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July 18, 1997
(Health)


Two major health initiatives were announced today at the Provincial Cabinet Retreat in Grand Falls-Windsor.

Premier Brian Tobin announced today that Cabinet has given final approval to the St. John's Health Care Corporation to borrow an extra $30 million in addition to the previously announced $100 million for the redesign of the provincial hospital facilities in St. John's. The Premier said the Health Care Corporation has been given the approval to borrow the full amount of $130 million and will repay this amount through efficiencies in the operation of the new and developed facilities. He added that the Health Care Corporation will be calling for tenders next week to begin construction this fall. The Premier said the plan is still in line with the original cost estimates and will also address newly identified needs.

The funding announced today will address newly identified components of this plan and will accomodate new improvements such as: underground parking for patients and families of the new Janeway Children's Health and Rehabilitation Centre; renovations to the General Hospital for the expansion of the cardiac care program; and improvements of the mechanical, electrical, and ventillation systems at the St. Clare's and General Hospitals.

"The planning and design phase has identified new requirements for these facilities and since these hospitals provide services for all citizens of the province it is important that we make this investment now," said the Premier.

Joan Marie Aylward, Minister of Health, announced that $20 million has been approved to strengthen the fiscal position of regional health boards which resulted from stresses during significant restructuring initiatives in recent years. This funding will come from the province's contingency fund. The minister commended the regional health boards and their staffs for their hard work and the valuable service they provide to the people of the province. She said this funding will also help address another important issue raised during the Health Forum, that of ensuring a balance of appropriate health professionals is available to provide professional health services to the people of the province.

In particular, the Allied Health Professional Group, such as physiotherapists, occupational therapists, speech language pathologists, etc., raised the importance of providing more training opportunities for young Newfoundlanders and Labradorians to study in these fields and in turn, provide much needed services in these areas. "Based on the needs of the province, government will be re-introducing a Seat Purchase Program with Dalhousie University in conjunction with the health system. When the program becomes fully operational in three years, it will mean $500,000 is expended in this area on an annual basis."

This funding will help address the needs expressed by the Allied Health Professionals at the Health Forum and those of the regional health boards. It will also help address the future health needs of the province by allowing young Newfoundlanders and Labradorians the opportunity to study in these areas and provide future health services throughout Newfoundland and Labrador.

"We as a government recognize that while we have problems and challenges in our health system there are also many strengths in our system," said the minister. "Our greatest strengths are with our health care staff, who continue to provide quality care and services for the people of our province."

Contact: Glenn Bruce, Director of Communications, Department of Health, (709) 729-1377.

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BACKGROUNDERS
SITE CONSOLIDATION PLAN - ST. JOHN'S

Royal Commission on Hospital and Nursing Home Costs (1984) recommended that acute health care services be limited to two sites in St. John's. For several years, various options were evaluated to meet this objective.

In June 1995, Government and the Health Care Corporation of St. John's announced its plan to close three of its sites: Grace General Hospital, Janeway Child Health Centre and the Children's Rehabilitation Centre. Children's Health and Rehabilitation Services will be relocated to newly constructed space at the Health Sciences Centre and services at the Grace to be relocated to space to be renovated at the remaining General and St. Clare's sites.

Generally, the consolidation will allow for a strengthening of tertiary level health care services for the whole province. Specifically, the consolidation will allow for:

  • 1. Clinical enhancements
    • services for all newborn children at one site;
    • services for mothers and newborn children at one site;
    • continuum of care for children with acute health care and rehabilitation needs;
    • children with closer access to one of a kind medical technology (eg., MRI, Radiation Therapy);
    • improved linkages between children and adults will benefit adolescents;
    • opportunity to expand cardiac surgery program;
    • further consolidation of adult services (eg., Emergency Rooms, Cardiac Care);
    • updating approach to obstetrical care

    2. Human Resources

    • efficient use of time for medical staff caring for both adults and children (eg., plastic surgery, neurosurgery);
    • improved opportunities for paediatric staff to link with University;

    3. Financial

    • duplication of staff and technology avoided;
    • avoids future facility upgrades at the sites designated for closure;
    • indirect economic benefits (jobs for design, construction, supplies);
    • value of vacated land and buildings;
  • October 1996 - Recruitment of external consultants to complete Master Programming and Master Planning Work, based on significant input from staff and other stakeholders.
  • December 1996 - Recruitment of external engineering and architectural consultants to complete design work for the new children's health and rehabilitation space.
  • July 1997 - First tender call to begin construction of children's health and rehabilitation space as well as recruitment of engineering and architectural consultants for the necessary renovations at the General and St. Clare's sites.

    FURTHER HEALTH FORUM ANNOUNCEMENTS

  • In the early 1990s, the Government of the day made a decision to reduce the number of health care boards from 25. Eight new regional institutional structures were subsequently established.
  • Over the years individuals and Regional Boards have taken measures to provide services and programs (within limited budgets) and address inflationary and service pressures.
  • The system has been able to continue to provide an ongoing level of clinical services in the face of these pressures primarily through administrative streamlining and achieving program efficiencies.
  • In addition, increasing health care costs resulting from increased drug costs, new technology, an aging population and others, have placed some Boards in a position where they have been unable, despite streamlining and efficiency improvement endeavors, to avoid incurring debts.
  • In recent years health boards have begun to incur operating deficiencies and the allotment of additional resources is now needed to sustain programs and services and to respond to new health needs.
  • This $20 million announcement will create a more stable fiscal environment for boards to operate within, whereby further action they had anticipated taking to improve their financial situation would be eliminated or substantially reduced.
  • Taking measures to provide an appropriate mix of health professionals to provide specific professional services to people will also add to the stability of the health system.
  • 1997 07 18 2:40 p.m.

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