Good Afternoon SCP Forumers, I have been fielding a number of questions on the state of the Rapid Housing Project and I'd like to make the following clarifications and ensure there is a broad understanding on the ongoing situation:
Please read, like and share,
We really need some help and I feel I must share a situation on a project that was started with intention, passion, and hope. As we embark into 2025 we see our homeless numbers ticking upwards and we need the community to come together to support corporately, politically to help a non-profit get to the finish line.
Arwel Living is the Development Manager and Archibald Builder Group is the Construction Manager for the North Central Family Centre Rapid Housing Project, a project born out of need, passion, and to fill a very significant need in the community. We hold no ownership stake and our involvement was one born out of passion, hope and a moral belief we should be contributing in a meaningful way of building strong, quality housing that will last for a generation.
In December of 2022, I approached North Central Family Centre about pursuing Federal Grant money to develop and construct a much needed housing project in North Central. We worked collaboratively with leaders in the consulting community and trades to put together a preliminary proposal and conceptual budget. North Central Family Centre is the sole owner of the property and facility, on a consulting fee basis we completed the Development portion of securing the land on their behalf and approvals collaboratively with the City of Regina and the Consultant Team.
The project featured a Rapid Timeline as the name of the funding program would indicate and in order to meet the timelines certain elements of a normal project such as full costing and tendering could not be completed prior to starting the project. Our team worked tirelessly with our trade and supplier partners to reduce costs, find other cost effective materials and methods to construct a building that will be standing in 100 years. In comparison, we started our Crosstown Living project 6 months prior to the North Central Family project from an acquisition and approval standpoint, and we are two months into the Construction process on this project after the usual design and funding timeline for a project.
The last couple years have seen surges in costs on almost all fronts. The project has also had many adaptations by the Non Profit along the way to make it fit their use. This non profit’s project has suffered greatly in time and cost from slowed work and stoppages as a direct result of being short of funds. This project has been burdened unfairly like the rest of the country during this turbulent economic time. The reality is, this project, like all the City of Regina's own projects, has seen significant cost escalations.
With the best of intentions I fear I have brought an unfair burden to my many valued friends, colleagues and relationships involved on this specific project.
The project is funded by 6.5 Million in Federal money that is administered by the City of Regina along with $810,000 from the Province of Saskatchewan, administered by Sask Housing, along with an additional 1.1 Million from the City of Regina's Housing Incentive Program. Despite the fact the funds have been sitting in the City's bank account the project has continually seen delayed payments on the basis of "our funding agreement states we have xy dates from receipt of invoice". This has put an unfair burden on the trades, suppliers, and individuals who have put their companies, their employers, and their own reputations on the line to work to make this project a success. The City & Province have not released ANY money since June 2024, and despite this, numerous trades continued to push forward until work stopped on November 28th, 2024. The City was given an updated budget in May of 2024, they elected in Late August of 2024 to commence an Audit, that by Senior Managers own admission they were not equipped to complete. They still have not completed their audit 5 months later, which is costing precious time that the trades cannot afford. I have not been innocent in this process, as we are not a regular General Contractor our own processes and systems have not been as robust as they should be and that has certainly caused a number of paperwork gaps and issues, however that does not excuse the continued bureaucratic gamesmanship, delays, and refusal to meet with the entire project team. To me the City continues to show that despite their audit showing over 2.5 Million dollars owed to the trades, with invoices stretching back as much as 6 months past due. Unlike all the trades that have been working on this impactful project, everyone involved at the City continues to collect a bi-weekly paycheque. The City has placed an unimaginable burden on the trades who individually have hundreds of thousands of dollars owing to each of them at sometimes 6 months past due. These are small businesses that cannot afford to not get paid. It is not fair to put the financial burden of the project on these small businesses when the City has the money sitting in their bank account and are electing not to give it out.
North Central Family Centre is short funds with zero commitments from the Government to help complete this project, they launched the Hopes and Dreams Campaign to help fill the significant gap in the funding from what this building is going to cost to complete. The delays and bureaucratic gamesmanship that has been displayed by the City in particular has only dramatically increased the costs further of the project. North Central Family Centre is a small non-profit that got thrust into one of the most impactful projects in North Central's recent History and they are trying, trying hard. The project was ultimately short 4,000,000 and through the Hopes and Dreams campaign that made a 7 figure dent to starting to fill this gap, however with the delays as a result of the bureaucratic gamesmanship, that shortfall is now climbing to between 4.5 and 5 Million. Each week that drags on the costs increase for holding the project.
If there is any help out there, we would sure love some help, even if it is just prayers and caring wishes. Please like and share and hold the City of Regina accountable to get this project funded so that over 60 people can call this building home in 2025.
Edward Archibald
President & CEO
Archibald Builder Group + Arwel Living