Progress continues to be made on bringing the regional waterline closer to fruition.
During their respective council meetings last week, the Town and MD of Bonnyville approved the draft business plan for the Bonnyville Regional Water Services Commission. The founding members of the commission include two representatives from both councils. The Bonnyville Commission will receive water from the Cold Lake Regional Utility Services Commission (RUSC), and provide it to the resident of the town and MD.
“For several months now we've been meeting with the Cold Lake Regional Utility Services Commission members. We've been working through the business plan for the establishment of the new Bonnyville Regional Water Services Commission,” explained town CAO Mark Power. “In order to create the commission we need to apply to Alberta Municipal Affairs.”
The first stage of the waterline has received approval from the federal and provincial governments for the 90/10 per cent funding split. An engineer has been hired to begin the engineering process for construction of a new pump house and transfer reservoir in Cold Lake, as well as the construction of the trunk main to the Town of Bonnyville.
The new Bonnyville Commission is expected to service a population of 46,000 by 2032, distributing approximately 16,000 cubic metres of water per day, equating to 5.8 million cubic metres annual. They're anticipating a peak demand of 26,000 cubic metres per day.
“The Minister of Municipal Affairs has the final say in all of this,” Power noted.
He added, “We're coming up with the suggested membership and agreement, and if the minister doesn't like it we'll be coming back to council.”
The Mayor of the Town of Bonnyville will chair the commission with the MD Reeve acting as vice-chair. Town Coun. Ray Prevost and MD Deputy Reeve Mike Krywiak will make up the remaining two spots.
There are provisions within the business plan to allow for other municipalities who are being serviced to become members of the commission as well.
“You basically have two and two as your founding members, essentially it's to get the process rolling with Municipal Affairs. You don't know when you're going to get your other members,” said Bonnyville Mayor Gene Sobolewski. “This has been a very, very long time coming.”
As set out in the business plan, the Minister of Municipal Affairs is also required to approve the rates that will be charged to the MD and town by the commission for the purchase of water.
A rate of $1.10 per cubic metre is required in 2019 in order to generate sufficient revenue. The general rate will increase to $1.25 per cubic metre by 2022.
For the town, in addition to the general rate there would also be an added capital contribution rate to recover the annual debenture costs for the town's portion of the net capital costs. This would add about 40 cents per cubic metre to the general rate of $1.25, bringing the town's rate to $1.65 per cubic metre.
“The rate is going to be the biggest thing that the new commission is going to have to agree upon, but this is a starting point for the minister,” noted Power. “If the costs come in lower for construction, then the borrowing is lower, we'll owe less money and the rate will be less. If it's higher, we'll have to borrow more and the rate would be higher.”
In addition to drafting the business plan for the minister's approval, the second round of consultations have also been moving forward with the surrounding First Nations and Métis communities. Sobolewski explained to council they've had meetings with Elizabeth Métis Settlement, Frog Lake, and Cold Lake First Nations, which he felt everyone walked away from with a positive feeling.
“There seems to be a growing feeling of collaboration and partnership with our neighbours that I don't think has existed for a number of years.”