1 [Type the document title]
Capital Works
Monthly Review
February 2019
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Capital Works Monthly Review > February 2019
OVERVIEW .......................................................................................................................... 3
SAFETY .............................................................................................................................. 4
1.1. Incidents and Injuries ................................................................................................. 4 1.2. Lost time Injuries & Days Lost ................................................................................... 5
CAPITAL PROJECT UPDATES ................................................................................... 6
2.1. Capital Summary Report ........................................................................................... 6 2.2. Financial Performance ............................................................................................... 6 2.3. Capital Projects Status .............................................................................................. 8 2.4. Key Contracts Approved for February ........................................................................ 9
MAJOR PROJECT UPDATES..................................................................................... 10
3.1 Resource Centre of Excellence ............................................................................... 10 3.2 Mackay Regional Sports Precinct ............................................................................ 11
ROADS & TRANSPORT PROJECT UPDATES ...................................................... 13
4.1 Camilleris Road Causeway Reconstruction ............................................................. 13 4.2 Bakers Creek Ferris Gully Ch 3350-4200 Landscaping Works ................................ 15
WATER & SEWERAGE PROJECT UPDATES ........................................................ 17
5.1 60080-rwi-New Eton Bore ........................................................................................ 17 5.2 Sewer Renewals - Replacement: Mackay and Sarina ............................................. 19 5.3 Mirani STP Effluent Storage Expansion ................................................................... 20
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Capital Works Monthly Review > February 2019
OVERVIEW
This report is for Capital Works Department activities during the month of February 2019. Significant
items in this period include:
• The safety of our staff, contractors and the public continue to be our top priority. In February the
Department recorded four incidents, one (1) relating to the injury of Mackay Regional Council (MRC) employee and three (3) relating to asset damage. Given the high potential of MCR injury incident the Safety Department in conduction with the Capital Directorate has initiated an internal investigation to assess the root cause and look at ways to ensure adequate controls are in place to mitigate the risk for future works.
• For the month of February $6.1M of work was completed. YTD expenditure is $76.2M against a YTD forecast of $79.2M representing a 96.2% completion rate.
• Continued wet weather has again impacted progress on several projects with measures being put in place where possible to recover lost time.
• Eton water supply improvements are operational delivering softer water to Eton residents.
• Mackay Regional Sports Precinct works are substantially completed for forecast opening of the 9th
March 2019.
• Lamberts Beach NDRRA works has commenced and Midge Point works continues on schedule.
Stewart Furness Director Capital Works
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Capital Works Monthly Review > February 2019
SAFETY
1.1. Incidents and Injuries
The incident statistic details a summary of the Capital Works safety incident performance. Capital Works
aspires to achieve zero harm with a stretch target of zero injuries
February 2019 Summary:
One (1) injury to a MRC employee was reported in February:
• A worker who was undertaking work on the edge of an excavation that was barricaded with plastic fencing sustained minor bruising and grazing when they came into contact with a close passing MRC truck.
➢ Recommendations from the investigation into this incident are being implemented in order to
improve safety on worksites involving excavations and heavy plant.
Three (3) asset damage incidents were reported in February:
• A truck and trailer parked near a gate entrance to fill a water pod hit and damaged the gate, when the gate sensors didn't detect the trailer was still within the closing area.
• A truck being reversed into a driveway hit and ran over a letterbox.
• A passing non-staff member vehicle flicked up a rock, hitting and damaging the windscreen of a MRC truck.
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Capital Works Monthly Review > February 2019
1.2. Lost time Injuries & Days Lost
Capital Works aspires to achieve zero Lost Time Injuries by improving safety performance by developing
a proactive safety culture and implementing best practice safety management across all business areas.
00 0
1
2
3
4
5
0
1
2
3
4
5
2018-19
CW Total Days Lost CW Total LTIs
Department 2018-19
Contract Management
Major Projects
Project Management Office
Transport & Infrastructure Projects
Water & Sewerage Projects
Design Services
Capital Works Total 0 0
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Capital Works Monthly Review > February 2019
CAPITAL PROJECT UPDATES
2.1. Capital Summary Report
The delivery of the 2018/19 capital program remains a significant focus of Council. The following capital
information provides a financial summary of the status of delivery against our baselined budget position
and includes the outcomes, of the recent December budget review.
