Trump tariffs tagged for inflating new Hamilton school costs

Steel prices creating ‘uncertainty in marketplace’ on tenders

U.S. President Donald Trump’s 25 per cent tariff on Canadian steel is being at least partly blamed for inflating construction costs for new public elementary schools in Greensville and at the Beverly Community Centre in west Flamborough.

David Anderson, the Hamilton public school board’s senior facilities officer, said both projects are being re-tendered because contractors’ bids were over budget.

He said the board has already adjusted the scope of the Beverly tender by only requiring a construction of a building shell for an adjacent city community centre.

A similar review is looking for ways to shave costs on the Greensville school — to include a public library and community centre — before it is re-tendered, he told a city-board liaison committee.

“We think that was part of it, for sure, the tariffs and the uncertainty, essentially, in the marketplace,” Anderson said in response to Mayor Fred Eisenberger’s question about the impact of higher steel prices.

“We’re asking these contractors to hold their prices for 90 days and then by the time the steel’s erected on-site it could be another three to six months after,” he said.

“It’s a long period where the contractors are required to hold their prices and, with that uncertainty, I think there is some inflation in there. It all comes down to the risk and risk mitigation, and who’s going to own it, whether it’s us or the (contractor).”

Anderson said the $12.7-million Beverly project has already been re-tendered, with a bid deadline of Oct. 11 and possible construction start by the month’s end.

He said the $11.9-million Greensville school will probably be re-tendered later in October and shovels should be in the ground in the spring.

The existing Greensville school has been demolished and Spencer Valley is serving as a holding school until the new building opens. Spencer Valley will then close.

Greg Van Geffen, the area’s trustee, said afterward he believes the initial bids for both contracts were also higher because the board has a plethora of construction projects either underway or in the final planning stages.

These include the Bernie Custis and Nora Frances Henderson high schools, new Summit Park, Eastdale, Stoney Creek Memorial, Glendale campus and C.H. Bray elementary schools, and additions to Collegiate Avenue, Laurier, Ancaster Senior and Mount Albion.

“It’s a builder’s market,” Van Geffen said, noting the board is also spending $21 million per year on other school upgrades like new science labs and gym expansions.

Tenders for renewal projects at three schools — Chedoke, Glendale and Hamilton’s Memorial — came in over budget and their scope is under review, a recent report to the board’s finance and facilities committee shows.