BARRIE -- The future of a new hospital in the City of Orillia is closer to reality.

City Council received a report that highlights the financial advantages of a brand new medical facility for the community on Monday evening.

"The economic benefit of having a modernized hospital in our city is undisputable," said Orillia Mayor Steve Clarke.

The city and Orillia Soldiers' Memorial Hospital (OSMH) Board of Directors have expressed a shared commitment to the project that is anticipated to cost hundreds of millions of dollars.

"We know that a new hospital in Orillia is important to the OSMH Board of Directors in order to align the hospital with the province's new model for delivering health care and meet growing patient care needs," added Clarke.

A new hospital in the sunshine city is predicted to boost employment and community growth.

"This project has the potential to be the single most impactful infrastructure development for the future health and well-being of our community that the City of Orillia has ever experienced," remarked Carmine Stumpo, OSMH President and CEO.

Exactly where a new hospital would be built within the city has not been identified.

The project would require approval from the province and could take multiple years to come to fruition.

The city and OSMH board also expressed interest in plans to redevelop the existing site.