New road maintenance contract could save $1.5 million
Out of four tender submissions received, Downer was awarded the contract which incorporates a number of individual contracts - including chipseal resurfacing, linemarking, footpath upgrades and vegetation control - into one.
The contract will run from 1 July 2015 to 30 June 2018, although two 12-month extensions could be granted at Council’s discretion to a maximum term of five years ending 30 June 2020.
Downer’s tender came in at just over $1.5 million less than the estimate of roading maintenance costs for the three-year period. This saving is made up of $513,503 operating expenditure and $1,077,530 capital expenditure and will be reflected in updated Long Term Plan budgets.
“These savings show Council is managing public funds wisely which is part of our overall strategy to make ratepayer dollars go further and contributes to having a thriving district,” Mayor Ross Church says.