The person/entity using a utility is charged at a per-unit charge. Typically, the service is managed separate from other municipal services.
Utility fees should be set up as full cost-recovery models. Council can set service rates through a bylaw. These rates can include:
- The lease/sale of equipment;
- Equipment; and
- Meters or other things needed to deliver the service to consumers.
Each municipality sets its own rates based on its cost of providing the service.
The funds generated by utility fees are used for the service being provided. In a municipality other than a city, the Saskatchewan Municipal Board (SMB) must approve bylaws related to water consumption or use of the sewer.
Legislative Authority: Section (S.) 8-9, 22, 23, 312-315 MA, S. 8-9, 22, 24, 331-334 NMA and S. 8-9, 17, 275-278 CA
A person/entity using or benefiting from a municipal good or service pays for it through a per-unit charge.
Each municipality may set its own rate based on the cost of providing the good or service, and may be cost-recovery-based.
User fees are useful in all sizes of municipalities and for many different types of goods and services including:
- Public transit;
- Solid waste;
- Recreation facilities; and
The funds generated by the user fees should be used by the municipality to provide the service, which may include operations, maintenance, expansion or rehabilitation costs. Typically, the service is managed separately from other municipal services.
Legislative Authority: S. 8-9, 22, 23, 312-315 MA, S. 8-9, 22, 24, 331-334 NMA and S. 8-9, 17, 275-278 CA
Local Improvement Charges (LIA)
Under the LIA, a municipality may recover all or part of the cost of local infrastructure extension, renewal or rehabilitation from benefiting property owners.
Owners can pay the cost in a lump sum or over a period of time, as set in bylaw. Municipal councils must approve all local improvement projects through bylaw and obtain approval through the SMB.
Legislative Authority: S. 16-21 LIA
Business Improvement District (BID)
A BID is a defined area where businesses may be required to pay an additional levy in order to fund projects within the district’s boundaries.
These projects are in addition to the services that are already provided by the municipality, and may include capital improvements, branding and streetscape enhancements. Council can establish a BID through a bylaw.
Legislative Authority: S. 38-39 MA and S. 25-26 CA