National report - December 2014

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In this report

This report includes the following tables:

This report is issued by the Administrator of the National Health Funding Pool under section 240 of the National Health Reform Act 2011.

This report is prepared on a cash basis. It shows monthly and year-to-date (YTD) National Health Reform (NHR) funding and payments at an aggregated national level for December 2014.

Local hospital networks and National Health Reform

A local hospital network (LHN) is an organisation that provides public hospital services in accordance with the Agreement. An LHN can contain one or more hospitals, and is usually defined as a business group, geographical area or community. Every Australian public hospital is part of a LHN.

Note: The term ‘local hospital network’ is a national term. Some states and territories use their own local terminology to describe these networks, such as local health districts, health organisations, and hospital and health services.


Under the Agreement, LHNs receive funding in 2014-15 for the following public hospital services:

  • All admitted and non-admitted services
  • All emergency department services provided by a recognised emergency department
  • Other outpatient, mental health, sub-acute services and other services that could reasonably be considered a public hospital service.

Note: LHNs also receive funding from other sources, including the Commonwealth, states and territories, and third parties for the provision of other specific functions and services outside the scope of the National Health Reform Agreement, for example dental services, primary care, home and community care, residential aged care and pharmaceuticals. For further information on total funding to a particular LHN, contact the Department of Health in the relevant state or territory to view the service agreement for that LHN.

Note: Amounts shown in the monthly reports do not include funding received by Victoria from New South Wales as contributions for Albury Wodonga Health.

Reference information

The financial information outlined in the following report is categorised as:

  • NHR funding – when the Commonwealth or state or territory government pays NHR funding into a state pool account or state managed fund.
  • NHR payments – when NHR funding that has been deposited into a state pool account or state managed fund is paid out of the state pool account by the Administrator, or is paid out of the state managed fund by the state or territory.

For the basis of state and territory NHR payments, see Basis for National Health Reform payments explanation in the relevant state or territory report for December 2014, see State or territory reports.

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding, 2014-15.

NHR funding and payments

Table 1 – NHR funding and payments for each state and territory – December 2014

This table shows NHR funding and payments for each state and territory for December 2014.

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 973,446,371 973,446,371 5,853,023,614 5,853,023,614
VIC 778,936,720 778,936,720 4,708,874,011 4,708,874,011
QLD 716,752,243 716,681,990 4,550,093,717 4,549,810,127
WA 375,239,756 375,071,654 2,213,984,302 2,213,648,362
SA 256,412,070 243,385,072 1,770,418,935 1,577,055,727
TAS 74,599,498 74,599,498 456,669,825 456,669,824
ACT 98,277,726 98,277,726 500,522,355 500,522,355
NT 72,497,077 72,495,466 434,982,346 434,972,794
Total 3,346,161,461 3,332,894,496 20,488,569,105 20,294,576,815

Differences between NHR funding and NHR payments for a state or territory can occur for several reasons, such as having funds remaining in its state pool account at the end of the month, drawing down on available funds from previous months, or having an overdraft in its state pool account at the end of the month.

NHR funding and payments shown in this table include GST where applicable.

Commonwealth and state or territory NHR funding components are detailed in the following tables.

For more information, see National Health Reform funding and payments.

NHR funding by funding source

Table 2a – NHR funding by funding source for each state and territory – December 2014

This table shows NHR funding by the source of funds for each state and territory for December 2014.

Sources of NHR funding are separated into Commonwealth funding, Own state or territory funding (where a state or territory provides its own funding) and Funding from other state or territory (where other states or territories contribute cross-border funding towards the cost of their residents being treated in the provider state or territory).

State/territory NHR funding by source
Commonwealth NHR funding Own state/territory NHR funding NHR funding
from other state/territory
Total NHR funding
($) ($) ($) ($)
NSW 405,414,086 566,693,734 1,338,551 973,446,371
VIC 316,425,983 462,510,737 0 778,936,720
QLD 253,888,359 462,863,884 0 716,752,243
WA 145,431,856 229,807,900 0 375,239,756
SA 89,140,266 167,271,804 0 256,412,070
TAS 26,279,578 48,319,919 0 74,599,498
ACT 24,130,447 66,858,000 7,289,279 98,277,726
NT 13,070,716 59,426,361 0 72,497,077
Total 1,273,781,291 2,063,752,341 8,627,829 3,346,161,461

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – December 2014

Following on from table 2a, this table shows year-to-date (YTD) NHR funding by the source of funds for each state and territory as at December 2014.

