Another privatized P3 success story

Moncton's new privatized "public private partnership" (P3) courthouse is scheduled to open Monday, 2½ years late and costing almost twice the original estimate.

The building was slated to open in May 2008 at a cost of $27 million, but wound up costing more than $50 million.

The courthouse was built in a public-private partnership arrangement with the Province of New Brunswick.
Citigroup Properties constructed the building and is responsible for operating and maintaining it. The city will lease the building for 30 years at $7.1 million a year.

Advocates, naturally see this as a big success. Michel Boudreau, the head sheriff in Moncton, said Thursday that the new courthouse will mark a vast improvement over the existing one in terms of security, starting with a metal detector at the front door. "It's hard to put a dollar amount on people's security and safety."

With this sort of outcome for Ontario P3 hospitals, however, there won't be enough money left over to provide a lot of health care in the new facilities (something they are finding out in Britain's P3 hospitals).

dallan@cupe.ca

Comments

More spending on new hospitals and new beds? Nope

Hospital funding: There is something off about the provincial government's Budget claims on hospital capital funding (funding to build and renovate hospital beds and facilities). For what it is worth (which is not that much, given the long time frame the government cites), the province claims it will increase hospital capital spending over the next 10 years from $11 billion to $20 billion – or on average to about $2 billion per year. But, this is just a notional increase from the previous announcement of future hospital capital spending. Moreover, even if we did take this as a serious promise and not just a wisp of smoke, the government's own reports shows they have actually funded hospital infrastructure about $3 billion a year over the 2011/12-2015/16 period. So this “increase” is really a decrease from past actual spending. Even last year's (2016-17) hospital capital funding increase was reported in this Budget at $2.3 billion - i.e. about 15% more th

Ford government fails to respond to 72% increase in COVID inpatient days, deepening the capacity crisis

COVID infections continue to drive up hospital costs and inpatient hospitalizations in Ontario. For the most recent fiscal year (April 1, 2022- March 31, 2023) hospital stays related to COVID cost $1.221 billion, according to new CIHI data. This is about 4% of total hospital spending, creating a very significant new cost pressure beyond the usual pressures of population growth, aging, inflation, and rising utilization. Costs for COVID related hospitalizations increased 22.2% in Ontario in 2022/23 from the previous fiscal year, rising from $999 million to $1.221 billion. That rise is particularly notable as the OMICRON spike of late 2021 and early 2022 had passed by the the 2022/23 fiscal year. The $222 million increase in COVID hospitalization costs came in the same year as the Ford government cut special COVID funding and, in fact, cut total hospital funding by $156 million. In total, there were 60,653 COVID hospitalizations in Ontario in 2022/3, up from 47,543 in 2021/2.

Paramedic Services in Canada: Structure, Privatization, Unionization and other issues

Governance and Funding : While police and fire services are usually municipal services, Emergency Medical Services (EMS) are typically controlled by provincial governments. In Ontario, regional municipal governments have responsibility for delivering and funding EMS. But even in Ontario the province plays a key role, strictly regulating EMS, providing funding for 50% of the approved land ambulance costs, and paying 100% of the approved costs for air ambulance, dispatch, base hospitals, First Nation EMS, and for territories without municipal government. Delivery : Like police and fire services, EMS is predominantly a publicly provided service in Canada. But businesses have now made some significant in-roads into EMS, primarily Medavie, a private corporation based in the Maritimes that describes itself as not-for-profit. Medavie goes back over 70 years, with its roots in health insurance. It still operates Medavie Blue Cross with 1,900 employees. It now a

Defend Public Healthcare

Search This Blog