Queensland report, November 2017

Print friendly version (PDF, 521 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 for Queensland for November 2017 as part of the National Health Reform Agreement.

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 an LHN.

Note: The term ‘local hospital network’ is a national term. Some states and territories use their own terminology to describe these networks, such as local health districts, health organisations, and hospital and health services.

Under the Agreement, LHNs receive 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: 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 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 Queensland Department of Health to view the service agreement for that LHN.

Basis for National Health Reform payments – Queensland, November 2017

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding, 2017-18.

The basis used to determine NHR payments to LHNs in Queensland for November 2017 was advised by the Queensland Department of Health to be as follows:

Service agreements between the Department of Health and each Hospital and Health Service (HHS) are based on the Department’s funding and purchasing models. In broad terms, the funding model determines the price at which the department purchases services from HHSs, and the purchasing model determines the volume of services that are purchased.

In terms of the funding model:

36 of the largest public hospitals are funded through the Queensland Activity Based Funding (ABF) model, which sets prices at a disaggregated level for each type of public hospital service. The Queensland ABF model is based largely on the national ABF model, but includes a number of modifications to reflect Queensland priorities.

83 public hospitals, predominantly small regional and rural hospitals, and 4 specialist mental health facilities are funded through block funding arrangements which take account of hospital size and location. These are based on 2015-16 reported expenditure (net of depreciation) indexed to 2017-18 levels.

Most non-hospital services (e.g. preventive health, primary and community health) are funded based on historical funding levels. However, some services, such as oral health and breast screening, are funded based on a price per unit of output.

The purchasing model determines the volume and value of services that the Department agrees to purchase from each HHS through the service agreement. The model reflects key priority areas for investment which is informed through a range of planning models, growth projections and performance objectives for each HHS.

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.

State pool account transactions

Table 1a – State pool account transactions – Queensland, November 2017

This table shows funding paid into the Queensland state pool account by the Commonwealth, Queensland or other states/territories, and payments out of the state pool account to LHNs, the state managed fund, the Queensland Department of Health or the state pool accounts of other states/territories for November 2017.

NHR funding by source Paid into state pool account Paid out of state pool account
To Local hospital networks To State
Managed Fund
To state
health department
To state pool (other State) Total paid out
($) ($) ($) ($) ($) ($)
Commonwealth
ABF funding
287,208,828 287,208,828 287,208,828
Commonwealth
Block funding
35,801,215 35,801,215 35,801,215
Commonwealth
Other funding
6,459,271 6,459,271 6,459,271
Total C'wealth
funding
329,469,314 287,208,828 35,801,215 6,459,271 329,469,314
QLD
funding
495,566,089 492,437,492 0 3,100,000 495,537,492
Other state/territory funding 4,900,000 0 4,900,000 4,900,000
Total 829,935,403 779,646,320 35,801,215 11,359,271 3,100,000 829,906,806

See definitions and explanatory notes following table 1b.

Table 1b – State pool account transactions YTD – Queensland, November 2017

Following on from table 1a, this table shows year-to-date (YTD) funding paid into the Queensland state pool account by the Commonwealth, Queensland or other states/territories, and payments out of the state pool account to LHNs, the state managed fund, the Queensland Department of Health or the state pool accounts of other states/territories as at November 2017.

NHR funding by source Paid into state
pool account
Paid out of state pool account
To Local hospital
networks
YTD
To State
Managed Fund
YTD
To state health
department
YTD
To state pool (other State)
YTD
Total paid out
YTD
($) ($) ($) ($) ($) ($)
Commonwealth
ABF funding
1,436,044,138 1,436,044,138 1,436,044,138
Commonwealth
Block funding
179,006,077 179,006,077 179,006,077
Commonwealth
Other funding
32,296,356 32,296,356 32,296,356
Total C'wealth
funding
1,647,346,570 1,436,044,138 179,006,077 32,296,356 1,647,346,570
QLD
funding
2,536,909,230 2,521,231,273 0 15,500,000 2,536,731,273
Other state/territory funding 24,500,000 0 24,500,000 24,500,000
Total 4,208,755,800 3,957,275,410 179,006,077 56,796,356 15,500,000 4,208,577,843

Commonwealth ABF funding represents Acute admitted, Non-admitted, Emergency department, Sub-acute, and Admitted mental health service categories, which are funded by the Commonwealth through the state pool account and subsequently paid to LHNs.

Commonwealth Block funding represents Non-admitted mental health, Small rural hospitals, Teaching, training & research, and Other non-admitted categories, which are funded by the Commonwealth and paid to the state managed fund.

Commonwealth Other funding represents other amounts funded by the Commonwealth, transacted through the state pool account and subsequently paid to state or territory health departments. This currently represents the Commonwealth contribution to public health.

QLD funding represents funding contributions paid by Queensland into its own state pool account, and subsequently paid to LHNs within the state, to the Queensland health department and/or to other state pool accounts.

Other state/territory funding represents contributions paid to Queensland by other states and territories for cross-border activity.

