Health (National Health Funding Pool and Administration) Act 2013

This ACT law sets up the machinery for how the ACT receives and spends Commonwealth money for public hospitals under the National Health Reform Agreement.

What it does:

• Creates a national health funding pool – a special bank account (the 'state pool account') held at the Reserve Bank of Australia where Commonwealth and ACT hospital funding is deposited.
• Appoints an Administrator – an independent officer (jointly appointed by all States and the Commonwealth) who calculates how much the Commonwealth owes, advises the Commonwealth Treasurer on payments, and makes payments out of the pool account based on directions from the ACT Minister.
• Establishes a state managed fund – a separate account for 'block funding' (fixed amounts for services not paid per patient) and teaching/research funding, managed by the ACT Director-General.
• Sets transparency rules – requires monthly and annual public reporting on where the money goes, plus audits by the ACT Auditor-General.

Who it affects:

• Patients – indirectly, by ensuring hospital funding flows properly.
• Local hospital networks – they receive the money from these accounts.
• The Administrator – a key independent officer with specific appointment/removal processes involving all jurisdictions.