Annual Report 2016-17 Planning for a new hospital – Update
Following on from the West Gippsland Baw Baw Strategic Services Plan, this year we completed comprehensive Masterplan and Feasibility studies to develop detailed proposals for a new hospital on the current site or a new hospital on the greenfields site in Drouin East. The studies show that both sites offer viable and functional options for a new hospital. Our work continues into 2017-18 on the next stage of planning.
Existing urban area
Future urban growth (zoned)
Future urban growth (planned)
Commercial centre Existing hospital New hospital site
New site or current site? Feasibility plans to choose a site for the re-development of a new hospital are being considered.
Acknowledgements: Photography: Karyn O’Brien Design and Print: Kage Design & Photography West Gippsland Healthcare Group acknowledges the funding support provided by the Victorian Government.
Thank you to the staff, volunteers, patients and supporters of the West Gippsland Healthcare Group. ABN: 49 261 883 406
Front cover photo: Nurse Danielle and Alan Woollard in the Haemodialysis Unit at Warragul Contents
Chair & Chief Executive Officer Report...... 2-3 Corporate Governance...... 29 Our Hospital...... 4 Ministers & Governance History Board of Directors Services Organisation Chart Our Performance...... 7 Our People...... 35 Strategic Priorities Staff Performance Priorities Occupational Health & Safety Activity and Funding Service Awards Environmental Performance Our Community...... 41 Key Performance Indicators Donations & Fundraising Our Achievements...... 22 Reporting Requirements...... 42 Financial Report Attestations & Declarations Nursing & Midwifery Report Financial Declaration Medical Services Report Auditor General’s Report Allied and Community Health Report Financial Statements...... 50 Corporate Services Report Financial Index Warragul Linen Service Report Financial Notes & Reports Disclosure Index ...... 137
WGHG CEO Dan Weeks and Board Chair Jane Leslie with the new hospital Masterplans outside West Gippsland hospital campus
West Gippsland Healthcare Group Annual Report 2017 1 Report from the Chair and Chief Executive
Dan Weeks RN BBus(Acc) MHA GAICD ACHSM Jane Leslie BBus Chief Executive Officer Board Chair
On behalf of the Board and was successful, with 855 births Planning for our future staff of West Gippsland a much more manageable level. Meeting the healthcare needs of Healthcare Group and in Managing the quality of services in the context of growing demand and our community while planning for accordance with the Financial a new hospital continues to be Management Act 1994, it is capacity constraints is a constant challenge and we were thrilled when our priority. Following on from the our pleasure to provide this the Positive Pregnancy Program West Gippsland Baw Baw Strategic report of operations for the received the Excellence in Women’s Services Plan that was released period ended 30th June 2017. Health award at the Public Health last year, this year we completed Sector Awards ceremony. comprehensive Masterplan and It was another busy and exciting Feasibility studies to develop year at West Gippsland Healthcare Delivering Quality Care detailed proposals for a new hospital Group, as we continue to deliver on the current site or a new hospital our services whilst planning for our The community based programs on the greenfields site in Drouin future. 2016-17 proved to be a year and residential aged care services East. The studies show that both of records and achievements on at Cooinda Lodge and Andrews sites offer viable and functional many fronts. House continue to provide options for a new hospital to meet essential roles in supporting the Managing growth the planning and service objectives. hospital and maintaining people in The work continues into 2017-18 The demand for services continues the community. Neerim District as we partner with the Department to grow as the population within Health Services has also played an of Health and Human Services Baw Baw Shire expands at a rate important role in meeting demand and Government to continue the greater than the state average. The by providing an option for increased planning. number of acute in hospital-patients surgery and hosting our Restorative increased by 4% and the number of Care program for patients requiring Emergency Department attendances additional support following their increased by 3% to set a new record acute episode. of just over 22,000 presentations. The strategy advised last year to work with neighbouring hospitals to reduce the demand in maternity
2 Our Community is growing We continued to care for more people than ever before as population within Baw Baw Shire expands at a rate greater than the state average. Our hospital admissions increased by 4% and the number of Emergency Department attendances increased by 3% to set a new record of just over 22,000 presentations.
Undertaking major works Our generous community Finally we would also like to acknowledge the contribution of our While a future new hospital is still We have also continued to benefit many community partners, including some years away, it is important we from the amazing generosity shown our local members of parliament at expand our current capacity in the by the community. Our annual both the state and commonwealth short term. We were delighted when hospital equipment appeal is a levels, the Department of Health and Minister Hennessey announced testament to this generosity, with Human Services and the Committee $9.3million in funding to build a over $80,000 raised to purchase for Gippsland. Your support is short stay unit in the emergency much needed equipment. The greatly appreciated and we look department and a third operating ongoing support from our auxiliaries, forward to working with you over the theatre. We have also commenced volunteers, community groups, coming year as we continue to serve planning to build another businesses and donors is very much our community. accommodation unit in Sargeant appreciated and makes a significant Street to help house visiting contribution to the services provided. clinicians Thank you Financial Sustainability Operating a health care service is 2016/17 was the second year in a team effort and we would like to Jane Leslie a 3 year financial recovery plan to acknowledge the dedication and Board chair reduce dependence on the Warragul skills of our Board, Executive and Linen Service. The operating surplus staff. They work hard each day to achieved is a pleasing result when deliver the quality care we are known there has been a constant growth for and to cope with record demand in service delivery and expansion of for our services. As the reporting the organisation. The strategy to period draws to a conclusion, we ensure that revenue grows faster say farewell to three long standing Dan Weeks than expenses continues to meet board directors, John Davine, Chief Executive Officer the Groups financial objectives. Brian Davey and Joanne Campbell. Together they have made a significant contribution to our service and we wish them well for the future.
West Gippsland Healthcare Group Annual Report 2017 3 Our Hospital
West Gippsland Healthcare Group (WGHG) is a customer-focused health organisation providing acute care, residential care and community health services to over 48,000 people in the rural, urban residential, agricultural and industrial areas located within the Baw Baw Shire and beyond.
Our Vision: To improve the health and wellbeing of our community.
Our Mission: West Gippsland Healthcare Group is committed to the provision of high quality, integrated health care that meets the changing needs of individuals and our community.
We Value: OUR CUSTOMERS be committed to continuity of care for individuals whilst recognising rights, responsibilities and participation OUR COMMUNITY be a responsible corporate citizen and neighbour in caring for our community and environment OUR STAFF we are committed to our staff’s wellbeing and ongoing development LEADERSHIP be a role model in the planning and delivery of health services IMPROVING PERFORMANCE ensure continuous quality improvement
4 Our History
1888 The community established a 1998 Baw Baw Health and 2012 Building extension works Hospital on land donated by Community Care Centre commenced to the Mary Sargeant to service the opened in Drouin, a joint emergency department area between Melbourne and venture with the Baw Baw New physicians consulting Sale Shire. Stage 2 Redevelopment rooms, education facilities, 1895 Warragul District Hospital of the Hospital officially teleconferencing facilities and completed opened a new home for the District Nursing Service completed 1908 Warragul District Hospital 2005 Extensions to Andrews officially opened House in Trafalgar completed, Feasibility Study identifies accommodating 50 residents. Lardners Track as preferred 1924 Name change to West Queen Street Community site for a new Hospital Gippsland Hospital (WGH) Services building redeveloped. in 1936.The original wooden 2013 Emergency department Hospital building redeveloped Extensions to Warragul redevelopment completed Linen Service completed and officially opened by The 1939 The foundation stone of the to accommodate new Hon. David Davis MP 17th new brick Hospital laid by Mr continuous batch washing May Dunstan system A record breaking 1020 1940 The new Hospital opened by 2006 Community Rehabilitation babies born at WGH Sir Winston Duggan Centre relocation project 2014 The first self-funded research 1970 Eastern extensions to the commenced. program announced, with Hospital opened. The Hospital Stage 3 Redevelopment of $100,000 made available expanded to 144 beds the Hospital, incorporating to support clinical staff to 1978 Stage 1 of Cooinda the High Dependency and undertake research programs Lodge nursing home built, Midwifery Units completed 2015 Relocated High Dependency accommodating 28 residents 2007 Community Health and Unit within Medical Unit to 1986 Stage 2 of Cooinda Lodge Community Mental Health expand the number of post- added, accommodating 56 project completed natal and medical unit beds. residents 2008 Community Rehabilitation 2016 Constructed five units in The Warragul Linen Service Centre redevelopment Sargeant Street Warragul, moved into purpose-built underneath Cooinda Lodge to provide on-site premises in Ley Street completed. Centenary of accommodation for visiting 1996 A Community Services Centre opening of first Warragul clinicians. Completed $5.8m was established in Warragul District Hospital celebrated. Energy Performance Contract Centenary history book ‘Of (EPC) asset refresh and major Stage 1 Redevelopment of refurbishment of Cooinda Hospital completed the People...For the People’ and Centenary quilt launched Lodge 1997 The various health services 2009 WGHG awarded Premier’s 2017 WGHG awarded Excellence provided across the in Women’s Health award for community were brought Award for Regional Health Service of the Year Positive Pregnancy Program. together under the umbrella Completed masterplan and name of West Gippsland 2010 WGH Drouin Auxiliary 50th feasibility studies to develop Healthcare Group (WGHG). anniversary celebrated detailed proposals for a new Rawson Community Health Permanent home purchased hospital on the current site Centre incorporated into for Trafalgar Community or a new hospital on the WGHG. Health Services greenfields site in Drouin Andrews House opened, Extensions to Drouin East. Secured funding to accommodating 30 residents Opportunity Shop completed build a short stay unit in the emergency department and a 2011 Feasibility study for third operating theatre redevelopment of West Gippsland Hospital site commenced
West Gippsland Healthcare Group Annual Report 2017 5 Our Services as at 30 June 2017
Hospital (acute) Allied Health Home Nursing Service Anaesthesia Cardiac Rehabilitation District Nursing Service Breast Surgery Chronic Obstructive Airways - Hospital in the Home (HITH) Cardiology Disease (COAD) Program - Palliative Care Nursing/Volunteers Day Surgery Dietetics - McGrath Breast Care Nurse Dental Surgery Occupational Therapy Diabetes Education Physiotherapy Business Units Ear Nose and Throat Surgery Podiatry Consulting Suites Emergency Medicine Social Work Salary Packaging Gastroenterology Speech Pathology Warragul Linen Service General Medicine General Practice Allied & Community Health Diagnostic Services General Surgery Services (Contract Services) Gynaecology Aboriginal Hospital Liaison Officer BreastScreen Haemodialysis Cognitive Dementia and Memory Endoscopy High Dependency Care Service (CDAMS) Medical Imaging Infectious Diseases Medicine Community Health Nurse Pathology Midwifery Continence Pharmacy Obstetrics - Urodynamics Service Stress Electro Cardiographs Oncology - Children’s Disability Service Ophthalmology - Children’s Service Support Services Orthopaedic Surgery - Adult Continence Service Administration Paediatric Medicine - Pelvic Floor Physiotherapy Business Support Services Paediatric Surgery Diabetes Education Education Pain Management Dietetics Engineering Plastic Surgery First Call – Central Intake Service Environmental Services Neonatology Counselling Finance Pre-Admission - Generalist Food Services Stomal Therapy - Family Violence Counselling and Health Information Case Management Urology and Urodynamics Human Resources - Integrated Family Services Renal Medicine Infection Control Counselling and Case Information Technology Management Continuing and Complex Care Library Health Promotion Geriatric Evaluation and Occupational Health and Safety Management (GEM) Rawson Community Health Centre Payroll Hospital Admission Risk Program Rural and Community Allied Health Performance Improvement Unit (HARP) Service Public Relations Palliative Care - Dietetics Supply Post-Acute Care - Occupational Therapy WorkCover Residential In Reach - Physiotherapy Transitional Care Packages - Podiatry - Speech Pathology Aged Care - Counselling Aged Care Assessment Young Mums Andrews House Aged Care Facility Cooinda Lodge Aged Care Facility Home & Community Care Services Respite Care
6 Our Performance Statement of Priorities and Health Service Agreement
West Gippsland Healthcare Group Annual Report 2017 7 Part A: Strategic Priorities
Domain Action Deliverables Outcomes Monitor the quality of end of life care for Every death is reviewed and reported to all patients and report through relevant the Clinical Governance committee, which committee structure including local General includes local GP’s. Implement systems and processes to Practitioners. recognise and support person-centred end Policies have been reviewed in conjunction Review current policy and procedures to of life care in all settings, with a focus on with Gippsland Regional Palliative Care ensure they are reflective of current practice. providing support for people who choose to Consortia. die at home. Consider the use of the Care Plan for the The Care plan for the Dying has been Dying Person – Victoria, supported through adopted by WGHG and an implementation the Centre for Palliative Care at St Vincent’s plan developed. Hospital. Appoint a project person to lead the implementation of the Advance Care A project person was appointed to lead the Planning - have the conversation: A strategy implementation and staff education has for Victorian health services 2014-18 at the occurred. Advance Care Planning is included as a health service. parameter in an assessment of outcomes Achieve a target of 50% of patients over 70 including: mortality and morbidity review The target was not achieved by 30 June years of age have a documented Advance reports, patient experience and routine data and work continues to improve processes to Care directive or plan as part of their medical collection. document Advance Care directives. record. Mortality reviews to include assessment as Mortality reviews from Sept 2016-March to whether an Advance Care Plan was in 2017 found 37% had an Advance Care Plan place and whether it was followed. in place and had been followed. Child and Family Violence project manager Deliver a training package and present has been appointed and training package Quality and Progress implementation of a whole-of- policies that have been developed for is under development using best practice safety hospital model for responding to family responding to family violence using the guidelines from the Royal Women’s Hospital. violence. Strengthening Hospital Response to Family Polices and protocols are being developed Violence model. concurrently. Actively support and participate in regional projects and committees such as Chief Develop a regional leadership culture Executive Officer forum; Director of Nursing CEO and Executive and Senior staff actively that fosters multidisciplinary and multi- and Midwifery forum; Regional Maternity participate in a variety of regional projects organisational collaboration to promote and Perinatal Morbidity and Mortality and committees including all of those listed learning and the provision of safe, quality committees; Gippsland Regional Integrated and many more. care across rural and regional Victoria. Cancer Services, and Gippsland Health Alliance Matrix of Foetal Surveillance Education Foetal Surveillance training requirements Establish a foetal surveillance competency Program training requirements required for have been determined for all levels of staff policy and associated procedures for all staff levels of clinical involvement and patient in maternity to ensure 24 hour coverage of providing maternity care that includes the management, including remedial strategies the labour ward by appropriately skilled staff. minimum training requirements, safe staffing where required, to be developed by March Training records are actively monitored and arrangements and ongoing compliance 2017. Monitoring of Foetal Surveillance managed but have not yet transitioned to monitoring arrangements. Education Program training levels to be e-Credentialing. managed within e-Credentialing program. Use patient feedback, including the Victorian Healthcare Experience Survey to drive The Community Advisory Council actively Involve Community Advisory Council in improved health outcomes and experiences reviews the results of the Victorian review of Victorian Healthcare Experience through a strong focus on person and family Healthcare Experience Survey and Survey results to identify and address centred care in the planning, delivery and recommends required actions to the Board opportunities for improvement. evaluation of services, and the development for consideration. of new models for putting patients first.
