National report - December 2018

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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 monthly and year-to-date (YTD) National Health Reform (NHR) funding and payments at an aggregated national level for December 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 December 2018, see State or territory reports.

NHR funding and payments

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

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,116,895,740 1,129,180,116 7,266,664,658 7,266,599,658
VIC 916,421,139 916,421,139 6,080,093,953 6,176,151,330
QLD 1,080,610,719 1,080,575,341 6,114,072,888 6,113,845,777
WA 471,934,949 471,934,941 2,317,563,049 2,317,563,001
SA 353,583,322 310,121,035 1,973,078,193 1,759,478,829
TAS 86,875,590 86,875,590 613,527,082 613,527,082
ACT 98,046,149 98,046,149 593,619,668 593,619,668
NT 98,970,631 98,969,597 594,449,094 594,442,901
Total 4,223,338,239 4,192,123,908 25,553,068,585 25,435,228,246

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 – December 2018

This table shows NHR funding by the source of funds for each state and territory for December 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 604,727,920 506,517,819 5,650,000 1,116,895,740
VIC 390,186,639 522,209,500 4,025,000 916,421,139
QLD 569,900,159 505,710,561 5,000,000 1,080,610,719
WA 190,901,368 281,033,581 0 471,934,949
SA 101,047,404 252,535,918 0 353,583,322
TAS 36,646,107 50,229,482 0 86,875,590
ACT 38,248,149 51,538,000 8,260,000 98,046,149
NT 22,611,264 76,359,367 0 98,970,631
Total 1,954,269,011 2,246,134,229 22,935,000 4,223,338,239

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – December 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 December 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 3,423,690,827 3,809,073,831 33,900,000 7,266,664,658
VIC 2,482,005,860 3,573,938,093 24,150,000 6,080,093,953
QLD 2,762,354,935 3,321,717,953 30,000,000 6,114,072,888
WA 1,131,136,083 1,186,426,966 0 2,317,563,049
SA 642,125,855 1,330,952,338 0 1,973,078,193
TAS 218,311,695 395,215,387 0 613,527,082
ACT 209,062,668 334,997,000 49,560,000 593,619,668
NT 136,292,901 458,156,193 0 594,449,094
Total 11,004,980,825 14,410,477,760 137,610,000 25,553,068,585

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 – December 2018

This table shows NHR funding for each state and territory by funding type and source for December 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 516,479,757 388,404,568 0 904,884,325
Block 77,567,272 100,493,101 0 178,060,373
Other 10,680,891 17,620,150 5,650,000 33,951,042
Total 604,727,920 506,517,819 5,650,000 1,116,895,740
VIC ABF 328,455,626 470,193,941 0 798,649,567
Block 52,454,035 51,869,376 0 104,323,411
Other 9,276,978 146,183 4,025,000 13,448,161
Total 390,186,639 522,209,500 4,025,000 916,421,139
QLD ABF 520,326,940 402,243,673 0 922,570,613
Block 42,823,393 95,231,509 0 138,054,903
Other 6,749,825 8,235,378 5,000,000 19,985,203
Total 569,900,159 505,710,561 5,000,000 1,080,610,719
WA ABF 160,612,703 265,477,927 0 426,090,630
Block 27,214,970 15,555,647 0 42,770,616
Other 3,073,694 8 0 3,073,702
Total 190,901,368 281,033,581 0 471,934,949
SA ABF 83,052,824 235,000,000 0 318,052,824
Block 15,689,462 17,266,778 0 32,956,241
Other 2,305,118 269,140 0 2,574,257
Total 101,047,404 252,535,918 0 353,583,322
TAS ABF 29,623,253 31,504,580 0 61,127,832
Block 6,322,050 18,724,903 0 25,046,953
Other 700,804 0 0 700,804
Total 36,646,107 50,229,482 0 86,875,590
ACT ABF 35,009,186 45,584,000 0 80,593,186
Block 2,632,513 5,954,000 0 8,586,513
Other 606,450 0 8,260,000 8,866,450
Total 38,248,149 51,538,000 8,260,000 98,046,149
NT ABF 20,487,282 24,526,583 0 45,013,865
Block 1,795,782 51,831,750 0 53,627,532
Other 328,200 1,034 0 329,234
Total 22,611,264 76,359,367 0 98,970,631
Total ABF funding 1,694,047,572 1,862,935,272 0 3,556,982,844
Total Block funding 226,499,478 356,927,064 0 583,426,542
Total Other funding 33,721,961 26,271,892 22,935,000 82,928,853
Grand Total 1,954,269,011 2,246,134,229 22,935,000 4,223,338,239

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – December 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 December 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 2,910,024,593 2,926,455,839 0 5,836,480,432
Block 449,013,103 777,768,421 0 1,226,781,524
Other 64,653,131 104,849,571 33,900,000 203,402,702
Total 3,423,690,827 3,809,073,831 33,900,000 7,266,664,658
VIC ABF 2,122,336,029 3,118,839,627 0 5,241,175,657
Block 305,457,284 445,059,006 0 750,516,290
Other 54,212,546 10,039,460 24,150,000 88,402,007
Total 2,482,005,860 3,573,938,093 24,150,000 6,080,093,953
QLD ABF 2,477,576,448 2,700,139,339 0 5,177,715,788
Block 244,137,473 572,151,503 0 816,288,976
Other 40,641,013 49,427,110 30,000,000 120,068,124
Total 2,762,354,935 3,321,717,953 30,000,000 6,114,072,888
WA ABF 958,158,561 1,044,823,826 0 2,002,982,387
Block 153,110,225 141,603,092 0 294,713,317
Other 19,867,297 48 0 19,867,345
Total 1,131,136,083 1,186,426,966 0 2,317,563,049
SA ABF 536,268,953 1,237,000,000 0 1,773,268,953
Block 91,873,575 92,666,778 0 184,540,353
Other 13,983,328 1,285,559 0 15,268,887
Total 642,125,855 1,330,952,338 0 1,973,078,193
TAS ABF 178,346,069 202,773,590 0 381,119,660
Block 35,732,804 192,436,568 0 228,169,372
Other 4,232,822 5,228 0 4,238,050
Total 218,311,695 395,215,387 0 613,527,082
ACT ABF 190,847,379 292,996,000 0 483,843,379
Block 14,695,819 38,701,000 0 53,396,819
Other 3,519,469 3,300,000 49,560,000 56,379,469
Total 209,062,668 334,997,000 49,560,000 593,619,668
NT ABF 123,598,591 147,159,500 0 270,758,091
Block 10,709,058 310,990,500 0 321,699,558
Other 1,985,252 6,193 0 1,991,444
Total 136,292,901 458,156,193 0 594,449,094
Total ABF funding 9,497,156,624 11,670,187,722 0 21,167,344,346
Total Block funding 1,304,729,342 2,571,376,869 0 3,876,106,211
Total Other funding 203,094,859 168,913,169 137,610,000 509,618,028
Grand Total 11,004,980,825 14,410,477,760 137,610,000 25,553,068,585

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 – December 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 1,361,164 2,722,327
VIC 184,586 1,107,516 2,215,000
QLD 155,500 933,000 1,866,000
WA 71,015 450,695 885,540
SA 53,103 301,576 595,071
TAS 13,041 80,123 151,628
ACT 12,905 74,597 158,697
NT 13,601 83,989 169,176
Total 730,611 4,392,660 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.