Central Hawke's Bay's $35m in roading contracts shared between Higgins and Downer

Central Hawke's Bay District Council has announced the awarding of four roading contracts to two firms.

Central Hawke's Bay District Council has announced the signing of new partnerships with both Downer and Higgins.

A procurement process was approved last year to administer the four major contracts that fall under the district council's land transport related services.

At an extraordinary council meeting on April 30 Downer and Higgins were awarded two each of the four contracts.

Council's chief executive, Monique Davidson, say she is pleased with the outcome saying it will foster economic activity.

"These four contracts combined are worth $35 million over the next two to five years, which provides for great economic stimulus in the face of such challenging times.

"The potential for local employment is yet another added bonus we hope to see stemming from this work."

Downer retained its existing contract for road maintenance as well as securing the work for road reseal services. Each contract has a three-year term, with the possibility of two 12-month extensions.

Higgins was awarded the contracts for constructing area-wide pavement treatments and minor structural improvement services. These two contracts have a two-year term.

The procurement process saw five suppliers submit tenders.

Central Hawke's Bay Mayor Alex Walker is a strong supporter of the outcome saying it's a great building block for re-energising the local economy.