Locals will be consulted about the Gunnedah hospital upgrade's next steps early next year, according to Hunter New England Health (HNEH).
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HNEH executive director infrastructure and planning Dr Ramsay Awad said it was in the "early stages of clinical planning for the redevelopment" of the hospital.
"This planning is expected to be complete by the middle of 2020. The process will consider what services are needed to meet the community's future health needs," Dr Awad said.
"Stakeholders and local community groups are consulted throughout this process."
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Key stakeholders involved in the upgrade process, including Tamworth MP Kevin Anderson, PRAMS, Gunnedah Shire Council, and the hospital auxiliary attended a meeting on Tuesday to discuss the works.
"This is a project that has high community interest and they ... will absolutely want to be part of the process of the project, which will be the redevelopment of Gunnedah hospital," Mr Anderson said.
"I believe the community has a real role to play in terms of providing valuable information of what services should be delivered from the hospital."
Mr Anderson said he would also be approaching HNEH in the future to find out more about the process of the project.
"I'll ask where they're up to - what's their plan for community consultation, how do they propose to engage the community, what are the timelines for input, comment and review and what the plans will look like," he said.
The $53 million project is set to start before March 2023. It is funded as part of the state government's 2019/2020 budget.