IQALUIT
Iqaluit city councillors invoked their campaign pledges to tackle the city's spending problem while proposing a hike in residential water rates Dec. 10.

Iqaluit Coun. Simon Nattaq debates the water rate hike Dec. 7. Council forwarded a recommendation to increase the city's residential water rate to two cents per litre in an effort to eliminate the water fund's deficit within two years. - Stewart Burnett/NNSL photo

"When we were campaigning we promised that we were going to eliminate the debt," said Coun. Kuthula Matshazi, echoing a similar sentiment from Coun. Megan Pizzo-Lyall a moment before.

"I think in terms of where we land, whether it's Scenario 3 or Scenario 4, to me and people I've spoken to, if we come up to a reasonable raise but also at the same time be seen to be addressing some of the structural issues that have affected our cash flows for this fund, people might accept our intention."

The scenarios he referenced were part of city administration's package of suggested options, including keeping water rates at the status quo or going as high as three cents per litre.

Council finally settled on two cents per litre, up from the current one cent per litre. Administration told council the higher rate would likely eliminate the water and sewer fund deficit in two years, barring unforeseen impediments.

Understanding what the proposals mean for an average user's water bill was muddied by Government of Nunavut subsidy numbers. Mayor Madeleine Redfern took to Facebook to explain it in plain English.

"The average trucked water household uses 14,000 litres and currently pays $80 a month," she stated. "Under the new proposed rate the same homeowner would pay $98 a month under the new rate.

"The average piped household uses 16,500 litres a month, costing $94.55 a month. Under the new proposed rate, the same amount of water will cost $115.50."

During the budget meeting on Dec. 10, Redfern said the Government of Nunavut has been clear with the city that each fund needs to be balanced.

Director of corporate services John Mabberi-Mudonyi told council that eliminating the water and sewer fund's deficit would help prepare the city for the aquatic centre's debt to come on board.

"It would be nice if by then (2017) all these other deficits are eliminated so we can focus on how to handle the, I hate to say this, but the aquatic centre," he said, reticent to mention the divisive elephant in the room.

Coun. Terry Dobbin took issue with the optics of the rate hike combined with a cutback in trucked water deliveries known as Waterless Wednesdays.

"We're not consulting with our residents, we're just going ahead and integrating policies," said Dobbin, comparing Iqaluit to the City of Yellowknife, who host budget meetings for residents to give their feedback.

"Everybody talks about transparency and communication but nobody communicates with the residents of Iqaluit. We should all start taking a lesson from the City of Yellowknife and start consulting with our residents before we integrate stuff like this that affects their bottom line. We're asking for money but yet we're cutting back on services."

Redfern recognized that the Waterless Wednesdays decision is having an effect and said a discussion about that is still on the city's agenda in the future. She also stated on Facebook a new water truck will be purchased from the 2016 water and sewer reserve fund.

Council unanimously voted to send the two cents per litre proposal forward, which means it will still appear on a city council agenda and have to be approved before being enacted.

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