Costs for three-phase power shocks Mapleton council and staff

It’s going to cost more than seven times as much as originally expected to extend three-phase power to the new Mapleton maintenance garage on Sideroad 16.

In a staff report at the Dec. 8 meeting, CAO Brad McRoberts explained the township was advised by Chamberlain Architects in April that in order to operate the fire suppression pumps and wash bay pumps at the new facility, three-phase power would be required.

Three-phase power is commonly used in industry and manufacturing because it can provide a consistent and efficient supply to large motors and other heavy loads.

Mapleton officials considered either generator-provided three-phase or a direct feed from Hydro One.

At that time the township was informed the rough estimate of the total cost would be $200,000 with the township and Wellington County’s share being $10,000 (the county is also building a maintenance garage at the site).

After a decision was made in conjunction with the county to proceed with a direct hook-up, a new estimate was provided by Hydro One on May 15. That estimate pegged the total cost at $220,000 and the township/county cost at $30,000.

On Nov. 20 a formal agreement on cost sharing was provided, placing the total cost at $249,948 and the township/county share at $72,384.

McRoberts noted in his report that after consulting with the township, Hydro One and the architects, the county had agreed to the additional cost.

“Although the cost would be split with the county there still has been a significant increase in cost. Chamberlain has been instructed to carry 50 per cent of this cost in their contingency,” explained McRoberts in the report.

“This does significantly reduce the contingency but there was no budget fund established for this significant cost increase … the cost increase has primarily been driven by additional forestry costs.”

McRoberts added, “Unfortunately we are at a stage in the project whereby we cannot reverse our decisions and revert back to a generator system.”

The net impact means the contingency fund for the project will be reduced from $238,788 to $202,595.

While township staff have expressed concerns to Hydro One, McRoberts said they are supporting the agreement based on discussions with county officials and various consultants.

“I found the information in this report absolutely mind-boggling,” said councillor Michael Martin. “I don’t know how a business can operate that way; we’re kind of at a point here with our maintenance facility where I don’t know what other options are left … there’s a huge jump in cost.”

Councillor Marlene Ottens  said, “I wonder, since it’s Hydro One we’re dealing with, is this final number a final number that we are dealing with, or in another few months will they say ‘Oops?’”

“I would suggest that signing the agreement would give us some sense that we’re in a normal agreement with a normal contract,” replied McRoberts. “Unfortunately, when you’re dealing with a monopoly in terms of hydro service you’re basically against the wall.”

Mayor Neil Driscoll said, “Unfortunately this puts us in the place of business and residences every day dealing with Hydro One. It’s unfair. They have us over a barrel and they know it.”

Council passed a resolution to receive the staff report and authorize the agreement.

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