Table of contents

Related Links

You are in:

Secretary's Review

Secretary Jane Halton

Highlights of 2010-11

Health Reform

National health reform remained at the centre of the department’s new policy agenda this financial year, with the focus now shifted to implementation. Encouraging and enabling comprehensive change across our health system, to create a unified, effective and patient-focused system, required a major effort through the year. The year commenced with a focus on implementation of two major agreements with states and territories, the National Health and Hospitals Network Agreement (NHHN) of April 2010 and the July 2010 National Partnership Agreement on Improving Public Hospital Services (National Partnership Agreement).

Work through the year has included developing new legislative and regulatory frameworks to support reform; developing with states and territories the details of a nationally consistent approach to activity based funding that will drive increased Commonwealth funding for public hospital services, and which must also deliver on the Government’s objectives of increased transparency in funding and efficiency in service delivery; implementing new local governance in primary health care through the establishment of the first Medicare Locals; and transferring to Commonwealth responsibility in all states except Victoria and Western Australia, funding and management of the Home and Community Care Program for people aged 65 and over.

The Health Reform Transition Office coordinated the work on national reform across the department and with central agencies.

Developing and implementing these reforms, in consultation with the state and territory health authorities and many other stakeholders, has been challenging and exciting work for the many areas of the department that have worked together on the reforms. The staff rose to this task while also maintaining their work on the many programs and areas of responsibility that must continue while the reforms are implemented.

While implementation continued apace, further detailed negotiations in the lead up to the meeting of the Council of Australian Governments (COAG) on 13 February 2011 resulted in the Commonwealth securing agreement from all states and territories to the landmark Heads of Agreement on National Health Reform. For the remainder of the year the department continued to implement key elements common to both the 2010 NHHN Agreement and the 2011 Heads of Agreement, while also contributing to the development with Commonwealth central agencies, and state and territory governments and officials, of a detailed National Health Reform Agreement (NHRA). The NHRA was substantively finalised by 30 June 2011 and agreed by all states and territories on 2 August 2011.

The reforms have proceeded across eight streams of work:

hospitals;
GP and primary care;
aged care;
mental health;
national standards and performance;
workforce;
prevention; and
eHealth.

Strong national standards and accountability for service delivery and performance are central to the agreed national reforms. In 2010-11, as part of the reforms to public hospital services, the department led the development and implementation of the National Partnership Agreement on Improving Public Hospital Services. This agreement includes incentives and funding support for states to improve public hospital services, including through the introduction of a four hour target for completion of emergency department treatment, to reduce emergency department waiting times, targets for elective surgery to ensure patients are treated within clinically recommended timeframes, and a significant increase in the provision of subacute care including physical rehabilitation and subacute mental health care.

All states and territories have provided Implementation Plans under this National Partnership Agreement which have been agreed with the Commonwealth to roll-out these initiatives.

Associated with the reforms is the establishment of several key national agencies and much of the work on this was completed this year.

The department managed the transition and expansion of the Australian Commission on Safety and Quality in Health Care from within the department to an independent, permanent statutory authority. This included supporting the passage of the National Health and Hospitals Network Act 2011 through Parliament and ensuring that an acting Board was in place for the independent Commission to begin on 1 July 2011. Throughout this period the department also continued to support the Commission’s work program with strategic advice.

The Commission will lead and coordinate improvements in safety and quality in health care in Australia and will play an important role in developing, implementing and monitoring national clinical safety and quality standards which will cover safety, quality and appropriateness of clinical care.

Key elements of the work to establish the new National Health Performance Authority (NHPA) were also completed. Legislation to establish the NHPA was developed and introduced to Parliament by the Government in March 2011. This authority will monitor the performance of public and private hospitals and the new Medicare Locals against a range of indicators. The department worked in collaboration with state and territory governments to develop and agree initial indicators in a draft Performance and Accountability Framework, covering safety and quality, access to services, patient experience, and financial management, for consideration by COAG in 2011-12, to follow the establishment of the agency by statute.

Funding for Health and Hospitals Infrastructure

In 2010-11, the department was again responsible for overseeing the allocation of funds for hospital infrastructure projects. This role included allocation of further significant amounts from the Health and Hospitals Fund (HHF), as well as funds flowing from the National Partnership Agreement on Improving Public Hospital Services.

