Supply chain pressures, startup delays hike budget for Sault Downtown Plaza to $11.6M
Meeting on Monday, city councillors in Sault Ste. Marie will be asked to approve another budget increase for the Downtown Plaza project.
Originally pegged at $6.6 million in 2019, councillors approved a revised estimate of more than $8.4 million in May 2021. That increased to $10.19 million in May 2022 after bids on the project came in higher than expected.
A staff report at the time cited soaring inflation in the construction industry, with residential construction costs up an estimated 21.7 per cent and non-residential up by 11.2 per cent.
The city was also unsuccessful in its bid to get $2 million in funding from the Northern Ontario Heritage Fund Corp. (NOHFC) for the project.
However, fundraising reached a total of $1.1 million and the project received $500,000 from FedNor and $250,000 from a provincial rural economic development program.
A staff report for Monday’s meeting said global supply pressures are causing delays and driving up costs.
“The most significant delay was the availability of equipment and materials for the outdoor rink feature,” the report said.
“These supply chain issues have delayed the ability to pour the rink until the spring timeframe when the frost is out of the ground. Other delays impacted the project schedule and necessitated pouring of some concrete elements into the winter months which requires additional heating and hoarding costs to be incurred.”
To partially offset the latest cost increase, the report suggests using $660,000 previously earmarked for the Mill Market project. That money is no longer needed because the project successfully applied for funding from upper levels of government.
The remainder of the cost increase would be funded by delaying plans to replace the ‘A’ dock at the Bellevue Marina.
“Staff have reviewed and believe that the ‘A’ dock can be maintained and operated safely for another season,” the report said.
By using these funding sources, the report said no increase to property taxes would be required to move forward with the plaza.
“The request for additional funding for the plaza project at this time is required to continue with project construction and accommodate current change orders and fees,” the report said.
“Should the Mill Market be successful in their other applications, this will further reduce the city share in the project.”
Read the full report here.
CTVNews.ca Top Stories
Bodies recovered in Mexico likely 2 Australians, 1 American who went missing: officials
Three bodies recovered in an area of Baja California are likely to be those of the two Australians and an American who went missing last weekend during a camping and surfing trip, the state prosecutor’s office said Saturday.
Pastrnak scores winner, Bruins down Leafs 2-1 in overtime in Game 7
Sheldon Keefe told his players hockey history would remember them one way or another.
Madonna's biggest-ever concert transforms Rio's Copacabana beach into a massive dance floor
Madonna put on a free concert on Copacabana beach Saturday night, turning Rio de Janeiro's vast stretch of sand into an enormous dance floor teeming with a multitude of her fans.
What a judge's gag order on Trump means in his hush money case
A gag order bars Trump from commenting publicly on witnesses, jurors and some others connected to the matter. The New York judge already has found that Trump, the presumptive Republican nominee for president, repeatedly violated the order, fined him US$9,000 and warning that jail could follow if he doesn't comply.
No proof man lied to brother about number of kittens born in litter, B.C. tribunal rules
A man was denied a $5,000 payout from his brother after a B.C. tribunal dismissed his claim disputing how many kittens were born in a litter.
Trudeau 'absolutely' best person to lead the Liberals in next election: LeBlanc says
Cabinet minister Dominic LeBlanc insists he's not planning a leadership campaign to head the Liberal party, should current leader and Prime Minister Justin Trudeau resign, seemingly quashing rumours he's planning to make a move for his boss' job.
Bombarded with spam texts? Stats show the problem is getting worse in Canada
In particular, messages that involve phishing — an attack where a scammer tries to trick the recipient into clicking a malicious link, downloading malware or sharing sensitive information — are on the rise.
The American paradox of protest: Celebrated and condemned, welcomed and muzzled
Americans cherish the right to assemble, to speak out, to petition for the redress of grievances. It's enshrined in the first of the constitutional amendments. They laud social actions of the past and recognize the advances toward equality that previous generations made, often at risk of life and limb. But those same activities can produce anger and outright opposition when life's routines are interrupted, and wariness that those speaking out are outsiders looking to sow chaos and influence impressionable minds.
King Charles III’s openness about cancer has helped him connect with people in year after coronation
King Charles III's decision to be open about his cancer diagnosis has helped the new monarch connect with the people of Britain and strengthened the monarchy in the year since his dazzling coronation at Westminster Abbey.