PICKERING: Walnut Lane extension – more than $1.1 million over budget

Walnut Lane extension, Pickering: more than $1.1 million over budget

Council approves extra funds:
Tenders came in over budget for a project that some residents say isn’t necessary

By Kristen Calis
Thursday, January 11, 2024

Pickering council has approved extra funds for the Walnut Lane extension, which will accommodate a new three-tower development.

Funding and its impact
At a special council meeting on Monday, Jan. 8, the council approved the $1.1 million recommendation by staff and chose to bump up the total allocated by another $148,000.

The $1.1 million will be funded by development charges (DCs) and the rest will come from another reserve account.

“There will be no impact to the tax base at all,” said Ward 1 Regional Coun. Maurice Brenner.

Tribute Development behind City’s road servicing program
The City of Pickering had previously entered into a road-servicing agreement with Tribute (Liverpool) Limited related to the construction component, which was expected to cost the city $8.4 million plus HST. Tribute is more or less acting as the contractor for the city.

Tribute plans a development consisting of three residential towers ranging from 46 to 53 storeys, and commercial space on the west side of Liverpool Road. The development requires public road infrastructure, which the staff report said includes the extension of Walnut Lane.

But when the project went to tender, bids came in at more than $1 million higher than budgeted by the city.

Councillor Brenner displeased
Brenner wasn’t pleased that a nearby multi-use path and lighting were removed from the Walnut Lane plans.

Director of engineering services, Richard Holborn, who will be the guest presenter at the Brenner-Cook Town Hall being held, on Jan. 15 at the George Ashe Community Centre, explained some items were removed from the plans to lessen the increase in cost and he added that they can be deferred, but Brenner said it wouldn’t help.

“We’re seeing it when we’re dealing with other projects,” Brenner said. “Costs will not go down.”

Other Councillors input
Ward 3 Regional Coun. David Pickles introduced a motion to add in the $120,000 for the multi-use path and an additional $28,000 for lighting to bring those items back into the plans.

Ward 1 City Coun. Lisa Robinson was the only member of council to vote against including those two projects. She also questioned why Tribute isn’t contributing to the cost, since it will benefit Tribute’s development.

“This is a city project,” Holborn said. “It was initiated by the city through the class environmental assessment. It’s been in the city’s official plan for a long time.”

City resident George Turner responds
Pickering resident George Turner spoke before the council and shared concerns about the additional cost, as he and some fellow residents do not believe the extension is needed in the first place. Turner said he is worried about the project’s controls and listed other projects that were coming in over budget and requiring more funding, such as the Pickering Heritage and Community Centre.

“It’s not a finance issue,” he said. “it’s an execution issue.”

Pickering Council Special Meeting January 8, 2024 Agenda Link Below

https://corporate.pickering.ca/WebLink/DocView.aspx?id=253493&dbid=1&repo=PICKERING

https://www.durhamregion.com/news/walnut-lane-extension-in-pickering-more-than-1-1-million-over-budget/article_8452f075-f380-5bd8-95ad-90ba647cd6e6.html

 

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