The objectives of this research study are: (1) to describe the profile of the primary and secondary public hospitals in Antique using the following indicators: (a) Proxy Indicators of Efficiency (Averaged from 1998-2002) - (i) Bed Occupancy Rate, (ii) Cost per In-patient Discharge, (iii) Cost per In-patient Day, and (b) Proxy Indicators of Quality of Care (Averaged from 1998-2002)-(i) Gross Death Rate, (ii) Net Death Rate, (iii) Infant Mortality Rate, (iv) Fetal Death Rate, (v) Maternal Mortality Rate, (vi) Neonatal Death Rate, (vii) Cesarean Section Rate; (2) To explore possible mechanisms which can be adopted or developed to augment the budget for health services in municipal and district hospitals to ensure continued operations and viability of these devolved hospitals by studying the operational and financial reports of the seven devolved hospitals in Antique province; (3) To determine the relative mix of resources used in these hospitals and to establish relationships between the mix of resources of these hospitals and their corresponding output or outcome indicators which can consequently be used for planning and for policy formulation and development, especially insofar as hospital reforms are concerned.