The next steps in the development of the Greater Vernon Cultural Center will include examining “alternative delivery models” to expedite construction.
Although these methods, such as construction management contracts, can have higher up-front costs, they could save the North Okanagan Regional District a great deal of money by reducing the effect of ever-increasing labor and supply costs.
A report to RDNO trustees following Friday’s Greater Vernon Advisory Committee meeting notes that “costs are expected to remain high through 2024”.
It says the six-year workforce outlook calls for 25,100 retirements and just 22,000 new entrants, with construction costs rising 2.1-2.6% per quarter.
It also says that 88% of construction companies in the BC Interior report are delaying getting materials.
This comes as the RDNO considers alternative delivery models to the standard design, tender and build process.
GVAC is expected to reconvene on the subject and confirm next steps for procurement, including pre-design services for the facility, which will house a new Vernon art gallery and museum at the parking lot site. from downtown on 31st Avenue.
The North Okanagan Regional District received approval for another approval process in May to borrow $28 million for the project.
The center would also include a presentation/performance space and flexible and multi-purpose spaces.
The RDNO’s 2022 financial plan includes $3,000,000 for planning and pre-design work and later phases of design work associated with the building and surrounding green space.
Due to rising costs, the scale of the center was previously reduced to 25,000 square feet.
The total planned budget, including land costs of $2.265 million, is $30,265,000.
Next steps include a meeting with stakeholders to discuss fundraising, project governance and communication, grant applications, and a review of project methodology.