The cost for a new medical facility for incarcerated individuals in federal prisons is now projected at $1.3 billion, significantly higher than the $400 million initially estimated in 2021, as per federal records and insiders.
The Treasury Board greenlit funding for the development in New Brunswick in December 2024, although the increased figure has not been disclosed as Ottawa is engaging in a competitive process with construction companies.
Insiders familiar with the situation reveal that the initiative survived a financial review by Ottawa prior to the federal budget on Nov. 4, despite calls for cost reductions at Correctional Service Canada.
The upcoming 155-bed facility will deliver both mental and physical healthcare services in French and English to male and female inmates within the federal correctional system. It will be housed in a new structure, replacing an outdated facility at Dorchester Penitentiary with only one-third of the current capacity.
The facility will be situated in the Beauséjour riding, which is overseen by Dominic LeBlanc, the federal minister responsible for Canada-U.S. trade.
Last year, LeBlanc acknowledged that the project’s budget would surpass the initial projections without specifying an exact amount.
LeBlanc hinted that the budget would be on par with the Confederation Bridge linking New Brunswick and Prince Edward Island, which was inaugurated in 1997.
The estimated $1.3 billion budget for the new facility represents a 30% increase compared to the $1 billion Confederation Bridge contract, according to federal sources and documentation.
Federal sources granted anonymity by Radio-Canada due to lack of authorization to disclose details shared that the budget for the new facility was exceeding the initially planned amount.
Correctional Service Canada aims to finalize the project by 2032.
While serving as the minister of public safety in 2023, LeBlanc received information about the escalating costs of the project, as indicated in a briefing document released under the Access to Information Act.
Although financial specifics were redacted, the document highlights that LeBlanc emphasized maintaining the original scope of the project despite the budget hike.
According to official documents, the proposed center will cater to the complex clinical, mental health, and physical needs of federal offenders nationwide.
The new facility, to be constructed on the Dorchester Penitentiary premises in southeastern New Brunswick, will replace the existing 53-bed Shepody Healing Centre.
Dr. Louis Thériault, a psychiatrist at the healing center, has been advocating for improved facilities, citing safety concerns for both inmates and staff due to the outdated conditions.
Having been in operation since 1880, the Dorchester Penitentiary features substandard isolation cells, inadequate windows, and cramped spaces, making it one of the most challenging treatment centers within the correctional service system.
