UPDATE – October 25th: Council voted in favour of having the upgrades tendered separately. The Canada Infrastructure Program grant will not be impacted and will still be used for the projects.
FORT ST. JOHN, B.C. – The North Peace Arena upgrades are over budget, and Council will decide on a solution on Monday.
The City issued a tender, expiring on October 5th, for the replacement of three HVAC units, five exhaust fans and upgrades to the interior and exterior lighting, as well as replacing and reinsulating the lobby roofing membrane at the North Peace Arena.
According to a report by Civic Properties Manager Curtis Redpath to Council, the lowest bid of $1,517,437 including engineering fees is over budget by $658,437.
The City was awarded a Canada Infrastructure Program grant in the amount of $859,000 for the project in August.
“In accordance with Council Policy, staff are seeking Council’s direction to either reject all tender submissions as they are all over budget, and re-tender the North Peace Arena upgrades with revised scopes; or award the tender to the lowest bidder and take the necessary additional funds from Capital Reserves,” reads the report.
Due to the required roof alignment repairs that were necessary before completing the upgrades, the City was approved for an extension on the grant deadline. Staff were authorized by Canada Infrastructure Program to separate the tenders into three separate tenders.