Northern Health discussed the replacement for Mills Memorial Hospital during its board meeting in Terrace Monday.
CEO Cathy Ulrich says consulations with stakeholders will form an integral part of the design and construction of the new facility.
Ulrich says the first order of business is developing a business plan.
Ulrich expects the business case to be complete in late fall.
Northern Health says stakeholder opportunities to engage in the process will be made public as they are set up.
Health Minister Adrian Dix announced that the new hospital would go ahead in February.