Mr. Chairman, the process that has been used in coming up with our estimates is the one that has been in practice for many years. The client department would list the project on its needs assessment. As it came due for putting it onto the plan, they would work with Public Works and Services to do a technical review as to what would be required, and supplementary estimates would be done.
We have to realize, as these are put on the books…. They could be five years in the making from when they first get onto the books to when they are actually voted on. As we’ve found over the last number of years, we’ve had to adjust projects that have been on the books by an almost 20 per cent markup from one year to the other, just because of the cost of labour, as well as construction materials. So it has had a big impact.
The whole capital plan has been adjusted over the years. The original amount for this project was in the neighbourhood of $22 million. It has been adjusted with the estimates that we now use and the updates on an annual basis.
As well, when we get closer to actual development, the Finance Department, as well as Public Works and Services, works with the appropriate authorities in giving further detail on what is being requested and what is needed in a new facility. That also can
affect the price that is being looked at. The Member also discussed the fact that the work we’re doing on the whole area of infrastructure planning and timing is something that needs to be addressed, and we agree with that. We have instructed a committee to begin that work as to the overall planning that is used and what needs to be done to bring our prices back in line with what is considered affordable.