Building projects in jeopardy

Press, 16 August 1988, Page 3

Building projects in jeopardy

Changes to the way hospital building projects are funded could put many of the Canterbury Hospital Board’s proposed developments on hold. Among the projects in jeopardy would be the new geriatric assessment and rehabilitation unit at Burwood Hospital, a 60-bed geriatric long-stay unit at The Princess Margaret Hospital, and a new neo-natal unit at Christchurch Women’s Hospital. The chairman of the board, Mr Tom Grigg, told the works committee yesterday of the possible change to the Hospital Works Loan Programme.

“A committee has recommended that all of the funding come out of the population based funding formula rather than on an individual board project basis.”

This meant that each hospital board would get a set amount of funding rather than having projects funded as they were needed.

Mr Grigg said that the Canterbury board was receiving a lot of loan money

for Stage 111 of the redevelopment of Christchurch Hospital as well as having some smaller projects funded. If the proposed change was made policy then the board, which is committed to the redevelopment, would have difficulty funding these other works. A board member, Mr David Close, said that the board should immediately reassess its works programme. “The board has got to look very hard at whether we use existing buildings and upgrade them or whether we go with the capital projects that we may not be able to afford.”

The board’s acting general manager, Mr Ron Parker, said that as soon as the new policy was announced, all planned projects would be reviewed “from the concept stage to the final building.”

“We will decide on which basis we will proceed — there may be some projects that could be slowed down or ceased. We will also be looking at the life of the building or project.”