Summary#
Montréal city council unanimously adopted a position supporting an application to PRIMEAU 2023 for two water-infrastructure projects. The agglomeration council makes the final decision at a later meeting. City staff say the projects support the City’s goals for renewing water infrastructure and reducing drinking-water production per person.
- The application would seek funding for rebuilding the collectors and interconnection chamber 1 at Atwater water treatment plant, estimated at $147 million.
- It would also seek funding to upgrade the Côte-des-Neiges pumping station and reservoir, estimated at $66 million.
- The City commits to follow the program’s rules, take responsibility for the work and related damage, and pay its share of eligible costs and continuing operating costs.
- The City also commits to cover expenses if it misses program deadlines, all ineligible costs, 50% of the cost of eligible change directives, and any cost overruns.
What it means for you#
- People served by the projects: The Côte-des-Neiges reservoir serves about 77,000 people, including hospitals, campuses, schools and daycares. The Atwater collectors and chamber carry nearly all the drinking water produced at that plant. The decision supports an application; it does not itself carry out the work.
- Residents and taxpayers: The City would take on the cost responsibilities listed above if it proceeds under the program. The decision does not set a household charge or change water-service rules.
- City government: The City may submit the funding application. City staff say it could award construction contracts after receiving a funding commitment letter from the minister; this decision does not award those contracts.
Money#
The two projects are estimated to cost $213 million in total; the materials do not give the City’s expected net cost.
- PRIMEAU funding could cover up to 75% of eligible project expenses. The actual grant amount and the expenses deemed eligible are not stated.
- The City commits to pay its share of eligible costs, continuing operating costs, specified ineligible costs and potential overruns.
- City staff report that $429,562,187 was made available to Montréal under PRIMEAU. The materials do not say how much, if any, of that amount will go to these projects.
What is unclear#
- What funding amount the City will request, and which project expenses will qualify.
- When the work would begin, how long it would take, and what the final costs would be.
- How much the City may have to pay for ongoing operations, ineligible costs, change directives or overruns.
- What happens to the projects if the application is not funded.
Case for#
- City staff say Atwater’s critical steel pipes, installed between 1920 and 1933, have reached the end of their useful life. Rebuilding them could address a key part of the drinking-water supply system.
- The Côte-des-Neiges project concerns a reservoir serving about 77,000 people.
- A grant covering up to 75% of eligible costs could reduce the City’s share of those costs.
Case against#
- The City would bear significant financial risks, including ineligible costs, some change-directive costs, overruns and continuing operating costs.
- The 75% figure applies only to eligible expenses. The materials do not show what share of the estimated $213 million would qualify or what the City would ultimately pay.
- The decision does not provide final project costs or timelines, making it hard to assess the full financial and service impacts.