Tens of millions spent on site works for new National Maternity Hospital

A model of the new National Maternity Hospital:  Comptroller and Auditor General to examine decision to carry out site preparatory works. Picture: Gareth Chaney/ Collins

A decision to spend tens of million of euros of taxpayers' money on “site preparation” works for the new National Maternity Hospital has been referred to the State’s auditor for examination.

The Comptroller and Auditor General has been asked to examine the decision of previous health minister Simon Harris to commence preparatory works, in the form of a car park and a pharmacy, on the St Vincent’s Hospital site.

This was done before full approval was granted for the new maternity hospital and co-leader of the Social Democrats Róisín Shortall has asked the C&AG to probe the issue to ensure proper procedures were followed.

The Comptroller and Auditor General Seamus McCarthy has scope to commence special investigations into matters he deems appropriate and his findings are regularly examined by the Dáil’s spending watchdog, the Public Accounts Committee.

Ownership structure

Mr Harris has defended the spending to improve health facilities at one of the country’s primary hospitals but the news comes amid ongoing consternation around the proposed ownership structure for the new maternity hospital.

Ms Shortall is also asking why the value of St Vincent’s Hospital (SVH) Group has been reduced from €661m in 2018 to €204m currently.

She is also seeking answers as to why SVH is indemnifying the Religious Sisters of Charity past and present, asking what will this cover and what are the implications for the taxpayer?

The Dáil will debate the controversial arrangement, which will see the State lease the land upon which the hospital is to be built for 299 years at €10 a year subject to conditions.

The St Vincent’s group has said the new holding company is an Irish incorporated not-for-profit with charitable status, which is governed by Irish company law.

The hospital will be run by its management team, which will be overseen by its own board “to "ensure the hospital is run in accordance with its constitution”.

St Vincent's says governance arrangements will ensure special powers in its constitution to protect the clinical, operational and financial independence of the new maternity hospital, which will have its own separate service arrangement with the HSE.

The Minister for Health has reserved powers and will hold a golden share to guarantee independence of governance, the hospital says.