CANMORE – A $25-million influx of provincial money is being sought after for the Cougar Creek flood mitigation project to hopefully have it finished in 2024.
Canmore council approved a budget increase for the project from $49 million to $78.1 million, with $4.1 million coming from provincial grants and remaining $25 million yet to be determined, but expected to come from provincial grant funding.
Mayor Sean Krausert said reading off the numbers was painful, but completing the project is a top priority for the community.
“Nobody likes increased costs … I harken back to the experts' opinion we have to set a direction and we have to see to completion for the safety of our community,” he said, noting the area has more than 4,000 residents, a third of the community’s businesses, more than $1 billion in property value and the Trans-Canada Highway and CP Rail line.
“There’s a lot to protect. There’s a lot at risk. While these costs are extensive, I’m hopeful that the province will be able assist us.”
A staff report to council emphasized the awarding of the project will only take place when both council approval and grant funding has been received.
It highlighted $23 million is for construction, $3 million for engineering and material testing and the remaining $3.1 million is for a contingency fund.
The report also emphasized provincial and federal stakeholders were briefed on funding, but notes if the project continues into 2025, the funding contingency would likely be insufficient and a further budget amendment potentially needed.
“Should grant funding be obtained by early summer 2023, work can be completed by end of 2024 – one year ahead of existing planned schedules,” a staff report stated. “Early grant funding would enable an immediate continuation of current efforts to construct most of the dam embankment before the winter, and the full dam embankment ahead of spring freshet.
“Due to sensitivity of timing of work with the potential 2024 flood season, any material delay in obtaining grant funding and awarding the next phase of work will result in a substantial change to schedule, and earliest completion by 2025.”
Krausert and a contingent from the Town met with Minister of Environment and Protected Areas Rebecca Schulz to discuss the project and need for funding.
The Cougar Creek flood mitigation project was originally approved by council in 2015 for $37.1 million. The budget increased to $49 million in 2017, with funding coming from provincial and federal grants to help with design and culvert improvements.
The Town was on the hook for $4 million, while the province provided $21.3 million and the federal government $14.4 million.
However, significant delays from late 2021 to early 2023 forced the Town to end its contract with Flatiron Constructors Canada Ltd. because the project was two-and-a-half years behind.
“The project was stalled at the point of maximum excavation, with significant work remaining to complete,” stated the report. “In the short-term, this condition put the project at significant risk of impacts due to high rainfall and spring runoff, as was experienced in 2022.”
The Town and Flatiron went through a formal dispute process, including about 12 facilitated sessions, with technical items being resolved but the delays left unanswered. A without-cause end to the contract was ultimately negotiated.
The mitigation work was needed following the 2013 floods that caused millions of dollars in damage and evacuation of about 1,200 Canmore residents. The CP railway tracks were nearly washed out and the Trans-Canada Highway was also cut off.
The Town has several flood mitigation projects ongoing or upcoming, but Cougar Creek remains the largest and most important due to its proximity to residents and businesses.
The project was meant to be finished in 2021, with landscaping and reclamation finished in 2022. However, the completion date has been continually pushed back and was estimated to be in 2025.
“Throughout all of this, there’s been uncertainty. There’s never been a clear path,” said Andy Esarte, the Town’s manager of engineering. “We’re finding our path through the science and through the information and through the work, but we’ve taken each step as diligent as possible knowing each new season brings the potential for the next big flood to come along.”
The Mount Lady Macdonald trail has been closed for the duration of work, but reopened shortly before Canada Day. Cougar Creek Canyon is tentatively planned to reopen later this year.
The province approved the mitigation project in 2020 for $48 million after the Natural Resources Conservation Board (NRCB) gave its stamp of approval in 2018 and the OK to a revised project application in 2019.
The tender was awarded to Calgary-based Flatiron Constructors Canada Ltd. for $32.8 million in 2020 and several local sub-contractors are part of the project.
Ironclad was awarded a $5.29 million contract earlier this year to complete embankment foundation work, with half of the $2 million contingency spend, according to the staff report, adding it was “felt to be the most difficult and important for the project.”
The report noted Ironclad’s work did “substantial completion of the project” including some construction to help with high rainfall, embankment foundation, drilling and grouting.
“Successful completion allows for removal of upstream diversion works, removes uncertainty with ground conditions and flood impacts on the excavation, and leaves a clear path to project completion,” stated the report.
