“ASTONISHING FIGURES”

New Zealand Times, Volume L, Issue 11684, 23 November 1923, Page 5

“ASTONISHING FIGURES”

£150,000 IN UNPAID HOSPITAL FEES £78,613 WRITTEN OFF IN THREE YEAF3 FEES NOW OUTSTANDING £70,770 As a result of the difficulty experienced by the Wellington Hospital Board in collecting fees from patients, the advisability of handing this work over to an agency has been discussed, and at yesterday’s meeting the finance committee recommended: ‘‘That the Commercial Agency he authorised to collect such outstanding accounts for patients’ fees as are handed to them after approval of the fees committee, but that no legal proceedings are to be taken without the special sanction of the committee.” In the course of the discussion it was stated that very large sums had been written off each year, no less than £ 37,0i0 having been so treated in the year 1921-22. Last year the amount was much less. In three yeaos no less than £78,61 3 had been written oft as unrecoverable, while the fees outstanding at date amounted to £70,770. The figures for the present year appeared to be much more satisfactory, but up to date the amount written off was more than the amount collected. After a discussion (reported below) the recommendation of the finance committee was adopted.

MEMBERS “ASTONISHED”

WHAT IS BEST COURSE PROPOSAL DISCUSSED. It was further recommended that the commercial agency submit specimen of the forms used, and that a monthly statement and settlement be obtained on or before the 20th of each month. The chairman, Mr F. Castle, said that a great many of their uncollected accounts were represented by people Whom the board could not find, and it was believed that an agency could find many of these. “TREMENDOUS AMOUNT OUTSTANDING. Mr W. Appleton, chairman of the committee, which investigated the position, said that he had been astonished at the tremendous amount outstanding, and at the position that the board Was drifting into. The present position was as follows: 1920-21 1921-22 1922-23 1923-21 seven months Poes- £ -£ '£ £ Receivable 85,861 39,805 49,633.23,138 Collected ... 10,096 9,819 10,051 7,010 Written off 29,225 37,010 12,378 7,817. Pees outstanding, October 31st, 1923, -£70,770. It would be seen that, the amount still outstanding was £70,770, an enormous sum, and this in spite of the fact that without tho last three yeais, no less than £78,000 had been written off. Much Of the £70,000, however, which still remained, was owing by old ' ago pensioners, etc., and should'bo written off, as there was never ariy r "fchance of recovering it. ‘ Still, the committee had come to the conclusion that the present method of trying to collect outstanding accounts was not producing the requisite results, and they had, therefore, decoded to plare the sums in the hands of a collector. The board was amply safeguarded, as no one could be sued without the knowledge and consent of the board. “ASTONISHED.”

Mr A. R. Hornblow said that he, ioo, had been astonished to see the amount which was outstanding, brut he thought that there might be a better way of collecting it. A member: Have you any altema tire? , Mr Hornblow said that he had another method which he thought they might try. After all, it was a confession or weakness on the part of tho board to have to hand their affairs over to an outside organisation, and surely they had a sufficiently 'large clerical staff to do the collecting themselves. The agency would do most of tho collecting by post, and the hoard’s staff could do that itself. Mr T. W. Butler supported the proposal for want of a better one. It was

only those accounts which the hoard was admittedly unable to collect itself, that were being handed over to the agency. “DON’T EXPECT TOO MUCH.” Tlie Rev. H. Van Staveren said that he was surprised to hear Mr Hornblow advocating that they go on in the old way, which had, for years past, been found ineffective. Even if they collected only £20,000 out of the £70,000, it would be worth while. They should not, however, expect too much, because there would always be a large number who could not, and would not be asked to, pay. A DANGER? Mr G. Petherick said that the agency, after all, would not have a great deal .of discretion itself. Only those debts which the hoard decided it could not collect itself were handed over to It, and only with the consent of the board could legal action be taken. Mr C. H. Chapman said that he wae afraid the result of the collect method would be that the collectors would adopt methods which the board would not approve of. They had no control over the methods they employed, and the result would be that a certain number of meek and mild people would be intimidated into paying up, while the “artful dodgers” would evade payment now just as well as before. He would move as an amendment that the report be referred back to the committee, with the idea of the board appointing a ' collector of its own. Mr D. Campbell seconded the amendment, emphasising his opinion that the board’s own collector would produce the best results. “HOSPITAL BEING ABUSED.” The Rev. Dr J. K. Elliott supported the recommendation, saying, in the course of his remarks, that there was no doubt that the hospital was being abused, and it was a pity that people did not seem to have a finer sense of honesty in such matters. Mr A. J. McCurdy 6aid that the present system of collecting accounts was on© that would not he tolerated by any business organisation, and, the committee’s recommendations would help to put things on a better footing.

Tho chairman; Mr F. Castle, said that it was probable that a. board collector would be appointed as well as the outside agency, so that the number of debts whioli would be handed over to the latter might be reduced." It was only on account of the huge accumulation which they had to face now that the present Btop was being taken.

The amendment, that the report he referred back, was put and lost, and the reoommendation adopted.