RISING COSTS

Hawke's Bay Herald-Tribune, Issue 54, 19 March 1937, Page 3

RISING COSTS

Sanatorium Fees To Be Increased NO OTHER COURSE OPEN From Our Qwn • Correspondent. • WAIPUKURAU, This Day. The Waipawa Hospital Board yesterday decided to ask for authority for a bank overdraft of £1500 on the Waipukurau Hospital account, and £2500 on the Pukeora Sanatorium account. The chairman, Mr H. M. Rathbone, explained that this was the firet occasion since the board took over the Sanatorium in 1923 and the first time in his 18 years' association with the board, that it had been found necessary to take such action during the financial year. Owing to the sudden increase in wagies, increased staff and tremendous rise in cost of provisions, it had become necessary to ask for this authority. As an example of the way in which the rising costs were affecting other local bodies, the chairman said that during his recent visit, Mr Wood, of the Auckland Hospital Board, had told him that that board's expenditure was likely to be £22,000 over the estimates for this year. Further reference to rising costs were made when the following recommendation of the finance committee came up for discussion. — Pukeora fees scale: That owing to the very heavy rise in maintenance costs brought .about- by increased staff, increased wages and rise in costs of commodities, j it is noted that the existing fees scale is not sufficient to cover maintenance costs, and therefore, the board is regretfully compelled, as from April 1 next, to increase the Sanatorium fees scale all round by-sixpence per diem. The committee makes this recommendation with very much reluctauce, but feels that there is no other course open, , indeed, in the near future it ie possible that a further increase may be necessary, but every step will be taken to endeavour to see that this charge will be sufficient to meet outgoings. The chairman, in asking the board to adopt the recommendation, said how much he regretted such a move, and pointed out that ever since the board had taken over the Sanatorium they had endeavoured to reduce the fees. Mr Hawthorne said that it was the moSt regrettable thing tbat the finance committee had had to recommend since he had been on the board, and for the information of the new members he pointed out that when tho board took the Sanatorium over from the Government, the fees had been 11/per day, but since the board bad taken over, it had been found possible to reduce tho fees by 2/- per day. The average number of patients in the Sanatorium for the' past 12 months was approximately 50 per cent. higher than the average number during the time of the Government's administration. In addition to thfs the board had inaugurated the clinic system, with a travelling expert visiting the various centres in the North Island to attend the clinics. This work liad just reached a particularly efficient stage in its development, and Mr Hawthorne felt that this regrettable increase in rates might retard its future progress, with eorrespondingly detrimental effects on the board's efforts to combat this disease. Replying to Mr Neild, the chairman said that even with this increase the fees would still be lower than the old Govenrment ratesThe recommendation was approvcd.