The department assisted the independent HHF Advisory Board to consider 237 applications under the HHF Round Three Regional Priority Round. The HHF Advisory Board found that 114 applications met the HHF evaluation criteria. The Australian Government subsequently selected 63 projects to receive funding totalling $1.33 billion over five years from 2011-12. These projects will improve access to essential health services for Australians living in rural, regional and remote areas.

In addition, all states and territories provided detailed plans on rolling out their commitments under the National Partnership Agreement on Improving Public Hospital Services. In return, since June 2010 nearly $1 billion has been provided under the Agreement for more than 340 projects in more than 145 hospitals across Australia. These projects include extending emergency departments, buying equipment to improve surgery, and expanding the workforce to deliver better care.

The Partnership Agreement will also provide more than 1,300 new subacute beds and equivalent services to provide many patients with more appropriate care. Funding provided this financial year allowed states and territories to begin establishing the first of these new 300 subacute beds and equivalent services.

The department also assessed projects for the coming years of the National Partnership Agreement that build on and extend the 2010-11 projects. There are now over 400 approved projects in 180 hospitals across Australia over the life of the National Partnership Agreement.

The department continues to monitor the progress of all projects closely through ongoing engagement with states and territories.

MyHospitals, Australia’s National Level Hospital Information Website

Associated with the reform objective of greater openness and accountability in hospitals, was the launch of the MyHospitals website on 10 December 2010. The website contains consumer friendly information about public and private hospitals, including how each hospital performs in terms of waiting times for elective surgery and emergency department services. In its first seven months to 30 June 2011, the website had received around 265,000 visits.

As at 30 June 2011, information for 769 public hospitals and 211 private hospitals had been included on the website.

Primary Health Care

Stronger primary health care which can better prevent and manage chronic disease is another major element of the national health reform agenda. GP Super Clinics are one of the means to deliver this stronger primary health care, with each clinic providing a range of services tailored to the needs of its local community.

The department continued to manage the GP Super Clinics Program, working closely with the organisations funded to create the clinics and with state, territory and local governments.

As at 30 June 2011, a total of 31 GP Super Clinics were either completed, providing early services or under construction. The department also started work on the Primary Care Infrastructure Grants Program, to expand and improve facilities in around 425 general practices, primary care and community health services and Aboriginal Medical Services. Both the 2010-11 and 2011-12 rounds for Primary Care Infrastructure Grants closed during this financial year with the outcomes of the 2010-11 round announced on 25 November 2010.

A second major initiative to improve primary health care and promote better integration in the health system is the creation of the national network of regionally based primary health care organisations, known as Medicare Locals. This initiative was well advanced by the department this year, with public consultations on the governance and functions of Medicare Locals, and on the boundaries for Medicare Local catchments. After a competitive process, the organisations to run the first 19 Medicare Locals were also selected – largely based on high performing Divisions of General Practice – and started operations in July 2011.

Medicare Locals will improve the planning and coordination of services at the local level, support the delivery of a range of primary health care initiatives, and improve collaboration between practitioners and service providers across the health system. The full network is scheduled to operate by July 2012.

As Medicare Locals are established they will improve access to quality after hours primary care services. They will integrate locally based solutions with the recently established after hours GP helpline to ensure that patients are provided with suitable primary care after hours services when they need them.

Mental Health

During 2010-11, the department engaged extensively with external stakeholders, including experts, service providers, consumers and their carers to develop and plan implementation of the 2011-12 Delivering National Mental Health Reform Budget package. The Government is committing $2.2 billion over five years for mental health reform, including $1.5 billion in new measures through the 2011-12 Budget package. The reforms will provide more and better coordinated services for people with severe mental illness, and more prevention and early intervention for children and young people. They will strengthen primary care to ensure services are targeted at those most in need, such as people living in low income areas, rural and remote areas and Indigenous communities.

The package will also encourage states and territories to invest more in mental health priority areas, including accommodation support and presentation, admission and discharge planning in emergency departments, through a National Partnership between the Commonwealth and state and territory governments.

A National Mental Health Commission will be established within the Department of the Prime Minister and Cabinet to increase accountability and transparency.

The department led a new method of intensive cross-portfolio collaboration through the APS200 project on mental health. Its work, supplemented with extensive community and sector consultation, informed the development of the 2011-12 Budget package for mental health reform. Deputy Secretaries from eleven Commonwealth departments worked together to consider how to improve mental health service delivery and fill service gaps, and develop a conceptual framework for reform. The group was the first APS200 project to report to the Secretaries Board and to Government.

