Question Without Notice No. 50 asked in the Legislative Council on 15 March 2018 by Hon Peter Collier
Parliament: 40 Session: 1
OPTUS STADIUM — PEDESTRIAN BRIDGE
50. Hon PETER COLLIER to the minister representing the Minister for Transport:
I refer to the revised contract with York Rizzani to build the Optus Stadium pedestrian bridge.
(1) Will the minister table the revised contract; and, if not, why not?
(2) What are the meaningful financial penalties that have been incorporated into the contract and under what circumstances will the penalties be applied?
(3) Does the $2.6 million payable to York Rizzani for completion of the contract by March, as reported in The Sunday Times on 25 June 2017, form part of the meaningful financial penalties?
(4) Can the minister confirm that York Rizzani will no longer be paid this sum given its failure to meet the March deadline; and, if not, why not?
(5) Will the removal of the cladding as suggested by York Rizzani and approved by the government result in a reduction of $4 million to the budget, as claimed in a media release on 23 November 2017; and, if not, why not?
(6) What is the current budget for the Swan River pedestrian bridge and has this changed since the 2017–18 budget?
Hon STEPHEN DAWSON replied:
I thank the Leader of the Opposition for some notice of the question.
(1) Legal and commercial advice is being sought.
(2) The incentives within the contract for timely completion within budget include: no corporate overhead and profit margin will apply to the direct costs of works; York Rizzani is responsible for 60 per cent of the total direct costs that exceed the agreed target direct costs; and a completion incentive payment. An additional $2.6 million was payable if completion was achieved by 16 march 2018.
(3)–(4) Yes, it is an incentive payment linked to that date.
(5)–(6) Yes, however, additional costs will be associated with the sky walk. The final costs will be available following completion of the project. However, the current budget remains at $91.5 million, as outlined in the 2017–18 budget.