Budget 2022: Water Operations

Gibsons’ water infrastructure includes the pipes, pumps, wells, reservoirs and meters that move water from the environment to your tap, as well as the Gibsons Aquifer, which stores and provides the Town’s naturally pure groundwater. The Sunshine Coast Regional District supplements this water resource during peak demand times and for fire flow, if necessary.

On March 15, 2022, Council adopted Town of Gibsons Rates, Fees and Charges Amendment Bylaw No. 1196-21, 2022. The Bylaw reflects a 5% increase to the current Water Parcel Tax and User Fees and a 5% increase to the current Sanitary Sewer Parcel Tax and User Fees.  For residents, this represents an average annual increase of $43 for water services and $33 for their sewer services. Read the related Staff Report here.

On January 25, 2022, the Director of Finance presented an update to the Long Term Financial Plan for Water Services and the Director of Infrastructure Services presented the one and five-year capital plans for water infrastructure.

A report on the 2022 Preliminary Water Operating Budget was also presented.

Highlights of the meeting include:

2022 Revenue

Total operating revenue is budgeted to be $2,011,337, an increase of $181,355 over 2021.

The increase is related to two factors:

  1. Additional taxes/user fees as more properties are connected to the Town’s water system throughout the year. An additional 54 parcel taxes will be collected in 2022.
  2. A 5% increase in parcel taxes and user fees, which is made up of a 2% inflationary increase and a 3% asset replacement increase.

Each year, the Town’s water rates are reviewed to ensure they reflect all current and future costs associated with the Town’s water infrastructure. Based on this review, the Finance Department is recommending that Gibsons’ Council approve an overall increase of 5% in the Town’s water rates in the 2022 budget. Higher rates help ensure the Town has the funds it needs to continue delivering reliable water services for the long-term.

2022 Expenses

Total operating expenses are budgeted to be $1,330,968, a decrease of $117,013 over 2021.

The decrease is largely related to a reduced transfer to reserves as compared to last year.

Net Surplus

With total budgeted revenues of $2,011,337 and total expenses budgeted at $1,330,968, a net surplus of $680,370 has been forecast. This surplus will be used to fund a portion of the current year capital and projects program.

Capital and Projects Program

For 2022, $2.202 million has been budgeted for water projects, with $1.623 million of that related to adding Well #6 to the Town’s water infrastructure. Other planned projects include a watermain replacement ($348,000), improvements at Well #3 Pumphouse ($76,000) and completing the update of the Aquifer Mapping Study ($35,000).

To view a complete spreadsheet of planned 2022 Water Projects, please click here.

To view a complete spreadsheet of planned Water Projects 2022 – 2026, please click here.