County News
Too many questions
Former councillor calls for a pause to waterworks expansion plans
A growing number of voices are calling for a pause in expanding Wellington’s waterworks. In the wake of an audit committee revealing massive holes in the planning and financing of the project, of new homebuilding in the County falling to levels unseen in 20 years, and a recent story in the Globe and Mail pointing to a slumping real estate market in Prince Edward County, many folks are asking more urgent questions about Shire Hall’s ambitious plans to spend as much as $300 million to expand waterworks. Is a wave of new homebuilding coming? Or has it passed?
Many worry about who will pay for all the new plants and pipelines if massive homebuilding doesn’t happen. Increasingly, they fear it is them.
Among those asking questions is former Hillier councillor Ernie Margetson. Margetson is an engineer by profession. He has lived most of his life in Prince Edward County and served for a time as the County’s chief engineer. Margetson has long held an interest in the waterworks in Prince Edward County and is familiar with this system’s complexity and challenges.
Margetson says there are too many unanswered questions. He worries the absence of persuasive answers is sowing mistrust between residents and Shire Hall—and vice versa.
He says it is time to pause and tally what has been spent already on upgrading Wellington’s waterworks.
“We need to know how much it is going to cost to carry the debt we’ve already committed to,” said Margetson. “How much revenue have you received in DCs [Development Charges] to offset these costs to date? How are we going to finance this?”
So far, the County has committed about $42 million toward this project (water tower, water and sewer trunk lines, a wastewater pumping station, an equalization tank, and a pile of studies and reports). It may spend as much as $250 million more.
Margetson asks a simple question: “How long can we afford to carry the cost of what we’ve already spent?”
Until these questions are answered, he says it is premature to talk about a new regional water plant in Wellington and a pipeline to serve Picton and Bloomfield. It’s a timely concern because Council will be asked to approve the awarding of a tender for the design of a new regional water plant next month.
“These questions must be answered before we design a new plant,” urged Margetson. “Put the regional plant on the back burner.”
Such a big addition to the plan may add $100 million more to the overall cost without any defined means to pay for it.
“How are we going to finance this in a sustainable way?” asked the former councillor.
Margetson isn’t convinced that upfront development charge agreements will fix the financing problem.
“Developers aren’t obligated by upfront agreements to pay anything until a subdivision agreement is completed,” explained Margetson. “Under current market circumstances, there seems little incentive for them to do so.”
Moreover, developers are inclined to phase in their projects—to minimize risk and DC payments payable to the municipality.
Margetson says a pause doesn’t mean a stop to new homebuilding. Senior leadership says there is plenty of water capacity in Picton for hundreds of new homes. It also says that more than 300 additional homes may be accommodated in Wellington from its current capacity.
“We have time,” said Margetson. “It could take 5, 10 or 20 years to use this capacity. Why are we speculating on new plants in the near term?”
Margetson suggests Shire Hall use a pause to prepare a new plan. He recommends laying out three potential population growth scenarios: one based upon historical trends in Picton and Wellington; another guided by Watson’s medium scenario of 1.1 per cent annual growth; and a third informed by Shire Hall’s most optimistic outlook.
Margetson wants to look forward rather than dwell on how we got here. However, any new plan must involve residents and waterworks customers, according to the former councillor.
“Put together a new plan,” says Margetson. “Much has changed since 2021. Put it in plain language and tell people what are the challenges and the proposed solutions.”
Mr. Margetson’s comments show a great deal of logic and wisdom.
However, there is not much evidence that logic and wisdom are being used by either Staff or Council.
Further, neither Staff nor Council seem to be listening to anyone who is commenting on, or attempting to provide input to, the decisions.
If they are listening, then the evidence would suggest that they don’t care to consider the comments or inputs.
And the ratepayers who are going are going to foot the bill for all this spending, are powerless to do anything about this.
But it’s worse — not only ratepayers, but EVERY taxpayer in PEC is already footing the bill for all the current waste, and will be expected to foot the bill for future spending.
And taxpayers, like ratepayers (some people are both), are similarly powerless to do anything about this, except to possibly do deputations and comments, which are then ignored.
A great example of this blatant disregard for taxpayer and resident input is the Picton Terminals matter.
Despite massive public input, Mayor Ferguson and Council have now done a deal with Picton Terminals rather than proceed with legal action to enforce the existing County by-laws. And the deal is secret. And we are told, cannot now be reversed.
One could be forgiven, certainly, for concluding that this Mayor, Council and Staff have nothing but contempt for the people they are meant to represent. Rather, they seem to focus on pursuing agendas drive by outside developers and other interests, because they know that they can do exactly that, without penalty.
Very sad indeed, but what can one do? Vote with one’s feet, perhaps.