CANMORE – The Cougar Creek flood mitigation project will be looking for an influx of $29.1 million in provincial funding to have the long-term project completed in 2024.
Town staff are asking at council’s Tuesday (July 4) meeting for the budget increase from $49 million to $78.1 million, with $4.1 million coming from provincial grants and the remaining $25 million yet to be determined, but expected to come from provincial grant funding.
“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.”
The staff report emphasized the awarding of the project will only take place when both council approval and grant funding has been received.
A staff report highlights $23 million is for construction, $3 million for engineering and material testing and the remaining $3.1 million as a contingency fund.
The report also emphasized the province and federal stakeholders were briefed on funding, but it notes if the project continues into 2025 the funding contingency would likely be insufficient and a further budget amendment potentially needed.
The Cougar Creek flood mitigation project was originally approved by council 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 led to the Town ending its contract with Flatiron Constructors Canada Ltd. with the project 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 that had about 12 facilitated sessions, with technical items being resolved but the delays were left unanswered. A without-cause end to the contract was ultimately negotiated.
The mitigation work was needed following the 2013 floods that led to millions of dollars in damage and the evacuation of 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 continually been pushed back and was estimated to be in 2025.
The Lady MacDonald trail has been closed for the duration of work, but reopened Friday (June 30).
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” that achieved targets set for the work that included 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.
