A provincial health policy change led to a multi-million dollar reduction in Northern Health Region (NHR) revenue in the last fiscal year.
Over the 2017-18 fiscal year, the NHR saw more than $13 million dollars cut from its overall revenue, going from receiving $244.1 million in 2016-17 to $231.6 million in 2017-18.
In response, the health region cut costs by around $16 million, spending $247.6 million in 2016-17 and $231.6 million in 2017-18.
The NHR’s finances were a topic of discussion at the recent NHR Health Summit and NHR annual general meeting, both held in Flin Flon on Oct. 30. A full financial report, audited by Meyers Norris Penny, was also made available.
Helga Bryant, NHR CEO, said at the meeting that most of the reduction in funding comes from a policy change regarding Diagnostic Services Manitoba (DSM), now known as Shared Health. A transfer of funds led to DSM receiving $12 million, instead of that amount remaining in the NHR’s coffers.
“That would compensate for about $12 million that went to DSM to manage their own operation and we flowed that money to them,” said Bryant.
In total, the NHR ended the 2017-18 fiscal year with a $70,000 deficit, around three-hundredths of one percent of the region’s annual budget.
“When you think of our budget of over $200 million, our deficit was $70,000. I’m really proud of the staff, of the executive management teams throughout the region, for the incredible work that they do every day to balance the challenge of providing services and being a fiscally responsible and accountable organization,” said Bryant.
Manitoba Health provides 90 per cent of the funds received by the NHR, while the remaining 10 per cent come from ancillary sources, including grants, donations and third parties like Workers’ Compensation and Blue Cross.
The top five expenses for the NHR over the 2017-18 time period were acute care, medical remuneration, the Northern Patient Transportation Program, community based health such as mental health services and long-term and personal care.
