Wastewater project scrutinized at hearing

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This article was published 20/07/2022 (1528 days ago), so information in it may no longer be current.

The timing, cost and a perceived lack of details of a project to improve wastewater infrastructure in southwest Brandon came into question during city council’s most attended meeting of the year Monday evening.

Eighteen people were present in the gallery for the meeting, which included a public hearing on the city’s intent to borrow $30 million to build two lift stations and new forcemains.

Following conversations with local developers, the city has stated it believes there won’t be capacity to further develop that part of town past late 2023 if upgrades aren’t implemented.

Water must be transported either through gravity or pumping. The lift stations will move wastewater in southwest Brandon to treatment facilities at a higher elevation.

Built mostly underground, lift stations have a lifespan of around 80 years, according to city staff. The two lift stations the city wants to build would be located near 34th Street and Patricia Avenue, and on 18th Street south of Patricia Avenue. The 34th Street lift station would be built first.

In 2011, the city annexed land that has since become the Brookwood and Bellafield developments. Other lands being serviced by this development south of Patricia Avenue were annexed in 2018.

When those lands were annexed, director of planning Ryan Nickel said there was a plan to provide them with wastewater service as required by the Municipal Board.

“Why are we bringing this forward before the city completes the city plan?” Nickel said.

“The reality is, we’re significantly behind our last development plan and our last growth strategy where these actions were identified, and we’re behind in growth.”

In the time since the project was added to the city’s capital plan, the estimated costs have increased. With funds lacking in reserves, the city must borrow money to pay for the project. The costs are expected to be covered over time by funds collected through development services charges as well as through increases to the water and wastewater utility rates between 2023 and 2026.

“In light of the development cost charge bylaw being somewhat recent and only a few years collecting development costs, we certainly don’t have the money in the reserves today to pay for this type of infrastructure at this type of capital value,” said director of engineering Mark Allard.

“In order for this development to proceed, it’s incumbent that we borrow these funds, paid for as laid out in the utility rate study.”

While the city is establishing a borrowing plan now for the project, Tyler Phillips of the city’s engineering department said the borrowing will happen in phases.

Tenders for Phase 1 of the project are expected to be issued this fall, with construction not starting until next year.

City manager Ron Bowles told the Sun last week that locking in terms for the debenture now could save the city money in the long term with inflation and interest rate increases running rampant.

Coun. Glen Parker (Riverview) asked city staff if they were sure $30 million would be enough for the project and if the city shouldn’t borrow more now to get both phases done given that labour and material costs as well as interest rates won’t be going down any time soon.

There is a risk of the project costing more than $30 million, Allard said, but the city doesn’t have good information on what the final price tag will be. When it comes time to build the second lift station, he said he believes the city will have a better idea of the total cost.

If the city continues to grow without the upgrades, he said, it risks taxing the existing wastewater system and risks it, which could result in wastewater backing up into basements.

Addressing the timing, Coun. Kris Desjarlais (Rosser) said there’s always the possibility that the market has cooled by the time Phase 2 starts as well as the possibility that once the city has built these upgrades, inflation means that developers are no longer able to afford new projects.

With Mayor Rick Chrest away on vacation, deputy mayor Bruce Luebke moderated the public hearing, in which people directly and indirectly affected by the project presented arguments.

Brandon Chamber of Commerce president Tanya LaBuick asked councillors why this project took 11 years, stating that it sounds like the city doesn’t have much of a decision to make because the need is urgent.

“I would contest that we’re probably bang on,” Bowles responded. “The best time to build infrastructure is the day before the prior infrastructure fails or the day before you need it. We heard the engineering staff say today that it will be needed in 2023.”

LaBuick wondered if developers would agree if they were asked the same question.

According to a representative from a local developer, that answer is no.

Representing VBJ Developments and the J&G Group, Steve McMillan said his employers were in favour of borrowing money to pay for the improvements but criticized the timeline of the project, saying it should be done all at once.

J&G is one of the companies developing land in the southwest.

Going through the history of the planned upgrades, McMillan said J&G has been preparing for them over the past 10 years. He said multiple studies conducted in that time frame have shown limited wastewater capacity would be an impediment to continued growth.

“It’s all needed now,” he said. “The report is saying that we could last up to five years. We have commercial tenants that want to sign for land that was annexed three years ago. I can’t do that because if I sign something and I can’t provide them with service, I’m going to get sued.”

Another delay, he argued, will kill commercial development in the southwest. As soon as the improvements are approved, McMillan said he could get half of the buildable commercial area — around 400,000 to 500,000 square feet — signed for.

In Brookwood, he said there are no lots left to develop and about 50 remaining in Bellafield. McMillan also pointed out if development is halted, it will mean the city will stop bringing in development cost charges. Currently, there’s about half a million dollars in the development reserve.

Coun. Shawn Berry (Linden Lanes) said Phase 2 could come quickly after the first stage starts, but they must get Phase 1 off the ground first.

Apart from Brandon residents, RM of Cornwallis Reeve Bill Courtice also spoke at the hearing to express concern of the location of the 18th Street lift station. He said land to the south of the proposed spot should be classified as a higher rating of wetland because of the amount of water pouring into it from developments in the southwest.

With nowhere for wetland to drain, water is pushing into land owned by residents of his municipality.

“When it affects my water supply, there will be problems,” Courtice said.

Given the potential impacts, the reeve said the RM should be more involved as an affected stakeholder.

Coun. Jeff Fawcett (Assiniboine) replied, saying there’s no set plan for the outlet pipe yet, and Cornwallis will be kept in the loop as the project progresses.

“How can council approve something when you don’t have a concrete plan?” Courtice asked.

Later in the meeting, council voted to approve the first reading of the borrowing bylaw for the project. After second and third readings are passed, final approval must be given by the Municipal Board.

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