Volume 50 Hamilton, Bermuda. Saturday, June 1,1974 Price 15 cents No.22 $1.5 MILLION GOVT. GUARANTEE SOUGHT BY HOSPITALS BOARD! "PARLIAMENT TO BE INFORMED OF MAJOR PROBLEMS" A major debate will ensue in theHouse of Assembly as theresult of a request by the Chairman of the Bermuda Hospitals Board, Mr. John W. Swan, M.P. for theGovernment to guarantee a loansecured by theBoard for an amount of $1.5 million. One of theincredible facts which Mr.Swan willrevealintheHouseis the figure 7&>rm JJj^M of $1,400,000 owedto theBoard on 28 February of this year, due from people who havenotpaid theirhospitalbills.Thesepeopleare being givena clear warning— "pay up or else!" Here is the full story,as slated for theHouseby theChairman of theBermuda Hospitals Board, Mr.Swan: M AWkf J_ ______■ i_________________ ____■____________________________________________■ COURTS AT WORK A WARNING! When the new Executive ' Director, Geoffrey Scaddan. _______r __ ■__■ ___ In April 1971. the hospital WE WILL NOW BE was interviewed by a reporter accounts had fallen so DIRECTED TOWARDS on December 15. 1973. he con- hopelessly behind that the COLLECTING THESE AC- fidently predicted that by April Bermuda Government agreed COUNTS AND THE 1974 the hospitals' accounting tobuy the institution's accounts EXECUTIVE DIRECTOR OF department will be running receivable for $1,000,000. It is THE HOSPITAL HAS A smoothly and the horrendous these amounts that you see WARNING FOR ANYONE backlog of the past will be being collected through the WHO THINKSTHE HOSPITAL forgotten In point of fact, it courts by the Bermuda Credit ACCOUNT CAN BE HAPPILY may welltakeanothermonth or ,*>li Association on behalf of FORGOTTEN so before this is achieved but I wW : ?S'___l Government. LOAN am sure you will agree that he Mr. John W Swan. M.P GUARANTEE was reasonably on target. HOSPITAL UNABLE DETAILS FOR A new Agreement with the is anticipatedthat negotiations TO COPE $1.5 Bermuda Public Service will commence in the near MILLION FINANCIAL POSITION signed April However, Association was on future The financial staff of the at February 28. IMPROVED 24th and the major points of the hospital simply hadn't been 1974. we had an accounts The bank overdraft is now settlement, whichcovers some COMPULSORY able tokeep abreast of the task payable of approximately eliminated and. during the 430 monthly paid employees INSURANCE they faced Billing has always $1,400,000 and a bank overdraft months of May and June, we are; ADVOCATED been beset by complications of approximately $900,000. will be mailing cheques to our A salary increase of 15 per- because of the verv nature of totalling $2,300,000. overseas suppliers, totalling cent effective April 1. 1974 with The House should, at this Bermuda'shealth care system It was essential, therefore, $150,000 and to our local sup- a further increase of 9 percent time, perhaps address itself to It has never been a case of that theBoard with the helpand pliers of goods and services, on April 1. 1975 the concept, and Isay at this simply sendingout abill when a approval of the Minister of cheques totalling$600,000. The contract duration will be time, the concept only of patientleaves. The extentof his Finance negotiatethis loan you It is the Hospitals Board's eighteenmonths, permitting compulsory insurance for insurance coverage has to be now see before you. intention to settle suppliers parallel negotiations for everyone in Bermuda carefully worked out, and the The loan was secured at a accounts on a sixty-day basis, hospitals and Government's This programme would not amount payable divided up reasonable interest rate for hopefully, by the end of July employeesfor future contracts only ensure that everyone in accordingly. sixteen years on a rollover Sincehospitalcareis the most Hospitals' salaries, after the Bermudahad the opportunityof And with the wide range of basis, whichsimply means that inflation-prone industry in applicationof both the 15 per- guaranteed hospital care but insurance schemes on offer in if the interest rate changes Bermuda today,efforts to trim cent and9 percent awards, will the Board itself would greatly Bermuda, it was necessary to radically, we have the op- the cost of a stay in thehospital be closelycomparableto those streamline its operation by process the hospital accounts portunity tochange our source are gettingparticular attention of Government. merelybilling a central source through a computer. of funds every six months One of the most difficult and The additionalcost of the new for the number of hospital days However, the computer NEW RATES most frustrating of the many scales will be $587,000 per an- for each patient. programme simply didn't work HELPING' difficult and frustrating num, bringing the total salary RIGHT and so on April1, 1973 we tried problems currently THE facing the bill for these emplovees to PRIORITIES again and the accounting was The revised