City of Rockingham council rejects tender for Aqua Jetty upgrade as costs blow out to more than $50 million

Rockingham council has gone back to the drawing board after scrapping plans to upgrade the Aqua Jetty aquatic centre because of a cost blow-out — which could see the revamp pushed back to 2027. Councillors voted unanimously to decline a tender to upgrade the 20-year-old Warnbro facility at a confidential special council meeting on December 12 because it exceeded the allocated budget of $31.7 million. Mayor Deb Hamblin said the cost of the tender was confidential but “well above the pre-tender estimate obtained during the design phase” and about 60 per cent higher than the budgeted amount — putting it at more than $50 million. Ms Hamblin said the cost blowout could be attributed to “the global increase in construction costs since the COVID-19 pandemic, and a tight labour market” and the increase on the budgeted amount would impact the city’s other planned works and costs to ratepayers. She said the council viewed the increase as “not representing value for money for ratepayers”. “We are very disappointed that we won’t be able to commence work on this important project early next year, as we had hoped, but as everyone managing their household costs knows there is a limit to how far the budget can stretch,” she said. “The city will undertake some essential asset renewal projects at the Aqua Jetty over the next few years to ensure the user experience continues at a high level. “Declining the tender gives council time to take stock and consider the financial implications more fully.” Now the council’s decision could see the upgrades significantly pushed back, with the council also voting to instruct chief executive Michael Parker to investigate redesigning the plans in an effort to reduce construction costs. The project entered the design phase in April 2021 and the final concept was endorsed by the council in February 2022. If the project follows a similar timeline, work may not begin on the project until mid-2027. In 2022, when the council endorsed the design, Ms Hamblin said the community’s infrastructure plan had identified the Aqua Jetty as a location in need of a significant upgrade and expansion to accommodate its future needs. Stage two was set to see a “wellness suite” with a bigger hydrotherapy pool, a sauna and steam rooms added to the Aqua Jetty, as well as expansion of the gym. There were also plans for a new water play area, including an interactive splash pad and upgraded waterslide, along with three adult changerooms, several universal accessible toilets and family change facilities. These plans may now be on the line with the council also voting to instruct chief executive Michael Parker to investigate redesigning the upgrade in an effort to reduce construction costs. When the concept design was endorsed, the council had secured $10 million from the State Government to partially fund the project. Ms Hamblin said the city would be “be liaising with the State Government” about their contribution.