Tuesday, March 25, 2008

Cutting Corners v. Credibility

Today's Oshkosh Northwestern editorial urges the city not to "cut corners" on the convention center upgrade. Original estimates had the cost for the project at $2.6 million. Now it's looking like a possible $3.5 - $3.8 million dollar project.

The original estimate was done by the Martin/Ganther group. On April 9, 2007 they wrote: "These numbers are assumed valid for the remainder of the year. Following that time an approximate 5% appreciation rate would need to be applied to the estimate." When a request $307,000 in additions was made in January (which was approved), there was no indication from the Department of Community Development or the project architect that bids could eventually be this far off. In fact, the architect brought up the possibility that bids could actually come in lower than expected.

Director of Community Development Jackson Kinney told the Northwestern that Martin/Ganther were chosen to do the estimate because they would not be bidding on the project. It's still not clear why they were even on the city-provided list of contractors who could do the estimate.

The paper said that additional bidders "probably" would be asked to bid on the project. I think that probably needs to be a "definitely." If the only bidders are the usual suspects (i.e. Boldt, Miron, C.D. Smith), I don't think a proposal to go over the original 5% approximate appreciation rate would be very credible.

1 comment:

Working To Make A Living said...

Martin/Ganther

Ganther that last name rings a bell. If in any way he is the same Ganther involved in construction, there is a conflict of interest. he aka Ganther will be throwing a bone to his buddies. Its only human nature. Also, what is meant by "cutting corners"?