Resource Summary

Health Authorities Included in the
Provincial Reporting Entity

As required under the Budget Transparency and Accountability Act, British Columbia's six health authorities are included in the government reporting entity. The health authorities have been primary service delivery organizations for the public health sector for several years and many of the performance measures and targets included in the ministry's service plan are related to services delivered by the health authorities. The majority of the health authorities' revenues and a substantial portion of the funding for capital acquisitions are provided by the province in the form of grants from ministry budgets.

First Ministers' Agreement — 2004

In September 2004, the Provinces, Territories and Federal Government agreed to a Ten Year Plan to Strengthen Health Care. As a result of this agreement, British Columbia expects to receive a total of $5.4 billion in new federal health funding over the next 10 years.

The First Ministers agreed the top priority for these funds is to improve access to care and reduce wait times where they are longer than medically acceptable. Although every jurisdiction will be responsible for establishing its own priorities across the continuum of health services provided to their citizens, the First Ministers also agreed that cancer treatment, heart surgeries, diagnostic imaging, joint replacement and sight restoration services were important priority areas to be considered. First Ministers also recognized that improving access to care will require cooperation among governments, the participation of health care providers and patients, and strategic investment in such areas as:

• increasing the supply of health professionals (e.g. doctors, nurses, and pharmacists);
• enhancing primary care;
• delivering effective community and home-based services; and
• effective health promotion, disease prevention and public health services.

In addition, First Ministers agreed the implementation of a national pharmaceutical strategy would improve access for all Canadians to important classes of drugs while providing opportunities to take advantage of economies of scale and initiatives that would improve prescribing and minimize adverse events related to drugs.

The Ministry of Health Services service plan objectives and strategies reflect the commitments and priorities of the First Ministers. Strategic investments in priority areas across the continuum of health services will be a highlight of our next three years. Examples of areas in which the ministry and health authorities will be working to improve access and services beyond the five key First Minister priority areas include:

• public health and health promotion;
• youth addictions services;
• early screening of children for key health problems; and
• increased options for frail seniors in the assisted living and residential care sector.

This increase in capacity will build on the significant success in enhancing access that has already occurred over the last four years of health system redesign in British Columbia.

The new federal funding commitment, which over 10 years represents approximately 4 per cent of the expected spending on health services, cannot eliminate the challenges we face in making the health system sustainable over the long-term. Redesigning clinical service delivery models, in every part of our system, to allow improved quality and more capacity within the resources available will be our challenge over the coming three years. We have the advantage of an efficient, responsive health sector that welcomes the challenge of improving value for the citizens of British Columbia.

The following table summarizes the operating funding British Columbia is anticipated to receive under this agreement:

At the time of printing this document, the federal funding allocations have not been finalized. The ministry's budget plan anticipates deferring the 2004/05 funding to the subsequent three years when it will be invested in cancer and renal treatment, public health, and key specialty programs.

In addition to the operating funding discussed above, the First Ministers' agreement is also expected to provide B.C. with an additional $66 million in Medical Equipment Funding in 2004/05. The federal government provided B.C. with $200 million in Medical Equipment Funding in 2002/03, and that money is being spent over the three years ending 2005/06. Accordingly, the $66 million expected from the First Ministers' agreement will be deferred to 2006/07 and 2007/08, as follows:

This funding will be used to acquire equipment that improves patient care and workplace health, such as CT and MRI scanners, anaesthetic machines, laboratory equipment, and patient beds and lifts.