Go to top of page

GOVERNANCE

Our governance and management practices play an integral role in ensuring the Administrator and NHFB deliver on our NHR Agreement responsibilities, strategic objectives and statutory obligations.

The NHFB is subject to legislation, regulations, standards and guidelines applicable to our status as a non-corporate entity under the PGPA Act and the PGPA Rule.

We are also subject to both Commonwealth, State and Territory legislation when assisting the Administrator to fulfil their obligations under the NHR Act and Agreement.

NHFB Executive Committee  The CEO Three Section Directors Assistant Directors from each Section

Executive Committee

The Executive Committee (see “Leadership team” on pages 22-24, for profiles) is our internal decision making forum which provides advice and recommendations to the CEO on strategic direction, key initiatives, agency policies, as well as immediate and emerging issues.

Risk, Assurance and Governance Committee

The Risk, Assurance and Governance Committee (RAGC) provides assurance to the CEO, Executive Committee and the Independent Audit and Risk Committee on the adequacy, effectiveness and performance of our governance arrangements including:

  • Risk management (including fraud control);
  • Compliance and control;
  • Audit and assurance;
  • Information governance;
  • Security; and
  • Business continuity.

The RAGC is comprised of the following members:

  • Chair (currently the Director Policy, Planning and Performance);
  • CFO;
  • Director Data, Modelling and Analysis;
  • Risk Manager; and
  • Enterprise Information Architect.

The RAGC met four times in 2019-20:

  • 10 September 2019
  • 6 November 2019
  • 11 March 2020; and
  • 16 June 2020.

Key area of focus for the RAGC in 2019-20 included:

  • Risk (including Risk Tolerance Statement, critical controls, performance reporting, and risk review);
  • Payments System Internal Controls Framework;
  • Records Authority;
  • Data Governance;
  • Financial Delegations and Accountable Authority Instructions;
  • Procurement and contract management; and
  • Digital Continuity 2020 policy.

Workplace Consultative Committee

The Workplace Consultative Committee (WCC) is our consultative body for communication, consultation and employee participation in the management of Work Health and Safety, including all HR policies and procedures;

The WCC is comprised of the following members:

  • Chair (currently the Director Policy, Planning and Performance);
  • CFO;
  • Director of Data; Modelling and Analysis;
  • Human Resource Manager;
  • Health and Safety Representative; and
  • Employee Representative.

The WCC met four times in 2019-20:

  • 21 August 2019;
  • 2 October 2019;
  • 28 February 2020; and
  • 28 May 2020.

Key area of focus for the WCC in 2019-20 included:

  • Workforce Capability;
  • Workforce Diversity;
  • Learning and Development;
  • Recruitment, Selection and Probation Guidelines; and
  • COVIDsafe.

Independent Audit and Risk Committee

The NHFB's independent Audit and Risk Committee (ARC) in an integral component of our corporate governance and a valuable source of independent advice for the CEO. In providing advice, the ARC reviews and comments on the appropriateness of the NHFB’s:

  • Performance reporting;
  • Financial reporting;
  • System of risk oversight and management; and
  • System of internal control.

The ARC also provides advice to the CEO and Administrator on the operation, management and financial reporting of the Pool. The ARC is not responsible for the executive management of these functions.
The ARC met five times in 2019-20:

  • 5 August 2019;
  • 25 September 2019;
  • 22 November 2019;
  • 12 March 2020; and
  • 25 June 2020.

The ARC comprises of four independent Members, including the Chair. Members taken collectively, have a broad range of skills and experience relevant to the operations of the NHFB, including the functions of the Administrator. Full details on the functions of the ARC are available at publichospitalfunding.gov.au.

AUDIT COMMITTEE MEMBERS 2019-20
CAROL HOLLEY – CHAIR (APRIL 2013 – PRESENT)

Ms Holley is a Non-Executive Director of the Australian Nuclear Science and Technology Organisation (ANSTO), and the Chair of its Audit and Risk Committee. She is also the Independent Chair of numerous committees in NSW. Ms Holley is a member of various Audit and Risk Committees, including of the NSW Mental Health Commission and the Australian Taxation Office.

Ms Holley is a Chartered Accountant and a Fellow of the Australian Institute of Company Directors.

Ms Holley attended five NHFB ARC meetings in 2019-20 and was remunerated $21,999 for the 2019-20 financial year.

JEREMY CHANDLER – MEMBER (JANUARY 2016 – PRESENT)

Mr Chandler had an extensive career at Senior Executive level within the Commonwealth across a number of agencies.

