The following is an excerpt from the Executive Summary of the Operational review of Sudbury Regional Hospital, (pages 15 and 16.)
The HRSRH Board was informed in September of 2000 of a $20 million cost increase so that the September 2000 total cost estimate had risen to $167.88 million.
By May 2002, the Operational Review consultants and the hospital?s own cost consultants had concluded that the cost to complete the capital redevelopment project had increased to more than $363 million.
It should be noted that this figure includes more realistic estimates of costs associated with the capital redevelopment project (decommissioning, commissioning, furniture, equipment and information technology), but were not fully acknowledged in the Minister?s approvals.
Outcomes of the Capital Project
The capital redevelopment project, when reviewed by the consultants had the following outcomes:
- The planned total are in gross square feet had increased by 139,400 or 17 per cent from the June 1998 Minister?s approval of 774,900, to 914,300;
- The functional area of the future hospital has declined by 7 per cent from the area originally programmed (i.e., from 658,920 cgsf to 614,778 cgsf)The area associated with mechanical and circulation area has increased significantly, from 26.5 per cent to 48.72 per cent;
- The overall functional area per bed is below the expected level in current hospital planning in Ontario, 1,050 cgsf/bed compared to 1,265 to 1,350 cgsf/bed, depending on the hospital type;
- The cost per square foot of construction, renovation and life safety, more than doubled from the 1998 Ministry approval, and current Ontario market costs;
- The total project construction budget had already been consumed at the completion of Phase 1, yet a substantial amount of acute care construction and renovation had yet to be commenced, including the emergency department, diagnostic services, and acute inpatient and critical care capacity; and
- The cost to complete the project, including items not part of the initial approval had risen to $363.6 million, so that the un-funded gap was nearly $200 million.
Click here for a link to the Ministry of Health and Long-term Care?s website for more information. A complete executive summary can be downloaded from the ministry site.