AGY-3067 | Hospitals Commission of New South Wales

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The Hospital Commission of New South Wales, consisting of five members appointed by the Governor, was established as a body corporate under part two of the Public Hospitals Act 1929. (1) The Act was proclaimed on 3 October 1929 and came into operation on 1 November 1929. (2)

Under the Act the Commission provided a complete hospital system in the State and its duties were as follows:
(a) to make or cause to be made careful inquiry into the administration and management of every hospital;
(b) to cause every hospital to be inspected from time to time and at least once in every financial year;
(c) to report to the Minister as to the sums required to be provided from the Consolidated Revenue Fund to meet the needs of the hospitals;
(d) to determine what hospitals should be subsidized;
(e) to determine what sums of money should be paid from the Hospital Fund in any financial year to any hospital;
(f) to attach to the payment of any subsidy such conditions in respect of the maintenance, equipment, management, capital expenditure, building etc;
(g) to consider and recommend any amendments of existing legislation and proposals for future legislation (3)

For the purpose of conducting any inquiry, investigation or hearing, the Commission had power and authority to summon witnesses and receive evidence to ensure that was no financial or geographical overlapping or duplication of services.

Hospitals, however continued to be bodies corporate (4) managed by their own Boards of Directors (5) and were independent entities apart from the functions exercised by the Hospitals Commission.

At the end financial year 1935/36 there were 199 public hospitals under the supervision of the Hospitals Commission . At same time these hospitals had 12,233 beds, of which 5,343 were at metropolitan hospitals and 6,877 at hospitals situated in the country. The increase in bed accommodation was a result of an intensive programme of building construction throughout the State. (6)

The number of hospitals and available beds increased and at the end 1943/44 financial year there were 214 hospitals under the Commission and 16,820 beds. In accordance with the duty imposed upon it by statute the Commission, visitations and inspections continued. Visits were made by the Chairman, members and officers of the Commission to 227 hospitals. The inspectorial staff carried out investigations into the financial affairs and administration of eleven hospitals. (7)

Financial resources for maintenance public hospitals under Commission’s control came from different sources and annual maintenance income in 1948/49 was over £8 million. More than 80% of these resources came from State Aid for Maintenance. Other income was received from donations, subscriptions, systematic contribution schemes, patients’ fees and other sources. In this financial year total maintenance expenditure exceeded income by approximately £150,000.(8)

In 1953/54 the Commission continually reviewed the finances of each hospital and continued its policy of not financing hospital deficits at the close of the financial year. Hospital boards generally co-operated with the Commission to ensure that hospital services were administered efficiently. (9)

In 1965 a regionalization plan was presented by the Hospital Services Committee. The Commission commenced implementation of the plan in 1968. (8) Planed regionalization had two main aspects:
(a) it was a system of decentralization of administration by the central authority;
(b) it was a basis for the balanced development of hospital services within each region.
Five country regions were proposed by the Committee:
(a) North;
(b) West;
(c) Newcastle and Hunter Valley;
(d) Riverina;
(e) South Coast and Southern Tablelands.
In addition to these country regions the Sydney Metropolitan Area was divided into three regions:
(a) Northern and Central;
(b) Southern;
(c) Western. (10)

During 1971/72 financial year inspectors in the regional offices carried out 90 comprehensive inspections of the accounts and management of hospitals. An additional 514 restricted inspections were made in the year. The inspections were restricted to specific consideration of budgetary control in hospitals following the introduction of the revised budgetary programme in 1970/71 (11)

The Health Commission Act, 1972 (Act No.63, 1972) abolished the sections of the Public Hospitals Act 1929 which constituted and laid down the functions of the Hospitals Commission of New South Wales. (12) The Hospital Commission continued to exist until 29 April when the Health Commission absorbed its functions. (13)

FOOTNOTES
(1) Public Hospitals Act 1929, Statutes of New South Wales 1929, Act No. 8
(2) NSW Government Gazette No 132, p.4085
(3) Public Hospitals Act 1929, Statutes of New South Wales 1929, Act No. 8
(4) Ibid. s. 18-19
(5) Ibid. s. 22
(6) Report of the Hospitals Commission of the NSW for 1935/36, A.R. 1938/39/40, v.5, p.669
(7) Report of the Hospitals Commission of the NSW for 1943/44, A.R. 1945/46, v.1, p.551
(8) Report of the Hospitals Commission of the NSW for 1948/49, A.R. 1950/51/52, v.3, p.961
(9) Report of the Hospitals Commission of the NSW for 1953/54, A.R. 1955/56, v1, p.839
(10) Report of the Hospitals Commission of the NSW for 1967/68, A.R. 1968/69, v.3, p.561
(11) Report of the Hospitals Commission of the NSW for 1971/72, A.R. 1972/73, v.3, p.84
(12) Health Commission Act 1972, Statutes of New South Wales 1972, Act No. 63
(13) Report the Health Commission of NSW for 1972/73, A.R. v.2, p.67, NSW Government Gazette No 53, p.1428