State/territory NHR funding by source
Commonwealth NHR funding
YTD
Own state/territory NHR funding
YTD
NHR funding
from other state/territory
YTD
Total NHR funding
YTD
($) ($) ($) ($)
NSW 2,432,484,515 3,412,507,796 8,031,304 5,853,023,614
VIC 1,898,555,897 2,810,318,114 0 4,708,874,011
QLD 1,516,023,633 3,034,070,083 0 4,550,093,717
WA 872,591,136 1,341,393,166 0 2,213,984,302
SA 534,841,596 1,235,577,339 0 1,770,418,935
TAS 162,135,717 294,534,108 0 456,669,825
ACT 144,782,682 312,004,000 43,735,673 500,522,355
NT 78,424,294 356,558,052 0 434,982,346
Total 7,639,839,471 12,796,962,658 51,766,976 20,488,569,105

NHR funding shown in these tables includes GST where applicable.

For more information, see National Health Reform funding and payments.

NHR funding by funding type

Table 3a – NHR funding by funding type for each state and territory – December 2014

This table shows NHR funding for each state and territory by funding type and source for December 2014. NHR funding can be activity-based funding (ABF), block funding or other funding, such as public health funding, cross-border, interest or overdeposits.

Sources of NHR funding are separated into Commonwealth funding, Own state or territory funding (where a state or territory provides its own funding) and Funding from other state or territory (where other states or territories contribute cross-border funding towards the cost of their residents being treated in the provider state or territory).

State/territory NHR funding type Commonwealth NHR funding Own state/territory NHR funding NHR funding
from other state/territory
Total NHR funding
($) ($) ($) ($)
NSW ABF 335,785,017 507,015,209 0 842,800,225
Block 60,602,425 59,492,354 0 120,094,779
Other 9,026,644 186,172 1,338,551 10,551,366
Total 405,414,086 566,693,734 1,338,551 973,446,371
VIC ABF 273,912,040 404,607,588 0 678,519,628
Block 35,477,396 57,802,919 0 93,280,315
Other 7,036,547 100,231 0 7,136,777
Total 316,425,983 462,510,737 0 778,936,720
QLD ABF 215,317,500 391,945,587 0 607,263,088
Block 32,857,533 70,848,044 0 103,705,577
Other 5,713,325 70,253 0 5,783,579
Total 253,888,359 462,863,884 0 716,752,243
WA ABF 119,690,596 180,688,875 0 300,379,471
Block 22,593,467 49,118,761 0 71,712,228
Other 3,147,793 265 0 3,148,058
Total 145,431,856 229,807,900 0 375,239,756
SA ABF 73,309,232 145,000,000 0 218,309,232
Block 13,810,168 22,000,000 0 35,810,168
Other 2,020,865 271,804 0 2,292,669
Total 89,140,266 167,271,804 0 256,412,070
TAS ABF 20,905,573 15,810,656 0 36,716,229
Block 4,759,987 32,509,263 0 37,269,250
Other 614,019 0 0 614,019
Total 26,279,578 48,319,919 0 74,599,498
ACT ABF 21,683,886 63,171,000 0 84,854,886
Block 1,979,783 3,687,000 0 5,666,783
Other 466,778 0 7,289,279 7,756,056
Total 24,130,447 66,858,000 7,289,279 98,277,726
NT ABF 11,385,571 23,742,083 0 35,127,654
Block 1,391,377 35,682,667 0 37,074,044
Other 293,767 1,611 0 295,378
Total 13,070,716 59,426,361 0 72,497,077
Total ABF funding 1,071,989,415 1,731,980,998 0 2,803,970,414
Total Block funding 173,472,138 331,141,007 0 504,613,145
Total Other funding 28,319,738 630,335 8,627,829 37,577,903
Grand Total 1,273,781,291 2,063,752,341 8,627,829 3,346,161,461

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – December 2014

Following on from table 3a, this table shows year-to-date (YTD) NHR funding for each state and territory by funding type and source for December 2014. NHR funding can be activity-based funding (ABF), block funding or other, such as public health funding, cross-border, interest or overdeposits.

