This is page numbers 957 - 1026 of the Hansard for the 17th Assembly, 3rd Session. The original version can be accessed on the Legislative Assembly's website or by contacting the Legislative Assembly Library. The word of the day was going.

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Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

We are on page 8-30, 8-31, Health and Social Services, activity summary, grants and contributions, total grants and contributions, $69.941 million.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you. Page 8-32, Health and Social Services, information item,

community health programs, active positions. Are there any questions?

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Being none, page 8-33, Health and Social Services, information item, details of funding. Mr. Moses.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Alfred Moses

Alfred Moses Inuvik Boot Lake

Thank you, Mr. Chairman. I just want to point out here, the main estimates from 2011-12, 2012-13, for the Beaufort-Delta Health and Social Services Authority as well as Stanton Territorial Health Authority, they are both significant I think. One is just over $3 million and the other one is over $5 million. We discussed this earlier in previous discussions earlier today, but those are significantly high numbers. I just want to get confirmation whether the department will commit to addressing this issue that has been ongoing regardless of trends, but we need commitment that they will make commitments so we don’t continue to see these deficits as we move forward. Thank you, Mr. Chairman.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you, Mr. Moses. Minister Beaulieu.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Tom Beaulieu

Tom Beaulieu Tu Nedhe

Mr. Chair, we have agreed and we have agreement from all of the authorities that we will make deficit adjustments and that we will… The term alludes me right now but we will be taking money from authorities that have surpluses, and with the amount of money that each of the authorities that have surpluses are allowed to keep and then we will have the rest of the money moved around to put money where the deficits are greatest, make those adjustments. The plan at this time, if there continues to be deficits in Inuvik and Stanton, or in Beaufort-Delta, pardon me, and Stanton, we would continue to make those adjustments, moving money from other authorities.

Ultimately we are hoping to right the budgets to put the budgets in the right places so that we are not always making these foreseen adjustments so that we would try to work with the governance issue is one thing. The shared services, those are the type of things we wish to do in order to adjust the budgets to the appropriate budget in the future.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Alfred Moses

Alfred Moses Inuvik Boot Lake

Mr. Chair, I am going to put this out there. We have already practiced that policy once, where we took money from other authorities. We put into Stanton, so we put into Beaufort-Delta Health Authority. Sure, they weren’t very happy that because they are doing good practices they were to give up some of their budget. Looking into the future, knowing what just happened from history and that money that they would be not spending will go to another authority, they might just take the initiative to spend all of their money. What does the department have as a plan of action should there not be any surpluses in other authorities to move that money around? Thank you, Mr. Chairman.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you, Mr. Moses. Ms. DeLancey.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Debbie Delancey

Mr. Chair, first of all, the Financial Management Board has approved the change to the Surplus Deficit Policy for the authorities, so authorities now have a very limited cap of how much of a surplus they can accumulate. That will prevent the situation that the Member is concerned about from occurring.

Secondly, we continue to work with the authorities on the analysis of their structural deficits. We have been coming forward piece by piece for base adjustments to address those deficits. You have seen some of that money in this year’s budget. We are working with the authorities on, as the Minister said, a plan to right-size the budgets we hope within a period of five years through the sustainability initiatives the Minister has mentioned, through increases to the Canada Health Transfer that we will be in a situation where authorities are appropriately funded.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

June 6th, 2012

The Chair

The Chair Daryl Dolynny

Thank you, Ms. DeLancey. Moving with questions, we have Ms. Bisaro.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Wendy Bisaro

Wendy Bisaro Frame Lake

Thank you, Mr. Chairman. My questions are on the same line as Mr. Moses. I, too, am quite concerned about the deficits that the health authorities, particularly Stanton Health Authority and the Beaufort-Delta Health Authority have incurred over quite a recurring number of years. It may not have been on this Minister’s watch, but it has been a number of years that we have been hearing about we are going to look at the operation of these two hospitals. We are going to determine what they really need in terms of funding. We are going to fix it, but it hasn’t been fixed yet. I have to agree with Mr. Moses that the Minister said that we are going to take surpluses from one authority and we are going to use it for the ones that are in deficit. As he said, that has been done already. I don’t think that is any way that we can plan in order to get authorities on an even footing.

