INFRASTRUCTURE ONTARIO AWARDS CONTRACT FOR MENTAL HEALTH CENTRE PENETANGUISHENE REDEVELOPMENT PROJECT

PENETANGUISHENE, ON, Jan. 31 /CNW/ - Mental Health Centre Penetanguishene (MHCP) and Infrastructure Ontario today announced that Integrated Team Solutions (ITS) has signed a contract with the hospital to design, build, finance and maintain a new, state-of-the-art forensic mental health facility.

Built on the hospital's existing site, the new hospital will replace the 160-bed Oak Ridge Facility and the 20-bed Brebeuf Facility, offering a larger, more modern space for treatment and care of people with mental health disorders who have been involved with the criminal justice system. Once complete, the new facility will consolidate MHCP into a more efficient, integrated complex.

Today's announcement signifies that all contractual steps have been completed and the project can move forward. Construction of the new building is expected to begin in early 2011 and will be completed in November 2013.

The project will create hundreds of construction jobs through the employment of local trades and construction related suppliers. At the height of construction, as many as 300 workers are expected to be on site daily. Labour and materials for the project will be drawn largely from the Midland-Barrie-Simcoe areas and the surrounding communities.

The ITS consortium represents a joint venture between EllisDon Corporation and Fengate Capital Management Ltd., with EllisDon also providing construction services. The facility was designed by Cannon Design and Honeywell Limited will provide facilities management. National Bank Financial Inc. acted as the financial advisor to ITS.

MHCP has signed a contract with ITS for $474.1 million, in current (2011) dollars. When adjusting for the anticipated inflation over the 30-year contract term, the contract value is $634.1 million.

MHCP's redevelopment project will be delivered using an Alternative Financing and Procurement (AFP) model.

MHCP aims to achieve Leadership in Energy and Environmental Design (LEED®) Gold certification for the design and construction of the new facility. LEED® standards focus on healthy indoor environments, reduced greenhouse gas emissions and efficient use of energy, water and other resources.

Infrastructure Ontario and the Ministry of Health and Long-Term Care are working with Mental Health Centre Penetanguishene to develop the new hospital, which will remain publicly owned, publicly controlled and publicly accountable.

Infrastructure Ontario is a Crown corporation dedicated to delivering some of the province's larger and more complex infrastructure renewal projects - ensuring they are built on time and on budget; as well, it is dedicated to providing the public sector and not-for-profit organizations with long-term financing to renew their infrastructure. 

Mental Health Centre Penetanguishene is a 312-bed psychiatric hospital located on Georgian Bay in the Town of Penetanguishene, approximately 150 km northwest of Toronto. MHCP provides an extensive range of both acute and longer-term psychiatric inpatient and outpatient services to all of Simcoe County, part of Dufferin County and the southern portion of Muskoka/Parry Sound. In addition, MHCP provides the province's only maximum secure forensic hospital for clients served by both the mental health and justice systems.  The hospital is recognized for the provision of exceptional care to those most needing mental health services and for its contributions to the understanding of mental illness.

Visit www.infrastructureontario.ca or www.mhcp.on.ca for more information.

Quotes:

Honourable Bob Chiarelli, Minister of Infrastructure
"This project is part of the largest reinvestment in health care facilities in Ontario in more than a generation. By investing in our health care infrastructure, we are stimulating the economy, creating jobs and building stronger and healthier communities."

Aileen Carroll, MPP for Barrie
"This project is important not only for the many health care benefits it will provide, but also for the construction jobs it will create and the stimulus it will generate in the region and surrounding communities."

John McCullough, Board Chair of Mental Health Centre Penetanguishene
"With our partnership with ITS formalized, we look forward to the important work of building a state-of-the-art facility that will have enormous benefits on the people we serve and will help support a new era in mental health care. This project is also wonderful news for our community as it will have a tremendous economic spin-off, including construction and trades job creation."

Carol Lambie, President and CEO of Mental Health Centre Penetanguishene
"Today is a momentous day for our hospital. We wish to thank the government and our community for their commitment to our vision, and we look forward to a long and productive partnership with Integrated Team Solutions."

Disponible en français

Backgrounder


MENTAL HEALTH CENTRE PENETANGUISHENE PROJECT

Integrated Team Solutions (ITS) has signed a contract with the Mental Health Centre Penetanguishene (MHCP) to design, build, finance and maintain a new state-of-the-art forensic mental health facility. The ITS consortium represents a joint venture between EllisDon Corporation and Fengate Capital Management Ltd., with EllisDon also providing construction services. The facility was designed by Cannon Design and Honeywell Limited will provide facilities management. National Bank Financial Inc. acted as the financial advisor to ITS.

Long-term fixed rate financing for the Mental Health Centre Penetanguishene is being provided by Sun Life Assurance Company of Canada and The Canada Life Assurance Company as advised by National Bank Financial, together with short-term financing provided by National Bank of Canada and the Toronto-Dominion Bank. Equity is being provided by Fengate Capital Management on behalf of LPF Infrastructure Fund and OE Infrastructure Fund, and EllisDon Corporation.

ITS participated in an open, fair and competitive procurement process and submitted the proposal with the best value for Ontario taxpayers.

The contract with ITS
The Mental Health Centre Penetanguishene project will be delivered using an Alternative Financing and Procurement (AFP) model. Under the terms of the project agreement, ITS will receive annual payments from the province over a 30-year period. These payments cover design, construction, project financing and building maintenance for 30 years after construction. The contract with ITS is for $474.1 million in current (2011) dollars, to be delivered by a fixed completion date. When adjusting for the anticipated inflation over the 30 year contract term, the contact value is $634.1 million. The project agreement also makes ITS responsible for any design issues, project management and sub-contractor coordination, increases in construction material prices and labour costs, schedule and project completion delays, and other related construction risks. In the past, the public sector assumed these risks; however, the AFP model now transfers these risks to the private sector - to ITS, in this case.

The province's 30-year maintenance agreement with ITS will ensure that the physical components of its new facilities — roofing structure, windows, floors, elevators, heating and cooling systems, and other components — are kept in excellent working condition over the term of the agreement. Under the project agreement, if the building requires a new roof or a new boiler, the private sector replaces and pays for it.

Disponible en français

SOURCE Infrastructure Ontario

For further information:

Laurene Hilderley-Sibley      Lyndsie York
Mental Health Centre Penetanguishene     Infrastructure Ontario
705-549-3181 ext 2214       416-326-9368

Profil de l'entreprise

Infrastructure Ontario

Renseignements sur cet organisme


FORFAITS PERSONNALISÉS

Jetez un coup d’œil sur nos forfaits personnalisés ou créez le vôtre selon vos besoins de communication particuliers.

Commencez dès aujourd'hui .

ADHÉSION À CNW

Remplissez un formulaire d'adhésion à CNW ou communiquez avec nous au 1-877-269-7890.

RENSEIGNEZ-VOUS SUR LES SERVICES DE CNW

Demandez plus d'informations sur les produits et services de CNW ou communiquez avec nous au 1‑877-269-7890.