CBRM council considers eliminating broad sewer tax, implementing user fee

Cape Breton Regional Municipality is considering a tax change that would take sewer charges off of rural properties and make only urban users pay for the service.

But some councillors are hesitant to agree with the policy without knowing exactly how much money some would save and others would pay.

All property owners in CBRM pay for sewer service on their tax bills. The amount varies depending on their property's assessed value.

But with the increasing cost of providing the service, some councillors want to make the system fairer by charging users a sewer fee for the amount of water they use.

Coun. Steve Gillespie said most residents in his rural district have their own septic system and don't have access to the municipal sewer service.

"They're paying for somebody else who overuses water and that's a problem," he said during Tuesday's council meeting.

CBRM utilities manager Greg Campbell told council staff had hoped to make the switch starting next April, but the provincial government was unable to pass the necessary legislation this year.

The cost of wastewater service is expected to rise to $11.8 million in the coming fiscal year, he said, and the sewer rate is not sufficient to cover the cost.

Campbell recommended council pass an interim user fee in the spring and aim for full implementation in April 2025.

Coun. Darren Bruckschwaiger expressed concerns about the unknown effects of switching.

He and others worried the change could hit community rinks and people with low income especially hard.

"We know the poverty rate," he said. "We know the median income is $24,000 less than [Halifax]. There's a lot of hurt here."

Coun. Lorne Green said council should wait until staff could provide accurate numbers on the tax savings for rural properties and the cost for users.

"Councillor Bruckschwaiger hit on it very early that we should take a deeper dive, perhaps step back and take a pause because there's no rush to this," Green said.

"It's not legislated yet, so there's no rush to have this done today."

Coun. Earlene MacMullin said she supports the idea. She said delaying a decision would just prolong the pain for those who don't get the benefit, but still pay for the service.

"If we choose to just push this off, all we're doing is just saying, 'Well, I really don't want to make a tough decision right now, so we'll just keep everyone paying for it until I know what to do.'"

Council voted 7 to 4 to have staff start the process by drafting a bylaw that would set an interim sewer user fee.

But Deputy Mayor James Edwards said the financial implications for individual property owners will not be known until the new year.

"That's all yet to be determined, but it's a work in progress," he said.

CBRM staff say the numbers will become clearer during budget discussions when new property assessments come out.