NZ Ministry of Health Web Page
Printed 11/26/2009 02:36:24 PM
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Population Based Funding
PBF online workspace
Population Based Funding (PBF) is an integral part of the New Zealand health sector. Under PBF, each District Health Board (DHB) is given a certain amount of health funding as determined by:
the DHB’s share of the projected New Zealand population, weighted according to the national average cost of the health services used by different demographic groups
an additional policy-based weighting for unmet need that recognises the different challenges DHBs face in reducing disparities between population groups
a rural adjustment and an adjustment for overseas visitors, each of which redistributes a set amount of funding between DHBs to recognise unavoidable differences in the cost of providing certain health and disability support services.
What does Population Based Funding cover?
Population Based Funding covers funding for all devolved services provided to a DHB's population. It includes funding for services provided to a DHB’s population by another DHB. It excludes funding for bad debts and new funding for primary health care organisations.
Some of the health services provided are based in other DHB districts. The Ministry manages the transfer of funding associated with the flow of patients between DHB districts. This flow between districts is referred to as an Inter District Flow (IDF).
When was Population Based Funding introduced?
Population Based Funding was introduced on 1 July 2003. Previously, DHBs were funded to provide hospital services and to administer contracts for providers who were based in their districts.
What is the Population Based Funding Formula?
The Population Based Funding Formula (PBFF) is an aggregate formula used to determine the share of funding to be allocated to different areas of the country, based on the population living in each area.
The PBFF does not determine the overall level of funding. The overall level of funding is determined by the Budget process based on Government spending priorities.
What are the aims of the Population Based Funding Formula?
The PBFF model is designed to distribute available funding fairly between DHBs, according to the relative needs of their populations and the cost of providing health services to meet those needs.
The PBFF gives each DHB the same opportunity for resourcing to respond to the needs of its population.
Population Based Funding online workspace
This online workspace is designed to bring together the Ministry and DHBs to work online as a group to confirm the 2006/07 IDF estimates.
Access is by username and password only. If you have access to this online workspace, you can
log in here
.
If you have a query about the Population Based Funding online workspace, please
email the webmanager@moh.govt.nz
Related information
Funding and health expenditure