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DVA delivers ultimatum to doctors but no comfort for veterans

AMA President, Dr Kerryn Phelps, said today that the Department of Veterans' Affairs (DVA) has written to GPs who treat veterans under the Local Medical Officer (LMO) Scheme threatening to cut their fees if they don't sign up to the existing inadequate LMO arrangements.

Dr Phelps said the DVA's ultimatum undermines the efficacy of the LMO Scheme by alienating doctors and making it harder for veterans to access their promised special health care.

"The DVA is not acting in the best interests of veterans," Dr Phelps said.

"The AMA has discussed with the DVA at length the failure of the LMO Scheme to keep up with the cost of providing the level of care our veterans deserve, but instead of funding the scheme adequately they choose to give the doctors an ultimatum - 'sign up or we cut your fees'.

"This approach will not be welcomed by the many thousands of doctors and veterans involved with the scheme.

"The current Memorandum of Understanding (MoU) between the DVA and the AMA expires on 13 December, but the AMA is not prepared to extend the MoU without fee increases for the doctors who provide the high level of specialised personal health care required under the scheme.

"Veterans are complex patients - they require greater care because of their age and life experiences, and they have a much higher rate of co-morbidity (more than one disease or ailment at the same time) than other patients.

"Many depend on the personal as well as the professional relationship with their doctors.

"But instead of negotiating improved arrangements to preserve the quality of the LMO Scheme, the DVA is threatening to cut fees for LMO GPs to just 85 per cent of the schedule…plus 60 cents.

"It is a desperate attempt to force doctors to continue subsidising the scheme.

"The DVA's ultimatum will certainly compel doctors to make a choice - but probably not one the DVA wants or our veterans deserve.

"Doctors and veterans will let the Government and the DVA know what they think about this shameful decision to dismantle the LMO Scheme by stealth," Dr Phelps said.

CONTACT: John Flannery (02) 6270 5477 / (0419) 494 761

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