Page A2- The Terrace Standard, Wednesday, March 17, 1993

Hospital says allegations untrue

Union wants money probe

TERRACE — A health care
union’s allegations of misspend-
ing and irregularities ai Mills
Memorial Hospital are untrue,
says a spokesman.

Michael. Leisinger of the Ter-
race. Regional Health Care
Sociely made the comment after
the Hospital Employees’ Union
questioned ‘several ‘payouts ‘from
the hospital’s latest accounts.

The union’ said, among other
things that.a year-to-date surplus
of $400,000 was being ‘‘wasted
ona last-minute spending spree
to reduce the political fall out’
‘The union instead said the
money should have been used to
reduce the impacts of. layoffs
caused last year when the hospital
said it faced a $500,000 deficit.

But Leisinger said expenditures
on painting, drapes and curtains
was justified as the hospital ends
toward a March 31 fiscal year
end.

‘It’s common in the public sec-

tor to hold off on discretionary
spending until the end of the year,
until you know you have the
money,’’ he said,

The hospital did not spend any
monty on painting the year be-
fore and probably won’t next
year, Leisinger added.

“What we are doing is three

--years of work in one fiscal year,’

he said.
Leisinger added that all of the

work now going on is for patient .

comfort.

Yet he did acknowledge that

such work might draw objections
from people who had been Laid
off,
Leisinger also rejected any sug-
gestion of impropriely in pur-
chases made from Northern
Drugs. Senior hospital adminis-
trator Joyce Krause’s husband,
Larry, is a partner in Northern
Drugs. ,

“There’s been no change prior
to her being here and now,”’ said

Leisinger

He said purchases are split
equally between local pharmacies
with the exceplion of a contract
between Terraceview Lodge, also
run by the health care society,
and Northern Healthcare, a sub-
sidiary of Northern Drugs.

Leisinger added that Krause has

~-novinfluence over purchasing de-

cisions and that purchase orders
for Norther Drugs are not signed
by her.

The union also said $33,400
paid to artist Roy Vickers for
prints to raise money for the Dr.
R.E.M. Lee Foundation with no
evidence that it was repaid.

Leisinger said Vickers had to be
paid at a time when signing of-
ficers for the foundation weren't
available.

So the hospital paid the bill and
was reimbursed a few days later,
he said.

’ ‘With that allegation, they’re
taking a pot shot at the founda-

Mills has one more hurdle
to jump on way to CT plan

TERRACE — Mills Memorial
Hospital has one more objective
to accomplish in its efforts to in-
stall a CT scan machine here,

Ill have to come up with at
least $50,000 a year to pay for
operating costs.

It’s money Mills can only ac-

cumulate by savings in other
areas, says Terrace Regional
Health Care Society chief execu-
tive officer Michael Leisinger.
_ That’s because the. provincial
government is financing 75 per
cent.of the operating costs, leav-
ing Mills to come up with the
remaining 25 per cent,

Mills had asked for a complete
operating grant. when it made.the
submission to the provincial

From front

“We'll be making a best on the
best price for the best service,’’
said Leisinger. .

_Delivery time from’ placing the
order - estimated at three
months, me

And the announcement of the
provincial operating: grant should
quickly lead to the nearly
$150,000 nceded for renovations
at the hospital io contain the
device, Leisinger added. ;

Mills will also begin recruiting
a second radiologist, a search that
should be helped with news of the
CT purchase, said Leisinger. .

He says as‘ many as four
radiologists — one to be recruited
in Prince Rupert; two here and
one in Smithers — will have ac-
cess, .

Teleradiology, a’ means of
faxing scans, can greatly widen
the use of the machine, Lelsinger
added.

“It ties the whole region to-
gether. It will allow a radiologist
here to take -hotidays, A
radiologist in another place can
easily read an image done by the
CT device here,” he continued.

And there is already a CT-

qualified technologist working at
the Prince Rupert hospital who
can be called to help with plan-
ning.
Renovations for the CT device
on the hospital’s ground floor
will include redoing one of three
x-ray rooms at the hospital,

In making the announcement
that the province will provide op-
erating money; health: minister
Elizabeth Cull ‘said the entire
northwest will benefit. -

“For many people in the

Tegion, it will alleviate the in-
expense of |
travelling long: distances for im- | "4"

convenience and.

portant diagnostic procedures, ”
she said. =.
The health ministry has a larget
population of 125,000. before. it
normally considers services such
asa CT scan device.

But Cull said geography and.
distance to'service are also fac- a

tors in making decisions. a

Scouts our goals ae as as
limitless as space « Sere Maan

government.

The plan right now is to rin the
CT machine part time at an an-
nual operating cost of $223,000,
making the Mills contribution at
just over $50,000.

“Tt just wasn't on,” said
Leisinger of an original request
for a complete operating grant.
“The ministry feels there are
utilization initiatives and cost
savings to be had.”

“We'll have to get the moncy
where we can find it. That's
where we're at now. It was cither
that or nothing,” said Leisinger.

He added that Mills is confident
it can come up with the moncy
needed to operate the CT device,

_The hospital could have a sur-

plus of as much as $250,000 by
the. time its budget year ends
March 31.

But it doesn’t know how much
itll receive for the year begin-
ning April 1 and whether the sur-
plus will have to be used to buffer
any cuts from. the provincial
government.

As it is, Leisinger estimates itll
tuke another $500,000 next year
to pay for the same services pro-
vided this year.

The least the hospital is expect-
ing’ is.a zero increase for the
budget year starting April 1.

A CT scan machine could be up
and running by’ this fall provided
everything goes according to
plan, said Leisinger.

" king for a review of the hospital’s

as large as indicated by the union,

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Leisinger. ‘‘But when you look at
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rauch different.’’

Leisinger .said the. hospital’s
auditor has becn asked to report
on the union’s allegations when
the year end financial slatements
are prepared.

The allegations were contained
in a letter sent by the union to
health minister Elizabeth Cull as-

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