Growing Hospital Costs And Accounting Methods

Chronicle (Levin), 4 November 1948, Page 9

Growing Hospital Costs And Accounting Methods

AUCKiiANp; Nov; 3. Increasing hospital .costs. and ' the need for a more 'sijnple ; accounting system, were the ciain subjects ' ,discussed when the JDomi'nioir conference of the New Zealand' Hospital Officers' Assoeiation opened'in Auckland. The president of the Assoeiation, Mr. A. J.Phillipps; seeretary of the Palmerston North Hospital Board, is presiding ovor the conference which is being attended by 73 delegates from all parts of tbe Dominion. 1 , ' - Welcoming the delegates, the cliairman of the Auckland Hospital Board, Mr. J. Grierson, said it was time the accounting system for hospitals was overhauled.. Although he was a public aecountant, he liad difficulties in understanding hospital accounts. All accounts sliould be presented in a manner the public could understand. He believed that the administration of hospitals which were victims of tradition, • was below standard. Hospital officers, through their conferenceS* and studies, were the ones who were going to bring the administration up to date and uniform. The system of hospital accounting was arcliaic, said the chief executive officer of the Health Department, Mr. A. V. Keisenberg. He knew everyone would favour a change so that comparable costs jeould be Qbtained. The assoeiation , was oue of" the. means of getting nien equipped for the organisation of a prop'er accounting system. The Minister- of Finance, Mr. Nash, had expreissed some coneern at rising hospital costs, continued Mr. Keisenberg. Most of the increase aroee from rising wages and prices. ovef; which the boards had-' ko .cOntr.ol but he 'thought hospital officers generally had a* fear that some waste and extrayagance miglit oceur.' The Health Department was seeking all the assistance it could in keeping dowh costs. The conference decide'd to ask the Health Department to nominate officers to cooperate' with representatives of the assoeiation, to revise the whole system of * hospital accounting and standard returns to the department. The following resolutions were carried: — (1) "That the Minister of Health be advised that it is the opinion of the

conference that tlie advisory committec system as at present established, has proved to be a most * unsatisfactory method of determining rates of wages for hospital board employees not covered by awards." (2) "That the Dominion executive of the assoeiation be requested to approach all bodies representing hospital board employees not covered by awards, with a view to the preparation of joint submissions to the Hospital Boards Assoeiation and Minister of Health urging the early appointment of a permauent tribunal with full authority to flx salaries and conditions of employment. "