National report - May 2013

Print friendly version (PDF, 396 kB)

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 May 2013.

Participation in the National Health Funding Pool by states and territories

In signing the National Health Reform Agreement (the Agreement), it was the intention of all states and territories that they would have the necessary legislation in place to enable them to participate in the National Health Funding Pool from 1 July 2012. Under the legislation envisaged by the Agreement, states and territories using the Pool are required to provide data on NHR funding, payments and services to be published by the Administrator of the National Health Funding Pool.

Only New South Wales, Western Australia and Tasmania had legislation in place to enable them to participate in the National Health Funding Pool from 1 July 2012. Legislation in other states and territories has come into effect progressively since then.

From March 2013, all states and territories had the necessary legislation in place, used the National Health Funding Pool to process NHR funding and payments, and provided the data required for the Administrator's monthly reports.

Prior to March 2013, where states or territories did not have their legislation in place to enable them to use the National Health Funding Pool, they instead received equivalent funding directly from the Commonwealth Treasury, and made payments directly to their recipients.

Hence the year-to-date data in this National report and reports for states and territories which did not use the National Health Funding Pool from 1 July 2012 to 28 February 2013 include both payments into and out of the Pool and ‘notional payments’ made outside the Pool arrangements. For further information, see the individual reports for these states and territories.

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. A local hospital network 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 local hospital network.

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, local hospital networks receive funding in 2012-13 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: Local hospital networks 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 local hospital network, contact the Department of Health in the relevant state or territory to view the service agreement for that local hospital network.

Note: Amounts shown in the monthly reports do not include the New South Wales contributions to Victoria 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 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.
  • Notional NHR payments – funds paid into and out of departmental bank accounts to local hospital networks that would have been transacted through the state pool account and/or state managed fund had NHR funding arrangements been in place. Notional payments are included in 2012-13 reporting to enable national comparability for month and year-to-date reporting periods.

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 May 2013, see State or territory reports.

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding, 2012-13.

NHR funding and payments

Table 1 – NHR funding and payments for each state and territory – May 2013

This table shows NHR funding and payments for each state and territory for May 2013.

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 769,332,767 769,332,767 10,046,915,597 10,046,915,597
VIC 554,055,040 560,706,838 6,984,071,906 6,984,071,906
QLD 616,409,244 615,613,092 7,192,159,886 7,190,748,911
WA 423,732,401 423,732,401 4,474,344,708 4,474,344,708
SA 147,334,964 298,546,770 2,598,666,411 2,560,561,466
TAS 71,791,927 71,791,879 701,355,652 701,335,434
ACT 83,574,780 83,574,780 600,641,041 600,641,041
NT 71,372,981 71,371,225 603,209,259 603,195,672
Total 2,737,604,104 2,894,669,751 33,201,364,460 33,161,814,735

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 – May 2013

This table shows NHR funding by the source of funds for each state and territory for May 2013.

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 339,064,788 430,267,979 0 769,332,767
VIC 263,081,512 290,973,528 0 554,055,040
QLD 213,133,825 403,275,418 0 616,409,244
WA 115,457,062 308,275,338 0 423,732,401
SA 82,086,928 65,248,036 0 147,334,964
TAS 23,992,218 47,799,710 0 71,791,927
ACT 20,349,780 63,225,000 0 83,574,780
NT 11,710,722 59,662,259 0 71,372,981
Total 1,068,876,836 1,668,727,268 0 2,737,604,104

* See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – May 2013

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 May 2013.

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 3,825,602,169 6,221,313,428 0 10,046,915,597
VIC 2,970,542,377 4,013,529,529 0 6,984,071,906
QLD 2,418,705,793 4,773,454,093 0 7,192,159,886
WA 1,278,745,379 3,195,599,329 0 4,474,344,708
SA 925,235,655 1,673,430,756 0 2,598,666,411
TAS 268,274,562 433,081,090 0 701,355,652
ACT 227,630,972 373,010,069 0 600,641,041
NT 131,106,436 472,102,823 0 603,209,259
Total 12,045,843,344 21,155,521,116 0 33,201,364,460

Cross-border funding arrangements between states and territories are yet to be put in place for state and territory contributions.

