FOR one reason or another, the South Gippsland Shire Council is carrying forward $4 million in planned works from this year’s capital works budget.
The major contributions to this outcome are delays with the Mirboo North Pool redevelopment, the Jumbunna Road shared path in Korumburra and the Loch Streetscape.
And almost $800,00 worth of local roads reseal projects won’t be completed because, if you can believed it, of inclement weather, according to the shire’s principal contractor.
Income has decreased by more than $1 million from current budgets with the vast majority of this income now expected during the 2019/20 financial year.
The adjustments will have a favourable impact on the 2018-19 budget of $2.9 million.
Other projects that have been delayed or otherwise adjusted, impacting the 2018-19 capital budget include:
• Bena Kongwak Bridge, $413,000 carried forward. Even though the works on site are complete it won’t be signed off in the foreseeable future until the land is acquired from VicTrack. The shire is however hopeful of making savings on the land acquisition costs.
• Leongatha Gymnastics Extension: Reduce income budget by $40,000 and reduce expenditure budget by $205,000. This project has been delayed due to the Catholic Education Office not being able to get the necessary internal approvals. Recent advice is that tender documents are currently being prepared and the project will be carried forward to 2019-20.
• Poowong Netball Court Development: Reduce income budget by $61,250 and reduce expenditure budget by $187,500. The scope of this project was based on widening an existing court to make it compliant in size. During detailed design prior to the works going to tender, it was discovered that the existing concrete court could be deficient in terms of its thickness and reinforcement. This matter is currently being investigated by Council’s design consultant, but as a consequence, the works have been delayed.
• Toora Pool Renewal Program: Reduce income budget by $225,000. This income is for Stage 2 works which aren’t scheduled until the 2019/20 financial year.
• Baromi Park Masterplan and Associated Works: Reduce income budget by $180,000 and reduce expenditure budget by $50,000. Income budget of $45,000 has already been received from Regional Development Victoria (RDV). The balance of the $50,000 from RDV and all of the $200,000 from Sport & Recreation Victoria (SRV) is now expected in 2019/20. The $100,000 expenditure for 2018/19 is for the new public toilet. This work requires Council’s approval at the April 27, 2019 Ordinary Council Meeting.
• Korumburra Commercial Streetscape design. The construction works for the Commercial Street Streetscape are currently programmed for 2021/22 financial year. It was intended to commence the civil design work during 2018/19 and coincide this work with the detailed design work for the Korumburra Hub and civil works in the vicinity of Commercial Street. The detailed design works for the Hub are now not occurring until 2019/20 so the majority of the Commercial Street design budget is being carried forward accordingly.
• Loch Main Street Renewal: Reduce expenditure budget by $610,852. This project was brought forward to the 2018/19 financial year when the Bair Street project failed to obtain funding through the State Government’s Regional Jobs and Infrastructure Fund. Designs then needed to be prepared and the community consulted about the proposed works. The community consultation process was completed in January 2019 and the project tendered on 9 February 2019. A contract is expected to be awarded in early April 2019 with works likely to commence shortly thereafter. However, the bulk of the works will be completed in 2019/20 and the majority of the $710,852 budget needs to be carried forward.
• Leongatha Knights Soccer Club’s Lights and Pitch Upgrade: Reduce expenditure budget by $171,611. Similar to the Leongatha Gymnastics Extension, this project has been delayed due to Mary MacKillop Catholic Regional College not being able to obtain the necessary internal approvals. Council has already engaged a contractor to deliver the lighting component but this and the pitch works cannot proceed until the approvals are obtained.
• Footpath Extension Jumbunna Road, Korumburra: Reduce expenditure budget by $400,000. This project has been the subject of design challenges caused by encroachments into the road reserve at the northern end of the project, which was reported to Council in December 2018. More recently, it has been decided to compulsorily acquire land required for this project from the developer adjacent to and on the north side of the Korumburra Secondary College. This approach is now being taken rather than waiting for the land to be gifted to Council through the subdivision approval process, which is dependent on the developer. Based on current expectations, this is not expected to occur in the foreseeable future hence the decision to commence the compulsory acquisition process. This means construction will now occur in the 2019/20 financial year and the budget is being adjusted accordingly with $400,000 being carried forward to the 2019/20 financial year.
• Long Jetty Caravan Park Capital: Reduce expenditure by $230,000. Budgeted works on new cabins and an updated residence/kiosk have been postponed and these funds are to be carried forward to the 2019/20 financial year.
• Yanakie Caravan Park Capital: Reduce expenditure by $190,000. Similar to Long Jetty Caravan Park above, budgeted electrical works at the Yanakie Caravan Park have been postponed and these funds are to be carried forward to the 2019/20 financial year.
• Reseals: Reduce expenditure by $771,573. The contractor (Boral Asphalt) has recently advised Council that they will not be able to deliver the full Reseal Program this financial year due to lost time from inclement weather during their first visit to the site in March 2019, commitments to other clients, and the lateness in the sealing season. The current expenditure to date is $699,865 and a further $250,000 of work should be completed this financial year taking the expected expenditure to approximately $950,000. Therefore, the remaining funds of $771,573 are to be carried forward to the 2019/20 financial year to enable these works to be completed.