Page 4397 - Week 14 - Wednesday, 8 December 1993
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Two recommendations were made by the committee. The first was that the Government include in the Appropriation Bill estimates of expenditure based on forecasted parameters for the forthcoming year. The Government's response, which I am tabling today, indicates that the Government has already complied with this recommendation. The annual Appropriation Bill considered by the Assembly is set at the latest parameter adjustments for programs. In the Health program, for example, funding is now factored into the Health funding base to provide for the estimated change in public/private patient mix. I should add at this point that those estimates are set against a fluctuating mix because there are indications that the trend downwards is faster than was first expected. That is not surprising, because I think there is falling confidence in the private health insurance industry and the private hospital sector because the public sector continues to provide better quality services and a better range of services than does the private sector. I think there is growing confidence in the public sector, and that is one of the problems for the private insurance business.
The second recommendation was that ACT Health, in its periodic reports to the Minister for Health and the Legislative Assembly, report expenditure against budget, taking into account parameters used in the original budget and clearly identifying changes in trends and resulting budgetary impacts. In response to this recommendation, the Government notes that ACT Health's quarterly reports already detail budget performance as well as information on activity and quality measures. Information on the parameters used in the budget for wage and salary increases and the level of public/private patients will be included in the future. Changes in trends are identified and monitored throughout the year in the quarterly reports, and the budgetary impact will be assessed in the context of the overall financial management of Health.
In conclusion, Madam Speaker, I believe that the committee's report reflects the sound progress made within ACT Health in improving its financial management under Labor. There is no question about that. ACT Health is participating in a cooperative venture with other ACT government agencies to purchase and implement a replacement financial system. Other significant initiatives already taken to further improve financial management are soon to be implemented. They are the expansion of cost attribution to service delivery functions and the implementation of a clinical costing system which will enable greatly improved costing of outputs. Overall, I believe that the committee's report reflects the excellent progress made within ACT Health in improving its financial management.
Debate (on motion by Mrs Carnell) adjourned.
PAPERS
MR BERRY (Deputy Chief Minister): For the information of members, I present the National Road Trauma Advisory Council Annual Report 1992; the Bruce Stadium Trust Financial Statements 1992-93, together with the Auditor-General's report; the Occupational Health and Safety Council Annual Report 1992-93; and the Department of the Environment, Land and Planning Annual Report 1992-93, Volume 2, including the financial statements together with the Auditor-General's report, and the financial statements 1992-93 for the Office of Sport and Recreation, together with the Auditor-General's report.
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