National report - September 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 September 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 September 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 – September 2014

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,077,815,163 1,077,815,163 3,194,744,927 3,194,744,927
VIC 776,287,419 776,287,419 2,648,954,111 2,648,954,111
QLD 1,011,965,262 1,011,927,379 2,321,461,799 2,321,346,112
WA 373,013,035 373,013,035 1,108,992,018 1,108,992,018
SA 383,955,572 341,620,865 1,064,245,583 854,191,321
TAS 90,810,800 90,810,800 237,869,462 237,869,460
ACT 68,702,447 68,702,447 228,393,341 228,393,341
NT 72,497,069 72,495,466 217,491,123 217,486,397
Total 3,855,046,766 3,812,672,574 11,022,152,364 10,811,977,688

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 – September 2014

This table shows NHR funding by the source of funds for each state and territory for September 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 405,414,086 672,401,077 0 1,077,815,163
VIC 316,425,983 459,861,436 0 776,287,419
QLD 251,452,852 760,512,409 0 1,011,965,262
WA 145,431,856 227,581,179 0 373,013,035
SA 89,140,266 294,815,306 0 383,955,572
TAS 26,279,578 64,531,222 0 90,810,800
ACT 24,130,447 44,572,000 0 68,702,447
NT 13,070,716 59,426,353 0 72,497,069
Total 1,271,345,784 2,583,700,982 0 3,855,046,766

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – September 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 September 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 1,216,242,258 1,978,502,669 0 3,194,744,927
VIC 949,277,949 1,699,676,162 0 2,648,954,111
QLD 754,358,557 1,567,103,242 0 2,321,461,799
WA 436,295,568 672,696,450 0 1,108,992,018
SA 267,420,798 796,824,785 0 1,064,245,583
TAS 83,296,982 154,572,480 0 237,869,462
ACT 72,391,341 156,002,000 0 228,393,341
NT 39,212,147 178,278,976 0 217,491,123
Total 3,818,495,599 7,203,656,765 0 11,022,152,364

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 – September 2014

This table shows NHR funding for each state and territory by funding type and source for September 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 335,785,017 601,128,332 0 936,913,349
Block 60,602,425 70,973,900 0 131,576,325
Other 9,026,644 298,845 0 9,325,489
Total 405,414,086 672,401,077 0 1,077,815,163
VIC ABF 273,912,040 406,087,071 0 679,999,111
Block 35,477,396 53,638,955 0 89,116,351
Other 7,036,547 135,410 0 7,171,957
Total 316,425,983 459,861,436 0 776,287,419
QLD ABF 212,881,994 619,795,932 0 832,677,926
Block 32,857,533 140,678,594 0 173,536,128
Other 5,713,325 37,883 0 5,751,208
Total 251,452,852 760,512,409 0 1,011,965,262
WA ABF 119,690,596 180,212,419 0 299,903,015
Block 22,593,467 47,368,761 0 69,962,228
Other 3,147,793 0 0 3,147,793
Total 145,431,856 227,581,179 0 373,013,035
SA ABF 73,309,232 280,000,000 0 353,309,232
Block 13,810,168 14,500,000 0 28,310,168
Other 2,020,865 315,306 0 2,336,171
Total 89,140,266 294,815,306 0 383,955,572
TAS ABF 20,905,573 38,130,620 0 59,036,193
Block 4,759,987 26,400,601 0 31,160,588
Other 614,019 0 0 614,019
Total 26,279,578 64,531,222 0 90,810,800
ACT ABF 21,683,886 41,638,000 0 63,321,886
Block 1,979,783 2,934,000 0 4,913,783
Other 466,778 0 0 466,778
Total 24,130,447 44,572,000 0 68,702,447
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 1,603 0 295,370
Total 13,070,716 59,426,353 0 72,497,069
Total ABF funding 1,069,553,909 2,190,734,457 0 3,260,288,366
Total Block funding 173,472,138 392,177,478 0 565,649,616
Total Other funding 28,319,738 789,047 0 29,108,785
Grand Total 1,271,345,784 2,583,700,982 0 3,855,046,766

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – September 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 September 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 1,007,355,050 1,484,866,411 0 2,492,221,461
Block 181,807,275 493,132,800 0 674,940,075
Other 27,079,932 503,459 0 27,583,391
Total 1,216,242,258 1,978,502,669 0 3,194,744,927
VIC ABF 821,736,119 1,489,975,141 0 2,311,711,261
Block 106,432,189 209,343,956 0 315,776,145
Other 21,109,640 357,065 0 21,466,705
Total 949,277,949 1,699,676,162 0 2,648,954,111
QLD ABF 638,645,982 1,334,504,209 0 1,973,150,190
Block 98,572,600 232,483,347 0 331,055,947
Other 17,139,975 115,686 0 17,255,662
Total 754,358,557 1,567,103,242 0 2,321,461,799
WA ABF 359,071,788 563,090,168 0 922,161,956
Block 67,780,401 109,606,282 0 177,386,683
Other 9,443,379 0 0 9,443,379
Total 436,295,568 672,696,450 0 1,108,992,018
SA ABF 219,927,697 755,000,000 0 974,927,697
Block 41,430,505 41,200,000 0 82,630,505
Other 6,062,595 624,785 0 6,687,380
Total 267,420,798 796,824,785 0 1,064,245,583
TAS ABF 67,174,965 98,547,824 0 165,722,789
Block 14,279,961 56,024,654 0 70,304,615
Other 1,842,056 1 0 1,842,057
Total 83,296,982 154,572,480 0 237,869,462
ACT ABF 65,051,659 144,543,000 0 209,594,659
Block 5,939,349 11,459,000 0 17,398,349
Other 1,400,333 0 0 1,400,333
Total 72,391,341 156,002,000 0 228,393,341
NT ABF 34,156,713 71,226,250 0 105,382,963
Block 4,174,132 107,048,000 0 111,222,132
Other 881,302 4,726 0 886,028
Total 39,212,147 178,278,976 0 217,491,123
Total ABF funding 3,213,119,973 5,941,753,003 0 9,154,872,976
Total Block funding 520,416,413 1,260,298,039 0 1,780,714,452
Total Other funding 84,959,213 1,605,723 0 86,564,936
Grand Total 3,818,495,599 7,203,656,765 0 11,022,152,364

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 – September 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 192,343 577,028 2,308,114
VIC 148,267 444,800 1,779,200
QLD 113,476 340,428 1,351,985
WA 61,382 183,413 749,831
SA 60,421 148,583 535,696
TAS 10,308 31,949 123,487
ACT 10,688 32,419 128,248
NT 9,690 28,315 118,336
Total 606,575 1,786,936 7,094,898

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.