THE tender for the construction of Ballina's new animal shelter was this week awarded to Lismore-based company Greg Clark Building.
But the council has been forced to allocate an extra $370,000 towards the project.
In 2011 the council sold the animal pound to the Northern Rivers Animal Services and agreed to build a new shelter.
That was because the existing pound did not meet contemporary animal welfare or workplace health and safety standards.
A budget of $630,000 was allocated for the construction of the new facility.
However the council's Civil Services Group said the subsequent design and tender process found that was an insufficient amount for the project.
"The standard of the building proposed is considered the minimum necessary to meet council's needs into the future and project a professional appearance for dealing with council's customers and provide current technology for staff using the building," the council report states.
"It has also been designed and has an approval to allow extension in the future as the projected needs for animal housing increase."
The total cost of the animal shelter - including construction, supervision, contingencies, consent and site works - is expected to be around $1.016 million.
The council agreed to allocate extra funds from the industrial land reserve to allow the project to be completed.
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