COAG urged to reach agreement on Australian health reform (3)

18:43, April 19, 2010      

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Rudd is proposing the commonwealth would claw back about 30 percent of states' GST revenue and, in return, the federal government would take control of 60 percent of hospital funding.

The GST is a no-go zone for Victoria, Western Australia and New South Wales.

Power suggested some practical solutions to address Australia's health care crisis.

"AHHA supports a 'single funder' model, however we believe that an acceptable compromise for the next 5 years would be an equal (50-50) funding contribution towards the cost of running public hospitals, with the states retaining the full GST.

"Once 50-50 funding is achieved in 2015, the Commonwealth contribution should be progressively increased until it is contributing 60 percent and eventually 100 percent over the following ten years," she said.

Other key solutions to the current problems within Australia's health system include preservation of the universality and comprehensiveness of the national Medicare system supplemented by arrangements, Power added.

Source: Xinhua
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