NL

Liberals cancel call for proposals on private long-term care

The new Liberal government of Newfoundland and Labrador has thrown out a request for proposal for long-term care beds that was initiated by the former Progressive Conservative administration.

Health Minister John Haggie says process was 'too narrow' by considering just one option

Health Minister John Haggie announced Friday that the provincial government has cancelled a request for proposal process that invited the private sector to build, own, maintain and operate long-term care facilities. (CBC)

The new Liberal government of Newfoundland and Labrador has thrown out a request for proposal process for establishing privately-run long-term care beds in the province.

The government has also committed to ensuring public sector workers continue to provide care in any new facilities.

It's a dramatic pivot in a course first charted by the former Progressive Conservative administration.

Health Minister John Haggie said in a statement Friday afternoon that the process was "too narrow" because it considered only one option: having the private sector build, own, maintain and operate long-term care facilities.

Haggie said the Liberals have closely evaluated the initiative set in motion by the PCs, and found it lacking.

"We are now working to explore alternate, more fulsome solutions to meet the needs of residents in all regions," Haggie said.

"This means finding the right tools for the design, construction, financing and maintenance of facilities, including traditional delivery and performance-based infrastructure. With today's fiscal realities in mind, we must work to achieve a health care system that is cost-effective, responsive and efficient."

Then-premier Paul Davis announced in April that his Progressive Conservative government would consider a larger role for the private and non-profit sector in the provision of long-term care services.

The plan called for the addition of 120 new beds in Corner Brook, 120 between Grand Falls-Windsor and Gander, and 120 new beds on the northeast Avalon.

The new facilities were to be constructed, owned and operated privately.

The Tories had extended the request for proposals for three months into January, but that process is now cancelled, Haggie stated.

Instead, he announced three measures to meet the the immediate demands for long-term care beds are now being assessed as part of the 2016-17 budget process.

They include:

  • continuation of the enhanced care in personal care homes pilot project;
  • enhancements to community support services; and
  • exploration of a Home First Strategy to prevent or delay admission to a long-term care facility.

Transportation and Works Minister Al Hawkins said it's only prudent to pause the process, and ensure that a broader range of potential options are explored.

"There has been valuable work done to this point and now we will move forward to gather information on alternate solutions for required facilities, with the public sector providing direct care," he said.

Plan to be developed

As for next steps, Haggie said a thorough functional plan and costing for long-term care facilities will now be developed.

He said the required policies and legislation to ensure quality services are delivered will also be drafted.

Not surprisingly, the province's largest public sector union welcomed Friday's announcement.

The Newfoundland and Labrador Association of Public and Private Employees (NAPE) had vigorously opposed the plan to develop public-private partnerships.

"This is certainly welcome news for our union and for the people of the province," said NAPE president Jerry Earle.

"Our union had serious reservations about the RFP process for long-term care, specifically regarding the public-private partnership model as it relates to quality and safety of services, value for money, and the lack of transparency surrounding the entire process."