Note: The grey shaded areas in these tables reflect cells that are not applicable for a particular 'paid out' column. For example, Commonwealth block funding is only paid to state managed funds and not to local hospital networks or state or territory health departments.

NHR funding and payments shown in these tables include GST where applicable.

For more information, see National Health Reform funding and payments.

State managed fund transactions

Table 2a – State managed fund transactions – Queensland, November 2017

This table shows funding paid into the Queensland state managed fund by the Commonwealth and Queensland, and payments out of the state managed fund to LHNs and other provider organisations for November 2017.

NHR funding by source Paid into state managed fund Paid out of state managed fund
To local hospital networks To Other Total paid out
($) ($) ($) ($)
Commonwealth Block funding 35,801,215 35,801,215
State/territory Block funding 79,635,650 79,635,650
Total 115,436,865 115,436,865 0 115,436,865

See explanatory notes following table 2b.

Table 2b – State managed fund transactions YTD – Queensland, November 2017

Following on from table 2a, this table shows year-to-date (YTD) funding paid into the Queensland state managed fund by the Commonwealth and Queensland, and YTD payments out of the state managed fund to LHNs and other provider organisations as at November 2017.

NHR funding by source Paid into state
managed fund
YTD
Paid out of state managed fund YTD
To local hospital
networks
YTD
To Other
YTD
Total paid out
YTD
($) ($) ($) ($)
Commonwealth Block funding 179,006,077 179,006,077
State/territory Block funding 437,989,264 437,989,264
Total 616,995,340 616,995,340 0 616,995,340

Block funding represents Non-admitted mental health, Small rural hospitals, Teaching, training & research, and Other non-admitted categories.

Commonwealth Block funding represents Commonwealth block funding contributions paid into the state managed fund from the state pool account, and block payments out of the state managed fund to LHNs and other provider organisations.

State/territory Block funding represents Queensland block funding contributions into the state managed fund, and block payments out of the state managed fund to LHNs and other provider organisations.

Note: The grey shaded areas in these tables reflect that these block payments cannot at this stage be identified by source of funding (state, territory or Commonwealth contribution).

NHR funding and payments shown in these tables include GST where applicable.

For more, see National Health Reform funding and payments.

NHR funding and payments by service category

Table 3 – NHR funding and payments by service category – Queensland, November 2017

This table shows NHR funding and payments by service category on both a monthly and year-to-date (YTD) basis for Queensland for November 2017. NHR funding and payments are separated into the following service categories – activity-based funding (ABF), block funding, and other funding.

Service category NHR
funding
NHR
payments
NHR
funding YTD
NHR
payments YTD
($) ($) ($) ($)
ABF
Acute admitted 499,543,314 499,543,314 2,535,795,785 2,535,795,785
Admitted mental health 42,191,828 42,191,828 214,677,091 214,677,091
Sub-acute 37,437,064 37,437,064 190,689,979 190,689,979
Emergency department 99,416,633 99,416,633 502,719,323 502,719,323
Non-admitted 101,057,481 101,057,481 513,393,232 513,393,232
Total ABF (Pool) 779,646,320 779,646,320 3,957,275,410 3,957,275,410
Block
Small rural hospitals 56,553,151 56,553,151 301,016,582 301,016,582
Teaching, training & research 25,703,216 25,703,216 139,367,065 139,367,065
Non-admitted mental health 32,530,583 32,530,583 173,174,785 173,174,785
Other non-admitted services 649,915 649,915 3,436,908 3,436,908
Total Block (SMF) 115,436,865 115,436,865 616,995,340 616,995,340
Other
Public health funding 6,459,271 6,459,271 32,296,356 32,296,356
Overdeposit 0 0 0 0
Cross-border 8,000,000 8,000,000 40,000,000 40,000,000
Interest 28,597 0 177,957 0
Total Other (Pool) 14,487,868 14,459,271 72,474,313 72,296,356
Grand Total 909,571,053 909,542,456 4,646,745,064 4,646,567,106

Total ABF (Pool) is an aggregate of both Commonwealth and state or territory NHR funding and payments for activity-based funding (ABF) which is transacted through the state pool account.

Total Block (SMF) is an aggregate of both Commonwealth and state or territory NHR funding and payments for block funding which is transacted through the state managed fund (SMF).

Total Other (Pool) represents other funding and payments transacted through the state pool account, including public health funding, overdeposits, cross-border funding and payments, and interest.

State and territory cross-border payments can either be:

  • Paid to the relevant state or territory's LHNs - included within ABF and/or block payments in the above table, or
  • Reimbursed to the relevant state or territory where the state or territory's LHNs are already being funded for the cost of treating cross-border patients - shown in the Cross-border row under Other in the above table.

NHR funding and payments shown in these tables include GST where applicable.

For more information, see National Health Reform funding and payments.

NHR contributions by local hospital network

Table 4a – NHR contributions by local hospital network – Queensland, November 2017

This table shows NHR contributions (from state, territory and Commonwealth sources) made to each LHN in Queensland during November 2017.

NHR contributions to LHNs are separated into an activity-based funding (ABF) component and a block component.

