A civic leader in Beiseker has strong opinions about Drumheller not allowing geographical restrictions to be lifted for Rocky View County.
Last week Drumheller Town Council voted to not amend its existing water agreement with Aqua 7. The deputy mayor of Beiseker, Ray Courtman, is an avid blogger and lashed out against Drumheller Council in its decision.
In his posting entitled “Drumheller Throws Up Road Blocks,” he says, “This is very frustrating. Drumheller isn’t even a member of Aqua 7, yet they’re calling the shots! All they do is sell us water. What we do with that water should be our (Aqua 7’s) business! That’s sort of like me buying a new car and the dealer telling me where and when I can drive it!”
He goes on to say that Drumheller is getting a “heck of a deal” by selling water, alleging that Drumheller is selling water at the same rate to Aqua 7 as it charges Drumheller residents.
According to the Town of Drumheller, it is selling water to Aqua 7 at a rate of $.98 per cubic metre. This is bulk cost for water alone. It does not include capital contributions for upkeep of the system, as Aqua 7 owns and maintains the distribution system.
Drumheller residents pay $1.32 per cubic metre of water. When adding the $10 flat charge based on meter size, it averages out to about $1.80 per cubic metre. This does not include wastewater treatment. Drumheller residents are charged $1.8001 per cubic metres based on consumption, plus an $11 meter charge.
While water is sold to Aqua 7 at $.98 per cubic metre, residents, according to the most recent bylaw posted on the Village of Beiseker’s website, pay $75.24 every two months for 18 cubic metres of water. They also pay a flat rate of $27 bimonthly for wastewater.
In comparing what customers pay in each community for 18 cubic metres, over two months for water and wastewater, residents in Drumheller would pay $91.68, while Beiseker residents would pay $102.24. The curve for Beiseker is steep with any more consumption beyond their minimum charge. Each additional cubic metre is $4.18.
While Drumheller’s rates are based on full cost recovery, the Village of Beiseker is saddled with its share of the expenses and debt bore by Aqua 7. According to the Rocky View Weekly story, Aqua 7's debt is pegged at about $13 million.
“We have to cover a lot of the other costs of our water through general revenue,” said Courtman.
Recently Aqua 7 received a grant of $1.785 million. The funds are provided by Alberta Municipal Affairs and Alberta Transportation and, according to The Three Hills Capital, depend on a formal financial recovery plan, being revised to take into account the new funding. Courtman said it doesn’t go far enough.
“That money has to be applied to restructuring our debt. It can’t be used to apply to the debt. We still have the same debt, we just now have been able to move it to a longer period of time to pay back,” said Courtman. “Our monthly payments are going to be smaller, the money will pay the penalty for that restructuring. It won’t lower the initial debt.”
With Drumheller not agreeing to new terms in the contract, he sees it as a missed opportunity for Aqua 7 to sell more water which would benefit all members of the commission. He said when the commission was being created, the geographical restrictions were simply lines on a map.
“We were all under the impression this line was arbitrary and could be moved very easily at any time at the wishes of the forthcoming commission,” said Courtman.
He said there have been considerations by members to pull out of the commission.
“Rocky View has every reason and right to pull out of the system, our mayor here in Beiseker has threatened to pull out,” said Courtman.