Cypress-Medicine Hat MLA Drew Barnes is questioning his government's decision to switch lab services to a private operator after it had been part of Alberta Health Services for less than four years, a move reportedly made at the time to save money. The AHS lab services building is seen on Carry Drive in this April 2017 file photo.--NEWS FILE PHOTO
gslade@medicinehatnews.com@MHNGillianSlade
A local MLA questions the motivation for returning to a private contractor to run laboratory services locally.
“I am very concerned that this is big centralized government at its worst,” said Drew Barnes, MLA for Cypress Medicine Hat. “If it’s not broke don’t fix it.”
Alberta Health Services announced a few months ago that it would transition laboratory collection services across the province to private contractors to save money. Last Friday a request for proposals was issued.
In addition to changing the Carry Drive lab collection services, currently under AHS, the lab at Medicine Hat Regional Hospital will also be transitioned to services for hospital patients only.
Using private contractors for lab services, something already northern Alberta, was identified as a way to save money in a now year-old review of AHS by accounting firm Ernst & Young.
The government has recently said it will not be clear how much money can be saved by the transition to private contractors until there are responses to the RFP.
Barnes says he is fully in favour of reducing health-care costs where efficiencies can be found, but would like to see some accounting figures for how this lab transition is going to save money.
Ernst & Young is only the accounting side of the equation, Barnes said.
Brooks-Medicine Hat MLA Michaela Glasgo told the News via email that she was unable to comment Monday due to her heavy work schedule.
Five years ago AHS made the decision not to renew a contract with a private company at Medicine Hat Diagnostic Laboratory. The rationale given at the time was $6.5 million in savings, but full details were never revealed.
The AHS lab on Carry Drive that replaced MHDL has been operating for less than four years. The hospital lab was also enlarged to handle more community patients.
The cost has never been made public.
Barnes says transitions are not without risks for patients.
“It took time to get issues sorted out on Carry Drive,” said Barnes.
AHS will not say how many staff will be affected by the current switch back to a private operator. The RFP requires the new contractor to assume all current staff, unionized and non-unionized, on the same or similar terms.
“Further details about how many staff could be impacted and the terms of their transition will be known after the contract has been awarded and a transition plan is developed,” said Kerry Williamson, spokesperson for AHS.
Contracts are expected to be awarded in the spring, with a full transition in 2022.
