It was announced today that the $300 million Springbank Reservoir will be built.
http://www.cbc.ca/news/canada/calgary/flood-diversion-plan-phillips-nenshi-1.3288476
http://www.alberta.ca/springbank-road.cfm
From the sounds of things, this is a great thing and does seem like the best option. I was listening on the radio to a caller from Springbank who was of course against it, I had to laugh when he eventually answered the question of how many people this will affect - two dozen! Seems simple enough to me, pay those few people generously and get it built.
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