06 October 2007

Your money... his friends

I thought public-private partnerships were supposed to save money...

Ontario's Liberal government has paid out almost $1 billion to private companies to cover new hospital construction overruns, a coalition of community health organizations said Friday.

"This has to be Dalton McGuinty's most expensive broken promise from the last election," Dora Jeffries, co-chair of the Ontario Health Coalition (OHC) said in a statement. "The whole justification for privatization was that P3s supposedly came in "on time" and "in budget," Jeffries said.

"But every single privatized P3 hospital is vastly over budget and every single one is late," she said.
There's a real smell here... that brings to mind Dalton's Chretienite role models. What can we call this fiasco... Buildscam?

Premier McSlippery sure learns fast.
Cost overruns calculated by the OHC based on government figures include:

– Sault Ste. Marie's hospital cost $208 million more than forecast and $408 million in total;

– Sarnia's hospital costs $74 million more than forecast and $214 million in total;

– Brampton's hospital went $300 million over budget and cost $650 million;

– The Royal Ottawa overspent by $46 million for a total of $146 million, and;

– North Bay's hospital was $333 million more than envisioned and $551 million in total.

"In any project you would expect inflationary increases such as higher steel or labour costs," Mehra said.

But taking Brampton as an example, that hospital project shrunk in size to 479 beds from 608.

"To have a $350 million project go to a $650 million project, and shrink in size, requires more explanation than inflation," she said.

The OHC has also been fighting with the province, and has even gone to court to force the release of the financial details of the deals the Liberals have struck with private developers.

"So far the government has gotten away with not divulging any of the financial details of these contracts," Mehra said.

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Anonymous said...

TangoJuleitte sez:

the smirking dweeb sounds very Louis XIV, very Jean Drapeau, very Liberal.

Sometimes less is more. Unless a Liberal is in charge. Then it's "let's double the costs and halve the project."

Good Deals from Dolton. "Because we're in this together." Also very RedGreen.



Neo Conservative said...

"tj said... the smirking dweeb"

dalton can only fool some of the people, some of the time.

"foolish fiberal... your jedi mind tricks won't work on me."


Anonymous said...

Liberal corruption(a registered trademark of the Liberal Party) is always the first priority when they award contracts. The Liberal Party looks at the rate of return in terms of cash and/or votes that can be redeemed for more cash upon re-election.

Anonymous said...

I work for the Ministry of Health, and can tell you that DOZENS of hospitals have operational deficits. Not a word being mentioned by ANYONE about them. Say what you want about the Frank Burns lookalike fronting the LIEberals, but he's making Tory look good. Oh well, at least he can now run for Mayor of Toronto, and we can get rid of Miller.

Anonymous said...

More and more people are becoming aware that an increasingly large chunk of medical spending goes directly into people's pockets rather than into services, infrastructure or even research. (real conservative)

Neo Conservative said...

if you're a lifer public service bureaucrat with the guarantee of a gold-plated pension... the administration of health care... not the actual practice of it... is your kingdom.

your motivation is to make sure you exhaust your budget before year end... so you can inflate your demands for the following year.

where's the incentive to cut fat from the budget here?

and by fat, i don't mean the people in the trenches... doctors, nurses and med techs.