8 Domain Action Deliverables Outcomes Review of current policy and practice to Code Grey policy and practice have been Develop a whole of hospital approach to ensure best practice. reviewed and training developed. Quality and reduce the use of restrictive practices for 450 staff have received Code Grey training, safety Continue training of all staff in Code Grey patients, including seclusion and restraint. including refresher training for high risk staff. practice. Training for Code Grey is ongoing. Ensure the development and implementation Implement a “Do not attend" policy and “Do Not Attend” policy and guidelines have of a plan in specialist clinics to: (1) optimise guidelines by December 2016. been developed and endorsed. referral management processes and improve The First Call central intake process has patient flow through to ensure patients are Through centralised intake develop a developed a consistent approach to prioritise seen in turn and within time; and (2) ensure consistent approach to identifying priority patients and manage the wait list by using Victorian Integrated Non-admitted Health patients and waitlist parameters under the service guides which have been developed data accurately reflects the status of waiting centralised intake process patients. and are in place for each program. Investigate the introduction of a short $3.3m funding awarded from the Regional stay model of care as one strategy to Health Infrastructure Fund Round 1 to build improve patient flow from the Emergency a short stay unit. Project Manager and Department. Submit application to build architects have been appointed to oversee Short Stay Unit under Regional Health the project. A short stay model of care has Infrastructure Fund. been drafted in readiness. Ensure the implementation of a range of The governance of Hospital in the Home was strategies (including processes and service Explore feasibility of moving Hospital In The reviewed and determined not to relocate it models) to improve patient flow, transfer Home under the Emergency Department to the Emergency Department. However times and efficiency in the emergency management to increase admissions directly greater HiTH presence and closer working department, with particular focus on patients from the Emergency Department. relationships have resulted in direct HiTH who did not wait for treatment and/or admissions from ED. patients that re-presented within 48 hours. Guidelines for cellulitis have resulted in Review Hospital In The Home Guidelines direct HiTH admissions from ED. Review Access and for Pneumonia, Cellulitis and Uro-sepsis by of Pneumonia and uro-sepsis guidelines timeliness March 2017 to increase early transfer to the have not resulted in direct admission but program or direct admission to assist with encourage early transfer to HiTH. patient flow within the organisation. HiTH activity has increased by over 60% in 2016/17 Establish telephone secondary consults Secondary consults by telephone have been for the Health Independence Program established for the continence program to Continence Program by December 2016 to improve access. Identify opportunities and implement improve access to the service. pathways to aid prevention and increase Explore options for telemedicine in Dementia Support Australia is utilised to care outside hospital walls by optimising Psychiatry and Dementia Care to reduce offer telephone advice and assessments in appropriate use of existing programs (i.e. impost of travel on clients and improve psychiatry and dementia but telemedicine is the Health Independence Program or service access. not available. telemedicine). Participate on Steering Committee for Chief Executive Officer is a member of the Gippsland Primary Health Network Clinical Gippsland Primary Health Network Clinical Pathways project. Pathways project. Review current practice of referral to surgical The process for referral to the surgical Increase the proportion of patients (locally waiting list by December 2016. wait list, performance indicators and pre- and across the state) who receive treatment Review data management and develop key admission clinic processes have all been within the clinically recommended time for performance indicator reports to better reviewed, resulting in improved performance surgery and implement ongoing processes to manage waiting list by December 2016. in the elective surgery access performance ensure patients are treated in turn and within Review current Pre Admission Clinic indicators. The number of patients waiting clinically recommended timeframes. processes to maximise patients’ readiness for surgery at 30th June was below target. for care by December 2016.
West Gippsland Healthcare Group Annual Report 2017 9 Part A: Strategic Priorities
Domain Action Deliverables Outcomes Develop and implement a strategy to ensure the preparedness of the organisation for WGHG has worked with other providers the National Disability Insurance Scheme Work in partnership with other Gippsland in Gippsland to develop a response to the Access and and Home and Community Care program public health services to develop a response National Disability and Insurance Scheme. timeliness transition and reform, with particular strategy to the roll out of the National A preparedness strategy is currently being consideration to service access, service Disability and Insurance Scheme. developed as details of the scheme emerge. expectations, workforce and financial management. Support shared population health and WGHG is a member of the Baw Baw Shire’s Participate in the development of the Baw wellbeing planning at a local level - aligning Healthy Baw Baw Advisory Committee and Baw Shire Municipal Public Health and with the Local Government Municipal Public continues to participate in the Public Health Wellbeing Plan and align the West Gippsland Health and Wellbeing plan and working with and Wellbeing plan. The WGHG Health Healthcare Group Integrated Health other local agencies and Primary Health Promotion activities are aligned with the Promotion activities to the plan. Networks. plan. WGHG is a partner in the Municipal Public Focus on primary prevention, including Develop health promotion and prevention Health Plan and Wellbeing Plan in Baw Baw suicide prevention activities, and aim to activities in conjunction with regional primary Shire. impact on large numbers of people in the health provider and interested stakeholders, The target areas are initiatives that build places where they spend their time adopting with the aim of tackling the multiple risk a healthy, accessible food system and to a place based, whole of population approach factors of poor health through a whole increase physical activity through the Heart to tackle the multiple risk factors of poor of population approach and consistent Foundation walking groups and the Schools health. communication themes. Achievement program. Community Health staff attend Ramahyuck District Aboriginal Corporation to deliver services. In partnership with local Aboriginal Director of Allied & Community Health chairs communities, identify opportunities to deliver the Aboriginal Employment plan meeting in Supporting Develop and implement strategies culturally sensitive services. partnership with the elders and community healthy that encourage cultural diversity such members. Aboriginal health gap analysis was populations as partnering with culturally diverse completed with local elders and an action communities, reflecting the diversity of your plan developed from the analysis. community in the organisational governance, A Commonwealth Home Support Program and having culturally sensitive, safe and Develop and implement the identified working group has been established and inclusive practices. strategies in the West Gippsland Healthcare monitors the Diversity Plan as well as use of Group Home and Community Care and interpreters and access to written materials Commonwealth Home Support Program in other languages. An extension of the Diversity Plan to improve access to services cultural awareness education package to by culturally diverse community members. focus on the CALD community is under development. Phase 2 of the Reconnect project has Complete Phase 2 of Reconnect project to been implemented and referral pathways Improve the health outcomes of Aboriginal implement strategies to increase access to for Aboriginal patients (in patients and and Torres Strait Islander people by West Gippsland Healthcare Group services to outpatients) are in place and completed by establishing culturally safe practices which the Aboriginal community. the Aboriginal Health Liaison Officer. This recognise and respect their cultural identities has improved access to services. and safely meets their needs, expectations Provide “Be Deadly, Get Healthy” outreach and rights. exercise program to Aboriginal community to Program delivered and continues to be well provide an environment to encourage healthy attended by the local community. lifestyles.
10 Domain Action Deliverables Outcomes Drive improvements to Victoria’s mental health system through focus and engagement in activity delivering on the 10 Contribute at local and state-wide level WGHG continues to participate and has 2 Year Plan for Mental Health and active input through Primary Health Network clinical members on the Primary Health Network into consultations on the Design, Service council and stakeholder consultations. Clinical Counsel. Supporting and Infrastructure Plan for Victoria’s Clinical healthy mental health system. populations Using the Government’s Rainbow eQuality Guide, identify and adopt ‘actions for Rainbow eQuality Gap analysis was Undertake a gap analysis against the inclusive practices’ and be more responsive completed in July. Action plan developed Rainbow eQuality Guide and develop to the health and wellbeing of lesbian, from analysis and policies under strategies to address any identified gaps. gay, bisexual, transgender and intersex development. individuals and communities. Demonstrate implementation of the Victorian Review Q-Dash (Key Performance Q-Dash report has been reviewed and Clinical Governance Policy Framework: Indicator dashboard) ensuring appropriate Clinical Governance will continue to refine Governance for the provision of safe, benchmarks and data targeted to and review KPIs and report structure. quality healthcare at each level of the appropriate level (Board Clinical governance External benchmark reports are utilised organisation, with clearly documented versus Executive & Department) by June where available. Internal KPIs are compared and understood roles and responsibilities. 2017. to a relevant benchmark if available. Ensure effective integrated systems, processes and leadership are in place to support the provision of safe, quality, accountable and person centred healthcare. e-Credentialing has been installed and It is an expectation that health services Implement software to support implemented. e-Recruitment module implement to best meet their employees’ e-Credentialing and e-Recruitment by implementation remains a work in progress and community’s needs, and that clinical February 2017. governance arrangements undergo at 30 June 2017. frequent and formal review, evaluation and amendment to drive continuous improvement. Governance Transition plan has been developed for and Contribute to the development and Develop a transition plan in partnership the West Gippsland Baw Baw Strategic leadership implementation of Local Region Action with the Department of Health and Human Services Plan. Significant progress has Plans under the series of state-wide Services and neighbouring health services been achieved in a number of key areas design, service and infrastructure plans commence implementation of the West (eg. successful short stay and 3rd theatre being progressively released from 2016 Gippsland Baw Baw Strategic Service Plan submission; increasing partnership and 17. Development of Local Region Action recommendations. surgical capacity with Neerim District Health Plans will require partnerships and active Service). collaboration across regions to ensure plans WGHG is an active participant in the meet both regional and local service needs, Actively participate in and implement the Gippsland Maternity Plan working party and as articulated in the state-wide design, outcomes of the Gippsland Maternity Plan has implemented a number of the outcomes service and infrastructure plans. Implementation Working Party. (eg. endorsed the Body Mass Index policy). Ensure that an anti-bullying and harassment Review of Bullying and Harassment Policy policy exists and includes the identification against stated requirements by February The policy has been reviewed and an action of appropriate behaviour, internal and 2017. Implement any identified gaps in plan developed to address the gaps. external support mechanisms for staff and existing policy by April 2017. a clear process for reporting, investigation, feedback, consequence and appeal and the Employee Assistance Program awareness to The promotion of the Employee Assistance policy specifies a regular review schedule. be ongoing. Program is ongoing.
