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Hospitals get funding boost from province
by Carlye Malchuk
Apr 16, 2008
As Muskoka Algonquin Healthcare (MAHC) continues to grapple with a $1.5-million deficit, the provincial government announced Sunday that Ontario’s hospitals would be receiving $667.2 million in additional funding this year.

“Hopefully the end result of this announcement will be some good news for health care generally and hospitals,” said MAHC CEO Barry Lockhart.

According to the press release, the North Simcoe Muskoka Local Health Integration Network (LHIN), under which MAHC falls, will receive a 4.5 per cent increase over last year’s funding.

“Part of the increase is the normal funding increase that the ministry provides to all the hospitals,” explained LHIN board chair Ruben Rosen. “There are two other parts to (the funding). One is . . . targeted to specific growth areas and hospitals that are experiencing lots of pressure because of growth and the third part is for the wait list reduction, so it’s to perform certain procedures which would reduce wait lists in the area.”

Rosen said LHIN staff is currently working on how this region’s share of the new funds will be split, but said numbers won’t be available until after the board approves funding allocation sometime next week.

“All we have now is the total for the LHIN, which is an increase of 4.5 per cent,” he said.

When asked whether there are hospitals in the region that are in need of funds to help deal with growth, Rosen replied that most hospitals in the region are experiencing some growth, “but some are experiencing more than others.”

Rosen declined to get into specifics until after the funding allocation numbers are announced.

In terms of MAHC, Lockhart told this newspaper he has no idea what the organization will receive, but said any help is welcome.

In late February, MAHC was able to cut $500,000 out of its projected deficit after hiring consultants HCM Group Inc. to help find efficiencies in its operations.

Since that time, however, it has been trying to reduce the remaining $1.5-million projected deficit for the 2008/2009 operating year.

Terry Dyni, MAHC communications officer, told this newspaper that in the fall, the organization was given a 2.84 per cent base increase in operational funding.

Susan French, corporate co-ordinator and communications lead for the LHIN said the new money will be in addition to that original funding increase.

Although it is not known at this time what funding will go where, Lockhart confirmed that MAHC would be receiving $147,900 under the provincial wait time strategy.

“But that’s not to address existing problems. That’s to do work that’s beyond your normal volume, and if you don’t do the work you return the money,” he explained.

Lockhart said the funds would be to improve wait times for procedures such as cataract surgery and CT scans.

According to an LHIN press release issued Monday, the funds will go to the Huntsville District Memorial Hospital and South Muskoka Memorial Hospital sites. In total, the North Simcoe Muskoka LHIN received $4.5 million in funding for the local wait time strategy.