Dáil Éireann Debate, Tuesday - 28 March 2017
340. Deputy Róisín Shortall asked the Minister for Health the process for assessment of tenders for the building of the new national children's hospital; the precise basis on which value for money will be assessed; if cost comparisons will be made with other potential locations; and if he will make a statement on the matter. [14957/17]
View answerThe Government decision that the new children's hospital should be co-located with St James's on its campus in Dublin 8 was clinically led. In 2006, the McKinsey report, Children’s Health First, recommended that the population of Ireland and projected demand could support only one world-class tertiary paediatric centre, that this should be in Dublin and that it should ideally be co-located with a leading adult academic hospital to ensure relevant sub-specialty and academic linkages. In 2012, the Dolphin Review Group was commissioned to advise on the progression of the new children's hospital. Their report stated that “co-location is essential and tri-location optimal", and identified St James’s as the most suitable adult partner for the new children’s hospital from both a clinical and research perspective. St James’s Hospital has the broadest range of national specialties of all acute hospitals, as well as a strong and well established research and education infrastructure, making it the hospital that best meets the criteria to enable the children’s hospital achieve our vision of excellence in modern paediatric practice. In light of the above, the question of carrying out cost comparisons with other potential locations does not arise.
The National Paediatric Hospital Development Board (NPHDB) was appointed in 2013 to plan, design, build and equip the new children’s hospital on the St James's site and satellite outpatient and urgent care centres on the campuses of Tallaght and Connolly Hospitals. An internationally recognised Design Team supported by an experienced Board and Project Team are in place, and have followed best international design, planning and procurement process at each stage of the project. A highly competitive tender process, in which local and international companies participated, recently concluded for the core construction cost of the new children's hospital and satellite centres. More than 35 people participated in review panels for the tenders. The tenders were reviewed and measured against a number of technical and financial criteria, were independently peer-reviewed by construction experts with extensive experience of projects of this size and complexity and a company has been notified that it is the preferred bidder. I understand that the final construction elements of the project compare favourably to the costs of international projects of a similar size and scale.
The updated capital costs have been incorporated into the Definitive Business Case for the new children’s hospital, which has been prepared in accordance with the Public Spending Code which requires that projects are properly appraised, including the requirement for a Cost Benefit Analysis. The NPHDB is continuing to ensure that every stage of the project is delivered in accordance with national policy to optimal design and value for money, and along with the Children’s Hospital Group Board, continues to work closely with the HSE and my Department to deliver this much-needed world-class hospital.
