Sicamous council will be seeking the public’s support to borrow more than $4 million in order to take advantage of federal and provincial grant money for sewer system upgrades.

District staff and council learned in September that Sicamous would be in receipt of Building Canada infrastructure grant funding to the tune of $6 million, or two thirds of the cost of the proposed upgrades. The district is responsible for raising its third. The upgrades include extending municipal sewer to phases 1B, 2, 4, 5, 6, and the west side of the channel. Sewer infrastructure will also be provided within the Two Miles subdivision. Connecting Two Mile to the municipal system, however, remains the responsibility of the Bayview and Wiseman Creek developers.

Last week at the district committee of the whole meeting, administrator Alan Harris recommended that council establish what is referred to as a local service area on council initiative subject to petition against, in order to capture those phases to be upgraded. In a report to council, Harris says this approach can be used by council to “if the area to be served is large or if the service is proposed by council rather than by property owners.” To contest this, Harris added, a petition signed by the owners of at least 50 per cent of the parcels that would be subject to the local area tax. In addition, those signing must represent at least half of the assessed value of land and improvements subject to the tax.

This approach was unheard of by council, but was supported nonetheless.

“I think the majority of people in the community want sewer,” said Coun. Ken Thomson. “It’s something they’ve been asking for. And we’re not going to get another $6 million grant, so I think they’ll vote for it. I’m hoping they’ll vote for it.”

Council’s next challenge was choosing from a list of borrowing options provided by Harris.

One option was to borrow just the necessary $3.09 million. A second option adds a 10 per cent contingency on the total cost of the project, requiring the district borrow $4.02 million.

With both came the option of paying over a 20, 25 or 30-year period, or a single commuted value payment, paid either through parcel tax, or a property value tax based on assessed property values (for residents, $3,705 with option one and $4,817 with option 2, based on an assessed property value of $300,000).

These costs, noted Harris, would only include running a service connection up to the property line, and does not include the actual connection of the property to the municipal sewer system.

Mayor Malcolm MacLeod and Thomson suggested that option one with the $3,700 bill might be easier to sell to Sicamous residents.

“We’ve said we’re going to do it for $3,500 and, realistically, we probably can’t do it for $3,500,” said Thomson. “Forty-eight hundred is a long way away, and we’re going to get some opposition… And we’re doing this because we’ve added 10 per cent on the cost. That’s $1 million over budget. I think that’s just crazy.”

Harris later explained that with option one, if development costs should go over, requiring the district to borrow more money, council would have to wait a year and then go through the borrowing process all over again.

When it came down to making a decision, all but Coun. Lynn Miller were in favour of option two, to be paid back over a 30 year period.

Coun. Fred Busch said he favoured the 30 year option, suggesting he might not be around to pay it all back.

“Given the age of the population of Sicamous, 30 years might be the selling feature…,” Harris commented.

The next step is to take the matter to council for first and second readings.

Harris said there would be a public open house, possibly two, and additional information will be posted on the district’s website.