Mr. Speaker, I am pleased to provide an update to this Honourable House on the progress of the St. George’s Marina Development Project.
Mr. Speaker, colleagues might recall in November 2021 the then Acting Minister of Public Works announced the details of the Leasing arrangement between the Corporation of St. George and the Developer of the Marina through a private public partnership. The Acting Minister further laid out what will be included in the marina. For clarity, I would like to reiterate what is actually being developed under this project.
The arrangement will see the Corporation leasing land to the Developer for 21 years less a day – and a sharing of the gross proceeds of the marina revenue.
The new marina will comprise of:
1. An improved and designated dock area for visiting yachts;
2. A newly repaired dock on the South side of Ordnance Island;
3. 650 linear feet of dockage for smaller yachts;
4. 10 “stern to berths” for super yachts with mooring systems;
5. A marina reception, lounge, food & beverage and internet café;
6. A Duty free fuel dock; and,
7. The Installation of sewage pumping services
Mr. Speaker, it was announced that The Government and Corporation of St. George jointly engaged the services of Structural Engineers Brunel Ltd for the purpose of renovating the existing wharf located on Ordnance Island.The cost of this endeavour was estimated at $2.7 million dollars and was scheduled to be completed by June 2022.
However Mr. Speaker, Brunel Ltd. has been consultingwith various entities to bring this project to fruition andhas advised that the original estimates have now increased to a total of $4.12 million dollars.
The value of the bid submitted is significantly in excess of the original project estimate. As a result Brunel Ltd. entered into detailed discussions with the bidder to determine if there were allowances or other unknown risk items within the scheme that might be eliminated to reduce costs. Through this process they have received a revised bid for the works of $3,045,511.00. Savings were achieved in the General Items, Marine Works and most significantly in the precast Concrete works section of the pricing document.
In addition, Brunel Ltd. have reviewed the increase in project budget and the design development subsequent to the original project estimate. Original project budget estimate was for $2,750,000 this comprised a construction cost of $2,321,000 with an additional $427,000 for contingency and construction management fees.
Brunel Ltd. recommends the revised project budget should be increased to $4,115,000. This revised budget includes the following:
1. Tendered construction cost in the amount of $3,045,511.00.
2. Contingency and construction management fees (contingency maintained at 10%) in the amount of $465,000.
3. Current expenditure on advanced purchase and transporting of materials in the amount of $600,000
The budgetary increase is significant and reflects both the current inflationary price cycle and the increase in construction work content of the project through design development. The current inflationary pressures have significantly increased material and shipping costs across the board.
As a result of these changes, the scheduled completion date of June 2022 has now been extended to ananticipated completion date of December 2022. Construction is set to begin in July 2022.
Mr. Speaker whilst this is not ideal, I am sure membersof this Honourable House can all agree that this Marina when completed, will contribute to the economic renaissance happening within the former Capital along with the newly constructed St. Regis Hotel and a number of new initiatives such as the recent return of the St. George’s Marine Expo.
Additionally, Mr. Speaker, the team working on the Strategic Plan for the town have been making good progress with their consultation with stakeholders and meeting regularly to develop ideas. They are due to give a status report to the Ministry next week and will soon be holding public consultations on the plan.
Thank you Mr. Speaker.