State/territory NHR funding type Commonwealth NHR funding
YTD
Own state/territory NHR funding
YTD
NHR funding
from other state/territory
YTD
Total NHR funding
YTD
($) ($) ($) ($)
NSW ABF 2,014,710,100 2,754,846,191 0 4,769,556,291
Block 363,614,550 656,682,184 0 1,020,296,734
Other 54,159,865 979,421 8,031,304 63,170,590
Total 2,432,484,515 3,412,507,796 8,031,304 5,853,023,614
VIC ABF 1,643,472,239 2,455,447,193 0 4,098,919,432
Block 212,864,378 354,200,411 0 567,064,789
Other 42,219,281 670,510 0 42,889,791
Total 1,898,555,897 2,810,318,114 0 4,708,874,011
QLD ABF 1,284,598,483 2,568,705,281 0 3,853,303,764
Block 197,145,199 465,081,213 0 662,226,412
Other 34,279,951 283,590 0 34,563,540
Total 1,516,023,633 3,034,070,083 0 4,550,093,717
WA ABF 718,143,576 1,102,430,336 0 1,820,573,912
Block 135,560,803 238,962,564 0 374,523,367
Other 18,886,758 265 0 18,887,023
Total 872,591,136 1,341,393,166 0 2,213,984,302
SA ABF 439,855,394 1,130,000,000 0 1,569,855,394
Block 82,861,011 103,899,852 0 186,760,863
Other 12,125,191 1,677,487 0 13,802,678
Total 534,841,596 1,235,577,339 0 1,770,418,935
TAS ABF 129,891,684 157,631,831 0 287,523,515
Block 28,559,921 136,902,276 0 165,462,197
Other 3,684,112 1 0 3,684,113
Total 162,135,717 294,534,108 0 456,669,825
ACT ABF 130,103,317 291,942,000 0 422,045,317
Block 11,878,699 20,062,000 0 31,940,699
Other 2,800,666 0 43,735,673 46,536,339
Total 144,782,682 312,004,000 43,735,673 500,522,355
NT ABF 68,313,426 142,452,500 0 210,765,926
Block 8,348,264 214,096,000 0 222,444,264
Other 1,762,604 9,552 0 1,772,156
Total 78,424,294 356,558,052 0 434,982,346
Total ABF funding 6,429,088,219 10,603,455,332 0 17,032,543,551
Total Block funding 1,040,832,826 2,189,886,499 0 3,230,719,325
Total Other funding 169,918,427 3,620,826 51,766,976 225,306,229
Grand Total 7,639,839,471 12,796,962,658 51,766,976 20,488,569,105

ABF funding represents Acute admitted, Non-admitted, Emergency department, Sub-acute, and Admitted mental health service categories, which are funded through the National Health Funding Pool and subsequently paid to local hospital networks.

Block funding represents Non-admitted mental health, Small rural hospitals, Teaching, training and research, and Other non-admitted categories, which are funded through state managed funds and subsequently paid to local hospital networks.

Other funding represents other funding sources which are transacted through the National Health Funding Pool, such as public health funding, cross-border, interest or overdeposits, and subsequently paid to state or territory health departments (with the exception of cross-border funding which can be paid to state or territory health departments or to local hospital networks).

NHR funding shown in these tables includes GST where applicable.

For more information, see National Health Reform funding and payments.

Estimated monthly, YTD and annual activity

States and territories provide service volume estimates at the start of each financial year, and if required, can continue to refine these estimates during the course of the year. These estimates form the basis of monthly reporting of service volumes until actual service numbers become available. These estimates are expressed as National Weighted Activity Units (NWAU).

States and territories provide estimated annual NWAU to the Administrator as a basis for determining the Commonwealth activity-based funding. Current month NWAU estimates accumulate through the year-to-date NWAU to be equal to the annual NWAU at the end of the financial year.

States and territories may also provide activity information relating to the delivery of other public hospital functions funded.

Table 4 – Estimated monthly, YTD and annual NWAU by each state and territory – December 2014

This table shows estimated hospital activity for each state and territory for activity-based funding services expressed as NWAU for the current month, year-to-date (YTD) and total estimated annual NWAU.

State/territory Estimated NWAU
delivered/funded in
current month
Estimated NWAU
delivered/funded YTD
Estimated annual
NWAU 2014-15
NSW 192,343 1,154,057 2,308,114
VIC 148,267 889,600 1,779,200
QLD 113,476 680,857 1,361,714
WA 58,610 361,481 749,831
SA 39,898 267,502 535,696
TAS 10,188 63,159 123,487
ACT 10,688 64,884 128,248
NT 9,538 58,623 118,336
Total 583,008 3,540,162 7,104,626

An NWAU is a measure of health service activity expressed as a common unit. It provides a way of comparing and valuing each public hospital service, whether they are admissions, emergency department presentations or outpatient episodes, weighted for clinical complexity. The average hospital service is worth one NWAU - the most intensive and expensive activities are worth multiple NWAU, the simplest and least expensive are worth fractions of an NWAU.

Monthly NHR payments relate to the cash needs of public hospitals and do not necessarily reflect the volume of services delivered in the month.

For more information on the NWAU calculation, see Calculation of NWAU.