Victorian Premier, Ted Baillieu, says the Federal Government should reverse hospital funding cuts ahead of a meeting of both sides in Canberra.
Mr Baillieu said a claim Victoria's emergency departments were deprived of $12 million of Federal Government funding this month because his Government had failed to submit the required paperwork was 'ridiculous'.
'We have complied with all the requirements of the agreement and there is no reason for the Government to withhold any money from Victoria and there is no reason for (Prime Minister) Julia Gillard to withdraw $107 million in this financial year alone from Victorian hospitals,' he told reporters.
'It is a ridiculous claim. All they're doing is hurting patients and hurting families.'
The State Government has accused the Federal Government of using an incorrect estimate of Victorian population figures to slash $475 million from the state's health budget over four years.
But the Federal Government says the performance of the State's hospitals is getting worse despite increasing Commonwealth funding to Victoria by $900 million over the next four years.
Federal Health Minister, Tanya Plibersek, and Victorian Health Minister, David Davis, will hold further talks in Canberra, after a brief meeting in Melbourne earlier this month failed to find a solution to the issue, which has resulted in hundreds of beds being closed and thousands of elective surgeries being delayed.
Mr Baillieu said the Federal Government should reverse its decision.
'The health minister in Canberra ought to admit in the first instance that they announced these funding cuts in November and to seek to deny them now is just a ridiculous claim,' he said.
'The Victorian Government has honoured all its budget commitments in regard to hospitals, the Commonwealth has walked away from its budget commitments.
'They should reverse the decision.
'That's the only outcome which is going to serve the people of Victoria.'
