Hospital board threatened with sack over ailing budget, poor governance
In a rare move, Health Minister Yvette DāAth has issued a show cause notice to the North West Hospital and Health Service Board.
The board governs state-run health services in north-western Queensland and the Gulf of Carpentaria. It is based in Mount Isa and reports to the Minister, under structures set up by a previous government.
But DāAth today revealed concerns around āgovernance and financial managementā at NWHHS had led her to threaten the nine-member board with the sack.
It comes after the NWHHS came close to maxing out an extraordinary line of credit provided by Treasury.
āThe action I have taken today asks the Board to show cause as to why they should not be dismissed and an Administrator appointed,ā DāAth said in a statement.
āEnsuring the delivery of sustainable health services to the North West Queensland community is a priority.ā
DāAth did not give any further details, other than to acknowledge the work of Paul Woodhouse, who is retiring as chairman of the board after 10 years. Other board members have also left in recent months.
In its last annual report, the NWHHS did not refer to any major financial concerns, other than an operating deficit which is not unusual for services of the kind.
āThe North West HHS executive is working closely with the Department of Health to develop and implement a range of multi-year strategies to address the underlying deficit, recognising there are complex financial challenges in operating remote hospital and health services in western Queensland,ā the report states.
āThe strategies incorporate improvements in revenue streams as well as ensuring efficiency and effectiveness is achieved in areas of expenditure.ā
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A previous report from the Queensland Audit Office, tabled in February, found the NWHHS was one of two services given board advisors to ādeliver operational efficiencies in response to their financial resultsā.
However, the NWHHS was the only service to have drawn on an overdraft facility provided by Treasury ā up to $3.35 million at the end of last financial year, out of a total limit of $4 million.
It came as the NWHHS struggled with the impact of the pandemic, where travel restrictions were compounded by biosecurity cordons around indigenous communities, hampering the movement of staff.
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