Costs to finish the nearly complete new municipal garage in Hawkesbury are higher than expected. On Tuesday, October 14, town council agreed to increase the budget for the project by $500,000.

The cost of the project was originally estimated at $10.75 million.

The new garage on Spence Avenue will replace the nearly 60-year-old garage on Main Street East.

A report prepared by Director of Public Works and Engineering Jonathan Wilson explains that during the initial budget planning, the construction costs for the municipal garage were estimated at a lower amount than the bids received. To reduce the gap, several adjustments were made to the project. However, unforeseen circumstances have occurred, resulting in cost overruns totaling $454,274.62 to date. The Department of Public Works had anticipated cost overruns of approximately $100,000, mainly due to design errors and engineering omissions. As of October 14, expenditures amounted to $8,907,845, leaving a balance of $1,387,881 in the original budget for the project.

Updated forecasts done by the department indicate the remaining costs to complete the project amount to $1,821,286.55, creating a projected shortfall of $433,405.55. The department recommended council authorize an additional $500,000 to ensure the completion of the project without the need to return to council for further funding. Any unused portion of the contingency or of the additional amount requested will be transferred to the 2026 demolition budget. The additional funding will be used for the purchase of equipment for the mechanical section, office supplies, the completion of the salt dome, and other minor expenses.

Councillor Yves Paquette was not pleased about the need for additional funds.

Chief Administrative Officer Sam Cardarelli said staff have worked hard to reduce costs.

“They did their best to mitigate this as much as possible,” Cardarelli said.

Paquette said he is not against Wilson, municipal staff, or the project, but it is frustrating to find out an additional budget is required.

Treasurer Philippe Timbers noted it is a lot of money, but the increase is still less than five per cent of the total project cost. He said many contingencies are higher at around 15 or 25 per cent.

Wilson said the department should have the keys for the new municipal garage by November 1 and will be moving in after.

Councillor Raymond Campbell asked if there would be an open house so the public can see the new facility.

Wilson said an open house event is being planned.