Wellington County abandons seniors’ housing project due to lack of funding options

Ontario Construction News staff writer

Wellington County Council has directed staff to cease development of plans for the Continuum of Care.

The project had been in works for over eight years. During that time, the preliminary cost of $88 million grew to a projected $135 million, when council approved a plan to seek funding from other levels of government. It included 254 units of affordable seniors housing.

“County staff continued to research opportunities for financial assistance from the Governments of Canada and Ontario, to reduce the County share of costs, but no new offerings could be identified,” said Scott Wilson, Chief Administrative Officer.

As a result, staff was directed to close the Phase 1 Continuum of Care capital project, return the funds to the Continuum of Care reserve, and to prepare housing alternatives for the use of the funds for the consideration of County Council. About $6.75 million will be transfered to a reserve for future housing projects.

About $414,000 has been spent on the proposed project, including $90,000 in federal funding.

The plan was reviewed by a working committee including the principal architect, Mr. Gerry Pilon of Salter Pilon, the Committee’s work was supported by Suzanne Dronick (Terrace Administrator), Luisa Artuso (Social Services Administrator), Ken DeHart (County Treasurer), Jana Burns (Wellington Place Administrator), Aldo Salis (Planning Director), Kevin Mulholland (Construction and Property Manager), Shauna Calder (Manager of Finance) and Sarah Wilhelm (Manager of Policy Planning).

Revenue projections for services provided as well as rental, lease and purchase options were estimated with reference to similar facilities and the assistance of professional real estate advisors.

“Previous costing of the project estimated a net cost to the county of approximately $2 million annually; updated estimates produced an annual cost of $5 million,” chief administrative officer Scott Wilson wrote in a report to council.

“Staff have continued to research opportunities for financial assistance from federal and provincial sources, to reduce the county share of costs, but no new offerings could be identified.”