Major Water and Sewage Phase 1 Proje t Costs over run at Atta

RESOLUTION NO. 2000-08-19

MAJOR WATER AND SEWAGE PHASE 1 PROJECT COSTS OVER­RUN AT ATTAWAPISKAT

WHEREAS the Attawapiskat First Nation has been embroiled in a dispute with Indian and Northern Affairs Canada (INAC) over INAC mismanagement of a major sewer project and dyke/flood protection project; and

WHEREAS in 1993/94 a major sewer project was announced in the amount of $20.6 million to develop a proper sanitation system for the community, but the contract accepted by INAC amounted to only $12.7 million, based on the lowest bidder on the tender; and

WHEREAS INAC proceeded with construction over the First Nation's objection to sub-standard design, and the lack of accommodation for demographic growth and infrastructure expansion within the community; and

WHEREAS a cost over-run of $900,000 was incurred as a direct result of the technical deficiencies and the lack of contingencies within the design for the major sewer project; and

WHEREAS the First Nation's financial auqi t for the past three years has shown a deficit of $900,000 and, when combined with the cost over-run by one­half, but there is a remairung variance of

WHEREAS the First Nation cannot proceed with the work required to service 113 lots, even though 12 mobile homes have been transported to Attawapiskat, until the deficit is addressed by INAC;

THEREFORE BE IT RESOLVED that we, the Chiefs in Assembly, support Attawapiskat First Nation's efforts to negotiate an agreement whereby INAC acknowledges its responsibilities for the entire cost over-run.

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