Tag Archives: building City Hall

Financial review of City Hall, courthouse construction project complete

Guelph, ON, September 9, 2015– An independent financial review has confirmed the final cost of building Guelph’s new City Hall and provincial offences court, including legal costs and settlement fees, is $65,069,735. The findings confirm the values previously reported by the City. The report was presented this afternoon to the Corporate Services Committee. “The financial review, conducted by Deloitte LLP, verified the City of Guelph’s financial tracking of project costs and its record-keeping were sufficient to provide detailed, accurate costing information,” says Guelph’s chief administrative officer Ann Pappert. With the exception of legal and settlement fees, the Civic Administration Building and Provincial Offences Court was within one percent of budgeted construction costs. “This is the final of three deliverables we promised earlier this year,” says… Continue reading Financial review of City Hall, courthouse construction project complete

Guelph City Hall and courthouse financial overview

Project funding (City Hall and Provincial Offences)   Approved budget          $54,850,100 Plus: unbudgeted additional funding            $1,783,248 A. Total project funding          $56,633,348 Project expenses (City Hall and POA)   Project cost          $56,968,414 Settlement costs: Urbacon Limited            $6,635,000 HST                $495,450 Input Tax Credit              ($451,186) Aviva Insurance Company of Canada                $100,000 Moriyama & Teshima Architects              ($150,000) Money paid back from lien claims ($828,427) Total settlement costs            $5,800,837 Legal fees            $2,300,484 B. Total project cost          $65,069,735 Additional cost to the City (B – A)            $8,436,387 Funding the additional cost Settlement Legal/OMB Reserve            $1,693,100 Capital Tax Reserve            $1,500,000 Capital Asset Renewal Reserve            $5,243,287  Total $8,436,387 Resources View the staff report and final accounting of… Continue reading Guelph City Hall and courthouse financial overview

Statement from the Office of the CAO re: Urbacon Settlement

Last night City Council received a staff report regarding settlement of the City’s litigation with Urbacon and it directed staff to make public the details of the settlement. Read the City Council resolution regarding the settlement with Urbacon. The City and Urbacon have settled the litigation out of court for $6.635 million. I’m pleased that both parties were able to come together and reach settlement. Doing so has saved the City of Guelph further legal costs and provides certainty of the outcome. Next steps As follow up, I have asked the City’s internal auditor to conduct a full review of risk associated with complex capital projects so that we have the benefit of lessons learned during this project, and so that we can apply that information… Continue reading Statement from the Office of the CAO re: Urbacon Settlement

City hopes to settle dispute regarding City Hall construction

City and contractor to participate in mediation this fall GUELPH, ON, May 8, 2012 – City Council discussed ongoing litigation relating to the construction of Guelph’s new City Hall at its May 7 meeting. The City and Urbacon — the contractor hired to build City Hall — will participate in private mediation this fall with the goal of resolving outstanding issues and reducing legal costs for all parties. On September 19, 2008, the City terminated Urbacon’s right to work and asked the contractor to leave the City Hall construction site –alleging Urbacon was unable to uphold its construction-related commitments. On October 9, 2008, Urbacon initiated a $20 million breach-of-contract lawsuit against the City. The City then served a Statement of Defence and Counterclaim against Urbacon,… Continue reading City hopes to settle dispute regarding City Hall construction

Backgrounder – litigation regarding City Hall construction

updated June 2015 Urbacon’s contract and affected parties In July 2006, Urbacon was awarded a $42-million contract as general contractor for the construction of City Hall and the Provincial Offences Administration (POA) Court. Urbacon was required to provide a performance bond, which it obtained from Aviva Insurance Company of Canada (Aviva) for $21 million. Moriyama & Teshima Architects (MTA) was hired by the City as the projects’ architect and payment certifier/consultant for the project. According to Urbacon’s original construction schedule, City Hall was to be substantially complete by February 28, 2008. An extension for the completion date to August 15, 2008 was negotiated and agreed to by all parties in December 2007. Shortly after, an additional extension to September 8, 2008 was made to accommodate… Continue reading Backgrounder – litigation regarding City Hall construction