East Grampians Health Service

This year’s Annual Report Highlights and Challenges Through the pages of our report we will reflect on our achievements during the year and acknowledge the support our health service Highlights Page 02 Ourreceives from place...the community and our staff. We have continued to build on our excellent community partnerships and these have laid the • Opening of the Community Centre by the Hon Daniel 8 foundation for a very robust future. Andrews MLA Minister for Health • Mundarra Muster raised $70,000 for the Angela Laidlaw 8, 27 Clinical Scholarship Our Cover, Our Family • Victoria Police Blue Ribbon Ararat Gala Night of Nights 8, 27 raised $39,000 We are proud of the people who have become part of our daily lives in the Health Service, as residents, community members and staff. We • Dynamic Community Partnerships 8 have learnt from them to listen, respect and deliver a service that truly • Appointment of Robert Bulmer as CEO 8 we can say makes us the Health Service of Choice. • Establishment of Foundation 9 These four people, Kim Kerr, Ada McConachie, Liz de Fegely and Brian • Lead Agency on statewide project 8 Lomax represent the family of East Grampians Health Service. • $200,000 funding received from the Department of 8 Our place Human Services for chronic disease management

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Kim Kerr is one of our receptionists and understands completely the • 2008 Annual Report received Bronze Award from the 2 importance of hospitality and customer service Australasian Annual Reporting Awards Our lives • Successful accreditation across six services 17, 29 Ada McConachie, a much-loved resident at Garden View Court died recently but we wanted to continue to recognise this wonderful lady’s • Art in Health achieving its goals 9 contribution to our Health Service • Sound financial management 10 Our community Liz de Fegely is the President of the East Grampians Health Service Challenges auxiliary and knows that the Health Service is central to the district. • Attracting and retaining workforce into rural Australia 8 This year Liz was on the organising committee of the Mundarra Muster • Major impact on investments due to global economic crisis 9, 10 Our people Brian Lomax is the Manager of our Perioperative Service. With a busy Annual Report throughput he manages his team with precision and good humour The Annual Report is a legal document prepared in accordance with the Financial Management Act 1994 Section 45 and 53A(4) for the Minister for Health, the Hon Daniel Andrews MLA Member for Mulgrave and through him the Parliament of Victoria and the community. The Report acknowledges our responsibility towards our stakeholders, including recipients of care and their families, the community, supporters and volunteers, our staff, other health care agencies and the three tiers of Government. The Report recognises the contribution of the wider community to ensure that we continue to be the Health Service of Choice in this region. East Grampians Health Service Annual Report will be presented for adoption at the Annual General Meeting to be held at 6.30 p.m. on Tuesday, 24th November 2009 at the Ararat Performing Arts Centre Supper Room. The 2008/2009 Annual Report received a Bronze Award from the Australasian Reporting Awards. As this was the first time East Grampians Health Service had entered a report, we were delighted with the result.

Vale Ada, a much loved resident Our lives Our community Our people

Our Mission Contents Page East Grampians Health Service will improve community health outcomes and quality of life by forming partnerships which encourage healthy lifestyle choices, and by maintaining and improving health and wellness in response to changing Our place 03 needs and priorities. Highlights and Challenges 2 This Year’s Annual Report 2 Our Vision Mission, Vision and Values 3 Year In Brief 4 To be leaders in rural health care in Australia delivering timely, accessible, integrated and quality services. Performance and Revenue Indicators 4 Comparative Five Year financial Results 4 Services and Programs 6 Our Values History, Community and Heritage 7 Integrity President’s and Chief Executive’s 8 Report of Operations We value integrity, honesty and respect in all relationships. Responsible Bodies Declaration 9 Excellence Financial Performance 10 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 We value excellence as the appropriate standard for all our services and practices. Strategic Direction 12 Customer Focus We respect the dignity and rights of our customers and acknowledge their beliefs, regardless of their cultural, spiritual or socioeconomic background. Our lives Clinical Services 15 Working Together Professional Development 15 We value equally all people who make a contribution to East Grampians Health Aged Care Services 17 Service to achieve shared goals. Primary Care 19 Medical Services 22 Support Services 25 Acknowledgements Our community Editor: Fiona Watson Volunteers and Auxiliaries 27 Design & Artwork: Small Dog Design Life Governors 28 Photography: Fiona Watson, Ararat Advertiser Community Matters 28 Feedback 28 Printing: Sovereign Press Quality of Care 29 Our people Corporate Governance 31 Organisational Structure 35 Workforce 36 Legislative Compliance 38 Our financials Financial Report 39 Victorian Auditor General’s Certificate 40 Compliance Disclosure Index 80 Index 81 Glossary 82 Site Directory 83

EGHS AReport 80pp A4 Inside.indd 3 16/09/09 2:30 PM East Grampians Health Service Our place...

Year in Brief

Financial 2008/09 2007/08 change Performance Indicators 04 $000 $000 % Admitted Patient Total Revenue 24,839 23,265 6.77 Nursing Palliative New Total Expenditure 24,736 23,145 6.87 Note (a) Acute Home type Care borns Total Total Assets 44,555 37,934 17.45 Separations 3,915 46 109 109 4,179 Total Liabilities 7,729 7,340 5.30 Same Day 2,307 4 2,311 Effective Fulltime Staff 216.49 213.47 1.42 Multi Day 1,608 46 109 105 1,868 Total Separations 3,915 46 109 109 4,179 Performance Indicators Inpatients treated Emergency 1,082 2008/09 2007/08 Elective 2,506 Medical and Surgical (Acute Hospital) 4,179 3,758 Other 327 (Including Dialysis and Same Day Surgery) Total WEIS 2,315.7 Average Length of Stay 2.74 3.06 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Total Bed days 9234 1577 303 321 11,435

Bed Days 2008/09 2007/08 Acute 11,435 11,511 Revenue Indicators Extended Care 28,835 28,354 Average Collection Days 2009 2008 Non-admitted Patient Services 2008/09 2007/08 Private 86 70 Emergency 5,829 5,853 Residential Aged Care 20 26 Dental 1,759 3,286 Community Care Package Visits 10,279 8,478 Debtors Outstanding as at 30 June 2009 Under 31-60 61-90 Over 90 Total Total Other 30 days days days days Jun 08 Jun 07 Volunteer Numbers 130 100 Private 84,958 70,269 16,689 13,204 185,120 135,695 Auxiliary Members 60 70 Residential 43,992 12,316 1,763 5,203 63,274 85,443 Aged Care

Summary of Comparative Five Year Financial Results

2009 2008 2007 2006 2005 $000 $000 $000 $000 $000 Total Expenses 24,736 23,145 21,419 21,151 19,499 Total Revenue 24,839 23,265 21,673 19,959 19,655 Operating Surplus 81 120 254 (1,192) 156 / (Deficit) Retained Surplus 4,617 4,644 4,578 4,918 6,322 (Accumulated Deficit) Total Assets 44,555 37,934 36,498 29,122 26,451 Total Liabilities 7,729 7,340 6,189 4,946 5,188 Net Assets 36,826 30,594 30,309 24,176 21,263 Total Equity 36,826 30,594 30,309 24,176 21,263

EGHS AReport 80pp A4 Inside.indd 4 16/09/09 2:30 PM Our lives Our community Our people

05 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Colleen Kelly Clinical Nurse Educator and Heather Phillips Manager Education Services with Michelle Moir 3rd year B Nsg student at the University of Ballarat

EGHS AReport 80pp A4 Inside.indd 5 16/09/09 2:30 PM East Grampians Health Service Our place...

Services and Programs Bed Numbers Ararat Willaura We deliver a comprehensive range of services and programs that the community is able to access through in-patient, residential, home or Acute beds - 29 Sub-Acute beds - 8 06 community based services. The services and programs are located and Dialysis Chairs - 4 Aged Care High - 2 delivered at Ararat and Willaura as well as operating throughout Ararat Day Procedure Beds - 6 Aged Care Low - 10 Rural City. Chemotherapy Chairs - 8 Please refer to the site directory and map on page 83 for addresses and phone numbers. Aged Care High - 45 Aged Care Low - 24

Clinical Medical Imaging Support Services • Emergency • General X-Ray • Catering • Inpatient Unit • Image Intensifier • Meals on Wheels - Chemotherapy • Ultrasound • Delivered Meals

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 - ECG Stress Testing • C.T. in conjunction with Stawell • Environmental • Infection Control Regional Health • Maintenance & Contracts • Palliative Care • Midwifery Community Health Finance Services • Perioperative Services • Ante Natal • Budget & Finance - Day Care • Community Nurses - Dental • Contract Information Technology - Ear, Nose and Throat • Community Palliative Care • General Accounting - Emergency Surgery • Dental • Patient Billing - General Surgery • Diabetes Education • Payroll - Haemodialysis • Dietetics - Obstetrics and Gynaecology • Reception - Ophthalmology • District Nursing • Supply/Stores - Orthopaedics • Domiciliary Care - Urology • Health Promotion Grampians Health Alliance* • Pharmacy • Occupational Therapy • On-Call - Shared Medical and Surgical - • Professional Development • Physiotherapy EGHS & SRH • Podiatry • On-Call - Shared Midwifery - EGHS & SRH Aged Care • Post Acute Care • Central Grampians Medical Imaging • Garden View Court Hostel • Social Work Department - EGHS and SRH • 70 Lowe Street • Speech Pathology • Payroll Services, EGHS, EWHS, SRH • Patricia Hinchey Day Centre, Ararat • Linen Contract, B&SHS, EGHS, EWHS, SRH • Willaura Aged Care - Parkland House Medical Services • Finance and Budgeting, EGHS, SRH and Day Centre • General Medicine • Services Directorate (Food and • Lifestyle Team Environment), EGHS and SRH • General Surgery *EGHS = East Grampians Health Service Executive Services *SRH = Stawell Regional Health *B&SHS = Beaufort & Skipton • Business Support Health Service • Compliments and Concerns *EWHS = East Wimmera Health Service • Human Resources • Quality & Risk Management

EGHS AReport 80pp A4 Inside.indd 6 16/09/09 2:30 PM Our lives Our community Our people

07 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Our Community, Our Future. Years 1&2 Ararat Primary School visiting the helipad

History, Community & Heritage

East Grampians Health Service was established in 1995 to develop a Ararat’s community better system of health care for the people of Western Victoria. Three The Ararat district served by East Grampians Health Service has existing Health Services amalgamated in order to expand and deliver a catchment area of 4,230 sq kms, a population of about 11,300 an extensive range of relevant services and programs accessible to and is an easy two-hour drive west of Melbourne. Ararat has moved a greater number of people. On the recommendation of the Minister from a predominately agricultural economy to one embracing retail, for Health, Ararat and District Hospital, Willaura and District Hospital manufacturing, viticulture and tourism. and John Pickford Geriatric Centre combined to become a united There are excellent recreational, sporting and educational facilities organisation delivering the very best health care to the people of including the Australian College of Wine and University of Ballarat the region. campus. East Grampians Health Service is recognised as a leader in the East Grampians Health Service has many opportunities for employment, provision of rural health services. An extensive range of acute, ranging from specialist medical, nursing and allied health positions residential, home and community based services are delivered at through to support services. The Human Resources Officer can be Ararat and Willaura and Commonwealth funded Regional Health Service contacted on 03 5352 9300 or visit our website www.eghs.net.au for Programs operate in regional areas including Willaura, Lake Bolac, information on job opportunities. Elmhurst, Moyston and Pomonal. East Grampians Health Service continues to work with the three tiers of Government to make a valued contribution to strengthen this robust, Ararat’s heritage rural community. We would like to recognise the past and present traditional owners from the Djab Wurrung country on whose land we operate our services and to acknowledge that Ararat is the only Australian city to be founded by the Chinese.

EGHS AReport 80pp A4 Inside.indd 7 16/09/09 2:30 PM East Grampians Health Service Our place...

President’s and Chief Executive’s Report of Operations “Our reputation as a leader in rural health continues to grow as we are represented on statewide committees as well 08 as being appointed lead agency of the Department of Human Services Statewide Equipment Review. This has been due to the Chief Executive’s belief in our organisation and his encouragement of staff to extend their personal and professional capabilities.”

Graeme Foster, President, Board of Management

Overview - Appointments and Recruitment Health Services Agreement and It was always going to be a challenge to replace a Chief Executive who Department of Human Services (DHS) has been admired by and worked so diligently for the community. After The Health Service Agreement is a set of agreed targets between a comprehensive recruitment process with many first class applicants DHS and EGHS that are reflected in our Strategic Plan, which itself is the Board is pleased to announce that Robert Bulmer from East reviewed to ensure its effectiveness. Wimmera Health Service has accepted the position and starts as The advice we receive from the Department of Human Services is Chief Executive on 1 July 2009. invaluable to assist us in shaping our delivery of appropriate services Peter Armstrong, appointed as Manager Aged Care Services in January, and programs to the community. In this regard we acknowledge the East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 comes to us with extensive knowledge of the sector, having worked support received from the Regional Director of Grampians Region at Ballarat Health Services and Gold Coast Health Service District, Brenda Boland and staff. In 2008/09 we received $200,000 in chronic Queensland Health disease funding in collaboration with Ararat Rural City and Northern Attracting and retaining a dedicated and professional workforce will Grampians Shire; $500,000 to complete the refurbishment of the always be an ongoing challenge for us. Our reputation as a leader in Community Centre which was officially opened by the Hon Daniel rural health is certainly gaining momentum and we have expanded our Andrews MLA, Minister for Health and $350,000 to fit out the new usual networks in order to attract prospective employees. As part of our Dental Clinic. recruitment strategy Helen Watt, Director Clinical Services represented the Health Service and Grampians Health Alliance at an international Representation on Statewide Committees health symposium in England where young health professionals from It is pleasing to report that staff are represented on a number of across the United Kingdom were meeting prospective employers. Ararat statewide committees. Glenys Andrew, Manager Executive Services and district is such a great place to live we are optimistic that we will is the sole regional representative on the Health Services Liaison attract new and enthusiastic professionals who will introduce innovative Association in addition to active involvement at Regional Level. Helen ways in which to deliver health services in the future. Watt is our representative on the Aged Care Equipment Review. We are providing expert advice as the Lead Agency for the Shared Regional This has been another excellent year in the history of our Health OH&S Resource Committee. Service. Recognition from our peers and from governments has been most satisfying and, given the global economic crisis, we have still Community Partnerships achieved an operating surplus of $81,000. We feel humbled by the breadth and generosity of community support. We will never take for Mundarra Muster granted our community and will endeavour to meet their expectations We have been overwhelmed at the strength of loyalty to our with caring programs. organisation. We particularly want to thank Board member Geoff Laidlaw and his family for hosting the most spectacular Mundarra Government Support Muster Sunday Luncheon on 19th April and Rowly Paterson for his As a dynamic organisation East Grampians Health Service enjoys a excellent leadership of the Committee. Some 550 people eagerly strong relationship with the three tiers of Government with which it anticipated this special ‘one off’ event with guests coming from across interacts. We work closely with Ararat Rural City in the provision of a Victoria and interstate. The proceeds from the muster, in excess of number of community based programs and thank Mr Stephen Chapple, $70,000, will be used for the Angela Laidlaw Clinical Scholarship in Chief Executive Officer and Mayor Cr Gwenda Allgood for their support. memory of Geoff’s wife Angela who worked with us from 1993 and The State Member for Ripon since 1999 Hon Joe Helper MLA Minister passed away in 2005. for Agriculture and Small Business has been an active supporter of our Victoria Police Blue Ribbon Foundation Health Service and we appreciate the time he has so generously given The dedication of the John McNally Medical Imaging Department on us. We also acknowledge the Federal Member for Wannon, the Hon May 29th reinforced the strong partnership that has evolved between David Hawker MP. the Victoria Police Blue Ribbon Foundation – Ararat Branch and East Grampians Health Service. Since 2002, we have witnessed the dedication of the Emergency department and the Emergency Helicopter Landing Pad, in memory of Sgt John McNally who was killed on the goldfields at Cathcart in 1856. Over $450,000 has been donated to the health service for these areas by a tireless Ararat Branch, the Foundation and, importantly the most generous support of the community.

EGHS AReport 80pp A4 Inside.indd 8 16/09/09 2:30 PM Our lives Our community Our people

Quality of Care Our Staff We will be reporting on our Quality Improvements in this year’s Success does not rest on the shoulders of one person, but through Community Matters, a newsletter delivered free to over 5,000 dynamic leadership, encouragement and a supportive culture, success households in the district. I commend this very informative can be shared amongst people who have participated in making it publication to you. Community Matters covers areas of Quality & Risk happen. The staff at East Grampians Health Service have certainly 09 Management, Security, and Accreditation. worked hard during the year to achieve some great results. We thank them sincerely for their commitment to the people they look after and Art in Health their colleagues with whom they work. Research indicates that art in health can be an important aspect to a patient’s recovery. It has been shown to stimulate a sense of mental Our Future Plans and physical well being and has the ability to transport a person to We will never take for granted our relationship with our community, another place, helping to alleviate pain, discomfort or loneliness. Since our partners and importantly, our staff. We will continue to build on 2004 we have been involved in Community Arts Projects involving the solid foundation that we have established through listening and patients, clients, volunteers and students from local schools. We have responding to our stakeholders to develop services, programs and received a Community Grant from Ararat Rural City for our next project, facilities that meet their expectations. This will, of course, be considered working with Willaura Health Care and the Willaura community. The against the global economic situation that has had a major impact on Duver family from Willaura has given us a corresponding donation. our investments. We will seek out the very best health professionals Artist Carolyn Thomas, with the help of residents, staff and volunteers to work in our rural community, providing them with opportunities and from Willaura Health Care and local students, will create a series of art experience to broaden their careers. People living in rural communities

works which will ultimately adorn the walls at Willaura Health Care. are used to adapting to change. At East Grampians Health Service we Annual Report East Grampians Health Service 2008/09 are leading the change. Building for the Future Foundation With the appointment of Rob Bulmer as Chief Executive and with the Building for the Future was an incredibly well supported campaign in Board of Management and staff, we look forward to the next phase in 2003 to raise funds for facilities development, which the BOM resolved the history of our Health Service. to use as the basis of a Foundation for the Health Service. Early in the next financial year the BOM will announce the appointment of a Founder and Board of Trustees.

Finance Graeme Foster John Davies Pleasingly, East Grampians Health Service ended the year in a positive President, Board of Management Chief Executive financial position. All staff are acknowledged for their dedication and commitment to achieve this result. From the President The Media Afte nine years at EGHS John Davies our Chief Executive is retiring. On The media provides us with a great service to thank our community, behalf of the Board of Management, staff and the community, I would share information and to communicate important health messages. We like to thank him sincerely for his commitment to the welfare of the are particularly grateful to the Ararat Advertiser, The Weekly Advertiser, people of Ararat, Willaura and District. We wish him and his wife Jennie Rural Press, Radios 1089, 3WM, MIXX FM - Wimmera Mallee and ABC a satisfying and very enjoyable retirement. Regional Radio. Graeme Foster President, Board of Management Our Community It’s been another tough year: drought, bush fires and a downturn in the economy due to the global economic situation. But our resilient Responsible Bodies Declaration community has been as generous as ever with their time, their In accordance with the Financial Management Act 1994 (FRD SD 4.2(j)) donations and their support. We will endeavour to always listen to you, I am pleased to present the Report of Operations for East Grampians respond to your concerns and ensure that we deliver to you the best Health Service for the year ending 30 June 2009. health care available. We thank you sincerely for your ongoing support. The Board of Management Heather Fleming and Louise Staley joined the Board of Management this year and both have made a substantial contribution participating in Graeme Foster Board orientation, workshops and governance programs. President, Board of Management East Grampians Health Service

31 August 2009

EGHS AReport 80pp A4 Inside.indd 9 16/09/09 2:30 PM East Grampians Health Service Our place...

Financial Performance 2008/09

10 East Grampians Health Service aims to increase service provision in a Operating revenues supported by Hospital & Community Initiatives financially sustainable manner and utilises several key result areas to increased by $254,000 or 24.00% compared to the prior year. monitor financial performance. The main contributors to this result were increased catering • Operating Performance - achieving activity targets and a surplus. income resulting from the supply of meals to Stawell Regional Health and the recovery of staffing costs for the provision of services • Liquidity - maintaining sufficient current assets to meet financial to various organisations. commitments as they fall due, a ratio in excess of 0.7 in line with the Department of Human Services (DHS) requirements. Operating expenses incurred by the services supported by the Health Service Agreement increased by $1,301,000 or 6.31%. Employment • Asset Management - ensuring that sufficient levels of investment are costs rose by 6.53% as a result of the full year impact of the Nurses undertaken to maintain the asset base. EBA and the successful recruitment of a number of staff to primary East Grampians Health Service’s operating result before capital and care and the Hospital Admission Risk Program (HARP). Supplies specific items was an $81,000 surplus which was in line with budget increased by 9.8% due to increased drug and food costs. A large and last year’s operating surplus of $101,000. The net result after portion of the increased drug costs was recovered from either the capital and specific items for the year was a $103,000 surplus DHS or the Commonwealth via the PBS scheme whilst the additional compared to a $120,000 surplus in the prior year. food costs were more than covered by external sales. Other expenses increased by 1.3%. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 The Health Service’s current assets increased by $608,000 during the past 12 months, whilst current liabilities increased by $304,000 Operating Expenses incurred by the services and programs supported which translates into a current asset ratio of 1.05, well above the DHS by the Hospital & Community Initiatives increased by $190,000 or requirement of 0.7. 15.75% compared to the prior year which was in line with budget expectations and the increased revenues generated. The non current assets of the Health Service increased by $6,224,000 over the last 12 months. This increase was predominately due to the Financial Position revaluation of our land and buildings as required by the Australian The Health Services financial position remains financially viable with Accounting Standards and the recognition of the Health Services share cash assets and receivables of $7,539,000 compared to current of the Grampians Region Health IT Alliance now accounted for as a payables and monies held in trust of $4,225,000. However for joint venture. During the year the organisation invested $830,000 the organisation to remain financially viable in future years it must in property, plant and equipment but this was more than offset by consistently achieve a net operating surplus prior to capital and $1,323,000 in depreciation. The major purchases included an upgrade depreciation which allows for the required reinvestment in fixed assets of the fire services at the Willaura campus, an operating table and whilst maintaining the current levels of liquidity. scope suite for the perioperative unit and the implementation of new patient management software. The Health Service has capital commitments of $713,000 which relates to the replacement of the Financial Management and supply Operating Performance software and the fit out of three new dental chairs which has already With the exception of residential aged care (Commonwealth funding), been funded by DHS. Although the Health Service is budgeting to recurrent funding provided by DHS excludes any contribution towards achieve a break even operating result prior to Capital and Specific the costs of depreciation. Therefore fixed asset purchases are funded items in 2009/10, the impact of the global financial crisis continues to by one-off capital grants, residential aged care fees, Commonwealth challenge its financial viability. funds and community fundraising and donations. In this financial year, There were no ex-gratia payments made during the year. we received $1,443,000 in capital income comprising of $641,000 of DHS funding, $29,000 of Commonwealth funds, $350,000 of residential aged care fees and $226,000 of community fundraising and donations. Operating revenues supported by the Health Services Agreement increased by $1,205,000 or 5.8% due primarily to increases in DHS and Commonwealth Aged Care funding. The increased DHS funding Mark Knights related to a number of one-off projects, funding for increased wage Director of Finance costs resulting from new Enterprise Bargaining Agreements (EBAs) and additional long service leave expense. The additional Commonwealth grants relate to the majority of our aged care residents being funded under the new Aged Care funding instrument (ACFI) which replaced the Resident Classification scale (RCS) funding model.

