KENILWORTH – The Township of Wellington North is set to pay Robinson Farm Drainage (RFD) $1,953 for interest on a deposit they made for a tender for a project on the George Kirkness Drain last year.
The project involves deepening and widening the drain, which includes a new pipe under Highway 6 at the intersection with Sideroad 2 East and Sideroad 2 West.
The project was delayed for more than 17 months while waiting for a permit from the provincial Ministry of Transportation (MTO).
RFD withdrew its tender due to the delays.
According to a report about the payment, Robinson Farm Drainage initially requested $3,066, to cover 17 months of 6.1 per cent interest on their $34,054 deposit.
“Through negotiations, RFD has agreed to reduce the term to 11 months at 6.1%,” the report states.
The interest payment will be “assessed back to the MTO as its their road and their cause of the delay,” township drainage engineer Thomas Jackson told council during a Sept. 8 meeting.
“So it won’t increase the overall construction costs of the drain.”
The MTO has now issued a permit, and Jackson said he was in the midst of putting together a new tender package for the project, with the hopes of having that ready to send out to bidders by Sept. 19.
There will be two tenders, one for work in the Highway 6 right-of-way and one for the drain work.
