Version No. 127
Health Services Act 1988
No. 49 of 1988
Version incorporating amendments as at
23 June 2011
table of provisions
Section Page
xiv
Section Page
Part 1—Preliminary 1
1 Purpose 1
2 Commencement 1
3 Definitions 1
4 Interpretation: health service establishment 16
5 Interpretation: day procedure centre 16
5A Interpretation: trust instruments 17
6 State funded residential care service 17
7 Designated public hospital 18
8 Amendment of Schedules 18
9 Objectives 20
10 Principles applying to hostels, nursing homes and supported residential services 21
11 Exemptions 22
11A Principal function of the Secretary 22
Part 2—Health Services Development Guidelines 24
12 Preparation of draft guidelines 24
13 Notice of draft guidelines 24
14 Approval of guidelines 25
15 Publication of approved guidelines 25
16 Operation of guideline 25
17 Revocation of guideline 26
Part 2A—Public Hospital Services Principles 27
17AA Public hospital services principles 27
Part 3—Agencies 28
Division 1—Public funding 28
17AB Definition 28
17A Power to fund agencies 28
18 Criteria for public funding of agencies 28
Division 1A—Case mix funding 30
18A Definition 30
18B Case mix auditors 31
18C Functions of case mix auditors 32
18D Powers of case mix auditors 32
18E Confidentiality requirements 33
18F Repealed 34
Division 2—Registration of certain agencies 34
19 Definition 34
20 Registration as condition of funding 35
21 Conditions of registration 36
22 Registration 36
Division 3—Registered funded agencies 36
23 Repealed 36
24 Rules of registered funded agency 36
25 Chief executive officer 38
26 Health service agreements 38
27 Interim funding statements 41
28 Limits or controls on expenditure or entering into of contractsetc. 42
29 Power to invest 43
30 Approved borrowers and guarantees 43
Division 4—Public hospitals 44
31 Incorporation 44
31A Public hospitals do not represent Crown 44
32 Objects and functions of public hospitals 44
33 Board of management 45
34 Terms and conditions of appointment 47
35 Removal and resignation 47
36 Annual meetings 48
37 Procedure of board 48
38 Membership of board not office of profit 49
38A Immunity 49
39 Repealed 49
40 Validity of acts or decisions 50
40A Notice of proposed direction 50
40B Minister may issue directions 50
40C Appointment of delegate to board 51
40D Functions of delegate 53
40E Obligations of board to delegate 53
Division 4A—Repealed 53
40F–40L Repealed 53
Division 5—Public hospitals and denominational hospitals 54
41 Powers and duties 54
42 Hospital must comply with directions of Secretary 55
43 Public hospitals and denominational hospitals excluded from Corporations legislation 57
44 Trustees' power to transfer certain property 58
44A Statement of priorities for denominational hospitals 58
Division 6—Registered community health centres 58
45 Application for registration 59
46 Further information 60
47 Registration criteria 60
48 Registration 61
49 Conditions on registration 61
50 Refusal of registration 62
51 Minister may determine performance standards 62
52 Subject matter of performance standards 63
53 Community health centre to comply with performance
standards 63
54 Secretary may give directions 63
55 What happens if a registered community health centre fails to comply with the Secretary's direction? 64
56 Secretary may revoke registration 64
57 Displacement of other laws—appointment of administrator 65
57A Appointment of administrator 65
57B Cancellation of registration of community health centre 68
57C Application for review by VCAT 68
57D Register of registered community health centres 69
Division 8—Censure etc. 71
58 Powers of Minister 71
59 Censure 73
60 Suspension of admissions 74
61 Appointment of administrator 74
62 Closure 76
Division 8A—Audits of public hospitals, public health services,
multi purpose services and denominational hospitals 78
63 Definition 78
63A Secretary may commission audits 78
63B Appointment or engagement of auditors 79
63C Powers of auditors 79
63D Confidentiality requirements 80
Division 9—Amalgamation of registered funded agencies 81
64 Proposal for amalgamation 81
64A Voluntary amalgamations 83
65 Governor in Council may order amalgamation 85
Division 9A—Aggregation of metropolitan hospitals 88
65A Definitions 88
65B Extra-territorial operation 89
65C Aggregation 90
65D New metropolitan hospital to be successor in law 92
65E Substitution of party to agreement 92
65F Old instruments 93
65FA Trusts in relation to aggregated hospitals 93
65G Proceedings 93
65H Interests in land 94
65I Amendment of Register 94
65J Taxes 94
65K Evidence 95
65L Transfer of aggregated hospital staff to new hospital 95
65M Future terms and conditions of transferred employees 96
65N Validity of things done under this Division 97
65O Operation of Division not subject to review 98
Division 9B—Public health services 98
