Far West Local Health District report, June 2013

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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 the National Health Reform (NHR) payments made by the Commonwealth and New South Wales to the Far West Local Health District for June 2013 as part of the National Health Reform Agreement.

The Far West Local Health District is the local hospital network covering the far western region of New South Wales. See Far West Local Health District public hospitals and service providers.

Local hospital networks and National Health Reform

A local hospital network (LHN) is an organisation that provides public hospital services in accordance with the National Health Reform Agreement (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 NHR funding 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 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.

Reference information

The data in this report can be viewed in conjunction with information shown on the MyHospitals website (www.myhospitals.gov.au) (external link, opens in a new window) [http://www.myhospitals.gov.au] which provides information on hospitals throughout Australia.

The financial information outlined in the following report represents NHR payments - when NHR funding is deposited into a state pool account or state managed fund and 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 NHR payments, see the Basis for National Health Reform payments explanation in the New South Wales report, June 2013.

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

NHR payments to the Far West Local Health District

Table 1a – NHR payments – Far West Local Health District, June 2013

This table shows the NHR payments made by the Commonwealth and New South Wales to the Far West Local Health District by service category and contribution for June 2013.

The data is divided into service category and associated Commonwealth and state or territory contribution for each amount. 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.

Service category Total NHR payments
(ex GST)
GST Commonwealth
NHR contributions
(ex GST)
State/territory
NHR contributions
(ex GST)
($) ($) ($) ($)
Acute admitted - public 1,310,976 0 568,536 742,441
Acute admitted - private 142,129 0 61,637 80,491
Emergency department 627,172 0 271,988 355,184
Non-admitted 1,053,406 0 456,834 596,572
Total ABF payments (Pool) 3,133,683 0 1,358,995 1,774,688
Small rural and metro hospitals 698,031 0
Mental health 1,103,001 0
Teaching, training and research 28,688 0
Sub-acute 752,264 0
Other 876,070 0
Total Block payments (SMF) 3,458,054 0
Total NHR Payments 6,591,737 0

See explanatory notes following table 1b.

Table 1b – NHR payments YTD – Far West Local Health District, June 2013

Following on from table 1a, this table shows year-to-date (YTD) NHR payments made by the Commonwealth and New South Wales by service category and contribution to the Far West Local Health District as at June 2013.

Service category Total NHR payments YTD
(ex GST)
GST YTD Commonwealth
NHR contributions YTD
(ex GST)
State/territory
NHR contributions YTD
(ex GST)
($) ($) ($) ($)
Acute admitted - public 16,256,246 0 6,851,614 9,404,631
Acute admitted - private 1,762,412 0 742,814 1,019,598
Emergency department 7,776,993 0 3,277,814 4,499,179
Non-admitted 13,062,344 0 5,505,462 7,556,882
Total ABF payments (Pool) 38,857,994 0 16,377,704 22,480,290
Small rural and metro hospitals 6,063,841 0
Mental health 9,581,838 0
Teaching, training and research 249,214 0
Sub-acute 6,534,969 0
Other 7,610,481 0
Total Block payments (SMF) 30,040,344 0
Total NHR Payments 68,898,338 0

Total ABF payments (Pool) represents NHR payments made by the Administrator from the state pool account to the local hospital network (LHN).

Total Block payments (SMF) represents NHR payments made by the state or territory from the state managed fund (SMF) to the local hospital network.

Note: The grey shaded areas in the table above reflect that block payments made to local hospital networks cannot at this stage be identified by source of funding (state, territory or Commonwealth) when paid from state managed funds.

Payments in these tables are GST exclusive. The majority of government funding to local hospital networks is not subject to GST. However in some cases, hospital funding to non-government entities does attract GST, for example, denominational hospitals, privately and commercially owned health facilities, or any other non-government third party provider of health services or related supplies.

For the basis of NHR payments, see the Basis for National Health Reform payments explanation in the New South Wales report, June 2013.

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 provided estimated annual NWAU for the the Far West Local Health District 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 2 – Estimated monthly, YTD and annual NWAU – Far West Local Health District, June 2013

This table shows the estimated activity for activity-based funding services expressed as NWAU for June 2013, the associated cumulative year-to-date (YTD) NWAU, and total estimated annual NWAU for the Far West Local Health District.

Activity based funding
(ABF) service category
Estimated NWAU delivered in current month Estimated NWAU delivered YTD Estimated annual
NWAU 2012-13
Acute admitted - public 347 4,303 4,281
Acute admitted - private 38 466 464
Emergency department 166 2,058 2,048
Non-admitted 279 3,457 3,440
Total 829 10,285 10,232

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, by weighting them for their 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 to be delivered in the month.

For more information on the NWAU calculation, see Calculation of NWAU.

For the basis of NHR payments, see the Basis for National Health Reform payments explanation in the New South Wales report, June 2013.

Far West Local Health District public hospitals and service providers

The Far West Local Health District is the local hospital network covering the far western region of New South Wales.

For the purposes of NHR public hospital funding arrangements, this local hospital network is made up of the following public hospitals and service providers:

  • Balranald Multi Purpose Service
  • Broken Hill Base Hospital
  • Ivanhoe Hospital
  • Menindee Health Service
  • Tibooburra Hospital
  • Wentworth Hospital
  • White Cliffs Health Service
  • Wilcannia Multi Purpose Service