National report - June 2016

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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 June 2016.

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 2015-16 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 June 2016, see State or territory reports.

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding, 2015-16.

NHR funding and payments

Table 1 – NHR funding and payments for each state and territory – June 2016

This table shows NHR funding and payments for each state and territory for June 2016.

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 956,201,251 956,201,251 11,900,936,351 11,900,936,351
VIC 416,896,872 416,896,872 8,989,799,287 8,989,799,288
QLD 859,126,968 859,126,968 9,931,395,462 9,931,395,462
WA 507,123,979 507,132,537 5,024,889,259 5,024,889,258
SA 201,133,053 259,642,140 3,368,472,524 3,304,026,443
TAS 116,803,053 116,803,053 1,032,442,073 1,032,442,073
ACT 76,960,321 76,960,321 1,010,494,198 1,010,494,198
NT 84,044,741 84,043,388 945,812,209 946,704,202
Total 3,218,290,240 3,276,806,531 42,204,241,363 42,140,687,274

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 – June 2016

This table shows NHR funding by the source of funds for each state and territory for June 2016.

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 493,898,322 452,102,929 10,200,000 956,201,251
VIC 348,122,981 68,773,891 0 416,896,872
QLD 309,114,936 537,212,033 12,800,000 859,126,968
WA 174,912,811 332,211,169 0 507,123,979
SA 102,173,650 98,959,403 0 201,133,053
TAS 33,330,921 83,472,133 0 116,803,053
ACT 26,794,321 43,166,000 7,000,000 76,960,321
NT 21,948,555 62,096,187 0 84,044,741
Total 1,510,296,494 1,677,993,745 30,000,000 3,218,290,240

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – June 2016

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 June 2016.

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 5,509,669,067 6,338,667,283 52,600,000 11,900,936,350
VIC 4,180,407,558 4,809,391,730 0 8,989,799,287
QLD 3,531,057,607 6,349,137,855 51,200,000 9,931,395,462
WA 1,842,771,054 3,182,118,204 0 5,024,889,258
SA 1,224,117,950 2,138,754,575 5,600,000 3,368,472,524
TAS 374,963,636 657,478,437 0 1,032,442,073
ACT 324,704,198 601,790,000 84,000,000 1,010,494,198
NT 191,010,048 754,802,160 0 945,812,209
Total 17,178,701,117 24,832,140,244 193,400,000 42,204,241,361

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 – June 2016

This table shows NHR funding for each state and territory by funding type and source for June 2016. 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 431,859,168 426,348,529 0 858,207,697
Block 52,626,804 25,446,064 0 78,072,868
Other 9,412,349 308,336 10,200,000 19,920,685
Total 493,898,322 452,102,929 10,200,000 956,201,251
VIC ABF 299,082,830 45,888,544 0 344,971,374
Block 41,687,584 22,848,147 0 64,535,731
Other 7,352,567 37,200 0 7,389,767
Total 348,122,981 68,773,891 0 416,896,872
QLD ABF 271,017,667 450,117,347 0 721,135,014
Block 32,198,861 65,361,577 0 97,560,437
Other 5,898,408 21,733,109 12,800,000 40,431,517
Total 309,114,936 537,212,033 12,800,000 859,126,968
WA ABF 149,733,281 274,398,290 0 424,131,572
Block 22,015,827 57,812,866 0 79,828,693
Other 3,163,702 12 0 3,163,715
Total 174,912,811 332,211,169 0 507,123,979
SA ABF 85,971,290 65,000,000 0 150,971,290
Block 14,105,110 33,668,146 0 47,773,255
Other 2,097,250 291,258 0 2,388,508
Total 102,173,650 98,959,403 0 201,133,053
TAS ABF 27,951,565 30,420,881 0 58,372,447
Block 4,745,919 53,051,251 0 57,797,171
Other 633,436 0 0 633,436
Total 33,330,921 83,472,133 0 116,803,053
ACT ABF 24,156,909 39,843,000 0 63,999,909
Block 2,155,809 3,323,000 0 5,478,809
Other 481,602 0 7,000,000 7,481,602
Total 26,794,321 43,166,000 7,000,000 76,960,321
NT ABF 20,526,611 24,526,583 0 45,053,194
Block 1,139,341 37,568,250 0 38,707,591
Other 282,602 1,354 0 283,956
Total 21,948,555 62,096,187 0 84,044,741
Total ABF funding 1,310,299,323 1,356,543,175 0 2,666,842,497
Total Block funding 170,675,255 299,079,301 0 469,754,557
Total Other funding 29,321,917 22,371,269 30,000,000 81,693,186
Grand Total 1,510,296,494 1,677,993,745 30,000,000 3,218,290,240

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – June 2016

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 June 2016. 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 4,771,445,473 5,804,042,893 0 10,575,488,366
Block 624,999,273 531,211,944 0 1,156,211,218
Other 113,224,322 3,412,445 52,600,000 169,236,767
Total 5,509,669,067 6,338,667,283 52,600,000 11,900,936,350
VIC ABF 3,603,512,514 4,183,055,493 0 7,786,568,007
Block 488,430,408 625,399,536 0 1,113,829,944
Other 88,464,635 936,701 0 89,401,336
Total 4,180,407,558 4,809,391,730 0 8,989,799,287
QLD ABF 3,073,510,232 5,379,297,416 0 8,452,807,648
Block 386,386,326 882,493,627 0 1,268,879,954
Other 71,161,048 87,346,812 51,200,000 209,707,860
Total 3,531,057,607 6,349,137,855 51,200,000 9,931,395,462
WA ABF 1,539,165,228 2,656,449,263 0 4,195,614,491
Block 265,078,223 525,660,372 0 790,738,595
Other 38,527,602 8,570 0 38,536,172
Total 1,842,771,054 3,182,118,204 0 5,024,889,258
SA ABF 1,032,974,679 1,917,000,000 0 2,949,974,679
Block 165,915,714 218,139,014 0 384,054,728
Other 25,227,556 3,615,561 5,600,000 34,443,117
Total 1,224,117,950 2,138,754,575 5,600,000 3,167,339,471
TAS ABF 311,423,645 295,672,394 0 607,096,039
Block 55,913,337 361,806,043 0 417,719,380
Other 7,626,653 0 0 7,626,653
Total 374,963,636 657,478,437 0 1,032,442,073
ACT ABF 293,676,162 558,579,000 0 852,255,162
Block 25,225,177 43,211,000 0 68,436,177
Other 5,802,859 0 84,000,000 89,802,859
Total 324,704,198 601,790,000 84,000,000 1,010,494,198
NT ABF 175,171,488 284,692,417 0 459,863,905
Block 12,532,755 470,095,000 0 482,627,755
Other 3,305,805 14,744 0 3,320,549
Total 191,010,048 754,802,160 0 945,812,209
Total ABF funding 14,800,879,421 21,078,788,876 0 35,879,668,298
Total Block funding 2,024,481,215 3,658,016,536 0 5,682,497,751
Total Other funding 353,340,480 95,334,832 193,400,000 642,075,312
Grand Total 17,178,701,117 24,832,140,244 193,400,000 42,003,108,308

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 – June 2016

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 2015-16
NSW 218,038 2,519,969 2,557,211
VIC 168,370 1,908,263 1,907,728
QLD 124,105 1,445,102 1,489,257
WA 63,083 762,259 777,032
SA 41,921 578,206 578,206
TAS 11,629 135,000 135,000
ACT 11,314 141,017 140,066
NT 6,768 133,804 127,825
Total 645,227 7,623,620 7,712,325

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.