West Gippsland Healthcare Group Annual Report 2017 11 Part A: Strategic Priorities
Domain Action Deliverables Outcomes Ensure progress against implementation plan OHS Safety Management System approved Board and senior management ensure that for actions from the Occupational Health and by Audit & Risk Committee and progress an organisational wide occupational health Safety Management Plan is reported to the is reviewed and overseen by the OHS and safety risk management approach Audit and Risk Committee quarterly. Committee. is in place which includes: (1) A focus Occupational Health and Safety Key Occupational Health and Safety KPI’s are on prevention and the strategies used to Performance Indictors to be monitored and monitored by the Audit & Risk Committee manage risks, including the regular review reported to Board. and Board monthly. of these controls; (2) Strategies to improve reporting of occupational health and safety Designated work areas have been risk incidents, risks and controls, with a particular assessed to determine frequency of safety focus on prevention of occupational violence inspections. Smart lift policy was updated in Oct 2016 with co-ordinator training and bullying and harassment, throughout all Preventative training targeted for delivered. Training on assessing and levels of the organisation, including to the Occupational Health and Safety hot spots, controlling hazardous manual handling risks board; and (3) Mechanisms for consulting for example manual handling and falls, to be has been provided to relevant Managers. with, debriefing and communicating with all delivered by June 2017. staff regarding outcomes of investigations A system for mapping and targeting and controls following occupational violence Occupational Health and Safety hot spots and bullying and harassment incidents. at the Warragul Linen Service has been developed and implemented. Implement and monitor workforce plans that: improve industrial relations; promote a learning culture; align with the Best Practice Education restructure almost completed Clinical Learning Environment Framework; Implement actions scheduled for 2016 from resulting to an organisation wide approach promote effective succession planning; the West Gippsland Healthcare Group People to Learning & Development. Staff culture increase employment opportunities for and Culture Plan 2016-2019 including program commenced and Acceptable Aboriginal and Torres Strait Islander people; staff learning program, e-recruitment and behaviours brochure developed. Governance ensure the workforce is appropriately e-credentialing. e-credentialing has been implemented but and qualified and skilled; and support the e-learning program has not commenced. leadership delivery of high-quality and safe person centred care. Create a workforce culture that: (1) includes staff in decision making; (2) promotes and Utilise results from 2016 People Matters Engaged Studer Group and launched “LEAD” supports open communication, raising Survey to develop appropriate responses program to drive organisational culture and concerns and respectful behaviour across all to address identified opportunities for respond to opportunities for improvement levels of the organisation; and (3) includes improvement. identified in People Matters results. consumers and the community. Ensure that the Victorian Child Safe Standards are embedded in everyday thinking and practice to better protect children from abuse, which includes the implementation of: strategies to embed an organisational culture of child Develop a training package by December Training package developed and delivered to safety; a child safe policy or statement 2016 to be delivered to all high priority staff key areas. Child and Family Violence Project of commitment to child safety; a code of June 2017. Manager recruited. conduct that establishes clear expectations This training will be delivered using Child Wise engaged to perform a gap for appropriate behaviour with children; a multifaceted approach with formal analysis and assist with implementation screening, supervision, training and other presentation, online content and group strategies to ensure compliance with Child human resources practices that reduce the format. Safe Standards. risk of child abuse; processes for responding to and reporting suspected abuse of children; strategies to identify and reduce or remove the risk of abuse and strategies to promote the participation and empowerment of children.
12 Domain Action Deliverables Outcomes Review of all current staff health policies by Implement policies and procedures to All staff health policies have been reviewed. ensure patient facing staff have access to June 2017. Governance vaccination programs and are appropriately Implement process to ensure mandatory and Processes to collect vaccination status for vaccinated and/or immunised to protect staff vaccination status is collected and leadership new employees have been implemented, and prevent the transmission of infection to documented on commencement of with 63% compliance demonstrated. susceptible patients or people in their care. employment at the health service. Continue progress on achieving the Further enhance cash management three year Financial Improvement Plan to Year 2 of the three year plan is ahead of strategies to improve cash sustainability and actively manage expenditure growth to target, with a forecast operating profit of meet financial obligations as they are due. ensure all service streams to be financially approximately $1.2m expected. independent. Actively contribute to the implementation of the Victorian Government’s policy to be net zero carbon by 2050 and improve Financial environmental sustainability by identifying sustainability and implementing projects, including Ensure Energy Performance Contract Energy savings are being achieved against workforce education, to reduce material reductions in greenhouse gas emissions and baseline of 30% electricity and 15% gas. environmental impacts with particular usage are being achieved through the annual Energy provider has issued the 2017 consideration of procurement and waste measurement and verification process. measurement and verification report. management, and publicly reporting environmental performance data, including measureable targets related to reduction of clinical, sharps and landfill waste, water and energy use and improved recycling.
West Gippsland Healthcare Group Annual Report 2017 13 Part B: Performance priorities
Quality and Safety
Key performance indicator Target 2016-17 Result Compliance with NSQHS Standards accreditation Full compliance Full compliance Compliance with the Commonwealth’s Aged Care Accreditation Standards Full compliance Full compliance Overall Compliance with cleaning standards Full compliance Full compliance Very high risk (category A) Full compliance Full compliance High risk (category B) Full compliance Full compliance Moderate risk (category C) Full compliance Full compliance Submission of infection surveillance data to VICNISS1 Full compliance Full compliance Compliance with the Hand Hygiene Australia program 80% 83.5% Percentage of healthcare workers immunized for influenza 75% 78.5%
Patient experience and outcomes performance
Key performance indicator Target 2016-17 Result Victorian Healthcare Experience Survey - data submission Full compliance Achieved Victorian Healthcare Experience Survey - patient experience Quarter 1 95% positive experience 96% Victorian Healthcare Experience Survey - patient experience Quarter 2 95% positive experience 96% Victorian Healthcare Experience Survey - patient experience Quarter 3 95% positive experience 93% Victorian Healthcare Experience Survey - discharge care Quarter 1 75% very positive experience 76% Victorian Healthcare Experience Survey - discharge care Quarter 2 75% very positive experience 76% Victorian Healthcare Experience Survey - discharge care Quarter 3 75% very positive experience 77% Maternity and Newborn 2 Maternity - Percentage of women with prearranged postnatal home care 100% 99% Rate of singleton term infants without birth anomalies with APGAR Score <7 to 5 ≤1.6% 0.9% Rate of severe foetal growth restriction in singelton pregnancy undelivered by 40 weeks ≤28.6% 28.6% Continuing care Functional independence gain from admission to discharge, relative to length of stay ≥0.39 (GEM) 0.63
1VICNISS is the Victorian Hospital Acquired Infection Surveillance System 2Perinatal Service Performance Indicator (PSPI) reports should be consulted for a description on the utility and business rules for these indicators. Note that data for 2016 and 2017 is provisional
Governance and leadership
Key performance indicator Target 2016-17 Result People Matter Survey - % of staff with a positive response to safety culture questions 80% 87.4%
14 Access and timeliness
Key performance indicator Target 2016-17 Result Emergency care Percentage of ambulance patients transferred within 40 minutes 90% 93% Percentage of Triage Category 1 emergency patients seen immediately 100% 100% Percentage of Triage Category 1 to 5 emergency patients seen within clinically recommended times 80% 75% Percentage of emergency patients with a length of stay less than four hours 81% 69% Number of patients with a length of stay in the emergency department greater than 24 hours 0 78 Elective surgery Percentage of Urgency Category 1 elective patients removed within 30 days 100% 100% Percentage of Urgency Category 1, 2 and 3 elective patients admitted within clinically recommended timeframes 94% 91% 20% longest waiting Category 2 and 3 removals from the elective surgery waiting list 100% 100% Number of patients on the elective surgery waiting list3 445 338 Number of hospital initiated postponements per 100 scheduled admissions ≤8 7.9 Number of patients admitted from the elective surgery waiting list- annual total 2,640 2,641 Specialist Clinics Percentage of urgent patients referred by a GP or external specialist who attended a first appointment within 30 days. 100% 86.4% Percentage of routine patients referred by a GP or external specialist who attended a first appointment within 365 days. 90% 98.1%
Financial sustainability
Key performance indicator Target 2016-17 Result Finance Operating result ($m) 0.75 1.21 Trade creditors < 60 days 52 days Patient fee debtors < 60 days 28 days Public & private WIES4 performance to target 100% 100.6% Adjusted current asset ratio 0.7 1.13 Number of days with available cash 14 days 51.5 days Asset management Basic asset management plan Full compliance Full compliance
3 The target shown is the number of patients on the elective surgery waiting list as at 30 June 2017 4 WIES is a Weighted Inlier Equivalent Separation
West Gippsland Healthcare Group Annual Report 2017 15 Part C: Activity and funding
Acute Admitted Actual Target Variance WIES Public 9,045 8,600 445 WIES Private 432 791 -359 WIES Public & Private 9,477 9,391 86 WIES DVA 169 129 40 WIES TAC 20 26 -6 WIES TOTAL 9,666 9,546 120
Acute Non-Admitted Home Enteral Nutrition 110 73 37
Subacute Admitted GEM Public & Private WIES 105 101 4 Palliative Care Public & Private WIES 38 49 -11 Subacute Public & Private 143 150 -7 GEM & Palliative Care DVA WIES 6 20 -14 Subacute Admitted TOTAL 149 170 -21
Subacute Non-Admitted Health Independence Program 18,136 16,848 1,288
Aged Care Residential Aged Care 37,066 38,691 -1,625 HACC 6,573 4,991 1,582
Primary Health Community Health / Primary Care Programs 6,844 6,401 443
16 West Gippsland Healthcare Group Annual Report 2017 17 2016/17 Environmental Performance Summary
Energy consumption
Total energy consumption by energy type (GJ) 2014-15 2015-16 2016-17 Electricity 14,438 12,397 11,276 Natural gas and LPG 82,865 79,763 74,956 Other energy types (e.g. steam, diesel) - - - Total 97,303 92,160 86,232
Energy consumption relates to the main hospital site only and includes the Linen Service and Cooinda Aged Care Facility.
Total energy consumption has decreased a further 6.4% for the 2016-17 financial year. This blended rate comprises a 9% reduction in electricity consumption and a 6% reduction in gas for the year. The reduction in consumption follows a full year of operational savings following the $5.8m completion of major energy and infrastructure asset replacements under the Energy Performance Contract (EPC) in May 2016.
Normalised energy consumption 2014-15 2015-16 2016-17 Energy per unit of floor space (GJ/m2) 5.00 4.74 4.43 Energy per unit of activity (GJ/activity) 2.26 2.24 1.92
Activity measure denominator is acute inpatient bed days plus Cooinda Residential Aged Care bed days.
Energy Intensity continues to decrease due to new energy efficient assets commissioned under the EPC Project in May 2016.
Greenhouse gas emissions
Total greenhouse gas emissions (tonnes CO2e) 2014-15 2015-16 2016-17 Scope 1 - Direct Emissions n/a n/a n/a Scope 2 - Indirect Emissions 9,104 8,259 7,635 Total 9,104 8,259 7,635
Normalised greenhouse gas emissions 2014-15 2015-16 2016-17 Emissions per unit of floor space (kgCO2e/m2) 0.47 0.42 0.39 Emissions per unit of activity (kgCO2e/activity) 0.21 0.20 0.17
18 Water consumption
Total water consumption by type (kL) 2014-15 2015-16 2016-17 Potable water 30,899 31,420 31,411 Re-used / recycled water n/a n/a n/a Total 30,899 31,420 31,411
Water usage has remained at the same level as last year despite increased patient activity including within theatre/CSSD (large users). NB Warragul Linen Service usage is excluded.
Normalised water consumption 2014-15 2015-16 2016-17 Water per unit of floor space (kL/m2) 1.59 1.62 1.61 Water per unit of activity (kL/activity) 0.72 0.76 0.70
Activity measure denominator is acute inpatient bed days plus Cooinda Residential Aged Care bed days.
Water consumption per bed day has improved due to usage being at the same level as last year despite an extra 3,828 occupied bed days for 2016-17.
Water re-use and cycling 2014-15 2015-16 2016-17 Re-use / recycling rate (percentage) n/a n/a n/a
Waste generation
Total waste generation by type (Tonnes) 2014-15 2015-16 2016-17 Clinical waste 15.6 16.4 16.0 General waste 142.9 175.8 174.4 Recycled waste 47.4 58.7 51.8 Total 235.2 250.9 242.2
Waste data is as provided by the respective contractor and refers to all sites for general and recycled and the main hospital for clinical waste.
Waste consumption overall reduced by 8.7 tonnes or 3.5% which included a 2.3% reduction in clinical waste.
