July 6, 2015

Construction One Step Closer: Partner Team Chosen for the New Saskatchewan Hospital North Battleford

Access Prairies Partnership has been selected to build the new Saskatchewan Hospital North Battleford provincial psychiatric facility
For Immediate Release
Government of Saskatchewan

Access Prairies Partnership has been selected to build the new Saskatchewan Hospital North Battleford provincial psychiatric facility as a design-build-finance-maintain public-private partnership (P3).  The new 188-bed facility will have 32 more beds and an integrated 96-room correctional centre that will provide support for offenders living with mental health issues.  This is an innovative approach for delivering mental health care and supports to clients with significant psychiatric rehabilitation needs.

Access Prairies Partnership was selected after successfully completing a competitive best value selection process.  Access Prairies Partnership includes the following partners as an integrated team:

  • Graham Design Builders LP
  • Carillion Canada Inc.
  • Gracorp Capital Advisors LP
  • Carillion Private Finance Ltd.
  • Kasian Architecture Interior Design and Planning Ltd.
  • WSP Canada

Based on preliminary numbers, this project will have significant economic benefits for the province by creating more than 1,500 jobs in Saskatchewan.

“This new project demonstrates our government’s commitment to acting on the recommendations of the Mental Health and Addictions Action Plan,” Environment Minsiter and Battlefords MLA Herb Cox said.  “This new facility will ensure people in Saskatchewan have access to timely and appropriate services they need.”

“Prairie North Health Region is thrilled that replacement of the century-old Saskatchewan Hospital North Battleford is another step closer to reality,” Prairie North Regional Health Authority Vice-President of Primary Health Services including Saskatchewan Hospital North Battleford Vikki Smart said.  “We look forward to working with Access Prairies Partnership and with our ministry partners toward the milestone our patients, staff and community are eagerly awaiting – turning of the sod to signal the start of construction on the new mental health facility.”

Based on the final bid, SaskBuilds and its external financial advisors determined there was value for money delivering the project using a P3 model.  There is value for money when the cost of delivering a project using a P3 model is less than the cost of delivering the same project using a traditional approach.  The value for money calculation includes P3-related costs, such as private financing.

“The P3 model is the right choice for delivering this leading-edge project in the most cost effective and timely way,” SaskBuilds Minister Gordon Wyant said.  “By using a P3, Saskatchewan people can enjoy the benefits of publicly owned facilities sooner than could otherwise be achieved through a traditional approach and also be assured the projects will be built on-budget.”

Contract negotiations will now begin with the intent to finalize terms of the contract in summer 2015.  The contract’s final financial details will be disclosed once contract negotiations and signing are complete at financial close.  Releasing this information sooner could harm the province’s negotiating position.  The value for money report will be based on the final agreement and released at the earliest opportunity following financial close.

Construction on the publicly owned facility is expected to begin in summer 2015 and be complete by spring 2018.

SaskBuilds is leading an open, transparent, and fair procurement process that is monitored by an external Fairness Advisor.

http://www.saskatchewan.ca/government/news-and-media/2015/july/06/shnb-proponent-announced