'Rigorous' cost management needed as $5B Centre Block renovation proceeds: AG report
Despite delayed decision-making by parliamentarians, Canada's massive renovation of Parliament Hill's Centre Block is being effectively managed so far, according to a new audit.
However, "rigorous" cost management will be needed as the work proceeds, cautions auditor general Karen Hogan in her performance report on Public Services and Procurement Canada's (PSPC) rehabilitation of the crown jewel of Canadian democracy.
Tabled in Parliament on Monday, Hogan issued her assessment of the work done up until last summer on the effort that is estimated to take until at least 2030-31 and cost between $4.5 billion and $5 billion to complete.
The ongoing major construction is the most comprehensive update to the building since it was completed in 1927.
"Public Services and Procurement Canada used flexible approaches to effectively manage the planning, design, and early construction phases," Hogan said in a release accompanying the audit.
"Given the size and complexity of this undertaking, a streamlined decision-making process will be required to continue effectively managing the costs and timelines of the rehabilitation program, as construction work accelerates," she said.
In 2021, after more than a decade of planning, PSPC released the final design, scope, and anticipated timelines for completing the project.
At the time, a third-party assessment found a "high level of confidence" in the federal government's cost and timing estimates, "provided no major functional program changes occur or extreme rates of escalation are not experienced."
Digging into whether PSPC has effectively managed the cost, schedule, and scope, Hogan found that spending has so far been under the approved amounts, and the lead department has plans in place to mitigate the risks of costs increasing, while noting the bulk of the expenditures is still to come.
According to the audit, as of the end of July 2022 PSPS had spent a total of $880.7 million on rehabilitating the Centre Block and expanding the Parliament Welcome Centre.
Offering examples of how delayed decision-making by MPs, senators, the Library of Parliament and the Parliamentary Protective Service (PPS) have impacted what's been called the "most complex heritage rehabilitation ever seen in Canada," the audit pointed to foot-dragging on how to use the east courtyard.
That decision was required by spring 2020, but a final design was not agreed to until March 2022.
Another instance of parliamentary indecision that remains outstanding, Hogan found, is what Centre Block's security requirements will be.
Hogan pointed to these instances as examples of a "fragmented" governance framework, a shortcoming her office first raised attention to in a 2010 audit.
"As the program moves more into the construction phase, where making changes to elements that are built or in the process of being built becomes more difficult, the impact of delayed decisions on costs and timelines will be greater," reads the report.
Speaking to reporters about her audit on Monday afternoon, Hogan said up until now that project has largely been about design and site preparation, but as it becomes a more full-on construction effort any delays could result in increased costs.
"I could give you a great example: if you have ever renovated your kitchen, imagine if you had to not only get consensus of everyone that you live with, but all the neighbours on your street as well before you could pick out the cabinetry," Hogan said.
The assessment of PSPC's work to date also looked into whether the federal department responsible for the project has balanced the need to maintain the heritage integrity of the building, with the requirements of other stakeholders such as MPs and senators, and found that through considerable consultation this has been accomplished.
"This included consultations to understand requirements, such as the number of offices, the size of the lobbies, and the technical requirements of committee rooms," the report reads.
The extensive project includes taking out, restoring, and reinstalling integral historic features of the building, while layering in modern updates, including new multimedia, accessibility, and security features. It has also been promised that the upgrades will transform the largest energy consumer within PSPC’s portfolio of federal buildings, into a carbon-neutral facility.
Hogan's audit commended PSPC for taking a "flexible" approach to keep the project moving along, including during COVID-19 shutdowns and while awaiting input from certain stakeholders, but has offered three recommendations on how to stay on track:
- Conduct a gender-based analysis plus assessment for the Centre Block Rehabilitation Program, to "ensure that the public spaces are inclusive and represent the diversity of all Canada’s peoples."
- Submit progress reports on the renovation to the Speaker of the House and Speaker of the Senate that outlines the foreseen bumps in the road ahead, clear deadlines for upcoming decisions that require parliamentary input, and any needs for adjustments to the initial plan and the impacts of these issues on the cost, scope, and schedule.