Recycling rates continue to be an improvement opportunity area. Waste fill diversion rates declined 8.5% to 22.9% (refer waste recycling data below). NB: 2014-15 and 2015-16 waste data by type previously reported has been corrected, including recycling data in 2014-15 revised from 69.3 to 40.1, due to incorrect inclusion of grease trap waste in the contractors reporting data from March to June.
Normalised waste generation 2014-15 2015-16 2016-17 Waste per activity (kg/activity) 5.47 6.09 5.38
Activity measure denominator is acute inpatient bed days plus Cooinda (Aged Care) bed days.
Waste recycling 2014-15 2015-16 2016-17 Waste recycling rate (percentage) 34.9% 25.0% 22.9%
West Gippsland Healthcare Group Annual Report 2017 19 Key Performance Indicators
5 Year Financial Comparison
2017 2016 2015 2014 2013 $000 $000 $000 $000 $000 Total Revenue 101,515 94,102 90,008 86,749 81,109 Total Expenditure 100,301 93,771 91,293 86,687 81,528 Operating Result 1,214 331 (1,285) 62 (419) Net Capital & Specific Items (206) (4,500) (4,743) (3,634) (1,950) Other Operating Flows included in the net result 91 - - - - Net Result for the year 1,099 (4,169) (6,028) (3,572) (2,369)
Total Assets 101,417 94,571 95,929 98,118 81,714 Total Liabilities 34,212 30,354 28,033 24,253 22,707 Net Assets 67,205 64,217 67,896 73,865 59,007 Total Equity 67,205 64,217 67,896 73,865 59,007
5 Year WIES Comparison
10,000
9666 9500 9546
9000 8997 8824 8500 8397 8000 8147 8172 7991 7500 7282 7000 7072
6500
6000 2012/13 2013/14 2014/15 2015/16 2016/17
Target WIES Actual WIES
20 Inpatient Debtors (Aged) Outstanding as at 30 June 2017
Under 31 - 60 61 - 90 Over 90 Total Total 30 Days days days days 2017 2016 Private Inpatient Fees 21,876 22,290 317 27,019 71,502 131,520 Ineligible 15,000 - 1,138 662 16,800 2,770 Workcover - - 6,571 132 6,703 15,263 Total Inpatient Fees 36,876 22,290 8,026 27,813 95,005 149,553
Nursing Home 46,419 4,687 1,791 11,631 64,527 72,830 Hostel 28,293 3,265 - 2,536 34,094 109,458 Total Aged Care 74,711 7,951 1,791 14,167 98,621 182,288
Total 111,587 30,241 9,818 41,980 193,626 271,823
Separations by Top 10 Diagnostic Related Group 2016/2017
9 10 8 1 Renal Dialysis 2,012 7 2 Neonatal 732 6 3 Vaginal Delivery 635
5 4 OR Procedures for 1 Diabetic Complications 532 5 Chemotherapy 351 6 Lens Procedures 189 4 7 Respiratory Infections / Inflammations 182 8 Red Blood Cell Disorders 169 9 Other Skin, Subcutaneous Tissue Procedures 168 3 10 Inflammatory Bowel Disease 139 2
West Gippsland Healthcare Group Annual Report 2017 21 Our Achievements
22 Financial Report
West Gippsland Healthcare Total expenditure before capital The comprehensive result for 2016- Group delivered a very and specific items increased 17 was an overall profit of $2.99m, strong financial result for the 6.96% to $100.3m, which included which included a revaluation gain 2016-17 financial year and unbudgeted extra resources in of $1.89m against the Group’s land has pleasingly exceeded its delivering the additional 200 WIES holdings. This managerial revaluation awarded mid-year. Employee undertaken at June 2017 was a financial targets in the first expenses increased 6.28%, which mandatory requirement under the two years of its three year included an additional 16.66 FTE Financial Reporting Directions due financial recovery plan. compared to 2015-16 or 2.35%, to more than a 10% cumulative During 2016-17, the Group built and higher wage costs due to the increase in the land indices since the on its sustained improvement in outcomes of enterprise bargaining June 2014 independent land and financial performance, recording agreements settled during 2016-17. buildings valuation. The Group received supplementary an operating profit before capital Cash reserves for the year nearly and specific items of $1.214m - an funding from DHHS of $0.553m towards these EBA costs. doubled, increasing $7.09m increase of $0.883m on 2015-16 to $14.53m. Cash flows from and $0.464m higher than the budget The net result for the year after operating activities were very strong, profit of $0.75m for 2016-17. The capital and specific items, increasing by $9.38m. This reflected strengthened result was largely depreciation and other economic additional funding from DHHS but attributable to continued growth flows was a profit of $1.09m. This was also inflated by the receipt of funding from DHHS, including compared to a loss of $4.17m $4.8m capital funding from DHHS an additional 200 Weighted Inlier in 2015-16. Contributing to this (the asset purchases of which will Equivalent Separation (WIES) net profit result for 2016-17 flow under investing activities in received in the second half of 2016- was additional capital funding future years). 17. The Group was able to achieve received from DHHS, most notably its full Public/ Private (PP) WIES $2.9m under the Regional Health The liquidity ratio for the Group target of 9,391 WIES for the year. Infrastructure Fund (RHIF Round improved on the back of positive cash flows to 0.89:1, up from 0.72:1 Total revenue from operations for the 1) for the Short Stay Unit and third theatre capital projects and in 2015-16 and above the DHHS year was $101.5m, up an impressive benchmark of 0.7:1. $7.4m or 7.88%. Government $0.276m to upgrade the main public grant revenue increased $7.99m to lift. The Group also recognised Net assets for the Group increased $80.81m of which State Funding $0.470m as specific income from its by $2.99m to $67.2m. from DHHS increased $5.36m or interest in the Gippsland Health IT The strong sustained financial 8.3% to $70m. This included an Alliance (GHA). This specific income performance positions the Group extra 739 PP WIES funding on represented WGHG’s share of DHHS well as it enters its final year of the 2015-16. funding received by GHA towards an Electronic Medical Records and 2016-2018 financial recovery plan. Community Health (EMRCH) project.
West Gippsland Healthcare Group Annual Report 2017 23 Director of Nursing & Midwifery
Report by Kathy Kinrade RN GradDipCCareN DipMgt MNurs
The Director of Nursing & Key achievements during 2016-17 • Completed a review of Education Midwifery is an extensive role, include: Services and implemented new overseeing a diverse range of whole of organisation model • Excellent results in treatment time review. services. Responsible for all for stroke patients requiring clot- Units in the Hospital, same dissolving medication • Introduction of Aseptic Non- day services such as dialysis Touch Technique (ANTT) training and oncology, home based • Participated in the state wide for all clinical staff ViCTOR project for the trial of an sub-acute services as well observation chart specifically for • Completion of a minor as two aged care residential the Special Care Nursery refurbishment project at Andrews facilities. House and replaced the call bell system
Refurbishment of Cooinda Lodge including establishing a hair dresser salon was completed during 2016-17
24 Director of Medical Services Director of Emergency Medicine
Report by Dr Gary Campain MBBS, FACEM, Grad Cert Management
The Director of Medical Key achievements during 2016-17 • Successfully recruited to increase Services and Emergency include: the number and range of specialist clinicians Medicine provides oversight • Implemented Mercury of the junior and senior e-Credentialing system to • Tendered for urology to improve medical staff; provides manage medical workforce access and volume of service oversight of safety and quality processes and • Implemented a new Maternity Model of Care outcomes; provides high level advice on medical • Improved workflow and matters; assists in fostering monitoring within the Emergency optimal working relationships Department to improve access between medical staff and performance the Executive in achieving • Developed extra bed capacity in the common goal of high medical ward by engaging with quality patient care within a Neerim District Health Service to responsible financial reality. provide GEM beds
West Gippsland Healthcare Group Annual Report 2017 25 Director of Allied & Community Health
Report by Audra Fenton RN, GradDip MN, Grad Dip Bus Man, CMHN, MNurs (Mental health), ACMHN
The Director of Allied and Key achievements during 2016-17 • Winner of the Excellence in Community Health has a include: Women’s Health Award for Positive Pregnancy Program pivotal role in the delivery • enhanced service delivery model of community and hospital to address newly established • Expanded Geriatric Evaluation based services for West funding streams, Commonwealth and Management Service and Gippsland, advising on issues Home Support Program (CHSP) trialling nurse care coordination in related to primary, allied and and Program for Younger People Emergency Department community care services. Program (PYP) formerly known as HACC • Reviewed Aboriginal Employment The role also requires a continuing Plan and established a Steering development and involvement in • Transitioned to My Aged Care Committee strategic alliances and partnerships, (MAC), a newly established • Conducted Diversity Gap and community-based networks referral portal for clients over 65 Analysis to enhance service both within Baw Baw Shire and on a years age to access community- provision for Lesbian, Gay, regional and state-wide basis. based services Transgender, Bisexual and Allied & Community Health have • Expanded First Call (central Intersex (LGBTI) and Aboriginal faced the biggest changes to intake service) due to increasing and Torres Strait Islander (ATSI) service delivery and funding in more demand consumers than 30 years. Our achievements • Established Stay Active and • Achieved significant progress have involved significant service Independent (Occupational towards compliance with redesign and data collection projects Therapy) and Strong and Active Strengthening Hospital that have enabled us to transition (Physiotherapy) Groups to Responses to Family Violence smoothly to the new models. service aging clients – a growing (SHRFV) and Child Safe demographic in Baw Baw region Standards (CSS)
26 Director of Corporate Services
Report by Justin Walsh CPA BBus (Acct)/BBus (Bank&Fin)
The Director of Corporate • Secured funding for the following • Successfully tendered for Stage Services (DCS) oversees key capital projects: 2 Accommodation project to the business and corporate develop additional units on-site - $9.3m under the Regional on Sargeant Street operations of the Group that Health Infrastructure Fund support the delivery of agreed (Round 1) for the construction • Installed a new CCTV system at outcomes. The position of an 8 bed short stay unit the hospital site and additional also provides financial and and third operating theatre on carpark LED lighting to improve procurement leadership as site. These two projects will security and help prevent the CFO and CPO (Chief commence in 2017-18 and are Occupational Violence and Procurement Officer) for the expected to be completed by Aggression (OVA) early 2019 Group. • Completed a security risk self- - Upgrade of the lift cage to assessment and achieved 90% Key achievements during 2016-17 the visitor lift. Works to be compliance rating against AS include: completed in 2017-18 4485.1&2. Actions arising from • Successfully tendered for the the audit findings will be a key • Replaced the WGHG core switch provision of Radiology Services. focus in 2017-18 and in doing so was able to A new contract with the successfully test the business • Maintained full compliance incumbent provider commenced continuity plans to ensure no with cleaning standards, food on 1 July 2017 providing for unexpected loss of critical safety standards and fire risk extended on site radiology services and implement a new management standards for coverage for patients and the ICT cable management strategy Victorian Health Services community
A new Learning and Development unit has been established to oversee and support education to all staff across the organisation
West Gippsland Healthcare Group Annual Report 2017 27 General Manager - Warragul Linen Service
Report by Alan Hollensen BEng(Hons) DipPracMgt
The General Manager of • Team engaged in LEAN • Implemented key capital Warragul Linen Service (WLS) manufacturing training with projects within plant to increase oversees all functions and all members graduating with capacity by 5 tonnes per week operations. WLS operates a qualification. The project for the same resource inputs, as a business unit of WGHG delivered a 15% capacity maintaining quality and improving increase in the towel finishing ergonomic outcomes for team. and is one of the largest linen area as well as significantly services in Victoria. improving ergonomic outcomes • Developed equipment register for team members. and auditing web portal and Key achievements during 2016-17 worked with key customers to include: • Leveraged LEAN project further develop cutting edge on- • Awar ded contracts for several outcomes to move another 8% line reporting processes and linen new aged care and health care of linen items from post-sort to tracking systems. groups and sites throughout pre-sort process; also improving ergonomics in work areas. • Completed senior management Gippsland and the metropolitan mentoring, leadership and area. Successfully extended • Identified multiple Occupational engagement program and contracts for numerous existing Health and Safety projects and commenced second phase of customers. initiatives, investing capital and supervisory team mentoring, • Maintained Delivery in Full on training resources to lower risk leadership and engagement Time to customer wards at above and improve safety outcomes. program. 99%.
Quality certification was maintained due to achieving audit compliance with ISO 9001.
