Staff will be recommending that the City of Owen Sound apply for a grant to provide 83% of the cost of reconstructing 2nd Avenue East from 13th Street to the Bayshore.

The Investing in Canada Infrastructure Program (ICIP) is a 10-year federal-provincial infrastructure program that will invest up to $30 billion to critical local and regional infrastructure needs. Kate Allan, Director of Corporate Services, is recommending that the City apply for the rural and northern infrastructure investment stream of this funding. The October 2026 deadline for completion will allow for this work to be done beyond the current five-year capital budget.

2nd Avenue resurfacing was done ten years ago and has held up reasonably well, according to the staff report, but the road and road base is failing or has failed in many locations. The road would be reconstructed to a full urban standard from 13th Street East to 18th Street East. The grant would cover only the road work, but the full project would include full reconstruction of the road, replacement of watermain, sanitary sewers, storm sewers, related works and services, existing sidewalk replacement, new sidewalk construction, street lighting replacement and streetscape improvements.  The total cost is estimated to be $16,660,000.

Some other potential projects are in the report, including 16th Street East and the north end of 9th Avenue, but staff is recommending 2nd Ave East as the best choice for maximizing the full grant.

There also are a number of smaller projects that are high on the priority scale, but the total dollars required would not maximize the full grant. These high priority projects will be kept in mind for future grant opportunities with lower funding limits.

source: City staff report