Council Highlights - January 7, 2020

January 8, 2020
Council Highlights

New Public Works Facility – Award Tender 

Council has awarded the tender for the construction of the new Public Works Facility to Vic Van Isle Construction (VVI). VVI was the successful contractor selected after a competitive Request for Proposal. The bids for the construction varied from $15 million to $17.9 million. All of the bids received were well over the budget estimates prepared by a quantity surveyor.

Since receiving the proposals in November, the City has been working to reduce the costs for the new facility while at the same time retaining the functionality. Through a process of simplifying the building, reducing the size of various parts of the buildings and reducing the size of the ancillary buildings, the City has trimmed the estimated cost for the site and facility works to $12.7 million.

Council has determined that this project must proceed. As time goes on, it’s increasingly more difficult to maintain a safe public works facility. The combination of high construction inflation and deteriorating existing public works buildings, make it essential to proceed without further delay.

On October 20, 2018, the Public Works Facility Referendum passed with 76.20% of the voters in favour of borrowing up to $8.5 million. The long-term borrowing for this project will remain the same at $8.5 million, with the balance to come from various reserves and surplus accounts. The increased cost of the project will not result in larger tax increase for taxpayers.

The new Public Works Facility is expected to be complete in November 2020.

2020 Capital Budget

Council approved the 2020 Capital Budget with the following highlights:

  • 2020 Capital Budget is estimated at $5,960,764 before capital carryforwards from 2019 and the Public Works Building.
  • The new Public Works facility is the largest capital carryforward from 2019 with a budget of $13 million.
  • All other 2019 capital carryforwards will be updated and added to the capital budget once the 2019 year is closed. 
  • The budget is based on grants of $1.9 million for 2020 (casino, gas and other grants) with the rest of the funding coming from reserves, utility fees and taxation.

Unfunded Liabilities & Five Year Capital Plan

Below are projects currently identified that do not have a funding source at this point and are not included in the proposed five year capital plan:

$4,255,000 – Johnston Bridge 25 Year Girder Coating

$1,300,000 – Moffat Bridge Rehabilitation

$5,000,000 – Renovate/Rebuild Downtown Firehall

$TBD           – Water Treatment

BC Air Access Program – Airport Helipad Reconstruction

The goal of the BC Air Access Program (“BCAAP”) is enhancing the long-term potential of BC’s aviation sector by assisting airports with funding capital infrastructure projects that:

  • Help maintain safe and reliable airport facilities; and/or
  • Result in significant, incremental economic benefit
  • Improve the environmental performance of the airport
  • Benefits to medevac and aerial wildfire suppression

The BCAAP projects may receive funding up to 75% of eligible project costs.  The helipad is essential infrastructure that allows helicopters to land and refuel at the airport making it critical for wildfire suppression efforts.  Council approved a grant application to the BC Air Access Program for the reconstruction of the Helipad at the Quesnel Regional Airport based on estimated eligible costs of $448,650, with the remaining funding to come from the City’s 2020-2024 capital plan.


1881 – Council Procedure – Final Adoption

Next Meeting

6:00 pm – January 21, 2020 – Regular Meeting

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