The original budget was adopted by Council in July. This was amended in August to take into account
carryovers and other adjustments. Further adjustment to the capital program has occurred as part of
budget reviews carried out in September and December. To date, an amount of $13M has been deferred
to future financial years. Overall the approved budget has decreased by $10.4M comparatively to the
original budget (including carryover).
The 2018/19 capital works program is made up of a total of 506 projects with a current approved budget
of $135.6M. Delivery for the capital program is on track with 96% of the forecast YTD spend being
incurred.
2.2. Financial Performance
The table below summarises the year to date financial summary for the 2018/19 Capital program.
The ~$1.8M variance between the approved budget and the current forecast is mainly attributable to the
following:
• Reporting timelines - $1.7M of new projects approved as part of the December Quarterly Review are
not reflected in the current forecast as the forecasting process was completed prior to the December
quarterly approvals. (Major Contributors – BSIP Mackay Stage 2 Construction, Stormwater Relining
Design and the Mackay Tourism Kiosk). This will be rectified as part next month’s reporting.
Department
Original Budget (inc
Carryover) Approved Budget Current Forecast YTD Forecast YTD Actuals
% Spent of
YTD
Forecast
% Spent of
Approved
Budget
Major Projects 51,812,995 47,253,294 46,441,916 32,099,339 30,641,878 95.46% 65%
Waste 410,653 649,359 416,400 250,754 312,645 124.68% 48%
Water 12,320,613 12,831,834 14,479,020 5,454,162 5,221,899 95.74% 41%
Sewerage 15,967,464 15,137,699 14,039,816 6,520,833 6,232,990 95.59% 41%
Corporate Revenues and Expenses 2,000,000 2,000,000 2,000,000 0 0 0.00% 0%
Works For Queensland Round 2 Funding Project 7,126,380 6,957,380 7,193,120 5,543,319 5,471,420 98.70% 79%
NDRRA 9,339,749 9,843,544 9,856,429 2,397,756 2,940,355 122.63% 30%
Transport and Infrastructure Projects 47,090,654 40,950,045 39,385,398 26,934,537 25,395,526 94.29% 62%
Total 146,068,508$ 135,623,154$ 133,812,098$ 79,200,699$ 76,216,713$ 96.23% 56.20%
Capital Expenditure 137,309,142 126,009,385 124,386,264 76,804,812 73,562,761 95.78% 58.38%
Operational Expenditure 8,759,366 9,613,770 9,425,834 2,395,888 2,653,952 110.77% 27.61%
Capital Projects Expenditure 2018/19February 2019
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Capital Works Monthly Review > February 2019
Capital Expenditure Forecast 2018/19
As at 28 February 2019, $76.2M of work has been completed.
The main variances between actuals and forecast for the month are identified in the below table.
Project Description Comments Variance
10390 Plant & Equipment - Replacement Program
Delays to several plant replacement items. These include larger plant such as a several trucks and a forklift where supply and weather issues have caused delays. Also, several light vehicles have been delayed and are expected to be delivered in early March. -$685,039
56006 Baxter Dr Extension to Tamron St
Contractors onsite works disrupted due to wet weather. Claim significantly less than anticipated. Forecast will be amended to reflected new works program. -$416,395
73040 Mirani Liquid Stream Upgrade
Contractor delayed commencing while contractual issues were addressed so have not progressed as anticipated. Revised program and cashflow have now been provided and will be reflected in future forecast. -$313,382
56059 Milton St/Boundary Rd Intersection - Signalisation & 4 Lanes
Project expenditure adjusted as a result of an over accrual in the prior month for service relocation costs. Project expenditure is now realigned.
-$283,711
60080 RWI-New Eton Bore Project expenditure adjusted as a result of an over accrual in a previous month. Project expenditure is now realigned with program of works. -$255,388
Improvement initiatives / focus areas
Several safety incidents occurred during the month and this has initiated a re-focus for the department on
safety, particularly the link between heat and fatigue. Crews are trialling cooling head scarfs as well as
increased small breaks during periods of excessive heat. This, combined with additional safety focus during
tool box talks, has raised the awareness and is a good example of our staff pro-actively managing safety
risks. At the department Workplace Health and Safety committee meeting an initiative to invite a different
field crew to each meeting was agreed with the aim of providing all staff a further opportunity to provide
safety input.
