Qld Health finalises latest round of grants and service agreements

The re-design of the billion-dollar Queensland Health ‘grants’ allocation system, as directed by former Auditor-General Glenn Poole, has passed another milestone, with a further 244 projects assessed prior to the start of the 2013-14 financial year.

Health Minister Lawrence Springborg says the failed Labor system that paid everyone from Mater Health Services and the RFDS to small-scale self-help programmes had been replaced and new accountability measures implemented.

To address weaknesses, such as those exploited in the infamous case of the fake Tahitian Prince, genuine ‘grants’ were separated from service delivery contracts and priorities aligned with the objectives of Hospital and Health Service Boards and health goals described in the Blueprint for Better Healthcare in Queensland.

“In preparation for the July funding round, the department considered projects and agreements for which $75 million was paid in 2012-2013,” Mr Springborg said. 

“Of the total, 46 are classified as grants and 198 as contracts for the purchase of services. These separate categories dictate the applicable auditing and accountability provisions and facilitate improved transparency.”

Mr Springborg said 175 projects (paid approximately $64m in 2012-2013) will continue beyond 30 June 2013. He said the review process relied on an evidence-based assessment to ensure funding was directed to complement health resource allocation.

Another 27 grants (paid $2.6m in 2012-13) will receive a six-month extension while open offers for their future management are considered. The majority in this category are community self-care programs supporting people with specific chronic health conditions.

Twenty-five fixed-term projects (paid $3.8m in 2012-13) were scheduled to finish on 30 June 2013, and 13 (valued at $3.2m in 2012-13) will finish on June 30 and will not be renewed. 

Changes in this round will contribute $1.2m in recurrent savings to Queensland Health. A number of affected organisations will receive three-month pro-rata payments to allow them to finalise Queensland Health-funded services.

Four projects paid approximately $915,000 in 2012-2013 did not align with Queensland Health priorities and would be transferred to the Department of Communities, Child Safety and Disability Services.

Mr Poole’s review of Queensland Health funding allocations identified the need for new guidelines and accounting practices.

This ended a decade when almost $1 billion was allocated each year to non-government agencies without appropriate standards of accountability and oversight as expected by Queenslanders.

[ENDS] 4 June 2013
For further details, contact: Cameron Thompson 0407-585230