By Cecilia Nasmith
Supply-chain issues, inflation and other economic pressures affect everyone, and that includes the budget for Northumberland County.
At the June Public Works Standing Committee of county council, committee members heard of three projects that cannot be completed within the amounts budgeted. Requests were made for some $188,000 in potential overruns to be covered by reserve funds and savings from previous projects.
Associate Director of Public Works Operations Adam McCue reported on the difficulties of purchasing a new pick-up truck for the Waste Services Division for use at Bewdley's Community Recycling Centre, citing the dearth of available vehicles and the resulting inability to get anything within the $55,000 budgeted amount.
The lowest suitable quote they got is about $700 over budget, taking into account the non-recoverable portion of the HST.
McCue's report anticipates being able to purchase a truck with as little as $5,000 in additional funds.
“However, given the current high demand for pick-up trucks and the volatility it has caused in priding for these vehicles, staff are seeking approval of up to an additional $10,000,” it said, adding that these funds could come from the Waste Services Division's capital reserve.
Manager of Infrastructure Dan Campbell reported on two works contracts that could not be done as budgeted
A contract to rehabilitate three culverts – two on County Road 2, one on County Road 45 – had an overrun of $31,387.36, taking into account the lowest bid plus other associated project costs. Campbell's recommendation was to cover that out of the $369,487.51 from a previous under-budget project, a shared County Road 42 project undertaken with Peterborough County.
Campbell also submitted a report on the contract for pavement-marking work whose lowest suitable bid was $146,769.36 over budget – a shortfall he termed significant, citing “supply-chain issues that are impacting both the completion of the work, operating of the equipment, and some of the input into the product.”
His recommendation is to fund the shortfall through savings that may be realized in the 2022 Road Operations budget and, if this is not sufficient, draw on the Transportation capital reserve as necessary.
