A cost increase of $525,000 for building Katikati's new library is being considered by the Western Bay of Plenty District Council today.

The increase will boost the cost from the existing budget of $3.5m to $4.025m.

Costs balloon for Katikati library replacement. Photo: First Principles.

The cost increase comes about as a 15 per cent increase in costs since the original budget was set in March 2015, plus additional design requirements including a covered spine walkway to connect with the main street and a feature to the building.

It is also proposed to increase the roof height of the library to future proof it for a partial mezzanine.

The original budget was based on a single level building concept plan, a standard all-inclusive unit rate of $2,625sqm plus $200,000 fit out and $150,000 site works, totalling $3.5m for 1200sqm.

Several concepts have been developed for the new facility, both single and two storied options. Following their development the Quantity Surveyor produced a priced schedule that made it obvious the council would be unable to construct the full space for the budget, says strategic property manager Blaise Williams report to the council.

Increasing the budget by 15 per cent to $4.025m will enable the construction of two single level buildings totally some 1200sqm, but it is at the lower end of the range advised by the Quantity Surveyor.

The project procurement will follow a call for Expressions of Interest then an Early Contractor Involvement process. This will enable a design to be fine-tuned and constructability tested with a contractor prior to finalising a negotiated construction contract. This process will provide more certainty to the final pricing.

The project is 83 per cent funded from district rates reserves and 17 per cent from the recreation and leisure financial contribution reserve.