Peguis flood protection, housing and recovery update
By Peguis First Nation Special Projects and Consultation Unit
Peguis First Nation continues to move forward with immediate and long-term plans to protect the community from flooding, restore damaged properties, improve roads and drainage, and construct new housing.
The work now underway has two main parts. The first is to provide immediate protection through individual property dikes, a central community dike, road improvements and better drainage. The second is to develop a permanent flood protection system based on off-stream water-storage reservoirs.

It is important for members to understand that the dikes are not intended to be the final solution to flooding in Peguis. They are interim measures that will protect homes, businesses and community infrastructure while the permanent reservoir system is designed, approved and constructed.
The proposed reservoirs would hold excess floodwater before it reaches the most vulnerable parts of Peguis. This is expected to provide community-wide protection rather than requiring Peguis to continue building more dikes around individual homes.
The long-term plan is expected to take several years to complete. During that time, the immediate flood protection work will help reduce the risk of another major evacuation and further damage to homes and infrastructure.
How the reservoir system would work
Off-stream storage is a recognized method of flood protection. When the Fisher River rises above safe levels, control structures would divert some of the excess water through channels into large storage reservoirs.
The water would be held in the reservoirs while the flood crest passes. Once river levels decline, it would be released gradually back into the river system.
This would reduce the amount of water moving through Peguis at the height of a flood.
A review of approximately 12 previous engineering studies, together with updated computer modelling, examined several possible methods of protecting Peguis. These included raising homes, constructing continuous dikes along the Fisher River, building a diversion channel and developing off-stream storage.
The completed feasibility work determined that off-stream storage provides the strongest long-term option for Peguis.
The initial feasibility study examined six possible reservoir locations. The modelling indicated that approximately four reservoirs would be required, although further design work may determine that the project can be completed with three.
No final reservoir locations have been selected.
The reservoirs could be built on land within Peguis, on agricultural land upstream and south of the reserve, or through a combination of locations inside and outside Peguis.
Possible locations within the reserve are being considered because they could provide an opportunity for Peguis and individual Certificate of Possession holders to lease or sell land for the project. However, no land will be selected without further engineering work, discussions with affected landholders and consultation with the community.
If appropriate sites cannot be secured within Peguis, agricultural land outside the reserve could be purchased for the project.
The design process will also examine the possible future use of the stored water. Depending on the location and final design, reservoir areas could provide opportunities for wetlands, wildlife habitat, recreation or other community and economic uses.
Those possible uses are not final and will require further consultation with Peguis members.
Next stage of reservoir planning
The next stage of the long-term project is expected to take approximately 18 months.
This work will include:
* Preliminary and final engineering designs
* Soil and groundwater investigations
* Identification of possible reservoir locations
* Discussions with affected landowners and CP holders
* Environmental studies and regulatory approvals
* Heritage and archaeological investigations
* Local road and drainage planning
* Land acquisition planning
* Community consultation and engagement
The estimated cost of this design and investigation stage is approximately $37 million.
The total preliminary estimate for design, land acquisition and construction of the off-stream storage system is approximately $350 million. This remains an early estimate and could change as the project moves through detailed design, environmental review and land negotiations.
Construction of the reservoirs would begin after the design, consultation and approval process is completed. Based on the present planning assumptions, the permanent system could take approximately four to five years to complete.
Interim diking remains necessary
Until the reservoir system is operating, Peguis still requires immediate protection against flooding.
The proposed interim works include a central community dike approximately six kilometres long. Where possible, the new dike would follow existing riverbank dikes.
The central dike is expected to be between one and two metres high, depending on the location. Its top would be approximately 3.7 metres wide.
The dike would protect a large part of the central community, including homes, businesses, the water treatment plant and most of the community’s water and wastewater infrastructure.
It would also reduce the danger of river water entering sewer manholes and backing up through the wastewater system. Several manholes located outside the central protected area may have to be raised and surrounded with additional fill.
The central dike would include an internal drainage system. During a flood, gated culverts could be closed to prevent river water from entering the community. Pumps would then be used to remove rainwater, groundwater and overland water trapped inside the protected area.
This is similar to the system used during the spring 2026 flood, when culverts leading to the river were closed or blocked and pumps were used to manage water inside the community.
Individual and subdivision dikes are also proposed for vulnerable homes located outside the central community dike.
Engineers have been meeting directly with affected homeowners to discuss the proposed location, height and size of each dike. Some families have met with the project team several times to review the designs and discuss how a dike would affect their property.
The consultation process will continue. Property owners will be given the information and time needed to consider the proposals.
The highest-priority properties are proposed for completion by November 2026. Second- and third-priority properties are proposed for completion by November 2027. These timelines remain dependent on weather, regulatory approvals, access to land and agreements with property owners.

Roads, bridges and drainage
Dikes alone cannot protect Peguis.
Flooding in the community has two major causes. One is the Fisher River overflowing its banks. The other is overland flooding caused by low-lying terrain, a high water table and a drainage system that cannot always move water away quickly enough.
The long-term plan therefore includes larger culverts, improved drains, raised local roads and improvements to provincial roads and bridges.