28 Corporate Governance
West Gippsland Healthcare Group Annual Report 2017 29 Ministers and Governance
The Hon. Jill Hennessy MP Governance by the Board is The Board establishes Working Minister for Health achieved through: Groups for appropriate projects on an ‘as needs’ basis. Minister for Ambulance Services • strategic planning • effective management of the Chief Executive Officer The Hon. Martin Foley MP Audit & Risk Committee • funding of service agreements members Minister for Housing, Disability and Ageing • local policy setting Duncan Smith (Treasurer /Chair) Minister for Mental Health • regular reviews of the Group’s by- Sally Stannard laws and strategic plans. Joanne Campbell The Board Directors met eleven Peter Marx The Hon. Jenny Mikakos MP times throughout the year and were Brian Davey Minister for Families and Children active members of various Board Heather Stacy (July - October 2016) Minister for Youth Affairs Sub-Committees, set up to assist in monitoring the Groups various operations. The functions of the Board of These Sub-Committees include: Directors as determined by the • Appointments Committee Health Services Act 1988 are: • Audit & Risk Committee • to oversee and manage the Group; and • Clinical Governance Committee • to ensure the services provided • Community Advisory Council by the Group comply with the • Credentialing Committee requirements of the Act and aims • Human Research Ethics of the Group. Committee • Remuneration & Board Performance Committee
30 Board of Directors
Jane Leslie BBus GAICD Company Director and Business Consultant Position: Chair Commenced as a Board Director in July 2012. Member of the Appointments Committee, Remuneration & Board Performance Committee, Community Advisory Council and Project Control Group – Feasibility & Masterplan Working Group. Board meetings attended 10 of 11.
Peter Kingwill BEng FGCLP FAICD Company Director Position: Vice Chair Commenced as a Board Director in 2002. Member of the Clinical Governance Committee, Remuneration & Board Performance, and Project Control Group (Accommodation). Board meetings attended 8 of 11.
Duncan Smith DipBus (ACCT) FCPA CTA AIMM CFP Accountant/Certified Financial Planner Position: Treasurer Commenced as a Board Director in June 1998. Member of the Audit & Risk Committee and the Remuneration & Board Performance Committee. Board meetings attended 11 of 11.
Brian Davey BA DipEd Management Consultant Position: Director Commenced as a Board Director in November 2005. Member of Audit & Risk Committee, Community Advisory Council and Project Control Group Feasibility & Masterplan Working Group. Board meetings attended 10 of 11.
West Gippsland Healthcare Group Annual Report 2017 31 Board of Directors
John Davine BComm LLB Solicitor Position: Director Commenced as a Board Director in 1998. Member of the Appointments Committee, Credentials Committee, Clinical Governance Committee and Community Advisory Council. Board meetings attended 10 of 11.
Joanne Campbell BEd GradDipBuss GradCertInstrDesign, MEd (Research), GAICD Instructional Design/Knowledge Management Consultant Position: Director Commenced as a Board Director in July 2009. Member of the Audit & Risk Committee, Clinical Governance Committee, Human Research Ethics Committee and Community Advisory Council. Board meetings attended 9 of 11.
Christine Holland FAICD HR and Career Consultant Position: Director Commenced as a Board Director in July 2014. Member of the Credentials Committee and Remuneration & Board Performance Committee. Board meetings attended 10 of 11.
Peter Marx AssocDipSurveying Assoc DipCartography Licensed Land Surveyor Position: Director Commenced as a Board Director in November 1996. Member of the Audit & Risk Committee, Appointments Committee and the Project Control (Accommodation) Working Group. Board meetings attended 10 of 11.
32 Board of Directors
John Monagle MB BS MSc FANZC FCHSM Anaesthetist. Director Medical Services Position: Director Commenced as a Board Director in August 2015. Member of the Appointments Committee, and Clinical Governance Committee. Board meetings attended 8 of 11.
Gaye Britt MBA B AppSci Manager of Strategy & Communications Position: Director Commenced as Board Director in July 2016. Member of the Clinical Governance Committee. Board meetings attended 9 of 11.
Sally Stannard Company Principal Position: Director Commenced as Board Director in July 2016. Member of the Audit & Risk Committee and the Human Research Ethics Committee. Board meetings attended 7 of 11.
Heather Stacy Dip App Sci (Ag) MBA GAICD ARLP Company Director and Agribusiness Executive Position: Director Commenced as a Board Director in August 2015. Member of the Audit & Risk Committee, Board Performance & Remuneration Committee and the Project Control Group (Strategic Services Plan) Working Group. Board meetings attended 3 of 11. Heather resigned from the Board in December 2016.
West Gippsland Healthcare Group Annual Report 2017 33
CEO Executive Assistant BOARD OF DIRECTORS WEST GIPPSLAND HEALTHCARE GROUP ORGANISATIONAL CHART AS AT JUNE 2017
Public Relations Chief Executive Officer Fundraising/Donation Organisational Chart
Director of Medical Services Director of Nursing & Midwifery Director of Allied & Community Health Director of Corporate Services General Manager - Warragul Linen Service
Executive Assistant DON&M CLINICAL SERVICES AGED CARE ALLIED & COMMUNITY HEALTH CORPORATE SERVICES WARRAGUL LINEN SERVICE RESIDENTIAL
PERFORMANCE IMPROVEMENT UNIT
EDUCATION- STAFF DEVELOPMENT UNIT BUSINESS SUPPORT
Medical Educator Nursing & Mi dwi fery Educators Administration Data & Business Analysis Medical Students EXECUTIVE ASSISTANT Customer services & Quality COOINDA Health Information Services Public Relations ADULT INTERNAL MEDICINE LODGE Reception Clerical Staff
Acute Medical Ward - Medical FINANCE SERVICES - GEM HEALTH IMPROVEMENT PROGRAM ANDREWS - Palliative Care HOUSE Senior Medical Staff - High Dependency Finance Interns/ HMOs & Registrars - Cardiology Salary Packaging Payroll - Infectious Diseases Community Rehabilitation Oncology Supply & Purchasing Services Centre Continuing Care Haemodialysis Diabetes Education Continuing & Complex Care Cognitive Dementia & Memory - HARP and RIR Service CORPORATE SERVICES HOSPITAL IN THE HOME PAC/GEM Continence Service
Information Technology PERIOPERATIVE SERVICES – SURGERY & ANAESTHETICS Engineering Services
ALLIED HEALTH Food Services ESAC / Pre-Admissions Environmental Services Senior Medical Staff Operating Theatre / Day Surgery Occupational Therapy Interns/ HMOs & Registrars Surgical Ward Physiotherapy SUPPORT SERVICES Stomal Therapist/Urology Nurse Speech Pathology
Blood Transfusion Nurse Dietetics Social Work OBSTETRICS & GYNAECOLOGY Human Resources PRIMARY HEALTH - Workcover / OH&S Senior Medical Staff Maternity/Gynaecology Ward Obstetrics & Gynaecology Community Health Know Your Midwife Unit Rural Allied Health Service GP Obstetrics Diabetes Education Domiciliary Midwifery Service Occupational Therapy HMOs & Registrars Counselling Breast Feeding Service Physiotherapy First Call Speech Pathology Health Promotion Team Dietetics PAEDIATRICS & SPECIAL CARE NURSERY Aboriginal Services Counselling Young Mums Group Podiatry Senior Medical Staff Special Care Nursery Community Health Nurse Advanced / Junior HMOs & Registrars Paediatric Unit
EMERGENCY SERVICES RAWSON COMMUNITY HEALTH CENTRE
Senior Medical Staff Nursing Intern/HMOs & Registrars
CLINICAL SUPPORT SERVICES
DIAGNOSTIC SERVICES Infection Control
Pathology Deputy Director of Nursing Radiology After Hours Hospital Coordinator Library Breast Care Support Nurse PHARMACY Ward Desk Clerks
Consulting Rooms
PRIMARY COMMUNITY CARE As at 30/06/2017 District Nursing
Our People Equivalent Full Time Staff
June Current Month June Year to Date Labour Category 2016 2017 2016 2017 Nursing Services 299.61 306.90 298.47 302.00 Hotel & Allied Services 217.50 214.28 215.63 217.80 Administration & Clerical 86.74 94.98 85.22 91.11 Medical Support Services 16.11 20.30 17.99 19.34 Hospital Medical Officers 35.48 34.63 34.57 33.83 Medical Officers 3.16 5.34 3.20 3.32 Ancillary Support 47.65 52.98 46.40 49.53 Sessional Clinicians 6.43 7.15 6.39 7.60 Total 712.68 736.56 707.87 724.53
All employees at WGHG are correctly classified in the above workforce data and are required to abide by the WGHG Code of Conduct and all WGHG policies under their employment agreement.
Occupational Health & Safety
West Gippsland Healthcare Within this last year we engaged employment. Performance indicators Group is firmly committed an external contractor to train introduced in the previous year show to providing a safe and staff in how to manage exposure an improvement on staff returning healthy workplace for to occupational violence and to their workplace without further staff, contractors, visitors, aggression (OVA) from patients injury and within shorter timeframes. and/or their family members, in a WGHG is pleased that staff are more patients and residents. We safe and supportive manner, not engaged with their rehabilitation and aim to ensure compliance only for the staff member but the noted a reduction in lost time per with all legislative standards patient/family member as well. This injury for the more serious injuries. and to ensure that hazards has resulted in better reporting of are identified and all risks incidents and a reduction in OVA WGHG has strengthened its controlled so far as is related injuries. WorkCover team through more trained staff to provide better liaison reasonably practicable. Within the last twelve months, the between WGHG and injured staff In 2016-17 key focus points of number of OHS related incidents per members. This included continued OH&S have remained the prevention 100 FTE has trended downwards by engagement of external consultants of incidents involving occupational 20% which includes better training to assist with return to work violence and aggression, the of staff in OH&S matters, with a opportunities and early intervention prevention of musculoskeletal vast majority of staff completing on initiatives to address minor injuries disorders and slips and falls as line and face to face Emergency to help prevent them from becoming highlighted in our Occupational Management training packages. larger. We have strengthened our Health and Safety Management WGHG continues to align prevention processes to make sure that WGHG System (OHSMS). WGHG has been and injury management programs is compliant with all WorkCover able to undertake audits in relation for the betterment of staff. obligations in line with best practice to these focus points and has to be an industry leader and to help WGHG strives to continually developed processes to help further reduce injuries to staff and lost time. improve the outcomes for staff that reduce incidents. are injured in the course of their
36 Our OH&S Committee continues to have strong involvement from its delegates who volunteer their time to look at and strengthen our OH&S policies and procedures ensuring that we strive towards maintaining best practice and a safe workplace.
OH&S Statistics 2014/15 2015/16 2016/17 No. of reported hazards/incidents for the year per 100 full-time equivalent staff members 23.6 24.3 12 No. of ‘lost time’ standard claims for the year per 100 full-time equivalent staff members 0.09 0.13 0.29 Average cost per claim for the year (including payments to date and an estimate of outstanding claim costs as advised by WorkSafe) $48,561 $18,273 $37,743
Occupational Violence Statistics 2016-17
1. Workcover accepted claims with an occupational violence cause per 100 FTE 0.14 2. Number of accepted Workcover claims with lost time injury with an occupational violence cause per 1,000,000 hours worked. 0.02 3. Number of occupational violence incidents reported 89 4. Number of occupational violence incidents reported per 100 FTE 12.28 5. Percentage of occupational violence incidents resulting in a staff injury, illness or condition 20%
Definitions: For the purposes of the above Incident – an event or circumstance Accepted Workcover claims – statistics the following definitions that could have resulted in, or did accepted Workcover claims that apply: result in, harm to an employee. were lodged in 2016-17. Incidents of all severity rating must Occupational violence - any be included. Code Grey reporting is Lost time – is defined as greater incident where an employee is not included, however, if an incident than one day. abused, threatened or assaulted in occurs during the course of a Injury, illness or condition – this circumstances arising out of, or in planned or unplanned Code Grey, the course of their employment. includes all reported harm as a result the incident must be included. of the incident, regardless of whether the employee required time off work or submitted a claim.
West Gippsland Healthcare Group Annual Report 2017 37 Service Awards
At the Annual General meeting the Board recognises staff who have achieved significant employment milestones. At the 2016 AGM, the following awards were presented: 40 Years 25 Years 15 Years Maria Kraszewskis Sue Aberdeen Di Gribic Jeanette Heywood Mark Walkinshaw Jan Bennett Sharyn Lineham Dianne Hurst Patricia Blair April Morton Jane Law Anne Boyle Lynn Pallot Allan Lennard 35 Years Irene Hoskins Kate Palmer Sheridan Lovelock Judith Darcy Anne Johnson Nicole Van Hoof Patricia Lyons Fiona O’Brien Joanne Mifsud Maria Attwell Julie McLeod Lyndal Sandy Jillian Cooper Janet McPhie Rhonda Crellin Brenda Morrison 30 Years Garry Crowley Margaret Nicol 20 Years Troy Dobson Maxwell Pugliese Robyn Bennett Robyn Barr Nareena Dunkley Debra Sim Lynne Bowman Beverlie Elliot Benita Tayler Cat Duncanson Suzanne Candappa Suzanne Allen Dona Grantham Alicia Teague Shirley Gleeson Helen Harris Suzanne Hatfield Melissa Baker Christine Hogan Kerri Duncan Bev Hogan Lillian Gaffney Jenny Winterton Carolyn Little Katrina Davis Nicole O’Brien Cheryl Morrison Susan Olsen Rhonda Russell
WGHG Staff presented with Long Service Award Certificates and Badges at the AGM in November 2016.
