THE sale of Kenmore Hospital to a Victorian company is likely to be completed by the end of this year, Southern Area Health Service representatives told a council meeting on Tuesday night.
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The service's CEO Stuart Schneider, finance director, Neville Onley and support services manager, Andrus Tonismae attended the meeting at the invitation of Goulburn Mulwaree Council to outline plans for local health facilities and services.
Mr Tonismae told councillors that the "Kenmore Hospital saga" was nearing an end.
"It's been going on a long time, and while the sale itself is not in SAHS hands, we were advised today that settlement was imminent and would probably take place by the end of the year," he said.
The State Government is selling the complex to Longreach Capital Pty Ltd, ahead of a master plan's approval. Once the sale is settled, Goulburn Mulwaree Council will assess the proposal.
A spokesperson for NSW Health said yesterday that Goulburn Mulwaree Council is expected to release a plan of subdivision for the site (the part to be sold) shortly and this would enable a title to be created, and the sale to be settled.
Asked what assurances the community could have that the development would proceed, given the changed sale conditions, the spokesperson said that negotiations were still underway.
"Appropriate amendments to the contract for sale are yet to be formally agreed between the parties but are being negotiated in accordance with advice from the Crown Solicitor and involve a request by the Government for a bankers guarantee," the spokesperson said.
Refurbishments and new works on the site would have to comply with a conservation management plan and be approved by the Heritage Council.
Meanwhile, SAHS has this week gained approval to appoint a project manager to oversee a $3.7 million plan to rebuild areas affected by the hospital sale and transfer staff into them. This follows an expression of interest process.
A combined occupational therapy and administration building, three homes and car parking will be built on a subdivided section of land in the northern part of the grounds.
In addition, heritage farm buildings will be restored.
"All work will be completed by December 2005 so we only have a short timeframe to complete a fairly major project. It was heartening to get approval through today for the appointment of a project manager," Mr Tonismae told the meeting.
After the meeting Mayor Paul Stephenson said Council had been told every few weeks for quite some time that the hospital sale would be happening.
"It seems odd if the sale price mooted is correct (unconfirmed $2.8 million) that the SAHS is spending $3.7 million to build something that is already there. It gets crazier by the minute."
But NSW Health contends that the new facilities will improve services and allow rationalisation of others.
"Significant recurrent savings are anticipated to flow to the SAHS," the spokesperson said.
