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Northern Adelaide Local Health Network Incorporated

Functional responsibility

The Northern Adelaide Local Health Network Incorporated (NALHN) is an incorporated hospital. NALHN is established by the Health Care Act 2008.

The powers and functions of NALHN are to establish, provide, maintain and enhance hospital, medical and allied health services in its local area.

Under the Health Care Act 2008 the Chief Executive, Department for Health and Ageing assumes direct responsibility for the administration of incorporated hospitals. This includes the appointment of the Chief Executive Officer of NALHN. The Chief Executive, Department for Health and Ageing cannot give a direction concerning the clinical treatment of a particular person.


Financial statistics
Total expenses: $602 million
Net cost of providing services: $550 million
Revenues from SA Government: $556 million
   
Employee benefits liability and related on-costs: $105 million
Workers compensation liability: $12 million
   
Number of FTEs: 3282

Significant events and transactions
  • The Chief Executive, Department for Health and Ageing approved the transfer of 14 Financial Business Advisory Services and Hospital based Revenue Services employees within finance to NALHN effective 1 June 2015.
  • During the year the rollout of the One Procurement Solution was finalised resulting in all accounts payable and inventory transactions now being processed to a single payable platform (Basware).

Financial statement opinion
Unmodified

Financial controls opinion
Modified
Key issues:
  • Inadequate review of employee level payroll information by NALHN
  • Timesheets were not always approved prior to submission to Shared Services SA for processing
  • No record maintained of employee professional development leave entitlements
  • Review of Basware system access (including delegations) requires improvement
  • No review of user access to Homer revenue system