Calgary Health Region revealed Thursday that its 2007-08 deficit may balloon to $85 million and Jack Davis will hand over the reins as president in part of a senior executive shuffle.
Davis will retain his duties as chief executive officer in the reorganization that takes effect next week.
The CHR's executive team is being pared from about 18 positions to 11 in an attempt to reduce bureaucracy and allow for quicker decision-making.
But the organizational changes are not expected to produce major cost savings at the cash-strapped CHR, leading the Alberta Liberals to call on the government to assess how the province's health authorities are spending their money.
The financial troubles at CHR -- a $2.8 billion organization that runs Calgary's medical system -- are largely related to massive staff overtime costs, worth about $63 million.
The reorganization -- which includes sweeping changes to the way CHR is structured -- isn't likely to significantly cut costs from the region's $91 million administrative budget, in part because only two executive team members have left the organization. Others who aren't part of the new executive team have been reassigned to other areas.
Find blog posts, photos, events and more off-site about:
health care, medicare, Canada, Conservatives, politics, health, Jack Davis, Calgary Health Region , Stelmach, Alberta