We have often used this space to praise the Virgin Islands Recovery and Development Agency for consistently getting projects done on time and on budget.
Last month, however, we were surprised and dismayed by the outcome of the recent tender process for the long-delayed new West End ferry terminal.
The RDA, which is overseeing the project, had budgeted about $15.5 million for the 42,000-square-foot facility, but the two bids to construct it came in at four and six times that price.
This vast discrepancy raises many serious questions and suggests that something went badly wrong.
We urge the RDA and the Ministry of Communications and Works to investigate the tender process and provide a full explanation as soon as possible.
Then, the project’s ambitions should be scaled down to ensure that it is feasible and financially sustainable.
After all, a better port of entry in West End is sorely needed. The effort to build a new terminal, which was already urgent long before the previous facility was destroyed by Hurricane Irma in 2017, has been dragging on for decades with millions spent and precious little to show for it.
The recent tender process under the RDA was protracted and fraught with delays, but it nevertheless seemed to be a step in the right direction.
Then the bids came in.
A consortium of the Virgin Islands firms Metro Construction and Todman Construction put in an offer of nearly $64 million, while Canada-based Aecon Global Services bid nearly $94 million.
At a time when many urgent infrastructure projects are competing for a very limited pool of public funds, these offers are simply not affordable.
Indeed, we agree that the VI government should aim to spend about $15 million on the project as planned with the hope of building a modest but functional facility.
To their credit, Premier Natalio “Sowande” Wheatley, Communications and Works Minister Kye Rymer and the RDA have all expressed a willingness to place the project on hold and revisit its scope in order to find ways to bring costs down.
The RDA has also noted that “market conditions, cost fluctuations and global economic factors can influence project estimates.” This is a good point, but it does not explain the huge gap between the budget and the bids.
On Feb. 17, the agency also promised a further explanation within a week. As of today, it had not provided one.
We hope to hear more very soon. The bidders and the general public alike certainly deserve as much.
There is a silver lining to this latest obstacle. While the tender results were extremely disappointing, at least the problems were caught in the planning stage and not in the middle of construction as has often happened with past public projects administered by the government.
Now, officials must re-examine the proposed terminal with fresh eyes.
Then they must solicit public input and proceed swiftly but realistically to finally finish this much-needed project.