'Unprecedented' uncertainty at local health unit amid large funding cut
The health unit could face a $3.5 million cut this year and $7 million cut next year
A clearer picture is emerging from the Middlesex-London Health Unit following the cuts announced in the Ontario budget last week..
In a report to the MLHU's Board of Health, local officials predict a $3.5 million shortfall in the current fiscal year.
A $7 million deficit is expected in 2020 based on existing funding levels, wrote Chief Medical Officer of Health Dr. Chris Mackie.
"The government intends to create efficiencies through streamlining back-office functions, adjusting the provincial-municipal cost sharing model and reducing the number of health units and boards of health in a new regional model," Mackie's report to the board states.
"In addition, public health units will be expected to offer dental services to low-income seniors."
Layoffs not recommended
The provincial government wants to reduce the number of health units from 35 to just 10, and to reduce funding by about $200 million — or 27 per cent — over the next 2 to 3 years.
To maintain front-line services while details of the cuts are being worked out, Mackie suggests:
- Implementing a hiring freeze.
- Notifying the City of London and Middlesex County that they might have to kick in more money to address funding shortfalls.
- Focusing on enhancing electronic client records and automating technology and human resources functions while scaling back other back-office planning projects.
Mackie wrote that he doesn't recommend layoffs, pulling back from relocating to Citi Plaza or formally asking for more money from the city or county.
"(The health unit) is facing unprecedented uncertainty in light of sweeping changes proposed in the recent provincial budget, and lack of clarity over next steps to amalgamate health units in the province and cut provincial funding," Mackie concluded in his report.