Early Years
In 1904 the hospital opened its doors. Funds for operating the hospital were drawn from Melbourne, Fitzroy, Richmond, St. Kilda, Brunswick and Coburg councils. Each council contributed to the upkeep of the hospital and in return they had a seat on the Hospital Board and their ratepayers were treated free of charge. Other councils were required to pay for any of their residents who required the use of the hospital. Six patients were admitted to the hospital during its first week, one of whom died. This was a public scandal as the child who died was from Northcote and there had been a delay in admitting him whilst the Town Clerk of Northcote debated who was to pay for the boy's hospital fees.
Because of public disquiet about the running of the hospital, an inquiry was held in 1912. This led to a 1914 Act of Parliament, which established a board of management. In 1915 the board was further expanded with Northcote and Preston joining the board. All councils now contributed to the upkeep of the hospital as well as receiving funding from the State Government.
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