The cost to upgrade the Crescent View Wastewater Lift Station has jumped by more than $220,000 because additional design work is required to address the project’s increasing complexities.
During its April 24 regular meeting, council unanimously voted to support project change order No. 6 for $93,760 and project change order No. 7 for $127,000, a total cost increase of $220,760.
Council approved the $26,655,000 project during its 2023 budget discussions, with $7,455,000 to be spent this year and the rest in 2024 and 2025.
Since December, there have been seven total change orders — including these two — worth $1,184,648.08, including taxes.
Trends in construction prices and timelines “have taken an alarming turn,” as municipal capital project tender costs are closing beyond 100 per cent of the original value, a council report said.
“Administration believes current funds allocation for Crescent View Lift Station will not be adequate. Administration is now seeking funding through the federal government under the disaster mitigation (and adaptation) fund,” the report said.
This funding stream closes July 19 and covers up to 40 per cent of project costs.
Meanwhile, city administration is working with project manager AECOM to acquire revised construction estimates and will incorporate them in the upcoming funding application.
City hall originally submitted a federal funding application last November — Ottawa would have paid 73 per cent of the costs — but was notified in February that the application was unsuccessful. The engineering department then met with authorities in March to discuss improvements for subsequent submissions.
This project has yet to start construction, but city administration plans to issue a tender once the design is complete. Meanwhile, there are 13 lift stations throughout the city — minus Crescent View — that force effluent to that venue.
Crescent View is located on 11th Avenue Northeast near the river.
“If Crescent View were to suffer a failure, it would be catastrophic for the city. It takes 100 per cent of the sewage and forces it up to the wastewater treatment plant,” said public works director Darrin Stephanson. “For any reason, that is not something we can so easily manage. It’s a critical piece of infrastructure.”
Council discussion
“All our city sanitary is going through the Crescent View Lift Station. We have no choice but to try and get this work done and as quickly as possible because costs just keep going up,” said Mayor Clive, adding both levels of government will have to contribute to this project.
The city is paying extra PST on the change order requests and this year’s $7.4 million design cost, said Coun. Crystal Froese. PST on construction projects was a major conversation item during the recent Saskatchewan Urban Municipalities Association (SUMA) convention.
“As the mayor said, this is essential. This isn’t something we can’t not move forward with,” she added. “And it only becomes more expensive, as we’re seeing even now.”
Change order No. 6
This change order is for additional off-site design work at the wastewater treatment plant (WWTP). Some items include engineering services for an interim grit separator upgrade, design work for extra twin force mains, adding a new water truck fill station, decommissioning the Crescent View Lift Station, and building a grit building and septage receiving station.
Change order No. 7
This change order focuses on additional on-site design work because the project’s complexity has increased since the initiative was first proposed, the council report said.
Some items that have increased the complexity include screening and grit removal, odour control, system integration, redundancy and maintenance, site development, standby power generation, and electrical and mechanical items.
Project details
Engineering director Bevan Harlton told council that he has learned it’s taking 52 weeks — one full year — before suppliers physically handle order requests. It then takes them another 48 weeks before they ship out the equipment.
Depending upon the funding city hall receives — or doesn’t receive — for the project, council will have to discuss how to pay, including possibly using debt, he continued.
When asked about the current life expectancy of the lift station, Harlton said the pumps are regularly replaced and relatively new, while the building is over 60 years old and beyond its lifespan.
Furthermore, the grit removal building needs to be replaced immediately, he added. Meanwhile, the septic receiving station is being upgraded to meet national building codes.
The next regular council meeting is Monday, May 8.
