VJH process raises concern

By Richard Rolke - Vernon Morning Star Published: July 10, 2008 6:00

PMVernon Jubilee Hospital maintenance workers are raising alarm bells about what they see as privatization. Jeet Dukhia and Vic Schrauwen, both engineers, told the North Okanagan Regional District board Wednesday that a public-private partnership for the new diagnostic and treatment tower will lead to higher costs and poor service. “P3s are very dangerous,” said Dukhia, a longtime employee at VJH. Following provincial guidelines, the Interior Health Authority is in discussions with Infusion Health to design, construct, finance and operate the tower. Infusion Health is a consortium made up of Bilfinger Berger, John Laing Infrastructure, Black and McDonald, Graham Construction and Stantec.

Dukhia claims that P3s have been a “disaster” in other places where it’s been tried, and the need for corporations to satisfy shareholders leads to reduced maintenance levels. “Samuel Polson donated that land (for VJH). That land is not for-profit,” he said, adding that an agreement would have a private firm operating the tower for 30 years. “We are mortgaging ourselves for the next 30 years.” Schrauwen says it costs more for private businesses to borrow funds than government so that will impact the price tag of the tower. “The financing of this new facility is beyond comprehension,” he said. “It’s high time that we started asking questions. What is this going to cost if we do this through public? What is this going to cost if we do this through private?” Jerry Oglow, NORD chairman, recently went on a tour of VJH with Dukhia and Schrauwen. “It’s interesting to see it from their perspective, from their environment,” he said.

But Spallumcheen director Lorna Bissell isn’t convinced P3s are negative. Bissell said a public-private partnership led to a new hospital being constructed in her former hometown of Brampton, Ont. “It wouldn’t be there today if it wasn’t P3,” she said of the financing needed. Tom Christensen, Okanagan Vernon MLA, refutes the claims from Dukhia and Schrauwen. “The experience with P3s in the province has resulted in significant savings of taxpayers’ dollars in construction and operating,” he said, adding that allows more money to be directed towards health care.“The government’s interest is to ensure we get quality facilities at good value.” Christensen denies that P3s are privatization of health care.“At the end of the day, the public owns the facility and the health care and maintenance services are paid for by the public,” he said.