Lunenburgers are expected to pay a higher sewer rate to service new debt towards the Town’s Wastewater Treatment Upgrade and Expansion Project, now determined to be an estimated $6 million dollars under budget in the Town’s Capital Budget.
Town Engineer Tyson Joyce said a new estimate is at $16.86 million based on latest cost estimates, and the increase from the previous estimate of $9.98 million represents a “significant risk” to the project.
Joyce’s report says the Wastewater Expansion project is a “critical long-term project to improve our existing wastewater treatment process and increase the capacity of the Town’s system to support future population growth.”
Joyce suggested the Council approve the Town to apply to the Province’s Growth and Renewal for Infrastructure Development Program (GRID) for funding. If successful, the Province of Nova Scotia would pay $3.035 million, and the Town would still need to find the same amount in their Capital Budget.
The Town’s portion would be serviced through debt. Joyce’s report to Council said residences would pay approximately $72 per year additional through our sewer rate.
The report says, “If the Town does not apply or is unsuccessful in our GRID application, it will not be able to proceed with the WWTP Expansion Project without drastically impacting sewer rates and/or other capital projects.”
The news came to Council at the last opportunity for them to vote on the funding without calling a special meeting. Joyce said the deadline to apply to GRIDS was Dec. 13 – three days following the Council meeting. Council approved Joyce’s recommendation to pursue this application.
It was not announced when the Town expects to hear about whether the GRIDS funding is successful. The Barnacle will follow this story.
