Bringing municipal water and sewer services to Puslinch Township will be a costly proposition, regardless of the option being considered.
A township review indicates potential costs for an independent water supply system has an estimated cost of $39.4 million, while sewage services could cost up to $73 million.
On March 7, Puslinch councillors looked at two options, one of which involves purchasing water from the City of Guelph.
According to the results of a recent Municipal Servicing Feasibility Study completed by township consultant CIMA, residential and industrial/commercial/institutional (ICI) property owners are split when it comes to who wants the services.
In total, approximately 1,000 surveys were distributed to residential and ICI property owners within the study area.
Just over a one-third (361 or 36 per cent) of those who received surveys responded.
Of the 321 residential users responding, only 27% favoured municipal water while 33% in favoured sewer services.
That wasn’t the case for ICI property owners, as 63% of the 40 respondents favoured municipal water and 68% favoured municipal sewage servicing.
CIMA project manager Stuart Winchester said the study objective is to determine whether it is feasible or not to provide sewage and water services to the study area south of Guelph to the 401 corridor (including Morriston). The area also stretches from Victoria Road to the Hanlon Expressway.
This area is considered one of key growth within the township, which is surrounded by growing urban centres on all four sides with increasing demands for resources and land.
“The natural setting surrounding the township and its accessibility to major markets and urban centres make this area an attractive place for development,” states the CIMA report.
“Realizing this potential and the limitations on opportunities for growth resulting from lack of servicing, the need to assess the viability of implementing municipal water and wastewater services for key areas within the township was identified.”
The predominant land use designation within the study area is comprised of secondary agricultural lands with some small pockets of prime agricultural land in the south.
Water and sewage services in Puslinch currently consists of individual on-site wells, septic systems and a few on-site small and private communal water and sewage systems.
While the township has an active role in monitoring the operation and efficiency of these private systems, all aspects of operation, monitoring, maintenance and repairs associated with private systems are the responsibility of the owners.
Winchester stressed the conclusions of the study do not precipitate a decision to move forward with services.
“This is to provide guidance and future information for further study should (council) decide to proceed,” said Winchester, adding current conditions were evaluated.
“You are within a growing area just outside the Greenbelt. There will be a demand for growth.”
He pointed to the nearby cities of Guelph and Cambridge “… which in turn will encourage growth within your community.”
However, Winchester agreed the township currently has limited opportunities for growth because it does not have communal water/wastewater services.
Winchester notes the study area includes a fair number of small estate residential developments along with a significant industrial area at the south end of Aberfoyle.
While Puslinch Township has growth projections to 2041 outlined within its official plan, Winchester projects township growth could be significantly higher – if municipal water and sewer services were in place.
Winchester said the study looked at existing use versus potential projections for both water and wastewater services.
He noted the study assumed full development of all vacant commercial/industrial lands. Therefore, he said, the calculations for servicing are based on higher numbers than the current projected employment growth for the area.
Options
Based on preliminary information, Winchester said two main servicing options are proposed.
The first option is a stand-alone water and sewer project that would include a new groundwater source, treatment, storage and creation of water distribution.
Based over a 20-year life cycle, Winchester projected costs of $39.4 million. Sewage service would be $73 million.
The second option is similar in that many of the capital costs are the same, except instead of developing its own water source, the township would connect to the City of Guelph’s municipal water system.
That option would bring overall water costs to $29.3 million, a significant capital cost reduction for the township.
However, Winchester was quick to point out any potential capital costs to the Guelph system, which are unknown, would need to be added on.
Winchester said the advantage of a stand-alone system would be local control – “it is your facility” – while the disadvantage is higher capital costs.
Connecting to the Guelph system would potentially cost less, providing the city has the capacity.
“The key disadvantage is there is no agreement in place and one would need to be established,” he explained.
In addition, Winchester said the cost of bulk water rates is an unknown as, “Municipal water servicing will encourage further growth.”
He noted a stand-alone sewage service system could cost $73 million with discharge potentially into Mill Creek. When later asked, Winchester said the effluent capacity of Mill Creek had yet to be investigated.
He said a joint servicing with Guelph would eliminate the need for a treatment plant, but would require additional pumping to reach the Guelph system. This option would cost about $44.5 million.
Winchester said there are potential significant cost savings, but the township would still need to reach agreements with the city.
Discussion
Councillor Matthew Bulmer said it was interesting to hear that it is simply the lack of municipal services that is restricting growth.
He said Puslinch’s location in the Greenbelt and the Ontario Places to Grow legislation will also play a factor.
Winchester said there are still areas of the township which could grow at higher densities with municipal servicing.
Bulmer noted the township could accommodate its projected growth to 2041 based on existing services. He also had concern with the costs, in light of the opposition of residents who live within the study area.
Bulmer said the reality is the township does not currently have that amount of money.
“We’d have to get grants or borrow money for this. We don’t have the money to invest right now,” he said.
Winchester said the public presentation could include annual costs in addition to costs to connect to the system.
Noting only a third of residents favoured municipal servicing, councillor Susan Fielding said, “To me that doesn’t bode well for going ahead with this because it looks like the solid majority are not in favour.”
Winchester said one option might be to simply service the industrial areas and hamlets – and not the estate residential areas.
Mayor Dennis Lever added a substantial number of commercial operations favour municipal services.
A public meeting on the study will be held on March 22 from 6:30 to 8:30pm at the Puslinch Community Centre.
