Wednesday, June 06, 2007

Two Items making the news....

....Friday June 1st caught my attention.

First was the firing of BC Lottery Corp CEO Vic Poleschuck. It was refreshing to see someone earning an overly generous salary at taxpayer’s expense actually be held accountable for bad management, a lack of judgment and lying to the Minister and public about the real facts concerning BCLC.

Of course it leaves me wondering: in light of the fiasco of Centennial Pool; writing a letter to the public and signing the mayor name; the lies told about Plan A (e.g. - actual advertising was 250% higher than claimed); the reduction in city services; the reductions of maintenance at city facilities (and who knows what that will cost us in the longer term?); uneconomical, bad business practices; bungling management; not an iota of judgment; – just why is it that Mr. Guthrie, Mr. Theichroeb and Mr. Taylor are not packing their bags and heading off to join Mr. Poleschuck on the unemployment line?

The second news Item concerned the Vancouver Convention Center’s massive cost overrun - $300+ million and climbing. In fact this project may well run 100% over budget ending up with a price tag closer to a $billion$ than to the original contract price. The government is still unable to even guess at what the final price will be because it is still negotiating that with the Contractor, the contractor they signed the original contract with at half of what it will end up costing the taxpayers.

The reason this should be of interest or concern to Abbotsford’s beleaguered citizens is that the contractor is PCL. The hospital reasonably on budget is a P3. The convention center 100(+?)% over budget is government to PCL. The Abbotsford projects are – government to PCL.

Clearly PCL has the ability with government contracts to double the cost. We need someone to oversee the projects to ensure large cost overruns do not occur. This means City Hall’s demonstrated criteria for letting contracts, the lowest bid or being “nice guys” in not an appropriate way to make a choice to protect the citizens of Abbotsford interests.

On projects the size of Plan A we should expect to be paying $4 – $5 million to the company we choose to protect our interests (and pocket books) in overseeing the construction. You get what you pay for and paying less than this does not get you the oversight you need. The unreasonable bid council accepted for oversight gets you rubber stamping and potentially 100% cost overruns. Council needs to revisit their decision on the contract to oversee the construction in order to ensure proper construction oversight.

If they are building Plan A the least they could do is do it with sound business and management practices – and at least an iota of sound judgment and common sense.

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