The McGill University Hospital Centre and the province’s health minister appear to be in a disagreement over funding.

Quebec is funding the hospital to an occupancy rate of 85 per cent, when in reality it often has an occupancy rate around 91 per cent and higher.

The hospital said it will now have to close about 32 beds or face a funding deficit.

“If the funding structure and higher occupancy rate remain unchanged, we could have a year-end deficit varying from $31 million to $40 million,” said MUHC spokesperson Ian Popple.

But the health minister says the MUHC agreed to this funding level seven years ago.

“Seven years ago when the project started up, the project was about a 772-bed hospital period,” said Gaetan Barrette.

Gaetan Barrette said the province’s hospitals are only funded for 772 beds, the equivalent of 85 per cent, because beds are not occupied seven days a week.

“Because you have weekends, vacations holidays as we are entering today. So on yearly basis occupancy rate is 85 per cent,” he said.

The MUHC has a high occupancy rate because it doesn’t have an integrated network where they can send patients who need long-term treatment, he said.

Cutting beds and layoffs have been cited in media reports as possible solutions to the issue, but nothing has been finalized.

The MUHC says it is in talks with the government regarding its future funding structure – the 85 per cent funding is for its first year of operation.

The province is in the process of implementing “activity-based financing,” meaning hospitals will receive funding based on the volume and type of services it offers.

The union that represents support staff at the hospital says losing more employees on top of already difficult negotiations with the government would be a significant blow.

“Everybody has heard stories about families waiting for operations and things like that,” said MUHC CSN President Paul Thomas, pointing out the government decided to give Bombardier $1 billion instead of injecting money into health care.

If beds are closed, everyone will lose, said Thomas.

“It means fewer services for the population, waiting list more and more, and the employees are willing to give the services to the population,” he said.