Memerambi Estate
The South Burnett Regional Council has awarded a $1.46 million contract to build missing roads and drainage infrastructure in the Memerambi housing estate
SBRC Mayor Wayne Kratzmann
South Burnett Mayor Wayne Kratzmann (Photo: SBRC)

December 14, 2015

The South Burnett Regional Council has accepted a $1.46 million tender for the construction of Memerambi Estate’s missing roads and drainage infrastructure.

The tender was awarded to Brown Contractors Pty Ltd, a Brendale firm which specialises in providing civil engineering and project management services for the government, mining and resource sectors.

The company’s tender was accepted at last Wednesday’s Council meeting.

The 12-year-old firm has previous experience in the South Burnett.

It was contracted by FK Gardner and Sons Pty Ltd for $400,000 of road reconstruction works in the region between February and June last year, completing the project on time and under budget.

The company is expected to begin work on the Estate in January.

In October the Council had forecast the total cost of rendering the Estate habitable would be $2.1 million.

Mayor Wayne Kratzmann noted the company had tendered less than expected, but said the tender did not cover all the work the Council planned to undertake.

However, if the Estate could be normalised for less than originally forecast, any savings would be passed on to the Estate’s property owners.

* * *

Any repeat of Memerambi Estate now seems unlikely after the South Burnett Regional Council was given permission to adopt a Temporary Local Planning Instrument (TLPI) in mid-November.

Local Government Minister Jackie Trad confirmed the TLPI the Council originally applied for in May 2014 can be adopted.

The TLPI will force developers of any of the South Burnett’s historic subdivisions to comply with the same conditions as an ordinary subdivision – i.e. install all the subdivision’s infrastructure before they can erect any buildings.

It is designed to plug a loophole in the region’s existing Planning Schemes which allowed developers of historic subdivisions to build houses in advance of infrastructure.

This loophole was exploited by developers Summit View Meritor Pty Ltd to construct and sell houses on Memerambi Estate before roads, drainage and other infrastructure had been built.

When the company was placed into liquidation in August 2013, investors in the Estate found they were unable to move into their houses because no infrastructure was in place.

The Council resolved to adopt the TLPI at its meeting on May 21, 2014 and forwarded a copy to the Minister for approval a few days later.

On November 16, the Minister confirmed the TLPI meets the requirements of the Sustainable Planning Act 2009 and gave permission for its adoption.

At Wednesday’s meeting, Councillors adopted the TLPI unanimously along with a list of all the region’s historical subdivisions it will apply to.

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3 Responses to "Memerambi Estate Contract Awarded"

  1. Will this be the final chapter in the ongoing saga at Memerambi?

    In June of this year the SBRC voted 4-3 to declare the development land a “benefitted area” and to draw down a loan from Queensland Treasury for $2.1 million it estimated the cost of installing the necessary roads and drainage etc. Subsequently tenders were called for this work to be performed and I understand that a double figure of same were received.

    Six months later, after all tenders were received and duly considered (I trust that did occur individually by the Mayor and all six Councillors rather than a mere recommendation by a Council employee) the Council voted unanimously ie 7-0 to accept a tender of $1.4 million from an “out of town” company to carry out the work as originally planned. But hold on there is a $700,000 difference!!

    Alarm bells sounding! Does this mean someone got their sums wrong? Was it the Council or the successful tenderer?

    Well that question is answered by the Mayor in the above report – he “noted that the company had tendered less than expected but said that the tender did not cover all the work the Council had planned to undertake” and further stated “however if the Estate can be normalised (whatever that means) for less than originally forecast, any savings would be passed onto the Estate’s property owners”.

    Therefore the question must be asked “What work that was planned to be undertaken is now not going to be undertaken?” The local grapevine indicates that it could be the amount of road fill (an expensive item) and no concrete kerbing for the streets ie earthen gutters only. Such cost cutting for those two items alone could be in the vicinity of $400,000-$500,000, I hear. So what else has been cut back or cut out by the successful tenderer?

    The project will require drainage in regards to the adjoining farmland and along the Bunya Highway (both extremely essential) and roadworks at the intersection of the Highway and King Street to widen the Highway and install a turning lane (to the right) off the northbound lane for access to the Estate. One would hope that neither of these 2 most essential requirements will be done cheaply.

    I along with all other concerned local residents and the property owners truly hope that this is the final chapter in the Memerambi Estate for the sake of all concerned but my gut feeling tells me that the saga may continue, unfortunately.

    Oh for a crystal ball …

  2. Further to my previous comments on this subject, I note that there is a listing in the SBRC 13/1/2016 Meeting Agenda under Item 13 CONFIDENTIAL SECTION -13.1 CONF – 1553436 – Tender Report Memerambi Estate – Roads and Drainage Infrastructure.

    Is all not in order with this ongoing saga once again? I previously made the point that how could the Council accept a tender for $700,000.00 less than what it estimated the cost/Treasury Loan would be. Has someone made a mistake with their sums?

    I guess it will once again be a case of “Watch This Space”and likely further delays in the commencement of the proposed works.

    When will it ever end ??

  3. Following a further perusal of the upcoming SBRC meeting agenda for 13/1/2016, I have now discovered Item 11 – Consideration of Notices of Motion, 11.1 – NOTICE 1551442 Notice to Rescind a Council Resolution -SBRC 15/16-05 – Road and Drainage Construction Memerambi Township.

    The listing of this item, to me, confirms my previous comments that the tender accepted by the Council was insufficient to carry out all necessary requirements of the proposed works. It would now appear blatantly obvious that both the “successful” tenderer and the SBRC got it totally wrong. How closely was this tender scrutinised by the Councillors and relevant Council staff before it was voted on and accepted unanimously?

    One hopes that the Council gets it right second time around.

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