Health Service Governance

Frequently asked questions

Requirements of Boards of Directors/Management

What are the functions of the board of a public health service?

The functions of a public health service board are listed under The Health Services Act 1988 - SECTION 65S.

What are the functions of the board of a public hospital?

The functions of a public hospital board are listed under The Health Services Act 1988 – SECTION 33.

What are the functions of the board of management of a multi purpose service?

The function of the board of management of a multi purpose service are listed under The Health Services Act 1988 – SECTION 115E.

What are the likely time requirements of a board director/board of management?

Applicants should be aware that, if appointed to a public health service board, they are expected to attend, as a minimum, 75 percent of meetings of the board held during the year. As well as time for direct attendance, (typically, a four hour meeting held 11 times a year), adequate time should be allowed for reading and preparatory work to ensure that directors are fully informed and able to add value to the board’s decision making processes.

In addition to the regular monthly board meetings, all board directors should expect that they will play an active role in at least one sub-committee (generally, a two hour meeting).  Directors will be expected to attend board education training, contribute to and attend annual strategic planning days and other ad hoc meetings and events.  Applicants should be aware that meetings are often held during business hours.

The time commitment of a rural public hospital/multi purpose service board director/of management depends on the size and complexity of the organisation.  Applicants should expect to attend a monthly two hour board meeting and a monthly sub-committee meeting.  Applicants should be aware that meetings are often held during business hours.  Board members are also expected to represent the hospital/health service at community and official functions and events.  Applicants seeking further information should consider speaking directly to the CEOs executive assistant.

Can I hold multiple positions on Victorian Government Boards/Committees?

It is recommended that an individual hold no more than two to three positions on Government bodies at any one time.  Ministers considering recommending the appointment of individuals already on a number of Government boards to a new board should seek assurances that the individual will be able to devote adequate time to his/her duties in accordance with minimum attendance requirements (an expectation of attendance at 75 per cent of meetings). 

Current Board Directors and Boards of Management

Where can I find lists of current health service board directors and boards of management?

The names of current board directors and boards of management are listed on the Victorian Government Public Board Appointment data base available at http://www.publicboards.vic.gov.au/.  A full list of Victoria’s public hospitals and health services will enable applicants to enter the correct name of the hospital/health service board.

What skills are specifically sought after?

For effective board performance (public hospital, health service and multi purpose service), individual members and the board as a group need to have a broad range of skills, expertise and personal attributes. Accountability, strategic thinking, networking and teamwork are core competencies.  It may also be desirable to appoint board members with specific expertise in areas such as clinical governance, finance, investment, law, human resources, marketing or public sector administration. Identified skill gaps on individual boards help determine the short-listing of applicants for interviews and matching successful short-listed applicants to boards.  Previous experience as a board director is highly desirable.

Applicants should note that SECT 65T (3) (a) of The Act specifies that the board of a public health service shall include at least one person who is able to reflect the perspectives of users of health services; and the Minister must give preference to a person who is not a registered provider within the meaning of the Health Services (Conciliation and Review) Act 1987; and who is not currently or has not recently been employed or engaged in the provision of health services.

Application Process

Are the application documents the same for all applicants regardless of what board I’m seeking appointment to?

Yes, appointments and reappointments are contingent upon the applicants completing the CV Summary Form and covering letter (Statement of Purpose) which should elaborate on the applicants’ selected areas of expertise.  Only short listed applicants will be notified and requested to complete Appointee Declaration of Private Interests and Safety Screening Forms.

Why are applications to public hospitals and multi purpose services addressed directly to the chairperson rather than the Department of Health as is the case for applicants to health service boards?

Section 33 (5) (a) and (b) and Section 115E (4) (b) of The Act specifies that the board of a public hospital and board of management of a multi purpose service respectively is responsible for publishing a notice in a local newspaper inviting nominations for membership of the board and, once selection is finalised, recommended candidates are submitted to the Minister for consideration.

How long will the appointment process take?

The process from the time of lodging an application to notification of the outcome can be lengthy and appointees are unlikely to be advised before June each year.  Applicants who have not been short-listed will be advised in writing.

Past appointment rounds to public health services attracted on average up to 200 highly qualified applicants for 30 positions.  All applications are considered before the process of short-listing.

Do I require previous hospital/health service board experience to be considered a suitable candidate?

No, previous health service board experience is not necessary, although previous experience as a board director is highly desirable.

Do I need to have an intimate knowledge of how a hospital/health service operates?

No, intimate knowledge of a how a health service operates is not necessary. A sound understanding of governance and accountability requirements in the public sector context is critical.  Identified skill gaps on individual boards help determine the short-listing of applicants.

Who will be on the selection panel?

