Wastewater rates could soar 514 per cent for a development located in Wheatland County that receives wastewater servicing from Rocky View County.
In 2007, Rocky View was approached by the developers of the Lakes of Muirfield, located east of the county. The development didn’t have a wastewater solution so staff asked Rocky View County to help. The County was building the East Rocky View line and when they were approached by the developer and the council of the time approved entering into a contract with the developers, explained Stuart Jewison, operations manager for the County.
Currently, the wastewater from that development is trucked from the Dalroy transfer station to the Chestermere Lift Station.
Upon funding availability, the Dalroy transfer station can be converted to a lift station and a force main from the Dalroy Lift Station to the Langdon Wastewater Treatment Plant can be constructed to eliminate the trucking component. Jewison explained that the County hasn’t received enough funding through levies to pay for that yet.
Trucking costs the County on average $235,000 more a year to service than it receives in user fees charged to Muirfield. The deficit is covered through general tax dollars.
To recover the costs of servicing Muirfield development, rates have to be increased, a report presented during an infrastructure and operations committee meeting Dec. 17 explained.
During the meeting, the committee members recommended council should direct staff to send a letter of notification to the Lakes of Muirfield residential and golf course developments regarding a substantial increase in the service fees for wastewater services.
The recommendation will come to council sometime in the new year.
If council approves sending the notification to the Lakes of Muirfield, the suggested increase will be $30 per month plus $14.98 per cubic meter up from the current rate of $30 per month plus $2.438. It would become effective three months from the date of the notice.
“It’s unfortunate for the people who live there because things are about to change there significantly,” said Councillor Lois Habberfield during the committee meeting.
“But, given that we don’t collect any taxes from them to even justify subsidizing it, I think we do have to move in that direction,” she said, supporting the recommendation.
Staff as well as Councillor Earl Solberg who sits on the Wheatland Intermunicipal committee, said when approached, Wheatland County staff and council felt that the servicing and costs associated were between Rocky View County and the Lakes of Muirfield developers.
“I’m sure that they (Muirfield residents) will be surprised but we have to look after business,” said Habberfield.
She said because notice has to be given, a different solution could still be worked out during future discussion, noting that perhaps Wheatland County will reconsider their position.
Deputy Reeve Paul McLean said these changes aren’t “pinpointing one specific group” and said the County is looking at all utilities accounts and this is one of them.
The County is subsidizing wastewater services in parts of the county as well and is looking to move away from that, Jewison explained. In June, council approved a rate adjustment for East Rocky View and the Hamlet of Langdon, which came into effect Sept. 1. The rates are expected to be reviewed annually with recommended adjustments as needed to bring the rates up to user-pay model, explained Jewison.
Councillor Margaret Bahcheli said this letter would be a “very famous letter” because of how much the rates are increasing. She suggested that the letter be clear that the rate change is part of an overall policy for cost recovery with all utilities accounts.
The letter will be presented to council to discuss and decide whether or not to approve sometime in the new year.