EGHS AReport 80pp A4 Inside.indd 10 16/09/09 2:30 PM Our lives Our community Our people

11 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Stringent Risk Management applies as much to financial performance as it does to clinical governance. Judy Ferguson from CSSD

EGHS AReport 80pp A4 Inside.indd 11 16/09/09 2:30 PM East Grampians Health Service Our place...

Strategic Plan

Our Strategic Plan was developed in 2006 to take us to 2011 and is reviewed on an annual basis. 12

Goals and strategies Plans 2009-2010 Progress

Service Development and Models of Care Develop sustainable and quality services reflective of community needs and consistent with EGHS role 1. Develop a concise service role for EGHS as a reference point to 1. Continue to work with the Grampians 1. Excellent partnership with GHA to assess efficiencies consider future organisational priorities. Health Alliance (GHA) examining future for shared resources and programs. health needs of the local community. 2. Improve self-sufficiency and respond to change in demands for 2. Plan clinical services development 2. Develop model of care that supports future community service and programs. which includes dental services and needs and capacity build. Willaura Master Plan. 3. Develop community-based services, which have a ‘single 3. Establishment of Service 3. Review of service co-ordination, policies, practices entry point’. Co-ordination Working Group feeding and protocols. into Better Access to Services East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Committee. 4. Secure additional resources for future relevant service areas 4. Implemented assessment and person 4. Seek additional funding as required. based on population health trends. centred care to reduce functional decline of older patients. 5. Continue to enhance service quality through an effective clinical 5. Clinical Governance framework and 5. All staff to receive education regarding the purpose and governance program. policy have been developed. Open process of open disclosure. Disclosure policy developed. 6. Continue to work collaboratively with local and regional partners 6. Representation on local committees to 6. Ongoing participation in local and regional to improve access to services for our community. assess needs of community. community events. 7. Develop and implement a marketing strategy, which will profile 7. Committee established to investigate 7. Establish reference group, including universities and EGHS as a centre of excellence. way forward to achieve centre of other appropriate stakeholders. excellence.

Infrastructure Ensure the infrastructure of EGHS supports efficient and effective service delivery 1. Open and responsive to development in Information Technology 1. Planning for the implementation of 1. HealthSmart to replace current patient and how it can enhance the core business of EGHS. new patient administration system, administration system. HealthSmart. 2. Identify short and medium term capital development needs, and 2. Annual Capital Budget prepared. 2. 2009/10 Capital Budget prepared. develop a business case to support priority redevelopment.

Culture Actively foster a positive culture that is team-based and focused on a whole of organisation approach 1. Develop processes that share departmental and organisational 1. Meeting structures within Clinical 1. Investigate ways to enhance IT strategies for knowledge and promote interaction between work units to address Services have changed to reflect the improved communications. common practical problems. need for communication across the varying streams of service delivery.

2. Identify opportunities to benchmark with relevant organisations 2. Participation in the Victorian Patient 2. Implement communication plan to aid communication so we can gain information to analyse and improve service delivery Satisfaction Monitor and the People with staff. and monitor demands. Matter Survey.

EGHS AReport 80pp A4 Inside.indd 12 16/09/09 2:30 PM Our lives Our community Our people

13

Goals and strategies Plans 2009-2010 Progress

People / Human Resources Retain and attract a multi-skilled, motivated and credentialed workforce 1. Create an environment where staff are recognised and valued. 1. Terms of Reference developed for 1. Review and implement Reward Recognition Program. recognition of significant contribution to organisation. 2. Develop a strategic workforce plan that matches future trends 2. Human Resource Strategic Plan 2. Workforce Plan based on HR Strategic Plan to be and changing community needs with an appropriately skilled completed and endorsed. completed and implemented. workforce. 3. Develop a culture that promotes and provides opportunities for 3. Staff participated in the People 3. Implement recommendations of results of staff personal development of all staff. Matter Survey. feedback on the People Matter Survey.

4. Ensure that the values of the organisation are widely known 4. Performance Appraisal process 4. Trial in clinical areas. Annual Report East Grampians Health Service 2008/09 and implemented and included as part of performance review reviewed and new criteria established. processes.

Financial Management To ensure financial viability of the Health Service to sustain current and future service delivery 1. Increase revenue generation including core funding from a wide 1. Review of Private Patient fees. 1. Implement Marketing Plan to increase Residential Aged range of sources. Care occupancy and Acute private patient fees.

2. Diversify the funding base, including identifying and attracting 2. Rollout of HARP. 2. Evaluate program. new funding sources for future innovative projects. 3. Achieve an operating surplus of 1% of turnover to reinvest in 3. Operating Surplus achieved for 3. Budgeted Operating Surplus for 2009/10 to be $26K. high priority activities and equipment. 2008/09 was $81,000. 4. Review and closely monitor the impact of any alterations to 4. Ongoing. 4. Awaiting results. funding systems.

EGHS AReport 80pp A4 Inside.indd 13 16/09/09 2:30 PM EGHS AReport80pp A4Inside.indd 14 14 East GrampiansHealthService East Grampians Health Service 2008/09 Annual Report Our lives... Helen Watt, Director ClinicalServices ourcommunity.” weareworking togetherbothwithandfor that acknowledging community. andacceptedthesechanges, adapted have howwellstaff pleased at Iamreally thespecificneedsofourrural for a broadrangeofclinicalandcommunityservices provides todevelopseamlesscarethat beenable “With thenewstructureinplacewehave Azu embracedtherurallifeof have andhisfamily Azubuike ChiefRadiographer Ararat 16/09/09 2:30PM Our community Our people Our place

Clinical Services

Acute Inpatient Unit Medical imaging Department The Acute Inpatient Unit is an integrated, patient centered care unit that The Medical Imaging Departments at East Grampians Health Service 15 offers a high standard of service to the Ararat and District community. It and Stawell Regional Health collaboratively function to provide radiology comprises Medical, Surgical, Paediatrics, Midwifery and Palliative Care. services to about 20,000 people living in Ararat Rural City, Shire of During the year we have been able to balance the availability of beds Northern Grampians and surrounding communities. for these services and surgery has been delayed or cancelled on very The Computed Radiography (CR) equipment was commissioned in few occasions. May 2009 by Chief Commissioner of Victoria Police, Simon Overland. The Shared On-Call weekend arrangement with Stawell Regional Health This equipment enables our specialists and referring doctors to (SRH) is an excellent service providing staff and community benefits. view patients’ medical images online, facilitating delivery of quality Maternity, Surgical, Radiology and Pathology are covered in this patient care. arrangement, which continues to be an efficient use of resources. We provide 24 hour 7 day a week radiology service, covering general Our maternity services continue to expand with Midwives more actively X-rays, CT scan, Ultrasound and Theatre radiography, helping doctors involved in the antenatal care of mothers. This enables us to provide care for the health of the local community. continuity of care from the antenatal period through to postnatal care. We recruited two full time members of staff, which gives us more We continue to liaise with SRH in regard to on-call arrangements, capacity to continue providing uninterrupted high quality patient care.

continuing Professional Development and workforce planning issues. Annual Report East Grampians Health Service 2008/09 As in other rural health services, staffing is an important issue. It is Professional Development pleasing to report that the Inpatient Unit has successfully maintained a As a result of an external review of our education services changes full staffing EFT. have been made to the structure with the appointment of Heather At the Health Service, education is a high priority. We strive to support Phillips as Manager, Education Services. As a result of the review, roles our staff to maintain their mandatory education and actively encourage within the education centre are now clearly defined, which will enable and support our staff who wish to go on to achieve a higher education this service to respond to the increasing demands and growth. in order to provide the very best standard of care for our patients. Undergraduate student placements are co-ordinated by the Education Our Palliative Care Unit has been greatly appreciated by families in Manager, hosting students from Australian Catholic University, Deakin the community. It is a unique area where families and staff can work University Warrnambool and University of Ballarat undertaking programs together to create a peaceful and supportive environment for patients in RN Div 1 and 2 and also from Deakin Medical School and TAFE and their families and friends. campuses Cert III. Student evaluations of their placement time are consistently positive. During the year 30 students have undertaken Health Information Service placement at EGHS. The Health Information Service at East Grampians Health Service A number of nurses successfully completed their graduate year in early has been working towards the implementation of the Healthsmart 2009 and three more commenced a 52 week graduate nurse program Patient Management System as part of the regional rollout. The aim in February 2009. This structured program allows for rotations of this system is to standardise data collection throughout the State so through IPU, Lowe St, Perioperative Unit, District Nursing Service and effective benchmarking and DHS reporting can be performed which in Community Centre and the provision of five study days. Our Clinical turn will result in improved patient outcomes. Support Nurses provide transitional support to the graduates. One of the main tasks in Health Information Services is to analyse The average mandatory education attendance was 92% and in acute patient records (clinical coding). This process looks at the the coming year education will focus on Emergency Preparedness, patients’ treatment during their stay and forms the basis for funding Aggression Management training and Elder Abuse which will be received for their admission. (Calculation of each patient’s Diagnostic mandatory for all departments at EGHS. Related Group). Registered Nurse Leanne Atkinson has been awarded the Angela Patients with private health insurance are encouraged to use it when Laidlaw Clinical Scholarship to undertake a Nephrology course. they are admitted as inpatients or for a day procedure as there are no EGHS has hosted several workshops and study days approved for out of pocket expenses. This is another way of obtaining revenue by funding under the CNE grant or Grampians Region Highway model assisting the Health Service to meet Private Patient targets. 2008 – 2011. These days provide and reflect quality evidenced based practice, foster professional and personal development. E learning was launched at EGHS in May 2009 and is a great resource, providing a consistent and effective learning tool, readily available and time efficient education.

EGHS AReport 80pp A4 Inside.indd 15 16/09/09 2:30 PM East Grampians Health Service Our lives...

16 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Frank Moore has settled in well to life at Garden View Court Hostel and loves nothing better than a visit from his son Alan with the support of Kerry Hogg PCA

“We provide an excellent range of aged care programs and services, some of which enable our elderly community to live healthier lives often with support in their own homes. The challenge now is to forecast future accommodation needs and how we best tailor care to support residents and their families. We have been working closely with the Aged Care Branch of the Department of Human Services to review our current practices in order to better plan for the needs of our ageing population.” Peter Armstrong, Manager Aged Care Services

EGHS AReport 80pp A4 Inside.indd 16 16/09/09 2:30 PM Our community Our people Our place

Aged Care Services

70 Lowe Street Nursing Home Garden View Court Hostel In March 2009 we achieved great results through the Aged Care Over the past twelve months we have been able to attract a number 17 Accreditation process following two days of intensive review. A highlight of wonderfully dedicated volunteers who add much to the lives of the from the review was feedback that there is obviously a strong caring residents. Staff have focussed their efforts on engaging the residents relationship between residents and staff and that the new facility in a variety of activities, which has created an inviting as well as is working well. We are working with the Aged Care Branch of the stimulating atmosphere. Some activities have included a focus on Department of Human Services looking beyond accreditation to ensure mental stimulus with competition between Garden View Court and the high standard of care continues with the emphasis on positive Hostels in Tocumwal and Berrigan eagerly anticipated. individual resident outcomes. Improvements around the hostel to provide a comfortable and safe The Lowe Street Auxiliary continues to provide valuable resources and environment have included new carpets, repainting of bedrooms when equipment to the home as well as maintaining strong links with the possible, concrete work around the B.B.Q area and the purchase and a local community for our residents. The Auxiliary and our volunteers donation of a wide flat screen TV by the Auxiliary in the activities room. certainly make a significant impact on the residents’ lifestyle and their Our residents are always involved in the planning of activities and ongoing involvement and dedication is appreciated. Our challenge is to changes within the hostel and certainly see the hostel as their home. maintain the balance between a home-like atmosphere and providing a safe environment. During the coming year we will focus on ensuring Willaura Health Care and Parkland House Hostel Annual Report East Grampians Health Service 2008/09 this continues with the assistance of the local community. Willaura Health Care and Parkland House Hostel provide Aged Care In order to meet the changing needs of our residents, and to respond Services to members of this vibrant rural community. Services include to feedback from resident and family meetings, staff participate in residential high and low level care and short-term care for those both professional and personal development throughout the year. This requiring hospitalisation for a medical condition or recovering from ensures that expectations correspond to service delivery. recent surgery. Care and activities are tailored to meet individual needs and are Patricia Hinchey Day Centre supported by visiting health professionals including Medical Officer, The Day Centre has been a hive of activity throughout the year. It Physiotherapist and Podiatrist. As in all East Grampians Health Services provides a welcoming environment where companionship is nurtured Aged Care facilities, Willaura is grateful for the help and support of its and friendships encouraged through a range of planned activities to dedicated Auxiliary and volunteers who provide positive links to the provide for clients’ individual needs. local community. The Auxiliary has worked tirelessly throughout the year, raising funds to In April 2009, following two days of thorough review, Willaura received purchase equipment, supporting clients to enable them to have special positive feedback and a full three-year accreditation from the Aged activities paid for and, importantly, assisting staff. Care Standards Accreditation Agency. This was a great reward for the Each month the Client Opinion Group meets, and is a great opportunity high level of care provided in the facility and recognition of the strong to discuss the activities program and any other issues of concern in community links that exist to maintain them. an open and friendly atmosphere. New office bearers were appointed: Rosie Dryburgh President and Phil Donohue Vice President. Disability Action Plan The Royal theme for this year’s annual ball was a huge success East Grampians Health Service is in the initial phase of developing its with over 80 people in tiaras and ermine! Basil Liddle one of our Disability Action Plan (DAP). A DAP is a plan by which organisations great volunteers entered the Pacific Hydro Weather Vane Sculpture devise and implement actions to ensure that facilities, services and competition and won the judges award at The Elmhurst Festival with programs cater for individual needs and do not exclude people with a his sculpture Harmony with the Bird. He won first prize of $500, which disability, or treat them less favorably than other people. he generously donated to the Auxiliary. It is with regret that we have to Under section 38 of the Victorian Disability Act 2006, the Victorian report that this long time volunteer has recently died. We all have fond Government has identified four key outcomes that a DAP should memories of his generosity of spirit. He will be sadly missed. address: They are: • reducing barriers to access • reducing barriers to employment • promoting inclusion and participation • achieving tangible changes in attitudes towards those with a disability

East Grampians Health Service has participated in initial training sessions about DAPs and part of the development of any plan is consultation and links to the local community to receive feedback about current issues. Through this process with our community we can improve services to meet the four key areas. More information and community consultation will occur in the coming months.

EGHS AReport 80pp A4 Inside.indd 17 16/09/09 2:30 PM East Grampians Health Service Our lives...

18 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

As a resident of the Garden View Court Hostel Stan Jesse is able to access Primary Care

“The Primary Care department has responded proactively to our community’s needs. This has been demonstrated by expanding our Diabetes Service in response to the increased number of newly diagnosed Type 2 Diabetics within the region. In addition the introduction of specialised Stomal Therapy and Wound Care nursing as well as the re-establishment of our Podiatry Service have been great achievements. The Primary Care team works under a client centred model of care and staff actively update their skills and knowledge base in order to provide the community with the best evidence-based practice and information available.” Julia Ogdin, Primary Care Manager

EGHS AReport 80pp A4 Inside.indd 18 16/09/09 2:30 PM Our community Our people Our place

Primary Care

Regional Community Health Nurse Podiatry There have been many opportunities to work in partnership with After a protracted gap in service provision in 2008, due to difficulties 19 community groups on events and projects to provide basic, core health with recruitment, Podiatry Services have been re-established. The promotion messages of healthy eating, physical activity and being communities of Ararat, Willaura, Lake Bolac and Elmhurst as well as socially connected. our residential services 70 Lowe Street and Garden View Court Hostel We have been actively involved with Gardening for Renewal Day with are all delighted with the return of this service. All clients are treated in the Community Bendigo Bank, Kids Eating Healthy with the Willaura a model of Patient Centred Care. Recreation Reserve who are keen to support a Sustainable Farm Families program for Willaura and District and with the Cancer Council Community Forum. We have assisted the House Open Wide (HOW) Centre of Willaura on submissions for equipment and Free Public Access Internet which is now up and running at the HOW Centre. Through the Moyston Willaura Football Netball club we have had access to the men of the community and Auskick has provided a great venue for the Kids Go For Your Life Bus to engage with the rural children of Moyston and Willaura. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Dental Department Dental Health Promotion has been directed at many different sectors of the community. From kindergarten orientations aimed at having all pre-schoolers screened for caries while still in the deciduous dentition as well as oral hygiene instruction radio messages aimed at the wider community; to championing water fluoridation in the Ararat area. We hope that water fluoridation will see a new era of improved oral health for the region. Tai Chi Tai Chi as a method of increasing physical and mental well being for clients continues to be popular. Three groups combined to perform at the 2008 Golden Gateway Festival Concert. 44 people completed the Qigong Life Energy program, which was conducted in Ararat, Willaura and Stawell. Stomal Therapy & Wound Care The addition of a specialist stomal therapist and wound care nurse ensures that patients with these specific needs can be serviced in their local community without needing to travel. Social Work Social Work provides both an outreach service to Ararat, Elmhurst and Lake Bolac districts, as well to patients, residents and clients of East Grampians Health Service. The Social Work expertise is wide and varied and clients are assisted in many areas related to health issues, grief and bereavement, legal issues, accommodation, advocacy and Podiatrist Sandy Jones epitomises the multicultural family at EGHS, crisis intervention. having come to work in Ararat from Chile via 20 years in the UK. Social Work contributes education and resources to the Cardiac and Pulmonary Rehabilitation programs as well as providing services to the Oncology Unit and regularly participating in GICS (Grampians Integrated Cancer Service) Supportive Care Meetings. Social Work facilitates the Carer Support Group and Depression Support Group and is represented on the Ararat Rural City Sustainable Communities Committee and the Primary Care Partnerships Grampians Region Mental Health Working Party.

EGHS AReport 80pp A4 Inside.indd 19 16/09/09 2:30 PM East Grampians Health Service Our lives...

The Hospital Admission Risk Program - Better Care of Dietetics Older People Program Dietitians have continued to service regional areas such as Lake Bolac, The Hospital Admission Risk Program (HARP) - Better Care of Older Willaura and Elmhurst providing consultations and health promotion activities. The Community Kitchen project has continued to develop with 20 People (BCOP) has increased dramatically from three clients receiving services in September 2008 to 32 in June 2009. The program has a two kitchens currently running in Ararat and another in the planning client centred approach and aims to reduce avoidable admissions to stages. Dietitians have increased their involvement in the care of hospital and presentations to the Emergency Department, or reduce oncology and dialysis patients and have assisted clients in the length of stay in hospital for older people with chronic conditions. the Community Centre to make positive dietary changes to improve Outreach services have commenced with Care Co-ordinators operating their health. from Elmhurst and Lake Bolac Bush Nursing Services. Community Health Nursing - Cardiac and Breast Care Health Coaching training has assisted staff to develop techniques to A multidisciplinary team consisting of Community Health Nurses, achieve positive health and lifestyle outcomes for clients. Feedback Physiotherapists, Pharmacist, Dietitian, Social Worker, Quit Facilitator received has identified that clients are more confident in managing their and Occupational Therapist provide support, education and exercise condition and have reported that their quality of life has improved. sessions to 42 people participating in the Cardiac Rehabilitation and Healthy Hearts Program. The program focuses strongly on secondary prevention to minimise future events occurring. Ararat Heartbeat Support Group provides support to participants and financial help to purchase equipment. The Heartbeat Walking Group and Women

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Walking Around the Lake Group provide great opportunities for support and friendly networks for people wanting to improve their physical fitness. The Breast Cancer Support Group provides ongoing support and assistance to the Look Good Feel Better Program and volunteers assist the Oncology Unit. Pink Ribbon Day focused on Breast Screening and the Early Detection of Breast Cancer. Education, information and awareness sessions have been well attended by the community and women from the Stawell and Ararat Breast Cancer Support Groups. Over 600 people attended the Mothers Day Classic in Ararat with the Breast Care Nurse providing information on the Day. Four additional Breastscreen buses accommodated women from Ararat, Moyston and Willaura who attended the screening sessions. Diabetes Education The incidence of Diabetes Type 2 in Ararat (85.23%) is higher than the national average (82.85%) of people with diabetes (National Diabetes Services Scheme, 2009). The diabetes education service has been increased to improve access and support for individuals, carers, families, health professionals, groups and communities affected by diabetes. A Credentialed Diabetes Educator (CDE) has been based at the Community Centre and provides monthly outreach services for Lake Bolac, Elmhurst and Willaura. In May 2009, monthly sessions started at the Ararat Medical Centre. CDEs adopt a ‘client centred’ approach that integrates ‘self management’ education and clinical care, and promotes physical, social, cultural and psychological well being, to Marlene Goudie Manager HARP has helped HARP clients with improve health outcomes. appropriate information to improve their quality of life. Occupational Therapy The Occupational Therapy Department has successfully streamlined the equipment hire service resulting in increased efficiency in the last financial year. Input to the regional Flexible Transport Steering Committee has been instrumental in achieving a range of flexible transport options for clients across the three shires of the Alliance.