A selection panel shortlist applicants and recommend preferred candidates for the Minister’s consideration.  Selection panels usually involve a serving health service board chair and senior department or ministerial staff.

What probity checks are undertaken?

Only short listed applicants will be required to undertake probity checks.  Candidates for government appointments should have records of personal, professional and commercial integrity. Particular issues which are considered include a candidate’s history of insolvency; conviction of fraud or an indictable offence; disqualification from acting as a director or acting in the management of a company. The candidate’s completion of a Statutory Declaration attesting to their integrity does not negate the requirement for probity checks. Safety screening/police record check is included in the probity checks and these are funded by the department in respect of all successful candidates.

Are applicants required to complete a Declaration of Private Interest (DPI) form?

Yes, shortlisted candidates will be required to complete a DPI.  Appointments and reappointments are contingent upon nominees completing an annual Declaration of Private Interest (DPI) form to the satisfaction of the relevant Minister.

Conflicts of interests can be actual, potential or perceived, and should be declared to ensure that any risks are managed.  Detailed guidance on the State Services Authority website in its Conflict of Interest Policy Framework should be referred to.

Questions A3 – A7 on the DPI form require that if you answer ‘yes’ to any of these, that you only provide details where it could reasonably raise an expectation of conflict of interest, or a material interference with your public duties.

Applicants should be aware that they should disclose in their DPI if they have had or are currently engaged in consultancy work providing services to hospitals in Victoria.  Applicants who have provided other high level advice or management services should provide details of that involvement.

Is reappointment automatic if I choose to commit to a further term?

Members whose terms (typically three year terms) are about to expire should not regard their reappointment as a right, especially where directors have already served two terms. Board directors are able to hold office for up to three years from the date of appointment. Existing directors of public health services are eligible for reappointment for subsequent terms of office but must not serve more than nine consecutive years on the same board, unless an exemption from the effect of section 65U(2) of the Act has been granted by the Governor in Council under section 11(1) of the Act. Directors wishing to serve a further term on their board must complete all the required forms as for new applicants.

Can I resign during the term of office if my circumstances change?

Yes, resignations must be in writing, signed and preferably addressed to the affected health service board chair.  The letter should be forwarded to the Department of Health and will be delivered to the Governor in Council.

Will I be remunerated as a board member?

Members of boards of rural public hospitals and multi purpose services are currently not remunerated.  Members of boards of public health services are eligible for remuneration.  Applicants wishing to view remuneration entitlements should refer to Schedules A and B in the Department of Premier and Cabinet, Appointment and Remuneration Guidelines for Victorian Government Boards.

Are directors reimbursed for out of pocket expenses?

All appointees (both remunerated and not remunerated), are eligible to be reimbursed for reasonable out of pocket expenses such as travelling, accommodation, meals and other incidental expenses associated with attendance at meetings, overnight absence from home or absence from the normal work location in the course of field duties. Such reimbursement will be in accordance with Departmental policies.

Public Sector Employees

Who is considered a Public Sector Employee (PSE)?

For the purpose of payment of fees, a broad definition of PSE applies and includes employees of a Victorian:

• government department
• statutory body/instrumentality
• government board
• local government

As well as employees of

• an institution of higher education

Are PSEs able to be appointed?

Yes, although the department must state clearly why a PSE is the most appropriate appointment, and whether their particular skill or expertise is necessary for the board. Departments should state on a broad basis whether equivalent non-public sector candidates were considered but not selected, and why.

Are PSEs remunerated?

There are limited circumstances in which PSEs are remunerated for their membership of Victorian Government boards.  See Appointment and Remuneration Guidelines Schedules A, B and C for payment classification of boards.

Type 1 appointments are typically not remunerated.  A Type 1 appointee is usually a full-time Executive Officer or equivalent in a Victorian public sector position.  An exemption may only be granted in the most exceptional of circumstances.  Refer to S 13.3 of the Appointment and Remuneration Guidelines for further information.

A Type 2 appointment is where the appointee is a PSE but not an Executive Officer and is being appointed to a position unrelated to their substantive role or their employment in the public sector.  Type 2 appointments are eligible for remuneration only on written confirmation from their employer that the work involved in the appointment can and will be performed in the employee’s own time.  A template letter, entitled PSE Employer Declaration can be accessed through the Resources page on this website.

National Health Reform

Where should I access the most reliable information on health reform?

Updates on the implementation of the National Health and Hospitals Network (NHHN) Agreement in Victoria are available from the department’s website www.health.vic.gov.au/healthreform.

The department is committed to keeping the sector informed and involved about what is happening in this very important space.

Will rural health service boards be removed or amalgamated as a result of the NHHN Agreement?

No, rural health service boards will not be removed or amalgamated as a result of the NHHN Agreement.