Health
Demand and capital intentions
330. DHBs have assessed the impact of health service changes expected within the next 5, 10, and 20 years by considering demand (demographics, patterns of need, change in access and intervention rates) and supply (including new health technologies, new models of care, changes in workforce availability, workforce roles, changes in the location of service delivery and information technology advances).
331. Based on this, the projected requirements for additional capital (beyond what will be available from depreciation) is currently $233 million per annum in the first 5 years (to bring the condition of current infrastructure up to an acceptable level) and $77 million per annum for the remaining 15 years:
- New Health Capital Budget Funding Requirements by Year of Spend
- Source: Ministry of Health
- Total health capital spending
- Source: Ministry of Health
332. Projects currently under way:
| Project Name | Description | Driver | Project Budget[91] | Crown Funding | Est. Finish Date |
|---|---|---|---|---|---|
| Waikato - Service & Campus Redevelopment (SCR) | Redevelopment of Thames Hospital and core clinical facilities at Waikato Hospital | Meet demand | $249.3 | $125.0 | 2013 |
| Bay of Plenty - Project Leading Edge Organisation (LEO) | Redevelopment and expansion of facilities at Tauranga Hospital | Meet demand | $139.4 | $79.8 | 2011 |
| Counties Manukau - Core Consolidation | Major upgrade and reconfiguration of facilities at Middlemore Hospital including new ward building | Meet demand | $104.7 | $25.0 | 2009 |
| All DHBs - Oral Health Projects | Establishment of new infrastructure to implement the adolescent oral health policy | Facility upgrade | $116.0 | $116.0 | 2012 |
| NSDP | IT redevelopment | IT redevelopment |
333. Projects committed but not started:
| Project Name | Description | Driver | Project Budget[92] | Crown Funding | Est. Start Date | Est. Finish Date |
|---|---|---|---|---|---|---|
| Waikato - Acute Medical Precinct (AMP) Project | Creation of a modern acute medical facility of 100 beds over the Emergency Department (ED) | Meet demand | $29.8 | $0.0 | Mid-2009 | Mid-2010 |
| Hutt Valley - ED and Theatre Expansion | Doubling of ED and Theatres at Hutt Valley Hospital | Meet demand | $81.9 | $60.0 | Mid-2009 | 2011 |
| Lakes - Health Service Improvement Project (LHSIP) | Redevelopment of Taupo and Rotorua hospitals. Construction of new Clinical Services Block | Refurbish/replace | $89.5 | $39.4 | End of 2009 | 2011 |
|
Northland - Whangarei Hospital Redevelopment - Stage 1
|
Replacement of Acute Mental Health Unit and upgrade of campus infrastructure | Refurbish/replace | $25.1 | $0.0 | End 2009 | 2011 |
| Waitemata - Lakeview Extension | Expansion of Emergency Care Centre and additional acute medical beds (48) | Meet demand | $48.7 | $37.1 | End 2009 | Mid 2011 |
| Taranaki - Project Maunga | Redevelopment of Base Hospital at New Plymouth. Core clinical facilities will be replaced including an increase of 2 theatres | Refurbish/replace | $80.0 | $43.0 | End 2009 | 2012 |
| Counties Manukau - Towards 20/20 - Future Growth |
Major redevelopment of Middlemore Hospital. Replacement of core clinical facilities including 3 additional theatres. Completion of Edmund Hillary Ward Block |
Meet demand | $208.6 | $100.0 | Start 2010 | Mid 2015 |
334. In addition to the projects outlined above, DHBs are planning further capital projects which have yet to be developed or considered by Ministers. As noted above, at August 2008, total health capital expenditure, including replacement of clinical equipment, averaging $491 million per annum was projected over the next 20 years. Of this, new health capital funding of approximately $116 million per annum would be required.