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Capital Works Monthly Review > February 2019
2.3. Capital Projects Status
The above graph shows the status of capital projects as at the end of February 2019. Please note the
completed projects can include projects commenced in prior years which were finalised in July and includes
projects with carryover expenditure. The following list identifies the projects marked complete in during the
month.
Description
Budget Approval
Year
Total Project
Costs
SES Building Upgrade - Ness Street 2016 $1,976,441
Botanic Gardens Shade Sail Replacement 2019 $15,457
Beach Outlet Creation at Cod Hole 2015 $3,112,474
Horse and Jockey Rd - Lansdowne Rd HEADAD $65,532
W4Q2 - Drainage upgrades - Hampden Court W4Q2 $129,403
Lucas Paddock Rd, Pinnacle - Culvert replacement 2018 $254,866
Land Acquisition - Ferris Gully - 3350 to 4200 2015 $6,137,569
Nebo Rd WTP - light pole repairs HEADWT $12,369
Marian WTP Chemical Dosing Hose Replacement HEADWT $5,827
Nebo Rd WTP Washwater Pump Replacement HEADWT $8,934
Main PRV valve replacement - Alligator Ck 2019AMD $8,037
SWRF Chemical Dosing Pipework Replacement (Alum/Caustic) HEADST $23,949
Shade Sail Replacement - Community Areas 2019AMD $11,019
Blacks Beach Park 2018 $209,102
W4Q2 - Roadwork/parking upgrades - Casey Avenue W4Q2 $1,207,675
Land held for resale YEARLY $11,517
SPS - Schmidtkes Rd Pump Station 2010 $3,214,127
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Capital Works Monthly Review > February 2019
2.4. Key Contracts Approved for February
A list of key contracts that have been finalised and approved for the month is given below. In total these
contracts are valued at ~ $1,218,653 for February 2019. There are smaller packages of works (not included
below) and ancillary contracts that have also been awarded for the month of February linked to capital.
Contract Design /
Construction
Amount
Award
(ex GST)
Contractor
MRC 2019-049 Construction of Sarina
Wash Bay
Construction $ 53,912.00 Dowdens Pumping and
Water Treatment
Quote 2019-050 Shakespeare Street
Drainage
Design $ 53,510.00 AECOM Australia Pty Ltd
Quote 2019-052 Northern Beaches
Community Hub
Design $169,700.00 Ethos Urban
Quote 2019-054 Rocky Waterholes
Culvert Replacement
Construction $175,281.00 Seaforth Civil Pty Ltd
Quote 2019-059 Mackay Waterfront
PDA - Electrical, Lighting,
Telecommunications
Design $ 61,815.00 SPA Consulting Engineers (QLD) Pty Ltd
Quote 2019-064 North Mackay Rotary
Lookout
Design $ 63,450.00 Bold Architecture and Interior Design Pty Ltd
Quote 2019-066 River and Rain Alert
Stations
Design $50,320.00 AECOM Australia Pty Ltd
SQ 2019-024A Pratt Street WMR Works
– Concrete restoration works
Construction $42,419.00 Beagle Boys Constructions
SQ 2019-026 Louise Street, Mirani –
concrete restoration works
Construction $48,246.00 Beagle Boys Constructions
Total $1,218,653.00
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Capital Works Monthly Review > February 2019
MAJOR PROJECT UPDATES
3.1 Resource Centre of Excellence
Project Overview
Activity Delivery Start
Date
Completion Date
% Complete
Detailed Design External March 2019 May 2019 0
Construction Procurement
Contracts May 2019 June 2019 0
Construction External July 2019 January 2020 0
Finalisation External January 2020 0
The objective of The Resource Centre of Excellence (RCoE) is to provide a world class training centre of
excellence for the resource sector to be located at 65 Crichtons Road Paget. The project will involve the
construction of a large industrial shed, extending to a covered hardstand area at the rear of the building.
The industrial shed will have adjoining building housing office space, training rooms and laboratories. A
carpark, site service infrastructure and landscaping will also be included. The industrial shed will house
an Underground Mining Simulated Training Facility (UMSTF) for use by the resources sector.
