Holding tank billing fiasco -Colgan

The current council has cheated the residents of Colgan by billing them for haulage of waste solids from the holding tanks when in fact the developer already paid for haulage from the holding tank as the delay in homes connecting to the new sewer plant was caused by delays from the developer. This has been confirmed by the past CAO Eric Wargel and then further confirmed by the township treasurer. Both emails also confirm that money is being taken from general taxation to subsidize the water and wastewater rates.

Below is the email from the township CAO Eric Wargel dated March 27, 2025 who confirms in

Point 2.a.1 that the difference in water expenditure and the water rates are taken from general taxation to be returned. This is now additional proof that the loans to municipal water and wastewater users is to be returned to general taxation and then refunded to residents not on municipal water and wastewater.
Point 2.a.iii confirms that the developer has paid the cost to haul the effluent and those costs are not being billed to the residents. But yet the residents of Colgan were billed to haul the effluent till October 2024 when the plant became operational as per indicated in point 1.d

Point 1.a states “Mr. Thompson was referring to the requirement that new homes must have adequate water and wastewater services and that these services must be in place before occupancy.” If this was the case that the services had to be in place before occupancy then why was occupancy in Colgan given before the wastewater plant was operational that then required permission from the province to use holding tanks? Why did the council permit the use of holding tanks and approve the occupancy when the wastewater plant was not yet built? Why is council not refunding the Cost that they billed the colgan residents when the developer has paid the bill, is this the way this council claims a surplus by cheating the residents? The CAO email states “those costs are not being billed to the residents” if so, then why did the residents of colgan come complaining to council with their unaffordable wastewater bills if the costs were not billed to the residents? The residents of Colgan should have had absolutely no wastewater bills until October 2024 as all haulage from the holding tanks was paid for by the developer.

Point 1. States “Mr. Thompson comment was referring to a position that the water supply capacity must be verified before new connections are made to the water system. New connections are not automatically permitted until the system is verified to have additional capacity. “ This is the biggest bull crap that I have heard, the township has given new water connections to many old homes in Colgan in the past without any verification of capacity and Eric Wargel as past CAO for over 25 years knows this very well. This statement was made with regards to an application from a resident for 4 more homes in a lot besides the Colgan subdivision. Council was always told there is abundance of water in colgan and Bob Meadows and I are spreading misinformation about the water capacity. Now, all of a sudden for 4 homes the township needs to verify capacity? This now raises the question did the township verify water capacity for all the basement apartments in Colgan subdivision? Although the basement apartments are not new connections they are still taking water from the capacity and thereby reducing the well capacity and could cause water shortages. If capacity for 4 more homes that would accommodate total around 24 persons has to be verified, will the Colgan water and wastewater system collapse if some homes owners in colgan build basement apartments with or without informing the township? Where are all the past studies for new connections in colgan showing that capacity was being verified before council approving a new connection?

Eric Wargel water and wastewater email page 1
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Below is the email from the Township Treasurer also confirming in his first answer in red that any shortfall is taken from working funds as a “LOAN” which has to be repaid. In his second answer he confirms that the township was not responsible for Colgan holding tanks costs and disposal and any costs prior to the plant becoming operational are the responsibility of the developer. But yet the residents of the Colgan subdivision were billed prior to the plant becoming operational.
For the second part of his answer he might have got confused with my question as he states “As far as residents of Colgan are paying for the Everett New Horizon system, this does not happen. All the revenue and expenses for wastewater are part of the same budget.” So, if they are the same budget then Colgan is paying for Everett and Everett is paying for Colgan.

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