Calls to Lifeline from landlines have been provided at no cost to the caller for many years. However, with the increasing use of mobile phone technology, and the associated costs, this has meant the actual cost of a call for help can be a deterrent for someone seeking help.

The department in collaboration with the Department of Broadband Communications and the Digital Economy, and the Communications Alliance negotiated a solution where all three mobile carriers, Telstra, Optus and Vodafone, would provide zero-rated mobile calls to the 13 11 14 Lifeline crisis line. This means there is no charge to callers of Lifeline who choose to use their mobile phones. This has removed a barrier to help-seeking by people in psychosocial crisis and who may be at risk of suicide.

The department welcomes the socially responsible position of these telecommunications providers and the Communications Alliance in supporting this important national initiative.

Reducing Smoking Rates

Each year, smoking kills 15,000 Australians and costs Australia $31.5 billion. The Council of Australian Governments agreed in the 2008 National Healthcare Agreement to a target of reducing the national adult smoking rate to 10% and halving the Aboriginal and Torres Strait Islander smoking rate by 2018. To achieve this, the Australian Government is implementing a comprehensive suite of reforms to reduce smoking and its harmful effects.

As part of these reforms and as a world first, the Government has committed to introduce legislation mandating that all tobacco products sold in Australia be sold in plain packaging by 1 July 2012. The Tobacco Plain Packaging Bill 2011 was introduced into Parliament on 6 July 2011 and is expected to be in place by 1 January 2012.

The Tobacco Plain Packaging Bill 2011 aims to prevent tobacco advertising and/or promotion on tobacco product packaging in order to:

reduce the attractiveness and appeal of tobacco products to consumers, particularly young people;
increase the awareness and effectiveness of mandated health warnings;
reduce the ability of the tobacco product packaging to mislead consumers about the harms of smoking; and
through the achievement of these aims in the long term, as part of a comprehensive suite of tobacco control measures, contribute to efforts to reduce smoking rates.

The department initiated world-leading work on the implementation of the plain packaging initiative. Under expert guidance, the department commissioned consumer research to determine the optimal design of plain cigarette packaging, which will appear in a drab, dark brown colour, a matt finish, with larger, updated graphic health warnings. The department conducted targeted consultations with the tobacco industry and retailers on implementation issues and an open public consultation on the draft legislation and cigarette packaging design.

On 30 April 2010, the Australian Government increased the excise on tobacco products by 25%, because higher cigarette prices are one of the most effective ways to cut smoking. The increase is expected to lead to 87,000 fewer smokers and $5 billion in extra revenue over four years.

The department worked with the Australian National Preventive Health Agency to implement a new National Tobacco Campaign and implemented complementary campaigns targeted at Indigenous and hard to reach audiences in 2010-11. Creative executions featuring a combination of health effects and benefits messages have been developed for the campaigns which have included television, radio, print, outdoor and online advertising.

Other Initiatives in Preventive Health

Directing a much greater effort to preventive health and health promotion is imperative for our future health and to reduce the pressure on hospitals and acute care.

Working closely with the states and territories, the department continued to implement initiatives under the COAG National Partnership Agreement on Preventive Health (agreed in 2008-09), to promote healthy lifestyles and reduce the incidence of chronic disease.

In January 2011 the department’s prime responsibility for preventive health initiatives transferred to the new Australian National Preventive Health Agency, including the major social marketing campaigns on tobacco use, obesity and binge drinking. The agency is now leading the nation’s prevention agenda, gathering evidence and research on prevention efforts, advising health ministers, and developing national guidelines and standards for preventive health activities.

The department worked with the Agency to implement Phase Two of the Measure Up (called Swap It) social marketing campaign which launched on 13 March 2011 with mass media including television, print, radio, outdoor and online. Building on Phase One of the campaign which concentrated on generating greater recognition of the significant risks associated with specific lifestyle factors, and motivating Australians to take action, Phase Two focuses on how individuals can make positive lifestyle changes.

Accurate data and evidence on lifestyles is essential to better target preventive health efforts. The Australian Health Survey (AHS) will be a major step forward in this regard.

The Australian Bureau of Statistics will conduct the survey in accordance with an agreement reached with the department in May 2010. For the first time, comprehensive information will be collected on Australians’ food and nutrient intakes, physical activity levels, chronic disease risk factors, prevalence of disease and use of medical services.

Following pre-testing and a full pilot test, the survey began in March 2011 for the general population. Planning continued for the Aboriginal and Torres Strait Islander segment of the survey, including an urban pilot test in urban areas and a pre-test in remote populations in March and April 2011.

