HALIFAX — The regulator charged with ensuring the safety of the Bluenose II carries no legal responsibility to do so, according to documents obtained by Global News.
A contract signed in March 2010 (see below for full details) between the Nova Scotia government and the American Bureau of Shipping (ABS) states the ABS “is not an insurer or guarantor of the integrity or safety of a vessel or of any of its equipment or machinery.”
READ MORE: Bluenose II coverage from Global News
The regulatory work was valued at $50,857 USD, but Global News has learned that amount has since increased to $63,122.10 CAD.
An official with the department of communities, culture and heritage confirmed the amount will likely increase.
READ MORE: Bluenose II regulator questions ship’s stability report
The ABS fee is small compared to the overall project cost, but government officials say the agency’s recommendations have been the reason for most of the delays and cost overruns.
The documents appear to show that officials had little choice but to adhere to directives from the ABS. The contract states the ABS “reserves the right to withhold or withdraw classification, certificates or services for lack of conformity with its Rules or for any other reason.”
READ MORE: Bluenose II documents suggest U.S. regulator was designer’s 2nd choice
The government has also given up the right to sue the ABS for any costs “arising out of work to be done, services to be performed or material to be furnished.”
The Bluenose II was originally forecast to cost $14.4 million. To date, the price tag is at least $19.3 million, with an additional $5 million still yet to be settled through mediation with the ship’s builder.
Read the contract below:
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