- Cook Government to implement procurement reform following recommendations from health maintenance audit
- Other significant actions underway to improve the delivery of maintenance across WA's public health system
- Public report and action plan released following work undertaken by Michael Barnes and Dr Neale Fong
- Work continues under $50 million maintenance blitz to ensure existing hospitals can continue delivering the healthcare Western Australians need
The Cook Government will drive systemwide procurement reform to improve the delivery of health maintenance across Western Australia's health system.
The reform program will see the Department of Health (DoH) engage with the Department of Housing and Works as the works procurement experts to help consolidate accountability and get maintenance projects delivered quicker.
Actions include:
- reducing red tape for lower value maintenance projects, while still ensuring appropriate compliance controls for all procurement;
- developing a health-specific trades and services panel to make it easier for DoH to procure work;
- establishing Key Performance Indicators to clear expectations for maintenance activities across the Health Service Providers; and
- provide further transparency of maintenance expenditure in future State budgets.
The shake-up follows the release of a public report in response to an audit into health maintenance undertaken by former Under Treasurer Michael Barnes and Dr Neale Fong.
The audit included 24 findings and eight recommendations, which the State Government has endorsed and is working to implement.
The government is also releasing an action plan that outlines early steps taken to address each of the recommendations.
In conjunction with the audit, a $50 million Health Asset Maintenance Fund was established to supercharge maintenance completion at Sir Charles Gairdner Hospital, Royal Perth Hospital, and Armadale Health Service.
Maintenance work at these hospitals is already underway with $20 million spent or contracted, and further capital and minor works underway.
This is part of the Cook Government's record $4.9 billion health infrastructure program, including significant investments to maintain, upgrade, and replace ageing health assets.
As stated by Health Infrastructure Minister John Carey:
"As WA's first ever Health Infrastructure Minister, I acknowledge the concerns raised by clinicians and I am determined to hear their frank advice and take action to improve accordingly.
"When I became Minister for Housing, we underwent major reform to accelerate the delivery of social housing by streamlining procurement processes such as establishing builders' panels and standardising internal processes.
"I am determined to do the same here and continue working with the Department of Health and the Department of Housing and Works to improve health procurement.
"This is exactly why we established the Health Infrastructure portfolio - to provide greater oversight and drive reform to deliver our government's record $4.9 billion health infrastructure program, which is building new hospitals and ensuring existing and ageing health assets are maintained and upgraded.
"Already, we have made significant changes to how we deliver major projects through the new Office of Major Infrastructure Delivery and our $1.5 billion Building Hospitals Fund.
"We recognise the need for maintenance to be delivered effectively - ensuring the best possible care for patients, a safe environment for staff and value for taxpayers.
"That's why we have bolstered maintenance funding through a targeted $50 million blitz.
"This audit clearly outlines how the State can improve and our government endorses its findings and is working to implement the recommendations.
"I want to thank the authors of this report who have provided crucial learnings for government and Health Service Providers."