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By Liam Verster

Infrastructure Capacity Challenges

RDNO raises alarm over infrastructure capacity and housing targets

Jul 14, 2025 | 10:55 AM

The Regional District of North Okanagan has concerns over hitting provincial housing targets.

Vernon and Coldstream were included in the expansion of the Housing Supply Act in May, with the province saying it would work with the municipalities and determine how many new housing units should be created to meet housing demand and community growth.

A report from district staff said communities within the RDNO support increasing the total number and diversity in housing stock, though also said there are challenges in relation to water and sewer infrastructure which it said “are at or over their design capacity” and could hinder the ability to hit targets.

“In communities where capacity exists, there are still problems with blanket-mandated growth, as there are localized geographic areas lacking the level of investment required (reservoirs, pump stations, trunklines, and pressure zones) to accommodate that growth,” the report stated.

“We request that the province take a leadership role in identifying where growth beyond the capacity of existing systems should go. There needs to be a focused effort to fund system expansion, as smaller communities and even mid-sized cities do not have the tax base or financial means to make these necessary system expansions and upgrades financially feasible.”

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The report went on to say that the larger systems will need to be upgraded to meet the increased water quality treatment requirements, saying those will come with costs in the $80- to $100-million range.

“If the province is mandating significant densification, then grants and strategic direction on where these large infrastructure projects should occur needs to be provided,” the RDNO report stated.

“Additionally, senior levels of government need to coordinate with their various ministries to ensure priorities are adequately conveyed at the provincial and federal levels. We have the Ministry of Housing legislating significant densification, and we have the Ministry of Environment actively looking to repeal and remove water licenses from water purveyors who are trying to ensure adequate supply for existing and future residential, commercial and agricultural needs. In addition, the province continues to amend the BC Building Code, establishing energy efficiency standards that continue to drive up the cost of construction.”

The report that outlines the concerns and calls for support from upper levels of government to meet population growth needs will be presented to the District of Coldstream Council for information at the regular meeting Monday, July 14.