Waikato Times

New probe in DHB scandal

- AARON LEAMAN and FLORENCE KERR

The Waikato DHB will launch an independen­t probe into its controvers­ial multimilli­on-dollar virtual health app.

Senior hospital executives will meet on Friday to draft terms of reference for the review into SmartHealt­h ahead of a DHB workshop in early November.

The move follows new allegation­s former Waikato health boss Nigel Murray attempted to close down any future investigat­ions into SmartHealt­h.

Murray abruptly resigned as Waikato District Health Board chief executive on October 5 after an investigat­ion found evidence of unauthoris­ed spending.

The board accepted Murray’s resignatio­n on the basis he repays the funds owed – estimated to be less than $50,000.

It is understood that Murray, through his lawyers, asked for any investigat­ions into SmartHealt­h not proceed but the DHB refused.

The probe into SmartHealt­h is expected to start before Christmas.

Hospital spokeswoma­n Lydia Aydon didn’t know if the workshop, set up to finalise the probe’s terms of reference, would be open to the public.

The health board rolled out its virtual health app in 2016 with the aim of giving people access to doctors via a smartphone, tablet, or computer.

As of early October, 8760 people had registered with SmartHealt­h. Health officials hope to have 20,000 patients signed up to the app by the end of 2018.

The SmartHealt­h initiative is no stranger to controvers­y with allegation­s the majority of those signed up to the app were DHB employees and the project itself was given the green light based on incomplete paperwork.

The Waikato DHB has repeatedly refused to reveal the total costs of its virtual health project, citing commercial sensitivit­ies.

To date, the health board has spent an estimated $17 million on the project, including staffing and advertisin­g.

The virtual health app was purchased from United States-based health company HealthTap in July

2015.

In a report to be presented to board members today, Waikato DHB interim chief executive Derek Wright said the contract with HealthTap expired in May

2018.

As part of the decision-making around renewal of the contract,

‘‘The feedback that we got was there was no other platform at that time that was capable of delivering what the organisati­on was looking for in spite of what others are claiming otherwise.’’

Bob Simcock

Wright said it was necessary to undertake a review of SmartHealt­h and ‘‘where we have got to’’.

In October, the Waikato Times revealed Waikato DHB members allegedly signed off on the app in 2015 based on an incomplete onepage business plan.

DHB board chairman Bob Simcock said he could not recall the meeting but believed a number of documents were presented at the meeting.

Simcock said the board did its due diligence before signing off on SmartHealt­h.

‘‘It’s not a product, it’s a strategy that involves an intention to use technology to give patients access to healthcare that for various reasons they are currently not getting. That maybe remoteness, financial – maybe a bunch of things like that. Part of the strategy has been built off the platform of HealthTap,’’ he said.

‘‘The feedback that we got was there was no other platform at that time that was capable of delivering what the organisati­on was looking for in spite of what others are claiming otherwise.’’

SmartHealt­h was originally pitched as a six month trial in 2016 but was later launched as a two year pilot. Simcock believed the strategy was a success, but said the review may result in a change of platform.

‘‘I’ve always said that the technology platform we would review after two years to see what else is out there, to see what else has happened in the technology world. We as a result would make a decision about whether the platform stays the same or we change that.’’

As part of its research into virtual health, the Waikato DHB spent $91,893.52 between November 2014 and June 2016 on travel to California. Murray spent $18,239 on an unspecifie­d number of trips to California.

Meanwhile, Hamilton-based Labour MP Jamie Strange said he has contacted the Health Ministry, asking to be briefed on the outcome of the review into Murray’s spending.

Audit New Zealand is currently completing a review of the DHB’s management of the chief executive’s expenditur­e.

‘‘As the local MP I certainly want to be kept up-to-date about this,’’ Strange said.

Asked if he had an opinion on whether Simcock should step down as chairman, Strange declined to comment.

 ?? PHOTO: TOM LEE/STUFF ?? Waikato DHB’s virtual health app SmartHealt­h was launched in 2016 (file photo).
PHOTO: TOM LEE/STUFF Waikato DHB’s virtual health app SmartHealt­h was launched in 2016 (file photo).

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