💦 Town of The Blue Mountains Advances Critical Wastewater Infrastructure Project
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The Town of The Blue Mountains is pleased to announce that Industra Construction Corp. has been awarded the construction contract for the Mill Street Sewage Pumping Station Upgrades. Industra’s successful bid was valued at $17.7 million and represents a significant milestone in advancing one of the Town’s most important infrastructure projects. The scope represents the final component of the work funded by the Housing-Enabling Water Systems Fund (HEWS) alongside the Bay-Grey Street Reconstruction and Craiglieth Lift Station. In awarding the project, the scope of work is within the budgetary increase of $19 million approved by Council in December 2025.
Following a detailed review of the project scope, design requirements, procurement results and long-term servicing needs, Council concluded that completing the upgrades represents value-for-money and is the most responsible and cost-effective approach to replacing critical wastewater infrastructure, improving system reliability and supporting future growth and community needs.
The Mill Street Sewage Pumping Station is a critical component of the Town’s wastewater system. The facility collects and conveys wastewater generated within the Thornbury service area to the Thornbury Wastewater Treatment Plant. The upgrade project will replace aging infrastructure, increase system capacity, improve reliability and help reduce the risk of bypass or overflow events during extreme weather conditions. The project includes the construction of expanded pumping infrastructure, replacement of key mechanical and electrical systems, building improvements, site works, and related upgrades necessary to support the long-term operation of the facility. With the construction contract now awarded, the contractor is expected to finalize the project schedule in the coming weeks, which will establish anticipated timelines for construction activities.
The Town recognizes the significant investment represented by this project and remains committed to providing transparent information about how it will be funded. Consistent with the Town’s long-term financial planning approach, the project is expected to be funded through a combination of reserves, development-related revenues, external funding opportunities and long-term financing. The Town maintains significant borrowing capacity and is actively evaluating financing opportunities through Infrastructure Ontario, including the Housing-Enabling Water Systems Fund (HEWS). Staff will continue to report back to Council as financing opportunities are confirmed and funding strategies are finalized.
Like many municipalities across Ontario, The Blue Mountains is managing increasing infrastructure costs, aging assets, evolving regulatory requirements and changing development funding models. Recent changes to the timing of development charge collections, combined with rising construction costs and slower development activity, have placed additional pressure on municipal infrastructure financing. These challenges are not unique to The Blue Mountains and reflect broader trends affecting communities throughout the province. While municipalities continue to adapt to this changing financial environment, The Blue Mountains has taken a number of steps to strengthen its financial planning and oversight practices.
Over the last year, the Town has strengthened its financial management and project governance practices through updated budget, procurement and reserve policies and enhanced financial forecasting to support improved oversight of major capital projects.
The Town is also undertaking a comprehensive review of future capital priorities to ensure infrastructure investments remain aligned with available funding, regulatory requirements, asset replacement needs and long-term financial sustainability. This work will help Council continue to make informed decisions about future infrastructure investments while balancing community needs with available financial resources.
As the project moves into the construction phase, Council remains committed to delivering the project responsibly while continuing to provide transparent updates to the community as work progresses.
Mayor Andrea Matrosovs
“This project is an important investment in essential wastewater infrastructure that will serve our community for decades to come. Council has completed its review, awarded the construction contract, and confirmed the path forward. Our focus now is on delivering the project responsibly, protecting critical infrastructure, and keeping residents informed as work progresses.”
CAO Adam Smith
“Municipalities across Ontario are facing increasing pressure from rising infrastructure costs, aging assets, and changing funding models. The Town is actively reviewing its capital program with a focus on alignment to strategic priorities, available funding opportunities and financial capacity of the Town. This project will be delivered within that broader approach while maintaining a strong focus on accountability and transparency.”
To learn more about the project and subscribe for future updates, visit the project webpage.
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