He is now Director of Business WIDE Consulting Support P/L, a Senior Advisor to Nous Group and an Associate with Executive Intelligence Group. He is also Deputy Chair for each of the ACT Health Directorate and for Canberra Health Services Audit and Risk Committees. He is also a member of the Audit and Risk Management Committees for the Australian National University and the Australian Communications and Media Authority.

Mr Chandler leads major program and project Gateway reviews on behalf of the Commonwealth Department of Finance.

He is a Fellow of CPA Australia (FCPA), a Fellow of the Institute of Management and Leadership (FIML), a member of the International Coach Federation (ICF) and a Member of the Institute of Public Administration Australia.

Mr Chandler attended five NHFB ARC meetings in 2019-20 and was remunerated $350 per hour.

ADJUNCT PROFESSOR CHRIS BROOK – MEMBER (JUNE 2019 – PRESENT)

Professor Chris Brook currently sits as Chair of the Clinical Trials Project Reference Group (Commonwealth Department of Health) and Chair of the Australian Commission on Safety and Quality in Health Care Clinical Trials Governance Framework Steering Committee.

Professor Brook is also an Adjunct Professorial Fellow with Monash University and a member of the National Blood Authority Advisory Board.

Mr Brook attended four NHFB ARC meetings in 2019-20 and was remunerated $1,725 per meeting.

KEN BARKER – MEMBER (APRIL 2013 TO SEPTEMBER 2019)

Mr Barker has more than 40 years’ experience in public sector management and finance, previously working for NSW Police, the former Public Works, Corrective Services and NSW Health.

Mr Barker is currently Deputy Chair of the Justice Health and Forensic Mental Health Network Board, Chair of Mid North Coast LHD Audit and Risk Committee and a Board Member for the NSW Agency for Clinical Innovation and the BSW Clinical Excellence Commission.

Mr Barker is a Fellow of the Institute of Public Accountants and a graduate member of the Australian Institute of Company Directors. He was awarded the Public Service medal in 2002.

Mr Barker attended two NHFB ARC meetings in 2019-20 (prior to his term ending in September 2019) and was remunerated $2,500 per meeting.

Audit and Assurance

In 2019-20, audit and assurance functions were provided by a combination of internal and external resources to provide assurance to the CEO that the NHFB’s risk management, governance and internal control processes are operating effectively.
Key 2019-20 activities:

  • External assurance of the CCM;
  • NWAU calculations were independently reviewed and assured;
  • National Health Funding Pool Payments System IRAP;
  • National Health Funding Pool Internal Controls Framework;
  • National Health Funding Pool Special Purpose Financial Statements;
  • National Health Funding Body Financial Statements; and
  • Pre and post pay reviews.

In 2020-21, we will further streamline our annual audit and assurance plan, ensuring coverage of our core functions, including:

  • external assurance review of the CCM including the integrity of the methodology, formulas and inputs;
  • external assurance review of the completeness and accuracy of the NWAU calculation;
  • assurance review of the Payments System Control Framework and proposed actions by independent reviewer;
  • National Health Funding Pool Special Purpose Financial Statements;
  • National Health Funding Body Financial Statements;
  • Privacy;
  • Risk Management;
  • Cyber Security; and
  • Fraud control (payroll, credit cards, procurement).
EXTERNAL SCRUTINY

During 2019-20, there were no reports on the operations of the NHFB including:

  • Judicial, tribunal or Australian Information Commissioner reviews;
  • Auditor-General, Parliamentary Committee or Commonwealth Ombudsman inquiries; or
  • External capability reviews.
Freedom of Information

The Freedom of Information Act 1982 (The FOI Act) gives members of the public a right to access copies of documents, other than exempt documents, that we hold. However, the NHFB can refuse access to some or part of those documents that have an exemption under the FOI Act.

FOI information is available on our website publichospitalfunding.gov.au/freedom-information

In 2019-20, there was zero FOI requests and zero Internal Review Requests received by the NHFB.

Fraud Control

Consistent with Section 10 of the PGPA Act and the Commonwealth Fraud Control Policy, the NHFB’s Fraud Control Plan puts in place a comprehensive program that covers prevention, detection, investigation and reporting. In 2019-20, the NHFB did not detect or report any suspected or actual instances of fraud.

CERTIFICATION OF FRAUD CONTROL ARRANGEMENTS

I, Shannon White, certify that I am satisfied that for 2019-20, the NHFB has:

  • Prepared a fraud control plan and associated fraud risk assessments;
  • Appropriate fraud prevention, detection, investigation and reporting mechanisms that meet NHFB’s needs; and
  • Taken all reasonable measures to appropriately deal with fraud relating to the NHFB.

Shannon White
Chief Executive Officer
National Health Funding Body