated concerns about the federal government's plans for the National Disability Insurance Scheme (NDIS). 

The Albanese Government’s reforms, aimed at saving billions and increasing sustainability, would grant the NDIS minister new powers over funding rules and shift certain responsibilities to the states.

State premiers and chief ministers have penned a joint letter outlining opposition to these changes. 

The premiers warn that the reforms could create service gaps, particularly for vulnerable groups, and have asked that any changes to NDIS offerings be postponed until states can implement necessary alternatives.

The proposed reforms, which are yet to pass through federal parliament, would not only redefine how funding is allocated but also aim to crack down on fraudulent claims and unscrupulous providers. 

However, state leaders are apprehensive about the impact on service continuity and the potential for increased ministerial power without adequate safeguards.

The Council for the Australian Federation, a representative body for state and territory governments, has voiced particular concern about the implications for children with autism and other groups who may see their eligibility limited under the new rules. They argue that states need time to develop equivalent services to prevent disruptions in support.

Despite amendments to the bill, the state and territory leaders say many concerns remain unaddressed. 

States and territories are calling for a delay in the reforms until new state systems are finalised and detailed rules for funding changes are established. 

The federal government, however, struggles to gain support for the bill, with NDIS Minister Bill Shorten expressing frustration at further delays caused by opposition and Greens' resistance.

Mr Shorten estimates these delays could add another $1 billion to the scheme's running costs. 

He has criticised the opposition and Greens for hindering progress on reforms essential for the scheme's sustainability.

Even if the reforms pass through parliament, any new rules for NDIS funding will still require approval from national cabinet, composed of state and territory leaders.