RECOMMENDATION: THAT the Okanagan Similkameen Regional Hospital District (OSRHD) authorize an expenditure of up to $280,000.00 towards the Business Case for the Penticton Regional Hospital Building Patient Care Project.

HISTORY: IHA completed a Master Plan for the Penticton Regional Hospital in 2002, a Functional Program Review in 2008 and a Conceptual Plan in 2012, all critical to the construction of a patient care facility for the south Okanagan-Similkameen. The preparation of the Business Case for the Project is underway and anticipated to be complete early in 2014. A submission will then be made to the Ministry of Health for their review and approval prior to forwarding to Treasury Board for Capital funding.

A Steering Committee has been created by IHA to oversee the Business Case, with the Chair of the OSRHD, the Mayor of Penticton and the Mayor of Oliver as appointees.

In May, OSRHD received a request for $200K representing 40% of the estimated $500K total cost to prepare the business case. The $500K was an estimate put together on very short notice for the Ministry of Health when the approval was given to proceed. Now that the development of the business case has progressed it has been estimated that the total value of the business case will be very close to $700K. IHA is requesting an increase in funding from OSRHD for the business case up to $280,000.00, representing 40% of the project cost.

Source: agenda material OS Regional Hospital District