Appendix D - Council Decision Context – Validation Report

This appendix is provided to support Council’s consideration of the recommendation arising from the West Shore RCMP Facility Expansion Council Validation Report. While the staff report summarizes the recommendation and proposed next steps, the Validation Report itself contains additional detail respecting governance, risk allocation, cost composition, schedule dependencies, and the implications of approval. This annex highlights those elements to ensure Council has full context for its decision.

Governance and Delegation of Authority

Approval of the Council Validation Report and authorization to execute the CCDC-30 (2025) Integrated Project Delivery agreement results in a transition of project decision-making authority from Council and Administration to the Integrated Project Delivery governance structure described in the Validation Report. This structure includes the Senior Management Team, Project Management Team, and discipline-specific Project Implementation Teams.

Once the IPD agreement is executed, decisions related to detailed scope coordination, sequencing, cost trade-offs within the approved target cost, and schedule optimization will be made within this governance framework. These decisions will not routinely return to Council unless they exceed the Conditions of Satisfaction established through Validation or materially alter the approved project parameters.

Conditions of Satisfaction

The Validation Report confirms that the project meets the Owners’ Conditions of Satisfaction, including facility size, seismic performance, operational continuity, sustainability and energy performance targets, accessibility standards, and accommodation of projected growth over an approximately 25-year planning horizon.

Council approval of the Validation Report confirms these Conditions of Satisfaction as binding constraints within the IPD agreement. Any future changes to these conditions would require formal amendment and may have implications for project cost, schedule, and risk allocation.

Cost Composition and Risk Allocation

The target cost presented for Council approval is a composite figure that includes construction costs, design and validation costs, an allowance for identified risks and opportunities, and IPD team profit, as detailed in the Validation Report.

Under the Integrated Project Delivery model, risks are jointly managed by the IPD team and the Owners, with incentives structured to encourage early identification and mitigation of risk and to promote cost certainty. Not all risks can be eliminated during the Validation Phase, and residual risks remain with the Owners, to be managed through the project’s established contingency and risk management framework.

Council approval acknowledges that while the Validation Phase significantly reduces cost uncertainty compared to traditional procurement methods, the project remains subject to managed risks typical of complex public infrastructure projects.

Schedule Assumptions and Dependencies

The project schedule set out in the Validation Report is milestone-based and is contingent upon timely execution of the IPD agreement, successful coordination of demolition and construction sequencing, and continued operational collaboration with the RCMP to maintain uninterrupted policing services.

Council approval confirms an understanding that the projected substantial completion date is dependent on these assumptions and on continued alignment among the IPD partners throughout the delivery phase.

Implications of Approval

Approval of the Council Validation Report and authorization to execute the CCDC-30 (2025) agreement confirms Council’s acceptance of the validated scope, target cost, schedule framework, and Conditions of Satisfaction. It commits the Owner municipalities to the Integrated Project Delivery model for execution of the project and transfers day-to-day delivery decisions to the IPD governance structure within the parameters established through Validation.

Following approval, Council’s ability to materially alter scope, delivery approach, or project standards without cost or schedule implications is significantly reduced.