Water metering is coming to the District of Sechelt and shíshálh Nation, but the Sunshine Coast Regional District (SCRD) will have to go into debt to do it.
Originally, the $5.9-million project was to be paid for with a Gas Tax Strategic Priorities (SPF) Grant – funding made available to local governments in B.C. for large infrastructure or capacity building projects – but the application was unsuccessful.
Directors instead voted March 5 at the second round of budget talks to get a long-term loan to continue with the installations, which form the third and final phase of the SCRD’s installation program.
“In the comprehensive regional water plan, it was not assumed that this particular project would be funded through grants, but was seen as funded through long-term debt, so understanding that, we still feel we should include this in the financial plan,” said Tina Perreault, the SCRD’s chief financial officer.
Universal meters were installed in Pender Harbour by 2015 and most properties in other electoral areas were outfitted by 2017, with those remaining expected to be equipped with meters by the end of this month.
Perreault also said staff is continuing to look for alternative sources of funding for the project. For example, a grant exists for installations in rural areas, and Perreault said staff are investigating whether it is possible to use those funds for areas in Sechelt and shíshálh Nation.
“We need to do it; it’s just unfortunate how it’s going to be funded now,” said Darren Inkster, director for the District of Sechelt. “Maybe they can make the argument that large parts of Sechelt are rural and that may mean some funding for those areas to the north and south, and that the denser areas which most likely require less amounts of funding could come from the user.”
Area A director Frank Mauro noted that long-term lending is being used to pay for installations at Pender Harbour and that it’s “not unusual.”
Perreault also confirmed that a public approval process would be required if long-term debt is required.
Other directors remarked the change in funding is symptomatic of the SCRD’s protracted approach to enacting the water plan.
“We were all expecting this to start in 2018, and it’s not going to if we still need approvals and decisions on how it’s going to be financed… I’ll be supporting it,” said SCRD chair Bruce Milne.
“Whatever we do moving forward on the water system, we have to jump on what we want to do as quick as possible in case we get rejected,” said Garry Nohr, director of Halfmoon Bay.
Universal metering forms one part of the SCRD’s four-part water plan, which also includes the Chapman Lake Expansion Project, groundwater investigation and the creation of a reservoir. These items were also debated at the budget talks.
The committee approved $200,000 from development cost charges to be spent on a reservoir feasibility study, which involves scouting potential sites, preliminary design, cost estimates and timelines. Directors also approved $325,000 from capital reserves for groundwater investigations, which involve drilling at four test wells.
The $4.5-million Chapman Lake Supply Expansion was included as a carry-forward project.
The final budget is expected to be adopted at the March 22 board meeting.
