National report - July 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 July 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 July 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 – July 2014

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,300,378,404 1,300,378,404 1,300,378,404 1,300,378,404
VIC 1,269,328,522 1,269,328,522 1,269,328,522 1,269,328,522
QLD 651,262,268 651,221,812 651,262,268 651,221,812
WA 355,989,492 355,989,492 355,989,492 355,989,492
SA 372,421,913 258,570,456 372,421,913 258,570,456
TAS 67,855,508 67,855,507 67,855,508 67,855,507
ACT 90,988,447 90,988,447 90,988,447 90,988,447
NT 72,496,989 72,495,466 72,496,989 72,495,466
Total 4,180,721,542 4,066,828,105 4,180,721,542 4,066,828,105

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 – July 2014

This table shows NHR funding by the source of funds for each state and territory for July 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 405,414,086 894,964,318 0 1,300,378,404
VIC 316,425,983 952,902,539 0 1,269,328,522
QLD 251,452,852 399,809,415 0 651,262,268
WA 145,431,856 210,557,635 0 355,989,492
SA 89,140,266 283,281,647 0 372,421,913
TAS 30,737,825 37,117,683 0 67,855,508
ACT 24,130,447 66,858,000 0 90,988,447
NT 13,070,716 59,426,274 0 72,496,989
Total 1,275,804,030 2,904,917,512 0 4,180,721,542

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – July 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 July 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 405,414,086 894,964,318 0 1,300,378,404
VIC 316,425,983 952,902,539 0 1,269,328,522
QLD 251,452,852 399,809,415 0 651,262,268
WA 145,431,856 210,557,635 0 355,989,492
SA 89,140,266 283,281,647 0 372,421,913
TAS 30,737,825 37,117,683 0 67,855,508
ACT 24,130,447 66,858,000 0 90,988,447
NT 13,070,716 59,426,274 0 72,496,989
Total 1,275,804,030 2,904,917,512 0 4,180,721,542

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 – July 2014

This table shows NHR funding for each state and territory by funding type and source for July 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 335,785,017 528,425,419 0 864,210,436
Block 60,602,425 366,447,909 0 427,050,334
Other 9,026,644 90,990 0 9,117,634
Total 405,414,086 894,964,318 0 1,300,378,404
VIC ABF 273,912,040 838,260,360 0 1,112,172,400
Block 35,477,396 114,627,040 0 150,104,436
Other 7,036,547 15,139 0 7,051,686
Total 316,425,983 952,902,539 0 1,269,328,522
QLD ABF 212,881,994 353,866,584 0 566,748,578
Block 32,857,533 45,902,376 0 78,759,909
Other 5,713,325 40,455 0 5,753,780
Total 251,452,852 399,809,415 0 651,262,268
WA ABF 119,690,596 196,438,875 0 316,129,471
Block 22,593,467 14,118,761 0 36,712,228
Other 3,147,793 0 0 3,147,793
Total 145,431,856 210,557,635 0 355,989,492
SA ABF 73,309,232 270,000,000 0 343,309,232
Block 13,810,168 13,200,000 0 27,010,168
Other 2,020,865 81,647 0 2,102,512
Total 89,140,266 283,281,647 0 372,421,913
TAS ABF 25,363,819 26,621,515 0 51,985,334
Block 4,759,987 10,496,167 0 15,256,154
Other 614,019 1 0 614,020
Total 30,737,825 37,117,683 0 67,855,508
ACT ABF 21,683,886 61,743,000 0 83,426,886
Block 1,979,783 5,115,000 0 7,094,783
Other 466,778 0 0 466,778
Total 24,130,447 66,858,000 0 90,988,447
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 1,524 0 295,291
Total 13,070,716 59,426,274 0 72,496,989
Total ABF funding 1,074,012,155 2,299,097,837 0 3,373,109,992
Total Block funding 173,472,138 605,589,919 0 779,062,056
Total Other funding 28,319,738 229,756 0 28,549,494
Grand Total 1,275,804,030 2,904,917,512 0 4,180,721,542

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – July 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 July 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 335,785,017 528,425,419 0 864,210,436
Block 60,602,425 366,447,909 0 427,050,334
Other 9,026,644 90,990 0 9,117,634
Total 405,414,086 894,964,318 0 1,300,378,404
VIC ABF 273,912,040 838,260,360 0 1,112,172,400
Block 35,477,396 114,627,040 0 150,104,436
Other 7,036,547 15,139 0 7,051,686
Total 316,425,983 952,902,539 0 1,269,328,522
QLD ABF 212,881,994 353,866,584 0 566,748,578
Block 32,857,533 45,902,376 0 78,759,909
Other 5,713,325 40,455 0 5,753,780
Total 251,452,852 399,809,415 0 651,262,268
WA ABF 119,690,596 196,438,875 0 316,129,471
Block 22,593,467 14,118,761 0 36,712,228
Other 3,147,793 0 0 3,147,793
Total 145,431,856 210,557,635 0 355,989,492
SA ABF 73,309,232 270,000,000 0 343,309,232
Block 13,810,168 13,200,000 0 27,010,168
Other 2,020,865 81,647 0 2,102,512
Total 89,140,266 283,281,647 0 372,421,913
TAS ABF 25,363,819 26,621,515 0 51,985,334
Block 4,759,987 10,496,167 0 15,256,154
Other 614,019 1 0 614,020
Total 30,737,825 37,117,683 0 67,855,508
ACT ABF 21,683,886 61,743,000 0 83,426,886
Block 1,979,783 5,115,000 0 7,094,783
Other 466,778 0 0 466,778
Total 24,130,447 66,858,000 0 90,988,447
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 1,524 0 295,291
Total 13,070,716 59,426,274 0 72,496,989
Total ABF funding 1,074,012,155 2,299,097,837 0 3,373,109,992
Total Block funding 173,472,138 605,589,919 0 779,062,056
Total Other funding 28,319,738 229,756 0 28,549,494
Grand Total 1,275,804,030 2,904,917,512 0 4,180,721,542

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 – July 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 192,343 192,343 2,308,114
VIC 148,267 148,267 1,779,200
QLD 113,476 113,476 1,351,985
WA 60,397 60,397 749,831
SA 44,553 44,553 535,696
TAS 10,989 10,989 135,171
ACT 10,971 10,971 128,248
NT 9,118 9,118 118,336
Total 590,114 590,114 7,106,582

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.