Okanagan Falls neighbourhood to vote on allowing government to take over utilities in need of pricey upgrades

Photo: RDOS

Property owners in the Heritage Hills neighbourhood of Okanagan Falls will be voting this weekend whether to let the Regional District of Okanagan-Similkameen take over operations of their privately-owned water and sewer utility systems which are in need of multi-million dollar upgrades.

The RDOS said Lakeshore Waterworks and Vintage Views Wastewater Utilities service areas will be hosting assent voting on Saturday April 12, from 8 a.m. to 8 p.m. at the Okanagan Falls Recreation Centre, located at 1141 Cedar Street in Okanagan Falls.

The RDOS had been approached by the private utility owner Johnny Aantjes to consider taking over the two systems for several years. In 2022, RDOS retained Ecora to complete engineering and financial assessments of the systems.

The results of the assessments were shared at a packed meeting in April 2024.

“Approximately $18 million is required to bring these services into compliance. This is a lot of money and ultimately the users will be responsible for this amount but the province and the feds could reduce the costs by providing grants,” said RDOS area director Matt Taylor at that meeting.

There are around 325 properties in the Heritage Hills area impacted.

In August 2024, the RDOS finalized an agreement with the operator, local businessman Johnny Aantjes, for the transfer of ownership. In September 2024, the RDOS Board of Directors supported proceeding to the next stages in the acquisition process. A public meeting was held in January.

In Aantjes’ opinion, it's in the best interest of the homeowners to vote yes.

“The money will need to be spent on upgrades no matter what, but it will be easier financially on homeowners if partnering with the RDOS because of the grants and funding opportunities,” said Aantjes.

If the utilities go public, government has access to low-interest long-term debt where as private owners do not, he said.

“I’ve been involved for 20 years, I’ve conceded what’s right for the community is selling the infrastructure, waterlines, the easements, the right-of-ways and licensing to the RDOS for $1,” said Aantjes.

“If it stays private there will be much greater short-term pain than spreading it out long term with the RDOS,” he added.

He believes it will take around six months to transition the systems over and another year or two to get things going to bring the systems into compliance.

Aantjes doesn’t believe the costs will be as high as the Ecora report indicated.

“Those were worst case scenario projections,” he said.

According to the RDOS, if they take it over, capital costs for the Lakeshore Waterworks utility will be covered through a parcel tax, estimated to be $2,869.17. For the Vintage Views Wastewater utility it will be a parcel tax, estimated to be $4,308.30.

In recent years the the sewer system has had environmental violations which amounted to over $190,000 in fines. In 2023 the sewer system was under two pollution prevention orders. As a result, the RDOS is no longer issuing building permits to new builds which includes 34 lots that remain vacant in one neighbourhood.

Aantjes said the systems were in violation because the standards set out by the Ministry of Environment and Interior Health continue to evolve and change and what was once allowable is not anymore.

“Standards are always increasing and the government’s expectations change and there is a cost to that. In my view, it’s not a level playing field for private operators so it’s in the best interest for the community to be public.”

Here are the voting questions:

Lakeshore Waterworks System:

“Are you in favour of the Regional District of Okanagan-Similkameen adopting Lakeshore Waterworks System Service Establishment Bylaw No. 3071, 2024, to operate, maintain, and upgrade the Lakeshore Waterworks System, and Lakeshore Waterworks System Loan Authorization Bylaw No. 3072, 2024, to authorize the borrowing of up to $13,530,000.00 (thirteen million, five hundred and thirty thousand dollars) for capital upgrades of the Lakeshore Waterworks System?”

Vintage Views Wastewater System:

“Are you in favour of the Regional District of Okanagan-Similkameen adopting Vintage Views Wastewater System Service Establishment Bylaw No. 3068, 2024, to operate, maintain, and upgrade the Vintage Views Wastewater System, and Vintage Views Wastewater System Loan Authorization Bylaw No. 3069, 2024, to authorize the borrowing of up to $6,962,000.00 (six million, nine hundred and sixty-two thousand dollars) for capital upgrades of the Vintage Views Wastewater System?”

The vote will take place on April 12. For more information click here.