On Wednesday, council opened the water utility discussion by outlining why the proposed 2026 rate increases average between six and seven per cent.
Director of Public Works Jeff Da Silva told councillors the wastewater treatment plant, which dates back to 1972, requires constant repair and will eventually need a complete upgrade.
Da Silva said the city has been spending between $500,000 and $800,000 per year on repairs just to keep the plant operating. He added that the current proposal would help rebuild the fund’s cash position, saying the increases are meant to move the utility from a negative balance into a healthier reserve. The treatment plant project remains a major long-term financial pressure, and the city’s eligibility for CHIF funding depends on earlier zoning changes passed at council.
Councillors focused on how the increases would affect residents. Coun. Daniel Brown said seniors and low-income families are already under pressure, and proposed reducing the consumption and fixed-meter increases to five percent for home owners and six percent for out-of-city users.
Brown said, “Just trying to keep in mind that people are struggling, seniors are struggling. I don’t want to see people deciding whether they’re going to buy groceries or put their kids in swimming or pay their water and sewer bills. That’s my rationale.”
Some councillors expressed concern about making changes without knowing the financial impact. Coun. Blake Edwards said passing percentage reductions without numbers would be irresponsible.
He told the council, “Don’t put words like that in my mouth,” after reacting to comments suggesting that supporting higher rates meant not caring about affordability. Edwards also questioned what would happen to the water utility’s long-term stability if the increases were softened now.
Coun. Dawn Kilmer said the utility fund needs to be strong enough to maintian essential services. She pointed out that the city must be ready for major future upgrades. Other councillors echoed concerns that lowering the increase could prolong the deficit and lead to larger jumps in future years.
City administration told council they could prepare updated numbers based on Brown’s motion and return at the next meeting. Council agreed to table the water utility item until administration presents new calculations.
The Sanitation Fund review was more straightforward. Councillors asked about fleet expenses, landfill fees, free dump passes and consulting costs. Edwards suggested that adjusting minimum entry fees could shift more costs toward landfill users. Staff said a small fee increase at the gate would translate into a minor reduction on household utility bills.
Administration confirmed that 2026 is the final year of the current multi-year rate structure and that a full review will come next year. After questions on future landfill cell closures, debt payments, and operating expenses, council voted to approve the 2026 Sanitation Fund budget.
Budget meetings continued Thursday afternoon, but were not completed by deadline. See future editions of the Daily Herald for more on this story.
