Prime Minister Julia Gillard, Minister for Health Nicola Roxon and Minister for Regional Australia Simon Crean today announced that applications for the Regional Priority Round of the Health and Hospitals Fund were now open.
This new round of funding will see regional hospitals around Australia receive critical upgrades of their infrastructure.
The funding will also support the clinical training capacity of regional hospitals.
The Prime Minister said today's opening of applications honours an agreement reached between the Government and Independent members of Parliament.
Projects approved as part of this priority round could include improved acute care facilities, new local centres to better treat chronic diseases, and infrastructure catering to mental health and dental health.
Expanding new facilities and patient services such as accommodation will mean patients won't have to travel as far to get the care they need.
Minister for Regional Australia, Regional Development and Local Government Simon Crean said the regional priority round would improve the lives of Australians living in regional areas and boost regional communities.
"Regional Australia deserves and is getting better health services under the Gillard Government," Mr Crean said.
Health Minister Nicola Roxon said the number of projects funded by the Government will depend on the quality of applications received, as evaluated by the Health and Hospitals Fund Board.
There is currently up to $1.8 billion in unallocated funds (excluding interest) in the Health and Hospitals Fund.
Ms Roxon said she had consulted with the Independent members of Parliament and the Regional Development Minister to ensure the new funding round is targeted to regional healthcare needs and that projects with local community support are prioritised.
"The regional priority round will build on the $3.2 billion allocated in the 2009-10 Federal Budget to deliver a world-class national cancer care system, upgrade the hospital network and expand medical research and training infrastructure to improve patient care," Ms Roxon said.
"With around 37 per cent of the first round also going to regional and rural areas, this Government is delivering the health infrastructure regional Australia needs."
"The first round of the Health and Hospitals Fund has seen work has commenced on over 30 health infrastructure projects and planning now underway for further 22 projects," Ms Roxon said.
Applications can be made at www.health.gov.au/tenders until 3 December 2010. For more information on the Health and Hospitals Fund, go to www.health.gov.au/hhf.