Community
12 June, 2024
Board chair speaks out on health service plan
TIMBOON and District Healthcare Service (TDHS) board chair Frank Carlus has provided an update on the state’s Draft Health Service Plan.
He said TDHS remained dedicated to working together for a healthy community.
“We are always prepared for our organisation and broader sector to evolve and change to best serve our communities and to ensure we are functioning safely and efficiently, Mr Carlus said in a statement to the community.
“There has been significant recent media coverage regarding health sector wide issues and how they may affect health services provided locally and across Victoria.
“Two separate matters have been reported either together or at around the same time which may be confusing to staff and the general community.
“Both matters involve actual or proposed change in the health sector both in terms of funding and structure.”
The first matter relates to finances in public health services.
Around one third of Victoria’s State Budget ($27.5 Billion in 2022-23) is spent in health care.
Mr Carlus said demand for health services continues to increase as does the cost of providing services – with costs at state level reported to have gone up 9.8 per cent every year for the past five years.
“TDHS is small compared to the rest of the sector, but like all Victorian Health Services, we have been asked to do our part in controlling healthcare expenditure,” he said.
“All Victorian Health Services have been asked to manage within our agreed budgets and submit a Financial Management Improvement Plan (FMIP) to reduce our costs by around five per cent over the next three years.
“The requirement is that savings should not impact direct patient and consumer services.
“TDHS is committed to responsible financial management, and we are constantly seeking to contain costs and work within our budget, so this request is in line with what we do already as an organisation.”
TDHS has submitted the requested FMIP and consistent with the request it does not involve the loss of any existing jobs or reduction in services.
The proposed FMIP has now been approved for implementation and will be incorporated into the 2024/25 budget.
The second matter involves the development of a Health Services Plan.
TDHS has participated in the process conducted by the Department appointed Expert Advisory Committee (EAC).
The EAC has now provided a report to the Department, and it will in due course be provided to the Government.
The report outlines two options for the Government to consider.
Option A: Strengthened partnerships -This would see formal partnerships established between existing health services, who would be collectively responsible for working together to deliver benefits to their regions.
Option B: Health service consolidations – This is about health services in a region being consolidated into a single entity for each Local Health Service Network. Existing health services would maintain their own visible leadership, Advisory Boards and existing identities and branding.
“TDHS has identified a strong preference for Option A: Strengthened Partnerships and the retention of local governance and has communicated our position to the Minister for Health and our local government Members of Parliament,” Mr Carlus said.
“TDHS has fed back that the EAC has taken an acute hospital centric view of the health service system.
“While this is very important TDHS’s role in the system as a small rural health service is focussed on the provision of low acuity inpatient services, including aged care, and local primary and community care services.
“These services are essential to the wellbeing of our community and complement services provided by partner organisations.
“TDHS is keen to see and be part of service system improvements that reduce inequity and improve consumer outcomes, but we do not believe this requires structural governance and management changes such as proposed in Option B: Health Service Consolidations.”