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 – May 2013

This table shows NHR funding for each state and territory by funding type and source for May 2013. 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 225,224,690 339,827,886 0 565,052,576
Block 105,655,010 90,328,205 0 195,983,216
Other 8,185,088 111,887 0 8,296,975
Total 339,064,788 430,267,979 0 769,332,767
VIC ABF 185,281,481 188,582,956 0 373,864,437
Block 71,589,446 102,261,923 0 173,851,369
Other 6,210,585 128,649 0 6,339,234
Total 263,081,512 290,973,528 0 554,055,040
QLD ABF 168,916,595 316,866,936 0 485,783,531
Block 39,152,823 86,355,961 0 125,508,784
Other 5,064,408 52,521 0 5,116,929
Total 213,133,825 403,275,418 0 616,409,244
WA ABF 84,567,916 214,225,338 0 298,793,254
Block 28,184,161 94,050,000 0 122,234,161
Other 2,704,986 0 0 2,704,986
Total 115,457,062 308,275,338 0 423,732,401
SA ABF 64,926,227 50,000,000 0 114,926,227
Block 15,235,757 14,826,210 0 30,061,967
Other 1,924,944 421,826 0 2,346,770
Total 82,086,928 65,248,036 0 147,334,964
TAS ABF 19,164,320 21,080,586 0 40,244,906
Block 4,263,944 26,719,075 0 30,983,019
Other 563,953 48 0 564,001
Total 23,992,218 47,799,710 0 71,791,927
ACT ABF 17,824,847 62,225,000 0 80,049,847
Block 2,134,974 1,000,000 0 3,134,974
Other 389,959 0 0 389,959
Total 20,349,780 63,225,000 0 83,574,780
NT ABF 7,760,087 21,742,799 0 29,502,886
Block 3,661,637 37,917,703 0 41,579,340
Other 288,999 1,756 0 290,755
Total 11,710,722 59,662,259 0 71,372,981
Total ABF funding 773,666,163 1,214,551,502 0 1,988,217,665
Total Block funding 269,877,751 453,459,079 0 723,336,830
Total Other funding 25,332,921 716,687 0 26,049,608
Grand Total 1,068,876,836 1,668,727,268 0 2,737,604,104

* See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – May 2013

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 May 2013. 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 2,541,533,622 4,273,687,230 0 6,815,220,852
Block 1,192,534,044 1,945,830,625 0 3,138,364,668
Other 91,534,504 1,795,573 0 93,330,076
Total 3,825,602,169 6,221,313,428 0 10,046,915,597
VIC ABF 2,092,553,239 2,919,414,513 0 5,011,967,752
Block 808,553,751 1,092,514,938 0 1,901,068,689
Other 69,435,388 1,600,078 0 71,035,465
Total 2,970,542,377 4,013,529,529 0 6,984,071,906
QLD ABF 1,917,497,839 3,742,412,700 0 5,659,910,539
Block 444,444,793 1,030,435,069 0 1,474,879,862
Other 56,763,161 606,324 0 57,369,485
Total 2,418,705,793 4,773,454,093 0 7,192,159,886
WA ABF 936,721,426 2,463,361,329 0 3,400,082,754
Block 312,168,093 732,238,000 0 1,044,406,093
Other 29,855,861 0 0 29,855,861
Total 1,278,745,379 3,195,599,329 0 4,474,344,708
SA ABF 731,949,664 1,439,989,326 0 2,171,938,990
Block 171,777,762 231,524,818 0 403,302,579
Other 21,508,229 1,916,613 0 23,424,841
Total 925,235,655 1,673,430,756 0 2,598,666,411
TAS ABF 214,317,361 225,431,880 0 439,749,241
Block 47,684,303 207,628,992 0 255,313,295
Other 6,272,898 20,218 0 6,293,116
Total 268,274,562 433,081,090 0 701,355,652
ACT ABF 208,771,134 331,949,862 0 540,720,997
Block 14,549,309 41,060,206 0 55,609,516
Other 4,310,529 0 0 4,310,529
Total 227,630,972 373,010,069 0 600,641,041
NT ABF 86,917,510 239,170,793 0 326,088,303
Block 40,972,968 232,918,443 0 273,891,411
Other 3,215,958 13,587 0 3,229,545
Total 131,106,436 472,102,823 0 603,209,259
Total ABF funding 8,730,261,795 15,635,417,632 0 24,365,679,428
Total Block funding 3,032,685,022 5,514,151,092 0 8,546,836,114
Total Other funding 282,896,526 5,952,392 0 288,848,918
Grand Total 12,045,843,344 21,155,521,116 0 33,201,364,460

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

Block funding represents Mental health, Small rural and metropolitan hospitals, Sub-acute, Teaching, training and research, and Other 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 NWAU

States and territories provide NHR funding amounts and service volumes as service 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.

Table 4 – Estimated monthly, YTD and annual NWAU by each state and territory – May 2013

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 2012-13
NSW 133,953 1,616,878 1,731,562
VIC 109,504 1,204,544 1,314,041
QLD 105,297 1,157,698 1,261,855
WA 54,117 571,531 618,967
SA 54,030 427,813 486,690
TAS 9,720 100,358 108,968
ACT 10,257 104,038 115,604
NT 1,070 66,492 93,194
Total 477,949 5,249,353 5,730,881

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.