NLIS 3
January 10, 2003
(Health and Community Services)
(Labrador and Aboriginal Affairs)

 

Operational review of Health Labrador Corporation begins

An operational review of Health Labrador Corporation (HLC) will be carried out over the next three months. Health and Community Services Minister Gerald Smith, Labrador and Aboriginal Affairs Minister Ernie McLean, and Health Labrador Corporation Chair Jim Farrell made the announcement today.

HLC is one of two integrated health boards in the province. It provides hospital, nursing home, community and air transportation programs and services to over 24,000 people at eight sites throughout the region.

"Health Labrador Corporation faces a unique challenge in providing both health and community services to a population spread over a vast geographic area � a situation which heavily impacts on financial and operational management," explained Minister Smith. "In order to assist the corporation with its operations, both the board and government believe it is necessary to conduct an operational review of the organization. This review will identify efficiencies in the acute, transportation, and community sectors, develop a financial recovery plan, and make recommendations to facilitate a plan for the retirement of the corporation�s debt."

Mr. Farrell explained that the board welcomes the objective review of HLC�s operations. "Health Labrador Corporation faces many unique challenges and we are supportive of this review. We view this process as an opportunity for an independent examination of our operations, and we look forward to receiving the final report and recommendations."

The review is being conducted by the consulting firm of Deloitte and Touche and is expected to take three months to complete.

"The consultants have the experience necessary to undertake this project," said Minister McLean. "I am confident that their recommendations will provide a solid framework for the direction Health Labrador Corporation must take to achieve financial stability."

Media contact:
          Diane Keough, Health and Community Services, (709) 729-1377
          Bert Pomeroy, Labrador and Aboriginal Affairs, (709) 896-8668
          Boyd Rowe, Health Labrador Corporation, (709) 897-2349

2003 01 10                                        2:30 p.m.


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