Water Treatment Plant Expansion

Today we received bids from three pre-qualified contractors for the Raymond A. Barker Water Treatment Plan Expansion project. This is an essential and urgent project for Collingwood, New Tecumseth, and the surrounding area. Without this plant expansion, we will have limited ability to build new homes or meet provincial housing targets.

As per our commitment to keep our communities updated with the latest information, we are sharing what we know so far.

The unofficial low bid received today was $212M for construction alone. The total project costs are now estimated to be in the range of $270M, and the timeline to complete the project has also been extended by about two years longer than originally projected.

This is shocking news. The costs are more than double the estimate from March 2022. We were also planning to have an expanded plant in 2026, not 2028.

When we received the estimates early last year, we knew they could change but did not expect increases of this magnitude. The global economy is still adjusting to a new post-pandemic reality. The water/wastewater and construction industries have been hit hard by ongoing supply shortages, increased construction costs, and shortages of skilled workers. These factors are out of our control, and other municipalities we have spoken with have experienced significant budget increases for similar projects. Staff have already been looking at every option to control costs and reduce the project timeline.

Our expansion project is shovel ready. It is the largest investment in Collingwood and New Tecumseth’s history and an enormous amount of work has happened to get us where we are today. However, our communities cannot fund the entire cost of the expansion.

Staff are investigating all options to finance this project, including contributions from the federal and provincial governments. We have already started engaging with provincial decision makers to discuss financial support. We are also developing an advocacy strategy for the upper tiers of government and will be asking our development communities to support us in these efforts. We are committed to finding a solution that gets the plant built quickly, and without subjecting our communities to financial hardship.

Staff in Collingwood and New Tecumseth are jointly studying the bids and projected timelines and will be completing a detailed evaluation alongside the consultant team. We look forward to their official report that will include the final projected costs and recommended next steps to our Councils before the end of November.

This architectural rendering is based on the proposed Water Treatment Plant design that is currently out for tender to 3 pre-qualified general contractors. Submissions are due in August and the Town anticipates having a contractor in place by early Fall, with work to begin shortly thereafter. Due to the complex nature of the project, the Town took an innovative approach to the Tender by pre-qualifying general contractors through an open market competitive process. These contractors have been involved during the design process commenting and providing input on constructability and contract challenges to improve the design and tender package.

In addition, one of the prequalified contractors, Kenaidan Contracting Ltd was awarded and has completed the installation of new UV filtration equipment on-site at the existing Water Treatment Plant. The plan is to commission this equipment in July, with the process taking 4-6 weeks to complete. This UV filtration will add another layer of disinfection to the drinking water system and allow operators to decrease the amount of chlorine used at the plant.

https://engage.collingwood.ca/water-treatment-plant-expansion/widgets/137772/videos/10196

Please enjoy a time lapse video rendering of the WTP Expansion

Please find the presentation from the Public Information Centre (PIC) held on Oct 26, 2022 below:

https://engage.collingwood.ca/13903/widgets/54061/documents/91521

A Public Information Centre (PIC) has been scheduled to provide an opportunity for all interested parties to review the design details of the WTP expansion and to discuss the project with the study team. The PIC has been scheduled as follows:

Date: Wednesday, October 26 2022

Time: 2:00PM - 4:00 PM & 5:30PM - 7:30PM

Location: Collingwood Library, Community Rooms B & C 55 Ste. Marie St, Collingwood, ON L9Y 0W6

Project Background

Following the completion of the Class Environmental Assessment planning process for the expansion of the Raymond A. Barker Water Treatment Plant (WTP), the Town of Collingwood has continued with the design of the Phase 1 expansion. A further expansion will be necessary to meet the Ultimate water supply requirements.

Project Scope

Phase 1 will increase the plant capacity from 32,000 to 59,000 cubic metres per day. The design includes interim installation of UV disinfection; a new membrane and UV disinfection building; expansion of the high-lift pumping facilities; repurposing the existing membrane building for additional chlorination, administration and storage; climate mitigation including site and shoreline improvements; and site features including public washrooms as well as Saugeen Ojibway Nation educational information, history and art.

The Town has retained the services of AECOM (in partnership with Ainley Group) to complete the design and contract administration of the Phase 1 WTP expansion.

The Raymond A. Barker WTP is located on Raglan Street. The accompanying map illustrates the proposed works currently under design.

Project Budget and Schedule

The opinion of capital cost of the Phase 1 expansion of the plant is $121 million. Funding for the Phase 1 expansion will be provided through the Town’s Allocated Water Reserve Fund (funded through water rates), Development Charges, and the establishment of Water Agreements with other municipalities.

Comments

Comments on the information presented at the PIC will be received until November 25, 2022. If you are unable to attend the PIC, presentation material will be available on the Town of Collingwood’s website at www.collingwood.ca as of October 26, 2022. To obtain additional information or to provide input, please contact either of the following members of the study team