EGHS AReport 80pp A4 Inside.indd 20 16/09/09 2:30 PM Our community Our people Our place

Community Health Nursing - Pulmonary Physiotherapy Rehabilitation / Respitory Support The Physiotherapy Department has continued a broad service both Pulmonary Rehabilitation programs enable people with respiratory within Ararat and the region. Group exercise programs have expanded in the regional centres of Elmhurst and Lake Bolac with the introduction disorders to manage their condition better. Weekly exercise sessions 21 enable clients to maintain an optimum level of fitness. of strength training for a younger group of participants “Fabulous Fit Forties, Fifties and Sixties”. It was anticipated that these groups would A portable oxygen concentrator has been purchased for community be held for two months but their success has seen them become members who use home oxygen therapy. This small lightweight an additional ongoing service. New equipment including fit balls, machine will make it easier for people to access social and medical dumbbells, leg weights, and thera-tubing were provided for these engagements, which require extended time. regional strength training groups through the Council of Australian To assist schools attain Asthma Friendly status, school staff have Government (COAG) Long Stay Older Patients (LSOP) mobility project undergone asthma education. and Lisa Cossan, from the West Vic Division of General Practice. This The Community Nurse has also been involved in head lice inspections, has enabled these groups to offer a variety of exercises and maintain carried out at schools’ requests; assisted at the Ararat North Breakfast participants’ interest. Club Program and conducted Quit Smoking programs at the Ararat The “Make a Move-No Falls” program has continued with the addition and Langi Kal Kal prisons. Quit Victoria and Tobacco Research invited of foot care/podiatry and optometry health education. The LSOP the Community Nurse to present a paper on her experience of ten mobility project, a joint project with Ballarat Health Service and Stawell years as a Quit educator in the prison system. Smoking cessation Regional Health, ensured that the exercise classes were evidenced counselling has been provided to community members on an individual based and delivered regular outcome measures for the participants. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 and group basis. Staff have undertaken professional development in Clinical Pilates and are working towards a clinical audit of the Clinical Pilates program. Physiotherapy students from Charles Sturt and LaTrobe Universities have continued placements within the department. Post Acute Care Post Acute care helps patients achieve a smooth transition from an acute hospital setting to home, by organising and co-ordinating appropriate Community Services and ongoing care. Staff participate in the regional Effective Discharge Group, which meets regularly to benchmark the discharge process in the region. Our discharge process has compared favourably with other health care services within the group. Speech Pathology Speech pathology services continue to expand with high numbers of adult and paediatric referrals provided at East Grampians Health Service and as outreach services to Lake Bolac, Willaura and Elmhurst. Our program also provides regular education sessions to mothers’ groups and pulmonary rehabilitation groups, regarding information related to communication and swallowing disorders.

It’s enough to make you want to quit! Cheryl Haines uses this jar to demonstrate quit smoking aids.

EGHS AReport 80pp A4 Inside.indd 21 16/09/09 2:30 PM East Grampians Health Service Our lives...

22 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Leanne Atkinson RN Div 1, this year’s recipient of the Angela Laidlaw Clinical Scholarship

Medical Services “General Practitioners, Specialist staff and Visiting Medical Officers ensure that patients and clients receive excellent medical care, without the necessity of having to travel to larger regional centres. Their commitment to working for this dynamic rural health service is very much appreciated.” Dr Robert Grogan, Regional Director of Medical Services

The Clinical Consultative Committee continues to meet monthly to Visiting Medical Officers develop its role as a positive forum for discussion and debate on issues To acknowledge our medical colleagues for their commitment to our relevant to EGHS and the community. The Committee consists of Board Health Service, we were delighted to invite them to the inaugural Members, Visiting Medical Staff, the Chief Executive, Director of Clinical Board and Visiting Medical Staff Dinner in their honour. President of Services, Manager Quality and Risk Management and the Director of the Board, Mr Graeme Foster hosted the dinner and during the evening Medical Services. former Board Chair, Mr Bill Jones, gave an informative and entertaining Some of the key issues discussed during the year included talk on the role that medical officers had played over the years in Commonwealth and State Government initiatives; WestVic Division improving the health of the citizens of the Ararat district. It was a gala of General Practice; Continuing Education for rural doctors; Medical occasion with input from Hotel Services and the Manager of Executive workforce and planning; activity and financial monitoring; the on-call Services to ensure that the Visiting Medical Officers were recognised service and rosters; Ambulance Services; Radiological Services and appropriately. For many it was the first time a Health Service had taken medico-legal matters. the opportunity to thank them in this way. We anticipate that it will become an annual event. Credentialing The Medical Credentialing and Appointment Committee continues to WestVic Division of General Practice meet annually and as required. This Committee comprises Board We continue to enjoy a close working relationship with the WestVic members, Medical staff, Chief Executive, Director of Clinical Services Division of General Practice and acknowledge the support of Sally and Director of Medical Services. The primary role of this important Philip, Executive Officer of the Division. Committee is to oversee and guide the appointment process for medical staff, embracing both the aspects of credentialing and the granting of privileges for full time staff, visiting staff, locum practitioners and registrars.

EGHS AReport 80pp A4 Inside.indd 22 16/09/09 2:30 PM Our community Our people Our place

23 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Mr Barry Alexander and RN Div 1 Carolyn Shea understand that team work is the essence of good results

Regional Director of Medical Services General Surgeons Oncologist & Haematologist Dr Robert Grogan MBBS (Melb), MPH (Mon), Mr Barry Alexander MBBS, FRACS Professor George Kannourakis MBBS, BMedSci, Dip Obs RCOG, FRACMA Dr R. Norman Castle OAM MBBS Ph.D, FRACP Dr Michael Condous MBBS, FRACS Dr Stephen Vaughan MBBS, FRACP, FRCPA Visiting Medical Staff Dr David Deutscher MBBS, BSC, FRACS Dr Chris Allada MBBS, FRACP Dr Thomas Fisher MBBS (Melb), FRACS Ophthalmic Surgeon Dr Tony Stubbs MBBS, BMedSci., BSc (Hons), MSc, Dr Daffodil Beaty MBBS, BAppSci (Registrar) Ms Tamaris Hoffman MBBS, FRACS (Locum) MS (Surg.), FRANZCO Dr Graeme Bertuch MBBS, FACRRM Dr Roger Warne MBBS, FRACS Dr Abha Chikarsal MBBS (Registrar) Dr Ben Yokhanis MBCHB (Mosul), FRACS, Orthopaedic Surgeon Dr Michael Connellan MBBS, DRANZCOG, FRACGP, FRCS (UK) Mr John Patrikios MBBS, MS, FRACS FACRRM Dr Andrew Cunningham MBBS, Dip Obs, Anaesthetist Palliative Care DRANZCOG Dr Neil Provis-Vincent MBBS, BMedSci. (Hons), Dr David Brumley MBBS, FRACGP, FAChPM MSc FACRRM Dr Mark Deary MBBS, (Zimbabwe) Dr Greg Mewett MBBS, DRCOG, FRACGP, FACHPM Dr Abra Fransch MBChB, MCPCPZ, FCPCPZ Dr Matthew Acheson MBBS, FANZCA (Locum) (Zimbabwe) Pathologist Ear, Nose & Throat Surgeon Dr Michael Plunkett MBBS Dr Christopher Pilbeam MBBS, BMedSci, Ph.D, Mr Niall McConchie MBBS, FRACS Dr Samudra Peiris MBBS (Registrar) FRCPA Dr Derek Pope MBBS, DRANZCOG, FACRRM Geriatricians Radiologists Dr Pieter Pretorius MBChB (Pretoria) M.Med (Family Dr John Hurley MBBS, MRCP (UK) FAFRM Medicine) FRACGP Dr Anthony French MBBS, FRANZCR Dr Stewart Malcolm MBBS, BMedSci., FAFRM Dr Adnan Rasheed MBBS (Pakistan), ARSCSA Dr Kim New MBBS, FRANZCR Dr Fahim Shahbaz MBBS (India) Gynaecologists Urologists Dr Benjamin Tarsh MBBS B.Med (Registrar) Dr Michael Bardsley MBBS, DRANZCOG, FRACGP, Mr David Cook MBBS, FRACS Dr Eric Van Opstal MBBS, DGM, D.Pall Med MRANZWG Dr Lydia Johnsputra MBBS, FRACS FRACGP, DRANZCOG, FACRRM Dr Katrina Guerin MBBS, DRANZCOG Dr Chee Sheng Wong MBBS FRACGP Visiting Dental Staff Nephrology Dr Rebecca Young MBBS (Registrar) Dr Jins Jacob BDSc, (India) Dr John Richmond MBBS, FRACP Dr Imogen Nooney BDSc, (London) Dr Charles Reid BDSc (Liverpool) Dr Josephine Szeto BDSc

EGHS AReport 80pp A4 Inside.indd 23 16/09/09 2:30 PM East Grampians Health Service Our lives...

24 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

The well kept gardens are important to residents, clients and staff and Rodney Taylor really enjoys keeping them looking colourful

“We have continued in our pursuit of excellence in the provision of support services that are vital to the efficient operation of the Health Service.” Stuart Kerr, Director Support Services

EGHS AReport 80pp A4 Inside.indd 24 16/09/09 2:30 PM Our community Our people Our place

Support Services

Catering Services Contracts The Catering Department through the Grampians Health Alliance Support Services is responsible for managing contracts for new works 25 commenced supplying and delivering meals to Stawell Regional Health that involve external contractors and/or maintenance staff. We ensure in December 2008. This included McPherson Smith Nursing Home, the that all contractors adhere to our philosophy of working towards an Day Centre and Meals on Wheels. environmentally sustainable future. East Grampians Health Service Catering department continues to be a benchmark for many health facilities with its use of the Cook/Chill The Environment - Waste Management system. Both the internal and external catering service has been in high Staff have been diligent in their efforts to adhere to our recycling demand, promoting our Health Service to organisations who request the policy using the systems we have in place and, for this, the Health use of our conference facility and Catering Department. The Mundarra Service received a bronze certificate from Wastewise. To address Muster was a highlight on our catering calendar, with the department our environmental responsibilities a number of strategies have been supplying 540 meals for this highly regarded fundraising event. implemented which have lead to the reduction of our landfill collection by two pick-ups per week. A new infectious waste storage shed was Cleaning completed in October 2008 meeting all Standards. Environmental Staff have continued to maintain above standard cleaning results this year. These results are calculated from monthly Water Usage East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 internal audits, completed by internal EGHS auditors and an annual An external Water Audit was conducted in May 2009 that identified external audit conducted by nominated DHS personnel. Internal and areas where we could save water. We have already commenced some external audits assist in monitoring cleaning standards in all areas of of these recommendations. the health facility. Again we achieved an overall calculation of 99.1% on the external audit result. The high-risk areas, Theatre and CSSD Grants have continued to receive 100%. This is a great achievement and an We were successful in receiving $167,372.00 in funding for acknowledgement that our staff always work to maintain the highest environmental improvements as part of the Council of Australian standards. From 2010, DHS is planning to increase the number of Governments (COAG) long stay older patients (LSOP) initiative. external audits to three per year. This will give the Health Service Improvements include: significant benchmarking indicators and performance targets. • Modification to front entrance of Ararat Hospital • Install hand rails in passage ways leading to Radiology and Pathology Maintenance Our maintenance program covers Ararat and Willaura campuses, • Cement external pathways/install seating at Ararat/Willaura which comprise facilities that range from old buildings to very modern • Install high/low benches in reception areas of Day Centre buildings over a site of approximately six hectares. and Willaura Buildings, gardens, emergency and security monitoring systems, along • Perimeter secure fencing installed at Willaura with daily repairs and maintenance requirements are a focal part of the Department. A committed and organised program of preventative • Repair uneven floor in Gardenview Court and replace floor covering maintenance and prompt attention to repairs and breakdowns includes • Install alarm system for patients with dementia in Acute Hospital a 24-hour, 7 day a week on call service for all emergencies. Major upgrades during the year included the completion of a number At Willaura Campus we have undertaken a Fire Service Upgrade and of maintenance projects at the Willaura Campus including new fire external painting. mains and hydrants upgrade, new security fencing at Parkland House Hostel and other works funded under the Improving Environment for the Elderly program. All upgrades were completed on time and within budget. Facilities Pyrenees House has been included in the National Register of heritage buildings by Heritage Victoria. We are now engaged in the process of establishing a working group including representation from the Board of Management, staff and community to look at how we can retain Pyrenees House heritage integrity while at the same time ensuring its potential as an active building.

EGHS AReport 80pp A4 Inside.indd 25 16/09/09 2:30 PM East Grampians Health Service Our community...

26 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

The ladies of the Willaura Auxiliary and Volunteers love to splash a little colour around for Daffodil Day. Val Albert, Joan Jenkinson and Karen Gleeson have been fantastic support to Willaura Nursing Home

“Our community stands out as generous and spontaneous in so many ways. Their response to our ongoing fundraising events is just amazing! The Mundarra Muster and the Victoria Police Blue Ribbon Ararat Branch - Gala Night of Nights stand out as the most memorable events on this year’s fundraising calendar. Our other events have been equally well supported, including the annual Murray to Moyne, the WWW. Women, Wisdom & Wellbeing Dinner, the Ararat Hospital Charity Golf Day and the Willaura Hospital Market Day. The wonderful efforts of our Auxiliaries, the enthusiasm of our volunteer organising committees, our valued sponsors and the fantastic support of the community make us truly thankful.” Dianne Radford, Community Liaison

EGHS AReport 80pp A4 Inside.indd 26 16/09/09 2:30 PM Our people Our place Our lives

27

The Mundarra Muster organising committee John Davies with his wife Jennie receiving Victoria Police Blue Ribbon Foundation’s Chairman’s Medal from Chief Commissioner Simon Overland

Our Community Annual Report East Grampians Health Service 2008/09 Mundarra Muster Victoria Police Blue Ribbon Ararat Gala Night of Nights On a brilliant April Sunday, over 550 people converged on Geoff Over 270 guests danced the night away as Victoria Police Code 1 Laidlaw’s “Mundarra” property by the banks of the Hopkins River to Band took centre stage for the first time at the Ararat Branch’s major participate in what has to be the most rewarding fundraising event of fundraiser, in the company of recently appointed Chief Commissioner of our year. Victoria Police, Simon Overland. This ‘one off’ event, hosted by Geoff and his family, celebrated the For the Ararat Branch this was the 8th year of the event and through life of his wife Angela, who was a valued staff member and sadly died the generosity of guests, together with the many supporters and in April 2005, to raise money for a clinical scholarship in her name. community donations on the night, over $39,000 was raised. This, Over $70,000 was raised; a phenomenal amount of money which will along with The Victoria Police Blue Ribbon Foundation separate assist in the longevity of the Angela Laidlaw Clinical Scholarship for donation of $30,000 has been donated to the John McNally Medical future generations. Imaging Department at the Ararat Hospital. The organising committee consisted of Rowly Paterson (Chairman), $10,000 was presented on the night by Chris Emmerson on behalf Peter Carthew, Ferg Anderson, Peter Nicholson, Terry Weeks, Liz de of the Emmerson Financial Group and AMP Foundation. This further Fegely, Liz Laidlaw, Judy Barr, Sharon Meek, Dianne Radford and, of strengthens the partnership with the Ararat Branch and East Grampians course Geoff Laidlaw. They are to be congratulated on their diligence; Health Service. running a successful event takes a lot of planning, hard work and The Ararat Branch of Victoria Police Blue Ribbon Foundation was involvement of many community volunteers to ensure those attending established in 2002 to perpetuate the memory of Sgt McNally and have a great time. Our catering department excelled themselves in to date well over $450,000 has been raised and dedicated to East providing a sumptuous feast and the wineries of the Grampians region Grampians Health Service (Ararat Hospital). were overwhelming in their support for this occasion. The dedication of the John McNally Medical Imaging Department by the Major supporters were Grampians Event Hire, Milemaker Petroleum, Police Commissioner on the same day certainly reinforced the strong Seppelt Great Western, Montara Wines, Ace Radio Network and partnership that has evolved between the Victoria Police Blue Ribbon Powercor Australia who all contributed significantly to what was an Foundation, the Ararat Branch and East Grampians Health Service and amazing final result. We sincerely thank them and all those who is a role model for others to follow. attended for making it a brilliant day.

Volunteers and Auxiliaries Our volunteers and auxiliaries will be acknowledged specifically in Community Matters. However, their role is too important to East Grampians Health Service not to recognise their contribution to the well being of our residents and clients. Our volunteers give their support and good humour, advice, life skills and knowledge – while our Auxiliaries in addition fundraise for the replacement and purchase of equipment and furnishings. The Auxiliaries support EGHS, Lowe Street, Patricia Hinchey Day Centre, The Ark Toy Library and Willaura. We would also like to acknowledge other volunteer groups: Red Cross Book Service, Ararat Breast Cancer Support Group and Ararat Landcare Group. LINC is our community consultative committee, made up of representatives from the community, the Board of Management and staff. This committee is the ears and eyes of the community, contributing essential information to the BOM to assist in the planning of future service delivery. They are all invaluable members of our teams.

EGHS AReport 80pp A4 Inside.indd 27 16/09/09 2:30 PM East Grampians Health Service Our community...

Life Governors Community Matters The awarding of a Life Governor to a community member recognises Last year we published Community Matters, our report to the a significant service to East Grampians Health Service. Mrs Fay community demonstrating how we have listened, responded and Hull, retiring Board Member was appointed Life Governor at last improved our services. Over 5,000 Community Matters were distributed 28 year’s Annual General Meeting. The presentation acknowledges her to households throughout Ararat and district. The feedback we received outstanding service as Board Member, President, Vice-President and was absolutely positive and we shall be continuing with this format of Treasurer from November 1996 to June 2008. At all times during her informing our community on our programs and services, acknowledging term as a Board member Mrs Hull advanced the interests of the Health in full our auxiliaries, volunteers and advisory committee as well as Service and the wider community. our financial donors. We again encourage you to complete the feedback form in Community Matters. Your comments help us with Mr G Anderson Mrs W Heard our strategic planning in regard to service delivery and promotion of our programs. Mrs P Armstrong Mrs F Hull Mrs B Bates Mr HJ Hutchinson Feedback Dr G Bertuch Mrs J Jenkinson It is important for the quality of our organisation to encourage consumer feedback. It provides constructive information and helps us plan for the Mr H Bright Mr W Jones future. We give consumers every opportunity to contact us to let Mr AT Bryant Mrs L King us know when things go well or when we don’t meet expectations. Mrs J Burke Mr G Laidlaw We acknowledge that we don’t always ‘get it right’, however we East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Mr P Carthew, AM Mrs M Leslie are committed to addressing concerns and improving the way we deliver services. Mr R Carthew Mr B McCutcheon The Complaints Officer manages all community concerns confidentially. Mr L Clark Mrs J Millear Last year the health service received 87 concerns and 268 Mrs N Dalkin Mrs AR Milvain compliments. Both are equally as important in shaping our future Mr I Daly Mrs M Murray service delivery. Dr FP De Crespigny Mrs J Nunan All formal complaints are directed to the Chief Executive and are dealt with according to guidelines laid down by the Health Mr C de Fegely Mr AT O’Neill Services Commissioner. Mrs R de Fegely OAM Dr M Plunkett Mrs P Ervin Mr D Reid TOTAL CONCERNS Mr J Evans Mr R Roberts RECORDED COMPLAINTS COMPLIMENTS TOTALS COMPLIMENTS Mr N Faneco Mr RO Scherer RECOMMENDATIONS & COMPLAINTS Mrs C Forster Mrs S Shannon July 2002 - 117 43 160 Mr IR Foster Mr KP Shea June 2003 Mr LG Gason Mr WHV Studd July 2003 - 102 101 203 Mr D Haddow Mr BR Tivey June 2004 Dr R Handscombe Mr N Tosch July 2004 - 123 173 296 Mrs S Handscombe Mrs V Tosch June 2005 Mrs KT Harvey Miss K Turner July 2005 - 102 213 315 June 2006 Mrs M Heard Mr EM Wilson July 2006 - 128 221 349 Accolade of Achievement June 2007 To recognise her valuable contribution as Vice-President and Board July 2007 - 97 182 279 member from 2001 to 2008, Mrs Ruth Gellert was awarded an June 2008 Accolade of Achievement on her retirement from the Board. July 2008 - 87 268 355 June 2009

EGHS AReport 80pp A4 Inside.indd 28 16/09/09 2:30 PM Our people Our place Our lives

29 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Edna McLean and Jacinta Harman manager of the Patricia Hinchey Day Centre

Quality and Risk Management Quality of Care The ongoing development of our Risk Management Strategy, which We take our responsibility to inform our community of statutory follows Australian/New Zealand Standard 4360 2004 guidelines, requirements very seriously. However, we also want to share with our has been audited internally by our internal auditor Deloittes. Its consumers and stakeholders how we have listened and responded to development has given us an opportunity to establish processes their concerns and suggestions. Our Legislative Requirements on our and documentation to comply with our organisational obligations for Quality of Care to the community will be reported on in full in this year’s appropriate risk management. Community Matters. We have reviewed our Risk Register with the assistance of the Victorian Managed Insurance Authority (VMIA) to identify corporate, clinical Security Audit and support risks and to assess these factors against our Strategic A Security Audit was conducted by the Loss Prevention Group of Goals. From this process we have developed new Statements of Risks Australia. As a result an Action Plan for improvements is now in place to be adopted by the Board of Management (BOM) early in the next which is monitored through the Emergency Planning Working party, financial year. reporting to the Risk and Compliance Committee. We welcomed DHS’ Open Disclosure Policy as an opportunity to Quality communicate more effectively with stakeholders affected by either A Quality Framework is being developed in line with Principals of ISO adverse or sentinel events. DHS research indicates that this transparent 9000. This quality management system standard is recognised and process has been favourably received. respected worldwide and in the development of our Quality Framework With the release of DHS’ Clinical Governance framework, the Board we have focused on improving processes and efficiencies. accepts its responsibilities for Clinical Risk Management and has As part of the framework we have achieved successful accreditation in place strategies for its incorporation into the Strategic Plan and across six services. introduction into clinical practice. To ensure it was cognisant with the implications of the framework the BOM and Executive Team Tax Deductability were provided with a presentation conducted by the Quality and Risk EGHS has received an Endorsement from The Australian Taxation Office Manager in all relevant aspects. as a deductible gift recipient under the Income Tax Assessment Act 1997. Donations are all placed in a Special purpose fund. A register is kept of donors and the Chief Executive acknowledges all donations.

