The Legislature has approved special planning permission for the redevelopment of King Edward VII Memorial Hospital.

Senators passed the King Edward VII Memorial Hospital (Special Planning Provision) Act 2009, which will give planning permission in principle to the general overview of the project.

Bermuda Hospitals Board (BHB) is teaming up with the private sector for the $315 million upgrade, to bring the hospital up to modern day standards over the next five years.

It represents the Island's first PPP Public Private Partnership, and is part of a 25-year upgrade of the ageing facility.

The Act states planning approval in principle will relate to: layout, situation and setback; site coverage; the height of buildings up to a maximum of 215 ft above mean sea level; design and external appearance of buildings; traffic access and parking; pedestrian access; and landscaping.

However, permission is granted subject to conditions such as surveys, statements and reports.

The Senate's approval yesterday follows the passing of the Bill in the House of Assembly on November 20. Health Minister Walter Roban described the project to MPs as "a national priority", but other MPs voiced concern at the maximum height of the development set at 215 ft.

Mr. Roban explained the Act was just to establish "the design parameters".

Yesterday Government Senators Thaoo Dill and Walton Brown further explained the need for the Special Planning Provision.

Sen. Dill, Junior Minister of Health, described it as "Bermuda's largest and most complex project in our history".

He said Government was acting as the guarantor on the project, on which ground will be broken "in just over a year's time".

BHB had hired John Hopkins Medicine International as consultants while KPMG are also business consultants.

Sen. Brown said: "This project is certainly on time and on budget. To ensure it remains so, BHB must release by the end of this year an RFP (Request for Proposals) to the three PPP bid teams which were shortlisted last month."

These are Balfour Beatty Capital Inc., Bermuda Healthcare Solutions and Paget Health Services.

Sen. Brown said: "The three teams will be looking for assurances that in principle planning permission is in place for this site, and it will help to set the parameters for their designs.

"A PPP project is unusual with respect to its requirement to planning."

He said: "The private partner will not be chosen until late summer of next year, as a consequence it is important to submit a design for in principle planning permission because it has not yet been conceived."

He said that the three bid teams had to send their RFP documents in by the end of this year.

"It is likely to cost in the millions of dollars to simply submit an RFP and so bidders will be required to design within these parameters."

Opposition Senator Jeanne Atherden said although she approved the project, she wanted to see accountability in the project in the form of regular updates to the public.

"It's bound to be on budget and on time if it's at the starting line," she said. "But something of this scale requires great commitment to control because there's an opportunity for things to fall through the cracks and for things to change and turn around, and for modifications, because you have more contractors and more time for it to be completed.

"One would hope there would be more feedback with the public and if there are modifications, we are notified in a timely manner."

Sen. Atherden said: "Let's make sure this national priority is subjected to extra scrutiny. This is a major thing over three years so it's very important we have some sort of phasing.

"I would like to think that when the specifications have been designed by the private partner that somewhere in there, there is an opportunity for the public to see the plans."

She said the 215 ft was "extraordinarily high" and added she had not noticed any reference to an Environmental Impact Statement in the Bill.

"We support it but control and feedback and specifications are very important," she said.

Independent Senator Joan Dillas Wright said: "I think going forward the issues are going to be, has the Government put in place the adequate accommodation for patients."

Opposition Senate Leader Michael Dunkley said: "I do think there's enough room on the current (KEMH) footprint for us to accomplish what we want to accomplish."

But he added: "On time and on budget is something I think we will see disappear in the future as we go down the road in this project.

"With the PPP and its technicalities I think it's going to be very difficult for us to move it along at the speed we need to move it along. I would like to see us do this on budget, but if we're going to be in a hurry we will pay the price."

He added: "I do have concerns about the height of 215 ft. That's nothing that we've even come close to.

"We need to be very careful her it sits onto the site. The location of the hospital fits us well but that is a very residential neighbourhood so I hope we can design these plans and the construction so it doesn't stick out like a sore thumb."

Sen. Brown said: "We are limited within the current site.

"If we are limited in terms of space then the building might have to be higher than normal to meet these needs."

Government Senate Leader David Burch said: "Government has retained KPMG who have been irritatingly meticulous as far as I'm concerned over work permits, and Government has made it clear their remit and mandate is to stick to the time limits established.

"This new (PPP) concept is brand new to Bermuda but it comes down to asking ourselves a few questions. Do we want a new hospital in a few years or do we want to wait until the Government raises enough money through taxes to pay for it?"

Sen. Burch said that his recent stay in the hospital had shown him the importance of renovation.

"To wake up in a room that is just dreadful really demonstrates for you the desperate need this community has for a new hospital," he said.

However, he added he could not praise the "methodical" nature of the staff towards patients higher.

"I personally was most impressed," he said. "I can't speak more highly about the quality of care provided by both local and international professionals."

Sen. Dill meanwhile pledged the public "will receive stage by stage updates and consultations" on the project.

He said: "As for the EIS, the need for this facility to be constructed as expeditiously as possible supercedes this. It's a shame but it's necessary."

Addressing the concern about patient accommodation, he said: "The BHB and Ministry of Health are working to look at this particular problem. Later this year we will have more about what is going to be done to look after the patients."