The Steinbach city council that is elected this fall will face some financial limitations. Mayor Chris Goertzen says that became evident as city council held its summer study session Tuesday to begin planning the 2019 budget. He says city staff advised them that most summer projects this year are largely on schedule and under budget. But Goertzen adds one big expenditure will affect the city budget for the next few years.

"The water treatment facility, which is a huge facility of over $11 million, is going to affect what we can do in the coming years as it pertains to expenditures. $11 million is significant. Even though we did have partnerships with other levels of government, the debenture that we will be paying over the next five years will affect other projects that we can do."

The federal government provided $5 million to the project and the province contributed $625,000, leaving the city to cover the remaining $5.4 million. Goertzen notes the second water treatment plant had to be built to accommodate the city's growing needs but there's no doubt it will affect other spending.

"Certainly there's a consequence to a large project. It's very necessary but it does have a price tag to it. That five-year debenture will affect the cash flow over the coming years."

Meanwhile, he says council also discussed its grants policy in view of a suggestion that the city match a $65,000 dollar grant to the Steinbach Arts Centre from Clearview Co-op. Goertzen says councillors want some further review of the policy and adds decisions on this will be made at future meetings of council.