EGHS AReport 80pp A4 Inside.indd 29 16/09/09 2:30 PM East Grampians Health Service Our people...

30 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Strategic Development Group - John Davies, Mark Knights, Stuart Kerr, Mario Santilli, Helen Watt and Glenys Andrew.

“Corporate Governance is the framework by which the Government places trust and accountability in the Board of Management to obtain, maintain and monitor performance throughout the Health Service. The Strategic Plan, a five-year outline of major goals, is reviewed annually to ensure that objectives are being met and of its ongoing relevance.” Graeme Foster, President

EGHS AReport 80pp A4 Inside.indd 30 16/09/09 2:30 PM Our place Our lives Our community

31 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

The Board of Management working together for the community

Our People

Governance The Governing Body Governance is the framework by which the Government places trust East Grampians Health Service was incorporated under the Health and accountability in the Board of Management. Good governance Services Act 1987 Part 3 by The Governor-in-Council, acting under is achieved through appointing members with skills, experience Section 64A and 65 of the Health Services Act (Vic) 1988. The and independence to represent a diverse community. The Board of incorporation came into effect on 1 July 1995. Management manages this process ethically and transparently and East Grampians Health Service is accountable, through its Board of is accountable through its decision making to guide and influence Management, to the Minister for Health, the Hon Daniel Andrews MLA. strategic and financial performance responsibly. As all stakeholders have a right to information and access, the BOM takes very seriously its In accordance with The Health Services Act, Division 4, Section 33, obligations to understand and implement legislation that has an impact The Board of Management has affirmed that the Management Group on the Health Service. and staff will carry out the Policies and Procedures of East Grampians Health Service with due diligence. The Board of Management delegates the responsibility of managing East Grampians Health Service to the Chief Executive, John Davies who, The men and women who represent the community on the Board of with members of his Executive Team, operate the Health Service in a Management are recommended by the Minister and appointed by the financially sound and responsible manner. Governor-in-Council. The Term of office for a member of the Board is usually three years. Members of the Board of Management and Executive staff are required to lodge Declarations of Pecuniary Interest to the Chairperson prior to each Board meeting.

Board of Management as at 30 June 2009

President: Graeme Foster Vice President: Sally Philip Treasurer: David Hosking Board Members: Arduina Di Guardo Geoffrey Laidlaw Heather Fleming Louise Staley

EGHS AReport 80pp A4 Inside.indd 31 16/09/09 2:30 PM East Grampians Health Service Our people...

Board of Management

32 Name Specialty Committee Membership as at 30 June 2008

President: Graeme Foster • Business management including • Clinical Consultative Director, Foster’s Mensland the health industry • Grampians Health Alliance Board Member since 01.11.04 Term of Appointment 01.07.08 - 30.06.11 • Human/capital resource management Board Meetings Attended: 91% • Aged Care East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Vice-President: Sally Philip • Business management including • Finance Committee BAppSci (PE), MBA (HR Man) the health industry • Risk & Compliance Executive Officer WestVic Division of • Health issues Committee General Practice Board Member since 01.11.06 • Human/capital resource • Grampians Health Alliance Term of Appointment 01.07.08 - 30.06.11 management Board Meetings Attended: 91%

Treasurer: David Hosking • Business management including • Finance Committee CFP, Dip FP the health industry • Audit Committee Financial Advisor Investor Financial Planning • Establishment of Foundation Board Member since 01.08.05 • Grampians Health Alliance Term of Appointment 01.07.09 - 30.06.12 • Public Finance /Economics Board Meetings Attended: 82%

Member: Arduina Di Guardo • Finance • Finance Committee Branch Manager ANZ Bank • Human Resources • Audit Committee Board Member since 01.11.06 Term of Appointment 01.07.08 - 30.06.11 • Customer Service Board Meetings Attended: 91%

EGHS AReport 80pp A4 Inside.indd 32 16/09/09 2:31 PM Our place Our lives Our community

Name Specialty Committee Membership 33 as at 30 June 2008

Member: Geoffrey Laidlaw • Community • Clinical Consultative Cert Ag Committee • Rural and socially isolated people Farm Management especially the elderly • LINC Group Board Member since 26.02.08 Term of Appointment 26.02.08 - 30.06.10 Board Meetings Attended: 82% East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Member: Heather Fleming • Community • Risk & Compliance BEd (Sec) Committee • Health issues Farmer • LINC Committee Board Member since 01.07.08 Term of Appointment 01.07.08 - 30.06.10 Board Meetings Attended: 91%

Member: Louise Staley • Finance B.A., Postgrd. Dip. Fin., M. Pub. Pol., • Investment management CFA (US), FINSIA Director Food & Environment Unit, • Government relations The Institute of Public Affairs • Strategic planning Board Member since 03.03.09 Term of Appointment 03.03.09 - 30.06.11 Board Meetings Attended: 100%

Chief Executive: John Davies Bankers: Commonwealth Bank of Australia Solicitors: DLA Phillips Fox External Auditors: Mulqueen Grifith Rogers Internal Auditors: Deloittes

EGHS AReport 80pp A4 Inside.indd 33 16/09/09 2:31 PM East Grampians Health Service Our people...

Executive Team “I have complete trust in the Executive Team to take East Grampians Health Service to the next level of service 34 delivery for our community. It’s a great opportunity to work with experienced, committed health professionals who focus on clinical, social and ethical outcomes.”

John Davies, Chief Executive

Chief Executive: John Davies Director of Finance: BHA (NSW), FAIM, FACHSE, CHE Mark Knights John Davies manages East Grampians Health B Bus. Grad Dip Bus, CPA Service with due diligence having established Mark was appointed as Director of a set of agreed outcomes between the Finance in 2006. It is a shared role Board of Management and the Department between East Grampians Health of Human Services that require operational Service and Stawell Regional Health. results in line with governance principles. Prior to that he was Director of Finance East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 John Davies is accountable to the BOM for Stawell Regional Health. He has and, through the Board, the community. He financial and operational responsibility demonstrates effective leadership through for Budget and Finance, Payroll, Patient the mentoring of staff, high ethical standards, Billing, Reception, Supply and Stores, the fostering of community partnerships and and Contract Information Technology. the provision of appropriate, responsive and Mark sees the economic component relevant health services. John was appointed of health care as significant as service to the position in 2000 and prior to that held provision and he is diligent in his senior management positions in a number of management to ensure financially metropolitan health care facilities. John has responsible outcomes that continue to chosen to retire at the end of the financial deliver improved healthcare to the rural year in June 2009. His admiration for Ararat sector. and Willaura and the community has been demonstrated in many ways over the past ten years. He leaves a Health Service respected across Victoria, which has become a leader in excellence and rural health care.

Director of Clinical Services: Director Support Services: Helen Watt Stuart Kerr RN, RM, HDCert, Grad Dip HM, MaHM, Dip.Bus AFCHSE Stuart has worked for East Grampians Helen was appointed as Director of Clinical Health Service for 33 years and Services in 2007. As a senior clinician with was appointed as Director Support extensive knowledge of acute inpatient and Services in 2007. His position has community health in rural communities, responsibility for Catering, Food Helen’s knowledge of the broader issues Services, Maintenance (including relating to clinical care have ensured that Preventative Maintenance Programs, EGHS delivers timely and relevant services by Building Maintenance and Compliance qualified staff. Reporting), Environmental and Cleaning, management of Contractors and Helen has responsibility for the management Agreements including the co-ordination of Clinical Services, which incorporates all of external suppliers for the Grampians inpatient services, Radiology, Professional Health Alliance laundry service. Stuart Development and Education, Aged Care, is the management representative on Community Health and Home Based Services. the OH&S committee. He also manages As part of her role Helen deputises for Food and Environmental Services at the CEO. Stawell Regional Health.

EGHS AReport 80pp A4 Inside.indd 34 16/09/09 2:31 PM Our place Our lives Our community

Organisational Structure

Board of Governance 35 President: Graeme Foster

Manager Executive Services Chief Executive Glenys Andrew John Davies

Director of Support Services Director of Finance Director Clinical Services Board Members Stuart Kerr Mark Knight Helen Watt

Catering Services Budget & Finance District Nursing Arduina Di Guardo Environmental Services General Accounting Education Heather Fleming Maintenance Patient Biling Infection Control Graeme Foster Contracts Reception Palliative Care David Hosking Supply / Stores Pharmacy Geoff Laidlaw Project Officer Sally Philip Louise Staley East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Deputy Director of Finance Mike Finch Manager Acute Services Lorine Paterson Board Sub-Committees

Contract Infromation Technology Inpatient Unit Ian Seaman Emergency Care Audit Chaemotherapy Clinical Consultative Midwifery Services Finance Nursing Supervisors Grampians Health Alliance Payroll Risk & Compliance Shared services with L.I.N.C. Group Stawell Regional Health Medical Appointment East Wimmera Health Service Manager Perioperative Services Brian Lomax

Manager Quality & Risk Management Manager Aged Care Services Perioperative Services Mario Santilli Peter Armstrong Day Procedure Dialysis

70 Lowe Street Director of Medical Services Garden View Court Hostel Dr Robert Grogan Patricia Hinchey Day Centre Manager Primary Care Willaura Health Care Julia Ogdin Parkland House Hostel Lifestyle Team Human Resources Officer Community Nurses Zander McDougall Dental Services Diabetic Education Manager Information Services Dietetics Nicki Blackie Hospital Admission Risk Program Contract Community Liaison (HARP) Dianne Radford Health Promotion Hospital in the Home Medical Imaging Occupational Therapy Chief Radiographer Physiotherapy Azu Azubuike Podiatry Post Acute Care Social Work Speech Pathology Contract Pathology Stomal Therapy and St John of God Wound Management

Strategic Development Group All of the above Directors, plus Quality and Risk Manager Mario Santilli Manager Executive Services Glenys Andrew Human Resources Officer Zander McDougall

EGHS AReport 80pp A4 Inside.indd 35 16/09/09 2:31 PM East Grampians Health Service Our people...

Equal Opportunity Carol Singers East Grampians Health Service has established policies and procedures For the first time, a group of staff got together at Christmas to sing to ensure that it adheres to the principals of merit and equity. carols around the wards, nursing home and hostel. The carol singers brought much joy to all. 36 We continually assess staff recruitment and selection procedures in line with contemporary employment practice and ensure compliance with the Public Sector and Employment Act 1988.

Workforce Statistics 2009 Labour Category June Current June Month FTE YTD FTE Nursing 114.73 111.42 Administration and Clerical 28.44 27.72 Medical Support 6.73 6.74 Hotel and Allied Services 53.22 55.04 Medical Officers 0.38 0.17 Hospital Medical Officers 0 0

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Sessional Clinicians 0 0 Ancillary Staff (Allied Health) 15.43 15.40 Staff Service Awards The number of staff receiving awards is testament to their commitment WorkCover Performance Statistics to their community and acknowledges that the Health Service is an WorkCover Premium costs for the next financial year have risen by employer of choice that nurtures and supports its staff. $30,797 an increase of 20.8%. This is a disappointing result, given that we have invested in strategies to reduce workplace accidents 10 Years Service 20 Years Service and injuries including early return to work strategies and equipment Michael Hall Tamara Day upgrades. Heather Inkster Kathryn Hilliard Jennifer Jamieson Glenda Hamilton 2008/09 2007/08 2006/07 2005/06 Michelle Wigg Peter McAdie Days Lost 143 72 360 98 Leonie MacDonald Margaret Brown Kathleen Fitzpatrick Gregory Dadswell Registered 6 9 4 3 Judith Young Alison Pennycad Standard Claims Anne McDougall Judith Begelhole Time-Loss 2 3 1 2 Helen Bingley Claims 25 Years Service 15 Years Service Robyn Oliver Industrial Relations Nicole Carlyle Shirley Hutchinson We have maintained an open relationship with all unions that represent Leonie Tellefson Catherine McAdie staff. During the year no days were lost due to industrial disputes. Kirsten Carr Jane Smith The unions representing staff are Australian Nurses Federation and Judith Ferguson Jennifer Dekoning Health Services Union Australia. Jenny-Lou Hinchliffe Jacinta Harman Joanne Van Opstal Staff Ball Kerry Sturmfels 30 Years Service Our staff are our greatest asset. They are wonderful ambassadors for Shirley Dalton Mark Scown our Health Service. Their sense of well being is reflected in the way they Christine Billet Christine Collins perform. When they feel fulfilled in their roles it is echoed in the way Joanne Bligh patients, families and volunteers also feel valued. It gives the Board of Therese Arnott 35 Years Service Management great pleasure to host the annual Glitz and Glamour Ball Fiona Spiller as a way to say “thank you” to our staff. This year over 180 staff and partners were entertained at the Performing Arts Centre. 20 Years Service Jennifer Spiller Elizabeth Smith Yvonne Byron Allison Woods Susan Cashin 40 Years Service Garry Tierney June Ellis Cheryl Sheills Debra Ryan

EGHS AReport 80pp A4 Inside.indd 36 16/09/09 2:31 PM Our place Our lives Our community

Senior Staff as at 30 June 2009

Executive & Manager Community Health Pharmacist Executive Financial Services Administration Services Julia Ogdin B.Health Sci (Sp Path), CPSP Olga Karia MRPharmS (UK),Post.Grad.Cert. Clin.Pharm (UK), MSHP. Director of Finance 37 Inpatient Unit Manager Mark Knights B.Bus, CPA Chief Executive Lorine Paterson RN, Dip Bus Central Grampians Palliative (Freedom of Information Principal Officer) Care Co-ordinator Deputy Director of Finance Clinical Supervisors John Davies, BHA, FAIM, FCHSE, CHE Lawrence Habegger RN, Prof Cert Mike Finch, B. Bus, ASA Erolyn Blythe MN, BN (Post Reg), RN Manager Executive Services Pharmocology, Cert Tng & Ass’mt Information Technology Consultant Sue McAdie RN, Post Grad Comm Disease, (Complaints Officer) Day Procedure Unit Ian Seaman Dip LG Cert IT Glenys Andrew Robyn Toomey RN Chris Briody RN, Cert Crit Care Quality & Risk Manager Trudy Scott Decosta RN, RM, BAppSci, Domiciliary Services Support Services Mario Santilli RPN, Grad Dip Psych Nsg, Cert Cor Care Yvonne Byron RN Cert Man Director Support Services Jodie Saunders RN, Grad Dip Health Sci Infection Control Co-ordinator Stuart Kerr PIHHC, Dip.Bus Human Resources Officer Linden Marland B Nurs, RN, Cert Steril & Heather Phillips RN, Cert Crit Care Executive Chef / Co-ordinator Zander McDougall BBus Mgt (HR) Inf Cont Tammy Plunkett RN, Grad Dip Crit Care Sarah O’Keefe, Cert Hospitality Community Liaison Nsg Education Manager Maintenance Co-ordinator Dianne Radford Zoe McAdie RN Heather Phillips RN, Cert Crit Care Harold Page, Member IHEA Roslyn Thomas RN, Cert Stomal Therapy Project Officer Environmental Services Co-ordinator Sarah Woodburn B AppSc (Pod) Post Gr Executive Nursing & Manager 70 Lowe Street Patrisha Connarty Clinical Support Services Johanna Simmonds, BNsg, RN, Dip Health Sc. (Ex.Rehab) Dip Bus Mgmt, Annual Report East Grampians Health Service 2008/09 Grad Cert Ed (Ter) Adv Dip Bus Mgmt, Grad Cert Mgmt Fire & Security Co-ordinator Director of Clinical Services Neil Nunn Helen Watt RN, RM, HDCert, GradDip HM, Manager Garden View Court Hostel Post Acute Care Co-ordinator MaHM, AFCHSE Amanda Hastings RN Div2 End. Merryn Boatman B Nsg RN Jill Turnock RN, RM Executive Assistant Manager Patricia Hinchey Day Centre Christine Doak Jacinta Harman RN Div 2 End. Manager Willaura Christine Jordan RN, Post Grad Nursing, Manager Aged Care Services Chief Radiographer / Manager Cert Gerontology RPN3 Peter Armstrong RN Div 1, Div3, B Nsg, Medical Imaging Grad Dip Psych Nsg, MBA Azu Azubuike BappSci (Med Imaging), HARP Manager Grad Dip HSM Marlene Goudie, B Nsg, RN, Dip Bus Manager Information Services Nicole Blackie B.AppSci (MRA) Perioperative Unit Brian Lomax RNMS, RCNT, RGN, DMS (UK), RN, Cert. Sterilisation & Infection Control

Our Legislative Compliance

East Grampians Health Service has a statutory obligation to report Attestation on Compliance with Australian / New Zealand legislative compliance status on a range of matters. Risk Management Standard Attestation on Data Accuracy I, John Davies, certify that East Grampians Health Service has risk I, John Davies, certify that East Grampians Health Service has put in management processes in place consistent with the Australian/New place appropriate internal controls and processes to ensure that the Zealand Risk Management Standard and an internal control system Department of Human Services is provided with data that reflects actual is in place that enables the executives to understand, manage and performance. The East Grampians Health Service has critically reviewed satisfactorily control risk exposures. The Audit Committee verifies this these controls and processes during the year. assurance and that the risk profile of East Grampians Health Service has been critically reviewed within the last 12 months.

John Davies Accountable Officer John Davies East Grampians Health Service Accountable Officer East Grampians Health Service 30/6/09 30/6/09

EGHS AReport 80pp A4 Inside.indd 37 16/09/09 2:31 PM East Grampians Health Service Our people...

Our Legislative Compliance

Clinical Governance and Risk Management Privacy 38 The development of a service-wide Clinical Governance and Risk Management strategy Privacy Legislation commenced July 1 2002 and comprises continues. At the core of this exercise is the development of a culture that: • Health Records Act 2001 • Focusses on patients, residents and clients’ needs; • Information Privacy Act 2000 • Links the values and strategic objectives to the way we do business; Information Privacy Act 2001 covers the privacy principles of: • Adheres to the principals of Acute, Aged Care and Disability Services Outcome • the collection of health information Standards. • use and disclosure of health information Building Act 1933 • data quality East Grampians Health Service complies with the Building Act • data security and retention of information 1933 - Guidelines issued by the Minister for Finance for publicly owned buildings. • openness The Project Control Group (PCG) ensures that all works requiring building approvals have • access to health information plans certified, works in progress inspected and Occupancy Permits issued by independent East Grampians Health Service has policies to ensure that the personal health information Building Surveyors. remains confidential and secure, will only be used by non-Service staff with the consent of The PCG also ensures that plans for these works are lodged with the relevant Local the patient and is accessibly by the patient under Freedom of Information guidelines. Council. It requires all building practitioners engaged on its works to show evidence of Families, residents and clients are informed of their rights regarding their health current registration. information on first contact with the Health Service. During the year the following works and maintenance were undertaken to ensure conformity within the relevant standards. Occupational Health and Safety

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Under the Occupational Health and Safety Act 2004 East Grampians Health Service has Building Works Number set Policies and Procedures that provide guidance for safety in the workplace. Designated Building certified for approval 1 work groups have been established and representatives who are elected to the OH&S (Willaura Fire Upgrade) committee all receive mandatory training as required under the Act. The committee provides strategic leadership in the ongoing requirements for the governance of safety and Works in construction and subject of mandatory inspections 1 risk for employees. (Willaura Fire Upgrade) Occupancy Permits Issued Nil Pecuniary Interest During the Reporting Period there were no instances that required a declaration of Maintenance Number Pecuniary Interest. Notices issued for rectification of Substandard buildings Nil requiring urgent attention Publications Involving major expenditure and urgent attention Nil East Grampians Health Service makes available to all interested persons any of its publications and produces a range of brochures aimed at informing the public of the Fire Risk Maintenance Works - Interim and Priority One Works breadth of services available. New fire mains and hydrants - Willaura Campus Registration Competitive Neutrality All practitioners engaged by the Health Service maintained their registered status All competitive neutrality requirements were met in accordance with Government costing throughout the year. policies for public hospitals. Victorian Industry Participation Policy Consultancies East Grampians Health Service complies with the requirements of the Victorian Industry There were 15 consultancies undertaken at East Grampians Health Service under Participation Policy Act 2003. $100,000 each, totaling $104,115. There were none over $100,000. Whistleblowers Protection Act Fees The Whistleblowers Protection Act 2001 came into effect on 1 January 2002. The Act is All fees charged by East Grampians Health Service are regulated by the Commonwealth designed to protect people who disclose information about serious wrongdoings within the Department of Health and Aged Care, the Commonwealth Department of Family Services Victorian Public Sector and to provide a framework for the investigation of these matters. of the Hospital and Charities (Fees) Regulations 1986, or as otherwise determined by the Disclosures of improper conduct by East Grampians Health Service or its employees may Victorian Department of Human Services. be made to: Financial Management Act 1994 (FMA) The Protected Disclosure Co-ordinator In accordance with the Direction of the Minister for Finance (Part 9.1.3 (iv)) information John Davies requirements have been prepared and are available to the relevant Minister, Members Chief Executive of Parliament and the public on request to the Chief Executive Officer. The Board of East Grampians Health Service Management of East Grampians Health Service is confident that it has complied with the obligations as set out in the FMA. PO Box 155 Ararat 3377 Freedom of Information Telephone 5352 9303 East Grampians Health Service is an agency subject to the Freedom of Information Act Email: [email protected] (Victoria) 1982. As required under the Act, East Grampians Health Service has nominated the Chief Executive, John Davies, as the Principal Officer and Manager Executive Services or Glenys Andrew as the FOI officer. A legislated search fee of $22.00 per application and 20 The Ombudsman Victoria cents a page applies. Level 22, 459 Collins Street, Melbourne, 3000 During the year the Health Service received 30 requests for access Tel: 9613 6222 to medical records under the FOI legislation. Of those 22 were granted in full. Toll free: 1800 806 314 No disclosures were received during 2008/09. 2008/09 2007/08 2006/07 2005/06 2004/05

30 29 26 28 30

EGHS AReport 80pp A4 Inside.indd 38 16/09/09 2:31 PM EGHS AReport80pp A4Inside.indd 39 Contents oe oadFrigPr fteFnnilSaeet 46 Notes toandFormingPartofthe FinancialStatements 43 ofCashflow Statement 30June2009 Balance Sheetasat Statement Operating Year ended30June2009 Certification Auditor General’s Report Mark KnightsDirectorofFinance, MikeFinchDeputyDirectorofFinanceand ChrisPluckeFinanceManager. Our

financial report2008/09

Our place 45 44 42 40

Our lives

Our community

Our people 16/09/09 2:31PM 39 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service Our financials...

