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HRM to Move Forward With First Phase of Harbour Project
(Tuesday, July 15/2003)-- Halifax Regional Council is moving forward with the first phase of the Harbour Solutions Project.
Council approved the terms and conditions today of an Agreement with Dexter Construction Company Limited to design and construct the sewage collection system. The contract will also include the construction of roads, outfalls and diffusers at the three sewage treatment plant sites in Halifax, Dartmouth and Herring Cove.
The contract price is not to exceed $116 million (plus taxes and inflation), which represents savings of approximately $18 million for this segment of the Project only. The final form of the Agreement is to be reviewed and approved by the Halifax Harbour Solutions Advisory Committee, a subcommittee of Halifax Regional Council.
Mayor Peter Kelly, on behalf of Halifax Regional Council, said "The citizens of HRM have made it very clear that they want the municipality to get on with the job of cleaning-up Halifax Harbour. This Agreement puts HRM in a good position to implement the entire Project, well within the budget approved by Council last October."
Construction on the sewage collection system is expected to begin in the next few weeks.
Mayor Kelly said "HRM will proceed with the sewage collection system as the initial phase, while staff and Council undertake a review of the best means of implementing the remainder of the Project, within the allocated budget approved by Council."
In September 1998, HRM undertook a lengthy and detailed public Request for Proposals for the implementation of the Halifax Harbour Solutions Project. In October 2002, the municipality signed agreements with a private consortium, the Halifax Regional Environmental Limited Partnership (HREP), to design, build and operate the Harbour Solutions system.
However, last month HREP refused to implement the Project on the terms and conditions set out in the signed agreements. Dexter Construction Company Limited had entered into agreements with the consortium and was one of HREP's subcontractors in connection with portions of the Project.
George McLellan, HRM's Chief Administrative Officer, said " We are satisfied with the terms of the Dexter contract for the sewage collection portion of the Project. Staff will continue to examine the best and most appropriate means to proceed with the remaining portions of the Project. Staff will be returning to Council in late August with recommended options on how to proceed with the treatment plants."
Mr. McLellan also congratulated staff on its efforts during the past number of weeks to bring various recommendations to Council on how best to proceed with the Project.
"Staff have worked day and night to enable Council to move forward with its commitment and I want to express my thanks to the Project Team and our consultants," he said.
Mayor Peter Kelly
HRM Chief Administrative Officer