Morden Wastewater System Upgrade Project Hits Roadblock Due to Funding Gap

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In May 2023, the City of Morden issued a news release announcing the completion of evaluations for upgrading our wastewater treatment system. It was determined that a lagoon-based Moving Bed Biofilm Reactor (MBBR) treatment system was the recommended option, based on a Class-D cost estimate of $70 million. 

Over the summer and into late fall of 2023, our engineering firm continued design work on the project, resulting in preliminary design costs ranging from $88 million to $108 million, significantly exceeding the original estimate of $70 million. With available federal and provincial grant funding totalling $37 million and the city’s borrowing limit set at $38 million which will be passed on through increased taxation and Utility Rates, we face a shortfall between $13 million and $33 million—a cost we cannot incur without further increased taxation! 

We assure our residents that we have thoroughly examined all options, from rebuilding onsite to constructing offsite, and have renewed discussions with partners and stakeholders. The financial implications of these options are a significant concern for both Council and our Administration as we strive to minimize the financial burden on our business community and residents. 

The primary barrier to progress is funding. Additionally, Council has recently undertaken further feasibility studies to explore other potential solutions and funding strategies. These studies are essential to ensure that we make the most informed and fiscally responsible decisions for our community's future. 

While the Province of Manitoba has provided financial support for this project, there remains a substantial gap between the project cost and the available funding. Therefore, continued efforts are necessary to lobby all levels of government for additional funding assistance to continue on a path forward for construction.