40 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

EGHS AReport 80pp A4 Inside.indd 40 16/09/09 2:31 PM Our place Our lives Our community Our people

41 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

EGHS AReport 80pp A4 Inside.indd 41 16/09/09 2:31 PM East Grampians Health Service Our financials...

42 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

EGHS AReport 80pp A4 Inside.indd 42 16/09/09 2:31 PM Our place OurEast lives GrampiansOur Health community ServiceOur people Annual Report 2008/2009

East Grampians Health Service Operating Statement For the Year Ended 30 June 2009 43 Note 2009 2008 $'000 $'000

Revenue from Operating Activities 2 23,143 21,684 Revenue from Non-operating Activities 2 228 241 Employee Benefits 3 (15,693) (14,615) Non Salary Labour Costs 3 (1,991) (1,840) Supplies & Consumables 3 (2,694) (2,451) Other Expenses From Continuing Operations 3 (2,937) (2,918) Share of Net Result of Joint Venture Accounted for using the Equity Method 9 25 - Net Result Before Capital & Specific Items 81 101

Capital Purpose Income 2 1,443 1,340 Depreciation 4 (1,323) (1,300)

Expenditure using Capital Purpose Income 3 (98) (21) Annual Report East Grampians Health Service 2008/09

NET RESULT FOR THE YEAR 103 120

This Statement should be read in conjunction with the accompanying notes.

1

EGHS AReport 80pp A4 Inside.indd 43 16/09/09 2:31 PM East Grampians Health Service Our financials... East Grampians Health Service Annual Report 2008/2009

East Grampians Health Service Balance Sheet As at 30 June 2009 44 Note 2009 2008 $'000 $'000 Current Assets Cash and Cash Equivalents 5 6,633 6,243 Receivables 6 906 680 Inventories 7 38 44 Other Current Assets 8 72 74 Total Current Assets 7,649 7,041

Non-Current Assets Receivables 6 411 211 Investments Accounted for using the Equity Method 9 220 - Property, Plant & Equipment 10 36,275 30,682 Total Non-Current Assets 36,906 30,893 TOTAL ASSETS 44,555 37,934

Current Liabilities Payables 11 2,021 1,342 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Employee Benefits and Related On-Costs Provisions 12 3,071 3,142 Other Liabilities 13 2,204 2,508 Total Current Liabilities 7,296 6,992

Non-Current Liabilities Employee Benefits and Related On-Costs Provisions 12 433 348 Total Non-Current Liabilities 433 348 TOTAL LIABILITIES 7,729 7,340 NET ASSETS 36,826 30,594

EQUITY Asset Revaluation Reserve 14a 10,995 4,866 General Purpose Reserve 14a 728 558 Restricted Specific Purpose Reserve 14a 590 630 Contributed Capital 14b 19,896 19,896 Accumulated Surpluses/(Deficits) 14c 4,617 4,644 TOTAL EQUITY 14d 36,826 30,594

Contingent Liabilities and Contingent Assets 18 Commitments for Expenditure 17 This Statement should be read in conjunction with the accompanying notes.

East Grampians Health Service Statement of Changes in Equity For the Year Ended 30 June 2009

Note 2009 2008 $'000 $'000

Total equity at beginning of financial year 30,594 30,309

Gain/(loss) on Asset Revaluation 14a 6,129 - NET INCOME RECOGNISED DIRECTLY IN EQUITY 6,129 -

Net result for the year 103 120 TOTAL RECOGNISED INCOME AND EXPENSE FOR THE YEAR 6,232 120

Transactions with the State in its capacity as owner 14b - 165 Total Equity at the end of the financial year 36,826 30,594

This Statement should be read in conjunction with the accompanying notes.

2

EGHS AReport 80pp A4 Inside.indd 44 16/09/09 2:31 PM Our place OurEast lives GrampiansOur Health community ServiceOur people Annual Report 2008/2009

East Grampians Health Service Cash Flow Statement For the Year Ended 30 June 2009 45 Note 2009 2008 $'000 $'000 CASH FLOWS FROM OPERATING ACTIVITIES Operating Grants from Government 18,740 17,784 Patient and Resident Fees Received 1,991 1,980 Donations and Bequests Received 1 2 GST Received from/(paid to) ATO 563 184 Interest Received 228 241 Other Receipts 1,613 2,533 Employee Benefits Paid (15,679) ( 14,076) Non Salary Labour Costs (2,190) ( 2,024) Payments for Supplies & Consumables (2,443) (2,805) Other Payments (2,649) ( 3,542) Cash Generated from Operations 175 277 Capital Grants from Government 684 765

Capital Donations and Bequests Received 226 146 Annual Report East Grampians Health Service 2008/09 Other Capital Receipts 381 408

NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES 15 1,466 1,596

CASH FLOWS FROM INVESTING ACTIVITIES Purchase of Property, Plant & Equipment (1,013) ( 1,237) Proceeds from Sale of Property, Plant & Equipment 183 92

NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES (830) (1,145)

CASH FLOWS FROM FINANCING ACTIVITIES Contributed Capital from Government - 165

NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES - 165

NET INCREASE/(DECREASE) IN CASH HELD 636 616 CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 3,793 3,177 CASH AND CASH EQUIVALENTS AT END OF PERIOD 5 4,429 3,793

This Statement should be read in conjunction with the accompanying notes.

3

EGHS AReport 80pp A4 Inside.indd 45 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 46 (a) Statement of Compliance

The financial report is a general purpose financial report which has been prepared on an accrual basis in accordance with the Financial Management Act 1994, applicable Australian Accounting Standards (AASs) and Australian Accounting Interpretations. AASs includes Australian equivalents to International Financial Reporting Standards.

The entity is a not-for profit entity and therefore applies the additional Aus paragraphs applicable to "not-for- profit" entities under the AASs.

(b) Basis of preparation

The financial report is prepared in accordance with the historical cost convention, except for the revaluation of certain non-current assets and financial instruments, as noted. Cost is based on the fair values of the consideration given in exchange for assets.

In the application of AASs management is required to make judgments, estimates and assumptions about

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstance, the results of which form the basis of making the judgments. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision, and future periods if the revision affects both current and future periods.

Accounting policies are selected and applied in a manner which ensures that the resulting financial information satisfies the concepts of relevance and reliability, thereby ensuring that the substance of the underlying transactions or other events is reported.

The accounting policies set out below have been applied in preparing the financial statements for the year ended 30 June 2009, and the comparative information presented in these financial statements for the year ended 30 June 2008.

(c) Reporting Entity

The financial statements include all the controlled activities of the Health Service.

(d) Rounding of Amounts

All amounts shown in the financial statements are expressed to the nearest $1,000 unless otherwise stated.

(e) Cash and Cash Equivalents

Cash and cash equivalents comprise cash on hand and cash at bank, deposits at call and highly liquid investments with an original maturity of 3 months or less, which are readily convertible to known amounts of cash and are subject to insignificant risks of changes in value.

For the cash flow statement presentation purposes, cash and cash equivalents includes bank overdrafts, which are included as current borrowings in the balance sheet.

(f) Receivables

Trade debtors are carried at nominal amounts due and are due for settlement within 30 days from the date of recognition. Collectability of debts is reviewed on an ongoing basis, and debts which are known to be uncollectible are written off. A provision for doubtful debts is raised where doubt as to collection exists. Bad debts are written off when identified. Receivables are recognised initially at fair value and subsequently measured at amortised cost, using the effective interest rate method, less any accumulated impairment.

(g) Inventories

Inventories include goods and other property held either for sale or for distribution at no or nominal cost in the ordinary course of business operations.

Inventories held for distribution are measured at cost, adjusted for any loss of service potential.

4

EGHS AReport 80pp A4 Inside.indd 46 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 47 All other inventories are measured on the basis of weighted average cost and net realisable value.

Bases used in assessing loss of service potential for inventories held for distribution include current replacement cost and technical or functional obsolescence. Technical obsolescence occurs when an item still functions for some or all of the tasks it was originally acquired to do, but no longer matches existing technologies. Functional obsolescence occurs when an item no longer functions the way it did when it was first acquired.

(h) Other Financial Assets

Other financial assets are recognised and derecognised on trade date where purchase or sale of an investment is under a contract whose terms require delivery of the investment within the timeframe established by the market concerned, and are initially measured at fair value, net of transaction costs.

The Health Service classifies its other financial assets between current and non-current assets based on the purpose for which the assets were acquired. Management determines the classification of its other financial assets at initial recognition.

The Health Service assesses at each balance sheet date whether a financial asset or group of financial assets is Annual Report East Grampians Health Service 2008/09 impaired.

Loans and Receivables

Trade receivables, loans and other receivables are recorded at amortised cost, using the effective interest method, less impairment.

The effective interest method is a method of calculating the amortised cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period.

(i) Property, Plant and Equipment

Crown Land is measured at fair value with regard to the property’s highest and best use after due consideration is made for any legal or constructive restrictions imposed on the asset, public announcements or commitments made in relation to the intended use of the asset. Theoretical opportunities that may be available in relation to the assets are not taken into account until it is virtually certain that any restrictions will no longer apply.

Land and Buildings are recognised initially at cost and subsequently measured at fair value less accumulated depreciation and impairment.

Plant, Equipment and Vehicles are recognised initially at cost and subsequently measured at fair value less accumulated depreciation and impairment.

(j) Revaluations of Property, Plant and Equipment

Non-current physical assets measured at fair value are revalued in accordance with FRD 103D. This revaluation process normally occurs every five years, based upon the asset's Government Purpose Classification, but may occur more frequently if fair value assessments indicate material changes in values. Revaluation increments or decrements arise from differences between an asset’s carrying value and fair value.

Revaluation increments are credited directly to the asset revaluation reserve, except that, to the extent that an increment reverses a revaluation decrement in respect of that class of asset previously recognised as an expense in the net result, the increment is recognised as revenue in the net result.

Revaluation decrements are recognised immediately as expenses in the net result, except that, to the extent that a credit balance exists in the asset revaluation reserve in respect of the same class of assets, they are debited directly to the asset revaluation reserve.

Revaluation increases and revaluation decreases relating to individual assets within an asset class are offset against one another within that class but are not offset in respect of assets in different classes.

Revaluation reserves are not transferred to accumulated funds on derecognition of the relevant asset.

In accordance with FRD 103D the Health Service's non current physical assets were subjected to a detailed valuation in the current financial year.

5

EGHS AReport 80pp A4 Inside.indd 47 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 48 (k) Depreciation Assets with a cost in excess of $1,000 (2007-08 and 2008-09) are capitalised and depreciation has been provided on depreciable assets so as to allocate their cost or valuation over their estimated useful lives using the straight-line method. Estimates of the remaining useful lives and depreciation method for all assets are reviewed at least annually. This depreciation charge is not funded by the Department of Human Services.

The following table indicates the expected useful lives of non current assets on which the depreciation charges are based.

2009 2008 Buildings Up to 50 Years Up to 50 Years Plant & Equipment Up to 10 Years Up to 10 Years Medical Equipment Up to 10 Years Up to 10 Years Computers & Communications Up to 5 Years Up to 5 Years Motor Vehicles Up to 7 Years Up to 7 Years East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

(l) Net Gain/(Loss) on Non-Financial Assets

Net gain/(loss) on non financial assets includes realised and unrealised gains and losses from revaluation, impairments and disposals of all physical and intangible assets.

Disposal of Non-Financial Assets Any gain or loss on the sale of non-financial assets is recognised at the date that control of the asset is passed to the buyer and is determined after deducting from the proceeds the carrying value of the asset at that time.

Impairment of Non-Financial Assets Intangible assets with indefinite useful lives are tested annually for impairment (i.e. as to whether their carrying value exceeds their recoverable amount, and so require write-downs) and whenever there is an indication that the asset may be impaired. All other assets are assessed annually for indications of impairment, except for:

· inventories; · financial instrument assets; and · non-current assets held for sale.

If there is an indication of impairment, the assets concerned are tested as to whether their carrying value exceeds their possible recoverable amount. Where an asset’s carrying value exceeds its recoverable amount, the difference is written-off as an expense except to the extent that the write-down can be debited to an asset revaluation reserve amount applicable to that class of asset.

It is deemed that, in the event of the loss of an asset, the future economic benefits arising from the use of the asset will be replaced unless a specific decision to the contrary has been made. The recoverable amount for most assets is measured at the higher of depreciated replacement cost and fair value less costs to sell. Recoverable amount for assets held primarily to generate net cash inflows is measured at the higher of the present value of future cash flows expected to be obtained from the asset and fair value less costs to sell.

(m) Net Gain/(Loss) on Financial Instruments

Net gain/(loss) on financial instruments includes realised and unrealised gains and losses from revaluations of financial instruments that are designated at fair value through profit or loss or held for trading, impairment and reversal of impairment for financial instruments at amortised cost, and disposals of financial assets.

Revaluations of Financial Instruments at Fair Value The revaluation gain/(loss) on financial instruments at fair value excludes dividends or interest earned on financial assets, which is reported as part of income from transactions.

Impairment of Financial Assets Bad and doubtful debts are assessed on a regular basis. Those bad debts considered as written off are classified as an expense.

6

EGHS AReport 80pp A4 Inside.indd 48 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 49 Financial Assets have been assessed for impairment in accordance with Australian Accounting Standards. Where a financial asset's fair value at balance date has reduced by 20% or more than its cost price; or where its fair value has been less than its cost price for a period of 12 months or more, the financial instrument is treated as impaired.

(n) Payables

These amounts consist predominately of liabilities for goods and services.

Payables are initially recognised at fair value, then subsequently carried at amortised cost and represent liabilities for goods and services provided to the health service prior to the end of the financial year that are unpaid, and arise when the health service becomes obliged to make future payments in respect of the purchase of these goods and services.

The normal credit terms are usually Net 30 days.

(o) Provisions

Provisions are recognised when the Health Service has a present obligation, the future sacrifice of economic Annual Report East Grampians Health Service 2008/09 benefits is probable, and the amount of the provision can be measured reliably.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at reporting date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows.

(p) Resources Provided and Received Free of Charge or for Nominal Consideration

Resources provided or received free of charge or for nominal consideration are recognised at their fair value when the transferee obtains control over them, irrespective of whether restrictions or conditions are imposed over the use of the contributions, unless received from another entity or agency as a consequence of a restructuring of administrative arrangements. In the latter case, such transfer will be recognised at carrying value. Contributions in the form of services are only recognised when a fair value can be reliably determined and the services would have been purchased if not donated.

(q) Functional and Presentation Currency

The presentation currency of the Health Service is the Australian dollar, which has also been identified as the functional currency of the Health Service.

(r) Goods and Services Tax

Income, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the taxation authority. In this case it is recognised as part of the cost of acquisition of the asset or as part of the expense.

Receivables and payables are stated inclusive of the amount of GST receivable or payable.

The net amount of GST recoverable from, or payable to the taxation authority is included with other receivables or payables in the balance sheet.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to the taxation authority, are presented as operating cash flows.

Commitments and contingent assets and liabilities are presented on a gross basis.

(s) Employee Benefits Wages and Salaries, Annual Leave, Sick Leave and Accrued Days Off

Liabilities for wages and salaries, including non-monetary benefits, annual leave, accumulating sick leave and accrued days off expected to be settled within 12 months of the reporting date are recognised in the provision of employee benefits in respect of employee’s services up to the reporting date, classified as current liabilities and measured at nominal values.

7

EGHS AReport 80pp A4 Inside.indd 49 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 50 Those liabilities that the entity are not expected to be settled within 12 months are recognised in the provision for employee benefits as current liabilities, measured at present value of the amounts expected to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of settlement.

Long Service Leave

Current Liability – unconditional LSL (representing 10 or more years of continuous service) is disclosed as a current liability even where the Health Service does not expect to settle the liability within 12 months because it will not have the unconditional right to defer the settlement of the entitlement should an employee take leave within 12 months.

The components of this current LSL liability are measured at: present value – component that the Health Service does not expect to settle within 12 months; and nominal value – component that the Health Service expects to settle within 12 months.

Non-Current Liability – conditional LSL (representing less than 10 years of continuous service) is

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 disclosed as a non-current liability. There is an unconditional right to defer the settlement of the entitlement until the employee has completed the requisite years of service. Conditional LSL is required to be measured at present value.

Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using interest rates of Commonwealth Government guaranteed securities in Australia.

Superannuation

Defined contribution plans

Contributions to defined contribution superannuation plans are expensed when incurred.

Defined benefit plans

The amount charged to the Operating Statement in respect of defined benefit superannuation plans represents the contributions made by the Health Service to the superannuation plan in respect of the services of current entity staff. Superannuation contributions are made to the plans based on the relevant rules of each plan.

Employees of the Health Service are entitled to receive superannuation benefits and the Health Service contributes to both the defined benefit and defined contribution plans. The defined benefit plan provide benefits based on years of service and final average salary.

The name and details of the major employee superannuation funds and contributions made by the Health Service are as follows:

Contributions Paid or Fund Payable for the year 2009 2008 $'000 $'000 Defined benefit plans: Health Super Superannuation Fund 243 215 Defined contribution plans: Health Super Superannuation Fund 995 898 HESTA Superannuation Fund 151 118 James Rattray Superannuation Fund - 2 Total 1,389 1,233

The Health Service does not recognise any unfunded defined benefit liability in respect of the superannuation plans because the entity has no legal or constructive obligation to pay future benefits relating to its employees; its only obligation is to pay superannuation contributions as they fall due. The Department of Treasury and Finance administers and discloses the State’s defined benefit liabilities in its financial report.

8

EGHS AReport 80pp A4 Inside.indd 50 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 51 Termination Benefits

Liabilities for termination benefits are recognised when a detailed plan for the termination has been developed and a valid expectation has been raised with those employees affected that the terminations will be carried out. The liabilities for termination benefits are recognised in other creditors unless the amount or timing of the payments is uncertain, in which case they are recognised as a provision.

On-Costs

Employee benefits on-costs (payroll tax, workers compensation, superannuation, annual leave and LSL accrued while on LSL taken in service) are recognised separately from provision for employee benefits.

(t) Residential Aged Care Service

East Grampians Residential Aged Care Services, comprising two Hostels and two Nursing Homes are an integral part of the Health Service and share its resources. An apportionment of land and buildings has been made based on floor space. The results of those operations have been segregated based on actual revenue earned and expenditure incurred by each operation in Note 3b to the financial statements. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

(u) Joint Ventures Interests in jointly controlled assets are accounted for by recognising in the Health Service's financial statements, its share of assets, liabilities and any revenue and expenses of such joint ventures. Details of the joint venture are set out in Note 20.

(v) Intersegment Transactions

Transactions between segments within the Health Service have been eliminated to reflect the extent of the Health Service's operations as a group.

(w) Leases

Leases of property, plant and equipment are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee. All other leases are classified as operating leases.

Finance Leases

Entity as lessor

Rental income from operating leases is recognised on a straight-line basis over the term of the relevant lease.

Entity as lessee Finance leases are recognised as assets and liabilities at amounts equal to the fair value of the lease property or, if lower, the present value of the minimum lease payment, each determined at the inception of the lease. The lease asset is depreciated over the shorter of the estimated useful life of the asset or the term of the lease. Minimum lease payments are allocated between the principal component of the lease liability, and the interest expense calculated using the interest rate implicit in the lease, and charged directly to the operating statement.

