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The Pricing Framework for Australian Public Hospital Services 2020-21 (the Pricing Framework) is the key strategic document underpinning the National Efficient Price (NEP) and National Efficient Cost (NEC) Determinations for the financial year 2020-21.
IHPA has issued the Pricing Framework prior to releasing the NEP20 and NEC20 Determinations, which will be publicly available in March 2020, with the intention of providing an additional layer of transparency and accountability.
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.
This Framework outlines the processes to investigate cross-border and cost-shifting disputes following a request by a health minister to ensure the timely, equitable and transparent management of these disputes.
The Impact of New Health Technology Framework (the Framework) outlines the process by which IHPA, via its Clinical Advisory Committee (CAC), will monitor and review the impact of new health technologies on the existing classifications in order to accurately account for them in the pricing of public hospital services.
In consultation with the CAC, IHPA will:
As prescribed in Section 225 of the National Health Reform Act 2011, the objectives of the IHPA Work Program are to:
The Pricing Framework 2018-19 builds on the six Pricing Frameworks from previous years. The Pricing Framework is the key strategic document underpinning the National Efficient Price (NEP) and National Efficient Cost (NEC) Determinations for the financial year 2018-19.
As prescribed in Section 225 of the National Health Reform Act 2011 (the Act), 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.
The Pricing Framework 2017-18 builds on the Pricing Frameworks from previous years (2012-13, 2013-14, 2014-15, 2015-16, 2016-17). For simplicity, where IHPA has reaffirmed a previous principle, the supporting argument has not been restated in this year’s paper.