65P Incorporation 98
65Q Public health services do not represent the Crown 99
65R Objects of public health services 99
65S Board of directors 99
65T Directors 102
65U Terms and conditions 103
65V Removal and resignation 104
65W Disclosure of interest 104
65X Procedure of board 105
65XA Chief executive officer 105
65XB Functions of the chief executive officer 106
65Y Immunity 107
65Z Validity of acts or decisions 108
65ZAA Appointment of delegate to board 108
65ZAB Functions of delegate 109
65ZAC Obligations of board to delegate 110
65ZA Advisory committees 110
65ZB Community advisory committee 111
65ZC Primary care and population health advisory committee 111
65ZD Guidelines of Secretary 112
65ZE Procedure of advisory committees 112
65ZF Strategic plans 113
65ZFA When statement of priorities to be prepared 113
65ZFB Content of statement of priorities 114
65ZG Annual meetings 115
66 Notice of proposed direction 116
66A Minister may issue directions 116
Division 10—Compulsory acquisition of land 117
67 Acquisition 118
68 Acquired land to vest in the Crown 119
69 Power to reserve and grant land to agency 119
Part 3A—Public Hospital Patient Services Agreements 120
Division 1—Definitions 120
69A Definitions 120
Division 2—Agreements 120
69B Minister may enter into public hospital patient services agreements 120
69C Matters that may be included in agreement 121
69D Agreement to run with land 124
69E Rights of access 124
69F Right of intervention in management 126
69G Application of FOI Act 127
69H Investigation of administrative actions 128
69I Application of Land Act 129
Part 4—Health Service Establishments 130
Division 1—Approval in principle 130
70 Application 130
71 Criteria for grant of approval in principle 131
72 Decision on application 135
73 Certificate of approval in principle 135
74 Transfer or variation of certificate 136
75 Revocation of certificate 137
76 Voluntary revocation of certificate 138
Division 2—Repealed 138
77–81 Repealed 138
Division 3—Registration 138
82 Application 138
83 Criteria for registration 138
84 Decision on application 141
85 Certificate of registration 142
86 Change of directors etc. 143
87 Annual fees 143
88 Renewal of registration 144
89 Criteria for renewal of registration 145
90 Decision on application 147
91 Certificate of renewal 147
92 Variation of registration 148
93 Criteria for variation of registration 149
94 Decision on application 149
95 Variation of registration without application 150
95A Cancellation of registration 150
96 Endorsement of certificate of registration 151
97 Legal personal representatives 151
Division 4—Censure etc. 152
98 Repealed 152
99 Powers of Minister—supported residential services 152
100 Censure 153
101 Suspension of admissions 154
102 Revocation of registration of health service establishment 155
103 Appointment of administrator of supported residential service 156
Division 5—General 161
104 Notification of decisions by Chief General Manager 161
104A Application deemed withdrawn 162
105 Directions of Secretary 162
106 Residential statements 162
106A Resident's interim and on-going care plans 164
106B Information for prospective residents 166
106C Notice to vacate 167
107 Sick residents of supported residential services 167
108 Medical examination or further care 168
108A Privacy, dignity and security of residents 168
108B Personal hygiene of residents 169
108C Medication for residents 169
108D Suitable nutrition for residents 170
108E Mobility and sensory function of residents 170
108F Notification of certain matters to next of kin etc. 170
108G Procedures for resident complaints 172
108H Money of a resident 173
108HA Management or control of resident's money by proprietor 173
108HB Proprietor may give directions relating to resident's money 174
108HC Proprietor to give notice of sections 108HA and108HB 175
108HD Proprietor or close associate not to be resident's
administrator or resident's guardian 176
108I Maintenance and cleanliness of supported residential service 176
108J Communications systems in supported residential service 177
108K Supply of water must be safe 177
108L Minimum staff requirements 177
108M Prohibited and reportable transactions 178
108N Proprietor or close associate not to enter into prohibited transactions 180
108O Proprietor to give notice of sections 108M, 108P, 108Q and108R 180
108P Reportable transactions 181
108Q Cooling off period 181
108R Remedies 182
108S Proprietor to notify Secretary of offences 183
109 Records 183
110 Reviews 184
111 Offence to carry on business if establishment or proprietor notregistered 186
112 Offence to provide excess beds or accommodation 186
113 Offences relating to day procedure centres and private hospitals 186
114 Offence to contravene condition of registration 187
115 Offence to build etc. without approval in principle 187
