National report - July 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 July 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 July 2018, see State or territory reports.

NHR funding and payments

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

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

State/territory NHR funding NHR payments NHR funding
YTD
NHR payments
YTD
($) ($) ($) ($)
NSW 1,544,701,608 1,544,701,608 1,544,701,608 1,544,701,608
VIC 1,682,601,786 1,682,529,786 1,682,601,786 1,682,529,786
QLD 1,144,416,369 1,144,382,236 1,144,416,369 1,144,382,236
WA 216,144,001 192,322,222 216,144,001 192,322,222
SA 394,213,167 268,213,991 394,213,167 268,213,991
TAS 100,745,277 100,745,277 100,745,277 100,745,277
ACT 91,237,407 91,237,407 91,237,407 91,237,407
NT 99,179,064 99,178,036 99,179,064 99,178,036
Total 5,273,238,679 5,123,310,564 5,273,238,679 5,123,310,564

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 – July 2018

This table shows NHR funding by the source of funds for each state and territory for July 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 1,003,349,253 4,850,000 1,544,701,608
VIC 437,148,647 1,245,453,139 0 1,682,601,786
QLD 350,884,819 788,531,549 5,000,000 1,144,416,369
WA 186,143,993 30,000,008 0 216,144,001
SA 112,994,547 281,218,619 0 394,213,167
TAS 36,124,458 64,620,819 0 100,745,277
ACT 31,439,407 51,538,000 8,260,000 91,237,407
NT 22,819,703 76,359,361 0 99,179,064
Total 1,714,057,931 3,541,070,748 18,110,000 5,273,238,679

See explanatory notes following table 2b.

Table 2b – NHR funding by funding source for each state and territory YTD – July 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 July 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 536,502,355 1,003,349,253 4,850,000 1,544,701,608
VIC 437,148,647 1,245,453,139 0 1,682,601,786
QLD 350,884,819 788,531,549 5,000,000 1,144,416,369
WA 186,143,993 30,000,008 0 216,144,001
SA 112,994,547 281,218,619 0 394,213,167
TAS 36,124,458 64,620,819 0 100,745,277
ACT 31,439,407 51,538,000 8,260,000 91,237,407
NT 22,819,703 76,359,361 0 99,179,064
Total 1,714,057,931 3,541,070,748 18,110,000 5,273,238,679

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 – July 2018

This table shows NHR funding for each state and territory by funding type and source for July 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 453,528,441 687,716,169 0 1,141,244,610
Block 72,103,763 302,134,490 0 374,238,253
Other 10,870,152 13,498,593 4,850,000 29,218,745
Total 536,502,355 1,003,349,253 4,850,000 1,544,701,608
VIC ABF 378,989,717 1,089,617,635 0 1,468,607,352
Block 49,365,060 155,655,180 0 205,020,240
Other 8,793,871 180,324 0 8,974,194
Total 437,148,647 1,245,453,139 0 1,682,601,786
QLD ABF 305,531,876 663,135,154 0 968,667,030
Block 38,555,765 117,162,263 0 155,718,027
Other 6,797,179 8,234,132 5,000,000 20,031,311
Total 350,884,819 788,531,549 5,000,000 1,144,416,369
WA ABF 158,773,483 0 0 158,773,483
Block 23,821,772 30,000,000 0 53,821,772
Other 3,548,738 8 0 3,548,746
Total 186,143,993 30,000,008 0 216,144,001
SA ABF 95,703,493 275,000,000 0 370,703,493
Block 14,935,063 6,100,000 0 21,035,063
Other 2,355,991 118,619 0 2,474,611
Total 112,994,547 281,218,619 0 394,213,167
TAS ABF 29,825,437 34,472,199 0 64,297,637
Block 5,588,884 30,146,169 0 35,735,053
Other 710,137 2,451 0 712,588
Total 36,124,458 64,620,819 0 100,745,277
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 1,028 0 334,578
Total 22,819,703 76,359,361 0 99,179,064
Total ABF funding 1,471,671,303 2,820,051,741 0 4,291,723,044
Total Block funding 208,410,303 698,983,852 0 907,394,155
Total Other funding 33,976,325 22,035,155 18,110,000 74,121,480
Grand Total 1,714,057,931 3,541,070,748 18,110,000 5,273,238,679

See explanatory notes following table 3b.

Table 3b – NHR funding by funding type for each state and territory YTD – July 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 July 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 453,528,441 687,716,169 0 1,141,244,610
Block 72,103,763 302,134,490 0 374,238,253
Other 10,870,152 13,498,593 4,850,000 29,218,745
Total 536,502,355 1,003,349,253 4,850,000 1,544,701,608
VIC ABF 378,989,717 1,089,617,635 0 1,468,607,352
Block 49,365,060 155,655,180 0 205,020,240
Other 8,793,871 180,324 0 8,974,194
Total 437,148,647 1,245,453,139 0 1,682,601,786
QLD ABF 305,531,876 663,135,154 0 968,667,030
Block 38,555,765 117,162,263 0 155,718,027
Other 6,797,179 8,234,132 5,000,000 20,031,311
Total 350,884,819 788,531,549 5,000,000 1,144,416,369
WA ABF 158,773,483 0 0 158,773,483
Block 23,821,772 30,000,000 0 53,821,772
Other 3,548,738 8 0 3,548,746
Total 186,143,993 30,000,008 0 216,144,001
SA ABF 95,703,493 275,000,000 0 370,703,493
Block 14,935,063 6,100,000 0 21,035,063
Other 2,355,991 118,619 0 2,474,611
Total 112,994,547 281,218,619 0 394,213,167
TAS ABF 29,825,437 34,472,199 0 64,297,637
Block 5,588,884 30,146,169 0 35,735,053
Other 710,137 2,451 0 712,588
Total 36,124,458 64,620,819 0 100,745,277
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 1,028 0 334,578
Total 22,819,703 76,359,361 0 99,179,064
Total ABF funding 1,471,671,303 2,820,051,741 0 4,291,723,044
Total Block funding 208,410,303 698,983,852 0 907,394,155
Total Other funding 33,976,325 22,035,155 18,110,000 74,121,480
Grand Total 1,714,057,931 3,541,070,748 18,110,000 5,273,238,679

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 – July 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 226,861 226,861 2,722,327
VIC 184,586 184,586 2,215,000
QLD 155,500 155,500 1,866,000
WA 74,113 74,113 885,540
SA 47,300 47,300 595,071
TAS 13,461 13,461 151,628
ACT 11,471 11,471 158,697
NT 14,073 14,073 169,176
Total 727,363 727,363 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.