Update: Sage Mesa Water System

News Article

INFORMATION RELEASE

The Regional District of Okanagan‑Similkameen (RDOS) is providing an update regarding the Sage Mesa Water System to support clarity for residents within the Sage Mesa Water System service area.

Following a meeting on March 13, 2026, between the RDOS and the City of Penticton, the City provided details confirming the City’s ability to supply water to Sage Mesa. The information is reflected in the McElhanney Engineering & Financial Assessment of the Sage Mesa Water System report. The RDOS is currently unable to negotiate with the City regarding water supply, as it lacks the authority to do so.

Pre‑feasibility study requires further RDOS Board discussion
If the referendum results in a yes vote, then the RDOS Board of Directors will review the City’s information as part of broader discussions about long‑term service delivery options. All potential service delivery pathways would be explored if the RDOS were to assume ownership of the Sage Mesa Water System. 

The Engineering and Financial Assessment remains the basis for planning
The McElhanney Engineering & Financial Assessment of the Sage Mesa Water System report continues to serve as the foundational technical reference. It identifies aging infrastructure, fire‑flow deficiencies, and regulatory gaps, and outlines a 15‑year, three‑phase upgrade plan with a worst‑case estimate of $33 million, including a 40% contingency. This figure remains a maximum borrowing ceiling, not an upfront expenditure. 

Grant eligibility and long‑term borrowing principles are unchanged
Local government ownership remains a prerequisite for pursuing senior government grants. Long‑term borrowing continues to be the mechanism that distributes costs across multiple decades and future users.

For further information, including the McElhanney Engineering & Financial Assessment of the Sage Mesa Water System report and assent voting (referendum) materials, please visit the Sage Mesa Water System Acquisition Assessment project page at rdosregionalconnections.ca. 

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Mark Pendergraft, Chair
Regional District of Okanagan-Similkameen

Contact:

RDOS Communications
250-490-4148
Toll-free 1-877-610-3737

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