by Auditor General Kim Adair finds the province’s buying and conversion of an unfinished hotel in Bedford to a transitional healthcare facility has resulted in project delays, cost increases, and reduced service capacity because of design limitations.
The Province spent $34.5 million for the Hogan Court hotel in what Adair calls an unusual purchasing arrangement with a developer.
She says it also quickly approved a $15 million renovation budget without detailed cost estimates.
Her report also finds about $81 million in untendered contracts in a wider look at the development of transitional healthcare facilities.
Adair’s report makes six recommendations, including establishing formal guidelines for approving the buying of land and existing buildings.