Iqaluit budget pours more money into more water upgrades
Capital plan totals $73.9M; operating budget runs on $5.3M surplus
Iqaluit councillors approved the city’s capital plan and operating budget for next year at Tuesday’s meeting, which was the final meeting of 2024. (Photo by Jeff Pelletier)
Millions of dollars will continue to flow into Iqaluit’s long-term water upgrades following passage of the city’s 2025 budgets.
Iqaluit councillors approved the city’s capital and operations plans for next year at their final meeting of 2024 Tuesday night.
The capital budget — which covers equipment purchases and major projects — totals $73.9 million.
Within that, $29.1 million is allocated for water infrastructure improvements around the city.
The money comes from $214 million the city received in 2022 from the federal government for these upgrades. Next year, that spending will include $8.3 million on a new water intake valve and $6 million on infrastructure upgrades to Astro Hill. Money will be spent on other utilidor and pipe upgrades as well.
Another $21.7 million is planned to be spent on sewer work.
The city is also planning several vehicle and equipment purchases at a total cost of around $4.9 million. That includes new water and sewer trucks, four new garbage trucks and two new ambulances.
“It’s not as much of a fun and shiny capital budget or plan as we’ve had in past years, but I do think it is a necessary step for our city to take for a while to deal with some of the critical infrastructure shortages that we’ve had,” said deputy Mayor Kim Smith.
That comment was directed to Peter Tumilty, the city’s director of corporate and financial services, who presented both budgets at Tuesday’s meeting.
“I think anything to do with water and sewer is fun and shiny, and I’m excited to see this much being allocated to that this year,” Coun. Kyle Sheppard said.
“That’s the backbone that’s going to allow us to build more housing in years to come.”
Sheppard said he hopes the city will spend “every cent of this plan.”
The city’s 2024 capital plan was set to total $82.4 million, but that amount was reduced to $65.2 million following a review.
The 2025 operations budget — which covers salaries and day-to-day costs — is again running on a surplus, this time at $5.3 million.
The expenses on this spending plan total $74.7 million, which is an increase from $58.7 million approved for 2024.
Water and sewer costs take the biggest chunk at $14.9 million. Approximately $4.2 million goes to salaries and benefits and close to $6 million goes to running the city’s utilidor system.
Iqaluit’s sanitation, recreation, emergency services and community development departments will all see an increase in spending.
The city is expected to take in $80 million in revenue next year, up from $60.7 million in 2024.
Water bill revenue is one of the biggest changes, with the city projected to take in $25.4 million, up from $11.5 million in 2024.
Earlier this year, city council voted to cut residential water rates in half and increase the rates businesses and government are charged. That rate change explains the new expected revenue, Tumilty said.
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