Part 2: Council Approves Pay Increase, Addresses Wellington Cost Overruns, and Takes On Long-Term Infrastructure Debt — 06/23/2026
- PECConnect
- Jun 23
- 5 min read
After a meeting that had already covered firefighter negotiations, community announcements, and governance issues, the County Council turned its attention to some of the evening's most consequential decisions. The discussion that followed focused on council compensation, major infrastructure cost overruns in Wellington, and how the County plans to finance more than $31 million in water and wastewater infrastructure over the coming decades.
View the entire PEC Council Meeting; or view our recap>
Council Compensation Debate Ends with 8-6 Vote
The longest discussion of the evening centred on council remuneration. Council had been wrestling with the issue for several meetings and was once again presented with several compensation models developed through an external review process.
The debate largely came down to competing views about accessibility, fairness, affordability, and timing.
Councillor Chris Braney argued that council should wait until after the upcoming municipal election and the outcome of the ballot question regarding council size before making compensation changes. Braney said the next council would likely have to revisit the issue anyway and suggested residents should have a chance to weigh in through the election process.
Councillor Phil St-Jean, meanwhile, repeatedly emphasized what he described as an "equity of access" issue. St-Jean argued that serving on council can create financial barriers for many residents and that increasing compensation would make it easier for a broader range of people to run for office.
Councillor John Hirsch supported moving ahead now, saying candidates considering a run for council should know what the role will pay. Hirsch also supported using comparable single-tier municipalities as the benchmark.
Not everyone agreed.
Councillor Roy Pennell questioned why council would consider raising its own compensation while residents continue to face financial pressures and while the municipality carries significant debt obligations.
The first option considered was the highest-paying model, which would have tied compensation to the Ontario Living Wage standard. That proposal was unanimously defeated, with every member of council voting against it.
Council then voted on a second option based on the average compensation paid by six comparable single-tier municipalities. The motion passed by an 8-6 vote.
Beginning January 1, 2027, the approved compensation model will increase the mayor's annual remuneration to approximately $96,590 and councillor remuneration to approximately $40,422.
Wellington Trunk Project Overruns Raise Concerns
The mood shifted considerably when council moved to a report outlining major cost overruns associated with the Wellington Trunk Water Main and Sanitary Sewer Proj
ect.
Staff requested an additional $5 million in project funding after construction encountered several unforeseen conditions, including unexpectedly hard rock formations, buried hardened steel believed to be old railway material, and groundwater volumes far greater than originally anticipated.
Development Services Project Manager David MacPherson explained that consultants had originally anticipated approximately 20 cubic metres of groundwater per day at one location. Construction crews instead encountered between 300 and 400 cubic metres daily at the pumping station and between 3,000 and 4,000 cubic metres daily during portions of the trunk main work.
Several councillors expressed frustration.
Councillor Phil St-Jean questioned why taxpayers were being asked to absorb additional costs related to tunnelling difficulties and changing rock conditions. Councillor Roy Pennell said the size of the overrun was alarming and suggested a full investigation should occur. Councillor John Hirsch focused on whether engineering studies and geological investigations had been sufficient before construction began.
Councillor Chris Braney voiced concerns he said many Wellington and Hillier residents have raised, questioning why council was only learning about the full extent of the overruns now rather than earlier in the process. Braney also pressed staff for a completion timeline after what he described as a project that seemed to continue stretching on.
MacPherson told council that approving the report would allow the County to complete the remaining work using what staff believe is the most efficient approach available. Current projections place completion sometime during the third quarter of 2026.
Council ultimately approved the additional funding request.
Council Approves Long-Term Financing Plan
The infrastructure discussion continued with council considering how to finance the overall Wellington trunk infrastructure project.
Director of Finance Arryn McNichol explained that the County plans to convert project costs into long-term debt through Infrastructure Ontario. Council approved borrowing up to $31.1 million and also approved extending the amortization period from 30 years to 40 years.
The extended repayment period spreads costs over a longer timeframe and reduces annual repayment pressures. McNichol noted that most of the project is growth-related infrastructure, meaning a significant portion can eventually be recovered through development charges rather than existing ratepayers alone.
Questions again came from several councillors.
Councillor Janice Maynard raised concerns about how costs are allocated between water and wastewater users. Councillor Phil St-Jean questioned how the new debt affects the County's overall borrowing capacity. Councillor Roy Pennell warned that if growth projections fail to materialize in the future, the municipality could ultimately be responsible for carrying those obligations. Council approved the financing plan following discussion.
What This Means for Locals
For the County residents, the decisions made during this portion of the meeting will have impacts that extend well beyond council chambers.
The council compensation vote establishes what future elected officials will earn beginning in 2027 and may influence who decides to run for office in next year's municipal election.
For Wellington residents, approval of the additional funding means the long-delayed trunk water and sewer project can continue toward completion, although the final price tag is now significantly higher than originally anticipated.
The approval of long-term infrastructure financing commits the municipality to decades of repayment obligations tied to major growth infrastructure. While much of the debt is expected to be supported through development charges and future growth, councillors made it clear that managing those obligations will remain an important issue for future councils and taxpayers alike.
Disclaimer: This article is based on a meeting with an approximate duration of 3:39:43. Due to the length of the meeting, our team was not able to independently review the full recording in its entirety. As a result, we relied on software-generated transcription, automated summarization, and automated recognition of speakers and participants, which may not be entirely accurate. All transcriptions, summaries, and related content are prepared by our team in good faith and on a reasonable best-efforts basis. The content is provided for general informational purposes only and is intended to support public understanding of the topics discussed. While reasonable efforts have been made to present the information accurately, automated processes may result in errors, omissions, or unintended misinterpretations. This article does not constitute an official, certified, or verbatim record of the meeting, and it should not be relied upon as such. Readers are encouraged to consult original source materials, official minutes, or recordings where available for confirmation or clarification. Questions, requests for clarification, or suggested corrections may be submitted to hello@pecconnect.ca for review and consideration.
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