Altogether, around 50,000 people will take part in the AHS. They will have the option to provide blood and urine samples for indicators of nutrition and chronic disease risk factors.

International Engagement on Chronic Disease

The prevention and control of chronic disease has been an issue of major focus globally throughout 2010-11, which culminated in a high level meeting of the United Nations General Assembly in September 2011.

A number of important preparatory events were held in 2010-11 in the lead-up to the high level meeting, including the convening of regional consultations in all WHO regions. Australia was pleased to play a lead role in the WHO Regional High Level Meeting on Scaling up Multisectoral Actions for Non-communicable disease Prevention and Control, which was held in Seoul, Republic of Korea, in March 2011.

The First Global Ministerial Conference on Healthy Lifestyles and Non-Communicable Disease Control was held in April 2011 in Moscow, Russia. The conference was attended by the Parliamentary Secretary for Health, the Hon Catherine King MP, who was a panelist in the tobacco control roundtable. Parliamentary Secretary King used the opportunity to explain Australia’s world leading tobacco control initiatives, including plain packaging.

National Incident Room and Health Emergencies

There were six health emergencies that required a national response this year - three in Australia and three in other countries. The National Incident Room (NIR) again proved to be highly effective in coordinating actions and information flow with other Australian Government agencies, states and territories and the public. The department maintained close working relationships with our international neighbours and the WHO to ensure a prompt and effective response to these crises.

Through the NIR and Australian Health Protection Committee, the department coordinated deployment of medical assistance teams to Pakistan following the severe flooding, New Zealand following the Christchurch earthquake, and standby teams following Japan’s devastating tsunami.

The NIR worked with the Australian Radiation Protection and Nuclear Safety Authority to coordinate support and advice on radiation exposure from the damaged Fukushima Dai-Ichi nuclear power station in Japan. It also assisted state governments after major flooding across Queensland and Victoria and the impact of Tropical Cyclone Yasi, and coordinated medical evacuations after a refugee boat sank at Christmas Island.

As we have seen in previous years, each emergency provided experience and lessons which will be used to further refine our responses, especially in relation to the training and formation of Australian Medical Assistance Teams, development of emergency plans, and the National Medical Stockpile.

Regional and Rural Health

The Medical Specialist Outreach Assistance Program (MSOAP) was expanded this year to increase maternity services and eye care services. Progress on the implementation of the MSOAP Maternity Services Program has been slow, with funding agreements offered towards the end of the financial year. The department worked with the Australian Society of Ophthalmologists to provide a national approach to examine priority locations to deliver additional eye health services including cataract surgery and diabetic retinopathy. The first MSOAP eye care service was delivered in Karratha, Western Australia in June 2011.

In all, MSOAP provided rural and remote patients with access to doctors working in more than 100 medical specialty disciplines and sub specialties. The most sought after disciplines were general paediatrics, general obstetrics and gynaecology, and psychiatry. From next financial year, the bulk of the MSOAP will form part of the new Rural Health Outreach Fund.

A new agency, Regional Health Australia, was created within the department to provide a single entry point to information on regional health and aged care programs, policies and service delivery. Regional Health Australia will also be an advocate for rural health and aged care matters across all areas of the Commonwealth Government, and from July 2011 provided an information line on regional health services and programs.

Health Workforce

The department has worked to ensure Australia is well positioned to deliver a high quality, safe and well distributed health workforce. This has been achieved through our work on the establishment of Health Workforce Australia, facilitation of a national registration and accreditation scheme and through the delivery of targeted programs to deliver increases to health and medical education and training opportunities.

The department continues to work closely with General Practice Education and Training Limited and the Remote Vocational Training Scheme Limited to train our future general practice workforce. 2011 saw 900 new registrars in the Australian General Practice Training Program, growing to 1,000 in 2012. Importantly, 50% of this training now occurs in rural Australia.

Major growth has been seen in the expansion of the Specialist Training Program during 2010-11 and training posts have been increased to 518. Significant agreements have been negotiated with 10 specialist medical colleges to administer and coordinate training activities in the program, and to introduce the private supervision and infrastructure incentives to support the rollout of the program across the country.

This forms a key component in the workforce framework for the Health Reform Agenda, and is being delivered through strong partnerships between the department, colleges, states and territories and private service providers.

