Xterra marks the spot when it comes to tenders for the Durham Street pumping station in Mount Forest.
It’s bid of $1,990,964 was the lowest of five.
Tendering for the project was competitive, and compared favourably with the municipality’s pre-tender estimate. The report from BM?Ross stated, “We have worked with Xterra on smaller projects in the past and found their performance to be satisfactory.”
Included in the total cost is a contingency allowance of $125,000, and 13% HST.
In 2009, Wellington North received a funding grant under the Build Canada – Communities Component for the replacement of the sewage pumping station.
Part of that work included the reconstruction of Normanby Street and the replacement of services under the street.
The Normanby work was done in 2009 to be finished this year with the placement of the final layer of asphalt.
Tenders were called for the station in the spring.
Public Works Manager Gary Williamson said that as per the BM?Ross report, there were five tenders, with Xterra being the lowest.
He added Xterra is made up of some of the staff who used to work at Subterra, which had also done some work in Mount Forest.
Williamson said that BM?Ross has worked with the company on smaller projects.
The company has until next fall to complete the project, Williamson said.
He added there is no set time to start work – only a completion date.
As of the July 12 council meeting, the municipality had yet to meet directly with the company on the project, but he anticipated such a meeting in the near future.
He said he expected the project would start this fall, if not sooner.
As for as financing, Treasurer John Jeffrey said the funding is divided between this project and the Normanby Street reconstruction budget.
Williamson said the street work included a forcemain upgrade for the new pumping station. That work was completed last year and is part of the overall contract.
“It’s a two-part project, but funded with one Build Canada fund program.”
Jeffrey offered a summary financial breakdown of which funds go to which portion of the project.
He said except for the final layer of asphalt, work on Normanby Street is completed.
He added the Build Canada grant was received in 2009, and the grant application had to be done rather quickly, so some of the estimates were high.
“As it turns out, now that we have two solid contracts, the cost of construction is not going to be as much as anticipated in the application.”
As a result, Jeffrey said the township would not be able to realize all of the grant that was made available.
“But it does give up some room if there are cost overruns for whatever reason,” Jeffrey said.
Often those costs are not apparent until the work is underway. “It’s gives us some cushion,” he said.
He added the majority of the funding for the project is through the Build Canada Funds, with the township responsible for the remainder though the budget.
Wellington North will also be using part of its gas tax revenue of $163,363 towards the project said Mayor Mike Broomhead.
Williamson said that for clarification, the Durham Street pumping station is at the corner of Durham and Foster streets.
He said construction of the new pumping station will actually take place behind the existing one.
Williamson said a number of years ago, the township was able to purchase some land, anticipating the need for a new station.
That allows the existing pumping station to remain in use until the new one is ready for operation.
He added the majority of work is underground, “so the little building you see is just the tip of the iceberg.”
The overall construction contract for the sewage pumping station and Normanby Street road reconstruction is $2,879,462.
