Federal Budget 2014/15 - dental impact

Funding of Dental Services

An initial review of the implications of the Federal Budget for dentistry reveals some mixed outcomes.

The Child Dental Benefit Schedule remains in place, and it seems the Voluntary Dental Graduate Year Program will also continue.

The National Partnership Agreement for adult public dental services is being deferred however, so the potential addition of funds which could more effectively address the needs of those previously served by the Chronic Disease Dental Scheme (discontinued in December 2012) will not happen on 1 July 2014 as anticipated.  Some Federal funds under the National Partnership Agreement to reduce waiting lists continues to be available through State schemes, with the Victorian Budget for 2014/15 noting that about $30m would be available from this source.

"The Government will achieve savings of $390.0 million over four years from 2014‑15 by deferring the commencement of the Mid‑Year Economic and Fiscal Outlook 2012‑13 measure Dental health reform — National Partnership Agreement for adult public dental services from 2014‑15 to 2015‑16.
The savings from this measure will be invested by the Government in the Medical Research Future Fund."
Source 

Dental Infrastructure

Also being cut is the Labor Government's Dental Flexible Grants Programme which had been initiated to provide dental infrastructure (both capital and workforce) in outer metropolitan, rural and regional areas.

"The Government will achieve savings of $229.0 million over four years by ceasing the Dental Flexible Grants Programme.
The savings from this measure will be invested by the Government in the Medical Research Future Fund."
Source

Agency changes

"The Government will achieve savings of $142.0 million over five years by abolishing Health Workforce Australia and consolidating its functions into the Department of Health. Savings will be achieved through administrative efficiencies, ceasing the planned expansion of the Clinical Training Funding Programme which is currently managed by Health Workforce Australia, and redirecting uncommitted funds in the Health Workforce Fund."
Source

In the second half of 2014 the government will consider, in consultation with the states, further rationalisation of government bodies, including the potential merging of six health care bodies to create a Health Productivity and Performance Commission. These bodies include:

• Australian Commission on Safety and Quality in Health Care
• Australian Institute of Health and Welfare 
• National Health Performance Authority 

By July 2015, the Government also intends:

• "merging the Private Health Insurance Ombudsman into the Office of the Commonwealth Ombudsman;
• ceasing the Private Health Insurance Administration Council as a separate body, with the merger of private health insurance price monitoring functions into the Australian Competition and Consumer Commission, and the merger of health fund prudential regulation functions to the Australian Prudential Regulation Authority"

Source

"The Government will achieve savings of $6.4 million over five years from 2013‑14 by abolishing the Australian National Preventive Health Agency and integrating ongoing functions into the Department of Health, including the administration of social marketing activities and the provision of grants to third parties for preventive health activities.
The savings from this measure will be invested by the Government in the Medical Research Future Fund."
Source

eHealth

"The Government will provide $140.6 million in 2014‑15 for the continued operation of the Personally Controlled Electronic Health Record (PCEHR) system while the Government finalises its response to the review of the PCEHR.
This measure supports the Government's commitment for a shared electronic health record for patients."
Source

Further analysis

This selection of highlights may not be complete, and as further information becomes available we will bring it to attention.