In an interview with RNZ yesterday morning, Health New Zealand Te Whatu Ora (HNZ) commissioner Dr Lester Levy was asked about whether the new Dunedin hospital project could be scaled down and said "everything was under review".
His comments come as the government prepares a shake-up of the health system amid reports of budget blowouts.
Dr Levy has previously said the hospital project could be scaled down "if required".
Dunedin city councillor Andrew Whiley wanted more clarity.
"I am hearing ‘everything is under review’ when it comes to a number of projects that government is involved in.
"I would prefer to hear a more confident reply from [Dr Levy].
"I believe the government is very aware of their commitment to Dunedin and building the new hospital.
"I would welcome Prime Minister Christopher Luxon to answer the question and we focus on the answer that he provides."
A spokeswoman for Dr Reti said he had "tasked the commissioner to come up with a turnaround plan for HNZ and is currently anticipating details on that".
Cr Steve Walker said it was time for action, including possibly reviving the They Save, We Pay campaign.
Cr Carmen Houlahan said Dr Levy’s latest comments concerned her.
"However, at present we have not been told anything is changing.
"The minister made a commitment to the new hospital.
"We expect him to keep it."
Cr Christine Garey, who last week asked Dr Levy to stop "flip-flopping", said she "continued to be extremely concerned at the mixed messages we’re receiving".
Mayor Jules Radich noted that while Dr Levy had said "everything is under review", his main budgetary focus was on cutting the HNZ monthly operational deficit by $130 million a month.
"The previous capital value management exercise cut less than a month’s worth of HNZ opex [operating expenditure] and all the services and facilities of the detailed business case were reinstated because they are essential.
"Consequently, any reduction in facilities would be an exercise in false economy."
Mr Radich said the new Dunedin hospital was a vital part of the infrastructure necessary to provide healthcare in the lower South Island as well as providing cover for Christchurch.
"[Dr Levy] is also talking about no cuts to services and ensuring clinical safety on the way to reducing wait times.
"A modern hospital with appropriate size is a critical part of that."
A Treasury report released last week highlighted concerns about the delivery of large infrastructure projects in general and revealed the government had increased the number of ministers overseeing the new Dunedin hospital amid concerns about rising costs.
The project was initially budgeted at $1.59 billion, but the Otago Daily Times understands the costs have ballooned to more than $2b.
The expected cost of the project was redacted in the Treasury report, but the project was listed as "high risk" amid cost pressures caused by the increasing cost of materials and labour.
It noted the hospital has been placed under the monitoring of the Infrastructure and Investment Ministers Group.