The department continued to provide support to allied health professionals and nurses through the Nursing and Allied Health Support and Scholarship Scheme (NAHSSS). The nursing component has included new scholarships and clinical placements for nurses in emergency departments. A large number of applicants for these scholarships were received in the first round of this program. The department also provided support to 327 Aboriginal and Torres Strait Islander students in the 2011 academic year studying in a range of health disciplines, through the Puggy Hunter Memorial Scholarship Scheme.

The department worked with a range of stakeholders to develop and deliver orientation packages to the new Aboriginal and Torres Strait Islander Outreach Worker workforce. The department funded the development of an accredited ear and hearing training package for Aboriginal and Torres Strait Islander Health Workers, and funded ear and hearing equipment training for 160 Aboriginal and Torres Strait Islander Health Workers.

Pharmacy and Pharmaceuticals

The Fifth Community Pharmacy Agreement commenced on 1 July 2010, with six new programs and nine existing programs to support community pharmacies to deliver quality professional services and Pharmaceutical Benefits Scheme (PBS) medicines. New agreements were signed with five full-line pharmaceutical wholesalers to ensure consumers continue to have timely access to the PBS medicines regardless of location.

The first stage of the further PBS reforms announced in the 2010-11 Budget was implemented this financial year. The Expanded and Accelerated Price Disclosure Program came into effect on 1 December 2010, managed by an external contractor. The program will help to ensure that consumers and taxpayers are not charged inflated prices for PBS medicines.

New arrangements for approving applications for new drugs from the Therapeutic Goods Administration and the Pharmaceutical Benefits Advisory Committee processes also came into effect in January, and on 1 February 2011 price reductions of 2% or 5% were imposed on all non-exempt medicines on the F2 formulary (as at 11 October 2010).

Indigenous Health

The Indigenous Chronic Disease Package is the Australian Government’s contribution to the $1.6 billion National Partnership Agreement on Closing the Gap in Indigenous Health Outcomes.

Implementation of the package began last financial year. A major achievement in 2010-11 was raising the number of new Indigenous health workforce positions funded under the package to 363, compared to 294 the previous year. This new workforce is working with general practitioners, Aboriginal Medical Services, and Aboriginal and Torres Strait Islander communities to help improve understanding of chronic disease and its risk factors, and ensure that Indigenous Australians receive quality and coordinated primary health care.

The Closing the Gap PBS Co-payment Measure came into effect on 1 July 2010. This measure provided eligible Aboriginal and Torres Strait Islanders who have or are at risk of chronic disease with access to more affordable PBS medicines. This encourages these patients to take their prescribed medicines and in the longer term will help to prevent and better manage chronic disease among Aboriginal and Torres Strait Islander peoples.

Uptake of the PBS Co-payment Measure has been extremely high, with more than 79,000 people benefitting from cheaper or free medicines in its first year.

Ageing

The Australian Government is assuming full funding and policy responsibility for all aged care including Home and Community Care in most states and territories from 1 July 2012. The department prepared to take funding and policy responsibility for basic community care services for non-Indigenous people 65 years and older and Aboriginal and Torres Strait Islander people 50 years and over by preparing the National Partnership Agreement on Transitioning Responsibility for Aged Care and Disability Services. The department also held consultation sessions in capital cities and 22 regional centres across the six participating jurisdictions for service providers, state and national peaks, other key stakeholders, and carers and consumers; and engaged multilaterally and bilaterally with state and territory government departments on a range of issues arising as a result of the changes to roles in aged care and disability services including the Home and Community Care Program.

A major inquiry into aged care by the Productivity Commission was set up in April 2010 and the subsequent report was released by the Government in August 2011. While this inquiry was underway, in 2010-11 the department continued to support high quality aged care. Regulation of accommodation bonds was revised to give service providers clear rules on how bonds may be used and the penalties for misusing them. The department also established new aged care workforce development programs and restructured existing programs to deliver more flexible and targeted training initiatives, especially for nurses and nurse practitioners.

In 2010-11, the department finalised the Aged Care Funding Instrument (ACFI) Review, which found that overall the ACFI is working well. The department continues to work with the sector to ensure ACFI expenditure remains sustainable while matching funding to care needs, and to implement the Government’s 2011-12 Budget measure which provides additional viability funding for specialist services, such as those providing access for Indigenous and homeless older Australians.

