Mills Memorial Hospital, Terrace BC - Replacement

Project Overview

The new approximately 26,440 square-metres (284,500 square-feet) acute care hospital and integrated services facility will be a centre for trauma services, orthopedic surgeries, pathology, radiology, clinical support and pharmacy services. The hospital will also be a training site for medical students in the Northern Medical Program.

Project Story

On May 21st the Business Plan for the Mills memorial Hospital replacement project was approved by the Treasury Board and announced by the Ministry of Health. The Northern Health Capital Projects team is now moving quickly to move the project forward and start the exciting work of procurement, and ultimately construction.

These next steps are integral to the process of replacing the hospital. The Procurement phase will be led by a project director, leading a planning team who reports to the Project Board (members from Ministry of Health, Northern Health and other stakeholders).  The project Board is accountable to the Ministry of Health to ensure the project is implemented following the government-approved business plan and government capital asset management policies.

The project procurement process involves a series of consecutive pieces of work to identify the contractor to build the facility – this series includes a Request for Qualifications (RFQ), followed by a Request for Proposals (RFP), followed by the identification of Preferred Proponent, Final Approval & Financial Close.

The procurement phase can last up to 18 months; however, once completed, construction typically begins quickly.

Replacing Mills memorial Hospital will be staged, to ensure that the transition is ultimately focussed on ease for patients and staff at every point of care. The first stage will involve the replacement of the Seven Sisters facility, which will be rebuilt in the area beside the current psychiatric services area. This work will commence in early Fall, 2019 after the RFP has been completed.

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Project Updates

July 2019

On July 16th the Request for Qualifications (RFQ) process was initiated and made live on BC Bid for the build of the new Mills Memorial Hospital. This RFQ will run through to the end of summer with the Request for Proposals (RFP) projected to open with those shortlisted later in the Fall of 2019. 

July 2019

On July 9th the Request for Proposals (RFP) for building the replacement Seven Sisters facility was submitted to the three proponents shortlisted in the Request for Qualifications (RFQ), it is expected to close on July 30. This RFP process was open only to the top three companies that were shortlisted through the initial RFQ process earlier in 2019. They are Ledcor, Vector Projects and Progressive Ventures.

A request for Qualifications (RFQ) is a process that allows organizations to consider proposals based on the experience and qualifications of firms interested in submission (a straight tender considers only price). A scoring matrix is included in this process, so that bidders understand what the organization is looking for. This assists in eliminating potential issues, including the avoidance of unqualified bidders submitting the lowest bid. An RFQ also encourages bidders who might otherwise not submit if the field of competition appears too large and the chances of bid success are presumed low. Putting together an accurate yet competitive tender price is a lot of work. If there is a higher likelihood that an unqualified bidder could put in a low bid then this discourages qualified and appropriate bidders from submitting. 

Bidders passing the RFQ (usually up to 3) are then able to respond to the next step of the procurement (a Tender or Request for Proposals, RFP) which then results in a Construction Contract (this type of contract requires that the contractor agree to be responsible for job execution at a set price).

Replacement of Seven Sisters will take place first as the existing Seven Sisters facility needs to be moved to make way for the new MMH. The new Seven Sisters will be located on the south-west corner of the existing MMH site and will be procured using a Design-Bid-Build procurement model.

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Capital Advisory Committee

Terms or Reference (TOR)

Meeting Summaries

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Contact Information
  • For more information regarding capital projects at Northern Health, email: hello@northernhealth.ca.
  • Are you a member of the media? Call Northern Health's media line: 250-961-7724
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