interpret the budget and provide summary in 500 words by reflecting the understanding of budgeting principles. the summary needs to include comparison of 2019/20 to 2018/19. suggest areas where activity can be either increased or decreased.

1 Volume Forecast 2017/18 (NWAU18) 83,170 15,490 24,319 123,379 9,398 831 10,028 7,210 4,498 Total 11,708 Nepean Blue Mountains LHD. Budget 2018/19 2018/19 BUDGET Comparative Data D E F G H Volume LHDISHN 2017/18 Target Volume (Admissions & State Price Projected Initial Budget Annualised Variance Initial Variance (NWAU18) and Annualised Attendances) per NWAU18 Average Cost 2018/19 (5000) Budget 099 Indicative only (5000) per NWAU18 (5000) Acute Admitted 85,479 83,807 $394,207 $376 244 $17,963 Emergency Department 16,348 130,494 $4,713 $4,622 $75,388 $71.880 $3,508 Non Admitted Patients (including Dental) 25,717 486,780 $118,558 $109.947 $8,610 Total 127,545 701,130 $588,153 $558.071 $30,081 5.4% Sub-Acute Services - Admitted 9.610 3.189 $44,336 $42.517 $4,622 $1,819 54,713 Sub-Acute Services - Non Admined $2,916 $2,855 $60 B Total 10,241 3,189 $47,252 $45,372 $1,879 4.1% Mental Health - Admitted (Acute and Sub-Acute) 7,383 2,396 $34,067 $32.619 $1,438 Mental Health Block Funded Hospitals $336 $329 $4,713 $7 $4,622 Mental Health - Non Admitted 4,650 106,436 $27,890 $26.668 $1,223 Mental Health - Classification Adjustment $1,437 $1.408 $30 12,033 108,832 $63,721 $61,023 $2,698 4.4% Block Funding Allocation Block Funded Hospitals (Small Hospital) $2,962 $2.901 $61 Block Funded Services In-Scope - Teaching, Training and Research 520,829 $20.397 $432 D Total $23,791 $23,298 $493 2.1% E State Only Block Funded Services Total $61,700 $60,430 $1,279 2.1% Transition Grant (excluding Mental Health) and RSC G Gross-Up (Private Patient Service Adjustments) $15,409 $15,090 $319 2.1% Provision for Specific Initiatives & TMF Adjustments (not included above) Data Improvement Project $750 HAC Improvement Project $350 Leading Better Value Care Program Support Transition $250 Purchasing Adjustors (incl Hospital Acquired Complications) -$973 Health Share Accelerated Savings Program $628 Election Commitment. Additional Nursing, Midwifery and Support positions $355 Electricity escalations 5577 ICT escalation (Intra Health) $1,507 New parents and children initiatives $334 H $2.522 $2,522 | Restricted Financial Asset Expenses $2,940 $2.949 J Depreciation (General Funds only) $25,156 $25,156 K Total Expenses (K=A+B+C+D+E+F+G+H+l+) $830,662 $791,390 $39,272 5.0% L Other Gain Loss on disposal of assets etc $524 5524 M LHD Revenue -5813,742 -$772.343 -$41,399 N Net Result (NK.L.M) $17,445 $19,572 -$2,127 General Note: ABF growth is funded at 90% of the State Price for all business as usual activity and new builds or new capacity has continued to be funded at the full State Price Part of the Acute, ED and Subacute Admitted transition grant has been used to fund growth (see Schedule C glossary) Schedule C Part 1 Total Comparative Data G H Variance Initial and Annualised ( 5000) Variance 199 2018/19 Annualised Budget (5000) $398.479 $78,841 $128.552 $605,871 $47.024 $3.039 $50,063 $36 647 586 $31.110 $67.844 4.6% Volume Forecast 2018/19 (NWAU19) 82.747 16.377 26.717 125,841 9.766 631 10.397 $14,441 $3.978 $9,510 $27 929 $2.006 $68 $2,074 $917 52 $1.267 $2,186 7,608 4.765 12373 Total $2.851 $64 Part 1 Nepean Blue Mountains LHD - Budget 2019/20 2019/20 BUDGET B D Volume LHDISHN Target Volume (Admissions & State Price Projected Initial Budget (NWAU19) Attendances) per NWAU19 Average Cost 2019/20 (5000) Indicative only per NWAU19 Acute Admitted 84,168 84 822 $412920 Emergency Department 16,947 136.747 $4.925 $4,927 $82 819 Non Admitted Patients including Dental) 28,426 516.772 $138.062 Total 129,542 738 341 $633.800 Sub-Acute Services - Admitted 10,012 3.469 $49,030 $4,925 Sub-Acute Services - Non Admitted 631 34,927 $3.107 B Total 10,643 3,469 $52,137 Mental Health Admined (Acute and Sub-Acute) 7,633 2.307 $37.564 Mental Health - Block Funded Hospitals $4,925 $4,927 588 Mental Health - Non Admitted 4,912 84,892 $32,377 12,545 87.198 $70,029 Block Funding Allocation Block Funded Hospitals (Small Hospitals) $2.915 Block Funded Services In-Scope - Teaching, Training and Research $23,094 Total $26.000 E State Only Block Funded Services Total $37929 Recognised Operational Cost (ROC) $288 Transition Grant (excluding Mental Health) and ROC $288 G Gross-Up (Private Patient Service Adjustments) $18.042 Provision for Specific Initiatives & TMF Adjustments (not included above) Data Improvement Project $500 Leading Better Value Care Program $350 Other Block Growth and Purchasing Adjustors $1.024 WHIN regional school nurses $138 Mobile dental dinics $2.206 2015 Election Commitment - Additional Nursing, Midwiferyand Support positions $105 Procurement Savings -$1.259 Efficiency dividends 2019-20 $957 H Total $59 Restricted Financial Asset Expenses $2.949 Depreciation (General Runds only) $31.799 K Total Expenses (A+B+C+D+EF+G+HeldJ) $873.041 L Other - Gain Loss on disposal of assets etc 5524 M LHD Revenue -$848.221 N Net Result (N.K+LM) $25,344 General Note: ABF growth is funded at 77% of the State Price Part of the Acute, ED and Subacute Admited transition grant has been used to fund growth (see Schedule C glossary) Schedule C Part 1 $22.588 $25,438 $37,097 $506 $570 $832 2.2% 2.2% $281 $17.647 $6 $396 2.2% 2.2% $59 $2.949 $34,051 4.1% $31.799 $838.989 5524 -$811,857 $27657 -$36,364 -52,313