38 Medical Staff Awards
In 2016, the Board introduced a new award for Medical Staff that have achieved 20 years of service. This includes medical staff employed at WGHG and the many who visit and provide services to the community as contractors. At the 2016 AGM, service awards were presented to:
Dr James Brown Dr Mort Fitzgerald Dr Harold McLennan Dr Geoff Campbell Dr Brett Forge Dr Ian Brooker Dr Roberto Celada Mr David Merenstein Mr George Owen Dr Robert Crameri Dr Mark Rayner Mr Malcolm Thomas Dr Charlie Hamilton Dr Trish Kerbi Mr Philip Harris Prof John Hutson Dr Lindsay Bishop Dr Malcolm McKelvie
West Gippsland Healthcare Group Annual Report 2017 39 Life Governor Awards
Each year, the Board of Directors consider people who are worthy recipients for a Life Governorship Award. The criterion is stringent and reflects first and foremost meritorious service, with a secondary length of service requirement. Three Life Governor awards were Joe Oppedisano was the inaugural Dr Harold McLennan provided issued at the 2016 AGM: IT Manager, serving 27 years until Obstetrics & Gynaecology services retirement in 2016. Joe provided at WGHG for over twenty-seven Roma Rippon has worked as outstanding service to WGHG and years and for many of those years a volunteer with WGHG for over never hesitated to respond to calls he provided the backbone of the thirty years in numerous roles from after hours to help staff in a crisis service and on-call. He has assisted landscaping gardens to more in the training of medical students. recently working as a palliative care Many followed him into a career volunteer. She has been a tireless in Obstetrics & Gynaecology or as supporter of WGHG. General Practitioner Obstetricians.
From left: Joe Oppedisano and Roma Rippon were presented with Life Governor Awards. Dr Harold McLennan was absent.
40 Volunteer Recognition of Service Awards
Volunteers and Auxiliary The following volunteers were Sharmaine Pierson members with 10 years or presented with an award at the 2016 Drouin Auxiliary Opp Shop more of volunteer service Annual General Meeting: Joyce Aitken to WGHG are recognised Sue Murphy Drouin Auxiliary Opp Shop under the award category Trafalgar & Community District Opp Mary Aitken of Volunteer Recognition of Shop Drouin Auxiliary Opp Shop Service Award. Beryl Olsson Joan Naylor Drouin Auxiliary Opp Shop Drouin Auxiliary Opp Shop
Our Generous Community
WGHG is fortunate to receive generous support from the community. During 2016-17, WGHG received an impressive $719,250 through donations, fundraising activities, events and bequests. We acknowledge each member and group within our community who contributed financially to WGHG during the year. First Annual Equipment Appeal • Hallora Hall Committee WGHG gratefully acknowledges • Mobile Book Trolley Service the support received through Trusts During 2016-17 we ran our first and Bequests in particular the • Palliative Care Service Annual Equipment Appeal to ongoing generous support of the support our hospital and aged care • Past Nursing Graduates Archive Andrews Foundation, Pethard Tarax residences. The campaign was a Department Charitable Trust, William Joseph first for WGHG where specific pieces • Rawson Auxiliary Payne Trust, Charles Haworth Trust of equipment needed were identified • Trafalgar & District Community Estate, Una Alice Kemp Trust Estate and options provided for people to Opp Shop and many others who choose to donate to each item. The fundraiser donate to us privately. was well received by the community • The Board of Directors and exceeded its target raising $81,940 during May and June and attracting many new donors.
Our Dedicated Volunteers WGHG is fortunate to have a dedicated team of long serving volunteers who give their time freely to assist the Group to enhance programs and services that we provide. We are grateful to the following volunteer groups for their continued support: • Andrews House Volunteers • Community Rehabilitation Centre • Community Health Services • Community Advisory Council • Cooinda Lodge Volunteers • Drouin Auxiliary and Drouin Opp Shop
West Gippsland Healthcare Group Annual Report 2017 41 Reporting Requirements
Statement of fees and Victorian Industry National Competitive Policy charges Participation Policy It is Government policy that the West Gippsland Healthcare Group Disclosures costing policies of publicly funded charges fees in accordance with the West Gippsland Healthcare Group organisations should reflect any Department of Health and Human complies with the intent of the competitive advantage available to Services Victoria directives issued Victorian Government’s Industry the private sector. During 2016/17 all under Regulation 8 of the Hospital Participation Policy Act 2003 which competitive neutrality requirements and Charities (Fees) Regulations, requires, wherever possible, local were met. 1986 as amended. industry participation in supplies, Conformity & Building Freedom of Information taking into consideration the Maintenance principle of value for money and The Freedom of Information officer transparent tendering processes. All renovations to existing buildings is the Manager, Health Information conform to the Building Act 1993. Services, with final approval by Under the VIPP Act, WGHG is All existing buildings complied the Director of Medical Services. required to ensure tenderers with regulations in force at the Consumers wishing to access undergo a VIPP Assessment where time of construction. There are no documents may contact the required. orders to cease occupancy or to Freedom of Information Officer on 03 Contract name: Stage 2 Student undertake urgent works. All sites 5623 0611 and access details will and Staff Accommodation are subject to a Fire Safety Audit be provided. Value: $1.207M and Risk Assessment according to revised standards as directed by the During the 2016-17 year, 219 Status: under construction requests for information under Department of Health and Human the regulations of the Freedom of In May 2017, WGHG participated Services. Information Act 1982 were received. in a ‘VIPP Local Jobs First Buildings Assessment’ for the project meeting Access was granted in full to 204 Buildings certified for approval None applicants. VIPP criteria. The Industry Capability Network (ICN) found 85.4% of Local Constructions subject to Content has been proposed toward mandatory inspections None Full Access 204 (93%) the construction of the Stage 2 Certificate of final inspection None Partial Access 1 Student and Staff Accommodation. ICN deem a good level of local Maintenance Denied 0 content has been committed by the Notice for urgent rectification, Withdrawn 0 awarded builder and passed the attention or major assessment with a low risk rating. No Documents 14 expenditure were received None
Not yet finalised 3 All renovations to existing (Processed to be given full access but no Local content committed: 62% buildings comply with Regulations payment received) and standards including the Existing jobs to be retained: 32% TOTAL 219 Building Code of Australia None Existing apprenticeships Orders to cease occupancy None Total includes 21 police fax requests to be retained: 4% and 13 coroners. New apprenticeships to be created: 1% New local jobs to be created: 1% Status: under construction WGHG can confirm there are no international contracts undertaken. Three (3) contracts – Urology, Endoscopy and Radiology did not require a VIPP plan due to nil or limited contestibility. A VIPP Assessment was not performed for the said contracts.
42 Details of Information and Carers Recognition Act 2012 Safe Patient Care Act 2015 Communication Technology As a care support organisation, West West Gippsland Healthcare Group (ICT) Expenditure Gippsland Healthcare Group takes complies with the Safe Patient Care ICT expenditure represents an all practicable measures to ensure (Nurse to Patient and Midwife to entity’s costs in providing business- that its employees and agents have Patient Ratios) Act. The legislation enabling ICT services and consists an awareness and understanding of ensures the number of nurses and of the following cost elements: the care relationship principles. midwives per patient is preserved and protected. • Operating and capital The Carers Recognition Act 2012 expenditure (including includes principles relating to carers, During 2016-17, WGHG had no depreciation); the people being cared for, and the matters to report in relation to its care relationship to ensure they are obligations under section 40 of the • ICT services – internally and respected and recognised. Safe Patient Care Act 2015. externally sourced; West Gippsland Healthcare Group Financial Management • Cost in providing ICT services takes all practicable measures to (including personnel & facilities) The information requirements ensure that employees and agents across the organisation. listed in the Financial Management reflect the care relationship principles Act 1994 (the Act), the Standing Total ICT expenditure is made up in developing, providing or evaluating Directions of the Minister for Finance of Business as Usual (BAU) and support and assistance for persons under the Act (Section 4 Financial Non Business as usual (NBAU) in care relationships. Management Reporting) and expenditure: Protected Disclosure Act 2012 Financial Reporting Directions have a. Business As Usual (BAU) West Gippsland Healthcare Group been prepared and are available expenditure – includes all remaining complies with the Protected to the relevant Minister, Members ICT expenditure other than Non-BAU Disclosure Act 2012. There were of Parliament and the public upon ICT expenditure and typically relates no complaints made under the Act request. to ongoing activities to operate and against West Gippsland Healthcare maintain the current ICT capability. Group or its staff for 2016-17. b. Non-Business As Usual (Non- BAU) expenditure – is a subset of ICT expenditure that relates to extending or enhancing current ICT capabilities and are usually run as projects. The total ICT expenditure incurred during 2016-17 is $2.166m (excluding GST) with the details shown below. This includes WGHG’s annual membership contribution to core and non core services of the Gippsland Health ICT Alliance (GHA). Expenditure $’000 Business As Usual (BAU) ICT 2,028 Non-BAU ICT 138 Operational 46 Capital 92
West Gippsland Healthcare Group Annual Report 2017 43 Consultancies Disclosure
Over $10,000 In 2016-17, there were five consultancies where the total fees payable to the consultants were $10 000 or greater. The total expenditure incurred during 2016-17 in relation to these consultancies is $214,393 (excl. GST).
2016-17 Future Consultant Purpose of Consultancy Start date End date Expenditure Expenditure Inc.GST Inc.GST
P2 Group Workcover Management Jul-16 Ongoing 111,000
AECOM Aust P/L Engineering Consultant - Energy Oct-16 Oct-16 35,000 Nil Performance Contracting Project
Johnstaff Pty Ltd Project Manager (PM), Principal Architect Jun-17 TBC 14,000 750,000 (PM), Lyons (PA), (PA), Quantity Surveyor (QS), Building Altus Group (QS), Surveyor (BS) Consultant team (Regional BSA Building Health Infrastructure Fund Round 1) 8 Bed Surveyors (BS) Short stay and Theatre Development Projects
D'Accord Pty Ltd Counselling service - Employee Assist Jul-16 Ongoing 20,000 Program (EAP)
Provider Assist Cooinda Lodge Funding Review Dec-16 Dec-16 34,000 Nil
Details of consultancies under $10,000 In 2016-17, there were two consultancies where the total fees payable to the consultants were less than $10 000. The total expenditure incurred during 2016-17 in relation to these consultancies is $17,772 (excl. GST).
44 Additional Information available on request
Consistent with FRD 22H (Section (e) Details of any major external (j) General statement on industrial 6.19) the report of operations reviews carried out on the Health relations within the Health Service confirms that details in respect Service and details of time lost through of the items listed below have industrial accidents and disputes, been retained by West Gippsland (f) Details of major research which is not otherwise detailed in Healthcare Group and are available and development activities the report of operations to the relevant Ministers, Members undertaken by the Health Service of Parliament and the public on that are not otherwise covered (k) A list of major committees request (subject to the Freedom either in the report of operations sponsored by the Health Service, of Information requirements, if or in a document that contains the purposes of each committee applicable): the financial statements and and the extent to which those report of operations purposes have been achieved (a) Declarations of pecuniary interests completed by all (g) Details of overseas visits (l) Details of all consultancies relevant officers undertaken including a summary and contractors including of the objectives and outcomes consultants/contractors (b) Details of shares held by senior of each visit engaged, services provided, and officers as nominee or held expenditure committed for each beneficially (h) Details of major promotional, engagement public relations and marketing (c) Details of publications produced activities undertaken by the by the entity about itself, and Health Service to develop how these can be obtained community awareness of the Health Service and its services (d) Details of changes in prices, fees, charges, rates and levies (i) Details of assessments and charged by the Health Service measures undertaken to improve the occupational health and safety of employees
West Gippsland Healthcare Group Annual Report 2017 45 Attestations
Standing Direction 3.7.1- Risk Responsible Bodies Compliance with Health Management Framework and Declaration Purchasing Victoria (HPV) Processes Health Purchasing Policies In accordance with the Financial I, Dan Weeks certify that the West Management Act 1994, I am I, Dan Weeks, certify that the West Gippsland Healthcare Group pleased to present the Report of Gippsland Healthcare Group has put has complied with the Ministerial Operations for West Gippsland in place appropriate internal controls Standing Direction 3.7.1 – Risk Healthcare Group for the year and processes to ensure that it has Management Framework and ending 30 June 2017. complied with all requirements set Processes. The West Gippsland out in the HPV Health Purchasing Healthcare Group Audit Committee Policies including mandatory HPV verifies this. collective agreements as required by the Health Services Act 1988 (Vic) and has critically reviewed these controls and processes during the year.
