FREDERICTON - The New Brunswick government says Perth-Andover will get a new community hospital as part of the province's $466-million capital budget.
The government says it plans to spend more than $53 million on maintaining and improving health care infrastructure in 2013-14, which includes funding for the facility.
The lower level of Perth-Andover's Hotel-Dieu Saint Joseph Hospital was flooded in March after ice jams caused the St. John River to spill its banks.
The government says $3.5 million will be spent to start new projects, down from $24 million in 2012-13.
Finance Minister Blaine Higgs says the province is not in a financial position to fund new projects and will focus on maintaining existing assets.
Last month, Higgs said this year's deficit is now expected to grow to $356 million — up $173 million from the forecast in March.