Essa Township is giving new meaning to the term bridge financing.
During the township’s council meeting Wednesday night, council authorized staff to proceed with the detailed design for a new bridge over the Nottawasaga River on the 5th Line, south of Sideroad 25.
Council also directed staff to initiate a special reserve fund that will minimize or eliminate any financial impact on Essa taxpayers in 2026, the planned construction year.
According to a report written by John Kolb, manager of public works for the township, the estimate for constructing the new bridge is $8.664 million (excluding HST), which includes a 15 per cent contingency (approximately $1.3 million) to account for the fact that it is based on a preliminary design.
Kolb said costs will be refined during the detailed design process and staff will explore options for cost-saving opportunities where possible.
“In terms of schedule, staff anticipate that preliminary design, refined and property/easement drawings ready this fall and having design completed by second quarter of 2025, which would allow for construction to commence in 2026,” Kolb said.
In an effort to pay for it without going to municipal taxpayers, the township has a strategy that combines revenues from a variety of sources, including development charges, provincial and federal funding and a special reserve.
The bridge was included in the township’s 2023 development charges (DC) study at a total cost of $6 million. Of that, half ($3 million) can be raised through development charges, a non-tax source, Kolb’s report said.
“Staff may also explore the option to proceed with a change of purpose order to increase the allowance from DC due to construction cost inflation,” said Kolb, noting the procedure is permitted under the Development Charges Act.
In 2026, the township will have about $1.5 million available through the Ontario Community Infrastructure Fund (OCIF) and the Canada Community-Building Fund (CCBF), which, according to Kolb’s report, can be "stacked" or used together for one project.
The remainder of the funding will come from a special reserve that council directed staff to initiate. It would include all net revenues collected from automated speed enforcement (ASE, or speed cameras), Joint Data Processing Centre (JDPC) and special funding related to the Aggregate Act.
According to Kolb’s report, the township’s ASE and JDPD programs will generate net revenues of $1.4 million and the special funding will total $2 million.
Additionally, the township says it will use about $700,000 of earned interest on the project.
The combined revenue from these sources equals $8.6 million — about $64,000 short of the estimated cost.
However, according to Kolb’s report, the township has already realized savings that could be reallocated to cover the shortfall.
Council approved $400,000 for the bridge design in the 2024 roads/public works capital budget. The total cost for the design stage, excluding GST, was $124,900 — which is more than $275,000 below budget.
Built sometime in the 1950s, the existing single-lane bridge is at the end of its life cycle, according to Kolb’s report.
Additionally, the sightlines on the northbound and southbound approaches are below standard requirements for the posted speed limit and ongoing erosion and sediment deposition is creating a restriction in the river at that location, resulting in ice and debris jams causing flooding and further scour of the south embankment to the point of instability.
A Municipal Class Environmental Assessment was completed by Ainley Group and approved by all stakeholders identifying the preliminary preferred design option to replace the bridge with the lowest vertical road alignment and a three-span structure configuration.
