Clinical supplies costs were unfavourable to budget by $17 million ($11 million unfavourable in September 2017). Fifteen DHBs were unfavourable to budget with the following three DHBs having the largest variances: Table 3 DHB Variance Oct Variance Sept Change ($2.7M) ($2.4M) -$0.3M Hawke’s Bay Southern ($2.4M) ($1.6M) -$0.8M Waikato ($2.6M) ($1.4M) -$1.2M DHB reported the unfavourable clinical supplies costs were mainly driven by unmet Hawke’s Bay savings. Southern DHB reported the unfavourable clinical supplies costs were driven by higher than planned volumes and/or higher than planned complexity and in part by unmet savings. Waikato DHB reported the unfavourable clinical supplies costs were driven by higher than planned volumes. Infrastructure costs were unfavourable to budget by $10 million ($5 million unfavourable in September 2017). Six DHBs were unfavourable to budget with the following two DHBs having the largest variances: Table 4 DHB Variance Oct Variance Sept Change MidCentral ($3.2M) ($2.2M) -$1.0M Waitemata ($4.3M) ($3.3M) -$1.0M MidCentral DHB reported the unfavourable infrastructure costs were driven by Enable, housing costs (offset by higher related ACC revenue above), plus repair, maintenance and professional services being higher than budgeted. Waitemata DHB reported the unfavourable infrastructure costs were mainly driven by unmet savings. Eight DHBs achieved a breakeven (under $0.2 million unfavourable to budget) or better result to budget as at 31 October 2017 (please refer to Table 5). Table 5
Clinical supplies costs were unfavourable to budget by $17 million ($11 million unfavourable in September 2017). Fifteen DHBs were unfavourable to budget with the following three DHBs having the largest variances: Table 3 DHB Variance Oct Variance Sept Change Hawke’s Bay ($2.7M) ($2.4M) -$0.3M Southern ($2.4M) ($1.6M) -$0.8M Waikato ($2.6M) ($1.4M) -$1.2M Hawke’s Bay DHB reported the unfavourable clinical supplies costs were mainly driven by unmet savings. Southern DHB reported the unfavourable clinical supplies costs were driven by higher than planned volumes and/or higher than planned complexity and in part by unmet savings. Waikato DHB reported the unfavourable clinical supplies costs were driven by higher than planned volumes. Infrastructure costs were unfavourable to budget by $10 million ($5 million unfavourable in September 2017). Six DHBs were unfavourable to budget with the following two DHBs having the largest variances: Table 4 DHB Variance Oct Variance Sept Change MidCentral ($3.2M) ($2.2M) -$1.0M Waitemata ($4.3M) ($3.3M) -$1.0M MidCentral DHB reported the unfavourable infrastructure costs were driven by Enable, housing costs (offset by higher related ACC revenue above), plus repair, maintenance and professional services being higher than budgeted. Waitemata DHB reported the unfavourable infrastructure costs were mainly driven by unmet savings. Eight DHBs achieved a breakeven (under $0.2 million unfavourable to budget) or better result to budget as at 31 October 2017 (please refer to Table 5). Table 5
health_report_dhb_sector_financial_performance_report__october_2017_final.docx