Town council has given the green light to administration to send out tenders for the demolition of the sewage treatment plant buildings and facilities.
It’s the first phase of a three-phase project for the town that could ultimately take several years to complete at a final price tag of up to $12.5 million and create a new and critically important 56-acre industrial subdivision for the municipality.
Council unanimously approved an administration recommendation at its Feb. 8 regular meeting to move forward with a redevelopment plan and begin demolition at the sewage treatment plant and lagoon lands south of 37 Street.
The lands are being reclaimed as the sewage lagoons were decommissioned last year following the town’s full connection to the South Red Deer Regional Wastewater line.
Craig Teal, the town’s director of planning and operational services, said it’s hoped demolition for Phase 1 will start in early May.
“Before we have a contractor selected that is our anticipated schedule,” said Teal. “If they (contractor) can get in earlier we can get started earlier and that would be great.”
The project’s first phase will also include decontamination of the properties, and the realignment of a drainage ditch.
The second phase, which is also hoped to begin in 2016, will include removing 95,000 cubic metres of sludge. The third phase, expected to start in 2018, will create lots for the new industrial subdivision, along with the construction of new roads and infrastructure.
He said the town budgeted $1.6 million this year in the 2016 capital plan for the project, money from town reserves and grants from the Build Canada Small Communities Fund. The total cost for demolition and remediation of sewage sludge is about $4.5 million. One third of this amount must be covered by the town’s own resources as part of the grant matching formula with the provincial and federal governments.
As for the rest of the total $12.5-million cost for the entire project, Teal said it is anticipated that will be covered from future government grants or through the sales of properties from the newly created industrial subdivision.
“If they (contractor) can get in earlier we can get started earlier and that would be great.”