The basis used to determine NHR payments to the Australian Capital Territory LHNs was advised by the ACT Health Directorate to be as follows:
The annual funding allocation for the ACT in 2012-13 was based on budget neutral modelling. This modelling was based on the historic cost of providing services plus cost indexation. The activity to be funded through Activity-Based Funding was projected on historic activity levels for public hospital services in the ACT, and derived through the application of the Independent Hospital Pricing Authority determination.
The payments made by the ACT Government and the Commonwealth Government in June 2013 through the ACT Local Hospital Network Directorate were net of third party revenue, and were paid on the basis of estimated ACT Local Hospital Network activity for the month of June 2013.