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‘Not reasonable’ says Armour Mayor about added hospital costs

'For us now to go back and tell the citizens we have to bump that up even further I don’t think is reasonable'
2023-armour-mayor-rod-ward
Armour Mayor Rod Ward says a formula was worked out where the 10 Almaguin Highlands municipalities would contribute $9.5 million spread over 12 years.

Rod Ward, the chair of the Almaguin Highlands Health Council, welcomes the news that 10 additional acute care beds are being proposed for the Muskoka Algonquin Healthcare Hospital redevelopment project.

However, the Armour mayor adds there’s a "but."

Ward says the Almaguin Highlands communities won’t be increasing their local share to pay for the proposed 10 new beds, which are estimated to add between $40 million to $50 million to the project.

The MAHC board is set to vote on the expanded project on Oct. 10.

See: Almaguin and Muskoka commit to mega hospital project

The entire project was estimated at $967 million with the Ministry of Health paying for about three-quarters of the cost leaving the District of Muskoka and 10 municipalities in the Almaguin Highlands to cover the remainder which was about $225 million.

Ward says a formula was worked out where the 10 Almaguin Highlands municipalities would contribute $9.5 million spread over 12 years.

“For us now to go back and tell the citizens we have to bump that up even further I don’t think is reasonable,” Ward said.

Ward also says the decision to add 10 more acute care beds is the result of discussions to “satisfy concerns in South Muskoka.”

The redevelopment project calls for new hospitals to be built in Huntsville and Bracebridge and the extra 10 beds are destined for Bracebridge.

Ward says when talks began about adding $50 million to the project, there was no suggestion that what was proposed was something that would be more beneficial across the entire region.

Ward says the dialogue about the 10 beds was very specific.

Ward stressed the point that he doesn’t want the Muskoka Algonquin Healthcare Capital Redevelopment Committee to conclude the Almaguin Highlands suddenly no longer supports the project.

He says the Almaguin Highlands municipalities have supported the redevelopment model from day one and have made this clear with the $9.5 million local share commitment.

Additionally, Ward says what the Highlands Health Council also made clear was the $9.5 million commitment pushed the financial limits of the small communities and furthermore they wouldn’t be able to go beyond that amount.

“It’s really not reasonable to ask this area to contribute anymore (money) based on this very specific cost that we weren’t counting on,” Ward said.

Ward has talked to Cheryl Harrison, the hospital CEO, and Jeff Lehman, the chair of the District Municipality of Muskoka, about not expecting any more money from the Highlands beyond the $9.5 million.

“I said I didn’t think we could go back to our taxpayers and ask for any further contribution toward our local share; $9.5 million for 10 small municipalities is huge,"  Ward said. "It’s a big undertaking as it is. There wasn’t an initial response from them, but I don’t think they were surprised.”

Ward acknowledged it was always possible that in the future Almaguin Highlands residents could use one of those additional 10 beds in Bracebridge.

“But the way we’ve always viewed this redevelopment is Muskoka Algonquin Healthcare is one hospital with two locations — in Huntsville and Bracebridge,” Ward said.

Asked who should ante up the difference, Ward said it was only his opinion, but he believed it should be South Muskoka since “they’re the ones who have been pushing for this.”

Ward says this is a discussion the District of Muskoka is going to have at some point.

Ward also said there is the option to ask the Ministry of Health for further funding support but again noted this was only his opinion.

Ward was also asked if the hospital redevelopment project could be jeopardized if the Almaguin Highlands didn’t increase its portion of the local share.

“I don’t believe so, I don’t believe it will have an impact,” he said.

The 10 Almaguin Highlands municipalities are Armour, Burk’s Falls, Ryerson, Perry, McMurrich/Monteith, Kearney, Magnetawan, Sundridge, Strong and Joly.

Combined, they have a population of 12,242 people.

Rocco Frangione is a Local Journalism Initiative reporter with Almaguin News. The Local Journalism Initiative is funded by the Government of Canada.