WRITING OFF FEES.

New Zealand Herald, Volume LXVII, Issue 20564, 15 May 1930, Page 10

WRITING OFF FEES.

HOSPITAL LIABILITY. HEAVY DRAIN ON BOARD. TOTAL OF £97,996 LAST YEAR. The fees committee of tho Auckland Hospital Board, at its meeting on Tuesday, wroto off £24,000, representing unrecoverable fees, a routine matter that occurs every six months. Tho chairman drew attention to tho financial difficulties that faced tho board through tho non-payment of fees. It is generally recognised that a considerable portion of fees cannot be recovered from patients, but it may not bo generally known how j wide is tho disparity between charges j and collections. Last year £68,190 was written off as irrecoverable, added to which was £29,806, representing reductions in fees allowed, making a total of £97,996. Tho former sum comprised £47,209 in respect of the i Auckland Hospital, £1912 in respect of tho dental hospital, £18,747 in respect of indoor relief and sanatoria and £232 in respect of the Franklin and Warkworth Hospitals. Doubtless part of tho bad debts belonged to tho former year, or years, but it is astonishing to find that tho total of £97,996 is practically the aggregate of the local levy for tho year j 1928-29—£98,429. How Money is Lost. Tho fees payable that year totalled £118,902, made up as follows:—lnpatients hospital, £97,435; out-patients hospital, £17,505; Franklin Hospital, £789; Warkworth Hospital, £149; dental hospital, £3022. Tho board employs a collector and occasionally sues. Inability to pay is often found to bo a complete excuse, but cases do crop up where people with property but not much liquid cash feel they have every right to obtain freo treatment. There is also a fairly heavy loss from patients of no fixed abode, who disappear, and there is unquestionably a defaulting class who are entirely freo from any sense of personal obligation in regard to the maintenance of such a public institution as a hospital. Under the circumstances tho ratepaying class, who also pays its debts to tho hospital, may begin to wonder if a one-sided system of communism is not flourishing. Auckland, of course, is no exception in this matter. Tho proportion of fees paid throughout the Dominion has always been low, the revenue from this source representing only 20 per cent, of the total income of hospital boards and departmental hospitals of New Zealand for the year 1928-29. * Two-Thfrds Not Recovered. A table in tho appendix to tho Health Department's last report gives details for all hospitals. It shows that the fees receivable by tho Auckland Hospital per occupied bed were £190.7, tho sum actually received being £59.1. Other figures were: Wellington, £143.9, £42.1; Christchurch, £214.7, . £B3; Waikato, £154.3, £59.5; Napier, £185.6, £57.8; Dunedin, £185.1, £78.5. Roughly two-thirds of hospital fees arc not recovered, but this, as a matter of fact, does not represent the charge upon the community through local levies and Stato subsidy, for in most institutions tho fees aro 9s a day, whereas the cost is much nearer 15s, including overhead. It would bo unreasonable, of course, to charge overhead to patients, but a few hospitals have recently increased their rate to 12s. Naturally the increase is not felt by those who are unable to pay or who avoid doing so if they can frame a,n excuse. Tho total public charge for hospitals and charitable aid, apart from capital expenditure, now exceeds £1,500,000, tho amount for last year being £1,679,549. Of -this sum local authorities found £675,238.