Wednesday, March 16, 2016
Serving the Hub of the North since 1960
Volume 56 • Issue 11
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Public hearing on wastewater treatment plan hears concerns about per-meter billing BY KACPER ANTOSZEWSKI KACPER@THOMPSONCITIEN.NET
WESTWOOD STUDENTS TAKE EXTREME SLEDDING CHALLENGE NEWS - PAGE 6
The proposed borrowing bylaw for Thompson’s planned wastewater treatment plant was subject to a public hearing March 10, where residents expressed concern over the city’s decision to charge ratepayers based on the size of their water meters, rather than on a per-usage basis. While council proposes adopting the model in order to ensure consistent and predictable
funding for the loan, many said the scheme will see individuals and businesses charged in excess of what most would consider fair or affordable. Mayor Dennis Fenske began the hearing with a presentation explaining the rationale behind funding the plant as a local improvement rather than through a tax levy or utility rates: “The revenue is a guaranteed source of annual revenue and not subject to changes
in consumption which could result in shortfalls.” Charges based on usage, such as utility bills, tend to prompt corrections in usage among residents, running the risk of generating less revenue than forecasted when the fee is implemented; a similar situation arose when usage-based water billing was introduced, prompting the city to subsequently raise fees to accommodate for the reduced usage. A local improvement also
Skate Thompson finishes skating season with dazzling ice show WAPANOHK STUDENTS GET ARTSY WITH MURALIST NEWS- PAGE 7
54 WOMEN DONATE $5,400 TO YWCA NEWS - PAGE 8
KING MINERS WIN MIDGET AA PROVINCIALS SPORTS - PAGE 9
Skate Thompson hosted its 2016 ice show at the C.A. Nesbitt Arena March 13, where fi gure skaters of all ages and skill levels took to a fresh sheet of ice to show off their skills in solo and group performances. See more photos on Page 10.
allows the city to charge properties otherwise exempt from taxation, such as schools and churches, which are connected to the city’s sewage system. It also permits the exemption of properties north of the Burntwood River and south of the city limits, which pay property taxes but are not hooked up to the municipal sewage system. The pending bylaw charges 15mm water meter users $127.16 to finance the payment over 25 years, or $1,625.52 as a lumpsum payment: Fenske notes that any cash payments received is money that does not need to be borrowed, and there is no interest applied to the payment. About 88 per cent of water meters in Thompson are 15mm, and fees charged to property owners with them will account for roughly $6.5 million of the $12 million the city is paying for the new treatment plant, with the provincial and federal government’s contributing the same sum each. The same rate will be charged for bare lots adjacent to the sewage system. Both financing and lump sum options roughly double in cost with every increase in meter size: a 20mm meter will run $254/month while a 25mm meter will run $508 per month. The fee would be tied to the property itself, rather than the ratepayer: should one choose to pay the lump sum, and to sell their home, the purchasing party will not be liable for any additional payments. However, if one then chooses to purchase a property from owners who opted for financing, those rates will become applicable to anyone who purchases the property.
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The single largest concern expressed during the hearing was the decision to charge property owners based on the size of meter, as opposed to the property’s usage, both in terms of the distribution of cost, and its fairness as a metric at all. Newly elected Thompson Chamber of Commerce president Oswald Sawh noted that properties with water meters over 20mm would be covering roughly 40 per cent of the proposed budget. School District of Mystery Lake school board chairperson Leslie Tucker expressed similar concerns, noting that the plan charges 37mm and 50mm users 10 and 25 times as much as a 15mm user is responsible for, respectively, while Thompson’s 2014 wastewater treatment study suggested that the respective usage of these facilities was closer to eight and 15 times that of 15mm meters; she suggested lowering the costs for these meters accordingly. Representatives of rental corporations such as Allied Rentals and Thompson 28 Corporation, also expressed concerns. Allied Rentals manager Cheryl Crawley gave the example of two low-income facilities managed by the corporation: “These two buildings, whose rent ranges from $562-$616 a month, each have a WAT5 meter; this mean the single owner of these blocks will be paying $2,257 per unit, should he be able to afford the cash option. That’s $632 more than a single family home, where water would be also used for washing the car, watering the lawn, etc. You’re asking one person to pay over $40,000.” Continued on Page 5
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