CDHB boss hits back at Treasury

Canterbury District Health Board (CDHB) chairman Mark Solomon has rejected a scathing attack on him and CDHB management by Treasury officials.

Treasury documents published on its website this week included pre-May Budget advice to the nation’s Finance and Health Ministers that was highly critical of the CDHB.

They accused the board’s staff of manipulating the public to ‘‘leverage’’ more public funds and said board members were unable ‘‘or unwilling’’ to bring management into line.

The document release follows revelations the CDHB is facing a $61 million deficit for the current financial year.

Solomon said ‘‘analysts based in Wellington’’ had not attempted to understand the challenges Canterbury was facing.

‘‘I would suggest they walk a mile in our shoes before making assumptions.’’

The release of the documents ‘‘without the courtesy of advance notice’’ and containing personal attacks ‘‘only serves to further undermine my confidence that Canterbury DHB is getting a fair hearing’’, Solomon said.

He reaffirmed the board’s commitment to reducing expenditure but said that was not possible until the new hospital building was up and running.

‘‘Our position is not whether further reduction in expenditure can be achieved without disruption to patient care – it’s a debate about when a further reduction can be achieved.’’

The Ministry of Health had failed to provide appropriate postdisaster funding but continued to apply population estimates that quickly became outdated, he said.

Treasury’s own data showed Canterbury’s share of New Zealand’s population had grown while its portion of health funding had shrunk.

In 2017-2018, the CDHB received

‘‘I would suggest they walk a mile in our shoes before making assumptions.’’ CDHB chairman Mark Solomon

10.8 per cent of DHB funding, while its population grew to 11.6 per cent of New Zealand.

That was despite an increase in the older and Maori populations, evidenced in Statistics New Zealand population data.

Solomon said the CDHB had made significant productivity improvements and cost savings due to ‘‘deliberate strategies implemented by our senior management and clinical teams’’.

It made Treasury’s claims about a lack of financial discipline hard to understand, he said.

He also rejected Treasury comments downplaying the region’s mental health demands.

‘‘The fact that Canterbury people are more able to access support, as stated by Treasury, doesn’t negate the reality that there is higher need in the post-quake environment.’’

Demand for services had grown up to 100 per cent for child and adolescent services since the earthquakes.

Solomon said the board had taken last year’s financial review by PwC seriously and the suggested efficiency saving had been ‘‘factored into the budget for next year’’. ‘‘It’s important to note that PwC didn’t say Canterbury DHB could break even – they took the Ministry of Health advice that it was possible – and none of their modelling suggested it could be achieved in two years.’’

Canterbury’s poor treatment by the ministry over funding had ’’appropriately’’ not been raised with media as part of a concerted strategy, as Treasury officials claimed, but had emerged ‘‘over time’’ due to use of the Official Information Act, Solomon said.