Recent Project Activities
✓ The project currently has an estimated budget of $7.5M, awaiting costings from Detailed Design
package
✓ Tenders are currently being assessed for the Detailed Design
✓ Consultant has been engaged for Geotechnical Survey
✓ Council continues to liaise with the Resource Industry Network (RIN) to scope the end user
requirements
1600m2 hardstand under
cover (secured/enclosed
by fencing)
Photo 1 – Conceptual Site Layout for the RCoE
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Capital Works Monthly Review > February 2019
3.2 Mackay Regional Sports Precinct
Project Overview
Activity Delivery Start
Date
Completion Date
Budget Actual
to date
% Complete
Preliminary Design External 01/03/17 30/09/17
$23,798k $23,349k*
100
Detailed Design External 13/11/17 01/06/18 100
Construct External 19/12/17 16/01/19 98
Commissioning External 04/12/18 Feb 19 98
Projected Facility Opening
Mar 19 0
*includes projected February claim Recent Project Activities
✓ Pool Plant Building complete & staff training has been undertaken;
✓ LTS Pool complete, pool covers installed;
✓ 25m Pool complete, lane ropes & pool covers installed;
✓ 50m Pool complete, lane ropes & pool covers installed
✓ Aquatic Change Room complete;
✓ Aquatic Café/Reception complete and principal supplied equipment installed;
✓ Athletic Café complete and principal supplied equipment installed;
✓ Additional Shelving throughout the complex installed;
✓ Grandstands assembled & installed;
✓ Shade Pods assembled & installed;
✓ Commonwealth Games Legacy equipment relocated to Athletic Storage Shed;
✓ Athletics clubs relocated their equipment to Athletic Storage Shed;
✓ Carpark line marking complete;
✓ Event Lighting installed & tested;
✓ Concreting of all pathways complete;
✓ Landscape furniture installed
✓ Soft Landscaping & irrigation underway.
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Capital Works Monthly Review > February 2019
Photo 1 – Drone shot of Complete MARC Site
Photo 2 - Overhead view of Athletic Track
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Capital Works Monthly Review > February 2019
Photo 3 - 25m Pool under lights
ROADS & TRANSPORT PROJECT UPDATES
4.1 Camilleris Road Causeway Reconstruction
Overview
Camilleris Road Causeways Reconstruction project is funded by Queensland Government’s Works for
Queensland (Round 2) program. Major project works includes upgrade of two causeways to improve flood
immunity and accessibility for the residents living along Camilleris Road.
The driver for the project was direct representations from the residents to Councillors highlighting risk and
access restriction during rainfall especially for medical reasons and for picking up their children after
schools.
Project Overview
Activity Delivery Start Date End Date Budget Actual % Complete
Design Internal 01/10/2017 01/03/2018 $67,000 $67,000 100%
Construction External 09/07/2018 01/02/2019 $1,177,800 $1,065,000 100%
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Capital Works Monthly Review > February 2019
Recent Project Activities ✓ All site works completed.
✓ Side tracks on both causeways removed.
✓ Landscape establishment ongoing.
✓ Practical completion granted on 1 February 2019 after the submission of as-constructed and
finalisation documents.
Figure 1 – Causeway 1 after early January rain.
Figure 2 – Causeway 2 after mid-January 2019 rain
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Capital Works Monthly Review > February 2019
4.2 Bakers Creek Ferris Gully Ch 3350-4200 Landscaping Works
Overview
Bakers Creek Ferris Gully Ch 3350-4200 Landscaping Works (North of Schmidtkes Road and south of
Sports Precinct) project is part of the “Bakers Creek Stockroute Road East” (BCSRE) Catchment
Stormwater Trunk Infrastructure. It consists of a low flow open channel stormwater drain designed using
the principles of water sensitive urban design (WSUD). Initial works involved the channel excavation and
these works are for the landscape/revegetation works as part of the water quality management system.
The project aligns with Council’s strategy to address trunk drainage requirements for the ultimate
development of the Bakers One Catchment providing an appropriate level of service and flood immunity
for land and property during weather events (up to 100-year ARI event).
