Calvary Health Care is bidding to take over two private hospitals in the Hunter, raising fresh questions about the future of the troubled Mater.
The not-for-profit Catholic organisation is leading a consortium that aims to acquire 16 private hospitals in the Healthscope sale.
These include Newcastle and Hunter Valley private hospitals, which are based at New Lambton Heights and Shortland respectively.
Calvary also runs clinical services at the Mater hospital, which has been plagued by the mould and maintenance scandal.
Calvary's bid for private hospitals raises questions about whether it could seek to take over the Mater.
As the Newcastle Herald has reported, a parliamentary inquiry recommended last week that the Mater's disastrous public-private partnership (PPP) be terminated.
The failed Mater PPP is between Novacare and NSW Health's Health Administration Corporation (HAC). It closely involves Hunter New England Health (HNEH).
Calvary chief executive Damien Bruce reiterated last week that Calvary was not a party to the PPP.
"As the inquiry notes, major infrastructure and maintenance decisions sat outside Calvary's direct control," Mr Bruce said.
"Our responsibility remains the delivery of safe, high-quality patient care."
Mr Bruce said the inquiry should be "viewed as an opportunity to strengthen the future of the hospital".
Calvary has been frustrated for more than a decade of trying to get serious maintenance and infrastructure problems fixed at the Mater through the PPP.
The Herald asked Mr Bruce whether Calvary supported the inquiry's recommendation to terminate the PPP, but he declined to comment.
However, in a submission to the inquiry, he said "in the short to medium term, Calvary submits that the governance structure of the PPP requires substantial reform".
Novacare offered the private arm of the PPP to the government for $2, which was rejected.
NSW Health Minister Ryan Park has met Treasury officials to discuss the PPP's future, but the government aims to avoid taking on Novacare liabilities worth "tens of millions of dollars".
Novacare said in May it was headed for voluntary administration. If this happens, the government will have to find a new arrangement for the hospital.
As the Herald has reported, the government is set to use its $400 million health asset and equipment renewal program to fix the Mater's mould, maintenance and infrastructure problems.
The government is in a legal tussle with Novacare to recoup some of this money.
Mater staff say it makes no sense for the government to spend millions fixing the hospital's problems, while keeping Novacare and its maintenance contractor Honeywell involved.
Calvary owns the Mater buildings, which it leases to the government for the hospital. Hunter New England Health funds Calvary to provide public health services at the Mater.
However, their relationship has been strained.
In January, Mr Bruce published an open letter in the Herald, which blamed NSW Health for "the continued failure to address known and escalating risks".
"Each day NSW Health delays a comprehensive and transparent response to the infrastructure and maintenance needs at Calvary Mater Newcastle, is another day of putting off patient needs and placing unfair and unsustainable pressure on our staff," Mr Bruce wrote.
Internal documents reveal HNEH was caught off guard by Mr Bruce's explosive letter.
In an email to the executive leadership team, HNEH chief executive Tracey McCosker wrote "as you can imagine everybody is very unhappy about this latest development from National Office of Calvary Healthcare".
HNEH people and culture executive director Jane Street warned colleagues to "just be aware of this relationship becoming more challenging".
"If you are approached by any individuals at Calvary Mater, it is probably best to escalate that," she wrote in an email, while highlighting that conversations "might get messy".
In an email to the HNEH board, Ms McCosker said she had "written directly to Mr Bruce to respond to the assertions made, outlining my concerns with the characterisation of these matters".
However, the relationship looks to be mended, with both Calvary and Mr Park supportive of each other in recent press releases.
"The maintenance issues at Mater are the responsibility of Novacare, not Calvary. On the ground Calvary is just as frustrated with Novacare as everyone else," Mr Park said.
Mr Bruce said: "The minister's acknowledgement is important, particularly for our staff, as it helps provide a clearer understanding of the respective responsibilities involved".