Province chips in another $30 million to the new hospital

NEWS RELEASE

DAVID ORAZIETTI, MPP

********************* Orazietti announces province to fund 90 percent of new SAH construction

McGuinty Government move from 70 percent to 90 percent of cost expected to result in over $30 million in additional support for Sault and area

Sault Ste. Marie – The McGuinty government will be covering an unprecedented 90 per cent of the eligible construction costs for hospital projects in Sault Ste. Marie, David Orazietti, MPP announced today.

The benefit of this policy change for the Sault Ste. Marie hospital project is expected to be more than $30 million.

The exact cost benefit to the hospital and community will only be known once the project costs are finalized.

"Our government's increase in funding from 70 percent to 90 percent for our new hospital is a tremendous boost to the project for Sault and area residents," said Orazietti.

The new policy will apply to hospital projects in the province granted approval to award a construction contract on or after April 1, 2006 as part of the five-year ReNew Ontario infrastructure investment plan.

This new policy simplifies the ministry's share of construction costs.

In the past, capital cost share rates traditionally varied from 50 per cent to 70 per cent depending on the project.

Under this new policy, hospitals will be responsible for 10 per cent of the construction costs as well as the costs associated with the purchase of new and replacement equipment.

In addition, the provincial government will fund 100 per cent of the costs related to the planning and design of hospital projects and 100 per cent of the costs for eligible new major radiation therapy equipment.

"We are providing our new public hospital with unprecedented resources to ensure that the people of Sault Ste. Marie have a state-of-the-art facility that is built on time and on budget," said Orazietti. "Our government's support will make it easier for the Sault Area Hospital to successfully raise local funds to complete this important community project."

Other recent Sault Area Hospital initiatives include:

- $2 million for a new CT Scanner at SAH - $306,900 for a new Tele-Stroke site at SAH - 48 new long-term care beds in Sault Ste Marie - $2.5 million for wait time procedures

This is just the latest example of how the McGuinty government is on the side of Ontario families when it comes to providing quality hospital care.

Other initiatives include:

- reducing wait times for five key health care services (hip and knee joint replacement, cataract surgeries, MRI/CT exams, cancer surgeries and cardiac procedures) with a recent investment of $222.5 million

- increasing operating grant funding to hospitals to $12.9 billion in 2006/07, $13.4 billion in 2007/08, and $14 billion in 2008/09

- issuing requests for proposals for 11 new hospital projects in 2006/07 worth $2 billion.

Today's initiative is part of the McGuinty government's plan for innovation in public health care, building a system that delivers on three priorities - keeping Ontarians healthy, reducing wait times and providing better access to doctors and nurses.

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