Williams Lake Fire Hall Cost Won't Fall on Taxpayers

Thursday, January 20, 2011 03:45 AM

Williams Lake, B.C. – the Mayor of Williams Lake says taxpayers won’t be on the hook for a budget boondoggle surrounding construction of the city’s new fire hall.

Kerry Cook says taxes will not be increased to cover the construction cost overrun of $528,034 and that the 2011 budget will not be impacted in any way. Cook calls the overspending “regrettable”.

The city says an initial $300,000 deficit was addressed by council in the 2010 budget and the additional $228,000 in expenditures for landscaping and site finishing requirements were absorbed in the 2010 Operations budget with savings found in other operational accounts.

Williams Lake City Council is considering a number of recommendations to prevent future projects from coming in way over budget:

The recommendations are:

1. For a project of significant value or complexity, utilize a Principle Contractor model whereby the contractor assumes responsibility and risk for excess costs other than those approved by the City through change orders;

2. In the event a Project Management model is utilized, the City should retain all financial administration responsibilities. Project Management should be limited to oversight and coordination of construction activities;

3. In the event that staff are aware of expected cost-overruns, Council must be informed prior to further work commencing so that appropriate budget authorizations can be provided by Council; and

4. Establish a project oversight committee with Council representative for all projects of significant value or complexity as a common practice, with monthly reports to council.

The fire hall became operational in December, 2009 and is expected to serve the needs of Williams Lake for the next 30 years.

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Williams Lake Fire Hall Cost Won't Fall on Taxpayers

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