Strengthening Cancer Coordination

Following a decision by the Government, the specialist National Breast and Ovarian Cancer Centre was amalgamated with the Government’s lead cancer agency, Cancer Australia. The amalgamation was completed on 30 June 2011from 1 July 2011. All cancer stakeholders now have one Australian Government agency to work with regardless of cancer type, and the Government has one source of expert advice on cancer. This will allow a more strategic and coordinated approach to cancer control.

Food Regulation

The food industry in Australia operates in a complex, layered regulatory environment, with many agencies involved and varied arrangements in each state and territory. As part of the COAG National Seamless Economy reforms, the department took a lead role in negotiating and drafting the Intergovernmental Agreement for Food Reforms 2011 agreed by COAG in February 2011. The agreement establishes a new service designed to help the food industry interpret the Australian New Zealand Food Standards Code and works towards achieving nationally consistent food regulation in Australia. The department worked closely with Food Standards Australia New Zealand (FSANZ) and other jurisdictions on the operational details to implement the new service.

Private Health Insurance

New legislation - the Fairer Private Health Insurance Incentive Bills - was developed in consultation with Treasury, the Australian Taxation Office and the Office of Parliamentary Counsel. These Bills will introduce means testing for the private health insurance rebate and increase the Medicare Levy Surcharge for people on higher incomes who do not hold appropriate private hospital cover.

Other stakeholders, including Medicare Australia, insurers, private hospitals and consumers were consulted on the likely implications of means testing of the rebate. The Bills were introduced to Parliament in July 2011.

Managing the Department

Strategic Review

In 2010, at the request of the Government, a review of the administrative arrangements in the department (Strategic Review) was undertaken. The purpose of the review was to examine the alignment of resources within the portfolio to ensure that the department is best placed to deliver on key health priorities and programs, including the National Health Reform Agenda, and to also respond to emerging health and ageing challenges over the medium and longer term.

As a result of the Strategic Review, the department has begun work on a significant change program aimed at increasing the efficiency of the portfolio.

From 1 July 2011, 159 programs were consolidated into 18 large flexible Funds (refer to p28 for more information). This will facilitate better health outcomes for the community, through a reduction of red tape, for both the department and grant recipients, and increased flexibility for the Government to respond to current and emerging health and ageing priorities. A further six programs were transferred from the department to the portfolio agencies of the National Health and Medical Research Council and Cancer Australia.

The Strategic Review also focussed on ways to streamline internal corporate processes and structures and build staff capability, allowing for the redirection of resources to critical areas, such as the management of the Health and Hospitals Fund, and establishing a regional health agency.

Staff Survey 2010

The 2010 Staff Survey, which saw 78% of staff participate, was the eighth consecutive annual survey conducted in the department. A new methodology was employed for this survey, with staff and key consultative groups across the department asked to provide input on the composition of the questionnaire.

The survey provided a largely positive view of the department’s work environment with just over two-thirds of staff satisfied with the department as an employer. Many of the department’s results were above the APS average which is encouraging. The survey identified key areas of scope for improvement that will be addressed as part of departmental and local level action planning.

The annual staff survey is part of the department’s People Strategy, which outlines the department’s five year approach to attracting, retaining, building capability and motivating our people to deliver outstanding performance, and reporting and evaluating our success to continually improve.

Workplace Generosity

The generosity and corporate philanthropy of staff continues to be impressive. The capacity to make individual monetary contributions to charities nominated by staff through the department’s Workplace Giving Program was extended through special donation events for areas of the Australian and New Zealand community affected by natural disasters.

In November 2010, 41 cyclists drawn from the department, portfolio agencies and major sponsor Medibank Private again participated in the Hartley Lifecare Ability Cycle Challenge. The team raised the amazing total of over $123,000 to support the work of Hartley Lifecare within the Canberra community. Again, for the fourth year running, our team was the leading fundraiser.

Workforce Diversity

The department is an active member of Pride in Diversity – Australia’s first and only not-for-profit workplace program designed specifically to assist Australian employers with the inclusion of lesbian, gay, bisexual, and transgender (LGBT) employees. The Workplace Diversity Plan is being reviewed to highlight this membership along with identifying other workplace strategies and targets.

Continuing the exciting and important work being undertaken to support staff with disability, the Staff with Disability Network was established and has actively operated through 2010-11.

Membership to the network is open to all interested staff members, whether or not they identify as having a disability and has the objectives to:

provide advice to the department on procedures and policies that directly or reasonably indirectly impact on the workplace and workforce for staff with disability;
support education and awareness raising activities, such as information sessions and written materials, to the broader department community;
provide support to and advocacy for the department’s staff with disability, including mentoring staff with disability and advising on reasonable adjustments; and
engage with the departmental Executive and senior leaders.

