Quote:
Originally Posted by Mr.Coffee
That's true but context here matters, doesn't it? That really isn't much of a fair trade given the extremely high cost inflationary environment
|
Fair is immaterial, they agreed to it... they didn't have to but they did.
Frankly I think that was bad faith bargaining by CSEC from the get go. The fact that it didn't survive the 1st additional cost overrun is proof enough of that. I think they just saw an opportunity to get something (project control) for "free" so they made commitments they never intended to honor... If additional costs happen renege on the deal and don't pay, if they don't happen then you got project control in exchange for nothing.
Ultimately I think they just didn't like the projected price tag so they pulled the plug. The City wants to be made whole and without re-opening the revenue split that wasn't going to happen with cost escalations so they got the ceiling on their costs, CSEC then discovered that the top end risk on their costs was now uncomfortably high.