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Ottawa Hospital board of directors dismissed

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Date: Sun. Jul. 1 2001 7:43 PM ET

The entire board of the Ottawa Hospital, the largest hospital in the nation's capital, has been fired for massive budget over runs.

Ontario Health Minister Tony Clement has appointed a supervisor to take charge of the hospital.

Clement says the change was made because the hospital's operating deficit is projected to hit $72 million this year, for a total of $140 million since 1998.

The minister said he took the step after an independent review said the hospital was running up deficits in hope of a bailout from the provincial government.

It is very clear from the operational review that the board has failed to have any strategy to deal with the operating losses of the hospital,'' said Clement.

Hospital chief executive David Levine told the hospital's 10,000 employees current managers will not change.

Our hospital will continue to offer high quality health care services to our community,'' he wrote in an email message.

The Ottawa Hospital was formed on Jan. 1, 1998 from three smaller hospitals.

Ottawa Mayor Bob Chiarelli said a recent consultant's report suggested the hospital is being shortchanged about $44 million in annual operating funds when compared to the formula used for Toronto hospitals.

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