Winnipeg city staff working to lessen impact of 'severe' water, sewer rate hike: committee chair
Winnipeggers should brace themselves for what could be a significant increase to their water bills as the city plans to release next week its latest proposed water and sewer rates, the chair of city council's water and waste committee says.
The long-awaited report will be released on March 4, ahead of the committee meeting on March 10.
It comes while the city faces high costs for major capital projects, including a $3 billion North End sewage treatment plant, much of which remains unfunded.
"We're looking at trying to lower the impact on people who are having trouble to pay … because they know what they're proposing to deal with the North End plant is pretty financially severe for many people," said Coun. Ross Eadie (Mynarski).
Unless the city makes the upgrades, it risks running out of capacity to add new houses and businesses.
The third phase of the upgrades, which will remove the nutrients phosphorus and nitrogen from waste water, was ordered by the provincial government as a condition of the city's licence. No funding has been set aside for that project.
"We have legal and regulatory requirements under our license for treatment of water, and that plant is like pretty well almost 100 years old," Eadie said.
"And we're … renewing a plant that will service for the next 100 years and actually be able to accommodate the growth that's happening in the city."
The city has yet to find a way to pay for the second phase of the plant upgrades, meant to remove biosolids from waste water — a project initially budgeted at nearly $553 million but now projected to be closer to $912 million.
The North End plant is just one megaproject on the city's list.
Replacing the city's combined sewer system is expected to cost another $2.2 billion. Council set a target date of 2045 to reach that goal, but city staff have said it could take until 2095 without additional government funding.
Along with the water and sewer rates, Winnipeggers are likely to learn what they will pay for waste collection. The city is rolling out a city-wide, curbside compost program, with a starting date in 2030.
City council also recently approved a property tax increase of 5.95 per cent, the highest since 1990.
Eadie says staff recognize the need to mitigate the impact of the increase in water and sewer rates.
"We're working at whatever method we can to lower the increases to the sewage rates because we know that our citizens, a lot of them … won't be able to pay their bills," he said.
One option staff are considering is expanding eligibility to the Help 2 Others (H2O) utility subsidy program for low-income households, administered by the Salvation Army.
Kristiana MacKenzie, the executive director of Weetamah, a subsidiary of the Salvation Army which runs the H2O program, said she expects to see demand for the program increase along with the increase in rates.
"The numbers are increasing everywhere with inflation and all of that," she said. "It's just becoming harder and harder to even just catch up."
The city centre committee passed a motion from Coun. Sherri Rollins ( Fort-Rouge, East Fort Garry) on Monday, calling on city staff to make sure the city takes into account the expected impact water and sewer rate increases will have on the availability of affordable housing.
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