City Council approves interchange projects $29M under budget

City Council yesterday awarded a contract to build two much-needed road interchanges at McOrmond Drive/Highway 5 and at Boychuk Drive/Highway 16.  The tender closed at $29 million less than the estimated cost.

“Keeping people and goods safely moving around in Saskatoon is a key priority,” says Jeff Jorgenson, General Manager of Transportation and Utilities.  “We are proud that the City and city developers have a funding strategy in place to help move these projects forward, and we are also thankful to the federal and provincial governments for their contributions towards the Boychuk/Highway 16 interchange.”

Council approved a tendered award of $56.7 million at its meeting yesterday afternoon. PCL Construction Management Inc. is the successful builder following an independently monitored competition between three companies.

The Saskatoon Interchange Project has bundled these two interchanges together as a way of reducing overall costs of construction.

The McOrmond Drive/College Drive interchange is fully funded by land developers. Saskatoon is unique in the province, in that it self-funds a significant portion of interchange costs through development levies rather than taxation.

The Boychuk Drive/Highway 16 interchange is funded by both federal and provincial governments, development levies and developer contributions.

“This award has no positive or negative impact on the 2017 civic operating budget,” Jorgenson says.  “The capital cost of these projects is funded through development levies, developer contributions, and other orders of government.”

Construction will start in early 2017 with substantial completion currently targeted for October 31, 2018 for McOrmond/College Drive and July 31, 2019 for Highway 16/Boychuk Drive.