Emily Plihal
Local Journalism
Initiative Reporter
Peace River town council gave approval for an extra $400,000 to be transferred from general operating reserve to the 2024 overlay capital project at its regular meeting on May 27.
Typically, the public works department operating budget includes an amount in contracted services and supplies budgets to fix water break patches and other patches on road surfaces. The work is usually done with the annual capital overlay program to create cost efficiencies, but funded through operating budgets as patch repairs are considered general maintenance.
“This work had not been completed in the 2023 season and thus the unspent $400,000 from last year’s budget went into an operating reserve and is now being called into use as the work will fit into this year’s timeline and resources,” says Mayor Elaine Manzer.
“There are various areas around town with particular attention to gravel areas that had resulted from waterline breaks. Keeping up with this work annually helps to save more major work in the future.”
The 2024 operating budgets were not increased to complete the carryover work, causing a financial shortage needed to tendered contract and the carryover from 2023. This was the reason administration requested money be transferred from general operating reserve to allow more patches to be completed by the successful contractor.
“(Last year it was) tendered late in the season and construction didn’t start until late in September 2023,” explains Manzer.
“The contractor basically ran out of with good weather last year to finish the base work and do the paving to an acceptable standard. This type of maintenance work is important in (town) basically to keep the infrastructure in working condition and to prevent some issues becoming even bigger concerns and more costly in the future.”
Manzer expects the contracted amount for 2024 paving work to be $1.24 million, inclusive of engineering, testing, and construction budgets.
“We are not currently planning on cutting scope, that’s why administration recommended transferring money,” she says.
“Without the transfer we would be cutting and adjusting project scope to fit the budget. If there are some patches missing, it’s because we, specifically myself, were unaware of them when kicked off design.
Manzer says there will be some patches that are created this year during construction by the public works team.
“Construction work was publicly tendered in April and depending on when contract documents are finalized and kick off occurs there are approximately nine weeks of construction,” she explains.
“The contractor should be able to complete all work and landscaping by end of September by 2024; however, we are hoping they are done sooner (end of August) as some of the work is near schools and rec facilities.”