Editor:
It has been leaked that an agreement has been reached with EPCOR to take over the operation and maintenance of Banff’s stormwater, water and sanitary services, including the wastewater treatment plant that EPCOR currently runs.
Given the long-term ramifications of this deal I believe that it is absolutely necessary that Banff taxpayers be made aware of the details of this tentative agreement so we can provide feedback to the Town before council deliberates on and ultimately passes this contract.
This deal was likely negotiated with the input of Paul Godfrey, Town of Banff operations manager. Previously, Mr. Godfrey was an EPCOR employee who worked as site manager on EPCOR’S Canmore contract.
Cathy Ellis reported in an article titled “Banff Looks At Privatizing Services,” published in the Dec. 13, 2012 Outlook, that “If a decision is eventually made to contract out the entire water and sewer operations, officials say the municipality would still own the systems and set the rates for utilities.”
For everyone’s information, EPCOR is a large “for profit” corporation owned by the City of Edmonton.
Retaining the ability to set all water-related utility rates is hugely important to Banff taxpayers. Realistically, costs to Banff ratepayers will be determined by the costs incurred by EPCOR plus the profit that Epcor will require. Additionally, real costs must include replacement of Banff taxpayer-owned equipment as it deteriorates.
EPCOR provides essentially the same services for the Town of Okotoks, whose residents pay rates that range from 30 to 77 per cent more than the current rates Banff taxpayers pay.
Thanks largely to the Redford government’s decision to eliminate the averaging and capping formula which pertains to education taxes, Banff residential taxpayers are faced with a 6.5 per cent tax increase. Commercial taxpayers are facing an increase of 4.24 per cent. Education property taxes paid to the Province are increasing by 11.94 per cent – way above inflation. Canmore, where MLA Ron Casey was formerly mayor, will experience a reduction in education taxes.
Additionally, the Redford government will also reduce Municipal Sustainability Initiative (MSI) funding paid to the Town of Banff by “$165,000 less in MSI capital grants, as well as $12,000 less in MSI operating grants than last year.”
Currently, Banff taxpayers are faced with a steep tax increase.
In future, Banff taxpayers could suffer a steep increase in the cost of water and sewage processed by EPCOR as a result of the anticipated contract.
Banff Council must be very careful, and very open, when negotiating with EPCOR.
Jon Whelan,
Banff
