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Following is a question by the Hon Law Chi-kwong and a reply by the Secretary for Health, Welfare and Food, Dr Yeoh Eng-kiong, in the Legislative Council today (July 9):
Question:
Regarding the financial situation of the Hospital Authority ("HA"), will the Government inform this Council:
(a) whether it has assessed the financial implications on HA brought about by the outbreak of the Severe Acute Respiratory Syndrome; if so, of the assessment results;
(b) given HA's decision last month to defer the departure dates of the health care personnel who would depart under the Voluntary Early Retirement Programme, of the impact of HA's decision on its financial situation, and whether the authorities will ask HA to review if its manpower requirement has changed after the epidemic, so as to ensure that there is sufficient health care personnel to provide the necessary services; and
(c) whether the authorities will review the amount of funding allocated to HA and exempt HA from implementing the efficiency saving programme and having to cut its operating expenditures, or will make adjustments to the relevant targets?
Answer:
Madam President,
(a) Up to June 2003, the Hospital Authority (HA) has incurred some $400 million additional expenditure in the fight against the Severe Acute Respiratory Syndrome (SARS). The additional expenditure was required for the recruitment of additional staff to combat SARS, procurement of protective gears, drugs, medical supplies, consumables and medical equipment, conducting minor facility improvement works at public hospitals, stepping up cleansing and security services, etc. As SARS has now come under control, HA is assessing the financial implications brought about by SARS for the remainder of the 2003-04 financial year, including the impact of SARS on the service delivery model, the need to enhance its capacity and capability in handling a possible resurgence of SARS later in the year. On facilities improvement, $409.8 million is required to enhance the infection control facilities for nine major acute hospitals as an interim measure to strengthen the isolation facilities in public hospitals for handling major outbreaks of infectious disease. HA is assessing the financial implications for the construction of purpose-built infectious disease facilities in the longer term.
(b) The SARS outbreak has imposed tremendous pressure on the manpower resources of HA. In order to ensure that there would be sufficient manpower to meet service needs, HA decided in April 2003 to extend the final date of release of approved applicants under the Voluntary Early Retirement Programme (VERP) by six months from November 1, 2003 to May 1, 2004. As a result of deferral of the departure dates of staff, the projected savings to HA from the implementation of VERP is estimated to be reduced by $87 million in 2003-04.
HA is reviewing its service delivery model in the light of the SARS experience to better prepare public hospitals for future outbreak of infectious disease. The manpower requirements under the new operational model will be assessed in that context. We shall ensure that there will be sufficient manpower within the public hospital system to cope with possible outbreak of infectious disease in future, while meeting the daily service requirements of the community in other clinical specialties.
(c) The Government has provided additional funding support to HA for the fight against SARS. The Finance Committee (FC) approved on 31 March 2003 the creation of a new commitment at $200 million for the fight against SARS, of which $128.1 million was allocated to HA to meet its additional expenditure related to SARS up to end April. With the approval of the FC on June 27, $200 million was allocated to HA to set up a Training and Welfare Fund for HA to strengthen training for health care staff of HA to enhance their expertise in infectious disease control in the hospital setting and to provide assistance to those health care staff who contracted SARS while on duty. On July 2, the Public Works Subcommittee endorsed our funding proposal amounting to $409.6 million to enhance the infection control facilities in nine major acute hospitals. Having regard to the committed funding requirements as well as the estimated additional funding requirements for the fight against SARS in respect of HA and the Government in the coming months, we intend to seek FC's agreement on July 18 to increase the commitment for the fight against SARS by $500 million. As explained in (a) above, HA is assessing the financial implication of the SARS outbreak for the remainder of the 2003-04 financial year. The Administration will assess HA's estimates on financial implications once available and review the adequacy of funding allocated to HA in that context.
End/Wednesday, July 9, 2003
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