THE FUTURE FUNDING NEW SERVICE DELIVERY BASED ON OUTCOMES

1. NATIONAL PRIMARY CARE CONFERENCE LIVING HEALTH CLINIC THE FUTURE FUNDING NEW SERVICE DELIVERY BASED ON OUTCOMES

2. BRIEF OVERVIEW ● High site / land values representing significant portion of overall costs ● General conception that property should be owned in personal names ● Tax implications

3. RISK SHARING ● HSE would only enter into contracts if the GP’s were the promoters ● Owned and developed in personal names ● Personal Borrowings ● Joint and several liabilities

4. BANKING VIEW ● Property Play ○ Rising Values ○ Anticipated Sale ○ Full recovery of cost and profit for promoters ● High LTV’s granted ● Loans with long interest only periods ● Lease terms generous

5. CURRENT POSITION ● Property values severely eroded ● Loans impaired ● Interest only periods ending ● Funding Gap

6. FUTURE DEVELOPMENTS ● Legal Structure – Corporate entities ● Cost Reductions – Land / Sites ● Outside investors ● Income sources ○ Cluster effect ○ Sessional rents ○ Diagnostics ● HIQA ○ Inspections / licencing ○ Designed for purpose