However, SDHB chief executive Chris Fleming has warned the board, which meets tomorrow that getting the organisation, which recorded a deficit of $85.8 million in the past financial year, back into the black would be easier said than done.
"These expectations are going to be extremely difficult to achieve," he said.
"Our current annual plan had a $10.9 million deficit, reducing to break-even in 2021-22.
"However, there are four specific issues which had not been anticipated at that stage which are ongoing Holiday Act implications (estimated at $7.5 million), accelerated depreciation on Dunedin Hospital (estimated), introduction of Matariki as a public holiday (estimated at $1 million), and further expectations from Care Capacity Demand Management (CCDM) which is still being quantified."
All health boards are sent an annual "Letter of Expectations" by the minister, and DHBs — which racked up a combined gross deficit of just over $1 billion in the past financial year — are usually enjoined to do better financially.
"Strong fiscal management is critical to support our collective ability to invest more in new models of care and in primary care and population prevention approaches."
The SDHB was told late last year that it was now projected to record a $15.7 million deficit.
A financial report to be considered by the board tomorrow said it recorded a surplus of $2 million in January, almost as per budget, but for the year to date it has a $10.9 million deficit, having planned to be $3.6 million in the red.
Mr Little said the pace of implementation of CCDM — a safe staffing accord agreed to in 2018 as part of the settlement of the employment contract between nurses and DHBs — should be accelerated.
"I want to be clear that full implementation of CCDM includes annual full-time equivalent calculations and ensuring agreed budgeted nursing and midwifery FTE are in place," Mr Little said.
Mr Fleming said the SDHB had made significant investment in nursing and midwifery staffing in the past two years.
"However, we continue to see challenges in matching resource to demand."
Mr Fleming said this year the region would hire its largest intake yet of 93 new nurses, 64 of whom would be employed by the DHB.
Those graduate nurses had to complete six weeks of working alongside an instructor before becoming a part of the rostered workforce.
"We, therefore, hope to see some improvement in resourced beds from mid-March following this six-week period, and a second smaller cohort commences in April."
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Little would do better to make sure the DHBs were properly funded. Even better, make the secretive funding formulas transparent then we can all see how we are being short changed.
So you demand to be in the 'black" which means services cut, longer waiting lists, more people die. Thanks, Stuart Little
"Health Minister Andrew Little has demanded that the cash-strapped Southern District Health Board break even in the next financial year" so it's all about money and not peoples lives eh, pretty typical of this govt.
Note the lack of comments about patient need, or heaven forbid, unmet need. Perhaps Mr Little would like to try and get his hip replaced in Otago / Southland? New health minister - same chant of “spend less” we’ve had for 20yrs. The only thing this can mean is less provision of care.
Easy-peasy. Hire more admin & managers, treat fewer patients.
Agreed - it's madness. A solution: Replace professional managers who like big meetings and hiring more layers of managers ... with ... Professional doctors and senior health professionals, who have later trained in management or get something akin to an MBA for health professionals! So they actually have empathy, they actually understand what really goes on, what the real pressure points are, what is really needed.
Wrong funding model. Doesn't account for our vast geographical area, the need for many expensive facilities for people in remoter areas. The model disadvantages New Zealanders living in the South. Result = death and disability for many otherwise "productive" and "tax-paying, profitable" New Zealanders. Every life is precious. Many, many precious lives are lost in the South fully due to lack of funding, lack of resources, over-stretched staff (exhausted or not enough of them on duty). Those deaths are hidden, not in any statistics. Criminal. Every day funding is causing tragedies that are breaking and traumatizing Southern families (and harming our region's $$ productivity, due to untimely death and disability of "productive" workers). Directly due to our criminal funding model.
Don't forget this shower want to build a new hospital in Dunedin down to a price so it won't be big enough or fit for purpose. The bottom line is that Labour knows it will always get the votes in Dunedin no matter how inept the MPs are, so no pressure to fund us properly.
It would be great if nurses currently didnt have to work through legally allowable meal breaks and do non paid overtime as it is !
So, when will the Government show us the funding formula that has failed the South for so long? Instead of spending money on more roads, how about putting economy boosting money into the care of the people of this country? This is more of the same market-esque approach to healthcare that has failed us so completely since the 1980s. Disappointing to say the least.
Right, You lazy lot of citizens!!
You heard the man!
No more accidents, cancers, or pregnancies will be allowed until the hospital meets it's budget.
So, whatever you have planned...If it involves going to Dunedin Public, you can just forget it!...Right?!
Carry on.