South Peace News
A contract to construct a water reservoir in Enilda has been awarded at just over $800,000 by Big Lakes County.
At its regular meeting March 28, council awarded the tender for $812,000 plus GST to AGS Mechanical Contractors Ltd. of Peace River.
Reservoirs for both Enilda and Grouard were tendered at the same time. The Grouard project tender price was $2,479,050, significantly lower than budget, says consulting engineer Trent McLaughlin.
AGS tendered both projects.
“The overall impact on the budget is a savings of $400,327.50,” says McLaughlin.
The total anticipated cost of the Enilda project with engineering costs is $987,625.
However, the cost to the county is $627,625, he says.
Cost of the Enilda project is $267,625 higher than budget. The cost is much higher because soil conditions may require more ground work, McLaughlin says.
Council approval was required for the Enilda project, since the tender was over budget by more than 10 per cent, CAO Roy Brideau says.
Big Lakes received funding of $360,000 through the Clean Water Wastewater Fund, based on 50 per cent of a $720,000 project.
Alberta Transportation informed the county that increased project costs will not be funded, which means the grant will be capped at $360,000 for Enilda, McLaughlin says.
The budget of $720,000 was set at the time of application before any engineering or project details were known.