The Ellis 4 Dam upgrade project was initially projected to cost $10.5 million, but now Penticton city staff are asking council for $18 million.
Image Credit: City of Penticton
February 07, 2025 - 2:30 PM
A century-old dam in Penticton needs an upgrade, but it is going to cost millions more than anticipated.
The Ellis 4 Dam upgrade project was initially projected to cost $10.5 million, but now Penticton city staff are asking council for $18 million, according to a press release from the city.
“The Ellis 4 Dam, which is nearly 100 years old, is a critical piece of city infrastructure that provides both flood protection and irrigation demands, and the consequences of a failure are extremely high,” the city’s general manager of infrastructure Kristen Dixon said in the release.
“Completion of the project is essential as the dam does not meet provincial dam safety regulations. If a major storm occurred, the spillway may not be able to handle the incoming flow and the dam would overflow. It’s critical we complete this work to ensure the resiliency and capacity of the structure.”
The work to upgrade the 520 metre dam started last fall. The $7.5 million dollar overage is largely due to unexpected soil conditions that were encountered during construction. It turned out that 8,000 extra cubic metres of soil had to be excavated and extra backfill materials were necessary to get the dam upgraded.
The plan for funding at this point is to borrow $11 million and use a grant the city has already received for $7 million. The debt would be paid back through the water operating fund over 20 years at a cost of roughly $880,000 per year.
Penticton city council is set to make a decision about the dam at the meeting on Tuesday, Feb. 11.
“The Ellis 4 Dam is an extremely complex project, both from the initial planning and assumptions that had to be made in preparing the detailed design deviating significantly from what has been experienced through construction, and also in navigating the various Ministry approval processes and corresponding consulting needs, Dixon said in her report to council.
"Combined with winter working conditions and a limited construction window have all resulted in significantly higher than expected construction costs."
The project is scheduled to be finished this month.
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