National report - March 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 March 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 March 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 – March 2016

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,192,213,726 1,192,213,727 8,831,358,234 8,831,358,235
VIC 822,069,517 822,069,517 7,075,339,916 7,075,339,916
QLD 775,948,249 1,012,021,087 7,446,350,947 7,445,985,115
WA 356,530,756 356,530,756 3,761,487,984 3,761,487,965
SA 397,900,336 277,837,576 2,742,506,696 2,490,909,150
TAS 104,814,385 104,814,385 753,168,849 753,168,849
ACT 78,339,623 78,339,623 753,578,630 753,578,630
NT 82,719,991 82,718,644 694,606,165 694,594,129
Total 3,810,536,585 3,926,545,316 32,058,397,422 31,806,421,989

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 – March 2016

This table shows NHR funding by the source of funds for each state and territory for March 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 471,500,944 710,512,782 10,200,000 1,192,213,726
VIC 345,773,204 476,296,314 0 822,069,517
QLD 299,054,910 464,093,339 12,800,000 775,948,249
WA 163,777,008 192,753,749 0 356,530,756
SA 100,303,044 297,597,292 0 397,900,336
TAS 28,747,649 76,066,736 0 104,814,385
ACT 24,787,623 46,552,000 7,000,000 78,339,623
NT 20,623,811 62,096,180 0 82,719,991
Total 1,454,568,193 2,325,968,392 30,000,000 3,810,536,585

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – March 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 March 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 4,046,073,395 4,745,484,839 39,800,000 8,831,358,234
VIC 3,134,410,368 3,940,929,547 0 7,075,339,916
QLD 2,562,248,369 4,845,702,578 38,400,000 7,446,350,947
WA 1,340,304,228 2,421,183,756 0 3,761,487,984
SA 921,338,213 1,815,568,483 5,600,000 2,742,506,696
TAS 275,358,134 477,810,715 0 753,168,849
ACT 248,334,630 442,244,000 63,000,000 753,578,630
NT 136,660,629 557,945,536 0 694,606,165
Total 12,664,727,966 19,246,869,456 146,800,000 32,058,397,422

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 – March 2016

This table shows NHR funding for each state and territory by funding type and source for March 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 409,514,906 668,041,431 0 1,077,556,337
Block 52,626,804 42,170,031 0 94,796,835
Other 9,359,234 301,320 10,200,000 19,860,554
Total 471,500,944 710,512,782 10,200,000 1,192,213,726
VIC ABF 296,769,968 412,859,315 0 709,629,283
Block 41,687,584 63,404,909 0 105,092,493
Other 7,315,651 32,090 0 7,347,742
Total 345,773,204 476,296,314 0 822,069,517
QLD ABF 261,004,872 376,992,433 0 637,997,305
Block 32,198,861 65,354,331 0 97,553,192
Other 5,851,177 21,746,575 12,800,000 40,397,752
Total 299,054,910 464,093,339 12,800,000 775,948,249
WA ABF 138,715,415 126,796,895 0 265,512,311
Block 22,015,827 65,956,853 0 87,972,680
Other 3,045,765 0 0 3,045,765
Total 163,777,008 192,753,749 0 356,530,756
SA ABF 84,105,248 287,000,000 0 371,105,248
Block 14,105,110 10,300,000 0 24,405,110
Other 2,092,686 297,292 0 2,389,978
Total 100,303,044 297,597,292 0 397,900,336
TAS ABF 23,369,947 23,386,479 0 46,756,426
Block 4,745,919 52,680,257 0 57,426,176
Other 631,783 0 0 631,783
Total 28,747,649 76,066,736 0 104,814,385
ACT ABF 22,154,234 43,228,000 0 65,382,234
Block 2,155,809 3,324,000 0 5,479,809
Other 477,581 0 7,000,000 7,477,581
Total 24,787,623 46,552,000 7,000,000 78,339,623
NT ABF 19,201,868 24,526,583 0 43,728,451
Block 1,139,341 37,568,250 0 38,707,591
Other 282,602 1,347 0 283,949
Total 20,623,811 62,096,180 0 82,719,991
Total ABF funding 1,254,836,459 1,962,831,137 0 3,217,667,595
Total Block funding 170,675,255 340,758,631 0 511,433,886
Total Other funding 29,056,479 22,378,625 30,000,000 81,435,104
Grand Total 1,454,568,193 2,325,968,392 30,000,000 3,810,536,585

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – March 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 March 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 3,493,861,030 4,438,003,788 0 7,931,864,818
Block 467,118,860 305,173,898 0 772,292,758
Other 85,093,505 2,307,154 39,800,000 127,200,658
Total 4,046,073,395 4,745,484,839 39,800,000 8,831,358,234
VIC ABF 2,704,561,946 3,446,318,043 0 6,150,879,990
Block 363,367,656 493,855,365 0 857,223,021
Other 66,480,766 756,139 0 67,236,905
Total 3,134,410,368 3,940,929,547 0 7,075,339,916
QLD ABF 2,218,898,338 4,093,820,543 0 6,312,718,881
Block 289,789,745 686,416,203 0 976,205,948
Other 53,560,286 65,465,832 38,400,000 157,426,118
Total 2,562,248,369 4,845,702,578 38,400,000 7,446,350,947
WA ABF 1,112,001,116 2,008,272,057 0 3,120,273,174
Block 199,030,743 412,911,680 0 611,942,423
Other 29,272,369 19 0 29,272,387
Total 1,340,304,228 2,421,183,756 0 3,761,487,984
SA ABF 778,792,892 1,657,000,000 0 2,435,792,892
Block 123,600,386 156,002,723 0 279,603,109
Other 18,944,935 2,565,760 5,600,000 27,110,695
Total 921,338,213 1,815,568,483 5,600,000 2,742,506,696
TAS ABF 227,952,902 208,636,603 0 436,589,506
Block 41,675,580 269,174,112 0 310,849,692
Other 5,729,652 0 0 5,729,652
Total 275,358,134 477,810,715 0 753,168,849
ACT ABF 225,210,785 410,666,000 0 635,876,785
Block 18,757,749 31,578,000 0 50,335,749
Other 4,366,096 0 63,000,000 67,366,096
Total 248,334,630 442,244,000 63,000,000 753,578,630
NT ABF 123,665,956 220,739,250 0 344,405,206
Block 10,254,072 337,194,250 0 347,448,322
Other 2,740,601 12,036 0 2,752,637
Total 136,660,629 557,945,536 0 694,606,165
Total ABF funding 10,884,944,966 16,483,456,284 0 27,368,401,251
Total Block funding 1,513,594,791 2,692,306,232 0 4,205,901,023
Total Other funding 266,188,209 71,106,940 146,800,000 484,095,149
Grand Total 12,664,727,966 19,246,869,456 146,800,000 32,058,397,422

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 – March 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 217,428 1,875,730 2,507,724
VIC 161,457 1,416,979 1,883,281
QLD 120,663 1,072,788 1,447,961
WA 60,238 573,956 767,840
SA 50,228 437,842 578,206
TAS 10,694 98,870 129,113
ACT 11,785 106,892 140,066
NT 10,827 88,731 120,717
Total 643,321 5,671,787 7,574,908

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.