Rural Northwest Health report, July 2013

Print friendly version (PDF, 236 kB)

In this report

This report includes the following table:

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 the National Health Reform (NHR) payments made by Victoria to Rural Northwest Health for July 2013.

Rural Northeast Health is a multi-campus rural health service providing healthcare to the people of the Wimmera Mallee region in north western Victoria. See Rural Northwest Health 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). 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 local terminology to describe these networks, such as local health districts, health organisations, and public health or hospital services.

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

Block funded LHNs

This report reflects that this LHN is exclusively block funded. Block funding is a system of funding public hospital functions and services as a fixed amount based on population and previous funding. Many small hospitals are entirely block funded, often having fluctuating activity that would result in unpredictable revenue if funded on the basis of activity.

Reference information

The data in this report can be viewed in conjunction with information shown on the MyHospitals website ( (external link, opens in a new window) [] which provides information on hospitals throughout Australia.

The financial information outlined in this report represents NHR payments. NHR payments are 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 Victoria.

For the basis of NHR payments, see the Basis for National Health Reform payments explanation in the Victoria report, July 2013.

For the basis of the Commonwealth contribution to NHR funding, see Basis of Commonwealth NHR funding 2013-14.

NHR payments to Rural Northwest Health

Table 1 – NHR payments – Rural Northwest Health, July 2013

This table shows total NHR payments from contributions provided by the Commonwealth and Victoria to Rural Northwest Health by service category for July 2013 and year-to-date (YTD).

Service category Total NHR payments
(ex GST)
payments YTD
(ex GST)
($) ($) ($) ($)
Small rural hospitals * * * *
Non-admitted mental health * * * *
Teaching, training & research * * * *
Other non-admitted services * * * *
Total Block payments (SMF) 1,132,000 0 1,132,000 0

* Victoria has advised it is unable to provide payment information by service category as its 2013-14 service agreements with LHNs do not set separate budgets at that level.

Total Block payments (SMF) represents NHR payments made by Victoria from the state managed fund (SMF) to the LHN.

Payments in these tables are GST exclusive. 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.

Rural Northwest Health public hospitals and service providers

Rural Northeast Health is a multi-campus rural health service providing healthcare to the people of the Wimmera Mallee region in north western Victoria.

For the purposes of NHR public hospital funding arrangements, this LHN is made up of the following public hospitals and service providers:

  • Rural Northwest Health - Beulah
  • Rural Northwest Health - Hopetoun
  • Rural Northwest Health - Warracknabeal