Otago Daily Times

Outsourced services over budget as SDHB tries to meet clinical demand

- MIKE HOULAHAN Health reporter mike.houlahan@odt.co.nz

THE Southern District Health Board slashed its spending on consultant­s and contractor­s by more than $700,000 in the past financial year.

However, that was partly offset by a hike in money spent on locums over the same period — from $6.1 to $6.4 million.

Figures released to the Otago Daily Times under the Official Informatio­n Act showed the SDHB spent $1.473 million on consultant­s and contractor­s in 201718, well down from $2.188 million the previous financial year.

There were big reductions in people being brought in to help with capital works (down $355,268) and IT (down $216,013), but the spend on outside assistance for planning and funding work shot up sharply, by $257,597 to just under $340,000.

Broadly, outsourced services were a major financial cost for the SDHB, which recorded a $21.4 million deficit in the past financial year.

The board’s 201718 annual report showed outsourced clinical services were $9.2 million over budget, and services from other DHBs were $1.1 million more than expected.

‘‘[This] reflected the outsourcin­g of services, including outsourced personnel working in our facilities to meet the demand for delivery of acute and elective services beyond the current capacity within the hospitals,’’ the report said.

Locums were an increasing cost for the SDHB in the past financial year, up $361,000 to total $6.463 million in 201718.

General medicine medical staff ($730,728) were the biggest individual cost, while cover for emergency department medical staff more than doubled, from $241,654 to $576,751.

Other notable contributo­rs were orthopaedi­c — down $100,000 but still $413,896 — and paediatric ($379,700).

Ophthalmol­ogy saw a sizeable jump from $321,527 to $453,331, which reflected the board’s efforts to cut a substantia­l wait ing list for eye operations.

‘‘We are pleased to report that we have significan­tly reduced the number of ophthalmol­ogy patients waiting longer than the clinically acceptable wait times, and have sustained zero waiting lists on the Southland site for several months,’’ the report said.

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