Smoke and mirrors in Paradise, claims former councillor

Letter to the Editor

The Town of Paradise recently provided updates to the public regarding the status of the construction of the new lift station No. 10 at the intersection of Topsail Road and St. Thomas Line. These updates are inaccurate and misleading as they state the project is both on time and on budget. The project is neither on track nor on budget.

The initial contract for the construction of the lift station was awarded to Olympic Construction for $23,590,776. The initial contract for the engineering services for the project was awarded to RV Anderson for $ 1,525,811. Based on the Council Minutes from January, 2023 to November 7, 2024, change orders were approved for Olympic in the amount of $1,085,475 and change orders were approved for Anderson in the amount of $2,445,237. There was one minor subcontract awarded to a third company for $20,965. The individual change orders are outlined in the Council Minutes and the cumulative total of all change orders as of November 7, 2024 is $3,551,677. These change orders represent overruns. It’s that simple.

The construction of the new lift station No. 10 is over budget as of November 7, 2024 by at least $3,551,677. The total of the initial contracts to Olympic and Anderson plus the overruns result in a total cost incurred of $28,668,263 as of November 7, 2024. The justification for the change orders is irrelevant to the total cost, whether it be a change order to install a new forcemain or a change order to add a second coat of paint on the interior walls.

The public should be aware that this is not the only instance where the Town has provided information regarding the lift station that is inaccurate and misleading. The lift station had a major malfunction in 2019 and the Town continues to state that the cost to the Town was $1.5 million. That number excludes the cost of overtime incurred ($94,000) and the cost to purchase a residential property ($430,000) that was damaged as a result of the malfunction. The total cost was actually in excess of $2 million.

It is my understanding that public information advisories are approved by the CAO and the Mayor; Councillors may not be aware of the contents until after an advisory is released. It is unconscionable to mislead the taxpayers of Paradise in this manner. It undermines the integrity of any information provided by the Town, particularly in relation to financial disclosures.

Allan English

Paradise