2013-14 Budget

Fiscal year 2012-13 marked Year 1 of Health System Funding Reform, and MAHC's funding was reduced by $423,000. This was due to the introduction of HBAM funding and the addition of cataract surgery as a Quality Based Procedure.  In both cases, the new funding rates are based on best practice and force MAHC to find more efficient and innovative ways to provide services at a lower cost.  As Health System Funding Reform continues to be phased in, more procedures will be added to Quality Based Procedures.

Fiscal year 2013-14 marked Year 2 of Health System Funding Reform. Given inflationary increases in labour and utilities and a 0% increase in base funding from the Ministry, MAHC anticipated a funding gap of $2.4 million for the fiscal year beginning April 1, 2013. With direction from the Board of Directors, MAHC conducted an extensive consultation process with internal and external stakeholders on a series of proposed solutions that would generate $2.4 million in annualized savings.  Meetings were held to engage staff, physicians, volunteers, and members of the public to solicit their feedback on the proposed solutions and bring new ideas forward.  A Backgrounder and Frequently Asked Questions document were developed and a presentation was made outlining the proposed 2013-14 budget solutions to close the funding gap.

As a result of the internal consultation process, some of the budget solutions were removed from the final recommendation in the Closing the Funding Gap report, which validates the value and importance of a consultation/engagement process. The Board of Directors endorsed the following solutions:

  • a five (5) bed reduction in acute care beds at the Huntsville District Memorial Hospital Site
  • a five (5) bed reduction in acute care beds at the South Muskoka Memorial Hospital Site
  • single siting a total of 24 Complex Continuing Care beds at the South Muskoka Memorial Hospital Site
  • single siting of Ophthalmology (cataracts) at the Huntsville District Memorial Hospital Site upon the addition of Gynaecological Surgery at the South Muskoka Memorial Hospital Site on September 5, 2013
  • Single siting of Systemic Chemotherapy at the Huntsville District Memorial Hospital Site, effective Spring 2014 

In addition, administrative changes are being incorporated into MAHC's organizational structure that reflect a balanced managerial presence at both hospital sites.  The budget solutions are an attempt to preserve hospital services in Muskoka and balance those services between both of our hospitals sites, while ensuring each site continues to have strong, vital roles in the communities and two 24-hour emergency departments. For more information, please review our media release.