In 2002, the Canadian senate sought to investigate the state of health in the country and make necessary recommendations. The Standing Committee mandated on matters of social affairs, science and technology took up the matter and set out to investigate as well as come up with a document that would offer detailed information on the state of national health and make recommendations. The committee was chaired by Senator Michael Kirby, and specifically, it sought to come up with ways that would reduce problems related to maldistribution, jurisdictional competition and undersupply. The committee, on completion of its investigative work and writing of reports, came up with various recommendations that were categorized into six parts. The overall recommendation was that the federal government was supposed to work with relevant parties in creating a national coordinating body for health care system and which was supposed to be composed of key stakeholders. This paper explores one of the recommendations that were proposed by the committee. Recommendation Category one Recommendations on restructuring the current hospital and doctor system to make them more efficient as well as effective in providing timely and quality patient care (Taylor, 2009, p.7). This is the first of the categories of recommendations that were made by Kirby’s committee as a way of improving conditions of health care system in the country. According to Day, Paul and Williams (2009), Kirby’s report on the status of Canadian health care system noted that there were some grave issues that need to be addressed on matters concerning hospital management. For this reason therefore, the committee made it clear that there was a need to restructure the hospital managements. This recommendation was prompted by a number of factors. The discussion below looks at the state of Canadian health system and hospital management that prompted such a recommendation. The context at the time Before the commissioning of the report and subsequent recommendations were made, the hospital situation in Canada was in bad state. Apart from a few ones, the hospitals in the country were not for profits and their ownership was community based. Some of them were owned by religious bodies while others were either owned by universities or the municipal governments. In actual sense, the territorial or provincial governments did not own hospitals, and this is despite the fact that the provincial administration was doing a lot of funding for the management of the hospitals in the country. The concept of restructuring was therefore meant to devolve the management of the hospitals plus the doctor system. The major concept here is care-spending from the provincial administration or governments or what could be termed as the ministries of health in the national government. Once money is released from the national headquarter, the regional health authorities abbreviated as RHAs would take up the matter and design the best way to distribute the money or resources. In Canada, there existed the municipal doctor system but was superseded by what came to be known as the province-wide medical care program (Taylor, 2009). This program had its own mer