National report - August 2018

Print friendly version (PDF, 318 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 at an aggregated national level for August 2018.

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 2018-19 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 August 2018, see State or territory reports.

NHR funding and payments

Table 1 – NHR funding and payments for each state and territory – August 2018

This table shows NHR funding and payments for each state and territory for August 2018.

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,069,405,801 1,069,405,801 2,614,107,409 2,614,107,409
VIC 868,789,408 868,861,408 2,551,391,194 2,551,391,194
QLD 974,969,226 974,931,718 2,119,385,595 2,119,313,954
WA 246,873,847 269,871,425 463,017,848 462,193,646
SA 322,495,529 328,129,825 716,708,695 596,343,817
TAS 128,632,896 128,630,123 229,378,174 229,375,400
ACT 91,237,407 91,237,407 182,474,814 182,474,814
NT 99,179,068 99,178,036 198,358,132 198,356,073
Total 3,801,583,181 3,830,245,743 9,074,821,860 8,953,556,307

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.

NHR funding by funding source

Table 2a – NHR funding by funding source for each state and territory – August 2018

This table shows NHR funding by the source of funds for each state and territory for August 2018.

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 536,502,355 526,453,445 6,450,000 1,069,405,801
VIC 437,148,647 423,590,761 8,050,000 868,789,408
QLD 350,884,819 619,084,407 5,000,000 974,969,226
WA 186,143,993 60,729,853 0 246,873,847
SA 112,994,547 209,500,981 0 322,495,529
TAS 36,124,458 92,508,438 0 128,632,896
ACT 31,439,407 51,538,000 8,260,000 91,237,407
NT 22,819,703 76,359,365 0 99,179,068
Total 1,714,057,931 2,059,765,250 27,760,000 3,801,583,181

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – August 2018

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 August 2018.

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 1,073,004,711 1,529,802,698 11,300,000 2,614,107,409
VIC 874,297,295 1,669,043,900 8,050,000 2,551,391,194
QLD 701,769,639 1,407,615,956 10,000,000 2,119,385,595
WA 372,287,987 90,729,861 0 463,017,848
SA 225,989,095 490,719,600 0 716,708,695
TAS 72,248,916 157,129,258 0 229,378,174
ACT 62,878,814 103,076,000 16,520,000 182,474,814
NT 45,639,406 152,718,726 0 198,358,132
Total 3,428,115,861 5,600,835,998 45,870,000 9,074,821,860

NHR funding shown in these tables includes GST where applicable.

NHR funding by funding type

Table 3a – NHR funding by funding type for each state and territory – August 2018

This table shows NHR funding for each state and territory by funding type and source for August 2018. 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 453,528,441 443,304,237 0 896,832,677
Block 72,103,763 61,701,957 0 133,805,720
Other 10,870,152 21,447,251 6,450,000 38,767,403
Total 536,502,355 526,453,445 6,450,000 1,069,405,801
VIC ABF 378,989,717 368,222,852 0 747,212,569
Block 49,365,060 55,077,616 0 104,442,675
Other 8,793,871 290,294 8,050,000 17,134,165
Total 437,148,647 423,590,761 8,050,000 868,789,408
QLD ABF 305,531,876 510,499,243 0 816,031,119
Block 38,555,765 100,347,655 0 138,903,420
Other 6,797,179 8,237,508 5,000,000 20,034,687
Total 350,884,819 619,084,407 5,000,000 974,969,226
WA ABF 158,773,483 27,970,764 0 186,744,247
Block 23,821,772 32,759,082 0 56,580,853
Other 3,548,738 8 0 3,548,746
Total 186,143,993 60,729,853 0 246,873,847
SA ABF 95,703,493 195,000,000 0 290,703,493
Block 14,935,063 14,300,000 0 29,235,063
Other 2,355,991 200,981 0 2,556,973
Total 112,994,547 209,500,981 0 322,495,529
TAS ABF 29,825,437 34,225,872 0 64,051,309
Block 5,588,884 58,279,793 0 63,868,677
Other 710,137 2,773 0 712,910
Total 36,124,458 92,508,438 0 128,632,896
ACT ABF 28,606,607 45,584,000 0 74,190,607
Block 2,266,093 5,954,000 0 8,220,093
Other 566,706 0 8,260,000 8,826,706
Total 31,439,407 51,538,000 8,260,000 91,237,407
NT ABF 20,712,248 24,526,583 0 45,238,832
Block 1,773,904 51,831,750 0 53,605,654
Other 333,550 1,032 0 334,582
Total 22,819,703 76,359,365 0 99,179,068
Total ABF funding 1,471,671,303 1,649,333,550 0 3,121,004,852
Total Block funding 208,410,303 380,251,853 0 588,662,156
Total Other funding 33,976,325 30,179,847 27,760,000 91,916,173
Grand Total 1,714,057,931 2,059,765,250 27,760,000 3,801,583,181

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – August 2018

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 August 2018. 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 907,056,881 1,131,020,406 0 2,038,077,287
Block 144,207,525 363,836,448 0 508,043,973
Other 21,740,304 34,945,844 11,300,000 67,986,148
Total 1,073,004,711 1,529,802,698 11,300,000 2,614,107,409
VIC ABF 757,979,434 1,457,840,486 0 2,215,819,920
Block 98,730,119 210,732,796 0 309,462,915
Other 17,587,742 470,617 8,050,000 26,108,359
Total 874,297,295 1,669,043,900 8,050,000 2,551,391,194
QLD ABF 611,063,752 1,173,634,397 0 1,784,698,149
Block 77,111,529 217,509,918 0 294,621,447
Other 13,594,358 16,471,640 10,000,000 40,065,998
Total 701,769,639 1,407,615,956 10,000,000 2,119,385,595
WA ABF 317,546,967 27,970,764 0 345,517,730
Block 47,643,544 62,759,082 0 110,402,625
Other 7,097,476 16 0 7,097,492
Total 372,287,987 90,729,861 0 463,017,848
SA ABF 191,406,986 470,000,000 0 661,406,986
Block 29,870,125 20,400,000 0 50,270,125
Other 4,711,983 319,600 0 5,031,583
Total 225,989,095 490,719,600 0 716,708,695
TAS ABF 59,650,874 68,698,071 0 128,348,945
Block 11,177,768 88,425,962 0 99,603,730
Other 1,420,273 5,225 0 1,425,498
Total 72,248,916 157,129,258 0 229,378,174
ACT ABF 57,213,214 91,168,000 0 148,381,214
Block 4,532,187 11,908,000 0 16,440,187
Other 1,133,413 0 16,520,000 17,653,413
Total 62,878,814 103,076,000 16,520,000 182,474,814
NT ABF 41,424,496 49,053,167 0 90,477,663
Block 3,547,808 103,663,500 0 107,211,308
Other 667,101 2,059 0 669,160
Total 45,639,406 152,718,726 0 198,358,132
Total ABF funding 2,943,342,605 4,469,385,291 0 7,412,727,896
Total Block funding 416,820,606 1,079,235,705 0 1,496,056,311
Total Other funding 67,952,650 52,215,002 45,870,000 166,037,652
Grand Total 3,428,115,861 5,600,835,998 45,870,000 9,074,821,860

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.

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 – August 2018

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 2017-18
NSW 226,861 453,721 2,722,327
VIC 184,586 369,172 2,215,000
QLD 155,500 311,000 1,866,000
WA 79,519 153,632 885,540
SA 57,291 104,591 595,071
TAS 13,435 26,896 151,628
ACT 11,600 23,182 158,697
NT 14,033 28,105 169,176
Total 742,824 1,470,299 8,763,439

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.