Winnipeg faces higher costs for street repairs
Both city and provincial government are spending more on infrastructure, officials say
Winnipeg city councillors heard good news and bad news today about road repairs — there are more projects in the works, but they will cost the city more.
The city is spending $84.2 million on street repairs this year, an increase of 170 per cent from 2013.
About $34 million of that budget has already been tendered, and city staff say they've noticed a 7.2 per cent increase in the costs of those tenders.
Transcona Coun. Russ Wyatt, who chairs city council's finance committee, said the increase is well above inflation, and he wants the construction industry to know that's too high.
"It has to be done in a fair manner," he said.
"We understand you have employees [and] wage pressures. We understand you have fuel costs. But at the same time, construction inflation of 7.2 per cent is starting to be excessive and not acceptable."
City staff say the cost increase is partly because of the fact that the city and the provincial government are both spending much more on infrastructure these days.
Wyatt said the two levels of government have to better plan their road repairs together, and he wants to see consultations begin now on projects for next year.