If the Town of Newmarket wants to keep its roads, bridges and pipes in good condition, it has to address an $81-million funding gap over the next 10 years to do so, according to a staff report.
Council reviewed new asset management plans that highlighted the future deterioration of core assets at its Jan. 18 meeting. Although most of the town’s infrastructure is in good condition, staff projections found they stand to deteriorate and become significantly poorer at current funding rates.
Corporate asset management manager Lisa Ellis said that future infrastructure funding should be higher than the $10 million allocated in the 2021 budget. Without significant increases, she said there will be a substantial decline.
“The current levels of service are going to be a challenge in the next 10 years,” she said. “Levels of service will not meet expectations, and we are going to see service level challenges for the public.”
The new plan details roads, bridges, water, wastewater, and stormwater systems, as well as makes recommendations for future asset management. For now, 49 per cent of Newmarket’s network is in “very good” or “good condition, while 43 per cent is in “fair” condition.
But at current funding levels, approximately 45 per cent of infrastructure could be in poor or very poor condition by 2050, compared to eight per cent today. That would continue to deteriorate without a funding intervention.
The plan suggests two options: adding $27 million over 10 years to alleviate the deterioration with periods of service failure risk; or an additional $81 million to achieve high service level targets.
Under the current plan, households will be paying an extra $25.65 annually toward infrastructure maintenance. That would increase to $32.40 if the town adds $27 million to infrastructure maintenance and $60.54 if it opts toward $81 million.
Town CAO Ian McDougall said the change in asset planning is a “watershed” moment.
“It needs to be embraced by all within the municipality,” he said.
Newmarket Mayor John Taylor said municipalities across the province are doing similar work by mandate and will all face some degree of infrastructure in poor quality.
Councillor Victor Woodhouse said this work often gets little attention from the public on social media, until something goes wrong.
“It’s fine until a road, a bridge, or a water supply fails,” he said. “This is important work, and yet it flies below the radar until something doesn't go well.”
Deputy Mayor Tom Vegh said it is important to have foresight. He said managing these assets is one of the most important things council does.
“We do want to avoid leaving unbearable financial burdens to our children and even our grandchildren,” he said. “Kick this ball down the road, it’s going to cost more for future generations.”
Council is due to accept the plan at a Jan. 31 meeting. Town council will later decide how much it wants to increase infrastructure funding and what service level targets it wants to meet in future years.
