Wastewater Treatment Facility 202 Project

The Wastewater Treatment Facility 202 (Bayshore Village) project replaces the existing wastewater
disposal system that relies on spray irrigation fields with a modern underground tile bed system.

The existing spray irrigation fields have reached the end of their useful life and must be replaced. This
project ensures the Township continues to meet provincial environmental regulations while protecting
Lake Simcoe and surrounding wetlands.

This project improves how treated wastewater is managed and disposed of, helping ensure the system
continues to meet provincial environmental regulations. Upgrading aging infrastructure reduces the risk of system failures and helps protect nearby wetlands and Lake Simcoe.

A tile bed is an underground wastewater disposal system. After wastewater is treated in the lagoons, it is
distributed through a network of perforated pipes buried in gravel and soil. The soil naturally filters the
water as it moves through the ground. This approach allows the system to operate year-round and reduces
reliance on weather-dependent spraying.

The tile bed system will:

• Operate year-round
• Reduce reliance on spray irrigation
• Improve environmental protection
• Increase system reliability
• Reduce the need for effluent hauling

Site work preparation will begin mid-March, including limited tree removal and grubbing only where necessary to support construction while maintaining all protected areas. A new access road will also be built to facilitate construction of the pumphouse and to begin importing material for the tile beds.

It is anticipated that six of 11 tile beds will be completed by November 2026, with the full project completed by June 2027.

Protected environmental areas on the property will be maintained. Tree removal will occur only where
necessary to support construction of the access road, pumphouse, and tile beds.

Construction will primarily occur on the treatment facility property. There may be increased truck traffic
associated with importing materials for the tile beds, but impacts to residents are expected to be limited.

Residents should not experience any disruption to their wastewater service during construction.
The spray field system will continue operating while the new tile bed system is being built to ensure the
Township remains compliant and service continues as normal. Once the new system is completed and
commissioned, wastewater will transition to the upgraded treatment process.

During the 2026 season, the existing spray fields will continue to be used while the new system is being
constructed to ensure the Township remains compliant with environmental requirements.
Depending on lagoon levels, weather conditions, and the commissioning of the first tile beds, effluent
hauling may still be required temporarily during the transition period.

Once the project is complete, the spray fields will be decommissioned and naturalized, and the Township
will investigate the future use of the properties.

When the project is complete it is expected there will no longer be a need to regularly haul effluent from the
facility.

The total project cost is estimated at approximately $24 million, including construction, engineering, and project contingencies.

This project upgrades an existing municipal wastewater treatment system. Because of this, the
project is funded through the overall wastewater system. This means the cost of maintaining and
upgrading core infrastructure is shared across all users of the wastewater system.

Local sewer servicing projects such as the Maple Trail, Lone Birch Trail, Ridge Avenue, and Simcoe Road
Servicing Project are structured differently. Those projects extend municipal services to specific properties, and the costs are charged to property owners since the infrastructure directly benefits those properties.

This project is funded through a combination of provincial grant funding through the Health and
Safety Water Stream and the Township’s wastewater system

Water and wastewater systems must be funded through user rates rather than property taxes, which
means the costs of operating, maintaining, and upgrading the system are paid by those who use the service. The $30 million provincial grant helps offset a significant portion of the Township’s water and wastewater infrastructure upgrades, reducing the financial pressure that would otherwise fall entirely on ratepayers. The Township will also be completing a comprehensive water and wastewater rate review, expected to be brought to Council in fall 2026. This review will look at future operating and capital costs and will compare projected rates with and without the provincial funding to show the long-term benefit of the grant.

This project is partially funded through a provincial grant (73% of the cost, which is $17,626,770), but the
grant does not cover the entire cost. The provincial grant significantly helps offset project costs, reducing
the financial burden that would otherwise fall entirely on wastewater ratepayers.

The Township actively monitors and applies for funding opportunities when programs align with
eligible projects and timelines. The Health and Safety Water Stream grant application was submitted in
June 2025 for projects that were ready to proceed and met the program’s eligibility requirements. The Maple Trail, Lone Birch Trail, Ridge Avenue, and Simcoe Road Servicing Project was already underway, which meant it did not align with the grant intake period.

Under the Township’s Delegated Authority By-law, staff have authority to apply for grants related to municipal projects and take into consideration projects that were approved as part of the Township’s budget process. Providing staff with delegated authority to apply for grants allows municipalities to respond quickly to funding opportunities, which often have short application timelines. This is standard practice in many municipalities. Council receives updates through the Council Information Package, which is issued weekly and available on the Township’s website.

Council has authorized short-term borrowing to manage cash flow while construction is underway as
the provincial grant funding is paid out in stages based on all four projects included in the grant program being completed. This means the Township must fund construction costs upfront and will be reimbursed as grant payments are received. The total Township share for the project is anticipated to be $6.5 million, which will be funded by debenture.

The original capital budget of approximately $10.15 million was a high-level estimate developed during
early project planning. As the project progressed through detailed engineering, site investigations, and
tendering, additional technical requirements and updated construction pricing were identified.