ACT Local Hospital Network Directorate report, August 2012

Print friendly version (PDF, 227 kB)

Table of Contents:

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 shows the National Health Reform (NHR) payments made by the Commonwealth and the Australian Capital Territory to the ACT Local Hospital Network Directorate for August 2012 as part of the National Health Reform Agreement.

The ACT Local Hospital Network Directorate is the local hospital network located in Canberra, in the Australian Capital Territory. See ACT Local Hospital Network Directorate 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 website: MyHospitals (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. NHR payments are 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 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 ACT report for August 2012, see ACT report, August 2012.

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

Commonwealth and ACT NHR payments

This table shows the NHR payments made by the Commonwealth and the Australian Capital Territory to the ACT Local Hospital Network Directorate by service category and contribution for August 2012.

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.

Table 1a – NHR payments: ACT Local Hospital Network Directorate, August 2012

Service category Total NHR payments
(ex GST)
GST Commonwealth
NHR payments
(ex GST)
State/territory
NHR payments
(ex GST)
($) ($) ($) ($)
Acute admitted - public 21,964,384 0 15,273,308 6,691,076
Acute admitted - private 1,464,292 0 1,018,221 446,072
Non-admitted 2,635,726 0 1,832,797 802,929
Emergency department 3,221,443 0 2,240,085 981,358
Total ABF payments (Pool) 29,285,845 0 20,364,411 8,921,435
Mental health 2,231,100 0
Small rural & metro hospitals 133,200 0
Sub-acute 0 0
Teaching, training & research 732,600 0
Other 233,100 0
Total Block payments (SMF) 3,330,000 0
Total 32,615,845 0

See explanatory notes following table 1b.

Following on from table 1a, this table shows the year-to-date (YTD) NHR payments made by the Commonwealth and the Australian Capital Territory to the ACT Local Hospital Network Directorate as at August 2012.

Table 1b – NHR payments YTD: ACT Local Hospital Network Directorate, August 2012

Service category Total NHR payments YTD
(ex GST)
GST YTD Commonwealth
NHR payments YTD
(ex GST)
State/territory
NHR payments YTD
(ex GST)
($) ($) ($) ($)
Acute admitted - public 54,797,848 0 30,546,616 24,251,232
Acute admitted - private 3,653,190 0 2,036,441 1,616,749
Non-admitted 6,575,742 0 3,665,594 2,910,148
Emergency department 8,037,018 0 4,480,170 3,556,847
Total ABF payments (Pool) 73,063,798 0 40,728,821 32,334,977
Mental health 5,577,678 0
Small rural & metro hospitals 332,996 0
Sub-acute 0 0
Teaching, training & research 1,831,476 0
Other 582,742 0
Total Block payments (SMF) 8,324,893 0
Total 81,388,691 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 ACT report for August 2012, see ACT report, August 2012.

Estimated monthly, YTD and annual NWAU

This table shows the estimated activity for activity based funding services expressed as National Weighted Activity Units (NWAU) for August 2012, the associated cumulative year-to-date (YTD) NWAU, and the total estimated annual NWAU for the ACT Local Hospital Network Directorate.

NHR funding amounts and service volumes are provided by states and territories as service estimates at the start of each financial year, and may continue to be refined during the course of the year. These estimates form the basis of monthly reporting of service volumes until actual service numbers become available.

The estimated annual NWAU for the ACT Local Hospital Network Directorate was provided to the Administrator as a basis for determining Commonwealth NHR activity based funding. Current month NWAU estimates accumulate through the year-to-date (YTD) NWAU to equal the annual NWAU at the end of the financial year.

Table 2 – Estimated monthly, YTD and annual NWAU: ACT Local Hospital Network Directorate, August 2012

Activity based funding
(ABF) service category
Estimated NWAU delivered in current month Estimated NWAU delivered YTD Estimated annual
NWAU 2012-13
Acute admitted - public 6,993 14,476 86,901
Acute admitted - private 368 717 5,314
Non-admitted 953 1,820 10,834
Emergency department 1,067 2,084 12,555
Total 9,382 19,097 115,604

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 explanation and basis, see National Health Reform Reporting.

For the basis of NHR payments, see the Basis for National Health Reform payments explanation in the ACT report for August 2012, see ACT report, August 2012

ACT Local Hospital Network Directorate public hospitals and service providers

The ACT Local Hospital Network Directorate is the local hospital network located in Canberra, in the Australian Capital Territory.

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

  • Calvary Hospital
  • Canberra Hospital
  • Clare Holland House
  • Queen Elizabeth II Family Centre