The Sudbury hospital board heard at its meeting Tuesday night that it's breaking even on the new provincial funding formula.

The annual funding a hospital receives is now more tightly tied to patient demographics.

The flow of tax dollars is also increasingly wired to how efficiently the hospital handles certain surgeries, such as knee and hip replacements, or how well it treats patients for specific conditions, including strokes and cataracts.

Joe Pilon, chief operating officer at Health Sciences North, said their funding hasn't gone up or down, but the new formula ensures that precious health care dollars are well spent.

"We're going to be doing valuable care with the money that we get,” he said.

“We haven't lost any money, we haven't really gained any money. It isn't just status quo. It isn't we're going to continue to operate the same old way. What the government trying to do is the best they can, with the resources they have."

The new hospital funding formula is expected to be fully in place by the end of next year.