County wants to use gas tax money for Kingsport water project

BY KIRK STARRATT

kstarratt@kentvilleadvertiser.ca

NovaNewsNow.com

The last community petition failed to secure the support necessary for the Kingsport water project to proceed. However, Kings County council now proposes to add federal gas tax funding to the mix to make the cost for residents more affordable.

Councillors discussed the latest staff recommendations relating to the project at the Tuesday, March 17 committee of the whole (COTW) session. After the last petitioning process failed to procure the required 40 per cent residential support, municipal staff recommended that notice be given to the Canada-Nova Scotia Infrastructure Secretariat to cancel the Municipal Rural Infrastructure Fund (MRIF) funding agreement for the Kingsport central water system.

Staff would develop a corresponding application for MRIF funding for the regional sewer treatment plant to utilize potentially the funds freed up from the Kingsport project.

However, council did not support this and instead directed staff to report back prior to April 30 on potential funding sources for the water project, including federal gas tax funds. If additional funding could be identified, a final resident petition could be undertaken.

Premier Rodney MacDonald announced in council chambers March 6 that the Building Canada Fund would support capital investment in the regional sewer treatment plant to the tune of $2,774,700, shared equally among the municipal, provincial and federal governments.

No ‘stacking’ allowed

Kings County Corporate Services director Bill McKennan said, because of this, the province probably wouldn’t approve the reallocation of the MRIF funds from the Kingsport water project to the regional sewer treatment plant because this would be considered “stacking” of various funding programs for the same project, which isn’t allowed.

The level of federal gas tax revenue allocated to the county has been increased and staff is now recommending that the municipality contribute $300,000 in gas tax funds to the Kingsport project; $150,000 from the current year’s allocation and $150,000 from next year’s allocation. The total cost of the Kingsport water project is $2.2 million.

McKennan said the revised project budget would include a $6,000 contribution from each resident who wants to hook up, down from $10,000 before. If more than the required 40 per cent want to participate, each resident would still pay $6,000, but the amount of gas tax funding the county contributes would be reduced correspondingly.

Wells affected by salt water intrusion increasing

Councillor Jim Taylor, who represents Kingsport, thanked municipal staff members for bringing the project closer to reality for those in the community who need water. The number of private wells in the vicinity affected by saltwater intrusion from the Minas Basin is increasing. “We’re attempting to bring the amount per household within the reach of 40 per cent of people in the community,” Taylor said, pointing out it wasn’t affordable to enough residents at $10,000. He said the latest funding approach would hopefully carry the project to the next phase. “Staff will move quickly for a petitioning process if this is approved,” McKennan said in relation to the latest recommendations. However, he pointed out that if the petition failed again, the project would be back to square one.

Councillor Eric Smith asked if residents would still be able to get water service for $6,000 if they were to sign up at a later date. McKennan said that under the current recommendations, residents would have a year to sign up at $6,000. The price would then increase in relation to the Consumer Price Index for inflation.

McKennan said, if council were to approve the recommendations at the April 3 session, staff would move immediately to work with the community association to get an information package and petition out to residents as soon as possible.

If the municipality moves quickly it can still meet deadlines tied to certain funding sources for the project. He said there would probably be a two-week turnaround time for residents to make a decision. If the petition fails, staff would take the direction of council at that time.

Councillor Basil Hall said sufficient time should be given to meet the required 40 per cent residential support. He said it would be too bad if the project was rushed and it died on the table.

The COTW voted to recommend council approval of the staff recommendations.