(1) A local health district exercising a function delegated under section 129 in respect of an affiliated health organisation may enter into a performance agreement with the affiliated health organisation in respect of its recognised establishments and recognised services.
(2) A performance agreement--(a) may set operational performance targets for the affiliated health organisation in the exercise of specified functions in relation to the health services concerned during a specified period, and(b) may provide for the evaluation and review of results in relation to those targets.
(3) The affiliated health organisation must, as far as practicable, exercise its functions in accordance with the performance agreement.
(4) The affiliated health organisation is to report the results of the organisation's performance under a performance agreement during a financial year to the local health district within 3 months of the end of that year.
(5) The local health district is to evaluate and review the results of the organisation's performance for each financial year under the performance agreement and to report those results to the Health Secretary.
(6) The Health Secretary may make such recommendations to the Minister concerning the results reported to the Health Secretary under subsection (5) as the Health Secretary thinks fit.