Operating Leases

Operating lease payments, including any contingent rentals, are recognised as an expense in the operating statement on a straight line basis over the lease term, except where another systematic basis is more representative of the time pattern of the benefits derived from the use of the leased asset.

Lease Incentives All incentives for the agreement of a new or renewed operating lease shall be recognised as an integral part of the net consideration agreed for the use of the leased asset, irrespective of the incentive’s nature or form or the timing of payments.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefits of incentives are recognised as a reduction of rental expense on a straight- line basis, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

9

EGHS AReport 80pp A4 Inside.indd 51 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 52 Leasehold Improvements The cost of leasehold improvements are capitalised as an asset and depreciated over the remaining term of the lease or the estimated useful life of the improvements, whichever is the shorter.

(x) Income Recognition

Revenue is recognised in accordance with AASB 118 Revenue and is recognised as revenue to the extent it is earned. Unearned income at reporting date is reported as income received in advance.

Amounts disclosed as revenue are, where applicable, net of returns, allowances and duties and taxes.

Government Grants

Grants are recognised as income when the entity gains control of the underlying assets in accordance with AASB 1004 Contributions . For reciprocal grants, the Health Service is deemed to have assumed control when the performance has occurred under the grant. For non-reciprocal grants, the Health Service is deemed to have assumed control when the grant is received or receivable. Conditional grants may be reciprocal or non- reciprocal depending on the terms of the grant. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

Indirect Contributions

- Insurance is recognised as revenue following advice from the Department of Human Services.

- Long Service Leave (LSL) – Revenue is recognised upon finalisation of movements in LSL liability in line with the arrangements set out in the Metropolitan Health and Aged Care Services Division Hospital Circular 34/2008.

Patient and Resident Fees

Patient fees are recognised as revenue at the time invoices are raised.

Donations and Other Bequests

Donations and bequests are recognised as revenue when received. If donations are for a special purpose, they may be appropriated to a reserve, such as the restricted specific purpose reserve.

Interest Revenue Interest revenue is recognised on a time proportionate basis that takes into account the effective yield of the financial asset.

(y) Fund Accounting

The Health Service operates on a fund accounting basis and maintains three funds: Operating, Specific Purpose and Capital Funds. The Health Service's Capital and Specific Purpose Funds include unspent capital donations and receipts from fund-raising activities conducted solely in respect of these funds.

(z) Services Supported By Health Services Agreement and Services Supported By Hospital and Community Initiatives

Activities classified as Services Supported by Health Services Agreement (HSA) are substantially funded by the Department of Human Services and includes Residential Aged Care Services (RACS) and are also funded from other sources such as the Commonwealth, patients and residents, while Services Supported by Hospital and Community Initiatives (Non HSA) are funded by the Health Service's own activities or local initiatives and/or the Commonwealth.

(aa) Change in Accounting Policies

In accordance with Victorian Government Financial Reporting Direction 103D 'Non-Current Physical Assets', the Health Service measures plant and equipment, and medical equipment assets at fair value from 1 July 2008. Previously these assets were measured at cost. This change in accounting policy is required to ensure that Victoria's Whole of Government financial report, to which the Health Service is consolidated into, complies with the requirements of AASB1049 Whole of Government and Government Sector Financial Reporting. As this change is the initial application of a policy to revalue assets in accordance with AASB116 Property, Plant and Equipment the change is treated as a revaluation in the current year.

10

EGHS AReport 80pp A4 Inside.indd 52 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 53 (ab) Comparative Information

There have been no changes to previous year’s figures.

(ac) Property, Plant and Equipment Revaluation Reserve

The asset revaluation reserve is used to record increments and decrements on the revaluation of non–current assets.

(ad) General Reserves

General Reserves comprise of funds held for the Angela Laidlaw Bursary and the East Grampians Building for the Future Fund.

(ae) Restricted Specific Purpose Reserve

A restricted specific purpose reserve is established where the Health Service has possession or title to the funds but has no discretion to amend or vary the restriction and/or condition underlying the funds received. East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 (af) Contributed Capital

Consistent with Australian Accounting Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector Entities and FRD 119 Contributions by Owners , appropriations for additions to the net asset base have been designated as contributed capital. Other transfers that are in the nature of contributions or distributions, that have been designated as contributed capital are also treated as contributed capital.

(ag) Net Result Before Capital & Specific Items

The subtotal entitled ‘Net Result Before Capital & Specific Items’ is included in the Operating Statement to enhance the understanding of the financial performance of the Health Service. This subtotal reports the result excluding items such as capital grants, assets received or provided free of charge, depreciation, and items of unusual nature and amount such as specific revenues and expenses. The exclusion of these items are made to enhance matching of income and expenses so as to facilitate the comparability and consistency of results between years and Victorian Public Health Services. The Net Result Before Capital & Specific Items is used by the management of the Health Service, the Department of Human Services and the Victorian Government to measure the ongoing result of Health Services in operating hospital services.

Capital and specific items, which are excluded from this sub-total, comprise:

· Capital purpose income, which comprises all tied grants, donations and bequests received for the purpose of acquiring non-current assets, such as capital works, plant and equipment or intangible assets. It also includes donations of plant and equipment (refer Note 1 (p)). Consequently the recognition of revenue as capital purpose income is based on the intention of the provider of the revenue at the time revenue is provided; · Specific income/expense, comprises the following items, where material: · Non-current asset revaluation increments/decrements;

· Impairment of non current assets, includes all impairment losses (and reversal of previous impairment losses), related to non-current assets only which have been recognised in accordance with Note 1 (l) and (m);

· Depreciation and amortisation, as described in Notes 1 (k);

· Assets provided or received free of charge, as described in Note 1 (p); and

· Expenditure using capital purpose income, comprises expenditure which either falls below the asset capitalisation threshold (Notes 1 (i) and (k)), or doesn’t meet asset recognition criteria and therefore does not result in the recognition of an asset in the balance sheet, where funding for that expenditure is from capital purpose income.

11

EGHS AReport 80pp A4 Inside.indd 53 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 54 (ah) Category Groups

The Health Service has used the following category groups for reporting purposes for the current and previous financial years.

Admitted Patient Services (Admitted Patients) comprises all recurrent health revenue/expenditure on admitted patient services, where services are delivered in public hospitals, or free standing day hospital facilities, or alcohol and drug treatment units or hospitals specialising in dental services, hearing and ophthalmic aids.

Aged Care comprises revenue/expenditure from Home and Community Care (HACC) programs, Allied Health, Aged Care Assessment and support services.

Primary Health comprises revenue/expenditure for Community Health Services including health promotion and counseling, physiotherapy, speech therapy, podiatry and occupational therapy.

Off Campus, Ambulatory Services (Ambulatory) comprises all recurrent health revenue/expenditure on

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 public hospital type services including palliative care facilities and rehabilitation facilities, as well as service provided under the following agreements: Services that are provided or received by hospitals (or area health services) but are delivered/received outside a hospital campus, services which have moved from a hospital to a community setting since June 1998, services which fall within the agreed scope of inclusions under the new system, which have been delivered within hospitals i.e. in rural/remote areas.

Residential Aged Care including Mental Health (RAC incl. Mental Health) referred to in the past as psychogeriatric residential services, comprises those Commonwealth licensed residential aged care services in receipt of supplementary funding from DHS under the mental health program. It excludes all other residential services funded under the mental health program, such as mental health-funded community care units (CCUs) and secure extended care units (SECs).

Other Services excluded from Australian Health Care Agreement (AHCA) (Other) comprises revenue/expenditure for services not separately classified above, including: Public health services including Laboratory testing, Blood Borne Viruses / Sexually Transmitted Infections clinical services, Koori liaison officers, immunisation and screening services, Drugs services including drug withdrawal, counseling and the needle and syringe program, Dental Health services including general and specialist dental care, school dental services and clinical education, Disability services including aids and equipment and flexible support packages to people with a disability, Community Care programs including sexual assault support, early parenting services, parenting assessment and skills development, and various support services. Health and Community Initiatives also falls in this category group.

12

EGHS AReport 80pp A4 Inside.indd 54 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 55 (ai) New Accounting Standards and Interpretations

Certain new accounting standards and interpretations have been published that are not mandatory for 30 June 2009 reporting period. As at 30 June 2009, the following standards and interpretations had been issued but were not mandatory for financial years ending 30 June 2009. The Health Service has not and does not intend to adopt these standards early.

Standard / Summary Applicable for reporting Impact on Entities Annual Interpretation periods beginning on or Statements ending on

AASB 8 Operating Supersedes AASB 114 Beginning 1 January 2009 Not applicable. Segments. Segment Reporting.

AASB 2007-3 An accompanying Beginning 1 January 2009 Impact expected to be not

Amendments to amending standard, significant. Annual Report East Grampians Health Service 2008/09 Australian Accounting also introduced Standards arising from consequential AASB 8 [AASB 5, AASB amendments into 6, AASB 102, AASB 107, other Standards. AASB 119, AASB 127, AASB 134, AASB 136, AASB 1023 and AASB 1038]

AASB 2007-6 An accompanying Beginning 1 January 2009 All Australian government Amendments to amending standard, jurisdictions are currently still Australian Accounting also introduced actively pursuing an exemption Standards arising from consequential for government from capitalising AASB 123 [AASB 1, amendments into borrowing costs. AASB 101, AASB 107, other Standards. AASB 111, AASB 116 & AASB 138 and Interpretations 1 & 12]

AASB 2008-3 This Standard gives Beginning 1 January 2009 Impact expected to be Amendments to AAS effect to consequential insignificant. arising from AASB 3 & changes arising from AASB 127 [AASB 1, 2, 4, revised AASB 3 and 5, 7, 101, 107, 112, amended AASB 127. 114, 116, 121, 128, The Prefaces to those 131, 132, 133, 134, Standards summarise 136, 137, 138 & 139 and the main requirements Interpretation 9 & 107] of those Standards.

AASB 2008-5 A suite of Beginning 1 January 2009 Impact is being evaluated. Amendments to AASs amendments to arising from the Annual existing standards Improvements Project following issuance of [AASBs 5, 7, 101, 102, IASB Standard 107, 108, 110, 116, Improvements to 118, 119, 120, 123, IFRSs in May 2008. 127, 128, 129, 131, Some amendments 132, 134, 136, 138, result in accounting 140, 141, 1023 & 1308] changes for presentation, recognition and measurement purposes.

13

EGHS AReport 80pp A4 Inside.indd 55 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 1: Statement of Significant Accounting Policies 56 AASB 2008-6 Further The amendments Beginning 1 January 2009 Impact expected to be Amendments to require all the assets insignificant. Australian Accounting and liabilities of a for- Standards arising from sale subsidiary’s to be the Annual classified as held for Improvements project sale and clarify the [AASB 1 & AASB 5] disclosures required when the subsidiary is part of a disposal group that meets the definition of a discontinued operation.

AASB 2008-7 Changes mainly relate Beginning 1 January 2009 Impact expected to be Amendments to AAS to treatment of insignificant.

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Cost of an Investment in dividends from a Subsidiary, Jointly subsidiaries or Controlled Entity or controlled entities. Associate [AASB 1, AASB 118, AASB 121, AASB 127 & AASB 136]

AASB 2008-8 The amendments to Beginning 1 January 2009 Impact is being evaluated. Amendments to AASB 139 clarify how Australian Accounting the principles that Standards – Eligible determine whether a Hedged Items [AASB hedged risk or portion 139] of cash flows is eligible for designation as a hedged item, should be applied in particular situations.

AASB 2008-9 Amendments to AASB Beginning 1 January 2009 Impact expected to be Amendments to AASB 1049 for consistency insignificant. 1049 for Consistency with AASB 101 with AASB 101 (September 2007) version.

AASB 2009-1 Amendments to Beginning 1 January 2009 Impact expected to be Amendments to Australian Accounting insignificant. Australian Accounting Standards to allow Standards – Borrowing borrowing costs of Not- Costs of Not-for-Profit for Profit Public Sector Public Sector Entities Entities to be [AASB 1, AASB 111 & expensed. AASB 123] AASB 2009-2 Amendments to AASB Beginning 1 January 2009 Impact expected to be Amendments to 7 to enhance insignificant. Australian Accounting disclosures about fair Standards – Improving value measurements Disclosures about and liquidity risk. Financial Instruments Editorial amendments [AASB 4, AASB 7, AASB to AASB 4, AASB 1023 1023 & AASB 1038] and AASB 1038 resulting from the amendments to AASB 7.

14

EGHS AReport 80pp A4 Inside.indd 56 16/09/09 2:31 PM 15

Our place Our lives Our community Our people Annual Report 2008/2009 East Grampians Health Service Notes To and Forming Part of the Financial Statements 2008/2009 ) - - 3 2 ( 94 24 17 38 41 453 924 370 193 413 146 312 309 453 298 241 585 502 886 241 2,948 1,052 1,008 57 1,976 1,340 13,347 23,265 21,684 17,733 2008 Total $'000 Notes To and Forming Part of the Financial Statements

) 8 1 25 42 29 31 14 43 ( 174 641 194 985 350 200 404 226 308 458 341 228 789 508 228 3,192 1,040 1,130 2,025 1,016 1,443 14,070 24,839 23,143 18,804 2009 $'000

) ------3 1 ( 94 24 38 41 146 453 298 241 163 886 205 241 1,496 1,050 2008 $'000

) ------42 31 43 ( 226 174 458 341 228 288 228 215 1,016 1,747 1,304 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 2009 $'000

------1 17 453 422 924 370 193 413 312 309 502 2,948 1,052 1,008 1,976 1,135 13,347 21,769 20,634 17,733 HSA Non HSA Non HSA Total 2008 $'000

------8 1 25 29 14 404 641 501 985 350 194 200 308 508 3,192 1,040 1,130 2,025 1,228 14,070 18,804 23,092 21,839 HSA 2009 $'000

y uit q Department of Human Services makes certain payments on behalf the Health Service. These amounts have been brought to the E g ) ) ) y ) refer Note 2b ( ment p ui refer Note 2d ital Grants q ( p ments Activities y refer Note 2b e ose Funds g ( artment of Human Services g p r p refer Note 2b ed Care Subsid ( g De eratin y p g ecific Pur in p ose Income g p ed Care uests uests ital Works and E g q q p Income y g ital Pur p Service Leave nostic Ima eted Ca ert artment of Human Services g g g p p Note 2: Revenue Total Revenue (refer to Note 2a) Total Business Units & Specific Purpose Funds Revenue from Operating Activities Revenue from Non-Operating Activities Total Patient & Resident Fees Total Indirect Contributions by Department of Human Services Sub-Total Revenue from Non-Operating Activities Sub-Total Revenue from Operating Activities Total Government Grants Sub-Total Revenue from Capital Purpose Income Revenue from Capital Purpose Income Indirect contributions by Department of Human Services: Business Units & S Net Gain/(Loss) on Disposal of Non-Current Assets (refer note 2c) - Commonwealth Government - Residential A Donations & Be Model (refer note 9) - Other account in determining the operating result for year by recording them as revenue and expenses. - Insurance - Dia Government Grants - De Interest & Dividends - Other - Residential A Assets Received Free of Char - State Government Othe - Dental Health Services Victoria Other Revenue from O Other Ca Donations & Be Residential Accommodation Pa - Lon - Caterin - Cafeteria Patient and Resident Fees - Patient and Resident Fees Commonwealth Government Ca - Pro Share of Net Result Joint Venture Accounted for usin Indirect Contributions b State Government Capital Grants State Government Capital - Tar

EGHS AReport 80pp A4 Inside.indd 57 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements 2008/2009 1 25 16 508 501 58 516 215 1,016 2,025 1,228 1,747 18,804 23,092 24,839

- 1 6 36 11 544 516 215 412 1,016 1,010 1,747 2,757 Other Total Annual Report 2008/2009

East Grampians Health Service - - - - 2 1 22 67 61 20 y 1,442 1,615 1,615 e of total revenue and equivalent full time g Health Primar

- - - - - 1 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 e, percenta e, 12 99 51 18 g 765 946 946 Notes To and Forming Part of the Financial Statements Aged Care

- - - - estimated usa - 6 g 65 93 388 4,530 1,016 6,098 6,098 RAC

------1 6 58 10 456 531 531

Ambulatory

- - - - - 14 807 248 227 397 a number of allocation bases includin g 11,199 12,892 12,892 2009 2009 2009 2009 2009 2009 2009 $'000 $'000 $'000 $'000 $'000 $'000 $'000 Patients Admitted

ories usin ories g Department of Human Services makes certain payments on behalf of the Health Service. These amounts have been brought to brought been have amounts These Service. Health the of behalf on payments certain makes Services Human of Department Activities g r Note 2a: Analysis of Revenue by Source Revenue from Services Supported by Hospital and Community Initiatives Sub-Total Revenue from Services Supported by Health Services Agreement Total Revenue Revenue from Services Supported by Health Agreement Sub-Total Revenue from Services Supported by Hospital and Community Initiatives Business Units & Specific Purpose Funds Purpose Specific & Units Business Revenues and expenses of Support Services are distributed to cate to distributed are Services Support of expenses and Revenues Othe Indirect contributions by Department of Human Services: staff. (EFT) Other Revenue from Operatin from Revenue Other Indirect contributions by Department of Human Services capital) (non Bequests & Donations Patient & Resident Fees (refer Note 2b) expenses. and revenues as them recording by year the for result operating the determining in account Government Grants Government Capital Purpose Income (refer Note 2) Note (refer Income Purpose Capital Equity the using for Accounted Venture Joint of Result Net of Share 9) note (refer Model Capital Purpose Income (refer Note 2) Note (refer Income Purpose Capital

EGHS AReport 80pp A4 Inside.indd 58 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements 2008/2009 1 1 17 422 502 886 404 205 59 1,135 1,976 1,496 17,733 21,769 23,265

- - 1 9 6 44 886 404 205 419 478 1,496 1,974 Other Total Annual Report 2008/2009

East Grampians Health Service ------17 28 80 y 100 1,396 1,621 1,621 e of total revenue and equivalent full time g Health Primar

------East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 e, percenta e, 15 96 47 g 107 724 989 989 Notes To and Forming Part of the Financial Statements Aged Care

- - - - estimated usa - 1 g 56 67 722 4,123 1,028 5,997 5,997 RAC

------3 15 44 330 392 392

Ambulatory ------274 728 155 394 a number of allocation bases includin g 10,741 12,292 12,292 2008 2008 2008 2008 2008 2008 2008 $'000 $'000 $'000 $'000 $'000 $'000 $'000 Patients Admitted

ories usin ories g Department of Human Services makes certain payments on behalf of the Health Service. These amounts have been brought to brought been have amounts These Service. Health the of behalf on payments certain makes Services Human of Department Activities g r Note 2a: Analysis of Revenue by Source Revenue from Services Supported by Hospital and Community Initiatives Total Revenue Sub-Total Revenue from Services Supported by Health Services Agreement Revenue from Services Supported by Health Agreement Sub-Total Revenue from Services Supported by Hospital and Community Initiatives Donations & Bequests (non capital) (non Bequests & Donations Business Units & Specific Purpose Funds Purpose Specific & Units Business Capital Purpose Income (refer Note 2) Note (refer Income Purpose Capital Indirect contributions by Department of Human Services: cate to distributed are Services Support of expenses and Revenues (EFT) staff. (EFT) Other Revenue from Operatin from Revenue Other Indirect contributions by Department of Human Services capital) (non Bequests & Donations Patient & Resident Fees (refer Note 2b) expenses. and revenues as them recording by year the for result operating the determining in account Government Grants Government Othe Capital Purpose Income (refer Note 2) Note (refer Income Purpose Capital

EGHS AReport 80pp A4 Inside.indd 59 16/09/09 2:36 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 2b: Patient and Resident Fees 60 2009 2008 $'000 $'000 Patient and Resident Fees Raised Recurrent: Acute – Inpatients 783 705 Residential Aged Care – Generic 1,040 1,052 Other 202 219 Total Recurrent 2,025 1,976

Capital Purpose: Residential Accommodation Payments 350 370 Total Capital 350 370

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Note 2c: Net Gain/(Loss) on Disposal of Non- Current Assets

2009 2008 $'000 $'000

Proceeds from Disposals of Non-Current Assets Plant and Equipment 2 - Motor Vehicles 181 92

Total Proceeds from Disposal of Non-Current Assets 183 92

Less: Written Down Value of Non-Current Assets Sold Plant and Equipment 6 2 Motor Vehicles 219 93

Total Written Down Value of Non-Current Assets Sold 225 95

Net gains/(losses) on Disposal of Non-Current Assets (42) (3)

Note 2d: Assets Received Free of Charge or For Nominal Consideration

2009 2008 $'000 $'000 During the reporting period, the fair value of assets received free of charge, was as follows:

Plant and Equipment - 24 IT Alliance Joint Venture Share of Net Assets at time of establishment 194 -

TOTAL 194 24

The Grampians Region Health IT Alliance was established with the net assets of the Grampians Health Information and Communication Technology Alliance. East Grampians Health Service's share of these assets were gifted to the health service during the 2008/09 year. Plant and Equipment was gifted by the Grampians Rural Health Alliance Network to the Health Service in June 2008.

