For discussion PWSC(97-98)27
on 21 May 1997
ITEM FOR PUBLIC WORKS SUBCOMMITTEE OF FINANCE COMMITTEE
HEAD 708 - CAPITAL SUBVENTIONS AND MAJOR SYSTEMS AND EQUIPMENT
Medical Subventions
8030MM - Renovation of wards at the Duchess of Kent Childrens Hospital
Members are invited to recommend to Finance Committee to approve a commitment of $20.71 million in money-of-the-day prices for the renovation of two wards at the Duchess of Kent Childrens Hospital.
PROBLEM
The conditions and facilities in Wards 1 and 2 of the Duchess of Kent Childrens Hospital (DKCH) are below the prevailing standards to meet present day requirements.
PROPOSAL
2. The Hospital Authority (HA), supported by the Secretary for Health and Welfare, proposes to create a commitment of $20.71 million in money-of-the-day (MOD) prices to renovate Wards 1 and 2 of DKCH to improve their physical conditions and facilities.
PROJECT SCOPE AND NATURE
3. The project will involve repairing defective concrete, installing medical gas systems, upgrading of building services installations to current standards, partitioning the wards as well as upgrading supporting medical facilities. The project also includes right-sizing of the two wards from 46 beds to 35. A site plan is at Enclosure 1.
JUSTIFICATION
4. The existing single-storey building of DKCH which houses Wards 1 and 2 was built 41 years ago. With the passage of time, the physical conditions of the building and its building services installations are in a dilapidated state. Frequent maintenance is required to fix up such problems as cracked concrete and water leaking. There is also inadequate electricity and hot water supply. Major renovation is thus necessary to bring them up to prevailing standards and reduce maintenance costs.
5. Wards 1 and 2 were originally designed as convalescent wards but have been subsequently used for the caring of orthopaedic patients suffering from acute illnesses since 1970. Nevertheless, they are not equipped with sufficient supporting facilities such as a treatment room, a splint room, bed-side instruments, and medical gas supply systems. Portable gas cylinders have been used instead to improvise. In addition, toilets, doors and passage ways were not designed to cater for the specific needs of the physically handicapped. The proposed renovation can eliminate all these deficiencies to improve the quality of care provided to the patients.
6. With the existing structural layout, the 46 beds in the two wards are placed very close to each other without proper partitions. The refitting and partitioning of wards included in the project will improve patient privacy, while the relocation of 11 beds to other wards of the hospital will relieve the congested environment in these two wards, enhancing patient comfort.
FINANCIAL IMPLICATIONS
7. The HA and the Director of Architectural Services (D Arch S) estimate the total project cost to be $20.71 million in MOD prices, made up as follows -
|
$ million
|
|
|---|
|
(a) Building
|
7.33
|
|
|
(b) Building services
|
5.09
|
|
|
(c) Preliminaries
|
1.30
|
|
|
(d) Consultants fees
|
0.40
|
|
|
(e) Lithography
|
0.04
|
|
|
(f) Furniture and equipment
|
3.24
|
|
|
(g) Contingencies
|
0.97
|
|
|
_____
|
|
|
Sub-total
|
18.37
|
(at December
1996 prices) |
|
(h) Inflation
|
2.34
|
|
|
_____
|
|
|
Total
|
20.71
|
(in MOD prices) |
|
_____
|
|
A breakdown of the cost estimate for consultants fees is at Enclosure 2.
8. Subject to Members approval, we will phase the expenditure as follows -
|
Year
|
$ million
(Dec 1996)
|
Price
adjustment
factor
|
$ million
(MOD)
|
|---|
|
1997 - 98
|
7.34
|
1.06750
|
7.84 |
|
1998 - 99
|
10.66
|
1.16358
|
12.40 |
|
1990 - 00
|
0.37
|
1.26830
|
0.47 |
|
_____
|
|
_____ |
|
18.37
|
|
20.71 |
|
_____
|
|
_____ |
9. We have derived the MOD estimate based on Governments forecast of trend labour and construction prices for the period 1997 to 2000. HA will tender the works under a fixed-price lump-sum contract. Subject to Members approval, HA plans to start the works in October 1997 for completion in May 1998.
10. The project involves no change in the total number of beds at DKCH, which remains at 150. Marginal recurrent savings will arise from a lower maintenance cost of the building, which will be offset by additional utility charges arising from the extra medical facilities to be provided. No additional annually recurrent costs are therefore required.
