Health board to be dumped
Health Minister Dr David Clark has given Waikato DHB Board two weeks to come up with a reason why he shouldn’t fire its members and replace them with with a commissioner.
But the board could go with barely a fight as its chair says a commissioner is needed to sort the embattled health provider. The ultimatum comes as Clark said he is seriously dissatisfied with their performance.
Waikato DHB chair Sally Webb received her letter from the Minister at 2.20pm yesterday and isn’t surprised with the ultimatum.
‘‘I don’t think it’s a surprise to anybody, I think we have all been aware that currently, we are not meeting the Minister’s expectations. And I think it probably won’t be a surprise to many people in the community.
‘‘Personally I believe the appointment of a Commissioner is the right move to ensure the Waikato District Health Board has trusted and focused leadership so it can address the challenges it faces,’’ Webb said.
The Board has tuntil May 3 to formally respond.
The move has been a long time brewing with the fiasco over freespending former chief executive Nigel Murray, who departed after revelations of unmonitored spending and the resignation of chairman Bob Simcock, followed by a sea of red ink in the DHB’s finances. Clark said the step was not being taken lightly, but he had grown increasingly concerned by Waikato DHB’s deteriorating financial position, instability at a governance and leadership level, and ongoing performance issues.
‘‘Ongoing connection between the DHB and the local community is obviously important and so, if a Commissioner is appointed they would be required to maintain robust arrangements to ensure community and iwi engagement continues.
‘‘I have made it clear to all DHBs that financial performance needs to improve and they need to demonstrate they have a pathway to return to financial sustainability. I know it is challenging after years of underfunding, however, New Zealanders deserve access to highquality services which deliver equitable outcomes.
‘‘Waikato’s financial performance has continued to deteriorate. In
2017/18 they reported a deficit of $37.2 million, and they are forecasting a $56.1 million deficit for
2018/19 with increasing deficit forecasts in future years. ‘‘Despite best efforts by the Crown Monitor who was appointed in August 2018, there has been limited progress due to instability at the governance and leadership level.
‘‘Concerns remain following the 2017 independent inquiry into the chief executive which led to the resignation of both the chair and the chief executive.
Recent improvements have stalled with the board’s decision to put the chief executive recruitment on hold.
‘‘No further public comment will be made while the process is underway and I have had the opportunity to consider submissions from Board members before making a final decision,’’ Clark said.
Webb understood that the Commissioner appointment would mean the demolishing of the current board and is aware it’s happened in other areas before.
‘‘Southern (DHB) currently have commissioners, Hawke’s Bay previously had them.’’
The board has also been embroiled in strife with its own member Dave MacPherson, who has been fighting for mental health service improvements following the death of son Nicky Stevens in DHB care.
‘‘But there is no denying that there the publicity and the public disagreements which have been present for quite a while in this current board has been detrimental in the board providing trusted leadership that is needed,’’ said Webb.
But Macpherson said any ‘dissension’ Webb spoke about ‘‘has arisen directly from the public fuss caused by DHB leadership (not the board) over her decision to try and overturn the Coroner’s findings from the inquest into the death of my son . . . that public fuss caused CEO job applicants to withdraw their applications leading to the board stopping the process halfway through.
He said appointing a commissioner wouldn’t do anything about the deficit.
The board would meet informally tonight to discuss the letter followed by a formal meeting sometime after Easter.