Clarity on pier costs
There have been conflicting reports recently on the original cost of the pier, ranging from $9.2m to $12.5m. The anticipated costs when council first approved the project in 2006 were $6.2m. The table below charts the increases over time, sourced completely from city documents. There are important lessons here for all of us to ensure future projects are costed appropriately from the beginning, and stay on budget.
| Date | Total Budget, including contingency | City's costing explanation | Source |
|---|---|---|---|
| March 2006 | $6.2 million | Includes $900K contingency, which is public | Staff report E16/06 dated Feb. 16, 2006 |
| July 2006 | $7.7 million | Construction tenders come back higher than expected Other items remain the same, including $900K contingency fund included in budget, but now confidential |
Staff report DI9/06, July 31, 2006 |
| August 2006 | $8.1 million | Council extends length of pier; adds lighting Other items remain the same, including $900K contingency fund included in budget |
City Council minutes, Aug 8, 2006, pg. 42: |
| January 2008 | $8.1 million | Staff report says confidential contingency is “within the approved council upset amount” of the project, reported as $8.1 million. | COMSERV 1/08, Jan. 2, 2008, p.4, |
| September 2008 | $8.1 million | Staff report says confidential contingency is “within the total approved amount” of the project, reported as $8.1 million. | COMSERV 10/08, Sept. 4, 2008, p. 3: |
| January 2009 | $8.1 million | Staff report says confidential contingency is “within the total approved amount” of the project, reported as $8.1 million. | Report E 21/09, Jan. 23, 2009, p. 5 |
| June 2009 | $8.1 million | Sentences on confidential contingency deleted. | Report E41/09, June 8, 2009, p. 4 |
| Sept. 1 2009 | $8.1 million Plus confidential contingency |
Residents told in a power point at a public meeting that the contingency is above the previously reported “total” budget. | Power Point presentation |
| Sept. 25 2009 | $8.1 million + $900K contingency + $250K contingency $9.25 million total |
Contingency amount revealed: $900K, same as original budget when it was included in the total budget. Now the contingency is counted as “over and above” the budget Additional $250K contingency approved |
Report E58/09 Sept. 25, 2009; pp5-7 Council minutes Oct. 19, 2009, p. 8 |
| June 22 2011 | $15.0 million | Contingency amount included at $900k two optional added: additional paving around the pier walkway and ramp to the sand beach on the west side of the pier |
Report E-29-11 June 2, 2011 Council minutes July 4, 2011, p. 9 |
This chart originally appeared on A Better Burlington website May 12th, 2010
Pier costs have increased from $6.2 million to $15M – excluding legal costs and staff time
