A new three-year funding agreement was officially agreed to between the Government of Prince Edward Island and Island physicians.
The contract was negotiated by representatives of the Department of Health and Social Services and The Medical Society of Prince Edward Island.
Under the new contract, some additional funding will be provided for four vacant physician positions including an ophthalmologist, radiation oncologist, psychiatrist, and pathologist.
The budget for physician services, fee for services and alternate payments will increase by an average of 5.65% over the three years of the contract. The increases are being selectively applied to address priorities of both physicians and the government, including such areas as obstetrical and emergency services.
In the new agreement, liability insurance subsidies will be improved to help offset major increases in the costs of coverage, and according to Provincial Medical Director Dr. Don Ling, this will be a real asset to the province in physician recruitment.
Through the negotiations, which began in January 1998, it was also agreed to establish a new Joint Consultation Committee, separate from the negotiating teams to deal with issues such as clinical practice guidelines and budget distributions.
The term of the Agreement is from April 1, 1998 to March 31, 2001. The contract was ratified by the Medical Society at its annual general meeting June 13, 1998 and by the Provincial Treasury Board on June 24, 1998.
Dr. Rosemary Henderson, President of the Medical Society, stated "The negotiations required careful deliberation of some very complex issues and, as with any negotiations within the current economic environment, both sides have made compromises."
Dr. Ling noted that, "The new Master Agreement consolidates seven previous Agreements, and for this reason the negotiations were quite lengthy. However, there were good relations throughout. The process was orderly and the end result, productive."