CANMORE – With a series of infrastructure projects on the horizon, elected officials in Canmore are looking at a potential capital budget of $27 million in 2022.
The largest of the projects – the $14.65 million carbon neutral eight-bay fire station on Palliser Trail – will take up more than half the budget, with construction set to begin early in the new year.
Whitney Smithers, the general manager of municipal infrastructure, told council because of the large funding required for the fire hall other town departments scaled back budget requests to accommodate the upcoming project.
“It’s atypical because there are capital projects that have been pushed out to future years to make room for the fire hall,” she said.
Other sizeable financial costs are phase 1 of the Bow River west pathway for $1.5 million and the water upgrade for Old Canmore Road for $1.025 million. Ongoing street and drainage rehabilitation is budgeted for $1 million in 2022.
The capital budget highlights the projects for the Town in the upcoming year, while also noting where the funding will come from and the length of potential debt financing.
Among other highlights are $750,000 budgeted to help with the five ongoing litigation cases with Three Sisters Mountain Village Properties Limited.
“Due to the uniqueness and magnitude of this event, the administration is proposing that the Town’s response to the legal actions be characterized as a project for budget purposes,” the report stated.
“The requested funds will be applied towards the Land and Property Rights Tribunal (LPRT) proceedings concerning the area structure plans, for any appeals of the LPRT decisions to the court of appeal if directed by council, and for responding to the judicial reviews if they come out of adjournment during the 2022 budget year.”
The LPRT is expected to start in February 2022, while the two judicial reviews are on hiatus while the LPRT is taking place. A fifth suit is in regards to zoning in the area of Quarry Lake. The Town is also looking at budgeting any potential appeals that come from an LPRT decision.
A renovation of the Canmore RCMP building – including a new roof – is budgeted at $800,000, with the Town covering the costs and the RCMP managing the project.
The rooftop solar panel expansion on the recreation centre is budgeted at $530,000, with $400,000 coming from the Municipal Sustainability Initiative. An estimated 19 per cent of the building’s electricity usage will be offset by the panels.
A heliport location study for $75,000 will be considered to potentially look at a new location for the Canmore heliport and $160,000 to begin studies for the downtown area redevelopment plan to update the existing Town centre enhancement plan.
Studies for the Palliser area structure plan are budgeted at $100,000, which if approved, would replace the 2000 ASP and create a revised vision for the lands in the area.
“With continued growth pressures within the Town, the lands within the Palliser area provide opportunities for future development that could contribute to alleviating the need for affordable house, commercial and light industrial lands,” a capital report stated.
“This plan will establish a vision for the area that reflects currents needs and provides the necessary high-level policy direction to guide development in this area into the future.”
The first phase of the Bow River west pathway project will have asphalt improvements from the Bow River bridge to the asphalt pathway in Three Sisters. The upgrades will feature separate walk and cycle segments, depending on the area. The project is scheduled for a 2023 completion.
The paid parking for the Town centre is budgeted for $100,000 to add pay machines, signage and other infrastructure needs. The playground at Lions Park will be replaced for $480,000 and feature a more accessible playground with a rubber surface.
The staff report noted there are three low priority projects for 2022 accounting $335,000 in the capital budget and in the five-year plan it is $7.4 million for additional priority projects. The upcoming year will have 46 individual funded projects.
Chelsey Richardson, the Town’s manager of finance, told council the total replacement value for municipal assets is worth about $1.2 billion and total roughly 27,000 different assets.
“This large amount of assets require responsible practices in regards to their acquisition, operation, maintenance and rehabilitation and eventual replacement or disposal. We’re trying to maximize the environmental, social and economic benefit, considering again, both current and future needs evaluating the options or opportunities as they arise. We try to carefully manage the risk and provide the service levels in a sustainable manner,” she said.
She added the Municipal Sustainability Initiative (MSI) will be winding down in the coming year following a decision by the province earlier this year. She said the town is heading into 2022 with $9.5 million from the fund – the majority being used to offset costs for the fire hall – and $2.6 million in 2023 followed by $3.25 million in 2024.
“We’re hoping the $2.6 million is conservative, but we just don’t know. We are by the end of the five-year window using up most of our MSI allocations,” she said.
According to figures, between capital, utility, vital homes, development and operating reserves, the Town has more than $40 million in the bank for 2022, which is anticipated to grow closer to $50 million by 2026.
The initial budget process began earlier in the month when council received an overview for an operating budget of $61.2 million, which would serve as a $3.4 million increase from the prior budget.
Under the Municipal Government Act, municipalities in Alberta are unable to run a deficit, meaning all expenses have to be covered through some form of revenue.
Close to half of the funding for the proposed 2022 capital budget will come from grants at 44 per cent of the $27 million, with debt attributed at 27 per cent and 23 per cent from reserves.
The Town of Canmore has a capital planning period of five years to help forecast planned and potential projects further down the line to aid with budgeting and keep surprising hefty bills to a minimum.
The five-year capital forecast has a funded plan of $128.5 million.
Major projects in the 2022 capital budget
- Construction of the new fire station: $14,650,000
- Phase 1 of the Bow River west pathway: $1,500,000
- Old Canmore Road water upgrade: $1,025,000
- Street and drainage rehabilitation for 2022: $1,000,000
- RCMP facility enhancements: $800,000
- TSMVPL litigation: $750,000
- Expansion Lions Park tennis court: $750,000
- Expansion of recreation centre rooftop solar panel: $530,000
- Complete street improvements Railway Avenue design: $500,000
- Phase 4 of biological aeration filtration and headworks lifecycle at the wastewater treatment plant for 2022: $500,000
