Girrawheen Hub cost rises $961,501 after tender comes in above estimate

Wanneroo Council has lifted the redevelopment budget for the 13 Patrick Court project to $31.318 million and accepted Focus Building Company’s tender, with the proposed contract listing commencement in February 2027.

Council: City of Wanneroo

Meeting: 27 October 2026, 6:00PM

Recorded status: approved

Source status: Draft minutes; recorded wording may change when confirmed.


BRIEF

Wanneroo’s unconfirmed minutes record a $961,501 increase in the Girrawheen Hub redevelopment budget to about $31.318 million after a construction tender exceeded the quantity surveyor’s estimate. Council unanimously accepted Focus Building Company’s tender. The proposed contract lists commencement on 8 February 2027, including a three-month site handover period before an 18-month construction period. The supplied passages do not disclose the tender price and describe a $2.96 million Lotterywest application as under assessment.


KEY FACTS

- The unconfirmed minutes record Council approving a $961,501 increase, revising the project budget from $30.356 million to $31.317501 million.

- The increase is funded by $661,501 from the Strategic Project/Initiative Reserve and $300,000 reallocated from a Roads to Recovery grant for Patrick Court.

- Focus Building Company Pty Ltd’s tender was accepted unanimously, although the supplied public passages do not disclose the lump-sum price contained in a confidential memorandum.

- The proposed contract lists commencement on 8 February 2027 and includes three months for site handover, 18 months of construction and a 12-month defects liability period.

- The City has applied for a $2.96 million Lotterywest grant, but the supplied passages do not record an award.


ANALYSIS OF THE RECORD

- The accepted tender price is not disclosed in the supplied public passages; the resolution refers to a confidential memorandum.

- The budget increase is recorded as approved, but the report identifies possible future 2026/27 budget adjustments and describes the Lotterywest application as progressing through assessment.

- The $300,000 reallocation is identified as coming from a Roads to Recovery grant for Patrick Court; the supplied record does not state how that reallocation will affect the Patrick Court works.


QUESTIONS FOR FOLLOW-UP REPORTING

- What is the accepted lump-sum tender price, and will it be disclosed with the information authorised for release?

- Will the 2026/27 budget require an adjustment for Girrawheen Hub cash-flow requirements, and when will it be presented?

- What decision will Lotterywest make on the City's $2.96 million grant application?

- How will the reallocation of $300,000 from the Patrick Court Roads to Recovery grant affect that project's funding or timing?


RECORDED NEXT STEPS

- The recorded resolution authorises the chief executive officer to release information from Confidential Memorandum 2 on the City's website after a formal tender award letter is issued to the successful tenderer.

- The proposed contract lists commencement on 8 February 2027 and includes three months for site handover and 18 months of construction; a separate construction start date is not identified.

- Any required 2026/27 budget variations are to be submitted through a future Financial Activity Statement report.

- The report describes the Lotterywest grant application as progressing through assessment; the supplied passages do not record its outcome.


SOURCE PASSAGES

The document is labelled unconfirmed minutes for the Ordinary Council Meeting held on 27 October 2026.
"COUNCIL MINUTES Unconfirmed Minutes Ordinary Council Meeting 6:00PM 27 October 2026 Council Chamber (Level 1), Civic Centre, 23 Dundebar Road, Wanneroo wanneroo.wa.gov.au RECORDING AND ACCESS TO RECORDINGS OF COUNCIL MEETINGS POLICY 1." (Document title)

The minutes record Council approving a $961,501 budget increase, funded by $661,501 from the Strategic Project/Initiative Reserve and $300,000 reallocated from the Roads to Recovery grant for Patrick Court, and listing required funding in 2027/28 and 2028/29. The motion is recorded as carried unanimously 15/0.
"Moved Cr Rowe, Seconded Cr Seif That Council:- 1. APPROVES a $961,501 increase to the Girrawheen Hub Redevelopment project budget, funded by $661,501 from the Strategic Project/Initiative Reserve and $300,000 reallocated from the Roads to Recovery grant (for Patrick Court), and LISTS the required funding in the 2027/28 and 2028/29 financial years to align with project cash flows; 2. ACCEPTS the tender submitted by Focus Building Company Pty Ltd for Tender No. 26044 Provision of Major Works for Girrawheen Hub Redevelopment, for the lump sum price as identified within the confidential memorandum (Attachment 1) in accordance with the terms and conditions of the tender; and 3. AUTHORISES the Chief Executive Officer to release the information contained in the Confidential Memorandum 2 (Attachment 2) via the City's website after a formal letter of Tender Award is issued to the successful tenderer (as per item 2 above). CARRIED UNANIMOUSLY 15/0 For the motion: Mayor Aitken, Cr Bedworth, Cr Berry, Cr Coetzee, Cr Figg, Cr Huntley, Cr Miles, Cr Moore, Cr H Nguyen, Cr V Nguyen, Cr Parker, Cr Rowe, Cr Seif, Cr Smith and Cr Wright Against the motion: Nil Attachments: 3⇩." (AS03-10/26, motion and vote)

