Meadow Lake plans to rebuild exhausted reserves as rising costs trim projected surplus

Transportation expenses are expected to exceed the budget by approximately $252,000. The city now expects to spend $400,000 on contracted snow removal – $250,000 more than the original $150,000 budget.

Recreation expenses are forecast to come in approximately $121,000 over budget because of higher facility costs associated with the Co-op Centre.

The city also spent $427,000 more on recreation during the first half of 2026 than during the same period last year. The report attributes the increase to maintenance and utility costs at the Co-op Centre, which was not fully operating until July 2025.

More money coming in from the Fieldhouse, arena and Legacy Centre helped make up for a recreation grant the city had not yet received from the Rural Municipality of Meadow Lake. The two municipalities were still negotiating a renewed recreation funding agreement. The RM provided approximately $203,000 in 2025.

Overall, city revenue during the first half of 2026 was $2.94 million higher than during the same period last year. However, much of that difference resulted from money being recorded earlier this year, rather than the city receiving that much in additional revenue.

For example, the city received its full $1.44-million municipal revenue-sharing grant during the second quarter this year. The same payment arrived later in 2025.

Environmental services and water and sewer billings were also recorded in June this year but not until July last year. Higher water and sewer rates also contributed to the increase.

City expenses were $1.51 million higher than during the first half of 2025. Along with increased recreation and transportation costs, the difference included water and sewer payments that were processed earlier this year.

Meadow Lake has approximately $4.88 million in major projects budgeted for 2026. That includes $1.74 million for sewage lagoon dredging, $1.51 million for the Highway 55 rebuild, approximately $1.07 million for a utility project and approximately $479,000 for paving. The budget also includes $50,000 for vehicles and $39,000 for official community plan work.

The city had recorded only about $37,500 in project spending by June 30. It said the tendering process had begun and that spending to that point mainly covered project designs, reviews and assessments.

The report does not say whether the depleted reserves will affect how those projects are paid for or whether rebuilding the reserves could lead to changes in taxes, borrowing or future spending.

—

Kenneth.Cheung@pattisonmedia.com

by meadowlakeNOW staff

Meadow Lake plans to rebuild exhausted reserves as rising costs trim projected surplus

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