Corangamite Shire officers have again been sent back to the drawing board after Port Campbell's $15.6 million revamp failed to attract a suitable submission for a second time.
One tender was received but the council said some elements came in at a high cost which did not offer the best value for money.
Due to construction deadlines a newly-appointed project manager will now oversee the first four parts of the 2022 works package.
Works on those smaller sections are expected to begin in September.
Coastal ward councillor Jamie Vogels said the council had hoped to begin construction this month.
"Unfortunately we haven't had any luck securing a contractor so we've had to re-think how to kick-start the project," he said.
"Given labour and material shortages due to COVID outbreaks and the high level of construction across the state, council is exploring other options.
"This sees council's recently appointed project manager Aaron Huttig overseeing some smaller sections of works with individual contractors to ensure some works commence in 2022.
"This work includes new parking areas, plantings, footpaths and traffic calming measures in Tregea and Morris Street.
"Converting the top roundabout on the Great Ocean Road to a sweeping right-hand turn into Morris Street will no longer be a top priority with further work around alternative treatments for this part of the project to be explored with Regional Roads Victoria, who are the responsible authority for this section of road."
IN OTHER NEWS:
A new tender process for the 2023 works package including major upgrades to Lord Street, Cairns Street and the headland trail will open from September to December.
Construction on those sections are on-track to begin in April and finalise by October 2023.
It'll be the third time the council has attempted to attract suitable tenders for the major capital works program.
A revised construction contract was released in May after the project failed to receive any takers in its first intake from December 17 to February 11.
Cr Vogels said further community consultation was now planned for late August to finalise some aspects of the 2023 works package.
"We will do more consultation around parking in front of Port Campbell Shopping and Dr Vicki Couzens is keen to meet with the community further before finalising her integrated public art works," Cr Vogels said.
Residents can view plans for the options here or visit 34 Lord Street on August 25-26.
Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content:
Sign up for our newsletter to stay up to date.