APRIL 30, 2007
VOLUME 4 NO. 8

POLICY & POLITICS

Ontario's LHINs: true reform or phony democracy?

Local authorities are government stooges with private for-profit aims say critics


Ontario's government and its critics alike agree that recent healthcare reform — a rejigging of the Ministry of Health and Long-Term Care's organizational structure, which came into effect on April 1 — promises to realign the balance of power in the Ontario medical community.

But that's where the agreement ends. On the questions of how that balance of power will actually change, and who will benefit from the changes, the two sides could hardly be further apart.

MOVING TARGETS
According to the government, the restructuring — a transfer of much of the day-to-day administrative and funding decision-making from the Ministry of Health to 14 Local Health Integration Networks (LHINs, commonly pronounced as one syllable, rhyming with "tins") — is a "devolution," or decentralization, of authority. Health minister George Smitherman is touting the plan as a way to reduce wait times, improve quality of care, and make the healthcare system more efficient and sustainable.

But the Opposition NDP and public healthcare advocates like the Ontario Health Coalition say the advent of the LHIN system is nothing more than a decoy to catch some of the flak long-aimed at the Ministry of Health. They also accuse the LHIN legislation, passed last year, of failing to decentralize authority and of increasing the likelihood of a rise in the private delivery of publicly funded services — charges roundly denied by officials in the LHIN system.

THE INSIDERS
"This is not a decentralization of anything — except as a shield for the government when making unpopular decisions," says Ontario NDP MPP and health critic Shelley Martel. "LHINs are absolutely agents for the government. The folks [LHIN CEOs and board members] are selected by the government," she says. "They are creatures of the government, and they are administering whatever money they get from the government to do what the government was doing before. The way the Minister [Smitherman] tries to sell it as though this makes decision-making better in the communities is absolutely false."

"The creation of the LHINs sets up a system where it is harder to pin anything on the Minister of Health," says Eduardo Sousa, the Ontario-Quebec-Nunavut coordinator for the Council of Canadians and a member of the Ontario Health Coalition. "We are concerned about transparency and community control. The LHIN boards are entirely appointed by the government, so we are concerned about democracy." Mr Sousa draws a parallel between the LHINs and Ontario's school boards in terms of their roles in engaging community participation. "But the difference," he stresses, "is that the school boards have a certain measure of accountability because the boards are elected, but that is not the case with the LHINs."

Paul Huras, CEO of the South East LHIN, says the Ministry is not attempting to off-load accountability. "I see nothing in our discussions in the Ministry or in our 14 organizations that suggests that," he says. "The Ministry ultimately is held accountable."

The decentralization approach — Mr Huras prefers "devolution," which he says emphasizes local decision-making contained within an organized overall system — will change the Ministry from a managerial role, doling out huge sums of money, to a stewardship role supporting regional projects. "It's a two-way street," says Mr Huras, denying suggestions that LHINs merely act as arms of the government.

Ontario isn't blazing a new trail with LIHNs. Other provinces like BC and Alberta have created similar Regional Health Authorities in recent years, says Sandra Hanmer, CEO of the Waterloo Wellington LHIN. "Ontario wanted to take a look at the successes and challenges of the other systems, to try to learn what worked well and what did not work well," she says.

Ms Martel rejects the idea of the LHIN decentralization leading to more community-based decision-making. "We don't see how they can make decisions on a community level because they're so big," she says. Ms Hanmer, whose LHIN includes 685,400 residents, counters, "It is a geographic area that makes sense. Part of the challenge is to make sure everyone has input."

PRIVATE MATTERS
The LHINs are the first step on a "slippery slope to privatization," alleges Mr Sousa.

Ontario's LHINs have the authority to enter into contracts with third-party providers; the legislation does not specify whether the provider should be publicly owned or privately owned.

LHINs have the authority to transfer services out of the public system, says Mr Sousa. Ms Martel fears they will adopt a competitive-bidding marketplace to attract the bidders for certain services — whether or not they are private, for-profit companies. "I put forward a motion [during debate on the LHIN Act in 2006] that said LHINs could not use competitive bidding," says Ms Martel, "and the government shot it down." Introducing private, for-profit delivery of public healthcare will cause the same turmoil and disruption seen in the home care sector after competitive bidding began there in 1996, she says.

Asked if the LHIN system will lead to increased private delivery of services, Mr Huras says, "I don't think so... That is not a discussion at all. There is no intent in growing that sector that I see. There will be unique situations occurring all the time, but as far as a trend we are not discussing this area." Ms Hanmer declined to comment on the question on increased private delivery, saying only that " LHINs are designed on improving the health system and making sure people get the care they need when they need it." She also declined to give a yes-or-no answer when asked if she was considering adopting a competitive-bidding marketplace.

 

 

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