It will be cheaper, faster and more efficient to build a new hospital than it would be to expropriate land around the current site and rebuild the existing hospital, Carmine Stumpo, Soldiers' Memorial Hospital's president and chief executive officer told Orillia council Monday.
However, the cost for a new build will be in the magnitude of $1 billion, with firmer estimates to be announced over time, he told city politicians.
"We can confirm that the site selection committee is opting for the least expensive option, the fastest and the highest value in terms of construction," Stumpo explained during a presentation.
The location has yet to be revealed, but Stumpo told council it will be within the city boundaries and will be announced soon.
The hospital site selection task force has been working on the project for approximately one year. It's been looking for a parcel of property that is at least 25 acres and flat.
The work has involved looking for a new site, getting architectural advice and surveying the community to learn what they want from a new hospital. The task force received 1,100 responses, he said.
"Overwhelmingly, the main issues were road access and parking. That criteria has been built in," Stumpo said.
Stumpo said he is aware the cost of construction has increased and the cost of building hospitals is proportionately higher still.
As a result, the size of the facility has been decreased from initial plans. The new plans include the re-use of the existing hospital to provide transitional housing for seniors and residential housing.
In addition, Stumpo said the task force has been working with the province to come up with a "regulated" hospital build that could be copied in other communities in order to make hospital construction more efficient in terms of cost and build.
The local share of the estimated $1 billion project would be $250 million, said Stumpo. That includes a contribution from the City of Orillia, the County of Simcoe and the hospital's Foundation. Stumpo said the hospital has approximately $30 million already set aside for the project.
"So, yes. We will be coming to the city with a request," Stumpo told councillors.
However, he concluded by saying that "nobody questions the value of having a hospital in Orillia."
Coun. David Campbell said he agreed.
"I think you'd be hard pressed to find anyone who doesn't see the value in having our own hospital and there's no question that a new one is required — the sooner, the better, obviously," he said.
Campbell added that council will be responsible for contributing to the cost and suggested council make a contribution part of the 2026 budget deliberations.
Coun. Ralph Cipolla, said he has heard from many people that they will not support the hospital if it moves away from downtown Orillia.
"I get many people saying, 'Please don't let the hospital move away from the downtown, please, please, please,'" Cipolla said.
Stumpo said a new hospital is needed for several reasons. Currently, it is the busiest hospital in the province in its community size category and most of the buildings are 50 to 100 years old. The recommended life of a building is 50 years, he said.
In addition, Orillia is now growing beyond the provincial average, life expectancy is increasing and more people are surviving medial ailments and diseases for longer. Also, the number of births at the hospital is increasing, partially due to people from outside Orillia choosing Soldiers' because of its quality.
The emergency department, the newest section of the hospital, is too small for current needs, added Stumpo. New hospital beds are being put in old areas of the hospital, he added.
“This is not a sustainable situation for us," said Stumpo.
The final decision on the site of a new hospital will be decided by the hospital's board of directors.