If you are applying to the Otago Community Trust for a capital project grant. When putting your application together we strongly advise you to consider whether:
- your budget includes an adequate contingency to deal with unexpected ground conditions (particularly if geotechnical investigations have not yet been undertaken or there is some uncertainty as to what might be found when works commence).
- your budget also includes a contingency to deal with other matters such as asbestos removal, unforeseen repairs and upgrades required before the project can commence.
- you have an accurate assessment of costs of the project, from a Quantity Surveyor for example and whether you are using an adequate and complete scope of works to obtain cost estimates.
- you are relying on non-binding cost estimates or whether you have you obtained robust quotes from service providers.
- you have recognised all aspects of the project, such as kitchen fit out, painting and decorating etc.
- you have built in building escalation provisions into your quotes and estimates, which are often only valid for a certain period to adequately recognise a realistic project completion timeframe. The Otago wide construction boom means that construction costs are continuing to rise each quarter. You need to consider in your application how such cost escalations will be funded if works commence later than first thought.
- you have considered the time frame to gain all funding required to complete the project. Please note that the Trust’s expectation is that any funding offer will be used for the project purpose within 12 months from the date of the original grant offer unless an extension has been approved.
- you have correctly estimated the time it will take to obtain the necessary resource consents and therefore the timeframe in which works can commence.
Please note that the Otago Community Trust will only consider an additional grant to cover increased costs in very exceptional circumstances therefore we urge all applicants to ensure that the above matters are well considered in your application.