Ramsay commits $13m to MBH and Mildura community
Apr 30, 2019
Ramsay Health Care has made a proposal to the Victorian Government to continue operating Mildura Base Hospital, which includes a $13 million investment in the hospital over 10 years.
The offer includes $9 million towards the construction of a new 16 single bed ward and upgrading of the hospital’s sterilising department as well as ongoing capital investment.
It also includes:
- A $2 million contribution to clinical training;
- A $1 million contribution to Hands Up for Mallee and its work with the socially disadvantaged and;
- A further $1 million towards positions focused on community health and community relations activities.
A change to the community management structure of the hospital has also been proposed, to align MBH with current structures at other public hospitals in Victoria.
Ramsay provided the proposal to the Victorian government in January and is awaiting the government’s feedback. The elements of the proposal have also been discussed with the Independent Mildura MP Ali Cupper.
MBH CEO Julia Morgan said the proposal would bring jobs to Mildura and the significant investment would assist in attracting high quality clinical staff to the region.
“We have operated this hospital since 2000 and believe that throughout our tenure we have demonstrated a commitment to the delivery of excellent care and high-quality outcomes for our patients,” Ms Morgan said.
“After almost two decades of Ramsay management of MBH, there has not been any major quality, safety or performance issues that would warrant the hospital being taken out of our hands.
“In addition, Ramsay has managed MBH within budget for the entire time of its operation. The Company has never had to ask the government for additional funding, or not met its budget.”
As the largest private provider of acute private hospital services in Australia, and a global operator of 480 public and private healthcare facilities spanning 11 countries, Ms Morgan said Ramsay is an operator with strong knowledge and experience in clinical governance, training and development, quality and safety, and policies and procedures in relation to hospital and health care services.
“In addition, Ramsay is an Australian-based healthcare company for over 50 years, which has its roots in regional and rural Australia and today operates over 30 hospitals in rural and regional communities, demonstrating both a unique commitment and understanding of the challenges facing these areas,” she said.
“As an operator of several other public hospitals, both in Australia and overseas, Ramsay is also acutely aware of the importance of a collaborative relationship with governments and State health services.
“We have had an excellent relationship throughout the 18 years with the Victorian Department of Health & Human Services and are committed to continuing to develop and enhance this relationship.”
Details of the Offer
- Ramsay proposes to independently fund, manage and commission a new 16-bed single room ward. The current cost estimate to build this ward is $6,500,000. The final design will be determined in consultation with key health and community stakeholders, including DHHS.
- An annual contribution to capital expenditure requirements of the hospital to the value of $200,000 per annum for years one to 10 amounting to $2,000,000 contribution towards capital in the hospital.
- Ramsay will contribute up to $300,000 towards capital upgrade requirements to ensure the MBH operating theatre sterilisation area complies with AS4187 requirements by the deadline of December 31, 2021.
- An annual contribution of $250,000 over the period of the tenure to the value of $2,500,000 over a 10-year period towards a new Director of Clinical Training position at MBH, subject to review with the State on the success of the role. (The purpose of the position will be to develop a comprehensive junior doctor education program, foster clinical research opportunities and develop potential joint academic/clinical positions in conjunction with Monash University. This will raise the medical profile of MBH with a focus on health outcomes for rural communities and sustain a future medical workforce in the region.)
- Annual contribution to Hands Up Mallee (HUM) of $100,000 per annum for the life of the tenure, a total contribution of up to $1,000,000. (HUM is a local collective impact initiative with a specific purpose to positively impact on social indicators in the socially disadvantaged community of Mildura. It is governed by the Northern Mallee Community Partnership Committee, of which Julia Morgan, CEO of Mildura Base Hospital, is an executive member.)
- Contribute $100,000 per annum for the life of the tenure, to the total value of up to $1,000,000 towards community health and other community initiatives.