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Report: Proposed arena target budget of $52M is 'insufficient'

More money? Build side by side? Remove the walking track? Discussions on a way forward with a new twin pad and community centre located adjacent to the Omischl Sports Complex are set for Wednesday — the project, as proposed, will need a bigger budget say industry experts
2021 12 03 North Bay City Hall Season's Greetings (Campaigne)
North Bay City Hall

According to a "market sounding" report prepared by hired consultants, there are "competing factors" that will need to be addressed before the City of North Bay can proceed with a revamped twin-pad community centre project — and the present budget of $52 million is "insufficient."

Colliers Project Leaders initiated a "market sounding to inform the council recommendation to prepare and issue a request for an expression of Interest for construction of a new Community and Recreation Centre to be located adjacent to the Omischl Sports Complex."

Colliers compiled the report in large part from feedback solicited from members of the construction and design industries. Colliers says it gathered information, knowledge, and perspectives from these interested parties to assist in determining how to best proceed with this project. 

See Colliers' full City of North Bay Community Centre Market Sounding Report

North Bay City Council will hold special committee and special council meetings on Wednesday, beginning at 5 p.m., to discuss options and possibly pass a resolution to direct staff on how to proceed with the controversial project.

See related: Ready for more new arena talk? Status update coming

In September, the Community and Recreation Centre Ad Hoc Committee recommended — and the council soon after approved — investigating the feasibility of a new project with a $52 million upset limit that will include the minimal possible functional programming, according to this report from CAO John Severino. A third-party Class A estimate was completed in November 2022. Council committed in September to an inclusive budget of $52 million for a rebooted project with the budget covering the complete cost, including all consultants, construction, and internal costs.

See also: Cheaper arena project recommendation on council agenda

And: Council sets in motion new arena project with $52M upset limit

If approved in its present form, the recommendation accompanying the consultant's and staff reports would see council direct staff to prepare a design proposal to be issued in the first quarter of 2024 in an attempt to complete the build in 2025 while fulfilling the net zero-carbon requirements to receive nearly $26 million in federal funding. Council is further recommended to direct staff to prepare budget target options for council consideration early in the new year so an RFP can be issued "that ensures broad industry interest and participation."

As far as the Colliers report, the participants indicated the current project budget of $52 million was "likely insufficient given the current design and Net Zero energy requirements ... the overall commentary was that even with a redesign, the Net Zero requirements will drive the cost higher and likely above the budget. The full impact on cost and schedule was unknown."

Colliers also heard words of caution from industry insiders indicating "the market response may be negatively impacted by the fact that this project had been unsuccessfully tendered in the past and given the project’s high visibility in the City, and public critique that this project has garnered to date, as this would be seen as potential risks to be managed."

The City of North Bay has set key milestone dates of September 2024 for construction drawings that meet V2 design requirements for the federal GICB program and substantial completion in 2025 to coincide with the City of North Bay’s centennial celebration.

In July 2022, Nipissing—Timiskaming MP Anthony Rota announced up to $25.77 million in funding for the previous version of the project stalled due to high costs and public opposition. The GICB funds were earmarked to help with the cost of the architecture and engineering design and were contingent upon the construction and commission of a net zero-carbon building. City officials have been formulating plans for a new building design with that federal money still in place.

The requirements of the Net Zero Carbon CaGBC design standard v2 must be met to receive the GICB Program funding from Infrastructure Canada. Projects must submit for certification before September 30, 2024, or upgrade to version 3.

The participants stated the "2025 timeline for completion was aggressive ... Most participants agreed that construction would range from 16 to 20 months from start to finish," while two "suggested the City may wish to amend the target for the Centennial to having a groundbreaking in 2025 as this would likely be more achievable than opening the facility in 2025."

The Colliers report further states, "Expectations of the Project Budget, schedule and Net Zero Carbon CaGBC design requirements are identified as competing factors that must be balanced and aligned to ensure the successful completion of the project."

The good news is the participants in the market sounding showed interest in the project, indicating there is ample market capacity to proceed with some adjustments to the budget and construction schedule. "The current target budget for the project must be re-visited to ensure market interest and participation," per the report.

There is a clear preference to proceed as a Progressive-Design-Build (PDB) as opposed to Design-Bid-Build (DBB). The PDB method "increases the probability of meeting the schedule, allows the City to have a fixed price after design and creates a collaborative environment."

However, four of the 13 respondents indicated that "going the PDB route may allow for schedule efficiencies but even then, meeting 2025 will be tight ... If the project proceeds as a PDB, the timeline would need to consider the redesign and approvals process [four to six months] and the procurement for a PDB partner would need to be completed in early 2024.

Some suggestions from these industry experts for cost optimization include building a side-by-side layout to "shrink footprint and reduce exterior building envelope."

They also recommend reassessing the use of deep foundations. "It can be costly to make foundations work on soft soil, minimize depth of footings where possible."

Other cost optimizations include moving the build closer to Lakeshore Drive, simplifying the interior finishes and using a pre-engineered structure, although it was suggested this route might be problematic to retain the GICB funding.

Ten of the 13 participants also identified removing the walking track as a cost-cutting move that could save $1 million. "One participant framed their comments regarding the walking track as a cost versus overall value item. If the community will derive high value from a walking track, then the cost can be justified."

Per the Colliers report, the new arena project would be located adjacent to, and integrated into, the existing Omischl Sports Field Complex at 1099 Lakeshore Dr. "The new arena is expected to include two ice pads, a community room, a food services area, as well as a heated lobby area with views of the ice pads."  

A spatial requirement document from the City of North Bay lists eight exterior connected change rooms and six additional change rooms as "mandatory spaces." This design will please "non-ice" user groups who have gone without proper facilities since the Omischl Complex opened in 2011.

The arena is expected to provide convenient and barrier-free circulation for arena users and staff. Patrons are expected to have easy access to the service counter, food services area, public washrooms, heated lobby and spectator area via comfortable barrier-free paths of travel.

"The new facility is expected to have the capacity to accommodate approximately 250 spectators per ice pad and maintain ice in all seasons. The building envelope and mechanical systems are critical and require careful consideration as they must be designed to meet the Canadian Green Building Council (CaGBC) Zero Carbon Building (ZCB) – Design Standard (version 2). Achieving this designation is a minimum requirement for the success of this Project.

"Consideration is given to tournament use and the hosting of trade show-type events, specifically, egress requirements for such events. Access to all equipment and systems in the mechanical, electrical, ice resurfacer and ice plant areas should allow for easy maintenance and repairs when needed and provide suitable space for safe and uncongested circulation."


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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