The removal of these partnership agreements is consistent with the jury`s recommendation to review and reduce their number.  Legislation is not necessary. Recommendation 22 that the ACT government explore the potential to establish uniform contractual instruments with the community sector where possible. The budget announced that the hospital funding model agreed in the Rudd government`s 2011 National Health Reform Agreement (NHRA) expires from July 2017.  The NRHA, approved by all jurisdictions, determines the joint funding of public hospitals by the Commonwealth and the states and territories. Other countries, including New South Wales and Western Australia, are considering longer-term funding arrangements to ensure longer-term security, with the VA recently extending the term to five years.  Activity-based funding includes hospital funding based on activity level. It requires setting an effective price for services. This price is set by the Independent Hospital Price Authority.
The Commonwealth and the states pool their contributions into the National Health Funding Pool, which then makes payments. Some smaller regional hospitals continue to receive bulk funding. One of the characteristics of the contractual relationship between the ACT government and the community sector is the consistency of the instruments that support this relationship. While uniformity is often the friend of reducing bureaucracy and can be sought after, it is not always the solution. Services using the VCFA must ensure that eligible organizations meet the above requirements before executing a funding agreement for children`s services. More information is available on the ministry of justice and community safety website. The budget also announced the termination of the National Partnership Agreement for the Improvement of Public Hospital Services (NPAIPHS) from July 2015. Under the NPAIPHS, states and territories are receiving funding to improve access to electoral surgery, emergency care and sub-treatment. Funding includes both facility payments and bonuses for achieving agreed objectives. The budget announced that the rewards for emergency care and election surgery will be suspended from July 2015. Some $30.7 million was provided to states and territories in 2013/2014.  It is out of breath with savings of $201.1 million over three years.
There are currently 54 organizations funded between $100,000 and $400,000 per year for a total value of $11.2 million, or about 8% of total sector funding.