A Quesnel contractor is fuming after his work on the new City of Quesnel Public Works building has gone unpaid.
Jeff Lefebvre runs Design Flooring, and says the city is at fault for not securing bonding for the $13 million dollar construction. According to a news release from the city, the building reached substantial completion of its Sword Avenue facility on Jan. 25, 2021.
“The city has failed,” Lefebvre said.
The general contractor for the project was VVI construction.
In the news release, the city acknowledges sub-contractors are out money, noting they worked with VVI to provide some direct payments to locals.
“The City has now paid all funds owing on this project except for the builder’s lien and deficiency holdbacks,” the news release reads. “There is no bonding available to provide for payment of sub-contractors, but the City will continue to work with the General Contractor to try to encourage full payment of any unpaid sub-contractors.”
Lefebvre said its the lack of bonding that has contractors furious, noting in his bidding on the project, bonding was assumed.
“I’ve never worked a (non-bonded project) yet,” he said. “That’s the security the city would have so the person would have to pay the bills at the end. If you don’t have that, VVI just goes ‘ha — I don’t have to pay anyone now.’”
Lefebvre said local sub-contractors are out over $1 million dollars, adding some have put liens on the building and are considering lawsuits.
“There is no requirement for the City to bond every construction project,” the city said in its news release. “This is a decision made by owners on a project by project basis based on the unique circumstances of each project, including cost implications and a variety of other factors. In the case of the public works facility, the decision was made by senior staff to not require bonding based on a balancing of those factors and their knowledge and pre-qualification of the general contractor.”
The city said any unpaid sub-contractor should follow up with VVI insurance.
The Observer is reaching out to VVI insurance for comment.
READ MORE: Quesnel council hears update on new Public Works building, landfill and capital budget
READ MORE: New design and higher budget approved for Quesnel’s Public Works facility
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