Project Overview
Activity Delivery Start Date End Date Budget Actual % Complete
Design External 01/03/2016 01/02/2017 $300,000 $300,000 100%
Construction (land acquisition, earthworks and drain)
External 09/07/2018 30/12/2018 $4,049,000 $4,049,000 100%
Landscaping External 15/02/2018 28/02/2019 $2,305,900 $2,332,100 98%
Recent Project Activities
✓ All amelioration and topsoil work complete.
✓ Coir matting installed and planting complete.
✓ Turf 95% complete. Wet weather delay in turf laying. The remainder of the turf to be laid by the end
of Feb 2019.
✓ Irrigation system installed and operational.
✓ Project Revised Practical Completion due 28 Feb 2019, due to pending items as remainder of the
turf placement and time required for re-review of the plant numbers design vs. as-planted.
✓ Maintenance period of 18 months to commence after the Practical Completion. Maintenance
Management plan to be submitted by the contractor for review and approval by MRC.
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Capital Works Monthly Review > February 2019
Figure 1 – Control line B- After rain end of Jan 19.
Figure 2 – Ferris Drain control line A-looking north from Schmidtkes Rd.PDATE E
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Capital Works Monthly Review > February 2019
TER & SEWERAGE PROJECT UPD ATES TER & SEWERAGE PROJECT UPDATES
WATER & SEWERAGE PROJECT UPDATES
5.1 60080-rwi-New Eton Bore
Overview
Mackay Regional Council (Council) manages water supply schemes for several small townships within the
region including Eton. These water supply schemes generally consist of raw water drawn from bores, a
water pump station, chlorination system, treated water storage and reticulation network.
Following engagement with the Eton community in late 2016 the aesthetic water hardness was identified
as a key concern to which Council made a commitment to find a solution. The proposed project works
includes a new production bore drilled to access better quality water from a shallow aquifer and direct
treatment with raw water being softened with the use of an ion exchange softening process. In addition to
this, chemical dosing equipment to bring about PH correction/adjustment will also be installed.
The geotechnical investigations, trial bores and construction of a new production bore were completed in
May 2018.
Project Overview
Activity Delivery
Start
Date
Completion
Date Budget Actual %
Complete
Project Management & Supervision
Internal 1/07/2017 31/06/2019 $43,615 $37,043 90%
Internal Design - Bore and Treatment Plant
Internal 1/07/2017 31/07/2018 $68,809 $63,709 100%
External Design - Bore and Treatment Plant
External 1/10/2017 21/11/2018 $132,768 $132,768 100%
Bore Construction External 12/02/2018 15/05/2018 $169,550 $169,950 100%
Treatment Plant Design and Construct and Commission
External 18/06/2018 01/12/2018 $875,850 $822,736 95%
Additional funds have been obtained from 55277- W4Q2 Koumala Water Upgrades W4Q2, increasing the
Construction Contract Budget to $875,850.
Contractor claims are milestone linked and not progressive, with the 90% milestone reached in late mid-
February. The Contractor will be eligible to claim outstanding milestone once proof of performance testing
results is submitted and any defect rectification is complete.
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Capital Works Monthly Review > February 2019
Recent Project Activities
✓ Works on some minor Civil works within the site enclosure delayed by wet weather but all complete
by end of February including gravel surfacing.
✓ All electrical supply works are complete, and all electrical equipment and instrumentation installed,
commissioned and connection to the Council telemetry network complete.
✓ From the end of January, the new softening plant was operated continuously, with Network operators
continuing to optimise plant operating parameters to achieve the best possible water hardness
values. Eton’s water is now within the Australian Drinking Water Guideline values. ✓ Driveway access improvements details being finalised with TMR. This work expected to be
completed by internal resources before end of the FY.
Figure 1 – Bulk Salt unloading crane
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Capital Works Monthly Review > February 2019
Figure 2 – Containerised treatment plant and salt unloading crane in position.