As a large government department, we want to continue to be an employer of choice for Aboriginal and Torres Strait Islander staff. Our Reconciliation Action Plan commits the department to actively nurturing an inclusive culture that values the contribution, skills and knowledge of all staff and promotes values embraced by, and significant to, Aboriginal and Torres Strait Islander employees. The plan was launched by me during NAIDOC Week in 2010, and has been endorsed by Reconciliation Australia as a best practice model for other Commonwealth agencies.

NAIDOC awards were presented to nominated staff, to recognise the contribution and commitment of individual staff members to our work in improving services and outcomes for Aboriginal and Torres Strait Islander peoples.

Optimising Staff Performance

To ensure we are able to support our people to achieve their potential I asked all our management team to focus on optimising performance. As a result, a range of tools and assistance was developed and made available to staff and managers across the department. Managers were able to access sessions to increase their awareness of the Performance Development Scheme and its practical implementation at the individual level.

Further, in response to results of the 2010 Staff Survey and to support DoHA National Alignment, the department increased efforts to help staff manage change. A ‘Change Readiness Program’ was developed and implemented from May 2011. The program aimed to ensure staff and managers were able to support their colleagues through periods of significant change and to provide specific business-related skills to help complete business-as-usual tasks and plan for new arrangements as they arise.

The Executive Team

Ms Mary Murnane

In March 2011 Ms Mary Murnane PSM, the longest serving member of the executive team, retired from the department. She was promoted to Deputy Secretary in 1993. Throughout her extensive career, Ms Murnane has provided exemplary service to countless ministers, and secretaries, managed a number of flagship programs and provided policy leadership across the health portfolio.

Before her retirement, Ms Murnane was responsible for ageing and aged care, health protection including disease surveillance, immunisation, emergency planning and management, and food safety. She had oversight of the Ageing and Aged Care Division, the Office of Aged Care Quality and Compliance, the Regulatory Policy and Governance Division and the Office of Health Protection.

Ms Murnane also had responsibility for the policy aspect of medical and biological research, blood policy and chaired the Australian Health Protection Committee. She was a member of the National Blood Authority Board, was the Australian Government representative on the Quality and Safety Inter-jurisdictional Committee and, also the Department of Health and Ageing representative on the Australian Biosecurity Intelligence Network.

Ms Murnane was a primary and high school teacher, university tutor and public servant in Tasmania before she joined the Commonwealth Department of Social Security in 1984 as head of the Office of Child Care. In 1987 the Department of Community Services and Health was created.

Over a number of years Ms Murnane’s responsibilities changed and grew and in 1990 she took up responsibility for a new division that brought residential and community aged care together. In 1993 she was appointed Deputy Secretary of a further expanded department and her responsibilities included housing, regional development, local government, disability services as well as aged care.

I would like to recognise Ms Murnane for all her support and advice to me over the many years we have worked together. She will be greatly missed by staff across the department.

Chief Medical Officer

I would also like to acknowledge Professor Jim Bishop AO who stepped down as Chief Medical Officer in May 2011, to return to Melbourne to be closer to his family.

Originally educated at the University of Melbourne, Professor Bishop is one of Australia’s leading oncologists serving as a professor of cancer medicine at the University of Sydney, a fellow of the Royal Australasian College of Physicians and a fellow of the Royal College of Pathologists of Australasia in haematology. Prior to his commencement with the Department of Health and Ageing, Professor Bishop was the Chief Cancer Officer for the NSW Department of Health and Chief Executive of the Cancer Institute NSW.

In his role as Chief Medical Officer, Professor Bishop continued his extensive experience as a cancer specialist making invaluable contributions to Australia’s national cancer initiatives. He also took an active role in developing programs across a full range of medical and public health areas, not the least of which was his high profile contribution to the management of the H1N1 Pandemic in Australia in 2009.

Professor Bishop forged valuable relationships with the wider medical fraternity and worked closely with state and territory Chief Health Officers to facilitate successful national health responses to communicable diseases, immunisation and health emergency management.

Professor Chris Baggoley was appointed Chief Medical Officer in August 2011, having acted in this role since Professor Bishop’s departure.

Professor Baggoley is a highly experienced clinician who has devoted much of his career to Emergency Medicine. He brings to the position outstanding specialist knowledge as a practitioner and a teacher, an extensive health administration network, and strong managerial capabilities. Before undertaking this role, Professor Baggoley was the Chief Executive of the Australian Commission of Safety and Quality in Health Care.

