Constructing a new wastewater treatment plant biosolids storage facility has been a priority for Hanover for a number of years.
Unfortunately the estimated project cost has almost doubled from $1.2 million to $2.1 million.
This is because the scope of the project changed after it was determined that additional process, site works and electrical equipment are now required in order to comply with the new Ministry guidelines for sewage works.
Under the Ministry criteria the facility must have the capacity to store 240 days worth of sludge.
402,000 of $2.1 million project will be covered by government grant dollars.
The grant allocation was based on Hanover’s original estimate of $1.2 million.
Mayor Sue Paterson says the Town has no intention of delaying the project in the hopes of securing more government grant dollars based on the increase in project cost.
She says it took three years and three applications before Hanover finally received government grant dollar approval for the project.
Paterson says while it would be great to receive more, she believes the Town is getting as much as it can get from the Ontario Community Infrastructure Fund and as such will move forward.
In order to offset the budget shortfall, Hanover will dip deep into its sewer reserve funds to cover the extra $1.1 million needed to finance the project.
This will leave Hanover’s sewer reserve fund at just $1.3 million.
Construction will begin immediately and take place throughout the Fall, break over the winter months resuming in early Spring with a completion date set for mid to late Spring.
The RFP process was awarded to Teviotdale company Wellington Construction Contractors Inc.