Inflation hikes cost of two big street projects by millions

By Mark Squibb/September 30, 2022

During last week’s public meeting, council voted to revise two funding applications for major roadwork projects due to cost increases since the applications were first made in 2020.

The first application was for major upgrades along Farrell Drive and upgrading between Holden Street and Evans Place.

“This is everything,” said councillor Isabelle Fry. “It’s water, sanitary and storm sewer, asphalt, curb, and sidewalk replacement. So, it’s the full meal deal. The scope of this project is a complete reconstruction of Farrell Drive (approximately from Holden Street to Evans Place) and replacement of all infrastructure within the limits of the City property right-of-way. This includes all design, supply of construction materials, removal of existing infrastructure, and construction of new.”

Mount Pearl requested $5.1 million in federal funding for the project back in 2020.

“Due to the cost escalation in 2020, the revised funding request is $7.1 million, so it’s an increase of $2.1 million for this particular project,” said Fry.

Mayor Dave Aker noted that Infrastructure Canada requires the revised application be recorded in council’s minutes before proceeding.

The next project was for the complete reconstruction of Spruce Avenue from Croucher Place to Commander Place, and Birch Avenue including sanitary sewer realignment and watermain looping, Roosevelt Avenue  from Donovan Street to Ruth Avenue, Carroll Drive (excluding the existing watermain), and structural watermain lining on Billard Avenue.

“This project was also applied for in 2020, at a funding request of $5.05 million,” said Fry. “And again, due to the cost of escalation since 2020, the revised funding request is now $7.3 million.”

Councillor Jim Locke asked Director Antle when the work would likely begin — and end —figuring it would be planned over the winter and shovels put into the ground once the next construction season permits.

“A lot of things have to come together,” said Antle. “Optimistically, you’re exactly right. The application has to be made, we have to receive response, we have a couple things to consider then. We have an existing RFP, depending on if we can maintain that, and if not, we’ll have to reprocure, and that’ll be our biggest delay. So, if everything comes together as we hope, yes, we could be doing the design work over the winter with a potential start on construction next season. Otherwise, it might be late next season or even the year following.”

Locke said he asked the question because he knew there were residents in the area anxious to see the sewer work completed on account of surges following recent storms.

Under the federal program involved, municipalities must meet 30 percent of the total project costs.

Posted on October 5, 2022 .