5.2 Sewer Renewals - Replacement: Mackay and Sarina
Overview
As a part of maintaining the condition of the sewer reticulation network, Mackay Regional Council has a program to inspect its gravity sewer mains through Closed Circuit Television (CCTV) works. CCTV work undertaken has identified several sewer mains that require repair works. The most cost- effective approach to sewer renewals is to insert a structural liner into the existing sewers which restores the sewer to as new condition. Relining has the added benefit of sealing all pipe joints reducing the ingress of groundwater which is a major component of inflow and infiltration that leads to surcharging within the sewerage networks. The intent of the Contract is to rehabilitate assets by “no dig” methods via in-situ lining of deteriorated sections of gravity sewer to restore the structural integrity, hydraulic capacity and efficiency of the network. This rehabilitation constitutes a key part of the efficient and systematic management of the sewer system by minimising replacement costs and minimising the risk of emergency repair costs, damage to property and the receiving environment and related service disruptions. The sewer repair sites are located at various sites within the Mackay and Sarina regions. The methods of repair include junction sealing and both point patching and full relining. The works include all necessary customer consultation, CCTV inspections, relining, clean up, removal of all construction items, and the restoration of property and other related work where required.
• 21.3 km of CCTV inspection in Mackay
• 3.4 km of sewer relining in Sarina (part funded by W4Q2)
• 8.9 km of sewer relining in Mackay
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Capital Works Monthly Review > February 2019
The works have been Contracted to Interflow Pty Ltd for relining commencement in November 2018. Project Overview
Activity Delivery Start
Date
Completion Date
Budget Actual % Complete
Project Management incl, Supervision and internal Design
Internal 01/07/2017 31/07/2019 $167,555 $109,039 65%
Sarina (W4Q2) Construction
External 24/10/2018 28/02/2019 $493,664 $487,000 98%
Mackay Construction incl. Sarina works cross subsidy
External 24/10/2018 28/06/2018 $2,308,298 $1,052,315 45%
Construction Internal 01/07/2017 28/06/2019 $22,240 $2,440 10%
Recent Project Activities
✓ Relining pipe installation is 100% complete in Sarina (Package A) with the remaining works – only 1
Junction Seal is outstanding.
✓ Sewer pre-cleaning and CCTV inspections commenced in Mackay in the 3rd week of November 2018
and pipe relining commenced on 3 December 2018. Some days lost to rain delay through December,
January and February, however works generally progressing well with majority of large diameter
main relining complete by end of February. An extension of time claim for Package A & B is currently
being assessed (due to wet weather and an increased numbers of Junction Seals) for a revised date
for Practical Completion of 24 March 2019.
✓ The Contractor is planning to commence the 3rd and final package of works (C) earlier than was
expected and may be finished earlier than what was previously scheduled – late May versus by 30th
June 2019.
5.3 Mirani STP Effluent Storage Expansion
Overview
License conditions for the Mirani Sewerage Treatment Plant only allow for wet weather discharges from
the existing 60ML effluent storage dam when a dilution rate of 5:1 is achieved in the adjacent cane drain –
this is generally only when there is a significant rain event. Under current inflow conditions, the 60ML dam
frequently reaches capacity due to the restrictions on discharging and the existing recycled water users
(the adjacent cane farm and the Pioneer Valley Golf Course) having limited capacity for use. A water
balance assessment concluded that, to limit the risk of out of license discharges, storage capacity needed
to be increased from 60ML to 360ML.
This project is being partly funded by the State Government through the Local Government Grants and
Subsidies Program and incudes construction of a new 300ML effluent storage dam as well as a transfer
pump station at the existing 60ML dam and a pipeline between the two dams.
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Capital Works Monthly Review > February 2019
Project Overview
Activity Delivery Start
Date
Completion Date
(Target)
Budget Actual % Complete
Project Management
Internal 01/07/2015 (01/12/2019) $221,000 $171,466 97%
Land Acquisition Internal 11/10/2016 22/12/2017 $400,000 $359,500 100%
Design External 16/10/2017 19/03/2018 $115,000 $146,250 100%
Construction External 20/06/2018 (22/11/2018) $3,206,000 $2,978,056 98%
Recent Project Activities
✓ Commissioning of pump station with mains power completed early February. Contractor addressing
a few minor defects identified at the commissioning. Transfer pump station and new dam now
available for operations.
✓ Energisation of the switchboard adjacent to the farmer’s outlet at the Dam still outstanding. Ergon
has now promised this for mid-March 2019. This not impacting use of dam.
✓ Contractor addressing Council feedback on submitted “as constructed” documentation.
✓ Several minor issues identified at “On maintenance” inspection being attended to.
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