Council Set To Give Wastewater Utility A Clear Stream To Go
By Robert Thomas
A bylaw, more than a few in the community do not want to see pass, is up for three readings and final approval at Council’s next regular meeting.
At their upcoming June 23rd regular meeting Council is set to approve the fees to be charged under the Storm Water Utility Bylaw. The Bylaw will also include numerous other sections in it.
The Storm Water Utility was created on January 27, 2025 during budget deliberations. The purpose of the utility was to maintain the above and underground storm sewer system.
Council was given two main choices on how to finance the self funding utility.
The first was based upon properties pay a fee based upon their size - and thus mirror the amount of storm water they put into the system.
The other way was a per address levy (flat tax) with all properties paying a set monthly flat fee. The proposed fee would be structured similarly to the monthly fee now charged for the Solid Waste (garbage) Utility.
Council has previously opted on February 10th for the per property levy rather than a fee structured along the lines of use of the system. A proposed fee was established at this time.
Administration previously told Council the need for the fee is the majorly deteriorated shape of the storm sewer system.
Previously to seeking the additional funds through a utility the storm sewer system maintenance and repair was funded through property taxes.
It needs to be noted that similar to the solid waste and recyclable waste levies critics see this as transferring responsibilities from property taxation to a levy with no resultant drop in taxes. Critics also claim it’s a means to “hide” property tax increases as there will be no resultant property tax decrease because of it.
Under the proposed flat tax eligible addresses would be charged $9.80 monthly. The flat tax is seen as bringing in $1.5 - $1.6 million on an annual basis.
The Bylaw goes beyond simply collecting a monthly fee but additionally also regulates the collection, treatment and disposal of storm water. It prevents misuse and damage to the system and also protect public health, safety and the environment, finance director Brian Acker told Council.
“It’s important to note that the storm water system is deemed a Public Utility under the Cities Act similar to our water and wastewater utilities,” Acker said.
Councillor Jamey Logan asked if the was a way for vacant (development) property owners to pay annually so they “are not bothered” again by a monthly charge. When not on Council Counvillor Logan is a business person and a property developer.
“We don’t have the ability to bill on an annual basis” Acker said, adding a monthly automatic deduction could be set up under the plan used by water customers to eliminate some property owners from being bothered with it again.
Councillor Chris Warren asked what types of properties might be exempted and Acker relied in other communities he had seen agricultural land and community gardens exempted.
“Really those types of entities where you can make a strong argument that a lot of the storm water is absorbed by the property,” he said.
Councillor Warren asked if Administration was seeking a franchise fee for the Storm Water Utility.
Franchise fees - such as the fee charged for water - take money from a utility’s account and transfer it to the City’s operations budget. The money comes from a utility fee and not property taxes.
“We have no plans for a franchise fee at this time,” Acker replied. “Franchise fees are always in place to recover costs related to the utility the operating budget would be incurring.”
The money taken in 2025 by flat tax - approximately $800,000 - will be used to fund capital projects. In 2026 when $1.5 - $1.6 million are collected the funds will be used for both the utility’s operations and capital budgets. The operating costs are about $326,000 annually.
Councillor Warren stated that one thing that needs to be remembered and stressed is setting up the utility and the funding will knock 0.75 percent off of the mil rate in 2026.