Upgrade of Rundle Mall link blows out by almost $1 million
The cost of upgrading one of the city’s busiest pedestrian thoroughfares has blown out a second time.
- ACC to spend nearly $17 million to upgrade Gawler Place
- ACC to hold last-ditch meeting on Gawler Place upgrade blowout
- How $7.8m would transform for Adelaide’s Gawler Place
The cost of upgrading Gawler Place has blown out to almost $18 million, up from the $7.85 million that was initially budgeted for the project.
The cost of the upgrade first blew out by more than $9 million in 2018.
Adelaide City councillors last night learnt the cost had blown out by a further $962,000, partly because staff decided to expand work to the nearby Featherstone Place.
The first blowout was caused by complexities around underground services in the street, which forced the council to seek alternative proposals.
Cr Anne Moran said a contingency fund, to accommodate any extra work or risks, was not included in the initial funding as an assurance the upgrade would not go over budget.
She said the extra funding required was disappointing, and questioned why Featherstone Place was not included in the original plan.
“Let this project of Gawler Place be a lesson on how to not to manage a project,” Cr Moran said.
“It has been awful experience.”
The project, which would create a “vibrant” link to the Rundle Mall precinct, includes granite paved parking, new stormwater infrastructure, custom designed street furniture, bollards and public art.
Funds for the new work in Featherstone Place have been pulled from the council’s road, kerb and footpath fund.
The council discussed a confidential item, which made reference to Featherstone Place, at the meeting last night.
Cr Phil Martin questioned whether Rundle Mall was worth the council managing.
The shopping strip is managed by Rundle Mall Management Authority (RMMA) — is a subsidiary of the council.
“We’re getting close $50 million (of investment in Rundle Mall) in the last seven years, along with an annual cost of $5-$6 million to maintain Rundle Mall and look after services,” Cr Martin said.
“I am just wondering whether this council ought to be thinking about privatising management of Rundle Mall as it would be a way of getting some return for what has been a substantial outlay in the last seven years.”
Cr Robert Simms said he felt “booby trapped” by the last council’s decision.
“It is a significant investment and I am concerned we have other public works that we (will) not able to progress.”
Adelaide City Council place director Klinton Devenish said the project was running on time.
He said the additional funding would also cover remaining unknown construction risks.
The project should be complete by December 2019.
The council will vote on whether it should allocate the additional funds next week.
