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OSMH gets 'vital' $1.8M booster shot from the province

New money is part of $68 million in provincial funding for small and medium-sized hospitals; It's 'good news for the hospital and good news for the community'

Officials were all smiles at Orillia Soldiers’ Memorial Hospital (OSMH) Monday following an announcement from Simcoe North MPP Jill Dunlop that the hospital is receiving an additional $1.81 million in provincial funding.

“This is very important news about our effort to put an end to hallway healthcare,” said Dunlop in the front lobby of OSMH, where dozens of hospital staff, volunteers and dignitaries gathered to hear the news.

Last week, the province announced an “additional investment” of $68 million to support small- and medium-sized hospitals in the province.

“Our government has been working diligently alongside hospital partners in order to fix long-standing issues in how our hospitals are funded,” Dunlop said. “Previous funding models left small and medium-sized hospitals like Orillia Soldiers’ Memorial Hospital and Georgian Bay General Hospital in Midland at a disadvantage compared to their larger counterparts.”

OSMH CEO Carmine Stumpo agreed. He gave a “heartfelt thanks” to the provincial government for recognizing the issue.

“This is great news for OSMH and all medium-sized hospitals across the province,” said Stumpo, adding officials from such health-care facilities have been lobbying, together, for change for several years.

“Under the current model, providing care closer to home has been eroded by a hospital funding mechanism that did not factor in the uniqueness of hospitals like Orillia and the role we play in our community and how heavily our communities rely on us,” said Stumpo.

The reality, he said, is: “Funding has just not kept pace with the increasing costs” of rising salaries and escalating energy costs -  “many of which are beyond our control and put enormous pressure on our organization.”

He said the funding boost “is good news for the hospital and good news for the community. It's vital.”

The money is to be used for operational costs and is meant to help hospitals balance their budgets without cutting services.

“It’s a sign that the government is listening and acting on the needs of the community,” said Stumpo. 

He said hospitals and the province have “more work to do” but stressed this is “a positive step forward.”

Dunlop, who is the Associate Minister of Children and Women's Issues, concurred and said the province recognizes more work is required.

“This is only one step of the many toward realizing our goal to building a modern, sustainable and integrated health-care system that Ontario can be proud of,” said Dunlop.

She said fixing the system is a “top priority” and vowed the government will continue to work with hospitals and others in the health-care system to “refine the funding model and ensure they have the resources they need to meet growing needs of communities.”

Monday’s announcement is meant to serve as “that bridge while we figure out what the proper funding formula for hospitals looks like.”

Dunlop also announced Georgian Bay General Hospital was receiving $1.27 million in increased funding.

This new investment is on top of the $384 million more that Ontario's hospitals received this year as part of the province's 2019 budget, noted a media release from the province.

The ‘new’ funding represents an increase in funding of one per cent for 66 small hospitals and 1.5 per cent for 23 medium-sized hospitals, the release noted.


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Dave Dawson

About the Author: Dave Dawson

Dave Dawson is community editor of OrilliaMatters.com
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