Dan Weeks Jane Leslie Dan Weeks Chief Executive Officer Board Chair Chief Executive Officer Warragul Warragul Warragul 29 August 2017 29 August 2017 29 August 2017
46 Board members, accountable officer’s and chief finance and accounting officer’s declaration
West Gippsland Healthcare Group Annual Report 2017 47
Auditor’s As required by the Audit Act 1994, my responsibility is to express an opinion on the financial VAGOIndependent Auditor’s Report responsibilities report based on the audit. My objectives for the audit are to obtain reasonable assurance for the audit about whether the financial report as a whole is free from material misstatement, whether To the Board of West Gippsland Healthcare Group of the financial due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable report assurance is a high level of assurance, but is not a guarantee that an audit conducted in Opinion I have audited the financial report of West Gippsland Healthcare Group (the health service) accordance with the Australian Auditing Standards will always detect a material which comprises the: misstatement when it exists. Misstatements can arise from fraud or error and are balance sheet as at 30 June 2017 considered material if, individually or in the aggregate, they could reasonably be expected comprehensive operating statement for the year then ended to influence the economic decisions of users taken on the basis of this financial report. statement of changes in equity for the year then ended As part of an audit in accordance with the Australian Auditing Standards, I exercise cash flow statement for the year then ended professional judgement and maintain professional scepticism throughout the audit. I also: notes to the financial statements, including a summary of significant accounting policies identify and assess the risks of material misstatement of the financial report, whether board member's, accountable officer's and chief finance & accounting officer's due to fraud or error, design and perform audit procedures responsive to those risks, declaration. and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is In my opinion the financial report presents fairly, in all material respects, the financial higher than for one resulting from error, as fraud may involve collusion, forgery, position of the health service as at 30 June 2017 and their financial performance and cash intentional omissions, misrepresentations, or the override of internal control. flows for the year then ended in accordance with the financial reporting requirements of obtain an understanding of internal control relevant to the audit in order to design Part 7 of the Financial Management Act 1994 and applicable Australian Accounting audit procedures that are appropriate in the circumstances, but not for the purpose Standards. of expressing an opinion on the effectiveness of the health service’s internal control Basis for I have conducted my audit in accordance with the Audit Act 1994 which incorporates the evaluate the appropriateness of accounting policies used and the reasonableness of Opinion Australian Auditing Standards. My responsibilities under the Act are further described in the accounting estimates and related disclosures made by the Board Auditor’s Responsibilities for the Audit of the Financial Report section of my report. conclude on the appropriateness of the Board’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material My independence is established by the Constitution Act 1975. My staff and I are uncertainty exists related to events or conditions that may cast significant doubt on independent of the health service in accordance with the ethical requirements of the the health service’s ability to continue as a going concern. If I conclude that a Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for material uncertainty exists, I am required to draw attention in my auditor’s report to Professional Accountants (the Code) that are relevant to my audit of the financial report in the related disclosures in the financial report or, if such disclosures are inadequate, Australia. My staff and I have also fulfilled our other ethical responsibilities in accordance to modify my opinion. My conclusions are based on the audit evidence obtained up with the Code. to the date of my auditor’s report. However, future events or conditions may cause I believe that the audit evidence I have obtained is sufficient and appropriate to provide a the health service to cease to continue as a going concern. basis for my opinion. evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying Board’s The Board of the health service is responsible for the preparation and fair presentation of transactions and events in a manner that achieves fair presentation. responsibilities the financial report in accordance with Australian Accounting Standards and the Financial for the Management Act 1994, and for such internal control as the Board determines is necessary I communicate with the Board regarding, among other matters, the planned scope and financial to enable the preparation and fair presentation of a financial report that is free from timing of the audit and significant audit findings, including any significant deficiencies in report material misstatement, whether due to fraud or error. internal control that I identify during my audit. In preparing the financial report, the Board is responsible for assessing the health service’s ability to continue as a going concern, and using the going concern basis of accounting unless it is inappropriate to do so.
MELBOURNE Ron Mak 5 September 2017 as delegate for the Auditor-General of Victoria
2
Auditor’s As required by the Audit Act 1994, my responsibility is to express an opinion on the financial Independent Auditor’s Report VAGOresponsibilities report based on the audit. My objectives for the audit are to obtain reasonable assurance for the audit about whether the financial report as a whole is free from material misstatement, whether To the Board of West Gippsland Healthcare Group of the financial due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable report assurance is a high level of assurance, but is not a guarantee that an audit conducted in Opinion I have audited the financial report of West Gippsland Healthcare Group (the health service) accordance with the Australian Auditing Standards will always detect a material which comprises the: misstatement when it exists. Misstatements can arise from fraud or error and are balance sheet as at 30 June 2017 considered material if, individually or in the aggregate, they could reasonably be expected comprehensive operating statement for the year then ended to influence the economic decisions of users taken on the basis of this financial report. statement of changes in equity for the year then ended As part of an audit in accordance with the Australian Auditing Standards, I exercise cash flow statement for the year then ended professional judgement and maintain professional scepticism throughout the audit. I also: notes to the financial statements, including a summary of significant accounting policies identify and assess the risks of material misstatement of the financial report, whether board member's, accountable officer's and chief finance & accounting officer's due to fraud or error, design and perform audit procedures responsive to those risks, declaration. and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is In my opinion the financial report presents fairly, in all material respects, the financial higher than for one resulting from error, as fraud may involve collusion, forgery, position of the health service as at 30 June 2017 and their financial performance and cash intentional omissions, misrepresentations, or the override of internal control. flows for the year then ended in accordance with the financial reporting requirements of obtain an understanding of internal control relevant to the audit in order to design Part 7 of the Financial Management Act 1994 and applicable Australian Accounting audit procedures that are appropriate in the circumstances, but not for the purpose Standards. of expressing an opinion on the effectiveness of the health service’s internal control Basis for I have conducted my audit in accordance with the Audit Act 1994 which incorporates the evaluate the appropriateness of accounting policies used and the reasonableness of Opinion Australian Auditing Standards. My responsibilities under the Act are further described in the accounting estimates and related disclosures made by the Board Auditor’s Responsibilities for the Audit of the Financial Report section of my report. conclude on the appropriateness of the Board’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material My independence is established by the Constitution Act 1975. My staff and I are uncertainty exists related to events or conditions that may cast significant doubt on independent of the health service in accordance with the ethical requirements of the the health service’s ability to continue as a going concern. If I conclude that a Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for material uncertainty exists, I am required to draw attention in my auditor’s report to Professional Accountants (the Code) that are relevant to my audit of the financial report in the related disclosures in the financial report or, if such disclosures are inadequate, Australia. My staff and I have also fulfilled our other ethical responsibilities in accordance to modify my opinion. My conclusions are based on the audit evidence obtained up with the Code. to the date of my auditor’s report. However, future events or conditions may cause I believe that the audit evidence I have obtained is sufficient and appropriate to provide a the health service to cease to continue as a going concern. basis for my opinion. evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying Board’s The Board of the health service is responsible for the preparation and fair presentation of transactions and events in a manner that achieves fair presentation. responsibilities the financial report in accordance with Australian Accounting Standards and the Financial for the Management Act 1994, and for such internal control as the Board determines is necessary I communicate with the Board regarding, among other matters, the planned scope and financial to enable the preparation and fair presentation of a financial report that is free from timing of the audit and significant audit findings, including any significant deficiencies in report material misstatement, whether due to fraud or error. internal control that I identify during my audit. In preparing the financial report, the Board is responsible for assessing the health service’s ability to continue as a going concern, and using the going concern basis of accounting unless it is inappropriate to do so.
MELBOURNE Ron Mak 5 September 2017 as delegate for the Auditor-General of Victoria
2 Financial Index West Gippsland Healthcare Group
Comprehensive Operating Statement For the financial year ended 30 June 2017 Notes Contents Note 2017 2016 Comprehensive Operating Statement 51 $'000 $'000 Balance Sheet 52 Revenue from operating activities 2.1 100,028 92,146 Statement of Changes in Equity 53 Revenue from non-operating activities 2.1 1,487 1,956 Cash Flow Statement 54 Employee expenses 3.1 (69,452) (65,345) Non salary labour costs 3.1 (6,384) (5,749) Notes to the financial statements 30 June 2017 Supplies and consumables 3.1 (15,119) (13,949) Other expenses 3.1 (9,346) (8,728) Note Contents Page Net result before capital and specific items 1,214 331 Note 1 Summary of significant accounting policies 56 Note 2 Funding delivery of our services 60 Capital purpose income 2.1 6,094 2,249 Note 2.1 Analysis of revenue by source 61 Specific Income 2.3 470 - Note 2.2 Assets received free of charge or for nominal consideration 65 Depreciation and Amortisation 4.4 (6,518) (6,391) Note 2.3 Specific income 65 Assets provided free of charge 2.2 5 - Note 3 The Cost of delivering services 66 Expenditure for Capital Purpose 3.1 (257) (406) Net Result after capital and specific items 1,008 (4,217) Note 3.1 Analysis of expenses by Source 67 Other economic flows included in net result Note 3.2 Analysis of expense and revenue by internally managed and restricted specific purpose funds 70 Net gain/(loss) on non-financial assets 2.1 180 (29) Note 3.3 Employee benefits in the balance sheet 71 Net gain/(loss) on financial instruments 2.1 - 77 Note 3.4 Superannuation 74 Revaluation of Long Service Leave (89) - Note 4 Key Assets to support service delivery 76 Total other economic flows included in net result 91 48 Note 4.1 Investments and other financial assets 77 NET RESULT FOR THE YEAR 1,099 (4,169) Note 4.2 Investments accounted for using the equity method 79 Note 4.3 Property, plant & equipment 80 Other comprehensive income Note 4.4 Depreciation and amortisation 91 Items that will not be reclassified to net result Note 5 Other assets and liabilities 92 Changes in physical asset revaluation surplus 8.1 1,889 - Note 5.1 Receivables 93 Total other comprehensive income 1,889 - Comprehensive result 2,988 (4,169) Note 5.2 Inventories 95 Note 5.3 Other liabilities 96 This Statement should be read in conjunction with the accompanying notes. Note 5.4 Non-financial physical assets classified as held for sale including disposal groups and directly associated liabilities 97 Note 5.5 Prepayments and other non-financial assets 98 Note 5.6 Payables 99 Note 6 How we finance our operations 100 Note 6.1 Borrowings 101 Note 6.2 Cash and cash equivalents 102 Note 6.3 Commitments for expenditure 103 Note 7 Risks, contingencies & valuation uncertainties 104 Note 7.1 Financial instruments 105 Note 7.2 Net gain/ (loss) on disposal of non-financial assets 114 Note 7.3 Contingent assets and contingent liabilities 115 Note 7.4 Fair value determination 115 Note 8 Other disclosures 116 Note 8.1 Equity 117 Note 8.2 Reconciliation of net result for the year to net cash inflow/(outflow) from operating activities 119 Note 8.3 Operating segments 120 Note 8.4 Responsible persons disclosures 122 Note 8.5 Executive officer disclosures 123 Note 8.6 Related parties 124 Note 8.7 Remuneration of auditors 125 Note 8.8: AASs issued that are not yet effective 126 Note 8.9: Events occurring after the balance sheet date 129 Note 8.11: Alternative presentation of comprehensive operating statement 130
50 ComprehensiveWest Gippsland Healthcare Operating Group Statement
For the financial year ended 30 June 2017 Comprehensive Operating Statement For the financial year ended 30 June 2017
Note 2017 2016 $'000 $'000
Revenue from operating activities 2.1 100,028 92,146 Revenue from non-operating activities 2.1 1,487 1,956 Employee expenses 3.1 (69,452) (65,345) Non salary labour costs 3.1 (6,384) (5,749) Supplies and consumables 3.1 (15,119) (13,949) Other expenses 3.1 (9,346) (8,728) Net result before capital and specific items 1,214 331
Capital purpose income 2.1 6,094 2,249 Specific Income 2.3 470 - Depreciation and Amortisation 4.4 (6,518) (6,391) Assets provided free of charge 2.2 5 - Expenditure for Capital Purpose 3.1 (257) (406) Net Result after capital and specific items 1,008 (4,217) Other economic flows included in net result Net gain/(loss) on non-financial assets 2.1 180 (29) Net gain/(loss) on financial instruments 2.1 - 77 Revaluation of Long Service Leave (89) - Total other economic flows included in net result 91 48 NET RESULT FOR THE YEAR 1,099 (4,169)
Other comprehensive income Items that will not be reclassified to net result Changes in physical asset revaluation surplus 8.1 1,889 - Total other comprehensive income 1,889 - Comprehensive result 2,988 (4,169)
This Statement should be read in conjunction with the accompanying notes.
