Inflation and supply chain issues are just some of the reasons that Nelson’s Hall Street pier project will cost more than $4 million, which is more than a million dollars over the original $2.6 million budget.
When the project was proposed back in 2020 the cost was quoted at $2.6 million was later increased to $3.5 million and now is estimated to cost $4.4 million.
“Increased costs have forced us to look at how we can reduce site costs,” says public works director Colin Innes. “These increases, and issues, are going to push phase one’s completion date from December to the end of January.”
Innes says construction concerns they didn’t plan for have started coming forward.
“We got hit with the issues about pilings and the condition of the subsurface in the lakebed,” Innes says. “This has resulted in having to drive deeper piles and of course more welding is required to provide more support.”
He says with all the additional work the team has to find additional ways to save money while still keeping the aesthetics and scope of the project the same.
“We recognize that we need to find savings because costs are being driven up,” he says. “One way was to look at redesigning the canopy itself for the pier.”
Innes says the designers are looking at a few alternative plans to save more than a million dollars.
“The designers came up with the idea of shortening the pier,” he says. “Also, creating the swim platform at the end of the pier will bring the cost down.”
To remain on budget the city will need to trim another million off the budget.
Innes says the canopy portion might have to be scrapped for the year if the city cannot contain costs for the project or find a new grant to cover it.
He says they project the pier will be $185,000 over budget, but the team is working to address cost pressures.
City council approved construction on April 19 with a construction budget of $3.5 million. Funding came from a contribution of $2 million from the city, $500 thousand from Columbia Basin Trust and a federal grant of $1 million.
The pier will replace the structure which was built back in 1986 and will include a new Ladybird display building that was scheduled to be completed in December, but will be delayed until the end of January 2023.