Local road improvements are proposed for completion by November 2027.
Design work for provincial highways and bridges is beginning, with construction presently anticipated between 2028 and 2029.
Engineers are also studying how the proposed dikes could affect water levels and the movement of water upstream and downstream. The objective is to protect Peguis properties without causing additional flooding on neighbouring lands.
Bridge openings, culverts and drainage passages will be included where required to allow water to continue moving through the area.
Flood cleanup and property restoration
Cleanup of the sites protected during the spring 2026 flood is continuing.
This includes removing sandbags, grading topsoil and reseeding yards to restore grass. Yard restoration is to proceed whether or not a property is selected for a permanent individual dike.
For properties receiving permanent protection this year, final grading and seeding will be completed after dike construction.
The proposed target was to complete the general flood-response cleanup by the end of September 2026. Chief Peguis Investments is carrying out portions of this work.
Mould-abatement work is also underway or being arranged for flood-damaged homes. The first 20 homes were scheduled for work through Oct. 15, followed by basement repairs.
Approximately 100 additional homes may be ready for mould-abatement work after plans are in place to protect those properties from future flooding.
Environmental protection
Environmental investigations are part of both the interim diking work and the permanent reservoir project.
Field surveys were conducted in June 2026 along proposed dike routes and at three possible clay-borrow locations. The surveys examined terrain, vegetation, wetlands, waterways and wildlife habitat.
Species and habitats identified during the work included:
* Red-headed woodpeckers
* Monarch butterflies
* Barn swallows
* Great blue herons
* Northern leopard frogs
* Migratory bird habitat
* Wetlands, wet meadows and riparian areas
* Fish habitat in the Fisher and Snake rivers
Two active red-headed woodpecker nesting cavities and one active mallard nest were recorded.
Construction plans will have to respect environmental buffer zones, seasonal restrictions and other measures intended to protect wildlife and sensitive habitat.
Three possible sources of clay were investigated on Peguis lands. These include a northern borrow area, an existing area south of the multiplex and another area east of the Peguis Mall.
Test excavations confirmed that suitable clay is available for the proposed diking work. Before these areas are used, the project must complete the required environmental, engineering and community reviews.
Heritage and archaeological considerations
The project must also identify and protect burial grounds, archaeological sites, spiritual areas and other culturally important places.
Much of the land affected by the proposed construction has never undergone a formal archaeological investigation.
Members may have knowledge about former homesites, graves, artifacts or culturally important areas that do not appear on government maps.
Members who have this knowledge are encouraged to contact the Special Projects and Consultation Unit.
This information will help the project team avoid sensitive areas and ensure that important places are respected before topsoil is removed or construction begins.
Thirty-three new housing units
Housing is an important part of the flood recovery and protection plan.
Indigenous Services Canada has approved approximately $30.5 million for new housing construction. The current initiative will provide 33 housing units, including transitional housing and housing for elders.
The proposed transitional housing development would be located within the area protected by the central community dike, between the Fisher River and Provincial Road 224.
The development will require more than the construction of houses. It will also include new roads, street lighting, water lines, wastewater pipes, manholes and green space.
The elders’ housing development is proposed near New School Road. Because that location would be outside the central community dike, a separate flood protection method would be included in its design.
Tender documents are being prepared and will require final approval from council before being posted. Construction could begin in 2026 and continue into 2027, but the final schedule will depend on council approval, the tendering process and contractor availability.
The process for allocating the new units will be determined and communicated by Peguis leadership and the appropriate housing authorities. Further information will be provided to members when the allocation process has been finalized.
The $1-billion lawsuit remains on the table
The flood protection work does not replace or settle the $1-billion lawsuit filed by Peguis First Nation in 2025 against four levels of government.
That legal action remains on the table.
The lawsuit concerns the historic decisions, actions and failures that Peguis says contributed to the repeated flooding, damage, evacuations and displacement experienced by generations of band members.
Peguis was forcibly relocated from its original St. Peter’s lands near Selkirk to the low-lying Fisher River area. The community has since endured repeated floods, damaged homes, lost property and long-term displacement.
The planning and construction now underway are intended to protect the community going forward. They do not remove Peguis First Nation’s claim for accountability and compensation for past and continuing losses.
Community engagement will continue
The designs and locations shown during the community presentations are preliminary. They are intended to show how the proposed flood protection system could work and do not represent final decisions about individual properties or reservoir locations.
More community meetings will be held as the work progresses.
Consultation will include Peguis members, affected CP holders, residents living near proposed construction areas and others whose lands or interests may be affected.
The Special Projects and Consultation Unit will continue providing information on:
* Individual and central community diking
* Reservoir design and possible locations
* Road and drainage improvements
* Environmental and heritage reviews
* Housing construction
* Property restoration
* Employment and contracting opportunities
* Project funding and construction schedules
The goal is to provide immediate protection while building a permanent system that can protect Peguis as a whole.
The dikes are an important part of that work, but they are not the final answer. The permanent objective is to control floodwater before it reaches the community through a system of off-stream storage reservoirs, improved drainage and safer roads.
Further updates will be provided as designs are completed, funding decisions are made and community consultations continue.