18

EGHS AReport 80pp A4 Inside.indd 60 16/09/09 2:31 PM 19 Annual Report 2008/2009 East Grampians Health Service

Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements 2008/2009 Notes To and Forming Part of the Financial Statements - - 2 1 5 19 45 47 95 64 12 22 21 21 148 116 523 483 522 370 422 328 134 384 309 153 929 1,300 1,243 1,469 1,260 61 1,300 1,840 2,451 2,918 12,740 23,145 14,615

- - 6 6 (2) 92 30 98 98 55 13 19 98 92 148 121 586 375 662 447 591 381 129 444 308 165 952 1,323 1,227 1,544 1,335 1,323 1,991 2,694 2,937 13,589 24,736 15,693

------1 6 2 9 1 2 9 1 1 2 2 16 71 72 48 26 31 41 22 30 72 127 538 165 117 127 602 236 297 1,336

------1 7 6 1 3 1 1 6 14 15 99 90 57 19 34 30 41 22 12 25 96 20 14 90 129 680 163 129 262 764 281 1,546 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09

- - - 1 4 44 19 47 62 73 11 21 19 19 142 467 451 116 523 298 413 302 103 343 300 123 812 1,173 1,078 1,469 1,212 1,173 1,768 2,215 2,621 12,202 21,809 14,013 HSA Non HSA Non HSA Total Total

- - - - (3) 29 78 98 12 99 52 76 18 78 78 347 360 572 296 141 357 586 403 563 121 856 140 1,544 1,064 1,194 1,278 1,194 1,901 2,432 2,656 12,909 23,190 14,929 HSA 2009 2008 2009 2008 2009 2008 $'000 $'000 $'000 $'000 $'000 $'000

s e eration p O g s s enses from Continuin p Total Employee Benefit Total Other Expenses Total Non Salary Labour Costs Total Employee Benefits Departure Packages Departure Workcover Premium Salaries & Wages Supplies & Services Domestic Employee Benefits Wages & Salaries - Other Expenses Other Expenses Administrative - - Other - Food Supplies Food Pathology Supplies Pathology S100 Drugs Drug Supplies Drug Fees for Visiting Medical Officers Agency Costs - Nursing Agency Costs - Other Long Service Leave Fuel, Light, Power and Water Medical, Surgical Supplies and Prosthesis Superannuation Insurance costs funded by DHS Lease Expenses Patient Transport Patient Maintenance Contracts Maintenance Repairs & Maintenance Motor Vehicle Expenses Other Administrative Expenses Bad & Doubtful Debts Audit Fees Audit - VAGO Audit of Financial Statements - Other - Note 3: Expenses Total Total Expenses Total Expenditure using Capital Purpose Income Employee Benefit Supplies & Consumables Non Salary Labour Costs Other Ex Total Supplies & Consumables Expenditure using Capital Purpose Incom Total Other Expenses from Continuing Operations Depreciation

EGHS AReport 80pp A4 Inside.indd 61 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements 2008/2009 20 6 92 90 98 262 281 129 62 764 1,194 2,432 2,656 1,901 1,526 14,929 23,112 24,736 Total

8 6 48 48 14 90 16 20 262 281 129 375 764 495 Annual Report 2008/2009 2,041 1,526 Other East Grampians Health Service

------67 28 33 182 1,339 1,649 1,649 Health Primary

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 ------12 53 43 96 Notes To and Forming Part of the Financial Statements 680 884 884

------70 433 441 723 4,679 6,346 6,346 RAC Aged Care

------16 12 50 53 335 466 466

------78 78 621 7,521 1,754 1,822 1,554 13,272 13,350 2009 2009 2009 2009 2009 2009 2009 $'000 $'000 $'000 $'000 $'000 $'000 $'000 Patients Ambulatory Admitted

erations erations p p O O g g ital Sources p ) ) Ca y orted b refer Note 4 refer Note 4 ( ( pp Labour Costs Labour Costs enses enses from Continuin enses from Continuin enses y y p p p p ee Benefits ee Benefits ee Benefits y y y lies & Consumables & lies Consumables & lies lo lo lo reciation reciation p p p p p pp pp Note 3a: Analysis of Expenses by Source Total Ex Services Supported by Hospital and Community Initiatives Sub-Total Expenses from Services Supported by Health Services Agreement Sub-Total Expenses from Services Supported by Capital Resources Services Supported by Health Agreement Sub-Total Expense from Services Supported by Hospital and Community Initiatives Services Su Em Other Ex Other De Non Salar Non Su Su Em Em Other Ex Other De Non Salar Non Other Ex Other

EGHS AReport 80pp A4 Inside.indd 62 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements 2008/2009 21 21 72 21 236 297 127 602 63 1,768 1,173 2,215 2,621 1,334 14,013 21,790 23,145

5 8 2 2 48 72 116 236 297 127 340 602 517 Annual Report 2008/2009 1,853 1,334 Other Total East Grampians Health Service

------51 66 38 210 1,374 1,739 1,739 Health Primary

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 ------13 53 39 Notes To and Forming Part of the Financial Statements 108 695 908 908

------53 425 390 759 4,220 5,847 5,847 RAC Aged Care

------3 12 44 32 210 301 301

Ambulatory ------19 19 609 7,174 1,643 1,588 1,464 12,478 12,497 2008 2008 2008 2008 2008 2008 2008 $'000 $'000 $'000 $'000 $'000 $'000 $'000 Patients Admitted

erations erations p p O O g g ital Sources p ) ) Ca y orted b refer Note 4 refer Note 4 ( ( pp Labour Costs Labour Costs enses enses from Continuin enses from Continuin enses y y p p p p ee Benefits ee Benefits y y lies & Consumables & lies Consumables & lies lo lo reciation reciation p p p p pp pp Note 3a: Analysis of Expenses by Source Total Ex Services Supported by Hospital and Community Initiatives Sub-Total Expenses from Services Supported by Health Services Agreement Sub-Total Expenses from Services Supported by Capital Resources Services Supported by Health Agreement Sub-Total Expense from Services Supported by Hospital and Community Initiatives Services Su Em Su Other Ex Other De Non Salar Non Su Other Ex Em Other Ex Other De Non Salar Non

EGHS AReport 80pp A4 Inside.indd 63 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 3b: Analysis of Expenses by Internal and 64 Restricted Specific Purpose Funds for Services Supported by Hospital and Community Initiatives

2009 2008 $'000 $'000 Diagnostic Imaging 965 829 Catering 312 241 Property Expenses 23 49 Fundraising and Community Support 97 88 TOTAL 1,397 1,207

Note 4: Depreciation East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 2009 2008 $'000 $'000 Depreciation Buildings 743 690 Plant & Equipment 82 118 Medical Equipment 243 227 Computers and Communication 125 120 Furniture and Equipment 16 37 Motor Vehicles 114 108 TOTAL DEPRECIATION 1,323 1,300

Note 5: Cash and Cash Equivalents

For the purposes of the Cash Flow Statement, cash assets includes cash on hand and in banks, and short-term deposits which are readily convertible to cash on hand, and are subject to an insignificant risk of change in value, net of outstanding bank overdrafts.

2009 2008 $'000 $'000 Cash on Hand 2 2 Cash at Bank 1,027 1,884 Short Term Money Market 5,604 4,357 TOTAL 6,633 6,243

Represented by: Cash for Health Service Operations (as per Cash Flow Statement) 4,429 3,793 Cash for Monies Held in Trust - Cash on Hand 1 - - Cash at Bank 650 650 - Short Term Money Market 1,553 1,800 TOTAL CASH AND CASH EQUIVALENTS 6,633 6,243

22

EGHS AReport 80pp A4 Inside.indd 64 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 6: Receivables 65 2009 2008 $'000 $'000 CURRENT Contractual Inter Hospital Debtors 61 199 Trade Debtors 219 67 Patient Fees 265 237 Accrued Investment Income 18 79 Accrued Revenue - Other 288 64 Less Allowance for Doubtful Debts Trade Debtors (1) (8) Patient Fees (11) (10) 839 628 Statutory GST Receivable 67 52 TOTAL CURRENT RECEIVABLES 906 680

NON CURRENT Statutory Annual Report East Grampians Health Service 2008/09 Long Service Leave - DHS 411 211 TOTAL NON-CURRENT RECEIVABLES 411 211

TOTAL RECEIVABLES 1,317 891

(a) Movement in the Allowance for doubtful debts

2009 2008 $'000 $'000

Balance at beginning of year 18 18 Amounts written off during the year (2) (4) Increase/(Decrease) in allowance recognised in profit or loss (4) 4 Balance at end of year 12 18

(b) Ageing analysis of receivables Please refer to Note 16(b) for the ageing analysis of receivables.

(c) Nature and extent of risk arising from receivables Please refer to Note 16(d) for the nature and extent of credit risk arising from receivables.

Note 7: Inventories

2009 2008 $'000 $'000 Pharmaceuticals At cost 11 15 Medical and Surgical Lines At cost 27 29

TOTAL INVENTORIES 38 44

Note 8: Other Assets

2009 2008 $'000 $'000 Prepayments 68 69 Rental Property Bonds 4 5 CURRENT 72 74

TOTAL OTHER ASSETS 72 74

23

EGHS AReport 80pp A4 Inside.indd 65 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 9: Investments Accounted for Using the Equity Method 66 2009 2008 $'000 $'000 Interest in Jointly Controlled Entities 220 -

TOTAL 220 -

Ownership Interest Principal Country of 2009 2008 Name of Entity Activity Incorporation % % Jointly Controlled Entities Grampians Region Health IT Alliance IT Systems Australia 6.91 -

2009 2008 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 $'000 $'000 Summarised Financial Information of Jointly Controlled Entity's Balance Sheet: Current Assets 218 - Non-Current Assets 45 - Share of Total Assets 263 -

Current Liabilities 43 - Share of Total Liabilities 43 - Net Assets 220 - Share of Jointly Controlled Entities Net Assets Total Income 315 - Net Result 25 -

Share of Jointly Controlled Entities’ Net Result After Income Tax 25 -

Dividends Received from Associates and Joint Ventures During the year, East Grampians Health Service received dividends of $0 (2007/2008: $0) from its jointly controlled entities.

Contingent Liabilities and Capital Commitments As at 30 June 2009 East Grampians Health Service has no knowledge of any contingent assets or liabilities arising from the Grampians Region Health IT Alliance.

24

EGHS AReport 80pp A4 Inside.indd 66 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 10: Property, Plant & Equipment 67

2009 2008 $'000 $'000

Land - Land at Valuation 2,063 976 Total Land 2,063 976

Buildings - Buildings Under Construction - 47

- Buildings at Cost - 647

- Buildings at Valuation 31,657 27,052 Less Accumulated Depreciation - (690) Total Buildings 31,657 27,056

Plant and Equipment Annual Report East Grampians Health Service 2008/09 - Plant and Equipment at Fair Value 2,543 3,316 Less Accumulated Depreciation (1,267) (1,907) Total Plant and Equipment 1,276 1,409

Medical Equipment - Medical Equipment at Fair Value 3,002 2,677 Less Accumulated Depreciation (1,723) (1,436) Total Medical Equipment 1,279 1,241

TOTAL PROPERTY, PLANT & EQUIPMENT 36,275 30,682

Reconciliations of the carrying amounts of each class of asset for the entity at the beginning and end of the previous and current financial year is set out below.

Land Buildings Plant & Medical Total Equipment Equipment $'000 $'000 $'000 $'000 $'000 Balance at 1 July 2007 976 27,052 1,455 1,333 30,816 Additions - 694 432 135 1,261 Disposals - - (95) - (95) Depreciation (Note 4) - (690) (383) (227) (1,300) Balance at 1 July 2008 976 27,056 1,409 1,241 30,682

Additions - 125 615 272 1,012 Disposals - - (225) - (225) Revaluation increments/(decrements) 1,087 5,042 - - 6,129 Net Transfers between classes - 177 (186) 9 - Depreciation (Note 4) - (743) (337) (243) (1,323) Balance at 30 June 2009 2,063 31,657 1,276 1,279 36,275

Land and buildings carried at valuation An independent valuation of the Health Service's land and buildings was performed by Value It Pty Ltd to determine the fair value of the land and buildings. The valuation, which conforms to Australian Valuation Standards, was determined by reference to the amounts for which assets could be exchanged between knowledgeable willing parties in an arm's length transaction. The valuation was based on independent assessments. The effective date of the valuation is 30/06/2009.

25

EGHS AReport 80pp A4 Inside.indd 67 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 11: Payables 68 2009 2008 $'000 $'000 CURRENT Contractual Trade Creditors 1,048 693 Accrued Expenses 323 310 DHS 650 338 Salary Packaging - 1 TOTAL CURRENT 2,021 1,342

TOTAL PAYABLES 2,021 1,342

(a) Maturity analysis of payables Please refer to Note 16(c) for the ageing analysis of payables

(b) Nature and extent of risk arising from payables Please refer to Note 16(d) for the nature and extent of risks arising from payables East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Note 12: Employee Benefits and Related On-Costs Provisions

2009 2008 $'000 $'000 Current Provisions Employee Benefits (refer Note 12a) - unconditional and expected to be settled within 12 months 1,325 1,674 - unconditional and expected to be settled after 12 months 1,407 1,131 Employee Termination Benefits - unconditional and expected to be settled within 12 months 11 -

Provisions related to employee benefit on-costs Unconditional and expected to be settled within 12 months (nominal value) 159 201 Unconditional and expected to be settled after 12 months (present value) 169 136 Total Current Provisions 3,071 3,142

Non-Current Provisions Employee Benefits (Note 12a) 387 311 Provisions related to employee benefit on-costs 46 37 Employee Termination Benefits - - Other (List) - - Total Non-Current Provisions 433 348

26

EGHS AReport 80pp A4 Inside.indd 68 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 12a: Employee Benefits 69 2009 2008 $'000 $'000 Current Employee Benefits (refer Note 1 (s)) Unconditional long service leave entitlements 1,653 1,346 Annual leave entitlements 1,254 1,148 Accrued Wages and Salaries 121 598 Accrued Days Off 43 50 Total Current Employee Benefits* 3,071 3,142

*Current Employee benefits that: Expected to be utilised within 12 months (nominal value) 1,495 1,875 Expected to be utilised after 12 months (present value) 1,576 1,267 3,071 3,142

Non-Current Employee Benefits (refer Note 1 (s)) Conditional long service leave entitlements (present value) 433 348 Total Non-Current Employee Benefits 433 348 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Movement in Long Service Leave: Balance at start of year 1,694 1,556 Provision made during the year - Revaluations 54 - - Expense recognising employee service 537 422 Settlement made during the year (199) ( 284) Balance at end of year 2,086 1,694

Note 13: Other Liabilities

2009 2008 $'000 $'000 CURRENT Monies Held in Trust* - Patient Monies Held in Trust 22 26 - Accommodation Bonds (Refundable Entrance Fees) 2,097 2,373 - Other Monies Held in Trust 85 51 Revenue in Advance - 58 Total Current 2,204 2,508

TOTAL OTHER LIABILITIES 2,204 2,508

* Total Monies Held in Trust 2,204 2,450 Represented by the following assets: Cash Assets (refer to Note 5) 2,204 2,450 TOTAL 2,204 2,450

27

EGHS AReport 80pp A4 Inside.indd 69 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009

Note 14: Equity 70 2009 2008 $'000 $'000 (a) Reserves Land and Buildings Asset Revaluation Reserve 1 Balance at the beginning of the reporting period 4,866 4,866 Revaluation Increment/(Decrements) - Land 1,087 - - Buildings 5,042 - Balance at the end of the reporting period* 10,995 4,866

* Represented by: - Land 1,825 738 - Buildings 9,170 4,128 10,995 4,866

General Purpose Reserve Balance at the beginning of the reporting period 558 558 Transfer to and from General Reserve - Building for the Future Reserve 65 - - Angela Laidlaw Bursary Reserve 105 - East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Balance at the end of the reporting period 728 558

Restricted Specific Purpose Reserve Balance at the beginning of the reporting period 630 576 Transfer to and from General Reserve - Long Service Leave Reserve (40) 54 Balance at the end of the reporting period 590 630

Total Reserves 12,313 6,054

(b) Contributed Capital Balance at the beginning of the reporting period 19,896 19,731 Capital contribution received from Victorian Government - 165 Balance at the end of the reporting period 19,896 19,896

(c) Accumulated Surpluses/(Deficits) Balance at the beginning of the reporting period 4,644 4,578 Net Result for the Year 103 120 Transfers to and from Reserve - Long Service Leave Reserve 40 (54) - Building for the Future Reserve (65) - - Angela Laidlaw Bursary Reserve (105) - Balance at the end of the reporting period 4,617 4,644

(d) Total Equity at end of financial year 36,826 30,594

(1) The Land and Buildings Asset Revaluation Reserve arises on the revaluation of land and buildings.

Note 15: Reconciliation of Net Result for the Year to Net Cash Inflow/(Outflow) from Operating Activities

2009 2008 $'000 $'000 Net Result for the Period 103 120

Depreciation & Amortisation 1,323 1,300 Provision for Doubtful Debts (6) - Change in Inventories 6 - Resources/Assets Received Free of Charge (219) (24) Net (Gain)/Loss from Sale of Plant and Equipment 42 3 Change in Operating Assets & Liabilities (Increase)/Decrease in Receivables (419) (208) (Increase)/Decrease in Other Assets 246 (841) (Increase)/Decrease in Prepayments 1 95 Increase/(Decrease) in Payables 375 612 Increase/(Decrease) in Employee Benefits 14 539 NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES 1,466 1,596

28

EGHS AReport 80pp A4 Inside.indd 70 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 16: Financial Instruments 71 (a) Financial Risk Management Objectives and Policies

The Health Service's principal financial instruments comprise of: - Cash Assets - Term Deposits - Receivables (excluding statutory receivables) - Payables (excluding statutory payables) - Accommodation Bonds

Details of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised, with respect to each class of financial asset, financial liability and equity instrument are disclosed in Note 1 to the financial statements.

The main purpose in holding financial instruments is to prudentially manage the Health Service's financial risks within the government policy parameters.

Categorisation of Financial Instruments Annual Report East Grampians Health Service 2008/09 Carrying Carrying Amount Amount 2009 2008 $'000 $'000 Financial Assets Cash and cash equivalents 6,633 6,243 Loans and Receivables 839 628 Total Financial Assets (i) 7,472 6,871

Financial Liabilities At amortised cost 4,225 3,850 Total Financial Liabilities (ii) 4,225 3,850

(i) The total amount of financial assets disclosed here excludes statutory receivables (i.e. GST input tax credit recoverable and DHS long service leave)

(ii) The total amount of financial liabilities disclosed here excludes statutory payables (i.e. Taxes payable)

Net holding gain/(loss) on financial instruments by category Carrying Carrying Amount Amount 2009 2008 $'000 $'000 Financial Assets Cash and cash equivalents (i) 228 241 Loans and Receivables (i) 2 (5) Total Financial Assets 230 236

(i) For cash and cash equivalents the net gain or loss is calculated by taking the interest revenue, plus or minus foreign exchange gains or losses arising from revaluation of the financial assets, and minus any impairment recognised in the net result.

29

EGHS AReport 80pp A4 Inside.indd 71 16/09/09 2:31 PM East Grampians Health Service Our financials... 30

Notes To and Forming Part of the Financial Statements 2008/2009 - - 1 8 Annual Report 2008/2009 11 10 12 72 18 East Grampians Health Service $'000 Assets Financial Impaired

------$'000 1-5 Years Notes To and Forming Part of the Financial Statements

------Health Service's policy that provisions over provisions that policy Service's Health $'000 ancial loss for the other party by failing to failing by party other the for loss ancial deposit taking institutions listed as listed institutions taking deposit 1 Year asset refer to individual notes to the financial the to notes individual to refer asset

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 - - - 8 8 17 17 40 40 40 57 48 $'000 1-3 Months 3 months - Past Due But Not Impaired

- - 25 85 11 60 71 110 $'000 1 Month Less than

238 446 247 280 6,633 6,243 7,317 6,770 $'000 and Not Impaired

Not Past Due 280 571 266 380 6,633 6,243 7,484 6,889 $'000 Amount Carrying

uivalents uivalents q q sis of Financial Assets as at 30 June y anal g ein g Note 16: Financial Instruments (continued) Total Financial Assets 2008 Financial Assets Total Financial Assets (b) Credit Risk A 2009 Financial Assets Receivables debtors Trade - receivables Other - E Cash and Cash Receivables debtors Trade - Cash and Cash E Cash and Cash - Other receivables Other - In the context of Health Service, credit risk represents that one party to a financial instrument will cause fin net as shown are statements financial annual and reports management monthly the both in Receivables Board. the and management by approved are threshold certain a provisions. of having similar characteristics, other than The Health Service does not have any significant credit risk exposure to single counter party or group of parties operations. Service's Health the of funder material the as Services Human of Department the The Health Service's exposure to credit risk is set out in the following table. For interest rates applicable each class of statements. discharge an obligation. an discharge Financial instruments particular to East Grampians Health Service which would be subject credit risk include: - Cash Equivalents - Receivables As regards to credit risk for Cash Equivalents, it is the Health Services's policy only invest funds in reputable Australian monitored by the Australian recommended by the Victorian Department of Treasury. Credit risk should be minimised as such institutions have their capital adequacy (APRA). Authority Regulatory Prudential Receivables are regularly monitored by management and should collection be doubted, a specific provision is created. It the

EGHS AReport 80pp A4 Inside.indd 72 16/09/09 2:31 PM 31

Our place Our lives Our community Our people Annual Report 2008/2009 East Grampians Health Service

Notes To and Forming Part of the Financial Statements 2008/2009 ------73 Notes To and Forming Part of the Financial Statements $'000 1-5 Years

e ------43 43 fall du fall y Year $'000

------14 14 Maturity Dates $'000 ations as and when the when and as g ations 1-3 Months 3 months - 1

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 78 107 2,021 2,097 2,373 1,342 4,225 3,793 $'000 1 Month Less than