- And, make public its long-term vision and plan annual reports within the year so that Canadians can see for themselves how the project is going and what they can expect the reimagined Centre Block to look.
PSPC has agreed to these recommendations, vowing to provide semi-annual updates to Parliament on the project's "emerging risks, significant changes and key decisions required," starting this year.
Public Services and Procurement Minister Helena Jaczek thanked the auditor general for her work, while touting that the renovation project will create more than 70,000 jobs over the course of the project, with more than 90 per cent of the work being completed by small and medium-sized Canadian enterprises.
"While considerable efforts have been made to strengthen governance, some issues do remain," Jaczek said during a scrum with reporters in West Block. "I can tell you we're committed to implementing the auditor general's recommendation to further improve project governance."
MPs and senators moved out of Centre Block at the end of 2018, and into their new homes of West Block and the Government Conference Centre, respectively. Approximately $3 billion was spent preparing for Centre Block's closure, including the renovations to create the temporary House and Senate.
Hogan took on this performance review because "a significant amount of public funds have been allocated," for it, and "Canadians should know the progress so far and whether the program has been effectively managed."
IN DEPTH
Budget 2024 prioritizes housing while taxing highest earners, deficit projected at $39.8B
In an effort to level the playing field for young people, in the 2024 federal budget, the government is targeting Canada's highest earners with new taxes in order to help offset billions in new spending to enhance the country's housing supply and social supports.
'One of the greatest': Former prime minister Brian Mulroney commemorated at state funeral
Prominent Canadians, political leaders, and family members remembered former prime minister and Progressive Conservative titan Brian Mulroney as an ambitious and compassionate nation-builder at his state funeral on Saturday.
'Democracy requires constant vigilance' Trudeau testifies at inquiry into foreign election interference in Canada
Prime Minister Justin Trudeau testified Wednesday before the national public inquiry into foreign interference in Canada's electoral processes, following a day of testimony from top cabinet ministers about allegations of meddling in the 2019 and 2021 federal elections. Recap all the prime minister had to say.
As Poilievre sides with Smith on trans restrictions, former Conservative candidate says he's 'playing with fire'
Siding with Alberta Premier Danielle Smith on her proposed restrictions on transgender youth, Conservative Leader Pierre Poilievre confirmed Wednesday that he is against trans and non-binary minors using puberty blockers.
Supports for passengers, farmers, artists: 7 bills from MPs and Senators to watch in 2024
When parliamentarians return to Ottawa in a few weeks to kick off the 2024 sitting, there are a few bills from MPs and senators that will be worth keeping an eye on, from a 'gutted' proposal to offer a carbon tax break to farmers, to an initiative aimed at improving Canada's DNA data bank.
Opinion
opinion Don Martin: Gusher of Liberal spending won't put out the fire in this dumpster
A Hail Mary rehash of the greatest hits from the Trudeau government’s three-week travelling pony-show, the 2024 federal budget takes aim at reversing the party’s popularity plunge in the under-40 set, writes political columnist Don Martin. But will it work before the next election?
opinion Don Martin: The doctor Trudeau dumped has a prescription for better health care
Political columnist Don Martin sat down with former federal health minister Jane Philpott, who's on a crusade to help fix Canada's broken health care system, and who declined to take any shots at the prime minister who dumped her from caucus.
opinion Don Martin: Trudeau's seeking shelter from the housing storm he helped create
While Justin Trudeau's recent housing announcements are generally drawing praise from experts, political columnist Don Martin argues there shouldn’t be any standing ovations for a prime minister who helped caused the problem in the first place.
opinion Don Martin: Poilievre has the field to himself as he races across the country to big crowds
It came to pass on Thursday evening that the confidentially predictable failure of the Official Opposition non-confidence motion went down with 204 Liberal, BQ and NDP nays to 116 Conservative yeas. But forcing Canada into a federal election campaign was never the point.
opinion Don Martin: How a beer break may have doomed the carbon tax hike
When the Liberal government chopped a planned beer excise tax hike to two per cent from 4.5 per cent and froze future increases until after the next election, says political columnist Don Martin, it almost guaranteed a similar carbon tax move in the offing.
