HOSPITAL REVITALISATION PROJECTS

REPORT TO THE SELECT COMMITTEE ON APPROPRIATIONS

AUGUST 2012

Northern Cape Department of Health & Department of Roads and Public Works

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BACKGROUND

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• Prioritization of projects is made from the Service Transformation Plan

• The project list Hospital Revitalisation Programme is submitted to the implementing agent for a minimum of twenty-four months prior to implementation to allow the necessary planning processes

• Project budget is allocated per project stage hence multi-year budgeting

• NCDoH has 3 projects at implementation stage & 1 at planning stage

KIMBERLEY MENTAL HEALTH HOSPITAL

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Contractor appointment on a joint venture between Vista Park Developers/Joh-Arch

Investment 2005

Tender price of R290 540 000

The project was to be implemented for 24 months

The Department of Roads and Public Works to a decision to terminate the contract in

December 2009

Physical progress at termination was at 70%.

An amount of R420 million has been spent on the project i.e. R350 mil on the

construction and R70mil on the professional fees. Litigation processes delayed the

appointment of a new contractor in 2010.

Second contractor: Inyatsi Construction

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Site hand-over took place on the 21st December 2011.

The contractor is appointed for an amount of R400 570 000.00 for the Hospital building, Internal road and Guardhouse.

PROJECT SCHEDULE To complete in 36 months

24 months for main Hospital Building, Internal road and Guardhouse 12 months for Staff Accommodation (tender to be awarded) Internal roads to service point 2012/13 Budget = 2012/13 Expenditure = R30mil (under negotiation with

NDoH and Treasury)

UPINGTON REGIONAL HOSPITAL:

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• Project description: Construction of a regional hospital with 267 beds• Status: Main Hospital & Staff accommodation– Construction commenced in 2006 (Phase 1: Earth works)– Construction commenced in 2008 (Phase 2: Main Hospital)– 100% construction of the hospital – Phase 3: Staff accommodation = 90% – Phase 4: Internal roads = 70%– Phase 5: EMS Station = 50%– Phase 6: TB (60 Bunit = 60%– Phase 7: External roads = 30%– 2012/13 Budget = R158 mil– 2012/13 Expenditure = R47mil

DE AAR REGIONAL HOSPITAL:

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• Project description: Construction of a regional hospital with 158 beds

• Status:

– Construction commenced in 2006 (earth works)

– Construction commenced in October 2010 (staff accommodation)

– Part A Staff accomodation = 100%

– Part B Staff accomodation = 92%

– Fence and reservoir = 100%

– TB hospital = 60%

– External roads = Planning complete

– Site handed over in October 2011 for main hospital = 29%

– 2012/13 Budget = R180mil

– 2012/13 Expenditure = R45mil

KURUMAN REGIONAL HOSPITAL:

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• Status:

– Feasibility studies (EIA, Geo-tech (to commence upon registration of site) & business case)

– Completion of business case in 2012

– Completion of project brief in 2013

– Construction projected to commence in 2016

– Project cost estimate R1bil