National report - January 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 January 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 2013-14 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 January 2014, see State or territory reports.

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding, 2013-14.

NHR funding and payments

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

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 846,284,180 846,284,180 6,525,366,591 6,525,366,591
VIC 556,083,077 556,083,077 5,156,396,120 5,156,396,120
QLD 633,494,917 634,628,566 4,726,804,640 4,726,351,156
WA 287,727,011 287,773,316 2,900,105,413 2,897,965,547
SA 260,243,959 224,191,763 1,947,453,704 1,759,805,315
TAS 67,407,946 67,407,941 551,646,645 551,644,276
ACT 70,157,360 70,157,360 476,925,819 476,925,818
NT 57,704,815 57,703,277 403,913,911 403,903,867
Total 2,779,103,266 2,744,229,482 22,688,612,845 22,498,358,689

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 – January 2014

This table shows NHR funding by the source of funds for each state and territory for January 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 365,995,411 480,288,769 0 846,284,180
VIC 292,602,046 263,481,031 0 556,083,077
QLD 237,189,838 396,305,079 0 633,494,917
WA 127,927,363 159,799,648 0 287,727,011
SA 85,421,764 174,822,195 0 260,243,959
TAS 25,333,250 42,074,696 0 67,407,946
ACT 24,255,360 45,902,000 0 70,157,360
NT 11,276,194 46,428,621 0 57,704,815
Total 1,170,001,227 1,609,102,039 0 2,779,103,266

* See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – January 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 January 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 2,575,147,693 3,950,218,899 0 6,525,366,591
VIC 2,048,076,573 3,108,319,548 0 5,156,396,120
QLD 1,660,712,842 3,066,091,798 0 4,726,804,640
WA 895,495,997 2,004,609,416 0 2,900,105,413
SA 597,944,898 1,349,508,806 0 1,947,453,704
TAS 177,337,483 374,309,162 0 551,646,645
ACT 156,378,819 320,547,000 0 476,925,819
NT 78,914,284 324,999,627 0 403,913,911
Total 8,190,008,588 14,498,604,256 0 22,688,612,845

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 – January 2014

This table shows NHR funding for each state and territory by funding type and source for January 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 298,437,186 396,761,700 0 695,198,886
Block 58,872,706 83,419,915 0 142,292,621
Other 8,685,520 107,153 0 8,792,673
Total 365,995,411 480,288,769 0 846,284,180
VIC ABF 255,623,870 216,662,289 0 472,286,159
Block 30,226,463 46,773,694 0 77,000,157
Other 6,751,713 45,048 0 6,796,762
Total 292,602,046 263,481,031 0 556,083,077
QLD ABF 201,365,099 345,981,418 0 547,346,517
Block 30,342,071 50,257,495 0 80,599,566
Other 5,482,668 66,166 0 5,548,834
Total 237,189,838 396,305,079 0 633,494,917
WA ABF 103,604,370 191,867,843 0 295,472,213
Block 21,350,879 -32,068,195 0 -10,717,315
Other 2,972,113 0 0 2,972,113
Total 127,927,363 159,799,648 0 287,727,011
SA ABF 71,337,977 170,000,000 0 241,337,977
Block 12,120,195 4,403,910 0 16,524,105
Other 1,963,592 418,285 0 2,381,877
Total 85,421,764 174,822,195 0 260,243,959
TAS ABF 20,454,024 31,474,001 0 51,928,025
Block 4,277,972 10,600,690 0 14,878,662
Other 601,254 5 0 601,259
Total 25,333,250 42,074,696 0 67,407,946
ACT ABF 21,447,209 42,224,000 0 63,671,209
Block 2,356,890 3,678,000 0 6,034,890
Other 451,262 0 0 451,262
Total 24,255,360 45,902,000 0 70,157,360
NT ABF 9,780,209 22,652,500 0 32,432,709
Block 1,216,367 23,774,583 0 24,990,951
Other 279,617 1,538 0 281,155
Total 11,276,194 46,428,621 0 57,704,815
Total ABF funding 982,049,944 1,417,623,752 0 2,399,673,696
Total Block funding 160,763,544 190,840,093 0 351,603,637
Total Other funding 27,187,739 638,195 0 27,825,934
Grand Total 1,170,001,227 1,609,102,039 0 2,779,103,266

* See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – January 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 January 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 2,118,449,434 3,140,417,769 0 5,258,867,203
Block 395,899,621 808,611,652 0 1,204,511,273
Other 60,798,638 1,189,478 0 61,988,115
Total 2,575,147,693 3,950,218,899 0 6,525,366,591
VIC ABF 1,789,243,902 2,646,501,870 0 4,435,745,772
Block 211,570,676 461,010,034 0 672,580,710
Other 47,261,994 807,644 0 48,069,639
Total 2,048,076,573 3,108,319,548 0 5,156,396,120
QLD ABF 1,405,214,047 2,706,365,487 0 4,111,579,534
Block 217,120,118 359,272,828 0 576,392,947
Other 38,378,676 453,483 0 38,832,159
Total 1,660,712,842 3,066,091,798 0 4,726,804,640
WA ABF 722,771,047 1,485,966,027 0 2,208,737,073
Block 151,920,161 518,643,390 0 670,563,551
Other 20,804,789 0 0 20,804,789
Total 895,495,997 2,004,609,416 0 2,900,105,413
SA ABF 499,359,470 1,250,000,000 0 1,749,359,470
Block 84,840,284 97,940,131 0 182,780,415
Other 13,745,145 1,568,675 0 15,313,820
Total 597,944,898 1,349,508,806 0 1,947,453,704
TAS ABF 147,273,361 222,706,647 0 369,980,008
Block 25,855,342 151,600,145 0 177,455,487
Other 4,208,780 2,370 0 4,211,150
Total 177,337,483 374,309,162 0 551,646,645
ACT ABF 142,521,554 295,473,000 0 437,994,554
Block 10,698,434 25,074,000 0 35,772,434
Other 3,158,831 0 0 3,158,831
Total 156,378,819 320,547,000 0 476,925,819
NT ABF 68,444,501 158,567,500 0 227,012,001
Block 8,512,462 166,422,083 0 174,934,545
Other 1,957,321 10,044 0 1,967,365
Total 78,914,284 324,999,627 0 403,913,911
Total ABF funding 6,893,277,316 11,905,998,300 0 18,799,275,615
Total Block funding 1,106,417,099 2,588,574,264 0 3,694,991,362
Total Other funding 190,314,174 4,031,693 0 194,345,867
Grand Total 8,190,008,588 14,498,604,256 0 22,688,612,845

ABF funding represents Acute admitted public, Acute admitted private, 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 – January 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 2013-14
NSW 177,429 1,242,004 2,129,148
VIC 139,191 971,793 1,670,282
QLD 108,081 756,568 1,296,974
WA 51,967 392,590 682,068
SA 40,961 311,286 538,164
TAS 9,107 66,561 114,078
ACT 9,632 66,257 125,570
NT 10,326 72,278 123,900
Total 546,693 3,879,337 6,680,184

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.