John MacDonald: Philanthropic funding for new medical school? Pfft - Canterbury Mornings with John MacDonald

Let's start with the positives in the news that the Government is pressing ahead with a new medical school at Waikato University.  

120 new med students every year. You can’t argue with that.  

But that’s about it for me.   

I’m not going to criticise the Government for doing something to get more doctors, because we need them. Especially in rural and regional areas, which look to be the main focus of this new school.  

But I think it would have been way better for the Government to invest more in the existing medical schools at Otago University and Auckland University.  

Especially Otago, when you consider all the money that’s going into the new hospital down there.  

I see that Otago University is saying the same sort of thing. But I suppose with former Labour cabinet minister Grant Robertson running the place, it would say that.  

Auckland University seems to be a bit more diplomatic on it, but both universities have put up the same argument in the past: that, rather than starting something from scratch, it would be better to put the money into training more doctors at the medical schools already up-and-running.  

The main concern for me though is the finances. The Government is putting-in less money into the Waikato medical school than it said it would, relying instead on the university and its financial backers to make up the shortfall.  

Before the last election, National campaigned on a $380 million medical school, saying it would spend $280 million, and the university would chip in $100 million.  

But yesterday the Government announced it would be contributing just over $85 million, and the university would be putting in $150 million with help from its donors.  

Which has got the opposition parties asking questions too.  

Green Party tertiary education spokesperson Francisco Hernandez says Treasury has already raised concerns about Waikato University’s ability to contribute to the costs.  

He says: "The Government got advice that approving the Waikato medical school would raise the risk profile of Waikato University from medium to high.”  

 And, like me, he reckons the budget’s going to be blown.  

"The cost estimates have shifted so much, I wouldn't be surprised if there's scope creep down the line and Waikato Uni ends up having to come back to the Government with a begging bowl, because the cost ends-up being more than what they thought it would be." 

And that’s where I see this thing at risk of falling over – either falling over or needing more government money down the track.  

Because as soon as anyone starts using the “ph” word, I get suspicious. And the government’s using the “ph” word. Philanthropists. People with money to donate to causes they believe in. 

The cathedral in Christchurch – that was going to get truckloads of money from philanthropists, wasn’t it?  

Canterbury Museum – the philanthropists were going to be writing out cheques for that project too, weren't they?  

And, as someone with a bit of experience in universities and philanthropy, I can tell you that getting money out of people is way easier said than done.  

Although —not wanting to be a complete downer— I’ve always said that, post-covid especially, philanthropists are much more likely to put money into things that help people, as opposed to just building something for the sake of it.  

But raising money this way is a long haul. And anyone being asked to contribute will want to see a business case. They’ll want to see who else is on board. And that won’t happen overnight.  

And I bet you that all the high rollers that the university might approach will look at the Government’s reduced investment and ask how committed it really is.  

But here’s m