Ontario Health Coalition

URGENT ACTION

We are now facing 10 private P3 hospitals in Ontario.
These are a significant threat to our universal, comprehensive and accessible Medicare system.

Please contact or visit your MPP and ask them to stop the P3 hospitals.


Your comments can be as simple or complex as you like. Here are:
1) Myth-busters re. P3s

2) Examples letters to MPPs
3) Contact information for your local MPP


example from a letter sent to a local MPP:
"Dear Ms. Chambers,
Please tell your government to stop the private hospital as promised. Do not listen to the lobbyists for private health care who are trying to Americanize our system. We all know that is the most expensive route to go, and the worst= for care. Please reply,  signed xxx"


4 MAJOR P3 MYTH BUSTERS
MPPs are confused about the facts. Here are some myth busters that will help you talk to them about the P3s:

1) P3s are a serious threat to the future of Medicare.

  • P3s shift public tax dollars to developers, lawyers, consultant, executives and investors. This money comes out of our health care dollars. Hospital beds, doctors, nurses and staff are cut
  • Cheaper materials are used to build hospitals. Public land is commercialized.
  • New fees and service charges are introduced as corporations seek new sources of profit.
  • Democratic control is replaced by corporate control. Privatized hospitals cloak their operations in "commercial secrecy".
  • Ultimately, the scope of services offered under the public Medicare system is reduced to make room for the new costs. How long can we sustain a universal publicly-funded health system when the major players in that system take out 15-25% profit year after year? How long can we sustain Medicare when the profit-drive of the corporations that own and control its institutions flies in the face of the principles of the Canada Health Act?


    2) P3s are not debt-free hospitals. In fact, they cost more.


    P3 hospitals are not free. In fact, world-wide evidence shows they will cost much more than public hospitals.  P3s use Enron-style accounting that hides debt but does not get rid of it. In the P3s, we sign a lease or mortgage deal committing ourselves to longterm payments that will last 30 years or more. This is debt! If we have to pay for hospitals either way, why bankroll our hospitals by cutting services for our children and grandchildren and saddling them with privately controlled hospitals for at least an entire generation?

    3) There is an alternative to P3s

    ....the alternative is public hospitals like the ones we have built since the inception of Medicare.

    Since the beginning of Medicare, all of our hospitals have been built and owned as public, non-profit institutions. Today, when our society is richer than ever, there is no doubt that we can still afford to build public hospitals.  This is not a question of affordability -- it is a question of political will.  See the Canadian Centre for Policy Alternatives report on the OHC website at www.ontariohealthcoalition.ca for more information. 

    4) The Brampton & Ottawa hospitals are still P3s.

    There are a bunch of different models of P3s including the model that the new government is negotiating in Brampton and Ottawa. The bottom line? In a P3 private companies finance the hospitals and run a significant amount of the hospital for profit. In Brampton and Ottawa, groups of private companies called consortia will finance the hospital, privatize all the services including food, disinfection & cleaning, laundry, patient records, maintenance, management, etc. A public non-profit hospital is funded publicly, owned and operated by a non-profit Board of Directors and run as a non-profit institution.



    2) Examples of letters to MPPs from our supporters:

    >>"Dear Minister of Health, Goerge Smitherman:

           I am writing to urge you and your cabinet colleagues to maintain in government your election campaign commitment to increase needed hospital services in our province without recourse to the for profit (P3) strategy planned by your predecessors.

          The Medical Reform Group believes the voters of this province chose change on the basis of some very thoughtful analysis particularly of the situation of health services in our province. To disappoint them by returning to the Tory strategy is not only bad economics, but risks alienating the most important people in this province - the voters who have given you such an extraordinary mandate to do things differently and better than the government you replaced.

    As your party noted during the election campaign, the so-called "saving" to the public purse by privatizing the finance, operation and ownership of hospitals is really a false economy. The world-wide evidence is clear. Public audit offices in Britain, PEI, Nova Scotia, New Brunswick, Australia and the government of Canada have all reported that P3 hospitals do not save money, they cost more. The off-book accounting that characterizes P3 schemes may hide the debt temporarily from public scrutiny but it does disappear for the next generation of Ontarians. This type of accounting has been entirely discredited by the Enron fiasco and needs to be rejected forthwith.

