Darwin civil engineers DAC Enterprises Pty Ltd has won the job to finish the controversial Hot Springs project.
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Katherine Town Council made the decision at a special meeting last night.
There was one other tenderer.
The work is expected to be complete by the end of this year.
The $2 million upgrade, when first announced in April, 2016 was initially to be completed by the end of that year although the scope of the project was expanded after the launch.
Almost $1 million was budgeted for the first stage of the project with most of the money funded by the NT Government.
The first stage involved the removal of trees and terracing on the main entrance bank to the Hot Springs and the installation of the gabion rock baskets.
The second stage of the project involves a new playground at the top of the river bank, near the Pop Rocket Cafe.
Construction fences have been a feature of the river bank for almost three years.
"Works are still currently scheduled to commence on Stage 1 (the bank section) in July 2019, followed closely by Stage 2 (the upper level) starting around October 2019, with the project planned for conclusion around the end of 2019," council documents state.
"Council believes it has adopted and incorporated a responsible approach to the long awaiting panacea.
"Despite construction works occurring, council is happy to confirm that swimming will not be affected during this time, however, alternate routes will need to be taken.
"Katherine Town Council requests the community's cooperation and understanding during this time and request that all alternative access signage is adhered to."
Council receive two tenders for the two stages of works.
The council budget for the contract was estimated at $2,006,380.
Officers recommended the council accept the tender for $1.86 million.
In a media announcement earlier this month, council stated: "Council would like to reassure the Katherine community that no ratepayers money will be spent on the rectification of the Hot Springs. Rectification works are planned for 2019 and as stated there are no general funds allocated as published in the capital works program for the same period."
The project has been funded by the NT Government.
After both tenders came in over the estimated budget, council said it had "identified savings for items listed in the provisional sums of $150,000" and had requested the tenderers to confirm the deletions.
It has been recommended the council award the tender at an amount lower than the estimated budget.
That decision will be made tonight.
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