107 135 2,021 2,097 2,373 1,342 4,225 3,850 $'000 Cash Flows Contractual

107 135 2,097 2,373 2,021 1,342 4,225 3,850 $'000 Amount Carrying

s s ement Act to ensure that it meets its financial obli financial its meets it that ensure to Act ement ganisation under the Financial Manag r r Note 16: Financial Instruments (continued) (c) Liquidity Risk Maturity analysis of Financial Liabilities as at 30 June 2009 Financial Liabilities Total Financial Liabilities Total Financial Liabilities 2008 Financial Liabilities - Accommodation Bonds Accommodation - Bonds Accommodation - Other Financial Liabilitie Financial Other Payables - Othe - Othe In the context of the Health Service, liquidity risk refers to the risk that the Health Service will encounter difficulty in meeting obligations associated with associated obligations meeting in difficulty encounter will Service Health the that risk the to refers risk liquidity Service, Health the of context the In liabilities. financial to policy Board's the is It (DHS). Victoria Services Human of Department the by funded primarily is that corporation statutory a is Service Health The or the e manag legislation relevant the under stipulated conditions or terms the with accordance in paid are Bonds Accommodation Care Aged and Trust In Held Monies Bonds. Accommodation Care Aged of refunding the for (Cwlth) Act Care Aged the example for them, to applying Financial instruments particular to East Grampians Health Service which would be subject to liquidity risk include: risk liquidity to subject be would which Service Health Grampians East to particular instruments Financial Accruals and Creditors Trade - Bonds Accommodation Care Aged and Trust In Held Monies - Liabilities Other - credit and capabilities the review and monitor to policy Service's Health the is It terms. trading within paid generally are Accruals and Creditors Trade for authority of delegation a overlays and suppliers approved of list a maintains Service Health The basis. regular a on parties counter of worthiness thresholds. monetary certain over supplies Care Aged as such liabilities financial future meet to assets financial quarantine to legislation specific by obligated where that, recognises also Board The needs. liquidity day to day meet to assets financial these using without so does it that Bonds, Accommodation of class each to applicable rates interest For liabilities. financial Service's Health the for analysis maturity contractual the discloses table following The statements. financial the to notes individual to refer liability Other Financial Liabilitie Financial Other Payables

EGHS AReport 80pp A4 Inside.indd 73 16/09/09 2:31 PM 32

East GrampiansAnnual Report 2008/2009 Health Service

East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements 2008/2009 Notes To and Forming Part of the Financial Statements 2 2 280 571 266 380 107 135 853 648 74 g bject 2,021 2,097 1,342 2,373 4,225 3,850 '000 $ Bearin e

osur p ------1,027 1,027 1,906 1,906 1,027 1,906 '000 Rate $

------Interest Rate Ex - - 5,604 4,335 5,604 4,335 '000 Rate $ Interest Interest Interest

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 280 571 266 380 107 135 g 6,633 2,021 2,097 1,342 2,373 6,243 in 7,484 6,889 4,225 3,850 y

) ------e Amount Fixed Variable Non- 5.72 7.68 g % ( hted Carr g Interest Avera Effective Rate Wei osure of Financial Assets and Liabilities as at 30 June p uivalents q r ables ables y y Note 16: Financial Instruments (continued) Financial Liabilities (d) Market Risk Currency Risk Interest Rate Risk Other Price Risk Interest Rate Ex 2009 Financial Assets Financial Liabilities 2008 Financial Assets Receivables - Trade debtors - Other receivables Pa Receivables - Trade debtors - Other receivables Other Financial Liabilities - Accommodation Bonds - Other Other Financial Liabilities - Accommodation Bonds - Othe Cash and Equivalents Pa Cash and E The Health Service's exposures to market risk are primarily through interest rate with only insignificant exposure foreign currency and other price risks. Objectives, policies processes used to manage each of these risks are disclosed in the paragraphs below. The Health Service is exposed to insignificant foreign currency risk through its payables relating purchases of supplies and consumables from overseas. This is because of a limited amount purchases denominated in foreign currencies and short time. that at prevalent rate spot the at paid and recognised are Liabilities settlement. and commitment between timeframe su funds borrow to empowered not is Service Health The investments. on risk rate interest to subject only is Service Health The to interest on the principal and is therefore not subject market risk financial liabilities. The Health Service has not identified any other price risks.

EGHS AReport 80pp A4 Inside.indd 74 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements 2008/2009 33 ------75 $'000 Equity

+1% ------Annual Report 2008/2009 Profit $'000 East Grampians Health Service

------Other Price Risk $'000 Equity

-1% ------East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 - Notes To and Forming Part of the Financial Statements - Profit $'000

------133 125 133 125 he Health Service at year end as presented to key management personnel, if changes $'000 Equity

+2% ------133 125 133 125 Profit $'000

------(133) (125) (133) (125) Interest Rate Risk $'000 Equity

-2% ------(133) (125) (133) (125) Profit $'000

280 571 107 266 380 135 6,633 2,021 2,097 6,243 1,342 2,373 Amount Carrying

Note 16: Financial Instruments (continued) (d) Market Risk (cont) Sensitivity Disclosure Analysis 2009 Financial Assets Financial Liabilities 2008 Financial Assets Financial Liabilities Cash and Cash Equivalents Cash and Cash Taking into account past performance, future expectations, economic forecasts, and management's knowledge and experience of the financial markets, the Health Service believes following movements are Taking into account past performance, future expectations, economic forecasts, and management's knowledge experience of the Australia) of Bank Reserve the from sourced are rates (Base months 12 next the over possible' 'reasonably Receivables debtors Trade - - Other receivables Other - Payables Other Financial Liabilities Bonds Accommodation - Cash and Cash Equivalents Cash and Cash - Other - Receivables debtors Trade - Payables - Other receivables Other - Other Financial Liabilities Bonds Accommodation - - A shift of +2% and -2% in market interest rates (AUD) from year-end 4%; 2%. of rates year-end from rate inflation in -1% and +1% of shift parallel A - t by held instrument financial of category each for equity and result operating net on impact the discloses table following The in the relevant risk occur. Other -

EGHS AReport 80pp A4 Inside.indd 75 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 17: Commitments for Expenditure 76 2009 2008 $'000 $'000 Capital Expenditure Commitments Payable: Land and Buildings - 107 Plant and Equipment 523 112 Computer Software 190 232 Total Capital Commitments 713 451

Land and Buildings Not later than one year - 107 Total - 107

Lease Commitments Commitments in relation to leases contracted for at the reporting date: East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Operating Leases 254 152 Total Lease Commitments 254 152

Operating Leases Cancellable Not later than one year 59 54 Later than 1 year and not later than 5 years 195 98 Sub Total 254 152

Total Commitments for expenditure (inclusive of GST) 967 603

less GST recoverable from the Australian Tax Office (88) (55)

Total commitments for expenditure (exclusive of GST) 879 548

Note 18: Contingent Assets and Contingent Liabilities

As at 30 June 2009 East Grampians Health Service has no knowledge of any contingent assets or liabilities. (Nil for 30 June 2008.)

34

EGHS AReport 80pp A4 Inside.indd 76 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements 2008/2009 - - 241 35 120 77 (121) 1,300 1,261 7,340 7,340 37,934 23,024 37,934 23,024 (23,145) '000 2008 $

Total 25 220 228 103 (150) 1,323 1,012 7,729 7,729 44,555 24,586 44,555 24,586 (24,736) '000 Annual Report 2008/2009 2009 $

East Grampians Health Service - - 84 254 578 241 692 692 (157) 4,975 4,343 4,975 4,343 (4,500) (4,500) (24,736) (23,145) '000 2008 $

4 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 31 Others 257 152 228 788 744 512 788 Notes To and Forming Part of the Financial Statements 5,944 5,086 5,944 5,086 (4,574) (4,574) '000 2009 $

- - - 621 372 (114) (114) 2,619 2,619 18,834 12,684 18,834 12,684 (12,798) '000 2008 $

- Acute 15 gy 633 701 117 (393) (408) 2,985 2,985 22,503 13,408 22,503 13,408 (13,816) '000 2009 $

- - - s 425 311 150 150 5,997 4,030 5,997 4,030 (5,847) e 14,126 (5,847) (13,816) (12,798) 14,126 '000 2008 $ ed Car ed g ical Service g ical

- RAC 6 73 433 159 (248) (254) 6,092 3,956 6,092 3,956 (6,346) 16,108 (6,346) 16,108 '000 2009 $ h and Low Level A Level Low and h g

Services Hi Sur & Medical Acute Patholo Speech & Dietetics Podiatry, Physiotherapy, p ) s e s s s s oint venture partnershi venture oint g j ed Care Services (RAC Services Care ed g ment Revenu ment Expense g g Room g g y Service Service g g ment Assets ment Liabilitie ment g g Note 19: Segment Reporting Business Segments REVENUE Geographical Segment Total Assets Net Result for Year Net Result from ordinary activities Total Expenses Total Revenue Total Liabilities OTHER INFORMATION EXPENSES The major products/services from which the above segments derive revenue are: revenue derive segments above the which from products/services major The A Residential Depreciation expense Depreciation Acquisition of property, plant and equipment and plant property, of Acquisition Se Acute Health Acute Others -Primary Health -District Nursin -Radiolo -Caterin -Day Centre -Consultin -Fundraisin Grampians the in operations to relate assets segment and activities ordinary from surplus net revenue, of 100% Victoria. in region Grampians the in predominantly operates Service Health Grampians East region, Victoria. External Se Interest Income Interest Share of Net Result of Joint Ventures using Equity using Ventures Joint of Result Net of Share Method Se Investment in Investment External Se

EGHS AReport 80pp A4 Inside.indd 77 16/09/09 2:31 PM East Grampians Health Service Our financials...

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 20: Jointly Controlled Operations and Assets 78 Ownership Interest Name of Entity Principal Activity 2009 2008 % % Grampians Region Health IT Alliance IT Systems 6.91 0.00

East Grampians Health Service's interest in assets employed in the above jointly controlled operations and assets is detailed below. The amounts are included in the financial statements under their respective asset categories:

2009 2008 $'000 $'000

Current Assets Cash and Cash Equivalents 218 - Total Current Assets 218 - East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Non Current Assets Property, Plant and Equipment 45 - Total Non Current Assets 45 - Total Assets 263 -

East Grampians Health Service's interest in revenues and expenses resulting from jointly controlled operations and assets is detailed below:

2009 2008 $'000 $'000

Revenues Grants 137 - Other 178 - Total Revenue 315 -

Expenses Information Technology and Administrative Expenses 290 - Total Expenses 290 - Profit 25 -

Contingent Liabilities and Capital Commitments As at 30 June 2009 East Grampians Health Service has no knowledge of any contingent assets or liabilities arising from the Grampians Region Health IT Alliance.

36

EGHS AReport 80pp A4 Inside.indd 78 16/09/09 2:31 PM Our place Our lives Our community Our people

Notes To and Forming Part of the Financial Statements Notes To and Forming Part of the Financial Statements 2008/2009 East Grampians Health Service Annual Report 2008/2009 Note 21a: Responsible Persons Disclosures 79 In accordance with the Ministerial Directions issued by the Minister for Finance under the Financial Management Act 1994, the following disclosures are made regarding responsible persons for the reporting period.

Period Responsible Ministers: The Honourable Daniel Andrews, MLA, Minister for Health 01/07/2008 - 30/06/2009

Governing Boards Mr G Foster 01/07/2008 - 30/06/2009 Mr D Hosking 01/07/2008 - 30/06/2009 Ms A Di Guardo 01/07/2008 - 30/06/2009 Ms S Philip 01/07/2008 - 30/06/2009 Mr G Laidlaw 01/07/2008 - 30/06/2009 Mrs H Fleming 01/07/2008 - 30/06/2009 Ms L Staley 03/03/2009 - 30/06/2009 Accountable Officers Mr V J Davies 01/07/2008 - 26/06/2009

Mr R Bulmer 29/06/2009 - 30/06/2009 Annual Report East Grampians Health Service 2008/09

Remuneration of Responsible Persons The number of Responsible Persons are shown in their relevant income bands; 2009 2008 Income Band No. No. $0 - $9,999 1 - $240,000 - $249,999 - 1 $300,000 - $309,999 1 - Total Numbers 2 1

Total remuneration received or due and receivable by Responsible Persons from the reporting entity amounted to: $306,212 $242,065

Amounts relating to Responsible Ministers are reported in the financial statements of the Department of Premier and Cabinet. $'000 $'000 Other Transactions of Responsible Persons and their Related Parties. Fosters Mensland provided uniforms to the Health Service in 2007/08 under normal commercial terms and conditions and is part owned by Mr G Foster. - 1

Note 21b: Executive Officer Disclosures

Executive Officers' Remuneration The numbers of executive officers, other than Ministers and Accountable Officers, and their total remuneration during the reporting period are shown in the first two columns in the table below in their relevant income bands.

The base remuneration of executive officers is shown in the third and fourth columns. Base remuneration is exclusive of bonus payments, long-service leave payments, redundancy payments and retirement benefits.

Total Remuneration Base Remuneration 2009 2008 2009 2008 No. No. No. No. $110,000 - $119,999 1 1 1 1 $140,000 - $149,999 1 - 1 - Total 2 1 2 1 Total Remuneration $ 262,866 $ 114,178 $ 262,866 $ 114,178

Note 22: Events Occurring after the Balance Sheet Date

No significant events occurred after the reporting date.

37

EGHS AReport 80pp A4 Inside.indd 79 16/09/09 2:31 PM East Grampians Health Service Our place...

Compliance Disclosure Index The Annual Report of East Grampians Health Service is prepared in accordance with all relevant Victorian legislation. This index has been prepared to facilitate identification of the Health Service’s compliance with statutory disclosure requirements. 80 Ministerial Directions Financial statements required under Part 7 of the FMA Report of Operations - FRD Guidance Legislation Requirement Page Legislation Requirement Page SD 4.2(a) Compliance with Australian accounting standards 46 and other authoritative pronouncements Charter and Purpose FRD 22B Manner of establishment and the relevant Ministers 7 SD 4.2(b) Operating Statement 43 FRD 22B Objectives, functions, powers and duties 7 SD 4.2(b) Balance Sheet 44 FRD 22B Nature and range of services provided 6 SD 4.2(b) Statement of Changes in Equity 44 SD 4.2(b) Cash Flow Statement 45 Management and structure SD 4.2(c) Accountable officer’s declaration 42 FRD 22B Organisational structure 35 SD 4.2(c) Compliance with Ministerial Directions 46 SD 4.2(d) Rounding of amounts 46 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Financial and other information FRD 10 Disclosure index 80 Legislation FRD 11 Disclosure of ex-gratia payments 79 Freedom of Information Act 1982 38 FRD 21A Responsible person and executive 38 Whistleblowers Protection Act 2001 38 officer disclosures Victorian Industry Protection Act 2003 38 FRD 22B Application and operation of Freedom of 38 Building Act 1993 38 Information Act 1982 Financial Management Act 1994 46 FRD 22B Application and operation of the Whistleblowers 38 Protection Act 2001 FRD 22B Compliance with building and maintenance 38 Additional information (FRD 22B Appendix) provisions Of Building Act 1993 The following information is available upon request to the Chief Executive Officer by relevant Ministers, members of Parliament and the public (subject to the FOI FRD 22B Details of consultancies over $100,000 38 requirements, if applicable): FRD 22B Details of consultancies under $100,000 38 a. A statement of pecuniary interest has been completed. FRD 22B Major changes or factors affecting performance 10 b. Details of shares held by senior officers as nominee or held beneficially. FRD 22B Occupational Health and Safety 38 c. Details of publications produced by the Health Service about the activities of FRD 22B Operational and budgetary objectives 4, 10 the Board and where they can be obtained. and performance against objectives d. Details of changes in prices, fees, charges, rates and levies charged by FRD 22B Significant changes in financial position during 10 the Board. the year e. Details of any major external reviews carried out on the Board. FRD 22B Statement of availability of other information 80 f. Details of major research and development activities undertaken by the FRD 22B Statement of merit and equity 36 Board that are not otherwise covered either in the Report of Operations or FRD 22B Statement on National Competition Policy 38 in a document that contains the Financial Report and Report of Operations. FRD 22B Subsequent events 79 g. Details of overseas visits undertaken including a summary of the objectives and outcomes of each visit. FRD 22B Summary of the financial results of the year 4 h. Details of major promotional, public relations and marketing activities FRD 22B Workforce Data Disclosures 36 undertaken by the Board to develop community awareness of the Board FRD 25 Victorian Industry Participation Policy disclosures 38 and its services. SD 4.2(j) Report of Operations, Responsible Body Declaration 9 i. Details of assessments and measures undertaken to improve the SD 4.5.5 Attestation on Compliance with Australian / 37 occupational health and safety of employees. New Zealand Risk Management Standard j. General statement on industrial relations within the entity and details of time lost through industrial accidents and disputes, which is not otherwise Financial Statements – FRD Guidance detailed in the Report of Operations. k. A list of major committees sponsored by the entity, the purposes of each committee and the extent to which the purposes have been achieved.

EGHS AReport 80pp A4 Inside.indd 80 16/09/09 2:31 PM Our lives Our community Our people

Index

81 A H Q Accreditation 2, 17, 29 Health Service Agreement 8 Quality and Risk Management 29 Appointments 8 Highlights 2 Quality of Car 9 Auditor General’s Report 40 History 7 Auxiliaries 17, 26 R I Recruitment 8, 10, 36 B Industrial Relations 36 Report of Operations 8 Blue Ribbon Foundation 8, 27 Information Technology 12 Revenue Indicators 5 Board of Management 8, 9, 27, 31 Inpatient Unit 15 S C J Senior Staff 37 Catering Services 25 Services and Programs 6 Charter and Purpose 7 K Site Directory 83 East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 Chinese Heritage 7 L Social Work 19 Cleaning 25 Leadership 9 Strategic Plan 12 Clinical Consultative Committee 22 Legislative Compliance 37 Support Services 25 Clinical Services 15 Life Governors 28 Community, Our 27 T Location Map 83 Traditional Owners 7 Community Health 19 Lowe Street 17 Community Matters 9, 27, 28 U Complaints 28 M Compliance Disclosure Index 80 Media 9 V Corporate Governance 30 Medical Centre 20 Vale 2, 17 Medical Imaging 15 Visiting Medical Officers 22 D Medical Services 22 Volunteers 17, 27 Dental Clinic 8 Mission, Vision and Values 3 Department of Human Services 8, 10, 17 W District Nursing Services 15 N WestVic Division of General Practice 22 Willaura Health Care 9, 17 E O WorkCover Performance Statistics 36 Emergency Department 8, 20 Oncology 19, 20 Workforce Statistics 36 Environment 25 Organisational Structure 35 Equal Opportunity 36 X Executive Team 34 P Palliative Care 15 Y F Partnerships 8 Year in Brief 4 Facilities Development 9 Patricia Hinchey Day Centre 17 Financial Performance 10 Performance Indicators 4 Z Financial Report 39 Perioperative Unit 10, 15 Five Year Financial Results 5 Physiotherapy 21 Future Plans 9 President’s and Chief Executive’s 8 Report of Operations G Professional Development 15 Garden View Court Hostel 17 Glossary 82 Governing Body 31 Government Support 8 Grampians Health Alliance 8, 25

EGHS AReport 80pp A4 Inside.indd 81 16/09/09 2:31 PM East Grampians Health Service Our place...

Glossary

ACAS Aged Care Assessment Service GP General Practitioner 82 ACHS Australian Council on Healthcare Standards HACC Home and Community Care ACSAA Aged Care Standards and Agency HARP Hospital Admission Risk Program A&E Accident and Emergency Health Service East Grampians Health Service BCOP Better Care of Older People HITH Hospital in the Home Best practice Delivery of world class performance gained through ICT Information, Communication and Technology experience and research IT Information Technology BOM Board of Management LSOP Long Stay Older Patient CACPs Community Aged Care Packages NUM Nurse Unit Manager CEO Chief Executive OH&S Occupational Health and Safety DHS Department of Human Services PAC Post Acute Care

East Grampians Health Service 2008/09 Annual Report East Grampians Health Service 2008/09 DMS Director Medical Services PCP Primary Care Partnerships DOCS Director of Clinical Services QOC Report Quality of Care Report DRG Diagnostic Related Groupings - casemix-funding RN Registered Nurse system based upon patient throughput and complexity SRH Stawell Regional Health DVA Department of Veterans Affairs TAC Traffic Accident Commission EFT Equivalent Full Time VAED Victorian Admitted Episodes Database EGHS East Grampians Health Service VEMD Victorian Emergency Minimum Database EQuIP Evaluation and Quality Improvement Program VHA Victorian Healthcare Association ESIS Elective Surgery Information System VMIA Victorian Managed Insurance Association FOI Freedom of Information VMO Visiting Medical Officer GEM Geriatric and Evaluation Management. Allocated WIES Weighted Inlier Equivalent Separations. Every acute beds for older patients requiring management of patient discharged from East Grampians Health an illness or complex medical condition Service is allocated a DRG that reflects the primary reason for the patient’s episode of care. The DRG GHA Grampians Health Alliance has an assigned resource weight that is related to the complexity of the patient’s medical condition upon which the WIES is calculated.

EGHS AReport 80pp A4 Inside.indd 82 16/09/09 2:31 PM Our lives Our community Our people

Site Directory and location maps

83

POMONAL 35km ELMHURST 25km

ARARAT WARRAK MOYSTON Ararat Rural City 15km (Part of Central Grampians)

BUANGOR

MAROONA 18km

WILLAURA TATYOON 34km

MININERA Annual Report East Grampians Health Service 2008/09

STREATHAM Wimmera Central Grampians Central Highlands WICKLIFFE WESTMERE 54km LAKE BOLAC 49km

East Grampians Health Service Garden View Court Hostel Willaura Health Care PO Box 155 Lowe Street, Ararat 3377 Delacombe Way, Willaura 3379 Girdlestone Street, Ararat 3377 Phone: 03 5352 9324 Phone: 03 5354 1600 Phone: 03 5352 9300 Fax: 03 5352 5676 Patricia Hinchey Day Centre Parkland House Hostel Email: [email protected] Girdlestone Street, Ararat 3377 Delacombe Way, Willaura 3379 www.eghs.net.au Phone: 03 5352 9326 Phone: 03 5354 1613 70 Lowe Street Aged Care Facility 70 Lowe Street, Ararat 3377 Phone: 03 5352 9323