Hospital answers demanded

Mr McGowan said a commission into the challenges associated with FSH was told last week by outgoing Under Treasurer Tim Marney that the extra commissioning costs would be paid for by WA taxpayers and not contractor Serco.

The Education and Health Standing Committee review of FSH, which started in October last year and is ongoing, was charged with reviewing the response within the Department of Health to the challenges of commissioning the Fiona Stanley Hospital.

In particular, the committee will examine the transition process and any oversights in communicating information about progress of the hospital to other stakeholders.

Mr McGowan said the committee was told that Treasury reviewed the $4.3 billion contract, the biggest awarded by a WA State Government in history, only two weeks before it went to cabinet.

‘This is a financial scandal of the highest order that has created a massive loss of taxpayers’ money,’ Mr McGowan said.

‘Why was the Barnett Government in such a rush to award this $4.3 billion contract to Serco before it had given it appropriate scrutiny? Colin Barnett, Troy Buswell and Kim Hames are to blame for this disaster. They did not apply due diligence to this contract and now taxpayers will be forced to pay hundreds of millions of dollars.’