Seniors Expansion Funding Shortfall

Recommendation:
That Community Services Committee recommend to City Council:
That approval be given to proceed with the scaled back program for Senior Centre Consolidation Project (05-21-5527).

Report Summary

  • Costs for the approved Senior Centre Consolidation Project for the Central Lions Seniors Citizens Recreation Centre have escalated by an estimated $2.8 million to $19.1 million (from $16.3 million) due to the current construction market conditions.
  • The current approved budget of $12.6 million is not sufficient to fund the additional construction of the proposed two-storey partner wing originally included in the overall project.
  • City Council permission is required to reduce the scope of the project.

Previous Council/Committee Action

  • At the May 1, 2006, Community Services Committee meeting, the April 19, 2006, Community Services Department report 2006CSR010 was postponed to the May 15, 2006, Community Services Committee meeting.
  • City Council approved this project during the 2005 budget process at a total budget of $16.3 million with $12.6 million in municipal funding and the remaining $3.7million to come from partner group fund-raising (Attachment 1).

Report

  • The original project scope included the renovation of the existing structure with replacement of aged building operating systems; the construction of a health andwellness addition with full-sized gymnasium, fitness areas and related amenities; and the addition of a two- storey partner wing to house partner group administrative offices and additional activity rooms.(Attachment 3).
  • Estimates for this project have increased by an estimated $2.8 million due to current construction market conditions (Attachment 2).
  • Reducing the scope of the project to meet the available budget of $12.6million will delay the construction of the two-storey partner wing,including the associated main floor music, drama and carpentry shop facilities, staff offices and the freight elevator to serve the basement storage area. However, it will allow the required renovations to the existing building, mechanical and electrical system upgrades to be completed and the health and wellness centre to be built.
  • Final project costs for the scaled back project will not be known until the project is tendered (late fall 2006).
  • Thescaled down project will be constructed to permit addition of the partner wing when funds for the construction become available.
  • Partner groups have raised approximately $350,000 to date which will be available for equipment and furnishings required for the renovated facility. Additional funding will be required for equipment and furnishings should the partner wing be constructed.
  • The project is currently in the design development stage and permission to begin detailed design on the scaled back project is required if a fall tendering target is to be met.
  • Delay in approval willresult in increased project costs given current construction market conditions.
  • Delaying the construction of the two storey partner wing will delay the desired creation of a seniors’ services hub that combines recreation and social services at the facility (Attachment 3). Partner groups have expressed concern that failure to proceed with the partner wing in conjunction with the rest of the project could seriously compromise fund-raising efforts for its completion and could jeopardize the likelihood of its construction.
  • Approval of the scaled back program will allow work to be completed within the approved and available budget subject to tender risk of up to 30%.

Justification of Recommendation

Approval of the recommendation will ensure that key funded elements of the project will proceed according to projected timelines.

Background Information Attached

  1. Original Project Capital Profile
  2. Revised Complete Project Budget Summary based on Architects’ Design Report
  3. Project Summary
  4. Scaled Back Project Floor Plan Showing Deleted and at Risk Elements

Background Information Available on Request from the Department

  1. Project Schematic Design Report

Others Approving this Report

W.D. Burn, General Manager, Asset Management and Public Works Department

(Page 1 of 2)

Attachment 1

Original Project Capital Profile

Attachment 1 - Page 1 of 2

Attachment 2

Revised Complete Project Budget Summary Based on Architects’ Design Development Report

The New Lions Seniors Centre Project:
Expansion and Renovation of Central Lions Senior Centre
EXPENSES
Construction Cost Estimate based on November 2006 tendering.
Soft costs including design, disbursements, testing and overheads / 17,170,000
1,930,000
TOTAL PROJECT COST ESTIMATE / $ 19,100,000
REVENUES
Confirmed Funding:
City of Edmonton Capital Budget-confirmed / 11,503,000
City of Edmonton– Provincial Centennial Legacy Per capita grant / 1,055,000
Sub-Total / 12,558,000
Central Lions Seniors Association / 310,000
Marigold Seniors / 50,000
Sub-Total / 360,000
Total Confirmed / 12,918,000
Unconfirmed Funding:
Central Lions Seniors Assoc CFEP Grant / 4,840,000
Partner Groups Community Campaign / 1,342,000
Total Required / 6,182,000
Total Project Revenues / 19,100,000

Attachment 2 - Page 1 of 1

Attachment 3

Project Summary

“New” Lions Senior Centre

Expansion & Renovation Project

The Rationale:

Upgrade and expansion of the Central Lions Senior Centre is necessary to:

  • Modernize aging infrastructure
  • Meet the increasing recreation program demand from a growing and more active seniors population
  • Provide space for the growth of a comprehensive seniors service hub

The Vision:

“Providing a leading edge facility driven by the evolving recreational, social and informational needs of diverse seniors”.

The Plan:

Renovations and upgrades will be made to structural, electrical and mechanical systems of the existing facility to ensure a safe, energy efficient and comfortable environment.

Additions planned for the Centre include:

  • a Health and Wellness Centre (complete with a gymnasium, fitness centre, change rooms and clinical support)
  • new programming spaces to include additional classrooms, a new music room and a woodworking shop, computer room and special needs space
  • a special addition for social support programs and services delivered in partnership with community agencies
  • creation of a “Social Heart” by enclosing the current courtyard

The project will see a doubling of the size and capacity of the facility to provide recreational and social support programs and services for seniors and the community.

The Benefits for Seniors and older adults:

Programs and services will be expanded to provide a much broader range for both active baby boomers and frail elderly seniors
  • More seniors and their families will have access to vital programs and services. Membership and participation are expected to double as a result of these plans
  • Healthy, active and independent seniors will reduce health care costs for seniors and reduce the cost and need for supportive housing or institutionalization of seniors
  • Seniors will continue to have access to programs that reduce loneliness, improve mental and physical health, provide opportunities for community involvement and help them remain active in the community.

Benefits for the Community

  • All the facilities will be available for community use when not used by seniors
  • The community will have access to a fully equipped gymnasium for sports activities, a fitness centre, and classrooms and workshops for a broad range of arts, crafts, dance, music and hobbies as well as space for meetings and events.
  • Sports and recreational programming will be provided for the broader community including children at the Centre.
  • Caregivers of older Edmontonians will be able to obtain support and access to services at the new Centre

The Partners:

The groups and agencies listed below have been involved in the planning of this project since 2001 and continue to demonstrate their commitment.

  • Edmonton Host Lions Club
  • Central Lions Seniors Association
  • City of Edmonton
  • Seniors Association of Greater Edmonton (formerly Society for the Retired and Semi-Retired)
  • Marigold Seniors,
  • Edmonton Seniors Slo-Pitch,
  • Association of Adult Day Support Programs and
  • Alberta Council on Aging.

Two additional groups are:

  • Edmonton Seniors Co-ordinating Council
  • Seniors Driving Centre

The Cost:

The estimated cost is approximately $19.1 million excluding all furnishings and equipment. City Council has supported the project and has provided $12.6 million in capital budget support. The stakeholder groups are committed to fund-raising for the balance of the funds required.

Attachment 3 - Page 1 of 2

Attachment 4

Proposed ProjectFloorPlanShowingBaseBuilding c/w new Gym and Partner Wing

Attachment 4 - Page 1 of 1