The Municipality of Grey Highlands is facing a significant increase in the cost of winter sand and salt for local roadways.
At its meeting on July 6, council approved a staff report that awarded the tender for winter sand and sale to Walker Aggregates and Construction for a total cost of $276,641.50 plus HST. The tender amount came in $134,110.39 over the $147,000 that was budgeted for the material.
“Given the high inflation in the market, and based on feedback from other municipalities who have recently gone to tender for the same product, the results of the tender call are not entirely unanticipated,” Municipal Services Technician Holly Cullihall said in a report on the tender. “A fuel adjustment clause was added to the tender in an effort to help neutralize impacts of inflation and rising fuel costs. Therefore, there may be a positive or negative effect on the final cost of this work.”
Staff recommended funding the extra costs from the winter maintenance reserve fund.
Deputy Mayor Aakash Desai noted that it is a prime example of why council puts year-end surplus amounts in reserve funds.
“The winter maintenance reserve is there for this purpose,” he said.
Mayor Paul McQueen asked if the delay in stocking the Feversham sand dome while it is being rebuilt had any impact on the overall price. Sand and salt won’t be delivered to the Feversham location until December.
Director of Transportation and Public Spaces Chris Cornfield said the later date for delivery didn’t have an impact.
“I don’t think it would have a bearing on the cost overall,” he said.
