The country's biggest network of Primary Health Organisations is defending the way the PHOs spend public money.
Information released by Health Minister Tony Ryall on Monday shows the approximately 80 PHOs have a total cash balance of $55 million and investments of $60 million.
PHOs channel Government money via district health boards to doctors' practices and other organisations providing community health services.
They say funds can sit waiting for DHB approvals, and they have to act cautiously with little security to fund programmes lasting up to two years.
Hamish Kynock heads both the Hawke's Bay PHO and the PHO Alliance, representing 38 PHOs which serve 2.5 million people.
He says in some cases DHBs have been slow to approve spending, but in addition, PHOs are prudent and cautious.
"In many cases the reserves that PHOs have are equal to, or perhaps a little more than, the contracts that they have already written for services to be produced in the future."
Mr Kynock says PHOs are not allowed to go into deficit, and have little guaranteed income.
He says the PHOs would welcome any moves to make it easier for them to spend the money faster.
Health Ministry to investigate why money not spent
Mr Ryall says at a time of tight funding constraints, the PHOs have considerable cash reserves and investments, which have grown by more than $19 million in the past year.
They receive $715 million a year for community health services, including $541 million to subsidise family doctors for patients' visits.
The Government gives PHOs $33 million a year in management fees, and that might stop, Mr Ryall says.
"Money is very tight in health; we need every dollar possible going to the frontline. And seeing the rather significant increase in investments that PHOs are holding does raise the question: exactly what is happening?"
Officials will investigate why so much money is not being spent, he said.
"When you consider that there's over $100 million in the bank, it's not looking like the best use of public money is to keep pouring money into bank accounts."
Mr Ryall says officials will report to him before Christmas.
