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Midwestern

Grey County road transfer funding ranges from $15M to zero

Municipalities taking over Grey County roads next year will receive dramatically different amounts of transition funding, ranging from more than $15 million for Owen Sound to nothing for Georgian Bluffs.

Grey County is preparing to transfer dozens of kilometres of county roads to lower-tier municipalities beginning June 1, while also taking over several local rural roads.

The plan includes at least $42.8 million in payments over 10 years to help municipalities adjust to their new responsibilities.

Owen Sound is set to receive the largest amount at approximately $15.25 million, followed by Hanover at $9.11 million.

The Blue Mountains would receive about $5.64 million, West Grey $5.14 million, Grey Highlands $3.35 million, Meaford $2.45 million and Southgate $1.7 million.

Chatsworth's share is considerably smaller at $185,000, while Georgian Bluffs is listed to receive no transition payment.

Grey County says the differences reflect the roads and infrastructure each municipality will be taking on.

"The amount of funding each municipality is receiving is calculated based on multiple factors," the county said, including road lengths and the number of traffic signals.

Owen Sound will assume several substantial urban sections, including portions of Grey Roads 1, 5, and 15.

Hanover will take responsibility for sections of Grey Roads 4, 10, and 28, while West Grey is affected by both urban and rural changes, including roads through Durham, Neustadt, and Ayton.

Georgian Bluffs, by comparison, is not listed as taking over an urban county road under the plan. Instead, Grey County intends to assume Concession 5 in the former Derby Township as part of the rural road realignment.

The county says the transition funding is intended to recognize that taking responsibility for additional roads will create future operating and capital costs for municipalities.

"Grey County recognizes that road transfers will have a financial impact on the operations and long-term capital planning of municipalities receiving roads," the county said.

Payments will continue for 10 years and will include development charges already collected by Grey County for future work on roads that are being transferred.

The overall package follows months of debate about how the costs should be divided.

An earlier version of the road-transfer proposal was deferred in March after municipalities raised concerns about the funding formula, asset values, equity, development charges, and the condition of roads being transferred.

Grey County later held further discussions with municipal officials and returned with a revised proposal containing more financial support.

County council endorsed the plan in June and ratified the direction in July.

Warden Andrea Matrosovs said the transfers are intended to give municipalities greater control over roads running through their urban communities.

"These changes will give local municipalities more control to respond quickly to road issues in their urban areas," Matrosovs said when the plan was approved.

Grey County also plans to complete or fund several major projects before or as part of the transfer, including work on Harrison Park Hill in Owen Sound, Grey Road 4 in Flesherton, Grey Road 12 in Meaford, and a bridge in Clarksburg.

The county estimates reconstruction of sections of Grey Roads 9, 12, and 14 before transfer will cost about $7.3 million.

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