Transfield consortium to construct Northam hospital

10/9/93

Northam's new $13.8 million 40-bed regional hospital will be designed and constructed by a consortium headed by Transfield Construction (WA).

In the joint statement today, Health Minister Peter Foss and Works and Services Minister Graham Kierath said the company had been awarded the tender after a staged selection process which started in November 1992.

"The Transfield bid identified cost efficiencies in the procuring and operating processes of the hospital," Mr Foss said.

The Minister said that the three-stage tender process for the hospital contract had been approved by the former Government and expressions of interest were sought in November 1992.

Construction of the hospital was expected to commence in November this year and to be completed by late 1994.

"The news should be welcomed by the people of Northam and comes as progress is being made on the adult day care centre and construction is due to commence on the 40-bed Avon Nursing Home," Mr Foss said.

"This the first tender which has been assessed taking into account not only the cost to the State of the capital invested in the building, but also the recurrent cost of the design submitted over the life of the building.

"Not only does this benefit the health system financially, but it is also a responsible attitude environmentally.

"In future we intend that environmental matters are properly built into the assessment of all our buildings."

Works and Services Minister Graham Kierath said the Building Management Authority and the Health Department would begin discussions with the company to review the functionality of the hospital and reduce overall costs.

Mr Kierath said the plans for the new hospital followed the Newcastle earthquake in 1989 and a minor local tremor in 1990.

"It was necessary to conduct a reassessment of the earthquake status of the hospital and that resulted in it failing to meet the current building codes for earthquake zones," he said.

"The old hospital has been modified to withstand damage should an earthquake occur while the new hospital will be constructed to meet the current earthquake zone building requirements."

Media contacts: Jeanne Klener and Brian Coulter 222 9595