CTVNews.ca Top Stories
Young people 'tortured' if stolen vehicle operations fail, Montreal police tell MPs
One day after a Montreal police officer fired gunshots at a suspect in a stolen vehicle, senior officers were telling parliamentarians that organized crime groups are recruiting people as young as 15 in the city to steal cars so that they can be shipped overseas.
Man sets self on fire outside New York court where Trump trial underway
A man set himself on fire on Friday outside the New York courthouse where Donald Trump's historic hush-money trial was taking place as jury selection wrapped up, but officials said he did not appear to have been targeting Trump.
Sask. father found guilty of withholding daughter to prevent her from getting COVID-19 vaccine
Michael Gordon Jackson, a Saskatchewan man accused of abducting his daughter to prevent her from getting a COVID-19 vaccine, has been found guilty for contravention of a custody order.
She set out to find a husband in a year. Then she matched with a guy on a dating app on the other side of the world
Scottish comedian Samantha Hannah was working on a comedy show about finding a husband when Toby Hunter came into her life. What happened next surprised them both.
Mandisa, Grammy award-winning 'American Idol' alum, dead at 47
Soulful gospel artist Mandisa, a Grammy-winning singer who got her start as a contestant on 'American Idol' in 2006, has died, according to a statement on her verified social media. She was 47.
Shivering for health: The myths and truths of ice baths explained
In a climate of social media-endorsed wellness rituals, plunging into cold water has promised to aid muscle recovery, enhance mental health and support immune system function. But the evidence of such benefits sits on thin ice, according to researchers.
'It could be catastrophic': Woman says natural supplement contained hidden painkiller drug
A Manitoba woman thought she found a miracle natural supplement, but said a hidden ingredient wreaked havoc on her health.
The Body Shop Canada explores sale as demand outpaces inventory: court filing
The Body Shop Canada is exploring a sale as it struggles to get its hands on enough inventory to keep up with "robust" sales after announcing it would file for creditor protection and close 33 stores.
Vicious attack on a dog ends with charges for northern Ont. suspect
Police in Sault Ste. Marie charged a 22-year-old man with animal cruelty following an attack on a dog Thursday morning.
Local Spotlight
UBC football star turning heads in lead up to NFL draft
At 6'8" and 350 pounds, there is nothing typical about UBC offensive lineman Giovanni Manu, who was born in Tonga and went to high school in Pitt Meadows.
Cat found at Pearson airport 3 days after going missing
Kevin the cat has been reunited with his family after enduring a harrowing three-day ordeal while lost at Toronto Pearson International Airport earlier this week.
Molly on a mission: N.S. student collecting books about women in sport for school library
Molly Knight, a grade four student in Nova Scotia, noticed her school library did not have many books on female athletes, so she started her own book drive in hopes of changing that.
Where did the gold go? Crime expert weighs in on unfolding Pearson airport heist investigation
Almost 7,000 bars of pure gold were stolen from Pearson International Airport exactly one year ago during an elaborate heist, but so far only a tiny fraction of that stolen loot has been found.
Marmot in the city: New resident of North Vancouver's Lower Lonsdale a 'rock star rodent'
When Les Robertson was walking home from the gym in North Vancouver's Lower Lonsdale neighbourhood three weeks ago, he did a double take. Standing near a burrow it had dug in a vacant lot near East 1st Street and St. Georges Avenue was a yellow-bellied marmot.
Relocated seal returns to Greater Victoria after 'astonishing' 204-kilometre trek
A moulting seal who was relocated after drawing daily crowds of onlookers in Greater Victoria has made a surprise return, after what officials described as an 'astonishing' six-day journey.
Ottawa barber shop steps away from Parliament Hill marks 100 years in business
Just steps from Parliament Hill is a barber shop that for the last 100 years has catered to everyone from prime ministers to tourists.
'It was a special game': Edmonton pinball player celebrates high score and shout out from game designer
A high score on a Foo Fighters pinball machine has Edmonton player Dave Formenti on a high.
'How much time do we have?': 'Contamination' in Prairie groundwater identified
A compound used to treat sour gas that's been linked to fertility issues in cattle has been found throughout groundwater in the Prairies, according to a new study.