EU Funds Setting Course for Future Healthcare Reform

Dario Nakic, Minister of Health (HDZ)LPJ Issue 174, 29 March 2016

On 21 March, the Sabor adopted amendments to the Public Institutions Financial Restoration Act, as the first step of implementing the reforms announced by the Ministry of Health.

The legislation was introduced by the previous centre-left government, as a way to cope with the rising debt of public hospitals and the healthcare system, as a whole. Health Minister Dario Nakic (HDZ) has stated that, as a result of approximately €200 million in debt generated by hospitals undergoing financial restoration, his administration would need to undertake reforms. He also said the financial restoration system was characterised by a lack of transparency and accountability in the process of appointing Hospital Restoration Council Presidents and Members, pledging to give that ministerial authority back to the respective health institution founders (i.e. local governments).

The aforementioned amendments introduce two new sub-articles, essentially changing the financial restoration process termination for hospitals founded by counties. Namely, acting upon the Health Ministry’s proposal, the government is still in charge of making the termination decision; however, the amendments give management rights back to the medical institution’s founder (i.e. the County) following the termination decision…

See more