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Tairāwhiti District Health Board—Contracts for Mental Health Services

Tuesday 25 May 2010 Hansard source (external site)

Katene12. RAHUI KATENE (Māori Party—Te Tai Tonga) Link to this
to the Associate Minister of Health

Is he aware of the decision by Tairāwhiti District Health Board to award contracts for mental health services to the Challenge Trust based in Auckland rather than the existing provider Turanga Health; and how does this decision comply with the Government’s policy for providing more personalised health care closer to home?

ColemanHon Dr JONATHAN COLEMAN (Associate Minister of Health) Link to this

Yes, I am aware that the Tairāwhiti District Health Board has awarded the Challenge Trust the contract for mental health services. I have been advised that the Challenge Trust will be offering a wide range of services, some of which have never been offered before, and that this contract represented better value for money than the previous contracts. It is my understanding that the Challenge Trust will employ local people to deliver the services, and that the contract is in keeping with the Government’s desire to deliver more personalised care closer to home. I also note that the Tairāwhiti District Health Board will get its fair share of the $174 million of new mental health spending that was recently announced in the Budget.

KateneRahui Katene Link to this

What justification does he have for the mental health funding cuts in Christchurch that led to the closure of the 198 Youth Health Centre and the Newell House Trust—a respite for women who are severely affected by mental illness—which will close at the end of the week?

ColemanHon Dr JONATHAN COLEMAN Link to this

I inform the House that there have not been funding cuts for mental health services in Christchurch. With regard to the closure of the 198 Youth Health Centre, 198 chose to close its doors because the district health board contract was no longer enough for 198 to remain viable in its current form. I understand that it had faced cost increases related to the lease of its premises, and lost a non - district health board research contract. It is also my understanding that equivalent services are now provided by other organisations and funded by the district health board.

The Canterbury District Health Board has maintained its funding for the Newell House Trust, and it is the cessation of various past funders that the trustees said was the major reason for the closure of Newell House. The Canterbury District Health Board received $125 million for mental health services in the year to June 2010. It will get more this year as part of the $174 million of new money going into mental health. In short, there is much more money going into mental health services but there has to be some reprioritisation of funding.

KateneRahui Katene Link to this

Has the Minister heard the claim from Platform, an umbrella group of mental health providers, that $2 million will be trimmed from mental health spending in Wellington and Hutt Valley district health boards, and how will the whānau of mentally unwell people continue to have access to quality support?

ColemanHon Dr JONATHAN COLEMAN Link to this

Yes, they have raised those concerns with me and I have asked the Ministry of Health to discuss that with the relevant district health boards. But there are two points to note. The first is that the mental health ring-fence remains in place, and that protects expenditure in mental health. Secondly, $174 million of new money is going into mental health, of which these two district health boards will get their fair share. Of course, it should be noted that the last Government handed over the Capital and Coast District Health Board with a massive deficit of $65 million, which really did a major disservice to the people of that region. This Government has been striving hard to right the situation.

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