"It may then either cross the road underneath the bridge or remain on the riverside of the road.
"We're going to wait until the tenderers submit detailed designs as their proposals will form part of our decision-making process," Mr Toy said.
He said the main issue with the Riverbank Road residents has been resolved.
Those home owners objected to the earlier plan which had the route running between the Whanganui River and their homes. At a meeting last year council confirmed this route would not be considered.
Council has budgeted $680,000 as its share of the cycleway project over a four-year period which started in the 2015-16 financial year.
The bulk of the funding will come from the Government and its agencies such as NZ Transport Agency (NZTA).
Meanwhile NZTA was carrying out safety improvements between River Rd and Upokongaro at no cost to ratepayers.
The completed cycleway will join up with the final leg from Taupo Quay to the North Mole.