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Waterworks: $192M Water Plan Sparks Debate Over Growth, Costs, and Community Impact

Prince Edward County is at a pivotal juncture regarding its water infrastructure, with plans for a regional water treatment system sparking both support and concern. The proposed strategy involves constructing a new regional Water Treatment Plant (WTP) in Wellington, decommissioning the aging Picton WTP, and connecting the two via a 20-kilometre transmission main. This initiative aims to address aging infrastructure, support anticipated population growth, and improve water quality.

PECRA cites $192 million as the estimated cost of the regional water supply project. While technically true, the current project estimate estimate is $297.4 million (excluding DC revenue or grants) as of Oct. 2024. It is comprised of Wellington infrastructure – $75 million, Regional infrastructure – $113 million, and Picton infrastructure – $108 million.

PECRA’s position is that the investments must be reviewed by an independent Citizens Advisory Panel (CAP) who must determine the best interests of all County Residents before any further investments are made.

Financial Overview: Costs and Funding

The total estimated cost for the regional water supply servicing plan is approximately $192.4 million. This includes:

  • New Wellington WTP: $55 million
  • New intake for Wellington WTP: $15.4 million
  • Transmission main from Wellington to Picton: $51.9 million
  • Expansion of Macaulay Reservoir: $4.8 million
Regional waterworks plan cost – Oct 2024Download

Of the total cost, $41.7 million (21.7%) is attributed to benefits for existing users, while $150.5 million is eligible to be recouped through regional Development Charges (DCs). Currently, only Wellington has area-specific DCs for water/wastewater costs; a similar framework for Picton is under consideration.

To alleviate the financial burden, the County applied and received a $18.3 million grant from the Housing-Enabling Water Systems Fund. This will reduce the amount to be incorporated into future water rates. Quinte News | Prince Edward County Municipal Services

Growth Projections and Infrastructure Needs

The County anticipates significant population growth over the next two decades:

  • 2025–2032: Approximately 4,200 new housing units
  • 2033–2043: An additional 4,500 housing units

All these projections are contingent on significant population growth. The population growth projection is disputed by some experts and advocacy groups. The county hasn’t growth beyond approximately 25,000 residents in several decades. The question is who is right.

The County claims the growth necessitates expanded water infrastructure. The existing Picton WTP, constructed in 1928 and upgraded multiple times, is nearing the end of its useful life and is vulnerable to contamination due to its location in Picton Bay. The proposed regional WTP in Wellington, sourcing water from Lake Ontario, offers a more sustainable and higher-quality water supply.

Project Components and Timeline

Key components of the proposed regional water system include:

  • Construction of a new WTP in Wellington: To replace the existing facility and serve both Wellington and Picton.
  • Installation of a 20-kilometre transmission main: Connecting Wellington to Picton and Bloomfield.
  • Decommissioning of the Picton WTP: Due to its aging infrastructure and vulnerability to contamination.
  • Expansion of the Macaulay Reservoir: To accommodate increased water storage needs.

The implementation timeline for these projects spans the next 5 to 10 years, aligning with the anticipated population growth and infrastructure demands.

Financial Implications for Residents

The financial impact on existing water users is a significant concern. If the full cost of the project is passed on to the current approximately 6,000 waterworks customers, each could be responsible for up to $50,000 in debt repayment. However, the County plans to mitigate this through development charges, grants, and phased rate increases. Additionally, the County has established a Municipal Financial Relief Program to support low-income households, offering credits toward water bills and property taxes.

Council’s Response and Next Steps

In response to community concerns, the County Council voted in August 2024 to pause new water infrastructure projects not already underway. This decision aims to implement program management practices and reduce financial risk. Some councillors warned that delays could jeopardize grant funding and increase costs due to aging infrastructure.

Prince Edward County’s proposed regional water treatment system has sparked significant debate, with various stakeholders weighing the potential benefits and drawbacks.

Pros and Cons

✅ Pros of the Regional Water Treatment Plan

1. Long-Term Cost Efficiency

  • Constructing a single regional water treatment plant (WTP) in Wellington, connected to Picton and Bloomfield, is projected to save between $4 million and $16 million compared to building separate facilities in each town.

2. Enhanced Water Quality and Reliability

  • The new WTP would source water from Lake Ontario, offering a more secure and higher-quality supply compared to the current Picton Bay source, which has faced contamination risks in the past.

3. Support for Anticipated Growth

  • The plan aligns with projections of nearly 4,200 new housing units between 2025 and 2032, and an additional 4,500 units between 2033 and 2043, ensuring infrastructure keeps pace with development. Prince Edward County Municipal Services

4. Operational Efficiencies

5. Environmental and Recreational Benefits

❌ Cons of the Regional Water Treatment Plan

1. Significant Financial Burden

  • The estimated cost of the regional plan is approximately $192.4 million, raising concerns about the financial impact on existing water users, especially if projected growth does not materialize as expected.

2. Dependence on Developer Contributions

  • The plan relies heavily on development charges from new housing projects. Delays or shortfalls in development could shift the financial burden onto current residents.

3. Potential for Increased Water Rates

  • If anticipated grants and development charges do not cover the projected costs, existing users may face higher water rates to compensate for the shortfall.

4. Disruption During Construction

  • Residents have expressed concerns about road closures, access issues, and the overall impact on daily life during the construction phase of the project.

5. Risk of Overestimating Growth

  • Some community members question the growth projections used to justify the project, fearing that overestimation could lead to underutilized infrastructure and unnecessary expenses.

The regional water treatment plan presents a complex balance between preparing for future growth and managing current financial realities. Ongoing community engagement and transparent decision-making will be crucial as Prince Edward County navigates this significant infrastructure undertaking.

Conclusion

Prince Edward County’s plan for a regional water treatment system represents a significant investment in the municipality’s future. While the project aims to address critical infrastructure needs and support anticipated growth, it also presents substantial financial challenges. Balancing these factors will require careful planning, transparent communication, and ongoing community engagement.

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