HOSPITAL MERGER

Bay of Plenty Beacon, Volume 9, Issue 51, 12 March 1946, Page 5

HOSPITAL MERGER

BAY OF PLENTY AREA •i , AMALGAMATION WITH WAIKATO

'THREE PROPOSALS DISCUSSED

(Special to Beacon) Proposals for re-organising the hospital districts embracing Waikato, Rotorua, Tauranga, Whakatane and Opotiki were discussed at a conference attended by representatives of the Waikato Hospital Board, the Bay of Plenty Hospital Board, and the Whakatane County and Borough Council, held in Hamilton on Thursday. Three projects were discussed. The first was the amalgamation of the Waikato and Bay of Plenty Hospital Board Districts; the second was the amalgamation of the Waikato, Tauranga, Bay of Plenty and Opotiki Hospital Board Districts, and the third was the formation of a new district, taking over the Rotorua and Taupo Hospitals from the Waikato .Board, and the Tauranga, Whakatane and Opotiki Hospitals, each of the latter being at present administered by separate Boards. Mr J. Price, chairman of the Waikato Hospital Board, presided.

A statement was submitted by Mr A. C. Burgess* Secretary of the Waikato Hospital Board, showing the effect of amalgamation of the Waikato and Bay of Plenty Hospital Board Districts. The capital value •of the two districts was £48,696,568 for the Waikato and £3,146,195 for the Bay of Plenty. The local body levies were £77,337 and £12,049, the Government subsidies £70,531 and £14,808 r .the rate of maintenance subsidy levied 17/11 and 25/2 in the pound, and the rate of capital and maintenance levy in the pound on the rateable capital value .381 d and .919 d. On amalgamation the rate of maintenance subsidy in the pound levied would be 18/11, and the rate of capital and maintenance levy per pound on rateable capital value would be .413 d. Detailed Figures

Details of the position should the Waikato, Tauranga, Opotiki and Bay of Plenty Hospital Boards be amalgamated Were as follows: Total capital value £59,134,933; total local body levies £103,698; total Government subsidies £99,722. The rate of the maintenance subsidy and the rate of the capital and maintenance levy per pound on the rateable capital values were: Waikato 17/11, 0.381 d; Tauranga 20/9, 0.51 d; Opotiki 17/11, 0.345 d; Bay of Plenty 25/2, 0.919 d. The rate of maintenance subsidy in the pound levied would under amalgamation be 19/1, while the rate of capital and maintenance levy per pound on the rateable capital value would be 0.420 d.

Continuing, Mr Burgess reported that if the Rotorua and Taupo areas were amalgamated with Tauranga, Opotiki and Bay of Plenty hospital districts, the capital value would be £14,016,885, the local body levies would be £48,620, the Government subsidy would be £56,598-, the rate of maintenance subsidy in the pound levied would be 24/3, and the rate of capital and maintenance levy per pound- on the rateable capital value would be 0.828 d. If the proposed district took over the liabilities attaching the new nurses’ home, Rotorua, the boilers at the Taupo Hospital and the proposed new hospital at Rotorua, the rate of the maintenance subsidy in the pound levied would increase to 25/9 and the rate of the capital and maintenance levy per pound on the rateable capital value would be increased to 1.123 d.

Mr J. L. Burnett, Chairman of the Whakatane County Council, said his council had been concerned about -the steeply rising costs of hospital amalgamation and the increase in the standard of hospital equipment demanded by the Health Department with its consequent increase in costs. An amalgamation might mean a slight increase in the levy. If the Rotorua area and the coastal boards’ districts were amalgamated it would be found that a great number, probably 50 per cent, of the inhabitants, were Maoris. The select committee on local bodies had recommended a system of centralisation, but the Whakatane people would prefer amalgamation to be carried out by the Waikato Board. The figures submitted by Mr Burgess put the Bay of Plenty area in

a favourable light, and and it would be much better to adopt a scheme approved by the Waikato Board than any project the Health Department would put forward if it adopted the select committee’s recommendation. The Whakatane people wanted to see the best posable scheme adopted at the lowest cost.

Mr B. S. Barry, Mayor, of Whakatane, said the Whakatane Borough Council had been desirous of securing relief in the hospital rating, and for this reason had favoured amalgamation with the Waikato, but had not come to a definite decision. If the Whakatane Board amalgamated it would lose its identity, which would be a disadvantage, especially if the recommendations of the select committee were adopted. The delegates wanted to know what the reactions of\ Waikato Board were to the proposals. Mr Burnett: If you lost Rotorua, what would be your reaction? Mr V. W. Simms: We would not lose any sleep over that. Mr Price said that members of the Waikato Board present were only the finance committee, and no decision could be arrived at that day. The committee would report to the full-board. As far as he was personally concerned and looking at the matter from a national point of view, he did not think it desirable that the Waikato Board should relinquish control of the Rotorua and Taupo hospitals. Mr J. Mullins, Chairman of the Bay of Plenty Hospital Board, said the Waikato Board’s prospective expenditure of £1,500,000 would have a bearing on the matter. As far as the Bay of Plenty .Board was concerned, a good deal of expenditure was contemplated. The nurses’ home required 30 more rooms, and a chest block was needed, while extensions were required at the store. There was sufficient hospital accommodation available to meet immediate requirements. The speaker said he had no idea of the capital cost involved. Referring to Opotiki, additional hospital accommodation was urgently needed there. Mr F. Prideaux, Secretary of the Bay of Plenty Hospital Board, said the expenditure required at Tauranga and Whakatane was as a drop in the bucket compared with that contemplated by the Waikato Board. The Opotiki Hospital was 30 years old, and heavy expenditure would be involved in replacing it. Amalgamation between Waikato and Bay of Plenty would be very desirable, . although the speaker doubted if the Department of Health would sanction it, for it favoured the formation of a new district, taking in Rotorua, Taupo and the three coastal boards’ districts. The amalgamation of Waikato and Bay of Plenty would not. involve a heavy increase in the levy, but the combined coastal areas with Rotorua and Taupo would create a heavy burden. '

Mr H. D. Caro, Waikato Board, said' the suggested addition to the Waikato Board would make the Waikato district too unweildy. He considered the Waikato district was quite large enough as it was to be economically sound. The only people who would receive a benefit from the amalgamation would be the ratepayers of the coastal districts. Mr Burnett pointed out that with amalgamation a better specialist service could be provided than at present.

Mr C. G. Lucas, County Clerk, Whakatane, pointed out that the Public Works Department had enlarged its area with its centre in Hamilton. With modern means of communication larger districts could be administered much more efficiently that than they could ill the past. Mr Price said he considered there was no chance of including the Whakatane district in the Waikato Hospital Board’s area because it would mean cutting the coastal districts in half.

Mr Burnett said the Whakatane delegates could not speak for Tauranga and Opotiki. The meeting adjourned when the chairman assured the visitors that the Waikato Board’s views would be communicated to them.