MAPLETON 鈥� Council here has directed staff to proceed with the implementation process to form a municipal service corporation (MSC).
The next step will be a 30-day public engagement process, which began on Jan. 28. 听
The purpose of the MSC is to give the township more flexibility in financing its water and wastewater upgrades.听
The township has plans for about $41 million worth of upgrades over the next three years.
鈥淎s a municipality you can only borrow so much against your borrowing limit,鈥� Reeba Arif from Graham Capital told council on Jan. 28 while presenting the outcomes of an MSC business case study.听
Township staff and Graham Capital worked collaboratively to create the case study.
鈥淐reating an MSC as a separate entity helps overcome these borrowing restrictions and really allows that financial flexibility,鈥� Arif said.听
Creating an MSC would also mean the debt from water and wastewater upgrades would not be included on the township鈥檚 balance sheet, and Mapleton could use its available borrowing capacity elsewhere, according to the case study.听
A board of directors, including township staff and private sector partners, would govern the MSC.听
All ownership and control over the operations, service and delivery of the water and wastewater projects would remain entirely with the township,听 Arif noted.听
Before establishing an MSC, townships must:
- develop a business case study for the MSC (this has already been completed);
- consult with the community about the plan to create an MSC (this is now underway); and
- adopt and maintain policies with respect to the transfer of assets.听
Water, wastewater upgrades
The planned upgrades include:
- pumphouse and standpipe upgrades to Moorefield鈥檚 water system, estimated to cost $6,327,154;
- decommissioning the existing Drayton sewage pumping station and constructing a new facility at the end of Queen Street, estimated to cost $12,919,277;
- upgrading Mapleton鈥檚 wastewater treatment plant to expand capacity from 900 to 1,300 square metres per day, estimated to cost $18,521,145; and
- smaller projects, including extending water and sewer distribution on 色控传媒Street South and Main Street and upgrading the wastewater pumping system in Moorefield, estimated to cost a total of $3,560,000.
鈥淭he majority of project costs are deemed growth related and are eligible for funding via development charges,鈥� states a Jan. 28 Mapleton finance department report. 听
鈥淭he MSC is set up to be self-sustaining entity where utilities pay for utilities,鈥� the case study states, and would provide transparency to rate payers, 鈥渃learly showing how the MSC鈥檚 assets are managed and paid for.鈥� 听
For more information about how creating an MSC would impact Mapleton, visit . To provide feedback, email msc@mapleton.ca.听
There will be a public meeting about the proposed MSC on Feb. 11 at 5:30pm.听 The public consultation period ends on Feb. 28.听
Following public consultation, Mapleton council will review the feedback and address comments as needed, before voting on whether or not to establish the MSC.
If council votes to establish the MSC, it will take about two months.听