Local hospital network (LHN) ABF component
(ex GST)
Block component
(ex GST)
Total NHR payment
(ex GST)
($) ($) ($)
Cairns and Hinterland Hospital and Health Service 47,071,309 8,462,513 55,533,822
Central Queensland Hospital and Health Service 28,992,160 7,019,674 36,011,834
Central West Hospital and Health Service 0 2,355,804 2,355,804
Children's Health Queensland Hospital and Health Service 42,519,265 1,558,128 44,077,393
Darling Downs Hospital and Health Service 33,524,903 12,530,129 46,055,032
Gold Coast Hospital and Health Service 88,640,214 6,684,000 95,324,213
Mackay Hospital and Health Service 20,298,789 4,727,435 25,026,224
Mater Misericordiae Health Service Brisbane 32,084,126 874,877 32,959,003
Metro North Hospital and Health Service 156,154,129 13,175,335 169,329,464
Metro South Hospital and Health Service 138,330,997 14,641,157 152,972,154
North West Hospital and Health Service 6,341,631 3,157,824 9,499,455
South West Hospital and Health Service 0 5,414,618 5,414,618
Sunshine Coast Hospital and Health Service 68,613,980 4,825,551 73,439,531
Torres and Cape Hospital and Health Service 0 5,986,501 5,986,501
Townsville Hospital and Health Service 50,680,000 9,636,103 60,316,103
West Moreton Hospital and Health Service 27,458,158 9,822,412 37,280,570
Wide Bay Hospital and Health Service 35,728,246 4,477,316 40,205,562
Total 776,437,907 115,349,377 891,787,284

See explanatory notes below table 4b.

Table 4b – NHR contributions by local hospital network YTD – Queensland, November 2017

This table shows YTD NHR contributions (from state, territory and Commonwealth sources) made to each LHN in Queensland as at November 2017.

NHR contributions to LHNs are separated into an activity-based funding (ABF) component and a block component.

Local hospital network ABF component YTD
(ex GST)
Block component YTD
(ex GST)
Total NHR payment YTD
(ex GST)
($) ($) ($)
Cairns and Hinterland Hospital and Health Service 246,034,767 45,210,378 291,245,146
Central Queensland Hospital and Health Service 137,130,835 37,443,077 174,573,913
Central West Hospital and Health Service 0 12,539,315 12,539,315
Children's Health Queensland Hospital and Health Service 189,259,577 8,402,966 197,662,543
Darling Downs Hospital and Health Service 158,513,973 66,790,738 225,304,711
Gold Coast Hospital and Health Service 434,730,063 35,897,582 470,627,645
Mackay Hospital and Health Service 102,729,873 25,243,959 127,973,831
Mater Misericordiae Health Service Brisbane 174,335,586 4,743,726 179,079,313
Metro North Hospital and Health Service 826,028,832 70,709,930 896,738,761
Metro South Hospital and Health Service 714,745,227 78,399,983 793,145,209
North West Hospital and Health Service 34,762,374 16,829,128 51,591,502
South West Hospital and Health Service 0 28,820,567 28,820,567
Sunshine Coast Hospital and Health Service 347,110,046 25,869,414 372,979,460
Torres and Cape Hospital and Health Service 0 31,864,550 31,864,550
Townsville Hospital and Health Service 257,024,871 51,469,333 308,494,204
West Moreton Hospital and Health Service 140,429,852 52,370,313 192,800,165
Wide Bay Hospital and Health Service 177,005,976 23,916,009 200,921,984
Total 3,939,841,851 616,520,968 4,556,362,819

NHR contributions in this table are GST exclusive to enable comparability of NHR payments in each LHN report.

Note: This table excludes GST.
The majority of government funding to LHNs 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 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 (YTD) 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 5 – Estimated monthly, YTD and annual NWAU by local hospital network – Queensland, November 2017

This table shows estimated state or territory hospital activity for activity-based funding services expressed as NWAU for November 2017, the associated cumulative year-to-date (YTD), and total estimated annual NWAU for each LHN in Queensland.

Local hospital network (LHN) Estimated NWAU delivered in current month Estimated NWAU delivered YTD Estimated annual NWAU 2017-18
Cairns and Hinterland Hospital and Health Service 9,469 47,343 113,625
Central Queensland Hospital and Health Service 4,814 24,071 57,771
Children's Health Queensland Hospital and Health Service 6,148 30,740 73,777
Darling Downs Hospital and Health Service 6,556 32,781 78,672
Gold Coast Hospital and Health Service 15,855 79,277 190,266
Mackay Hospital and Health Service 4,084 20,423 49,013
Mater Misericordiae Health Service Brisbane 6,516 32,577 78,190
Metro North Hospital and Health Service 31,578 157,888 378,930
Metro South Hospital and Health Service 25,390 126,951 304,680
North West Hospital and Health Service 985 4,924 11,818
Sunshine Coast Hospital and Health Service 11,452 57,263 137,428
Townsville Hospital and Health Service 9,684 48,418 116,204
West Moreton Hospital and Health Service 5,359 26,794 64,309
Wide Bay Hospital and Health Service 6,594 32,968 79,123
Total 144,484 722,419 1,733,806

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.