The cost of Burnside's new Halifax Water building went up one by one.

” The cost of Burnside’s new Halifax Water building went up one by one. “

A few months before the groundbreaking, the estimated cost of the proposed Halifax Water’s Helifax Water Treatment Center in Burnside has increased to over $89 million from the initial estimate of $37 million in February.

Halifax Water applied for approval from the Nova Scotia Utility and Review Board last week to spend $86 million on constructing a new 9,200 square meter facility on Janet Avenue. The cost will be reflected in future rates paid by customers.

Situated on a 5.6-hectare site, this building will consolidate four existing depots and bring 150 employees together when it opens in July 2026. The start of construction is scheduled for mid-2024. Spokesperson Jeff Myrick stated in a statement to CBC News on Tuesday, “This proposed operational facility will help Halifax Water address challenges and provide more effective services to our water, wastewater, and stormwater customers.”

Effectiveness will be expanded at the Burnside Activities Center by incorporating staff, assets, and administrations. There are right now four places where representatives are scattered: Central Avenue, Neptune Sickle, Park Road, and Bisset Street. Three of these areas require supplanting since they are drawing near to the furthest limit of their valuable lives.

A 71% Increase Since February

The cost increase is 71% higher than the estimated $52 million when regulators approved spending $2.75 million in February for Phase One design verification. Halifax Water says this growth is due to “a variety of factors, including significantly higher construction costs, new code requirements, and a larger building footprint.”

The structure and yard configuration has been improved through the plan check process,” Myrick explained. Any development in the structure size past what Halifax Water’s field-tested strategy calls for, after February 2023, might be owing to extra necessities or building regulation commands.

Halifax Water says it will borrow the money, which will be included in the capital budget over the next three years. These costs will be included in future rates over the long term. The impact is not known yet and needs approval from the Utility and Review Board.