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March 20, 1997
(Health)


Government Maintains Funding to Health Programs and Services

Government has not only fulfilled its commitment to maintain health spending at current levels, but new money has been allocated to address key areas of need said Health Minister Lloyd Matthews today following the release of the 1997/98 provincial budget. "In the last provincial budget, government committed to stable funding for the health system. This marks the second year of a three year budget plan for the delivery of health services in the province," said the minister. "Health spending continues to be the largest expenditure of any government department. Preservation and protection of health services is government's highest priority."

New initiatives to improve and enhance health services were also announced in this year's budget. "Funding of $2.6 million for recruitment and retention of rural doctors has been allocated in this budget," said the minister. "Doctor shortages in rural areas of the province have traditionally been a problem given the geography and population of Newfoundland and Labrador. The new money is one component of a comprehensive long term plan for physician resources in rural Newfoundland," said Mr. Matthews.

"We have also identified an additional $2.5 million for the purchase of new medical equipment throughout the regional institutions boards, while local hospital foundations will raise funds to match government's contribution. In Central Newfoundland, local service groups and organizations have pledged to raise the necessary funds to purchase equipment for renal dialysis. Government will fund the cost of operating this service in the region, approximately $400,000 for this fiscal year. This is an excellent example of government and community partnerships."

Some redevelopment projects will move forward this year including plans for a new hospital in Labrador. Funding has also been allocated to begin work on replacing the Harbour Breton Hospital with a new facility. In Gander, funds have been allocated to enclose the James Paton Memorial Hospital expansion and to begin re-programming and design as outlined in the Central Newfoundland Health Services Review.

"A prescription monitoring program to ensure appropriate usage of prescription drugs will also be implemented this fiscal year," said the minister. "A monitoring program will identify individuals who obtain excessive quantities of certain prescription drugs, often for the purpose of selling them."

The upcoming year marks the beginning of an extensive planning process for government. Community health boards will broaden their mandate over the next year to offer some services currently provided by the Department of Social Services. This will result in a better coordinated service delivery system for the community, however, this transition will require a great deal of planning before being complete by the end of this fiscal year. In the interim, the community health sector will receive a funding increase of $2 million, as emphasis shifts from the institutions to the community sector. This funding increase was announced in the previous provincial budget.

Contact: Jill Sooley, (709) 729-1377.

1997 03 20 5:50 p.m.

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