Hospital funding could be slashed as part of a state and federal government deal that will see funding fluctuate every year.
Djerriwarrh Health chief executive Bruce Marshall said the hospital had yet to receive details of its operating budget for 2014-15 and was unable to confirm a report that
$1.2 million will be scrapped over the next four years.
“In the event that budget reductions are imposed, we would review our operations to ascertain the best options … to accommodate the reduction,” he said.
Melton Labor MP Don Nardella said $1.2 million would be slashed from Djerriwarrh’s budget as part of $277 million in cuts across the state.
“The money … could clear the elective surgery waiting list, employ 3000 nurses or open 500 new hospital beds,” Mr Nardella said. “Victorians and, in particular, Melton and Moorabool patients will suffer unfairly.”
Federal Health Minister Peter Dutton said public hospital funding was based on an agreement made between the states and former Prime Minister Julia Gillard in 2011.
“Factors including activity in the hospitals and population growth determine annual funding allocations from the federal government to each state,” Mr Dutton said. “It means funding levels will vary from year to year.”
The Weekly reported in December 2012 that the federal government was cutting nearly $500,000 from Djerriwarrh’s budget due to state population changes.