rate structure Hospitals Board is that of wage $4,190,000 for 1974 75 for which handed over to another com- which took effect at April 1st. andsalarynegotiations our already Bermudians today are concern, with consideration has been more puter and I am economies in our operations, employees given in the revised rate and more coming to look upon delightedtoreportthat thedays and adequate working capital structure for thehospitals The health services as a public of financial havoc at the King should allow us to operate in BUT HIGHER WAGES wage bill for these emplovees utility The priority call of Edward Hospital will soon be 1974 without any overall deficit Increasing wages and for April 1 toSeptember30.1975 health and Government over. W'enow have the accounts and we are confident that we salaries in the Bermuda willbe $2,283,000 spendingis no less, but also no receivable reconciled, balan- will be in a controllable hospitals, where these account The present Collective more, than those of care of the ced, and in agreement with the financial position for the first for 70 percent or more of the Agreement between the mentally handicapped, care of general ledger time in many years budget, will mean evenhigher Hospitals Board and the the aged, public health, healthcarecost-ata time when Hospital EmployeesDivision of education, roads, or public the main pitch is to reduce the the Bermuda Industrial Union transit rate of increase terminatesonOctober 4th and it AU are verv vital KU* T "__I____H OPPOSITION MEMBERS SLAM MMMl ______ _ . __.~ —*__ —A ■_"' _ \J____ - _y|j- " ________________ MOTORING (f)S7 _______________ .-_-_-___--r __■§—" « _bjl/T«».»*"if ____________ ____________ _____________________________ <_K»; *7_ . " In a strongly criticalattitude, terprise - ' - means freedom- to fix B_\^^T^ -# *^M_d_W *^K the Hon Gilbert Darreli. and prices not tocompete" and he the Hon. Jttiwell Simmons, weighed in with an illusion to _f^^___L______________l __________________ both members of the the similarityof gasoline prices Li Legislative Council, have recently announced by the oil .si U censured the high prices of companies to prove his point ~— - motor-vehicle insurance and He felt that prices should be as- have taken the oil companies, competitive and that Govern- Esso and Shell, to task for ment should insist on this The Iesso.itw esso E alleged collusion' with respect current tariff-rate' employed to price-fixing. byseveral insurance companies *" """* Mt. St. Agnes — sold? was unfair M^^r* WM Academy SYSTEM DEFENDED CONVENT: OFFICIALINTEREST? Quoting the prices arrived at A POOL" ENVISAGED by at least one insurance \ccnrding toseveral reliablesources, the BermudaOovernment company for a motor vehicle In reply, the Hon J R is interested in purchasing the imposing Mount Saint Agnes the Hon Ottiwell Simmons Plowmanstated that the motor \cadem) building, just off (edar \\enue in Hamilton. The same refuted the defence of the vehicle insurnace business was sources reveal that a committeeof <io\ernment officials has been system of free enterprise put not considered to be profitable to see the school to determineits value. forward by the Minister of and was offered more as a \ l.mernment spokesman was not available just before press- organization, the Hon J. R. service. However, he indicated time to confirm or den> the rumour. Nor was Sister Doris, the Plowman, in rebuttal to his that Government was con- Half the cause of the Superior, light matter. charge sidering a form of pool Mother able to throw an> on the She was in- trouble — the new price able tostate onl> that "severalpartieshadexpressedan interest", In the opinion of the Hon surance-scheme for certain and referredus toth* real-estateagentsfor moreinformation. Ottiwell Simmons. "Free en types of claims of gas. Page 2 THE BERMUDA RECORDER Saturday,June 1, 1974 i The Bermuda Recorder lHI<Tslolliccriil* _r Hamilton Iwasgiven tounderstandthat Perhaps the twobroadcasting "PROBONO PUBLICO" Bermuda ZBM-TV'sprime-time rate was companies would care to 28 May,1974 to be adjusted by 25 per cent, comment inyourcolumns about not 30 per cent these matters Editor, By W. Swan The you checx tnis out toi Thanks for a bright, newsy Published John Bermuda Could Recorder me. pleas^H folksy, informative new paper Printedby The Island Press Ltd. Hamilton WMso. don t you teel tnat tries* Yoursfaithfully _w rates will mean highei "Switch over at ad-time' Dear Sir prices for goods advertised oi ZBM-TV? HIRAM H.L TODD - ACTING EDITOR I have just received in the Editors' Note mail a copy of ZBM-TV's new If the Bermuda Broadcasting Perhaps both media com- MfALTER C SIMMONS ADVERTISING MANAGER Advertisement Rate Card' Company Ltd. have felt it panieswouldcare to comment"* effective 1st June 1974 from necessary,in viewof higherall- This letter raises an interesting which Inote that the ratefor 1 round costs, to raise their point ..