Community Issues Committee recommends critical upgrades at the Wastewater Treatment Plant

The City of Lethbridge is prioritizing safety, reliability and long-term affordability as it plans for the future of essential infrastructure.

During its May 13 meeting, the Community Issues Committee (CIC) voted unanimously to recommend moving ahead with critical upgrades at the Lethbridge Wastewater Treatment Plant (WWTP). The recommendation includes expansion design and construction to increase capacity by 50 per cent, or 20 million litres per day (ML/D), along with a pre-treatment facility for industrial customers.

The plant was last expanded in the 1980s, and the system is now operating close to capacity. The proposed expansion is needed to keep wastewater services reliable, reduce the risk of major failures and support the city’s future growth. Delaying the project would likely increase future costs and create greater risks for residents and businesses, costing taxpayers more in the future.

“The wastewater treatment plant is one of the City’s most important pieces of infrastructure and supports homes, businesses, schools, hospitals and services across Lethbridge. This project is about fixing and expanding critical infrastructure now rather than waiting for a larger and far more expensive problem later,” says Joel Sanchez, Director of Infrastructure Services. “A major wastewater system failure could disrupt services for residents and businesses, and create significant environmental and financial consequences. Expanding wastewater capacity also helps ensure Lethbridge can continue growing and attracting new investment and jobs.”

The project was originally scheduled for consideration in the 2027-2036 Capital Improvement Program (CIP). At the May 13 meeting, Councillor Rajko Dodic introduced a motion to expedite the project and proceed with the expansion now. Approving the project involves several key considerations, including:

• reducing the ongoing risk of major failure
• enabling early contractor involvement
• minimizing scheduling delays and further cost escalations

Administration also presented a detailed Water and Wastewater Utility Financial Analysis. The construction cost is estimated at $285 million, funded through borrowings and reserves. Administration recommended a rate-funded repayment approach.

Lethbridge currently has among the lowest wastewater rates in Alberta – about 60 per cent below the provincial average rate. Even with the recommended increases, Lethbridge’s rates would remain comparatively affordable.

To support the project, the recommendation includes an annual wastewater rate increase of 18.05 per cent from 2027 – 2030. This results in an average monthly residential wastewater bill increase of:

• 2027: $4.42
• 2028: $5.21 ($9.63 cumulative)
• 2029: $6.15 ($15.78 cumulative)
• 2030: $7.27 ($23.05 cumulative)

“This is the largest infrastructure project in the City’s history, and it requires major investment,” says Mitch Stevenson, Financial Planning and Budget Manager. “We recognize that affordability is a real concern for residents. Even with the anticipated $23.05 cumulative monthly increase by 2030, Lethbridge wastewater rates would remain among the lowest in Alberta. Investing now helps avoid much larger future costs tied to emergency repairs, construction inflation and system failures.”

The CIC accepted the Water and Wastewater Utility Financial Analysis as information. The Committee also recommended that City Council direct Administration to bring forward a borrowing bylaw for first reading at the June 23 Council meeting.

Updates on future WWTP upgrades and expansions, and a detailed FAQ, can be found on the Get Involved Lethbridge page.

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