The overdue modernisation of Tauranga's Queen Elizabeth Youth Centre has survived the shock of a $750,000 cost hike.
The news that the refit will cost about $2.6 million was revealed to Tauranga City Council's evaluation committee yesterday.
The figure represented a 40 per cent increase on estimates put before the council last
year, when it approved the concept and funding. It was one of the last funding decisions of the previous council before the 2004 elections.
The committee was told that last year's estimates were made before detailed design work.
This had led to another $440,000 of spending, including improvements forced by the Building Act of $150,000, extra painting $80,000, demolition under-estimated by $74,000 and miscellaneous items of $60,000.
Professional fees were doubled to $220,000, contingencies were increased by $100,000 and inflation in a heated construction market since last August added $200,000.
The committee agreed to fund the shortfall from infill reserves of $400,000, to bring forward renewal funding of $160,000 and to increase loan raising by $190,000.
Council chief executive Stephen Town said there had been no major spending on the centre since it was built about 40 years ago.
Cr Murray Guy said that if the council had been aware of the true price, it might have reached a different view last year.
This seemed to be the pattern for council projects, he said.
Committee chairman David Stewart said the upgrade was buying time until the point was reached where Tauranga got the international indoor facility many wanted.
He believed the modernisation was a good deal for the community.
The council plans to shut the youth centre and Memorial Hall for six months from mid-September for the upgrade, which includes extending the harbour side of the building by three metres and removing the seats - but with enough space left to accommodate the council's relocatable seating.
The floor area will be boosted by nearly a third without providing extra courts, to address the issue of no run-off space around sidelines.
The upgrade also includes construction of a common entry point and offices by linking the buildings together.