PHILIPSBURG--Authorities are continuing their efforts to realise the construction of a new general hospital for St. Maarten.
Health Minister Emil Lee said, on Wednesday, that the discussions amongst engineers, designers and architects are continuing and authorities are hoping to have the drawings for the new hospital ready to submit to the Ministry of Public Housing, Environment Spatial Development and Infrastructure VROMI for building permits in a week or two.
Authorities are also still “working diligently” to secure financing for the project, and are still pursuing financing between Social Health Insurances SZV and general pension fund administration APS. Both SZV and APS are in the process of finalising their due diligence and have requested “reams of papers and reports” and this is being complied with. SZV was expected to have completed its due diligence on Wednesday, and APS should complete its due diligence within a matter of weeks.
“Once the financing is secured, the balance of the design build and maintain contract will go into effect,” Lee said noting that the “project is progressing well” and is expected to be executed during his tenure in office.
Lee said he feels “comfortable with the process” hence the reason why he is continuing with the plan of 50/50 financing between SZV and APS. Originally, there had been a plan for a different combination of financing which included private banks, but the minister said some felt that with more players involved the discussions would have been more complicated. There would also be additional costs with private banks and the annual repayments would be higher for private banks.
He also said that a business plan had been completed and was vetted by the Government Accountants SOAB. There was a follow up request for a “stress test” to determine if certain assumptions that are projected in the business plan do not pan out, what would be the consequences.
