Infrastructure Ontario (IO) and Mackenzie Health (MH) have awarded a fixed-price contract to Plenary Health to design, build, finance and maintain the new Mackenzie Vaughan Hospital in Canada.

The contract is valued at approximately CAD1.3 billion (US$974.7 million) which reflects the payments made during construction, the substantial completion payment and the monthly service payments before inflation adjustments. This figure does not reflect the total project cost.

With all contractual steps now completed, construction will begin immediately and work is expected to be completed in 2020.

The Mackenzie Vaughan Hospital project is a significant economic opportunity for local suppliers and contractors. At the peak of construction, Plenary Health estimates that more than 600 workers will be on site daily.

The Mackenzie Vaughan Hospital project underwent an open, fair and competitive procurement process and Plenary Health submitted the proposal that delivered the best value for Ontario taxpayers. IO and MH announced Plenary Health as the preferred proponent in August 2016 after extensive evaluations following a request for proposals process that began in June 2015.

The Plenary Health team includes:

• Developer: Plenary Group (Canada) Ltd.
• Equity Providers: Plenary Group (Canada) Ltd., PCL Investments Canada Inc.
• Design-build: PCL Constructors Canada Inc.
• Design: Stantec Architecture Ltd.
• Facilities management: Johnson Controls Canada LP
• Financial Advisor: Plenary Group (Canada) Ltd.

Mackenzie Vaughan Hospital is the first hospital to be built in the city of Vaughan, and the first new hospital to be built in the York Region in the last 30 years. It will also be the first hospital in Canada to feature fully integrated “smart” technology, which features systems and medical devices that can speak directly to one another to maximize information exchange. Through modern and proven best practices, the hospital will provide state-of-the-art healthcare and positive outcomes for patients and their families.

The new Mackenzie Vaughan Hospital will include:

• A state-of-the-art emergency department
• Modern surgical services and operating rooms
• Advanced diagnostic imaging
• Specialized ambulatory clinics and intensive care beds
• Approximately 90 per cent single occupancy acute-care patient rooms for infection prevention and control

The project will focus on sustainable design and construction with the goal of achieving Leadership in Energy and Environmental Design (LEED) Silver certification. LEED buildings focus on healthy indoor environments, reduced greenhouse gas emissions and efficient use of energy, water and other resources.

Bob Chiarelli, Minister of Infrastructure, said:

“With this contract we are realizing the community's vision for a hospital that will provide Vaughan residents with the next level, high-quality care they need, when they need it, close to home. This hospital will also create long-lasting financial impacts for the community by generating jobs, supporting local businesses, and stimulating the province's economy.”

Ehren Cory, Divisional President, Project Delivery, Infrastructure Ontario, stated:

“Infrastructure Ontario is extremely proud of getting this contract signed and we are excited to see the project move ahead. We look forward to working with our partners at Mackenzie Health and Plenary Health to deliver this project safely and effectively.”