ENVIRONMENTAL IMPLICATIONS
11. In August 1995, HA completed a Preliminary Environmental Review (PER) of this project and concluded that, given its nature, size and location, implementation of the project would have limited potential for adverse impacts on the environment. The Director of Environmental Protection vetted the PER and agreed that an Environmental Impact Assessment would not be necessary. During construction, HA will control noise, dust and other nuisances to within established standards and guidelines through the implementation of appropriate mitigation measures in relevant contracts.
PUBLIC CONSULTATION
12. As this is a renovation project to be carried out within the boundaries of DKCH, we consider that public consultation is not necessary.
LAND ACQUISITION
13. This project does not require land acquisition.
BACKGROUND INFORMATION
14. DKCH has 150 in-patient beds and is specialised in paediatric orthopaedics and rehabilitation services for severely mentally handicapped children. Some surgical operations are also performed on adult patients suffering from orthopaedic illnesses.
15. The hospital was constructed in 1956 with a total of 8 wards. Wards 3 and 4 were converted into the Physiotherapy Building in 1990. Apart from Wards 1 and 2 included in this project, renovation of Wards 5 to 8 has been funded by the Society for the Relief of Disabled Children. The renovation work is scheduled for completion in March 1998.
May 1997
Health and Welfare Branch
(HH517)
Enclosure 2 to PWSC(97-98)27
Details of Consultants' Fees
|
Breakdown of estimates for consultants' fees
|
|
|
Category of works/items
|
|
Estimated man months
|
Average MPS salary point
|
Multiplier factor
|
Estimated fees
($ million)
|
|---|
|
(I)| Quantity Surveying
|
|
|
|
|
|
|
|
(a) | Tender assessment
|
Professiona
Technical
|
0.06
0.20
|
40
16
|
3.0
3.0
|
0.01
0.01 |
|
|
|
|
|
|
|
|
(b)
|
Contract administration
|
Professional
Technical
|
0.19
0.38
|
40
16
|
3.0
3.0
|
0.03
0.02
______
|
|
|
|
|
|
Sub-total
|
0.07 |
|
|
|
|
|
|
|
|
(II)
|
Architectural
|
|
|
|
|
|
|
(a)
|
Tender assessment
|
Professional
Technical
|
0.32
0.38
|
40
16
|
3.0
3.0
|
0.05
0.02
|
|
|
|
|
|
|
|
|
(b)
|
Supervision
|
Professional
Technical
|
0.74
1.38
|
40
16
|
2.1
2.1
|
0.09
0.05
______
|
|
|
|
|
|
Sub-total
|
0.21
\ |
|
(III)
|
Structural Engineering
|
|
|
|
|
|
|
(a)
|
Tender assessment
|
Professional
Technical
|
0.06
0.19
|
40
16
|
3.0
3.0
|
0.01
0.01 |
|
|
|
|
|
|
|
|
(b)
|
Supervision
|
Professional
Technical
|
0.17
0.28
|
40
16
|
2.1
2.1
|
0.02
0.01
______
|
|
|
|
|
|
Sub-total
|
0.05 |
|
(IV)
|
Building Services Engineering
|
|
|
|
|
|
(a)
|
Tender assessment
|
Professional
Technical
|
0.12
0.19
|
40
16
|
3.0
3.0
|
0.02
0.01
|
|
|
|
|
|
|
|
|
(b)
|
Supervision
|
Professional
Technical
|
0.28
0.28
|
40
16
|
2.1
2.1
|
0.03
0.01
______
|
|
|
|
|
|
Sub-total
|
0.07
______ |
|
|
|
|
|
Total
|
0.40
______ |
Notes
- A multiplier factor of 3 is applied to the average MPS point to arrive at the full costs including the consultants overheads and profit, as the staff will be employed in the consultants office (as at 1.4.96, MPS pt 40 and 16 are equivalent to $55,390 and $18,595 per month respectively.) A multiplier factor of 2.1 is applied in the case of site staff supplied by the consultants.
- The figures given above are based on estimates prepared by the Director of Architectural Services and Hospital Authority. We will only know the actual fees upon finalisation of the accounts of the works contract.
(HH517)
Last Updated on 16 August 1999
