Winnipeg councillors vote to raise water, sewer rate increases

Winnipeg residents will see increases to their water and sewer bills in the coming years, thanks to rateincreases that have beenapproved by city council.

Councillorsvoted 11-5 in favour of the rate increases on Wednesday afternoon,meaning rates will go up by9.2, 8.9 and 7.4 per cent in each of the next three years respectively.

They also voted against a motion by two councillors to have the provincial governmentrefer those rate hikes to the Public Utilities Board so public hearings couldbe held.

Elmwood-East Kildonan Coun. Jason Schreyer and Transcona Coun. Russ Wyattpresented the motionin a bid to have rate increases reviewedfor 2016, 2017 and 2018 by the board,whichalready oversees water and sewer rates for every other municipality in the province.

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The motion saidthe "dividend" from the increases, and the water and waste department's capital budget and business plans should also go before the PUB.

Schreyercalled the rate increases a regressive tax that unfairly hits people with modest incomes the hardestfor water somethingthat everyone needs.

"This goes against the way that Canadians feel taxation should be. Basically the way taxes work in our country is based on an ability to pay," he said.

Winnipeg is in the midst of massive upgrades to its water treatment system (work on major projects at the city's four sewage plants is now pegged at $990.28 million) but not all the cash from fees is earmarked for the improvements. The city would take about $32 million of the revenue in the coming year and put it into a general reserve fund.

Manitoba's previous NDP government had promised the City of Winnipeg an extra $100 million for water treatment system upgrades, and councillors say they want to see the same commitment from the incoming Progressive Conservative government.

"Hopefully the provincial government gives us some relief and we can reduce the rates. That would be ideal for us," said St. Vital Coun. Brian Mayes.

But on the question of referring rate increases to the PUB, Mayes said what a number of other councillors said at Wednesday's meeting.

"Ultimately it's a matter of we are the elected people and I think it's democratic that we are the ones that set the rates," he said.

While Mayor Brian Bowman voted in favour of raising water and sewer rates, he wishes he didn't have to do so.

"Quite frankly, I wish we didn't need to. It's not something that anyone in the positions that we're in enjoys doing, but this is a practice that has been done for many, many years," he said.