          Not only do P3 hospitals cost more -- the high costs associated with this model of redevelopment on the capital side are often accompanied by cuts in operating and clinical budgets, including, on average, 26 per cent staff cuts and 30 per cent bed cuts, according to a recent item in the British Medical Association Journal

         You will have already received a brief from a group of eminent Canadian economists including Lewis Auerbach, Arthur Donner, Douglas D. Peters, Monica Townson, and Armine Yalnizyan calling for the immediate cancellation of the P3 deals and a commitment to the public financing of new hospital infrastructure. Their arguments about increased costs and loss of accountability in the P3 hospitals echo those made by advocates for quality public health care for years, and they also recommend your government move to an accrual accounting system to eliminate the systemic bias against public investment in infrastructure, and remind us all that low interest rates make it a good time to invest.

         We believe Ontarians are interested and fully capable of understanding the financial arrangements being made on their behalf, and we think it will serve you well to engage them in a transparent policy exercise around health care funding, beginning with the funding of infrastructure. We urge you to make a full public disclosure of the funding arrangements for these projects immediately.

          We look forward to meeting with you at your earliest convenience to discuss ways to improve the quality of health care for all Ontarians.

    Yours sincerely,
    signed xxx"

    >>"Attn:  Hon. Chris Bentley

         Your cabinet colleague, the Hon. George Smitherman, the Minister of Health and Long-term Care, has recently spoken strongly in favour of the need for solutions to health care issues to emanate from the community.  It is in this spirit that I address this message to you, the MPP representing my riding of London West.

         As the Chairperson of the London chapter of the Ontario Health Coalition, it troubles me to hear that the Premier'= s Office and the Ministry of Health are actually entertaining the corporate lobby's views on P3 hospital issues.  I need not remind you that P3s are bad deals for the citizens of Ontario.  During the election campaign, you astutely noted so yourself.  These privatization schemes must be canceled before it is too late.

         At present, no P3 hospitals exist in the province.  The Liberal government need not fear penalties for reverting P3 projects to public hospitals.  To delay, however, is to risk destruction of the public health care system.  Subject to the onerous terms of the North American Free Trade Agreement, for-profit corporations, once granted unfettered access to the public domain, would prove to be virtually impossible to dislodge.

        May I enlist your support in putting these privatization schemes to a well deserved end? Will you lobby your cabinet colleagues and encourage them to support the deprivatization of hospitals?  At the very least, are you willing to work to expose the details of these very secretive and detrimental business arrangements?

    I eagerly await your response. Sincerely Yours, Peter Bergmanis, London Health Coalition"

    >>> George Smitherman
    Minister of Health and Long-Term Care
           " Mr. Smitherman, I hope that I'm mistaken in my understanding that your leader is now waffling on his promise to keep Ontario's hospitals and clinics out of the hands of profit-seeking enterprise .

    As I recall, he said: "I am committed to ensuring that all Ontario hospital facilities are publicly owned. In terms of P3 projects already underway, a Liberal government would work to make these new facilities publicly owned as quickly as possible."

           That great idea distinguished your party from the previous governing party and so likely generated a lot of votes for you. Get Mr.McGinty to keep his promise. It will so delightfully surprise everyone that your voting support at the next election should double, particularly from the electorate that ususally stays home.

           There are some commodities and services that are appropriate to private enterprise. But an essential "good" like health care needs to be driven by commitment to its assured delivery to all who need it, rather than by the lure of maximum profit. You need only look south of the border to see the difference, and you need only remember the Tories' royal electricity screw-up to get some sense of the cost of privatization to essential public services.
    signed xxx"


    3) Please click here for the MPP Contact List


    Please click here to see our P3 Resource Page

    Ontario Health Coalition
    15 Gervais Drive, Suite 305
    Toronto, Ontario M3C 1Y8
    www.ontariohealthcoalition.ca
    phone: 416-441-2502
    fax: 416-441- 4073
    email:ohc@sympatico.ca

    Click here to return to the OHC Home Page.