City council Monday pulled the plug on 88 badly needed childcare spaces on St. Catharine Street in St. Thomas at the recommendation of city manager Wendell Graves. As a result, $2.6 million in provincial funding must be returned to the province. Graves says rising construction costs and a tight completion deadline factored into the decision.
Phase 2 of the social services hub at 230 Talbot Street was to include additional affordable housing plus a childcare facility. Back in July of 2019, city manager Wendell Graves admitted the cost of construction per residential unit was projected to be “fairly high” at $290,515 per unit.
That cost was then estimated downward and ended up in the range of $225,000 per unit.
The soft business case necessitated moving the proposed childcare facility from Talbot Street into a standalone new home on St. Catharine Street, across from the former Colin McGregor Justice Building.
The city had received $2.6 million in funding for the childcare space, with the understanding it must be operational by December of 2020, something not possible with the delayed start on Phase 2.
Applying the brakes full stop on the proposed childcare facility is disappointing in the least, stressed Coun. Lori Baldwin-Sands at Monday’s council meeting.
Once we get on the other side of the COVID-19 pandemic, added Coun. Baldwin-Sands, the need for childcare spaces in St. Thomas will only become greater.
Meantime, the estimated cost of the childcare facility escalated to at least $4 million.
In his report to council Graves concluded, “Staff will certainly continue to work with the province in the pursuit of additional child care opportunities for the St. Thomas – Elgin county area but this particular project (the childcare facility) appears to have too many risks attached to it at this time.”