Other Executive Changes

Following Machinery of Government changes in September 2010, responsibility for sport was transferred to the Department of the Prime Minister and Cabinet (PM&C). Mr Richard Eccles, Deputy Secretary, also transferred to PM&C to take up the position of Deputy Secretary, Arts and Sports Group.

In February 2011, Mr Paul Madden joined the department in the new role of Deputy Secretary and Chief Information and Knowledge Officer. In this role Mr Madden will develop our vision, strategies and implementation plans for information, knowledge, performance and records management.

Mr Andrew Stuart was promoted to Deputy Secretary in June 2011. In August 2011, Ms Kerry Flanagan was promoted to Deputy Secretary and Mr David Butt joined the Department also as Deputy Secretary. I would like to acknowledge Ms Megan Morris for her time as acting Deputy Secretary during 2010-11.

Outlook for 2011-12

With the signing of the new National Health Reform Agreement in August 2011, the department will work with our colleagues in the state and territory governments to implement the agreed reform measures. In combination, these reforms will improve timely access for people to high quality care in and out of hospital.

We will have a major focus on implementing the new health care architecture and public hospital funding arrangements, including through the Independent Hospital Pricing Authority and the National Funding Pool, Administrator and National Funding Body. Medicare Locals will continue to be established through 2012. These new organisations will work with the full spectrum of primary health care providers within their region to improve the delivery of primary health care, better meet the needs of their local communities and to collaborate with the new Local Hospital Networks. The NHPA will be established and new public reports on the performance of individual public and private hospitals and Medicare Locals will commence.

The transition to more direct Commonwealth responsibility for Home and Community Care for older people in most states and territories will continue through 2011-12.
Further, to improve regional infrastructure, the department will manage a second Regional Priority Round under the Health and Hospitals Fund, while implementing the 63 projects approved under the first Health and Hospitals Fund Regional Priority Round.

In 2011-12, the department will continue to establish the 64 GP Super Clinics announced across 2007, 2009 and 2010. With a number of GP Super Clinics now in operation for over twelve months, the department will also be undertaking the first GP Super Clinics Program evaluation.

Implementation of the new Delivering National Mental Health Reform package, announced in the 2011-12 Budget, will involve further engagement with experts, service providers, consumers and carers and with state and territory governments. Future improvements to the mental health system will be assisted by the development of the Ten Year Roadmap for Mental Health Reform. The Roadmap will set out an agenda for long-term reform of the mental health system.

Following the introduction of the Tobacco Plain Packaging Bill 2011 into the Parliament, and finalisation of the plain packaging design for cigars, loose-leaf tobacco and other non-cigarette tobacco products, communication with the tobacco industry and retailers will commence to ensure full compliance with the legislation by 1 July 2012.

The department will develop options for the reform of Australia’s aged care system, in consultation with the sector, following the Productivity Commission’s Caring for Older Australians Inquiry. The department will also support the Minister for Mental Health and Ageing to undertake a series of conversations across Australia to listen to the views of older Australians, their families and carers about the Productivity Commission’s recommendations as well as ideas for positive and healthy ageing.

The department will continue to work closely with the National eHealth Transition Authority and Medicare Australia to provide national leadership in electronic health to improve health systems, standards and infrastructure across Australia. This includes promoting the use of health identifiers and authentication services and supporting the development of the personally controlled electronic health record system (PCEHR).

There will be a continued need to focus on the delivery of a workforce to support access to health services across Australia, building on the 4.4% increase in practitioners working in regional Australia in 2011. The release of the National Training Plan by Health Workforce Australia, expected in December 2011, will help governments respond to this and other workforce challenges.

Over the next four years, as a result of the outcomes of the Strategic Review, the department will reduce costs by some $53.5 million which will be reinvested in new health policy areas.

The Strategic Review gave rise to 18 new flexible Funds, which commenced on 1 July 2011. In the first half of 2011-12, the department will consult with stakeholders on the development of guidelines for the Funds. Over time, many grant recipients, currently maintaining and reporting against multiple funding agreements, will move to a single agreement with the department. This will reduce the administrative burden for grant recipients, leaving them more time to focus on their core business.

We look forward to a busy and productive year.

[Signed in Hard Copy and PDF versions.]

Jane Halton PSM
Secretary
Department of Health and Ageing

prev page | TOC | next page