I really think that there needs to be, and I presume from the DM’s response that there is, some work being done to try and figure out just exactly how much money is needed at these authorities so that they can break even, what services and programs they should be providing and that they should be funded to that level. Again, it has been a long time coming. I don’t hear that it is going to be coming in any short order.

I was struck when we were discussing the numbers for NWT hospitals. There was a reference to the revised estimates for 2011-12 were almost $95 million and the estimates for 2012-13 is about $88 million, so we have a difference of some $7 million, and the explanation was that is the surplus that we moved from the authorities that had extra money

and we moved it into the ones that didn’t. But we are going to be left with a $7 million hole again in 2012-13. We know that it is costing us to run these hospitals more than what we fund them for. I have to ask the Minister – this has been asked of previous Ministers – what is the plan apart from, yeah, we’re looking at it? What is the plan and when is there going to be a definite plan and a solution to this problem of deficits within our health authority? Thank you.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you, Ms. Bisaro. Ms. DeLancey.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Debbie Delancey

Mr. Chair, the plan is rolling out. There is a plan. The plan involves some fairly detailed financial analysis. One of the challenges we have which Members have heard about before is that we have eight authorities with different financial systems. It makes it very difficult and time consuming to do the financial analysis. We continue to work with Stanton and Beaufort-Delta. In both hospitals there have been numerous management changes made that have resulted in savings and efficiencies. We continue to look at the potential for shared services. We are continuing to analyze specific cost-drivers such as some of the ones that Mr. Elkin mentioned earlier, particularly in the Beaufort-Delta region, hospital and staff costs, it is unfunded staffing costs.

As we get business cases developed, we have been bringing those forward to the Financial Management Board. We know there are some areas in our structural deficit that are going to require additional funding. For example, the physician budget at Stanton Hospital which, right now, is being funded in part… More than a $2 million shortfall is being funded through THSSI funding. When THSSI funding expires, we’ll need to deal with that. The reality is that we are not able to get additional funding in the base budget for these authorities until we can provide a persuasive business case to the Financial Management Board. So we recognize that this is not going to happen overnight.

The other missing piece is something that was recommended, touched on in the Auditor General’s report, which is the need to have a funding model for the authorities. That work is also going on, but these two pieces of work are integrated and, quite frankly, it’s not something that can be done in a short period of time.

We can certainly provide a committee with a summary, once again, with the adjustments that have been made. Some of the ongoing drivers for the structural deficits have been addressed. Others have not been addressed and we are continuing to look at those. That’s why we really are to a five-year plan, because we know we won’t have this work finished in the fiscal year, but we are chipping away at it. Thank you, Mr. Chair.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Wendy Bisaro

Wendy Bisaro Frame Lake

Thanks to the DM for that thorough explanation. I certainly would like to see what’s been done to date. I’d also like to see the cost-drivers that the department is anticipating attacking and going after. I would like to request that information, but would also like to request an update every six months on where things are at.

I think part of our problem is we see these numbers once a year and kind of freak out. It would certainly be helpful to us as Members if we realize that there’s, as you say, chipping away at the numbers and it’s gradually going down. So any information that we get, if it provides historical information as well as current information, that would also enable us to know whether or not progress is being made. Thank you. That’s all I have.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you, Ms. Bisaro. Page 8-33, Health and Social Services, information item.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Details of funding allocated to health and social services authorities. Any questions?

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you. Page 8-34, Health and Social Services, information item, lease commitments (infrastructure). Any questions?

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Thank you. Page 8-35, Health and Social Services, information item, lease commitments (infrastructure). Any questions?

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

Some Hon. Members

Agreed.

Consideration in Committee of the Whole of Bills and Other Matters
Consideration in Committee of the Whole of Bills and Other Matters

The Chair

The Chair Daryl Dolynny

Health and Social Services, information item, work performed on behalf of others. Any questions?