Kiama MP Gareth Ward remains adamant that a greenfield option for Shoalhaven District Hospital will not be considered.
On Monday, September 21, Mr Ward said although Shellharbour would receive a new hospital, an upgrade would be sufficient for the Shoalhaven.
"The reality is that Shellharbour Hospital is an incredibly old hospital," he said.
"Shellharbour has the second largest growth rate of NSW and we have to provide for that growth in the future."
He said the Shoalhaven Hospital revamp would "revolutionise" health care in the region.
He also said the new $700 million Shellharbour Hospital would reduce demand for services in the Shoalhaven.
Local councillor Nina Digiglio and Mayor Amanda Findley have urged the government to consider a greenfield hospital site, rather than a refurbishment of the current hospital.
They say a greenfield site would make it possible to deliver better facilities, with room to grow.
They say it could also reduce traffic problems associated with the current hospital location.
It would also preserve Australia's first dedicated park.
Earlier this month a leaked internal Illawarra Shoalhaven Local Health District document revealed the proposed redevelopment will take part of what is known as Nowra Park or the Recreation Area adjacent to the existing Shoalhaven Hospital.