In a recent Peak article about fire hall developments [City of Powell River council reviews fire hall developments,” March 11], Powell River fire chief Terry Peters was quoted saying: “The committee looked at it and the contingencies in the proposal originally. The committee did its recommendations among themselves and they felt that’s a number it could go to the public with.”
Peters also said that’s what the committee’s budget numbers came to (7.5 million), and as the process proceeds, it might end up being higher.
Emergency Services Facility Select Advisory Committee minutes from June 25, 2020, regarding the feasibility study question and answer with Johnston Davidson Architects (JDA), reflect that committee members expressed concerns regarding the high contingencies and markups in the feasibility study. The architects advised that the contingencies and markups they used are standard in all their projects and throughout the project the percentages may go down. The architect advised that the contingencies are used for unexpected costs if they arise.
The definition of “contingency” is likely but not certain to happen. It was suggested to the committee that possibly these contingencies might decrease as the project progresses. Does anyone know of a government contract that ever came in at or under budget?
The chief forgot to mention the markups and added fees that are in addition to contingencies JDA referred to. If one looks at the feasibility study’s pages 33 and three at participatepr.ca, the 19,142 square foot building (after correcting the typo at markup 10% - Proposed Area) at $400 per square foot is $7,657,000. Add contingencies of 23 per cent and it could cost over $9,400,000 just to pay for the building. If it cost $460 per square foot (as someone suggested) it could cost over $10.8 million.
The additional cost of LEED standards could be up to 15 per cent (plus yearly inspection costs) and net zero as high as 30 per cent. While I agree that building some of these standards into the ESF now will bring savings in the future, this committee is not qualified to make those decisions. It should be a separate committee that can have no conflict of interest.
If we decide to add some green to the building, say 15 per cent, (of the 45 per cent) the cost could be almost $11 million. At $460 per square foot, the cost could be over $12 million. Why is this committee talking about $7.5 million?
I voted in favour of the new fire hall but I always believed this facility is far more extravagant than what this city requires. I pushed to have the costs looked at, back in early 2020 when we talked about the Barnet Street site but it was continually rejected.
JDA will tell you the plan is a standard. I wonder who’s the customer, JDA, city council, the fire chief, this ESF committee or the taxpayers?
Arthur Richards is a Powell River resident and former member of the emergency services facility select advisory committee.
