Thursday, June 1, 2006

Have a Danish


A Danish Professor's book on Megaprojects that is.

Thanks to the Town of LaSalle for showing us how the arena costs in Windsor will soar upwards out of control. The Town proved the thesis of the Professor's book perfectly.


  • "The Town of LaSalle is dipping into its reserve funds and redirecting budget allocations to help pay for a 44 per cent hike in the cost of its proposed Vollmer Recreation Centre, Coun. Gary Baxter said Monday.

    Council's recent approval of a financial plan to pay for an $8.8 million increase in the cost of the recreation complex is a "knee-jerk reaction" that robs Peter to pay Paul, Baxter said.

    "There just seems to be this need to rush to get something done before an election is held," Baxter said.

    "Things are being done more racing against the clock than maybe a more prudent method...

    Although the price of building the centre remains $20 million, the town announced three weeks before the June 6 groundbreaking date that it will take another $8.8 million for the recreation complex to be operational, accessible and furnished.

    "Council has maintained and kept their word on that the complex 'building' would only cost $20 million," the town's director of culture and recreation Terry Fink said. "To bring services and bring the roadways that are not part of the recreation site -- that are not part of the building -- that's where some additional costs are in."

    In a report to council titled "Vollmer Recreation Centre: Outstanding Financial Challenges," the town's director of finance Joe Milicia outlined the costs not accounted for in the $20 million guaranteed maximum price the town's politicians have been trumpeting for the last year"

Can you believe it, the costs of the building are $20 miillion but to make it function millions more need to be spent. In other words, the costs were under-quoted to make it easier for the electorate to swallow.

Gee, doesn't that sound like Windsor? Costs of $50-55 million for the arena. I was told by City Hall insiders that the real costs will be in the $75-80 million range when one adds in land acquisition and engineering and design costs plus who knows how much for access roads etc.

And naturally there will be huge cost over-runs

And the number of tournaments will not be as high as expected so revenues will be less

And this is an election year so that the Mayor feels he has to fulfill his promise or else

And Councillor Gignac needs something to show for her three year efforts for Ward 5

And, And, And....

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