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Providers of residential care still funded

4 January 2008

Media Statement

Please attribute this statement to Mr David Chrisp, Manager, Business Support, Health and Disability National Services Directorate

Providers of residential care for disabled persons continue to receive funding from the Ministry of Health. Only further contract rate increases for residential care had been postponed. This action was taken to manage unbudgeted growth in costs related to residential care, which constitutes 40 per cent of the total disability support budget.

Many providers will have received extra funding through the ongoing review and reassessment of their clients. The budget situation will be reviewed in the second half of financial year 2007/08.

ENDS

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