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Reservoir enhancement borrowing process launched
City of Cranbrook council last night initiated a Loan Authorization Bylaw process with the aim of tackling a $7.24 million Phillips Reservoir Bypass Pipeline and Intake Valve Replacement project.
Council unanimously passed three readings Monday (Feb. 24) to Phillips Reservoir Bypass Loan Authorization Bylaw No. 4000, 2020 and directed city staff to forward it to the Inspector of Municipalities for approval.
“The Bypass Pipeline involves the installation of a 2.5 km pipeline that will allow the city to bypass the Phillips Reservoir without interrupting water supply to the city’s water distribution network. This will enable the city to take the Phillips Reservoir offline for maintenance (eg: dam maintenance and sediment removal), or unplanned events, while maintaining secure and reliable water supply to the city. The Intake Valve controls the city’s main water supply from the Phillips Reservoir, and requires replacement as it is nearing end-of-life,” explained a City Financial Department report by Charlene Courtney.
The project’s total estimated cost is approximately $7.24 million. With the city portion being approximately $1,931,280, city staff recommended that the city’s portion of the cost be covered through borrowing.
Prior to voting, Coun. Wayne Price asked if the project is “must-do?”
City engineer Mike Matejka noted a dam safety review was undertaken as per legislation and as a result of the needed intake valve replacement work, a bypass “would be needed or alternatively we would have no water coming from the reservoir for the duration of that repair, which would be several days.”
Price followed up by asking what happens if grants are not obtained? “Is the city on the hook for the whole bill?”
“We’re really hoping not as this is a great opportunity for us to get the grant funding, but if we aren’t successful, at the same time we’re going to be looking at all other options that we could possibly have to get the most critical component of this project done,” Matejka said.
He also noted it would be good for the city to be able to bypass the reservoir should it need to in the future for other reasons.
The federal and provincial governments are investing up to $150 million in the second intake of the ICIP Green – Environmental Quality Sub-Stream to help communities across the province address their infrastructure needs, while supporting environmental quality through infrastructure projects. Local governments are eligible for up to 73.33% funding from senior government (40% federal and 33.33% province); therefor, the city would need to fund a minimum of 26.67% ($1,931,280,) of the eligible costs.
If the city is successful at obtaining the grant for this project and the Loan Authorization Bylaw receives the approval of the Inspector of Municipalities, the next step would be to start the alternative approval process. At that time, staff will present final information package and set the deadline for the AAP process.
Ian Cobb/e-KNOW
