The Bermuda Hospitals Board has hired a Canadian consultancy firm to advise on the public-private partnership aspect of the planned $315 million redevelopment of the King Edward VII Memorial Hospital (KEMH).

Pending Immigration approval, Stantec Consulting International will give technical advice, prepare contractual agreements and set performance standards for the hospital's new facilities, which will be funded and operated in a joint venture between Government and the private sector.

The BHB yesterday refused to state how much the company would be paid, but said an overall budget of $10 million has been earmarked for advisors.

"Advisors to the KEMH Redevelopment Project, including Stantec, have been evaluated and contracts have been awarded based on a variety of pre-set criteria, including competitive hourly rates," said a spokesperson. "The BHB is therefore not in a position to be able to provide the final payment amount to Stantec.

"BHB has set an overall budget for advisors based on international industry standards for projects of this scope and cost. BHB has budgeted approximately $10 million and this will be paid over three financial years up to groundbreaking in late 2010."

Stantec was chosen after a competitive pitch process that saw a number of companies vying for the contract.

"The design of the new hospital buildings will rely on these documents, so this is vital work that is critical to the project," said BHB Deputy CEO Venetta Symonds, who will oversee the project on behalf of the quango.

The firm will oversee the addition of a new central utility plant, patient tower and ambulatory care centre to KEMH, with the project due to be completed in the next five years.

The firm will collaborate with the BHB and local technical advisers, who have yet to be appointed.

Continued the spokesperson: "In a public-private partnership project, it is essential that the client, in this case BHB, clearly specifies the facilities required before going to the market to seek a preferred bidder. To achieve this, BHB is assembling a team of expert advisors, including Stantec [pending Immigration approval], to create these specifications."

The idea, the spokesperson said, was to ensure that BHB:

• builds the right acute care facilities for Bermuda's needs now and in the future

• ensures value for money for Bermuda

• provides all short-listed bidders, who will submit designs for the new facilities, the same clear and thorough specifications based on BHB's requirements.

She added: "Some examples of the advisory work that must take place before the design and construction stage include clinical diagnostics, planning and modelling, clinical service redesign, detailed specifications and key performance indicators of building fabric, mechanical and electrical systems."