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TBM deputy mayor says council being 'highly fiscally irresponsible' changing $25M grant wording

With a $25M grant from the province on the table for water and sewer work, councillors waffled on a project already in the design phase
tbm-provincial-grant-presentation
MPP Brian Saunderson, with members of The Blue Mountains council and staff and Grey County Warden at the announcement of a $25 million infrastructure grant for the town.

The Blue Mountains council is not making it easy for the town to accept a big money grant from the provincial government.

At its committee of the whole meeting on Oct. 29, a seemingly straightforward resolution on the agenda to direct the mayor and clerk to complete and sign paperwork to accept a provincial infrastructure grant of more than $25 million for significant local infrastructure upgrades hit a snag.

In September, Simcoe-Grey MPP Brian Saunderson was in Thornbury to announce that The Blue Mountains had received a grant of $25,397.523.99 through the provincial Housing-Enabling Water Systems Funding.

With the grant the town will be able to cover 73 per cent of the $34,791,129 total cost of several major infrastructure projects including:

  • Upgrades to increase capacity at the Mill Street Sewage Pumping Station 
  • Upgrades to increase capacity at the Craigleith Main Sewage Lift Station 
  • Installation of the sanitary forcemain along Bay Street and Grey Street
  • Replacement of watermain and sanitary sewers on Bay Street
  • Addition of stormwater sewers on Bay Street
  • Elimination of the Elgin Street Sewage Pumping Station
  • Reconstruction of Bay and Grey streets

At the Oct. 29 meeting, Alan Pacheco, director of operations, brought forward a report outlining the town’s receipt of the grant and how the funding will be used. The report requested council approve the mayor and clerk signing the necessary agreements with the province to secure the funding.

“This is a good news story,” said Pacheco. “This is a great opportunity, which will also help with some of the stress put on some of our reserves and development charges.”

The resolution, which is routine business between municipalities and the province when grants are allocated stated:

“That council receive the staff report titled "Housing-Enabling Water Systems Funding;” and that council authorize the mayor and clerk to execute necessary agreements with the Ontario Ministry of Infrastructure to receive $25,397,523.99 through the Housing-Enabling Water Systems Funding grant for the Craigleith Main Sewage Lift Station, Mill Street Pumping Station and Bay Street Forcemain.”

However, the matter became anything but routine when council chose to amend the resolution in order to delete the words “Bay Street.” The amended resolution passed 6-1, with Deputy Mayor Peter Bordignon opposed.

The reason for the deletion of Bay Street was not explained by any of the councillors who voted in favour and came after town staff cautioned council about changing the resolution.

Members of staff explained that the grant funding was secured based on the new sewage forcemain portion of the project being located on Bay Street East. Staff warned that changing the wording of the resolution for the grant funding agreement with the province could delay access to the funds.

“It will provide us some issues when we complete the actual (transfer payment agreement) from the province,” said Monican Quinlan, director of corporate and financial services. “The province has very clearly laid out, within our transfer payment agreement, the project scope we have provided them.”

The six members of council in favour of deleting Bay Street from the resolution did not express a reason for the change, nor did the members bring forward any further motion regarding the plan for Bay Street.

The proposed location of the forcemain on Bay Street East has been unpopular with the public and council has received multiple delegations requesting that another route be used for the forcemain.

However, council had already rejected the option to change its direction on the Bay Street East forcemain earlier in the day.

During a special council meeting held before the committee of the whole session, council defeated a motion to reconsider its direction on the location of the forcemain. Just four councillors voted in favour and reconsideration resolutions require the support of five out of seven councillors.

With the reconsideration motion defeated, council’s July decision to proceed with the forcemain on Bay Street East continues to be in place.

Bordignon called council change to the grant resolution “highly, highly fiscally irresponsible.”

“If I was the province listening, I’d be like: okay there are 444 other municipalities in the province that may want funding,” said Bordignon. “We may be risking $25 million in funding, which is close to 75 per cent of the project. We’re really going to risk that by changing the wording?”

Coun. Gail Ardiel noted that the town could consult with Saunderson’s office about what the deletion of Bay Street from the resolution could mean. While Mayor Andrea Matrosovs said council could proceed with the amended resolution in order to make a decision and make a change, if necessary, in two weeks when the matter comes to a council meeting for final ratification.

The matter will be considered by council at its regular meeting on Nov. 12.


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About the Author: Chris Fell, Local Journalism Initiative reporter

Chris Fell covers The Blue Mountains and Grey Highlands under the Local Journalism Initiative, which is funded by the Government of Canada
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