The $120 million project, to be started by late 2018/early 2019, will also shift all services from the Bourke Street Health Service (BSHS), leaving the building vacant.

The Southern NSW Health District has leased the former St John of God Hospital since 2004, continuing a long tradition of care at the facility.

Former Goulburn Health Services manager Kerry Hort is overseeing the much-awaited project. Last year she was appointed project lead, Goulburn Hospital and Health Service Redevelopment.

She told the Post a greenfield site had been discounted, given the advantages of current onsite infrastructure.

In a presentation on Monday she and Steve Hall from Health Infrastructure NSW unveiled plans for the first stage, which would soak up the $120 million State funding.

It covers construction of a four-storey building rivaling the height of the current lift well.

Fronting Goldsmith St, it will unite all acute care services from the current hospital and BSHS.

"I'm terribly excited by it," Ms Hort said. "It's a fabulous opportunity for Goulburn to have modern day facilities that will stand us in good stead for the future.

"The staff are wonderful but they've been working in difficult circumstances with ageing infrastructure for a long time. This will also be a lot better for patients."

The work is expected to be completed by 2021/22. It will involve demolition of the current Springfield House, housing mental health services, and Lady Grose House at its rear.

The new structure will occupy this space and a section of the current hospital entry and emergency area, but will not touch the 1887 E.C. Manfred heritage-listed part of the hospital.

Ms Hort said the hospital would remain fully operational during construction.

The four-storey building includes: a lower ground floor using the land's slope on Goldsmith St for the emergency department, with ambulance drop-off on Faithfull St, radiology department and ambulance bays; ground floor - cafe, new car park, main entry, intensive care unit, pathology and peri-operative; first floor - surgical, maternity, paediatrics and plant; and second floor - medical inpatient unit.

The new building will house four new operating theatres and unite medical imaging, currently split across four locations.

The $120m also secures a new main entry and reception on Goldsmith St, unplanned ambulatory care, pre-admission, day surgery, recovery and relocation of the Marian Unit from BSHS.

Ms Hort said while a large amount had been spent improving the emergency department, the flow of ambulances remained poor.

“Ambulances pull up and take patients across a public area which is not ideal,” she said.

The work includes a ground floor link from the Faithfull St entry to the new part of the hospital to convey emergency patients.

Likewise, there will be two lifts in the four-storey section: one for the public and another for patients to maintain privacy.

Ms Hort said the new building would free up significant space in the existing structure. This could be developed into ambulatory care as part of a second stage but it was dependent on funding.

“There’s a lot of work to be done on this (investigations),” she told the Post.

Health Infrastructure has been working on plans since last year and a business case has been completed but not approved.

The concept keeps an eye on the future with a zone allocated for expansion, possibly for mental health. Ms Hort said this would involve uniting all mental health services on the site, which were currently split across Goulburn Base, Kenmore and Bourke Street.

A clinical services plan completed last year ahead of the hospital’s redevelopment recommended their consolidation to provide “integrated care.”

Ms Hort could not say what would happen to the Kenmore buildings, telling the Post it was “a long way off” and not the subject of detailed planning at this stage.

However the Chisholm Ross Centre would stay on its existing site.

Pathology and pharmacy, contemporary education and training facilities and non-clinical support are also slated for future development.

All are dependent on funding but Ms Hort said Goulburn Base remained a top priority in Health Service asset planning.

The project also incorporates a parking plan, solving a current shortage of spaces. More work is yet to be undertaken on this.

Similarly, a workforce plan has been completed. Ms Hort said it was essential that the redevelopment could be supported by staff and was financially viable.

She cited numerous benefits flowing from the upgrade, including financial efficiences achieved by not operating at two campuses; improved staff and patient amenities; new models of care and importantly, increased capacity to meet future demand. Health authorities forecast the Goulburn Mulwaree and Upper Lachlan population will grow by 8.2 per cent to 41,000 by 2031, with a major increase in the aged sector.

The plan also places major emphasis on home care services to reduce hospital admissions.

Ms Hort and her team have been unveiling the plans to community groups, including Rotary Clubs, Lions, the Friendship Club and many others. Goulburn MP Pru Goward and Mayor Geoff Kettle have also been briefed.

“It’s a decision made by lots of people, with numerous options looked at and narrowed down,” she said of the project.

“I think the process has been very thorough with a lot of science behind it. We had six key questions that had to be answered and every service, including mental health, was looked at and rated to identify the areas of highest need.

“It’s been a very positive process. The decision is a good one that will have very good flow-on benefits.”