by Donna Korchinski

June 27, 2000

NetNews Inc.

Calgary - The Calgary Regional Health Authority has scrapped plans to lease space on the University of Calgary campus for its medical laboratory services. The region had proposed to rent space in a new facility to be built on the university endowment lands, located on the northwest corner of the campus. CRHA would have sub-let that space to Calgary Laboratory Services (CLS). Area residents objected to the plan on the basis of increased traffic and potential safety hazards. They also questioned the university's use of its endowment lands for commercial purposes. At least one community group argued that the Alberta government gifted the lands to the University of Calgary for educational purposes and not for what they described as a "shopping mall".

CLS is a for-profit partnership between the CRHA and MDS/Kasper.

The proposed 170 thousand square foot (15,300 square meter) structure was to house the CLS main diagnostic laboratory and a university research facility. CLS has been searching for expanded quarters for a number of years. It recently described its space requirements as "urgent". CLS has stated that "The consequences of failure to proceed will be serious."

CLS is currently undergoing a review for accreditation by the Alberta College of Physicians and Surgeons. In a preliminary report released to CLS, the College has given it "provisional" accreditation because of its dire space shortages. The Health Sciences Association of Alberta, the union representing many of the laboratory workers, has stated its concern over safety because of overcrowding in its present locations. The main locations are at its main high volume lab and on two floors at the Foothills Medical Centre.

The space problems plaguing CLS have persisted since its inception on November 1, 1996. NetNews has obtained documents, which indicate that the privatized laboratory system knew when it downsized that it would face overcrowding conditions. In addition, Calgary's huge population growth has added to the problem. The number of individual tests conducted yearly by CLS has risen from eight million to 11 million since it began operating in 1996.

In 1996, Calgary's laboratory facilities were downsized from almost half a million square feet (40,500 square meters) of space to 181,200 square feet (16,300 square meters). The laboratory services were previously housed in no less than six hospitals, 110 collection sites and four independent laboratories. Today, there is one main high volume lab, 24 collection sites, and pared down emergency laboratories in four of the remaining hospitals.

For more information contact:

Donna Korchinski

NetNews Inc.

Telephone: 403 230 1442

Fax: 403 230 8433

Email netnewsinc@netnewsinc.com

Website: www.netnewsinc@netnewsinc.com

LABORATORY MEDICINE

Part One of LABORATORY MEDICINE - Who approved CLS?

Part Two of LABORATORY MEDICINE - The Numbers Game

Part Three of LABORATORY MEDICINE - Where Did CLS Come From?

Part Four of LABORATORY MEDICINE - Overcrowding - a compromise of safety?

Part Five of LABORATORY MEDICINE - Patient Service - a story of frustration