Measuring our financial performance
Revenue sources for 2009-10
Approximately 85% of our revenue, in base and one-time funding, was received from the Ministry of Health and Long-Term Care (MOHLTC) and the Hamilton Niagara Haldimand Brant (HNHB) Local Health Integration Network (LHIN) during the fiscal year.
Average emergency visit: $233
Eighty per cent of expenses are related to direct patient care like nursing, pharmacy, diagnostic imaging, laboratory and therapies. An additional 10% is related to support services like housekeeping, food and maintenance. The remaining 10% is for administrative costs like administration, human resources, finance, material management, information and communication services.
Expense breakdown for 2009-10
The majority of funds are directed towards direct patient care, 78% in 2009/10 compared to 77.9% in 2008/09.
The NHS continues to benchmark its financial performance to that of comparable hospitals and uses this peer-to-peer comparison data during its budget and planning cycle to ensure that we provide services to the community in a cost effective and efficient manner.
Average inpatient cost per day: $1,040
Approximately 78% of expenses are related to direct patient care like nursing, pharmacy, diagnostic imaging, laboratory and therapies. An additional 12% is related to support services like housekeeping, food and maintenance. The remaining 10% is for administrative costs like administration, human resources, finance, material management, information and communication services.
Administrative includes Administration, Human Resources, Finance, Material Management, Information & Communication Services
Support Services includes Housekeeping, Food, Maintenance, Biomedical, Registration, Health Records, Education Services
Equipment
In 2009/10, the hospital invested $16.7 million in equipment and building infrastructure upgrades. The majority of capital spending is financed through the provincial and federal governments and local Foundations and Auxiliaries. In the absence of positive working capital and cash, the NHS must rely solely on donations from foundations and auxiliaries to fund necessary new and replacement medical equipment. Annually, the NHS’s capital needs exceed funding by approximately $8 million. The NHS is committed to addressing and stabilizing our capital equipment deficiency.
Hospital Accountability Agreement
The NHS has signed the Hospital Service Accountability Agreement with the HNHB LHIN for the 2008/09 to 2010/11 fiscal years. This agreement sets out the roles and responsibilities of both parties with respect to funding, performance and service. Together, NHS and the HNHB LHIN will monitor progress under this agreement, posted on the NHS website.
Hospital Improvement Plan (HIP)
In July 2008, the NHS developed the five-year HIP. This plan is a framework for the NHS to enhance quality of hospital care across Niagara over the long term while at the same time balance financial pressures, the needs of Niagara’s aging population and the challenges of the ongoing shortage of doctors, nurses and other health professionals. The plan was endorsed by the LHIN in December 2008.
As has been our priority over the last number of years, we have been rebuilding our financial health. The HIP includes more than $28 million of savings over the five-year period through the creation of centres of excellence, improved quality and efficiency initiatives and by working collaboratively with the HNHB LHIN and other community agencies to ensure our patients are cared for in the most appropriate setting. Approximately $16 million in savings have been achieved since the 2008/09 fiscal year.
