The District of Muskoka Council approved a by-law to establish a Hospital Capital Investment Reserve Fund., in the November 18, 2024, meeting.

According to the agenda, “50% of the uncommitted balance of $735,763 as of December31, 2023 and any accrued interest earned on the balance since that date, in the Hospital Financing Reserve Fund be transferred to the newly established Hospital Capital Investment Reserve Fund.”

The District will also prepare a by-law to establish a Regional Health Services Reserve Fund (RHSRF).

The agenda continues that the remaining half of the balance, which is half of the $735,763 plus accrued interest will be transferred to the RHSRF.

Council approved the motion recommending “this uncommitted balance be exclusively dedicated to the Georgian Bay General Hospital subject to submission of a business case for evaluation by staff and approval by District Council.”

Upon inquiry by Councillor, Don Smith, about why the funds aren’t going to Parry Sound as well, staff advised that this region has already been funded.

Councillor, Peter Koetsier, summarized that 50% goes to Midland, 38% to Parry Sound, and 2% to Orillia, “to reflect the population ratio served by the hospitals.”

He added that unlike the past, moving forward “the money will be allocated proportionally.” He said that In the past Georgian Bay received less than 1%, while serving 7% of the Muskoka population. Or in other words they were “short changed.”

CAO, Julie Stevens, added that the District will be moving forward based on a policy where future funding will be based on the number of residents serviced in the applicable areas.

Councillor, Ruth Nishikawa, disagreed with the recommendation, expressing, “I’m challenged with this one.”

Nishikawa explained that in the past she suggested having three separate accounts for the three different hospitals and indicated that Georgian Bay didn’t ask for funding and that she wasn’t a fan of “splitting just to go to the one hospital.”

She added, “I don’t see that it needs to change at this time,” and suggested “sticking with the original plan.”

Stevens advised that Georgian Bay “have been precluded from coming to us in the past.” She added that the District previously gave them $15,000, and “$3 million to Barrie’s Royal Victorian Hospital over a 10-year period.”

She explained that the District created the new policy for the Hospital Reserve Fund because hospitals have expressed the need.

She emphasized, “The number of residents served is an important factor.” Hospitals will have to prove they are supporting residents in order to qualify for funding.