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The purpose of the Alterations to the National Pricing Model Framework is to outline the guiding principles and consultative mechanisms that IHPA follows when proposing and implementing changes that materially impact the application of the national funding model.
As prescribed in Section 225 of the National Health Reform Act 2011, the objectives of the IHPA Work Program are to:
- set out IHPA’s work program for the coming year; and
- invite interested persons (including states and territories) to make submissions to the Pricing Authority about the Work Program up to 30 days after publication.
An extract of Section 225 of the Act is attached at Appendix 1.
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.