West Gippsland Healthcare Group Annual Report 2017 51 BalanceWest Gippsland Sheet Healthcare Group AsBalance at 30 June Sheet 2017 As at 30 June 2017
Note 2017 2016 $'000 $'000 Current assets Cash and cash equivalents 6.2 13,030 7,435 Receivables 5.1 2,669 3,032 Investments and other financial assets 4.1 9,422 6,457 Inventories 5.2 201 208 Non-financial assets classified as held for sale 5.4 - 383 Prepayments and Other assets 5.5 438 316 Total current assets 25,760 17,831
Non-current assets Receivables 5.1 475 262 Property, plant & equipment 4.3 75,182 76,478 Total non-current assets 75,657 76,740 TOTAL ASSETS 101,417 94,571
Current liabilities Payables 5.6 5,153 4,730 Borrowings 6.1 629 629 Provisions 3.3 15,259 14,219 Other current liabilities 5.3 7,927 4,966 Total current liabilities 28,968 24,544
Non-current liabilities Borrowings 6.1 2,760 3,390 Provisions 3.3 2,484 2,420 Total non-current liabilities 5,244 5,810 TOTAL LIABILITIES 34,212 30,354 NET ASSETS 67,205 64,217
EQUITY Property, plant & equipment revaluation surplus 8.1a 47,786 45,897 Contributed capital 8.1b 32,522 32,522 Accumulated surpluses/(deficits) 8.1c (13,103) (14,202) TOTAL EQUITY 8.1c 67,205 64,217 Contingent assets and contingent liabilities 7.3 Commitments 6.3
This Statement should be read in conjunction with the accompanying notes.
52 West Gippsland Healthcare Group StatementStatement of Changes of Changes in Equity in Equity ForFor thethe financialfinancial yearyear endedended 3030 JuneJune 20172017
Property, Plant Contributions Accumulated Total & Equipment by Owners Surpluses/ Revaluation (Deficits) Surplus
Note $'000 $'000 $'000 $'000 Balance at 1 July 2015 45,897 32,522 (10,033) 68,386 Net result for the year - - (4,169) (4,169)
Balance at 30 June 2016 45,897 32,522 (14,202) 64,217
Net result for the year - - 1,099 1,099 Other comprehensive income for the year 8.1a 1,889 - - 1,889 Transfer to accumulated surplus 8.1a,8.1c - - -
Balance at 30 June 2017 47,786 32,522 (13,103) 67,205
This Statement should be read in conjunction with the accompanying notes
West Gippsland Healthcare Group Annual Report 2017 53 CashWest Gippsland Flow Statement Healthcare Group West Gippsland Healthcare Group ForCash the Flowfinancial Statement year ended 30 June 2017 Notes to the financial statements For the financial year ended 30 June 2017 30 June 2017
Note 2017 2016 Basis of Preparation $'000 $'000 CASH FLOWS FROM OPERATING ACTIVITIES These financial statements are presented in Australian dollars and the historical cost Operating grants from government 80,531 72,488 convention is used unless a different measurement basis is specifically disclosed in the note Capital grants from government 4,812 1,530 associated with the item measured on a different basis. Patient and resident fees received 4,228 2,852 Private practice fees received 688 699 The accrual basis of accounting has been applied in the preparation of these financial Donations and bequests received - (3) statements whereby assets, liabilities, equity, income and expenses are recognised in the GST received from/(paid to) ATO 1,128 - reporting period to which they relate, regardless of when cash is received or paid. Interest received 409 344 Other capital receipts 714 720 Other receipts 16,939 16,432 Consistent with the requirements of AASB 1004 Contributions (that is contributed capital Total receipts 109,449 95,062 and its repayment) are treated as equity transactions and, therefore, do not form part of the income and expenses of the West Gippsland Healthcare Group. Employee expenses paid (68,347) (63,069) Non salary labour costs (6,316) (5,678) Additions to net assets which have been designated as contributions by owners are Payments for supplies & consumables (25,408) (22,151) recognised as contributed capital. Other transfers that are in the nature of contributions to Other payments - - Total payments (100,071) (90,898) or distributions by owners have also been designated as contributions by owners.
NET CASH FLOW FROM/(USED IN) OPERATING ACTIVITIES Judgements, estimates and assumptions are required to be made about financial information 8.2 9,378 4,164 being presented. The significant judgements made in the preparation of these financial statements are disclosed in the notes where amounts affected by those judgements are CASH FLOWS FROM INVESTING ACTIVITIES disclosed. Estimates and associated assumptions are based on professional judgements Purchase of investments - (1,500) derived from historical experience and various other factors that are believed to be Payments for non-financial assets (3,904) (7,734) reasonable under the circumstances. Actual results may differ from these estimates. Proceeds from sale of non-financial assets 752 84 Proceeds from sale of investments - 167 Revisions to accounting estimates are recognised in the period in which the estimate is Other - - revised and also future periods that are affected by the revision. Judgements and NET CASH FLOW FROM/(USED IN) INVESTING ACTIVITIES assumptions made by management in applying the application of AASB that have significant (3,152) (8,983) effect on the financial statements and estimates are disclosed in the notes under the heading: 'Significant judgement or estimates'. CASH FLOWS FROM FINANCING ACTIVITIES Repayment of borrowings (630) (387) Repayment of finance leases - - Contributed capital from government - - NET CASH FLOW FROM/(USED IN) FINANCING ACTIVITIES (630) (387) NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS HELD 5,596 (5,206) Cash and cash equivalents at beginning of financial year 7,434 12,641 CASH AND CASH EQUIVALENTS AT END OF FINANCIAL YEAR 6.2 13,030 7,435
This Statement should be read in conjunction with the accompanying notes
54 West Gippsland Healthcare Group Notes to the financial statements 30 June 2017
Basis of Preparation
These financial statements are presented in Australian dollars and the historical cost convention is used unless a different measurement basis is specifically disclosed in the note associated with the item measured on a different basis.
The accrual basis of accounting has been applied in the preparation of these financial statements whereby assets, liabilities, equity, income and expenses are recognised in the reporting period to which they relate, regardless of when cash is received or paid.
Consistent with the requirements of AASB 1004 Contributions (that is contributed capital and its repayment) are treated as equity transactions and, therefore, do not form part of the income and expenses of the West Gippsland Healthcare Group.
Additions to net assets which have been designated as contributions by owners are recognised as contributed capital. Other transfers that are in the nature of contributions to or distributions by owners have also been designated as contributions by owners.
Judgements, estimates and assumptions are required to be made about financial information being presented. The significant judgements made in the preparation of these financial statements are disclosed in the notes where amounts affected by those judgements are disclosed. Estimates and associated assumptions are based on professional judgements derived from historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates.
Revisions to accounting estimates are recognised in the period in which the estimate is revised and also future periods that are affected by the revision. Judgements and assumptions made by management in applying the application of AASB that have significant effect on the financial statements and estimates are disclosed in the notes under the heading: 'Significant judgement or estimates'.
West Gippsland Healthcare Group Annual Report 2017 55 West Gippsland Healthcare Group West Gippsland Healthcare Group Notes to the financial statements Notes to the financial statements 0 une 2017 30 June 2017
Note 1: Summary of significant accounting policies (c) Basis of accounting preparation and measurement
These annual financial statements represent the audited general purpose financial Accounting policies are selected and applied in a manner which ensures that the resulting statements for West Gippsland Healthcare Group (the Group) for the period ending 30 June financial information satisfies the concepts of relevance and reliabilit thereb ensuring 2017. The report provides users with information about the Group’s stewardship of that the substance of the underl ing transactions or other events is reported. resources entrusted to it. The accounting policies set out below have been applied in preparing the financial (a) Statement of compliance statements for the ear ended 0 une 2017 and the comparative information presented in these financial statements for the ear ended 0 une 201 . These financial statements are general purpose financial statements which have been prepared in accordance with the Financial Management Act 1994 and applicable AASBs, The going concern basis was used to prepare the financial statements. which include interpretations issued by the Australian Accounting Standards Board (AASB). They are presented in a manner consistent with the requirements of AASB 101 Presentation These financial statements are presented in Australian dollars the functional and of Financial Statements. presentation currenc of the West Gippsland Healthcare Group. The financial statements also comply with relevant Financial Reporting Directions (FRDs) issued by the Department of Treasury & Finance, and relevant Standing Directions (SDs) The financial statements e cept for cash flow information have been prepared using the authorised by the Minister for Finance. accrual basis of accounting. nder the accrual basis items are recognised as assets The Group is a not-for profit entity and therefore applies the additional Aus paragraphs liabilities e uit income or e penses when the satisf the definitions and recognition applicable to “not-for-profit” Health Services under the AASBs. criteria for those items that is the are recognised in the reporting period to which the relate regardless of when cash is received or paid. The annual financial statements were authorised for issue by the Board of West Gippsland Healthcare Group on 29th August 2017 The financial statements are prepared in accordance with the historical cost convention e cept for (b) Reporting entity • non-current physical assets, which subsequent to acquisition, are measured at a revalued The financial statements include all the controlled activities of the West Gippsland amount being their fair value at the date of the revaluation less an subse uent Healthcare Group. accumulated depreciation and subse uent impairment losses. evaluations are made and are re-assessed when new indices are published b the aluer General to ensure that the Its principal address is: carr ing amounts do not materiall differ from their fair values 41 Landsborough Street Warragul • available-for-sale investments which are measured at fair value with movements reflected Victoria 3820 in equity until the asset is derecognised (i.e. other comprehensive income – items that may be reclassified subse uent to net result . A description of the nature of West Gippsland Healthcare Group’s operations and its • the fair value of assets other than land is generally based on their depreciated principal activities is included in the report of operations, which does not form part of these replacement value. financial statements. udgements estimates and assumptions are re uired to be made about the carr ing amounts of assets and liabilities that are not readil apparent from other sources. The Objectives and funding estimates and associated assumptions are based on professional judgements derived from West Gippsland Healthcare Group’s overall objective is to improve the health and wellbeing historical e perience and various other factors that are believed to be reasonable under the of it's community, as well as improve the quality of life to Victorians. circumstances. Actual results ma differ from these estimates.
West Gippsland Healthcare Group is predominantly funded by accrual based grant funding udgements and assumptions made b management in the application of AASs that have for the provision of outputs. significant effects on the financial statements and estimates relate to • the fair value of land, buildings, infrastructure, plant and equipment (refer Note 4); • superannuation expense (refer Note 3.4); • actuarial assumptions for employee benefit provisions based on likely tenure of existing staff patterns of leave claims future salar movements and future discount rates efer ote .
56 West Gippsland Healthcare Group Notes to the financial statements 0 une 2017
(c) Basis of accounting preparation and measurement
Accounting policies are selected and applied in a manner which ensures that the resulting financial information satisfies the concepts of relevance and reliabilit thereb ensuring that the substance of the underl ing transactions or other events is reported.
The accounting policies set out below have been applied in preparing the financial statements for the ear ended 0 une 2017 and the comparative information presented in these financial statements for the ear ended 0 une 201 .
The going concern basis was used to prepare the financial statements.
These financial statements are presented in Australian dollars the functional and presentation currenc of the West Gippsland Healthcare Group.
The financial statements e cept for cash flow information have been prepared using the accrual basis of accounting. nder the accrual basis items are recognised as assets liabilities e uit income or e penses when the satisf the definitions and recognition criteria for those items that is the are recognised in the reporting period to which the relate regardless of when cash is received or paid.
The financial statements are prepared in accordance with the historical cost convention e cept for
• non-current physical assets, which subsequent to acquisition, are measured at a revalued amount being their fair value at the date of the revaluation less an subse uent accumulated depreciation and subse uent impairment losses. evaluations are made and are re-assessed when new indices are published b the aluer General to ensure that the carr ing amounts do not materiall differ from their fair values
• available-for-sale investments which are measured at fair value with movements reflected in equity until the asset is derecognised (i.e. other comprehensive income – items that may be reclassified subse uent to net result . • the fair value of assets other than land is generally based on their depreciated replacement value.