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Alberta ministers differ on Olds water infrastructure issues

Although the town repaired 24 water line breaks in 2024, it lacks the funding to address all the minor breakages
mvt-ric-mcivor-and-rebecca-shulz
Alberta Environment and Protected Areas Minister Rebecca Schulz and Alberta Municipal Affairs Minister Ric McIver have each weighed in on Olds' water loss issues.

OLDS — Alberta Environment and Protected Areas Minister Rebecca Schulz has gone to bat for the Town of Olds, urging Municipal Affairs Minister Ric McIver to provide funding for the municipality to solve its water loss and related issues.

However, McIver said the province has provided the Town of Olds with money and it’s a case of using that money wisely, perhaps changing priorities, if necessary.

That communication is provided in letters; one from Schulz to McIver and his reply, written shortly before the new year.

“Like many urban municipalities, the town’s underground water infrastructure is deteriorating,” Schulz wrote.

“Over the past 10 years, the town has lost an average of 32 per cent of its water supply, approximately 330,000 cubic metres annually.

“This loss costs the town about $450,000 each year and wastes more than 300 million litres of water from the Red Deer River.”

Schulz said efforts undertaken by the Town of Olds last year, including a third-party leak detection survey, water meter pilot program using ultrasonic technology, and pressure-testing of every home, business, and water connection showed the extent of the situation.

“The results revealed the problem consists of dozens – or even hundreds – of small leaks and breaks,” Schulz wrote.

“Although the town has repaired 24 water line breaks this year, it lacks the funding to address all the minor breakages.”

Schulz said the town’s wastewater collection piping system is also deteriorating.

“About 50 per cent of the sewage sent to the South Red Deer Wastewater Commission for treatment is natural groundwater that has infiltrated the system,” she wrote.

“As a result, the town pays twice as much as it would if the system only handled municipal wastewater.”

Schulz recommended that McIver fund fixes for those issues under the provincial government’s Local Government Fiscal Framework (LGFF) grant program.

In his reply, McIver said the Town of Olds has received money not only from the province directly via LGFF, but also through the Canada Community Building Fund (CCBF), a joint federal/provincial program that provides grants for infrastructure construction and upgrades.

“Between the fiscal years 2024/25 and 2026/27 the Town of Olds has been allocated more than $4.03 million in LGFF funding, and for fiscal 2024-25, the town was allocated $586,489 in CCBF funding,” McIver wrote.

“Under the LGFF and the CCBF, water and wastewater infrastructure construction and upgrades are eligible and the town has the flexibility to determine which projects to fund, based on local priorities.

“The town also has the option to reallocate funds from current approved projects to other eligible projects if they are deemed a higher priority.”

McIver noted the provincial government recently announced another grant program for infrastructure, the Local Growth and Sustainability Grant (LGSG).

He said the sustainability component of that program is designed to provide financial assistance for situations “beyond a local government’s means and where the health and safety of residents are at immediate and significant risk.”

McIver said in the case of Olds, “it appears the infrastructure issues the town is facing do not meet the criteria of the LGSG sustainability component.”

McIver said he discussed the municipality's financial concerns, including wastewater piping and treatment, during the Alberta Municipalities 2024 fall convention.

McIver said he told Olds officials that the Alberta Transportation and Economic Corridors ministry runs the Alberta Municipal Water/Wastewater Partnership and Water For Life programs which” support” water and wastewater facilities.

He said Transportation and Economic Corridors Minister Devin Dreeshen was told about Olds' desire to obtain grants to build and upgrade its infrastructure.

“I encourage the Town of Olds to continue to evaluate its capital infrastructure needs and direct LGFF and CCBF funding to projects of the utmost priority,” McIver wrote.

Town council accepted those letters and others as information during its Jan. 13 meeting.

The Albertan reached out to mayor Judy Dahl for comment on these letters but no reply was received by press time.

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