Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

King talks funding with DHB chairs


King talks to DHB chairs about ways to work with funding

Health Minister Annette King has commended District Health Board chairs for many aspects of DHB performance in their first year of operation, but has told them it is “imperative” to ensure that “unprecedentedly high levels of funding” work effectively for the health sector.

At a conference of DHB Chairs in Wellington this week, Ms King signaled a new phase in the work of DHBs. “I want us to move on from the base we have established. The change will not be structural or financial, but will be behavioural.

“More than one out of every five tax dollars is now spent on health. Compared to other sectors we are a well-resourced sector. This makes it imperative to make what we’ve got work for us.”

Ms King said the key was to continue to be innovative about effectively managing DHB funding, and announced a series of practices that will be introduced from the beginning of 2003. “I expect these changes to result in boards working within their allocations, and getting maximum value from their spending”.

Planned changes include:

A national approach to prioritising capital expenditure. From next year, all significant capital projects will be considered alongside each other so that the best regional and national mix of health facilities is assured over time. Early payments to good performers for certain periods of the year. Waikato and South Canterbury DHBs, for example, will benefit from this approach. By receiving funding at the start of the month, not the end, they will have more flexibility and reduced interest payments (which can equate to millions of dollars over a six month period). Revising the way changes to health services are explored and approved. DHBs will have more flexibility and responsibility for adjusting the type or location of services to best meet community needs. Boards must meet national service coverage expectations and follow good process, such as consultation with clinicians. Using remaining money from the Health Funding Package announced in this year’s Budget to smooth the introduction to Population Based Funding.

“I’ll use that remaining money to move us towards Population Based Funding shares, in a way that gets most of you closer to a break-even point, so that you are working from a more credible funding base,” Ms King said.

In exchange, she expected DHBs to meet the requirement to operate within cost paths outlined in their District Annual Plans, and to enter collaborative arrangements to manage funding pressures such as referred services.

A revised monitoring framework will be introduced which has clear actions, tight timeframes for intervention and action, and very clear consequences. Any DHB with a deficit will have an action path negotiated with them that is accompanied by clear consequences.

Ms King noted that despite smoothing of the transition towards Population Based Funding, some large deficits would not be restored to break even. “I will work with DHBs in this category on a strategy that moves you along a clear track back to zero”.

The Minister commended DHB Chairs for their commitment to PHOs and for collaborative projects like the Pharmac Hospital Purchase Project, which will bring an estimated $10 million in savings over three years.

“I am also pleased with the latest figures on DHB expenditure, for the first quarter of the year, which are due to be released by Statistics NZ shortly. The figures show DHB spending is tracking better than forecast, a trend I expect to see continue throughout the year.”

Ms King said she planned to meet each chair individually in the New Year to discuss their plans to make operational changes work, and to discuss action they would take to ensure spending remained on a path to improvement.


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

KiwiBailed: KiwiBuild Head Officially Resigns

The head of Kiwibuild, Stephen Barclay has officially resigned from the role. In a statement issued on his behalf, it was announced that he would step down from today [Friday].

Housing Minister Phil Twyford's office said he would not be commenting on Mr Barclay's resignation as it was an employment matter. Last month, Mr Twyford confirmed that Mr Barclay had not been at work for a number of weeks. More>>

 

Welfare Stats: Rise In Hardship Numbers Shows Income Inadequacy

The latest Ministry of Social Development quarterly report show that a record number of people have received hardship assistance from work and income, with an additional 40,000 hardship payments made between September and December 2018, compared to the previous quarter of the same year... More>>

ALSO:

DHBs "Prepared": Junior Doctors Strike Again

The needs of acute patients will be met during tomorrow's junior doctor strike, a DHB spokesperson says... Almost 3000 junior doctors are expected to walk off the job, which will affect all DHBs apart from West Coast District Health Board. More>>

ALSO:

Gordon Campbell: On MBIE’s Social Media Scam

Given the ambit of MBIE’s work, almost any form of social activity could qualify as being part of MBIE’s brief, so the privacy threats posed by this training programme are extensive. The current oversight safeguards seem threadbare to non-existent. More>>

ALSO:

JusTrade: New Campaign For A 21th Century Trade Agenda

‘Critique is no longer enough. If anything is to really change, we need to step away from the existing framework and take a first-principles approach to rethinking what will work for the 21st century.’ More>>

Earlier:

Gordon Campbell: Thompson + Clark Are The Tip Of The Iceberg

How can we tell where and how any lines are being drawn? Oversight is not exactly robust. If it were, Thompson + Clark would have been out of contention for state security work ten years ago. More>>

Trainers: Taratahi Institute of Agriculture In Interim Liquidation

Taratahi employ 250 staff and this year has provided education to over 2500 students. Taratahi owns and manages 8 farms throughout the country. More>>

ALSO:

IPCA Report: Complaints About Deputy Commissioner Wallace Haumaha

The Authority has found that DC Haumaha acted improperly by approaching staff and others to provide information to support him to refute the allegations about his 2016 conduct, or solicited other staff to do so on his behalf... More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels