Correction: A previous version of the headline of this story read “Cost of finding new location for Prescott and Russell Residence doubles; current location runs multi-million dollar deficit”. A previous version of this story also quoted Mayor Guy Desjardins as saying the facility is running a $3.2 million deficit, which proved to be erroneous. Here’s a full explanation.
The costs of finding a new location for the Prescott-Russell Residence have doubled to about $71,000 as of the United Counties of Prescott-Russell’s (UCPR) latest council meeting.
At its meeting in late June, UCPR hired Colliers Project Leaders to lead the charge in finding a suitable site for the new residence.
That project has since incurred additional costs: hiring an architect and a “consultant specializing in cost estimates,” according to the council resolution, which will cost $30,370 and $5,900 (plus HST), respectively.
That’s an extra $36,000 on top of the $35,000 it cost to hire Colliers in June.
- Read more: Counties will seek funding for planning of new Prescott-Russell residence
- Wanted: new home for Prescott and Russell Residence
The resolution adds, “savings have been found in the budget of the Prescott and Russell Residence to cover these additional expenses.”
Stéphane Parisien, the Counties’ CAO, also assured council that “most of these extraordinary expenses” could be recouped through the Ministry of Health and Long-Term Care’s Construction Funding Subsidy Policy for Long-Term Care Homes.
Earlier in the meeting, Guy Desjardins, mayor of Clarence-Rockland, took issue with the high cost of running the residence.
Desjardins suggested hiring a third party to do an operations review to find the problem.
“We have to take steps to stop this,” he said. The issue will be brought back to the next Committee of the Whole meeting later in October.
The final location for the residence has not yet been chosen. On October 11, Colliers will be presenting a recommendation to council in a closed session so as to avoid any increase in land price if the result of the location was to be made public.
While you are here, we have a small ask.
More people are reading The Review than ever before — across our many platforms. So far, we have not put up a paywall to limit the stories you can read. We want to keep you in the news loop. But advertising revenues are increasingly going to the big two: you know who they are. If you value The Review’s independent, local community journalism, or you value the many ways we support dozens of community organizations in their endeavours, consider supporting our work. It takes time, effort and professional smarts to stay on top of community news and present well-researched, objective news articles on issues which matter to you.
If you read stories on this website, or you have come here from an Instant Article post on Facebook, think about subscribing. It would be a vote of confidence for the work that we do, and for the future well-being of your community.
Latest posts by Francis Tessier-Burns (see all)
- Parents looking into legal action against CHEO after losing son - September 20, 2018
- UCPR surveying more businesses for strategic plan - September 19, 2018
- Don’t expect investment in local cycling any time soon - September 13, 2018