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Tuesday, October 4, 2022
Moo-ving rescue
Firefighters helped to save a cow stuck in mud up to its neck in Kyneton on Thursday. See story page 7.
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contracted to deliver them. Seven projects were identified that could cover the shortfall in the two projects including cutting some projects. Those to get axed for this financial year included: Lancefield and Woodend swimming pool changerooms, Kyneton Hurry Reserve Design and Planning, and Gisborne Shire Office roof design works. These projects will be considered for a future budget. Funding was also recovered from scheduled projects already completed, and those with a budget surplus. Mr Walden said a contributing factor to council's position was significant price rises across building materials during the 2021/22 financial year. The Master Builders Association reported that between March 2020 and March 2022, steel products increased by more than 40 per cent and timber products by over 20 per cent. Labor also increased significantly. "Another impact is the shortage of contractors," Mr
Walden said. A report to council revealed MRSC has experienced tenders where there was either only one response or zero responses and/or non-compliant tenders. Mr Walden said the council budget build process begins in October of the previous year. This means pricing is already outdated by nine months before the budget year starts. He said some infrastructure projects will not be tendered until more than 12 months after the initial estimates were set. "Officers allow a reasonable cost escalation on project costs, however, the cost increases experienced were outside this estimate," he said. Councillors voted 7-1 in favour of the officer recommendation. Cr Geoff Neil was the only challenger, stating "this not go without grief in the community". Cr Neil suggested the council could make up the shortfall in the next budget, however, councillors generally felt options had been "thoroughly considered".
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Cost blowouts and limited contractor availability have forced Macedon Ranges Shire Council to cut multiple budgeted capital works projects. Assets and Operations Director Shane Walden said some tenders were significantly higher than what officers had budgeted for. "Some tenders are coming as high as 30 per cent over budget," he told councillors last week. "This is not sustainable, and there is no budget to cover these unexpected increased costs." Mr Walden said over-expending the budget was not acceptable and choices had to be made. Projects were assessed based on grant funding with requirements, and immediate reliability and functionality concerns. Tenders significantly overbudget included those for Barkley Square resurfacing ($215,000) and Riddells Creek Recreation Room works ($120,000). Both were associated with grant funding and the council was