Stanthorpe Art Gallery and Library Project over budget

Southern Downs Regional Councillors will vote this week on whether to commit extra funds to the Stanthorpe Art Gallery and Library project, reduce the work being done on the project, or scrap the project entirely.

By Dominique Tassell

Southern Downs Regional Councillors will vote tomorrow on whether to commit extra funds to the Stanthorpe Art Gallery and Library project, reduce the work being done on the project, or scrap the project entirely.

A late agenda item was attached to the agenda for Wednesday 27 July meeting, recommending that Council proceed with the one construction tender submission received for the project.

In November 2021, Council was awarded $2m as part of the Building Better Regions Fund to upgrade the Stanthorpe Library and Art Gallery.

Council co-contributed $2m bringing the total available project funds to $4m.

The one submission received in the recent tender was from St Hilliers Pty Ltd.

The agenda item states that “the submitted price was well above the assigned budget of $4m” and later stated there may be excess costs of $2m to $2.5m to cover.

The agenda states that “negotiations are occurring with the tenderer with a view to reducing the submission price”.

The higher than expected cost is attributed in the report to “the impacts of the Covid pandemic, increasing inflation, rise in cost of steel products and shortage of trades and subcontractors due to ongoing flood and other disaster events”.

Staff have recommended that Council proceed with the one tender received, on the basis that it is unlikely Council will receive future grant funding for the project.

Councillors will be asked to consider four options, the first being that Council proceeds with the submission and finds additional funds.

The second option is to reject the tender submission and go back to the market seeking further tender submissions.

The third option being considered is to reduce the scope of the project, and finally, the fourth option is to cancel the project and return the $2m in funding to the Federal Government.

Cr Andrew Gale said he’d like to find a solution for the project, while Cr Marco Gliori said the project is encountering “an unfortunate set of circumstances”.

“I understand the staff and volunteers are ready and willing to move locations so the project can proceed,” Cr Gliori said. “However the current economic climate and supply chain issues have contributed to the estimates signalling a cost blowout for the project, the implications of which, we are to consider this Wednesday.”

“We are so close to the building phase I personally believe it would be considered by many in the community, somewhat disappointing to see momentum stalled, but I also suspect higher costs will be a constant theme to consider for many projects moving forward.

“I believe all Councillors recognize how many years of hard work have gone into the vision and planning of the Gallery and Library enhancement project, and I am sure we will consider all options, with that previous hard work in mind.

Cr Cynthia McDonald stated that as a Councillor “I have numerous thoughts on the Stanthorpe Art Gallery and Library Project”.

“Obviously in the current circumstances many projects are going to go over cost and budget,” she said.

“There are nine elected members around the table in the chamber and we will thoroughly debate the issue in a democratic manner.

“Our job is to represent the communities (sic) best interests and Im (sic) comfortable this will happen on Wednesday.”

Cr Stephen Tancred stated that he would “like to find a way for the project to go ahead, but there are obviously a lot of financial difficulties and we’ll be talking about it and discussing it.”

“The project has been talked about for nearly seven or eight years,” he said.

“It was important to the last council, and it’s important to this council.

“I’d like to find a way forward but there’s a lot to discuss.”

Cr Ross Bartley stated that his thoughts will be given at the table.

He said Council will undergo due democratic process.

Cr Cameron Gow said he will wait until the officers present their findings and he hears from the other councillors before he decides how he will vote.

“I support the upgrade, I used to be one of the council delegates to the art gallery committee years ago.”

“I’m aware of the background.”

Cr Gow said he was also on council when the library was expanded and upgraded.

“I’m looking forward to whatever upgrade we can afford,” he said.

Mayor Vic Pennisi said that “it’s up to the councillors”.

“That’s a project that we’ve committed to, and we will make a decision on what we want to do,” he said. “I look forward to discussing it.”

The news was met with debate online.

Suz Brazier stated that the Council should return the funding and save the $2m.

“The gallery is fabulous just as it is,” they said.

It was commented that the gallery lacks storage space, which is part of what prompted the upgrade.

Yvette Giannake stated that “it would be madness to accept the tender with the expectation of costs blowing out even further”.

“Unless they are able to go back to the design phase and adapt to something that can be completed within the budget, they should return the funds.

“Spending extra money in anticipation of not getting another go at federal funding is an extremely flawed economic decision.

“I understand the need for some improved facilities but they might be better off anticipating a completely new purpose-built facility in the future rather than paying for overpriced renovations.”

Crs Jo McNally and Sheryl Windle were contacted for comment but did not respond.