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Bluenose II report says poor planning led to delays, increased costs

HALIFAX – Nova Scotia’s auditor general released a report Monday that says the beleaguered restoration of the Bluenose II has suffered from poor planning and weak government oversight.

In the 47-page report, Michael Pickup pointed to failings of the province’s Culture and Heritage Department as one of the causes of rising costs and delays in completing work on the schooner.

He said Wednesday the department’s supervision was undermined by a lack of planning and weak management.

READ MORE: Bluenose II inspection reveals dozens of deficiencies

Premier Stephen McNeil asked Pickup’s office to look into the project a year ago.

The report also says the department was overly optimistic when setting deadlines and failed to prepare clearly defined goals or risk management measures. The restoration of the vessel was originally supposed to completed in 2011, but it will not hit the waters until at least later this year.

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When the restoration was announced in April 2009, the provincial and federal governments set aside $14.4 million for the work. Last year, the provincial government said total costs were expected to top $19 million.

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Pickup said tender documents did not have the necessary project details, resulting in contracts with stakeholders that lacked key clauses. He added that the relationships among the stakeholders were strained and that the Culture and Heritage Department “failed to ensure all parties worked together effectively.”

His report also points to the installation of a steel rudder as required by an American safety classification agency as a major factor in the delays and added costs of the restoration.

The report made two recommendations for the finance and treasury board:

  • The board should assign responsibility for all significant construction projects to a government department with the necessary expertise to oversee them.
  • The board should put in place a mandatory approach to managing significant projects in government. This should include strong project management practices with essentials such as outlining goals and risks, timelines for project budgets and schedules, assigning responsibility for key decisions, and project oversight.

The board said it accepted both recommendations.

READ MORE: 4 things you didn’t know are sending the Bluenose II project awry

McNeil responded Wednesday by transferring oversight of the project to the Transportation and Infrastructure Renewal Department, which was initially recommended by deputy minister David Darrow last fall.

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The 43-metre vessel was launched in 1963 and is a replica of the original Bluenose, a 1921 Grand Banks fishing schooner that won worldwide acclaim.

Timeline of Bluenose II events

Read the full report below:

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With files from The Canadian Press

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