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IHPA recognises the need for the pricing of public hospital services to respond in a timely manner to the introduction of new health technologies and innovations in models of care.
A jurisdiction may request IHPA to consider any legitimate and unavoidable costs in the delivery of public hospital services. The purpose of this Framework is to assist jurisdictions in making submissions to IHPA on this issue, to layout the process which IHPA will follow in assessing submissions, and the process to determine adjustments to the NEP.
IHPA has a role to investigate and make recommendations concerning cross-border disputes between states and territories, and to make assessments of cost-shifting disputes. This Framework outlines the processes to investigate these disputes following a request by a health minister to ensure the timely, equitable and transparent management of these disputes.
Governments agreed to establish the Independent Hospital Pricing Authority (the IHPA) to provide independent advice about the efficient cost of public hospital services. Much of this advice will be evidence‐ based, drawing on technical knowledge and expertise about the classification, costing and funding of public hospital services. But, the IHPA must also balance a range of national policy objectives including improving the efficiency and accessibility of public hospital services.
The Independent Hospital Pricing Authority (IHPA) has commissioned the development of a comprehensive Pricing Framework for use in the implementation of activity based funding (ABF) for Australian public hospitals. This report is a short summary of the implementation options, together with selected consultation questions.