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Lakeshore arena part deux: Council to vote on $2.6M design contract

The target project budget is $59.5 million ... Council will be briefed at key milestones, such as at 30 per cent and 60 per cent design completion "to ensure the project’s target budget, schedule, and functional program meet the objectives set out by Council," and a change order to begin final design and construction will also require council approval
2022 04 12 Steve Omischl Complex Arena Site (Campaigne)
Facing west from the Steve Omischl Sports Complex. The future home of North Bay's arena project?

The City of North Bay and user groups are hoping this sequel has a more satisfying ending after a trident-shaped community and recreation centre project was shelved in August 2023 as bids to build ballooned to more than $70 million and the overall cost neared $80 million.

A City staff recommendation is calling for Council to approve a $2,599,000 contract to Mississauga-based EllisDon Corporation for project development services for the progressive design-build of the new North Bay Community and Recreation Centre, to be located adjacent to the Steve Omischl Sports Complex on Lakeshore Drive. EllisDon will also manage the construction phase if the project proceeds as planned.

See related: Ongoing arena saga is local top story of 2023 say readers

Council will vote during its Tuesday, May 7 regular meeting on the recommendation, found in this report authored by CAO John Severino, to move forward with the controversial project. The target project budget is now listed as $59.5 million. As the project progresses, North Bay City Council will be briefed at key milestones, such as at 30 per cent and 60 per cent design completion "to ensure the project’s target budget, schedule, and functional program meet the objectives set out by Council."

A change order to begin final design and construction will also require council approval.

See also: Gardiner: New arena should proceed at Omischl

The City of North Bay's financial department prepared a financing plan (see breakdown below) that "includes the $25.778 million in GICB funding from the Government of Canada, one-time dividends and funding from the Canada Community Building Fund, OLG revenues, PAYGO, Municipal Accommodation Tax, potential surplus from open and cancelled projects and Special Debt to finance the Project and inform the Target Budget to be included in the Project’s RFP for construction of the community and recreation centre."

Financial Plan

  • 25,778,016 - GICB Program Funding
  • 14,733,945 - Special Debt
  • 9,420,792 - Canadian Community Building Fund (former Federal Gas Tax)
  • 3,050,000 - Reserve - Completed Projects
  • 2,942,351 - Capital Levy/Paygo Funding
  • 2,074,896 - Reserve - Special Dividends
  • 1,000,000 - Municipal Accommodation Tax
  • 1,000,000 - Reserve - Casino Funding
  • 60,000,000 - Total Funding

See: City ready to go to market on new arena with $60M target

In December 2023, council members learned a rebooted project would, according to consultants from Colliers Project Leaders, come with an estimated cost of at least $60 million. The plan is for the target budget to cover the design and construction of a new community and recreation centre.

After reviewing the information received from the Colliers report, the design and budgets of similar community centre projects and "current cost guides and construction indices," such as Statistics Canada Building construction price indexes, municipal staff advised "it is necessary to include a budget target of $60 million to attract serious and broad market interest and participation in the RFP that will lead to the selection of a qualified proponent to undertake a Progressive Design Build of the project that meets the current expected functional program, Zero Carbon Building technical requirements and target schedule within the Target Budget."

And: Council moves new arena to next step — costs estimated at $60M+

According to the report, a formal bid request, which closed on March 28, was "administered by the Purchasing Department and was publicly advertised. Seven proposals were evaluated by the Chief Financial Officer/Treasurer and Colliers as non-scoring procurement oversight. Scoring members included the ManagerSpecial Projects, Interim City Engineer, Chief Administrative Officer and Manager of Sports and Events. The evaluation considered experience, qualifications in design services and construction management."

The bid results:

1 EllisDon Corporation 102.12
2 Bird Construction Group 101.29
3 Ball Construction Ltd. 94
4 M. Sullivan & Son Ltd. 71.38
5 Percon Construction Inc 57.7
6 Corebuild Construction Ltd. 56.53
7 Atlas Constuctors Inc. 50.79

The proposal from EllisDon Corporation scored highest and is deemed to provide the best overall value to the City of North Bay.


Stu Campaigne

About the Author: Stu Campaigne

Stu Campaigne is a full-time news reporter for BayToday.ca, focusing on local politics and sharing our community's compelling human interest stories.
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