Page 2970 - Week 11 - Thursday, 22 October 1992
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MINISTER FOR HEALTH
LEGISLATIVE ASSEMBLY QUESTION
QUESTION No. 234
Woden Valley Hospital - Casemix Systems
Mrs Carnell - asked the Minister for Health:
In relation to the recent Industry Commission Report Exports of Health Services (December 1991) which revealed that the ACT has the lowest.level of incentive payment for the implementation of Diagnostic Related Group funding arrangements of any State or Territory in Australia, what measures are underway to commence funding on a casemix basis, and exactly when he expects the process to be complete.
Mr Berry - the answer to Mrs Carnells question is as follows:
Incentive package payments referred to by Mrs Carnell are provided under the Medicare Agreement. Up until 1990-91, these funds were available directly to the States and Territories to develop various aspects of casemix systems. In 1991-92, the Commonwealth retained these funds themselves for the development of a number of national casemix projects.
The ACT has taken advantage of those funds to establish a Casemix Development Unit at Woden Valley Hospital. A strategic plan for casemix development was developed last year and is now being implemented. Work is underway on a variety of patient activity and costing systems as well as an education program aimed at the ultimate users of casemix systems for management purposes. The ACT is also cooperating in a range of national initiatives from which it will ultimately benefit.
While we are making excellent progress in the development of casemix systems, we have made it clear to the Commonwealth that we are opposed to the use of casemix as a tool for the payment or allocation of Medicare funds to the States and Territories, area health organisations or individual hospitals. The Commonwealth has indicated its intention to move towards such payment systems during the course of the next Medicare Agreement. We will however, continue to promote the view that such systems should only be used.as an internal management tool to improve the efficiency of health systems and not as a means of allocating Commonwealth funding.
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