Hilton Head sewer project now expected to cost nearly $10 million

Projected costs for a five-year plan to provide sewer access to northern Hilton Head Island residents have skyrocketed from $3.6 million to $9.7 million.

The Town Council initially approved the expansion project in December 2015 with plans to provide sewer access to 490 parcels by 2020. Those parcels include heirs’ properties — land handed down from generation to generation in a family, sometimes without legal documents — and currently use septic systems, many of which are outdated and overflow during heavy storms.

Pete Nardi, the Hilton Head Public Services District general manager, said recently the $3.6 million figure was an initial estimate, and that the new figure includes more specifics on the projected costs of construction, engineering, surveying and other items.

“You don’t know the actual costs until you have bids in hands,” he said. “That is how we communicated it to the town all along.”

The service district has attained bids for the first two phases of work, which were used to calculate the new total estimate, he said.

Steve Riley, town manager, said he was surprised the first bids came in significantly higher than expected.

“From our experience, all of our bids have been coming in higher recently,” Riley said. “But it is a big number.”

Officials will need to discuss how to absorb part of the $6 million estimated cost increase into the town’s fiscal 2018 budget that starts July 1, said John Troyer, town director of finance. Those discussions could focus on cutting other planned projects, he said.

“This (latest cost estimate) is higher than expected,” he said. “We made an adjustment this past month to accommodate some of that, and some of the numbers are being considered in the budget proposal for next year.”

The latest cost estimate for the sewer project comes as town officials learned this week that Beaufort County wants $1 million more next fiscal year to provide police protection on the island.

A series of tax and fee increases to balance the town’s projected $86 million 2018 budget were proposed by town staff Tuesday as they prepare for what they say will be a tough financial year in the wake of Hurricane Matthew.

Crews worked Thursday to trench Oak View Drive in preparation for a new sewer line. The road is one of 21 that will receive sewer access within the next 12 months, Nardi said.

Only a couple of roads received sewer lines last year. Nardi said much of 2016 was used for planning and attaining easements, adding the Oct. 8 hurricane also delayed progress.

The public service district now plans to install new lines originally scheduled for last year and this year within the next 12 months, he said.

This story was originally published May 4, 2017 at 3:25 PM with the headline "Hilton Head sewer project now expected to cost nearly $10 million."