The RM of Gimli will pay $2.1 million after it settled a lawsuit brought against it by Kingdom Construction Ltd. with regard to its termination from work on the Gimli wastewater treatment plant.
Kingdom filed a statement of claim in 2020 against the municipality, its consultant Birchtree Consulting Ltd. and Birchtree owner Bonnie Macintosh for damages after Kingdom started working on an expansion to the Gimli wastewater treatment plant and had its contract terminated in 2020.
The RM issued a “message from council” that it posted under its special meeting agenda of Jan. 30, saying the RM and the other defendants “resolved the litigation” for a total of $4.1 million.
The RM of Gimli’s contribution to the settlement is $2.1 million, and the balance will be paid to Kingdom by the other defendants.
“This settlement resolves all outstanding claims for amounts alleged to be owing to Kingdom Construction Limited and avoids the cost and uncertainty of a lengthy trial,” states council’s message.
Companies were invited to bid on the wastewater treatment plant expansion, which entailed the construction of a sequencing batch reactor, digester, effluent equalization basin, piping gallery extension, screening, ultraviolet disinfection and odour control system, according to a request for bids posted on Merx in October 2017.
According to the RM’s timeline, the upgrade project was awarded in November 2017, and the contract “terminated” in October 2020. The settlement with Kingdom was reached on Dec. 17, 2025.
The RM will be paying its portion of the settlement from the municipality’s “accumulated surplus.”
“This approach ensures no tax increase for residents, no impact on municipal services and continued financial stability for the RM,” states the message from council. “Settlements of this nature are commonplace in complex litigation and are a routine part of municipal operations across Canada, especially for large and complex infrastructure projects.”
The Express reached out to Ontario-based Kingdom Construction for comment.
Other council news:
The RM will be reviewing and reducing the number of committees it has as part of its commitment to modernize the municipality.
Council placed committee reductions on its Feb. 4 committee of the whole meeting agenda.
Chief administrative officer D.J. Sigmundson said councillors sit on “more than 40 committees” and that this structure had developed over many years without a full review.
“As the RM modernizes, the system must reflect current roles, resources and responsibilities,” said Sigmundson.
Council has already determined that some committees are inactive, some external committees are fully self-sufficient and no longer need council representation, and several committees have operational mandates “better suited to administration, not elected officials.”
Decisions on the downsizing initiative have not been finalized.
“Council is exploring reducing the total number of committees by about half. The goal is to ensure efforts are focused, effective and aligned with staff capacity,” said Sigmundson. “Some groups may continue their work independently, without council appointment or formal committee status.”
Sigmundson went on to say that council thanks every committee member and volunteers for their contributions.
“Their work has had a significant, positive impact on the RM of Gimli,” he said. “Once decisions are finalized, council will meet with each committee to explain the changes and outline any transition plans.”
• The RM posted a report from Cheryl Buhler who is the operations manager for the RM’s Gimli newcomer program.
Buhler provided a 2025 overview of newcomers staying at the RM-owned “dormitory” or “training centre” located in the industrial park. The dormitory has 112 rooms consisting of 29 singles, 83 doubles and washrooms, laundry facilities, kitchen and a gym.
After Russia’s full-scale invasion of Ukraine in 2022, some Ukrainians choose to settle in Gimli. The dormitory, which also houses cadets for their Gimli-based flying program, was used to house the newcomers until they could find jobs and transition to housing in the community. The RM also welcomes newcomers from other countries.
Buhler wrote that there were a total of 77 newcomers staying in the dormitory in 2025, with 25 new arrivals that year.
The RM upgraded the facility in 2025.
“Major upgrades in 2025 include new security cameras, improved fire protection, repaired hot water systems, upgraded air-conditioning and heaters, and ongoing maintenance to ensure a safe, comfortable and energy-efficient dormitory,” wrote Buhler. “We reached out to Efficiency Manitoba for an assessment in January.”
A provincial grant is being applied for through the Community Renewal Initiatives Stream, she wrote.
Sigmundson said the RM charges rent at the dormitory.
“Revenue was $247,000 in 2025,” he said. “The grant application would fund a community project to assess our capacity to develop a program that attracts and retains newcomers.”
Manitoba Harvest food bank featured the Gimli newcomer program in a spotlight story.
Harvest’s Amanda McVorran wrote that Gimli’s newcomer program proved to be a success and the program would no longer require food distribution services offered by Harvest Manitoba.
“The Gimli Chamber of Commerce applied to Harvest Manitoba for additional nutritional support in August 2022. As the program grew, securing additional support was vital to the longevity and success of the initiative, then called the Ukrainian Refugee Program,” wrote McVorran. “At that point 35 refugees were being housed and it was anticipated that more would soon take advantage of the opportunity to build a new life in Gimli.”
The newcomer program is the responsibility of the RM of Gimli, with Melanie Specula as its coordinator.
“Melanie shared that the program was always meant to be transitional. Since its inception, approximately 380 persons have decided to make Gimli their new home,” McVorran wrote. “Thanks to the generosity of the Gimli community, and the many volunteers who welcomed the newcomers and pledged their support to the program through employment offers, transportation and settlement assistance, persons were able to gradually move out of the temporary housing and integrate into the community. Melanie emphasized that this initial support was instrumental to the success of the program.”
• At its Feb. 4 committee of the whole meeting, council reviewed meeting protocols that are provided under the procedures bylaw in a schedule titled “Standard Order of Business & Debate.”
The schedule contains rules around administrative presentation, questions of clarification — including the stipulation that “questions must be factual in nature (clarifying the report/presentation) and not extend into debate or opinion” — council motions, first round of debate, administrative input, second round of debate, voting and motions to refer the matter to administration.
It contains a section on abstaining from voting if a councillor or their dependents has a “direct or indirect pecuniary interest or a pecuniary liability.” In that case the councillor must disclose the direct or indirect pecuniary interest or liability, withdraw from the meeting without voting or participating in discussion, and refrain “at all time from attempting to influence the matter.”
