Health and Social Services Minister Glenn Hart was standing more than sitting in the legislative assembly Wednesday as opposition members pelted him with questions over the latest government announcement to build a hospital in Dawson City.

Liberal Leader Arthur Mitchell said making such a decision before completing the health review consultations is premature.

"Dawson may very well need a hospital. We have no problem at all with that," said Mitchell. "But this government needs to finish taking the pulse of Yukoners before it makes a diagnosis."

But from the government's perspective, the prognosis for the territory is for two new hospitals — Watson Lake and now Dawson — and the Yukon Hospital Corp. (YHC) will spearhead the latter project.

"They have indicated a willingness to look into the situation in Dawson City and do an assessment of ... what types of facilities are going to be required," the minister said.

Currently, Dawson has a nursing station and the McDonald Lodge long-term care centre.

In this fiscal year's budget, $1 million is set aside to develop the hospital and a replacement for McDonald Lodge. It is expected the new facilities would share heating, cooling and other mechanical infrastructure.

While the government studies how to fit a hospital into an unfinished $5-million shell outside Watson Lake's current hospital, NDP MLA Steve Cardiff questioned the wisdom of forging ahead with a similar project.

"They're closing hospitals in southern Canada while we're building them," Cardiff said.

"It's not just building hospitals that costs taxpayers money; it's operating hospitals that makes them expensive ... how is the minister planning to fund the building and operations of two new hospitals in the Yukon?"

Attempting to set the record straight, Premier Dennis Fentie said "there has been that exact same" hospital in Watson Lake since 1979, but did not explain how the government planned to staff a third hospital.

After question period, Fentie, like Hart, shifted responsibility to the YHC.

"You'll have to ask the hospital corporation," he said when asked what the new Dawson hospital will cost.

"They will be the ones delivering the facility (there) and I'm sure they're not at any stage to give you the numbers."

In spite of the YHC being a separate entity from government, the premier did acknowledge the corporation is accountable "to the public government and the public."