TReconstruction of Russel Drive in Yorkton will go ahead, but at nearly 50 per cent more than initially budgeted.
Trent Mandzuk, Director of Public Works with the City told the regular meeting of Council Monday the reconstruction was approved as a capital project for 2011 based on a pre-tender estimate of $522,000.
Only one tender was received, that coming from Federowich Construction for $702,916.
Mandzuk said in discussions with Federowich Construction indicated that increases to recent fuel prices, longer haul distances, shortages of quality aggregate and extremely wet soil conditions yielded higher unit prices for 2011.
While the tender is $180,916 above the pre-tender estimate, Mandzuk said, considering the factors of concern identified by the contractor, it is unlikely that re-tendering or postponing the project will result in better pricing.
Mandzuk said with a recommended contingency of $47,084, the total cost of the project would be $750,000.
Administration proposed the overall difference of $228,000 be funded from the Department's operational budget under contracted services within surfaced roads.
Councillor Richard Okrainec said while he doesn't like accepting a lone tender, in this case he was convinced the amount was the best the City could achieve.
Coun. Les Arnelien questioned whether there would be enough money left in the budget to "fix up all the potholes," that have appeared this spring.
Mandzuk said there would still be some $200,000 left "to address localized repairs."
