Broome Shire warns of ‘significant risk’ to capital works projects as tradie shortage continues to bite

Multi-million dollar projects throughout Broome are at “significant risk” of being undeliverable as the the town continues to grapple with a dire shortage of workers. The warning comes after the Shire re-opened tender submissions for upgrades to the Broome Senior High School drop-off on Frederick Street, but not a single submission was received. The project initially went to tender in January 2022, with McCorry Brown Earthmoving chosen as the preferred contractor in February. However McCorry Brown were unable to commit to the work due to labour resourcing issues and the tender process was subsequently restarted — but no submissions were received. “On the first occasion we were able to generate interest from two contractors however the pricing was significantly higher than the project budget,” a Shire officer’s report said. “Ultimately it turned out that neither contractor had the capacity to complete the works, even at the significantly higher rates.” The result has been cause for concern for Shire officers who, as a result, recommended a full review of the 2022/23 capital works program, which was endorsed by councillors at the September 29 council meeting. “Given the number of capital and operational tasks planned for 2022/23 versus the capacity of the contractor resources and the Shire’s internal resources there is a significant risk that the Shire may be unable to deliver all works listed above,” an officer’s report said. “Given the current economic climate and market conditions there is also concern that this may be impacting on value for money, and it is therefore recommended the review includes consideration of deferring projects where possible that may not be critical or that do not have associated grant funding conditions on delivery.” Among the projects to be reviewed are the $36.5 million redevelopment of Cable Beach, the regional resource recovery park and upgrades to the dangerous Port Drive and Guy Street intersection. The transition to solar power at the Broome Recreation and Aquatic Centre and various operational expenses will also be reviewed. It’s understood all projects which have already commenced and have been allocated resources — including the Broome Surf Life Saving Club — would be completed. Shire of Broome President Harold Tracey said it was an unfortunate situation, but that the Shire had a responsibility to ensure projects were completed in a cost-effective manner. “We will look into what can be done by in-house Shire teams — they have done projects in the past and are more than capable,” he said. “The most important thing is to not over-extend ourselves and see blow-outs in cost and construction times. “That might mean some projects are deferred until the next financial year, but all planned projects will eventually be completed.”