A WA parliamentary question seeks cost breakdowns for emergency departments and secure mental health beds across several hospitals. The response provides ED presentation costs and explains cost differences in mental health services due to differing accounting methods and operational factors.

AnsweredQoN 4468Legislative Council
Asked
20 March 2007
Portfolio
Health

QuestionView source ↗

Further to question number 4204, I ask -
(1) Can the Minister indicate the average cost per patient per day for the emergency department and the emergency department observation ward at the following hospitals -
(a) Royal Perth Hospital;
(b) Sir Charles Gardiner Hospital;
(c) Swan Health Service;
(d) Armadale Hospital;
(e) Fremantle Hospital;
(f) Joondalup Heath Campus; and
(g) Rockingham Hospital?
(2) What are the specific reasons for the significant difference between the average cost per day of a gazetted ‘secure’ mental health bed at Armadale Health Service ($507) and Swan Health Service ($748) given that they are similar sized and similar types of mental health facility and service?

AnswerView source ↗

Answered
1 May 2007
Responded by
Minister for Child Protection representing the Minister for Health
Response time
42 days
(b) Sir Charles Gardiner Hospital; (c) Swan Health Service; (d) Armadale Hospital; (e) Fremantle Hospital; (f) Joondalup Heath Campus; and (g) Rockingham Hospital?
(c) Swan Health Service; (d) Armadale Hospital; (e) Fremantle Hospital; (f) Joondalup Heath Campus; and (g) Rockingham Hospital?
(d) Armadale Hospital; (e) Fremantle Hospital; (f) Joondalup Heath Campus; and (g) Rockingham Hospital?
(e) Fremantle Hospital; (f) Joondalup Heath Campus; and (g) Rockingham Hospital?
(f) Joondalup Heath Campus; and (g) Rockingham Hospital?
(g) Rockingham Hospital?
The average cost per presentation for a patient in each emergency department including those who are subsequently admitted is: *$ Royal Perth Hospital 394 Sir Charles Gairdner Hospital 398 Swan Health Service 340 Armadale Hospital 269 Fremantle Hospital 484 Joondalup Health Campus 484 Rockingham Hospital 153 Data Source: Department of Health Annual Reports 2005-06. * These costs do not include observation wards or holding bays. These costs are typically included in the total inpatient episode for the purpose of the Annual Reports. (2) The bedday cost figure of $507 for Armadale was estimated based on a direct cost model. The bedday cost of $748 for Swan was estimated based on a full cost recovery model, which includes indirect costs such as medications, hotel services and infrastructure costs. The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
*$ Royal Perth Hospital 394 Sir Charles Gairdner Hospital 398 Swan Health Service 340 Armadale Hospital 269 Fremantle Hospital 484 Joondalup Health Campus 484 Rockingham Hospital 153 Data Source: Department of Health Annual Reports 2005-06. * These costs do not include observation wards or holding bays. These costs are typically included in the total inpatient episode for the purpose of the Annual Reports. (2) The bedday cost figure of $507 for Armadale was estimated based on a direct cost model. The bedday cost of $748 for Swan was estimated based on a full cost recovery model, which includes indirect costs such as medications, hotel services and infrastructure costs. The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
Data Source: Department of Health Annual Reports 2005-06. * These costs do not include observation wards or holding bays. These costs are typically included in the total inpatient episode for the purpose of the Annual Reports. (2) The bedday cost figure of $507 for Armadale was estimated based on a direct cost model. The bedday cost of $748 for Swan was estimated based on a full cost recovery model, which includes indirect costs such as medications, hotel services and infrastructure costs. The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
* These costs do not include observation wards or holding bays. These costs are typically included in the total inpatient episode for the purpose of the Annual Reports. (2) The bedday cost figure of $507 for Armadale was estimated based on a direct cost model. The bedday cost of $748 for Swan was estimated based on a full cost recovery model, which includes indirect costs such as medications, hotel services and infrastructure costs. The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
(2) The bedday cost figure of $507 for Armadale was estimated based on a direct cost model. The bedday cost of $748 for Swan was estimated based on a full cost recovery model, which includes indirect costs such as medications, hotel services and infrastructure costs. The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
The revised bedday cost figure provided by the South Metro Area Health Service for Armadale based on a full cost recovery model is $696. It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
It should be noted that secure bedday costs are on an estimation basis only. This is because the number of secure beds in a facility is not static as beds are assigned in and out of secure areas depending on need. The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
The variation in the average cost per bedday between hospitals may be due to several factors, including but not limited to activity levels, staffing levels and composition, the severity of illness of patients treated and their length of stay. In 2005/06 Swan Mental Health Service recorded higher activity, more beddays and higher level of staff in authorised mental health unit than Armadale. Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
Please note: · The $50 difference between Armadale and Swan is a variance of less than 10%.
· The $50 difference between Armadale and Swan is a variance of less than 10%.
· The $50 difference between Armadale and Swan is a variance of less than 10%.

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