Title
Bylaw 2026-10 - Infrastructure Borrowing - Acheson Zone 3 Wastewater Rehabilitation
Proposed Motion
That Bylaw 2026-10 - receive first reading.
Body
Administration Recommendation
Administration supports the proposed motion.
Purpose
In accordance with Sections 251 and 258 of the Municipal Government Act, Council is required by Bylaw to facilitate long-term borrowing of funds.
Summary
The project has two primary objectives: reduce wet weather flow and optimize future infrastructure planning. Both objectives will provide system capacity to accommodate near term growth in Acheson Zones 3, 5 and 7. These improvements will defer high cost system expansions to later timelines and maximize use of existing assets.
Design was initiated in 2025 with construction scheduled for 2026, 2027, and 2028.
The cost of the infrastructure is not to exceed $3,150,000 and will be accommodated by debt borrowing. The anticipated interest rate is to be determined but is not to exceed 10 percent over a term not to exceed 30-years, as outlined in Bylaw 2026-10.
The repayment of the indebtedness for infrastructure, plus any interest expenses, is to be funded by utility rate revenue, municipal taxes and/or restricted surplus funds.
Administration will use an authorized financial institution or Province of Alberta, to facilitate the debt borrowing needs.
Historical Information:
-2025 Budget – Funding of $150,000 was approved for the design phase of the Acheson Zone 3 Wastewater Rehabilitation project.
-2026 Budget (APP 25-087) – Capital funding of $1,000,000 was approved for construction as part of the 2026 Budget.
-Multi-Year Approval – Funding for the 2027 and 2028 phases of construction is anticipated to be considered through RFD 26-046, which will seek multi-year budget approval to complete the project.
Strategic Plan/Policy/Legal/Staff Implications:
Municipal Government Act - Sections 251 and 258
Financial Impact:
Cost: $3,150,000
Source of Funding: Debt