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High bids delay utilidor repairs Costs skyrocket for infrastructure improvements in High Arctic community
Danielle Sachs
Northern News Services
Published Monday, June 3, 2013
QAUSUITTUQ/RESOLUTE
Tenders for the new utilidor system in Resolute were cancelled this month after the lowest proposal came in 30 per cent higher than the estimated cost of the project.
"We received two bids and the lower bid of the two was 30 per cent over the estimated cost, or close to $20 million over the estimated cost of doing the work," said Community and Government Services Minister Lorne Kusugak.
The tenders closed at the end of April and asked for proposals to rehabilitate the water treatment plant, replace water and sewer mains and construct a new wastewater treatment plant.
The current utilidor system was installed in the early 1970s but sections have been replaced over the years. It had an estimated life span of 20 years, but repairs have kept the utilidor up and running.
In 2011, the federal government announced an investment of $30.2 million to build a new system in the High Arctic community.
Originally, the work on replacing and building the utilidor system was set for over five years.
"Right now, our department is going over the whole issue in Resolute Bay," said Kusugak. "We're trying to find the best solution at this time and that will take time to do, to try and figure out what it is we could do in the community of Resolute Bay."
The investment into a new utilidor system came after residents raised concerns over switching to trucked water and a new utilidor system was expected to cost around $30 million.
It's a huge combined federal and territorial project, said Quttiktuq MLA Ron Elliott.
In last year's capital budget, $32 million was set aside for the utilidor system. But the increase in costs has put the planned construction start of 2013 indefinitely on hold.
"At this time, our department is taking a look at the process. We're reviewing what to do next or what steps we need to take to see if that project can go ahead," said Kusugak.
Currently, most of the communities in Nunavut are on a trucked water system, except for larger hubs like Iqaluit and Rankin Inlet.
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