Board Meeting: November 2014
Agenda Number: 12 (v)
File Ref: AI0037
LORD HOWE ISLAND BOARD
Business Paper
ITEM
Runway Resurfacing and Drainage Improvements
BACKGROUND
The resurfacing and drainage improvements of the airport runway are planned to occur in
May - August 2015, with a budget of $8 million available.
NSW Treasury have funded 50 per cent of the total cost of the project, with the remaining $4
million funding to be provided through the Department of Infrastructure and Regional
Development’s, Regional Development Australia Fund (RDAF).
In April 2014, GHD were awarded the investigation, design and environmental assessment
contract for the project at a cost of approximately $120,000. This investigation work and
concept design work has been completed.
The main recommendations from the design work included:
1. Placement of a 45mm thick asphalt overlay on top of the existing bitumen seal.
2. Grooving of the asphalt overlay.
3. Reconstruction of a failed section of taxiway pavement and replacement with pavers.
4. Reconstructing and deepening existing swale/table drains along the Blinky Beach
end and adjacent to Lagoon Road along the northern side of the runway.
5. Construction of a new box culvert under Lagoon Road opposite the Blinky Beach
parking area.
6. Maintaining the dune level for the drain at Cobby's Beach.
In September 2014, the Board noted the following closure periods for the runway in 2015:
1. Mon 15 Jun – Thu 18 Jun
2. Mon 22 Jun – Thu 25 Jun
3. Mon 29 Jun – Thu 2 Jul
4. Mon 6 Jul - Thu 9 Jul (Contingency)
CURRENT POSITION
QantasLink
Discussions have been ongoing with QantasLink regarding the design work and the flight
schedule interruptions during the work. This has recently been resolved with the following
arrangements during the 4 week asphalting works:
1. No scheduled flights Monday through Thursday inclusive.
2. Monday mornings available as a contingency for cancelled weekend flights.
3. Two scheduled flights each day on Friday, Saturday and Sunday, using 2 aircraft
landing approximately an hour apart.
4. No change in the number of weekly seats to the Island.
Once the asphalt is laid, the new surface needs to harden over an 8 week period, before the
grooves can be cut. The grooves are important in draining water from the surface and
providing skid resistance for aircraft. During construction and the 8 week hardening period,
there is the potential for flights to be unable to land or takeoff during or immediately following
rain, as the new asphalt surface will not provide sufficient skid resistance. A methodology for
managing this will have to be established prior to construction.
Environmental Assessment
The project is considered to be maintenance work and therefore is exempt development
under the LEP and does not require consent. However, to assess and manage the potential
environmental impacts, a Review of Environmental Factors (REF) document has been
prepared. As well as the typical construction impacts, the REF will pay particular attention to
the following activities:
 Landing of barges on Cobby's Beach
 Noise from the works, particularly if night-works are required.
The draft REF will be provided to Marine Parks for comment prior to finalisation.
GHD are currently undertaking the following activities:
 Management of an Early Contractor Involvement process
 Preparation of a Quantity Surveyor cost estimate
 Detailed design drawing and documentation
 Preparation of contract documentation
Early Contractor Involvement
The purpose of Early Contractor Involvement (ECI) is to involve potential contractors in the
design process, prior to issuing of a Tender, so that their experience can be incorporated
into the documentation and the potential for delays and variations is reduced. GHD are
approaching four contractors to seek their opinions on:
1. The feasibility of the project schedule.
2. The pros and cons of night-work for the asphalting works.
3. The area required for material storage, equipment and site sheds.
4. The pros and cons of separating the aggregate supply from the main construction
contract.
Cost to Complete Estimate
Since appointing a Quantity Surveyor (QS) in late June, GHD and Board staff have been
working to achieve a realistic cost estimate for the project. A new QS has recently been
appointed to accelerate the work and we are awaiting their cost estimate for the project.
Barging
The Board has received interest from three barging companies for the work, one of whom
has visited the Island to understand the realities of the project. Following the ECI, the
method of contracting will be confirmed.
If the aggregate supply is separated from the main construction contract, the following would
occur:
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A contract could be let and aggregate importing could commence sooner, thus
avoiding the worst of the winter weather and reducing pressure on the project
schedule.
The aggregate would be stored on the Island for longer and visible during the peak
season.
Board staff would have to manage two contractors instead of one.
The main construction contractor may claim that construction defects are due to the
aggregate supplied by the Board.
Project Manager
As required under NSW Government guidelines, an accredited project manager, Parsons
Brinckerhoff (PB), has been appointed to oversee the project at an estimated cost of
$250,000 through to the end of construction.
Federal Funding
Funding through the RDAF has not been received as the department’s guidelines require
that projects be ‘tender ready’ before the final application is assessed, including a QS cost
estimate. The project was planned to be 'tender ready' by late October 2014 but this has
slipped until late November \ early December.
However, with the QS estimate to be available soon, this and the concept design work can
be forwarded to the RDAF to confirm the project continues to be on track.
Community Feedback
A community information session was undertaken on 17 September to discuss the
recommendations of the reports, the project timing and seek feedback from the community
on the proposal. There was some feedback received at the information session which was
helpful.
Next Steps
Within the community, the main issue to manage is expected to be the noise during
construction, particularly from night-work. Understanding whether this is a concern will be a
task of Board staff over the remainder of the year, as preparations for tendering continue.
Award of the main construction contract is expected in March 2015.
RECOMMENDATION
It is recommended that the Board note the above information.
Prepared __________________ Andrew Logan
Manager, Infrastructure & Engineering
Services
Endorsed __________________ Penny Holloway
Chief Executive Officer