By Dominique Tassell
The future of the Stanthorpe Art Gallery and Library project is uncertain after Southern Downs Regional Council decided today to delay making a decision.
This comes after it was revealed in a motion that the project is over budget by approximately $2.5m, after receiving only one tender submission.
Cr Ross Bartley moved in today’s meeting to let the motion lay on the table, stating that he needs more information.
He also stated that there is confidential information that needs to be discussed.
Council staff had recommended that Council proceed with the one construction tender submission received for the project.
The agenda item stated 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 stated 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 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 were asked to consider four options, the first being that Council proceeds with the submission and finds additional funds.
The second option was to reject the tender submission and go back to the market seeking further tender submissions.
The third option considered was 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.
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.
Councillors shared their thoughts going into the meeting yesterday, with the general consensus being that they would like to see a way of carrying out the project in some form.
