A reconstruction project on Tessier Street in Hawkesbury will not be taking place this year.
On September 14, town council adopted a staff recommendation to defer the project to an undetermined later date because each of the tenders received by the town exceeded the budgeted amount, and associated costs would also significantly exceed the project budget.
The project would have meant the reconstruction of Tessier Street between Cameron Street and Tupper Street. On June 22, council had consented to proceeding with setting the project budget at $1,750,000, including design and project management costs. A staff report presented at the September 14 council meeting indicates that to date, expenditures incurred for surveying, sewer inspections, and design services total $70,888.30. Out of the four tenders received by the town for the construction work, the lowest, from Arnco Construction and Excavation was $1,744,298.50. When the previously incurred expenditures of $70,888.30 are added to the bid amount of $1,744,298.50, the total project cost reaches $1,815,186.80. The staff report also explains that construction inspection services and quality control testing must be included, with estimated costs of approximately $50,000. Furthermore, the potential presence of contaminated soils within the project limits could result in significant additional costs during the construction phase. With all of the risks and associated project costs, the total project cost would be about $1,950,000.
This estimate represents a budget overrun of approximately $250,000 compared to the approved budget of $1.7 million. As a result of the budget shortfall, staff recommended deferring the Tessier Street project to an unspecified, later date and the funds for the project instead be retained to support the financing of the Main West Reconstruction Project scheduled for 2027.
