CMGRA Letter & Presentation to Town Council

April 14, 2010

As our delegate was not able to make a presentation at either of the Council Meetings on this matter, we thought it expedient to send you a copy of our presentation (click here), highlighting our concerns regarding the cost of the hospital.  We hope you find the information useful.

We would like to highlight the following issues for your consideration:
 
What we DO know:
  • The citizens of Oakville want/need a new hospital
  • The new hospital is going to cost (at least?) $1.5 billion
  • The structure will be 1,620,000 square feet
  • The total local share will be (at least?) $530 million
  • The Town of Oakville has been asked to contribute $200 million
  • HHS proposes to generate $270 million in revenues, and $60 million through the Capital Fundraising Campaign
What we DON”T know:
  • How many beds will actually be paid for with this funding, and when they will be available
  • What facilities/services will be available on completion
  • What are the possibilities for the disposition of the existing hospital property?
  • How the revenues equaling a present value of $270 million are to be generated, and what is the “reasonableness” of this assumption (given that this revenue projection is 10 times greater than that of the Niagara Health Complex – see attached)
  • Who pays for any shortfall in revenues or fundraising (and what is the cost of funding any shortfall)?  Will any shortfalls result in a reduction in service, staff, equipment, and/or completion of the project?
  • Why this hospital is going to cost so much more than any other new-build in Ontario (see attached)
  • Why the local share is so much higher than other new-builds under the same funding model (see attached)
  • What happens/who pays what if the estimated costs rise significantly after tendering?  ( A major problem regarding the AFP process as outlined by the Ontario Health Coalition)
  • Why is the Town to bear the entire cost for “shelled in space”?  Wouldn’t it make more sense to plan for an addition, which would likely include provincial funding?
 
Before making a commitment to an investment of this size, we would expect our elected representatives to ensure that this is a good business decision, and that they be prepared to be accountable for this decision.
 
On behalf of the Chartwell-Maple Grove Residents Association,
Daniela Morawetz, President
Dave Gittings, Vice-President
Anthony Molinaro, Vice-President