Hospital funding commitment needs ‘iron clad’ conditions, councillor says

A letter formally seeking a $10.5-million local share funding contribution for the new South Niagara hospital has been met with hesitancy by Fort Erie councillors.

However, they were careful not to be outright hostile as discussions continue regarding the future of healthcare services in Fort Erie.

Still, several councillors at the December 15 meeting expressed some derision towards the tone of a letter marking the formal request by Niagara Health, as well as the proposal that council’s agreement could be tied with it receiving first “right of opportunity” to purchase the Douglas Memorial site for a nominal fee.

“There is no way I will ever support just handing them that amount of money without conditions attached to it that are iron clad to ensure that our municipality receives the value for investment that taxpayers are making,” said Councillor Nick Dubanow.

Fort Erie committed $3 million to a new South Niagara hospital back in 2013, but earlier this year passed a motion to withhold those dollars and consider how it could be used to fund other healthcare projects in town.

At the time it was evident Niagara Health would be formally requesting a larger amount from Fort Erie, as part of the local share funding that would cover 10 per cent of construction costs.

That request came in the form of the letter sent to Mayor Wayne Redekop and councillors, and signed by Niagara Health President and CEO Lynn Guerriero and Executive Vice President of Strategy, Research and Development Harpreet Bassi last month and presented to council on Monday.

“This contribution is an essential part of ensuring Niagara residents–including those in Fort Erie–will benefit from a stronger, more modern healthcare system,” the letter reads.

“As part of this opportunity, Niagara Health is pleased to extend to the Town of Fort Erie the first right of opportunity to acquire the existing Fort Erie site on mutually agreeable terms. Should council choose to participate in the local-share contribution, this would allow the Town to purchase the property for a nominal value in recognition of that partnership.”

Councillor Tom Lewis, who put forward the June motion to withhold the $3 million, had mixed feelings on the letter.

While he stressed any funding contribution should be tied to guarantees of maintaining a level of service in Fort Erie, Lewis did point out it was the first time he’s aware of that Niagara Health has acknowledged a potential future for the Douglas Memorial site and services in Fort Erie.

Still, he made clear he wasn’t ready to support their request on blind faith.

“I will not be bullied into funding uncertainty,” he said, describing the letter and proposal as “pressure disguised as partnership.”

Niagara Health’s letter said “timing is critical” given Fort Erie’s June motion, and also requested a response by January 31.

Councillors referred the letter to staff for consideration.

Stay Informed

Events, offers, contests, and breaking news, all delivered straight to your inbox.