The report's budget table lists $30,356,000 as the current budget, $31,317,501 as the revised budget and $961,501 as the shortfall; the accompanying text gives a rounded revised budget of $31,318,000.
"Current Budget Revised Budget Shortfall $30,356,000 $31,317,501 $961,501 Acceptance of Tender No 26044 for the Girrawheen Hub Redevelopment, in accordance with the recommendations of this report, will result in Council approving a revised project budget of $31,318,000;" (AS03-10/26, Financial Implications)

The pre-increase capital funding table totals $5,500,000 in grants and $24,856,000 in reserves, making $30,356,000.
"Capital Works The 2026/27 approved budget as well as the requirement from the draft Long Term Financial Plan for the future years are indicated in the table below: Financial Year Grant Reserve Total Till 2025/26 $1,469,000 $1,469,000 2026/27 $1,000,000 $9,097,000 $10,097,000 2027/28 $2,500,000 $9,500,000 $12,000,000 2028/29 $2,000,000 $4,790,000 $6,790,000 Total $5,500,000 $24,856,000 $30,356,000 There will be a shortfall of $961,501 between the project budget and the revised budget (upon taking into consideration lowest tender submission and value engineering savings)." (AS03-10/26, Capital Works funding table)

The report says the 2026/27 budget may require adjustment for project cash flow and that any required variations will be submitted to Council through a future Financial Activity Statement report.
"The 2026/27 Annual Budget may also require adjustment to accommodate the project's cash flow requirements for the remainder of the financial year. Any required budget variations will be submitted to Council through a future Financial Activity Statement report." (AS03-10/26, Financial Implications)

The minutes record acceptance of Focus Building Company Pty Ltd's Tender 26044 at the lump-sum price identified in confidential Attachment 1, and authorisation for the chief executive officer to release information from Confidential Memorandum 2 on the City's website after a formal tender award letter is issued to the successful tenderer.
"2. ACCEPTS the tender submitted by Focus Building Company Pty Ltd for Tender No. 26044 Provision of Major Works for Girrawheen Hub Redevelopment, for the lump sum price as identified within the confidential memorandum (Attachment 1) in accordance with the terms and conditions of the tender; and 3. AUTHORISES the Chief Executive Officer to release the information contained in the Confidential Memorandum 2 (Attachment 2) via the City's website after a formal letter of Tender Award is issued to the successful tenderer (as per item 2 above). CARRIED UNANIMOUSLY 15/0 For the motion: Mayor Aitken, Cr Bedworth, Cr Berry, Cr Coetzee, Cr Figg, Cr Huntley, Cr Miles, Cr Moore, Cr H Nguyen, Cr V Nguyen, Cr Parker, Cr Rowe, Cr Seif, Cr Smith and Cr Wright Against the motion: Nil Attachments: 3⇩." (AS03-10/26, motion and vote)

The Director Assets said the initial construction tender exceeded the quantity surveyor's pre-tender estimate primarily because world events affected construction and transportation costs, described a contractor-led value-engineering exercise, and said the project retained a construction contingency.
"Response by Director Assets The initial construction tender was significantly higher that the pretender estimate provided by the quantity surveyor. This was primarily due to world events that have had a major impact on construction and transportation costs. The value engineering exercise led by a qualified contractor experienced in value engineering has allowed the City to fully interrogate the design and the components that have been subject to the higher costs. The contractor now has greater knowledge of the project specifics, and the project retains a construction contingency for any future issues. CS01-10/26 - Financial Activity Statement for the Period Ended 31 August 2026 6." (Public question time, PQ02-10/26, question 5 response)

The report describes value engineering to reduce tender costs without materially affecting the facility's final functionality, including structural and roof elements, concrete panels, fire tanks, ceiling linings, lighting, programme duration, landscaping, pathways, finishes and materials.
"CITY OF WANNEROO MINUTES OF ORDINARY COUNCIL MEETING 27 OCTOBER, 2026 133 Summary of Value Engineering (VE) Exercise In an effort to reduce the variation between the Pre Tender-Estimates (PTE) and the tender submission from preferred tenderer, the City embarked in a process of value engineering to reduce the submission totals. The project team, independently with preferred tenderer, reviewed the various components of the tender amounts, in relation to materials, products and methodology, and either omitted and/or changed, to reduce the cost without materially affecting the final functionality of the facility. Major items included for VE exercise – Structure and Roof Pods, concrete panels, Fire Tanks above ground, ceiling linings, alternate lighting fixtures, removal of DJ booth, reduce program duration, alternative landscape coverings, alternative pathway treatments, and selection of alternative finishes and materials." (AS03-10/26, Summary of Value Engineering Exercise)


SOURCES

https://wanneroo.infocouncil.biz/RedirectToDoc.aspx?URL=Open/2026/10/OC_27102026_MIN_AT.PDF

https://minutesradar.com/news/wanneroo-infocouncil-ordinary-council-27-oct-2026-6-00pm-27-oct-2026-6-00pm-minutes-girrawheen-hub-cost-rises-961-501-after-tender-comes-in-2e5d15e606/


Prepared from public council minutes using automated drafting and checks. No meeting attendance or interviews are implied. Check the original record and seek comment before republishing claims or analysis. Illustrations are generic, not depictions of actual projects.