WELLINGTON NORTH – The Ontario Clean Water Agency (OCWA) will continue providing wastewater treatment services to Wellington North for the next two years, albeit at an increased cost.
The company currently oversees the Mount Forest and Arthur wastewater treatment plants, in addition to six pumping stations, and lagoons at Arthur’s plant, but the agreement expires at the end of the year.
At an Oct. 11 meeting, council bypassed a competitive process in which companies would bid for the job, and awarded the contact to OCWA for 2023-25.
Councillor Dan Yake disclosed a conflict of interest (OCWA is his employer) and was not permitted to participate in any discussion or to vote on the decision.
The total cost of the 2020-22 contract hasn’t been fully realized, but costs for years 2020-21 came in slightly under the estimated cost of $1.1 million, at $1 million.
The cost of this year’s service is estimated at $537,647, but there’s a 12.5 per cent year-over-year increase, amounting to $67,080, in the estimated cost for service in 2023.
Operating charges next year are estimated at $288,840 for the Arthur plant, and $315,887 for Mount Forest, bringing the total to $604,727.
In an Aug. 8 letter to the township, OCWA business development manager Natalie Baker wrote the yearly cost “is based on our experience and history of operating and maintaining the township’s wastewater systems.”
She added the cost is adjusted “to reflect market increases to consumables, labour, supplies and equipment.”
Baker wrote that a predicted increase in chemical costs account for 38% of the year-over-year increase.
No objections were raised by councillors during the meeting.
