Hon Giz Watson questions the Minister of Health regarding a delay in funding for the Kalgoorlie Regional Hospital upgrade. The Minister explains the delay is due to the volume of construction work in WA, and clarifies the project's cashflow will occur over multiple years.

AnsweredQoN 4969Legislative Council
Asked
27 June 2007
Portfolio
Health

QuestionView source ↗

(1) Can the Minister explain why last year the budget estimates included $6 million to be spent in 2007-08 on the hospital when it now has been revealed that no money will be spent until 2008-09?
(2) If no to (1), why not?
(3) Will the Minister ensure that the promised $40 million upgrade to the Kalgoorlie Regional Hospital, is spent in the 2008-09 year?
(4) If no to (3), why not?

AnswerView source ↗

Answered
14 August 2007
Responded by
Minister for Child Protection representing the Minister for Health
Response time
48 days
(1) The 2006/07 budget papers included $6.0 million in the 2007/08 financial year for the commencement of building work on the $40.0 million development. Since then it has become apparent that, with the volume of construction work in Western Australia, it will not be possible to design and construct all of the planned projects across the State in the same time frame. As a consequence, the Kalgoorlie development has been moved out 12 months and a cashflow of $2.8 million included in 2008/09.
(2) Not applicable.
(3) It has never been the case that total cash flow and construction for the Kalgoorlie redevelopment would occur within only one financial year. For projects of this size and scope, planning, construction and cashflow usually occur over a duration of greater than one year. It is planned to commence building work in that year and for the balance of the cashflow to follow in the subsequent years.
(4) Not applicable.
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