Nova Scotia strikes deal with private company for renovated health centre

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Nova Scotia strikes deal with private company for renovated health centre
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Health Minister announces that long-term care company Shannex will pay the government $46-million to take over Hogan Court, unfinished hotel being converted into a facility for patients who no longer need hospital care

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A provincial health care renovation project that has drawn pointed criticism from Nova Scotia’s Auditor-General is being turned over to a private company.

The minister told reporters that the expansion of the project will enable the facility to offer a wider range of care than originally anticipated through the hotel renovation. The expansion of the Bedford project means a transitional care facility planned for Bayers Lake in the Halifax area won’t be built, leaving health officials to rethink further use for the province-owned land.

The Auditor took aim at about $81-million in untendered contracts for the development of both of the planned transitional care facilities, saying they didn’t comply with government procurement protocols. That figure included a five-year, $67.5-million contract that was awarded to Shannex to operate Hogan Court.

“I think they were fortunate to have Shannex come in and hopefully clean up this mess and turn it into something that’s going to be really valuable for patients,” said Mr. Churchill.

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