An “oversight” in the lease agreement to house Riverfront Physiotherapy in the Canada Games Centre will cost the city an extra $63,000.
Renovating the centre’s second-floor space to accommodate the business cost $163,000.
But the city only budgeted for $100,000.
The work has been completed and paid for, said city manager Robert Fendrick.
Now the city is reaching into its coffers to find the funds to cover the cost overrun.
The renovations included adding an atrium wall, additional electrical outlets, revised fire-sprinkler system layout, entrance and exit doors to the space and heating and ventilation system upgrades.
“Those particular items did not make their way into the budget because of an oversight,” said Fendrick.
“This is the first time I’d ever seen this occur; it’s due mainly to turnover in management and the left hand not talking to the right hand,” said Fendrick.
City administration suggested the funds be pulled from the $230,000 pot originally budgeted for a stairway between the Canada Games Centre and the Mt. McIntyre trails.
The stairway project was cancelled in July because it would not have been accessible to the disabled community.
In September, the city pulled $113,000 out of the same fund to buy Peak Fitness’ share of the exercise equipment at the Games centre.
Council will vote on the budget revision next week.
If it is not passed, the city will have to make up the cost elsewhere, added Fendrick.
Riverside Physiotherapy will pay $71,000 yearly for its 10-year lease in the centre.