Part 4A—Multi Purpose Services 189
115A Declaration and incorporation 189
115B Multi purpose services do not represent Crown 192
115C Objects and functions of multi purpose services 192
115D Powers 192
115E Board of management 193
115F Terms and conditions of appointment 194
115G Removal and resignation 195
115H Annual meetings 195
115I Procedure of board 196
115J Membership of board not office of profit 196
115JA Immunity 196
115K Repealed 197
115L Validity of acts or decisions 197
115M Secretary may give directions 197
115N Rules of multi purpose service 197
115O Service agreements 198
115P Health service agreements 198
115Q Powers of Minister 199
115R Appointment of administrator 199
115S Closure 201
115T Amalgamations 202
115U Governor in Council may order amalgamation 203
115V Transitional 206
Part 5—Community (Residential Services)
Visitors 209
116 Appointment 209
116A Definition 209
117 Functions of a visitor 209
118 Panels 210
119 Visiting designated public hospitals and supported residential services 210
120 Powers of inspection 210
121 Request to see a visitor 211
122 Record of visits 212
123 Reports by visitors 212
124 Terms and conditions of appointment 213
125 Resignation and removal from office 214
126 Secrecy provision 214
126A Immunity of visitors 215
127 Community (Residential Services) Visitors Board 215
128 Annual report of visitors 216
Part 6—Health Purchasing Victoria 217
Division 1—Establishment 217
129 Establishment of Health Purchasing Victoria 217
130 HPV represents the Crown 218
Division 2—General functions and powers 218
131 Functions of HPV 218
132 Powers of HPV 219
133 Factors to which HPV must have regard in performing functionsand exercising powers 220
Division 3—Purchasing policies 221
134 Purchasing policies 221
134A HPV may exempt public hospitals from policies 222
134B Procedure for making and notification of purchasing
policies 222
134C Disallowance of purchasing policies 224
Division 4—Membership and procedure 224
134D Members of HPV 224
134E Terms and conditions 226
134F Removal and resignation 227
134G Procedure of HPV 228
134H Validity of HPV decisions 228
134I Members' pecuniary interests 228
134J Improper use of information 229
134K Delegation 230
Division 5—General 230
134L Directions of the Minister or Secretary 230
134M Strategic plans 230
134N Existing supply contracts 231
134O HPV—trade practices 231
Part 7—Miscellaneous Provisions 233
Division 1—Hospitals and charities fund 233
135 Definition 233
136 Hospitals and Charities Fund 233
137 Payments out of Fund to agencies 234
Division 2—Payment of fees to certain agencies 235
138 Payment of fees 235
Division 2A—Conditions of certain public service staff 235
138A Definition 235
138B Remuneration and allowances 236
138C No compensation payable 236
Division 3—General 237
139 Quality assurance 237
140 Proclaimed services 240
141 Confidentiality 241
142 Agencies etc. incorporated under other Acts 247
143 Delegation by Minister 247
144 Inquiry by Secretary 247
145 Authorised officers 248
146 Identity cards 248
147 Powers of authorised officers 249
147A Entry to unregistered premises—search warrant 250
148 Immunity 251
149 Offence to obstruct or hinder 252
150 Impersonating etc. an authorised officer 252
151 False and misleading statements 252
152 Defacing documents etc. 253
152A Offences by bodies corporate etc. 253
153 Police assistance 253
154 Service of documents 253
155 Infringement notice 254
156 Power to bring proceedings 255
156A Extension of time limit for proceedings for certain offences 255
157 Evidentiary 255
157AA Supreme Court—limitation of jurisdiction—section138C 256
157A Supreme Court—limitation of jurisdiction—section126A 256
157B Supreme Court—limitation of jurisdiction—section18F 256
157C Supreme Court—limitation of jurisdiction—sections17AA, 40J or65O 257
157D Supreme Court—limitation of jurisdiction—section115K 257
157E Supreme Court—limitation of jurisdiction 257
157F Supreme Court—limitation of jurisdiction 257
157G Supreme Court—limitation of jurisdiction 257
157H Supreme Court—limitation of jurisdiction 257
158 Regulations 258
Part 8—Transitional Provisions 262
159 Saving of Hospitals and Charities (Fees) Regulations1986 262
159A Saving of hospital by-laws 262
160 Private hospitals etc. registered under Health Act1958 262
161 Existing nursing homes and hostels not registered under the Health Act 1958 264
162 Applications under Health Act 1958 265
163 Building approval in force under Health Act 1958 265
164 Transitional provision for Commonwealth building approval 266
165 Residential statements 266
166 Transitional provision for public hospitals 266
166A Peter MacCallum Cancer Institute 266
166B Fairfield Hospital 267
167 Tweddle Baby Hospital 267
168 Transitional provision for community health centres 268
169 Transitional provision for boards of public hospitals 269