PEFAC declared a project of community interest; budget increase to be considered

By Sharon Harrison
The Prince Edward Fitness and Aquatic Centre (PEFAC) was deemed a project of community interest at Tuesday’s council meeting. The move will allow the non-profit organization to receive charitable fundraising donations and issue official tax receipts, and to do so immediately.

No decision was made for an additional ask from PEFAC for the municipality to increase their annual grant for 2026 from $70,000, to $160,000-$175,000. Council will also consider increasing its financial support, at budget talks next week.

The requests come after PEFAC received news in September that the owners of the building they occupy have put it, and the land, up for sale, with a price tag of $4.6 million.

Even before this latest development, PEFAC had indicated its goal was to purchase the property and continue operating as a not-for-profit aquatic and fitness centre at its current location. That goal has not changed, but the time pressures have.

“We don’t know how long it will be before someone else makes an offer, so time is of the essence,” said PEFAC’s Sue Mathieu “And if the facility closes, we are looking at $20-plus million, and 10 or 15 years before we can replace it.”

The PEFAC website notes its lease gives a 60 day “right of first refusal” to match any offer to purchase.

She said once they own the property, they can get back to their long-range planning process, and look at opportunities to expand and refurbish the facilities to better serve the community.

The additional $100,000 from the municipality would cover an expected loss in 2026 due to increased operating costs generally. Anticipated revenue in 2026 was pegged at $850,000, with estimated operating costs of $1,015,000, for an operating loss of $165,000.

“This increase will give us breathing room to stay open, to protect jobs, to move forward with ownership ultimately of the property, and without it, we risk losing PEFAC,” expressed PEFAC director, Emmanuel.

Council also voted in favour of a motion to remove the restriction of the $20,000 capital portion of the current $70,000 municipal grant (for 2026) to allow it to be used for general operating expenses, so all $70,000 can go to operating costs (and none to capital expenses) next year.

“Because of uncertainty, we don’t know if it’s going to be sold in the next year, do we spend it on capital, so that’s the rationale for it,” explained councillor Brad Nieman who brought forward the motion.

Located at 13263B Loyalist Parkway in Picton, the centre has been operating as a non-profit fitness centre and pool since 2005. The organization is governed by a volunteer board of directors operating independently from the municipality.

In her deputation to council, Mathieu addressed what the facility means to the community and the heartfelt support they have received, provided some key facts, but also answered some of the questions raised at the Sept. 25 council meeting, including possible YMCA involvement.

“YMCA told us they are not interested in operating an older building like PEFAC,” explained Mathieu, “usually they come in at the invitation of a municipality in some sort of partnership arrangement, and the municipality is involved and assists with construction and operating costs.”

Mathieu also provided several examples of new YMCA facilities in the area, Belleville being one of them, explaining that Belleville YMCA is under construction at a cost of roughly $29 million, and has support from the city.

“We have talked to senior management at the regional Y, and they would not be interested in purchasing or operating an older building like ours,” she confirmed.

It was a large audience that came out to support PEFAC Tuesday in a crowded council chambers, overflowing into side rooms, and 10 members of the public spoke in support of PEFAC. A number of personal stories were shared by users on what the facility means to them, how it has not only improved fitness, but has changed and improved lives, many of them heartwarming and poignant anecdotes.

“The County does not have a lot for the youth to do; PEFAC is one of the few places where we can go and do productive, healthful things,” shared Basil, a community youth member who uses PEFAC almost every day. “PEFAC isn’t just a gym; it’s a place of progress, positivity and purpose. If we lose PEFAC, we have literally nothing left.”

Council also received more than 100 letters from PEFAC members indicating support for it to stay open and for municipal support, and PEFAC brought along a stack of 2,500 signatures on petitions received from community members, around 600 of which are from PEFAC users.

Hearing from the youth perspective, minority groups, to 87-year-old David Edward who uses the aquafit facility four times a week, overwhelming messages were heard about how PEFAC is an integral part of the community, how it is an asset for the County, and is not just about physical fitness but mental wellness. Others saw it as a safe place, a welcoming space, inclusive and accessible, with affordable programming.

“PEFAC is the only facility in the County that can accommodate us seniors with mobility issues like I have.” shared Edward.

Speakers spoke of how the facility is all members of the community, across all areas of the County, from young children to older seniors, and most others in between. They talked about how well they have been treated, how friendly it is and how extremely welcoming, how they never feel judged, and how it provides a sense of community.

“Our pool is not optional, it is an essential public health preventive resource and is critical for a healthy and growing community,” said Dr. Stephen Blanchard, one of three physicians to speak on the importance for children to learn life-saving swim skills early, especially in an island community.

“We really see PEFAC as a way to help build as a connected and healthy community, it’s a practical and cost-effective way, but it also helps alleviate maybe some long-term pressure for other infrastructure, like our health care, public health systems as well,” said Emmanuel.

The fundraising arrangement will be in place for 18 months, and is contingent on PEFAC actively pursuing its own charitable registration and is based on exceptional circumstances, and reflects an existing funding relationship. It is expected that charity status will take about one year to complete.

“As such, it should not be interpreted as a precedent for similar arrangements with other organizations,” noted programs supervisor Julianne Snepsts in her report.

While a project of community interest has no specific definition, it is a term used to describe any initiative that council formally recognizes as being “in the interest of the County.” Such designation does not commit the municipality to investing municipal dollars into the initiative; it simply enables the municipality to administer charitable donations from third parties.

Councillor Sam Grosso questioned the $4.6 million market value of the property, suggesting instead, his guess would be $2 million. He also asked if PEFAC had had the building appraised.

“We have an appraisal that suggests it’s much lower than that, but I’d rather not say the amount, but we do have an appraisal that we have done which is significantly lower than that,” shared Mathieu.

Considering the age of the building, councillor Janice Maynard asked about long-term capital costs, and asked if there is another alternative other than putting capital improvements into an aged building.

Mathieu confirmed there is potential to do some work on the site, to expand the building as there is enough space, or to re-build, where she said the preferred approach would be to work with what they have got, since they do not want to be without facilities for a long time while a new facility is built.

Snepsts’ recommendation to council was that the municipality work with PEFAC and its supporters to facilitate charitable donations.

“These donations would be made to the municipality and would be used to increase PEFAC’s exceptional funding partnership (EFP) grant, with the goal of helping PEFAC ensure continued operations at their current location,” noted Snepsts.

She said, these recommendations allow the municipality to support PEFAC in their efforts to maintain a publicly-accessible pool and fitness facility in the County without requiring financial investment of taxpayer funds beyond the existing EFP grant.

The report notes how PEFAC has played a key role in delivering recreation services in Prince Edward County for nearly 20 years.

Snepsts said the County’s relationship with PEFAC is “relatively simple and cost-effective”.

“The financial and operational commitments are significantly lower than those required to own and operate a municipal pool,” she noted. “The funding agreement with PEFAC includes specific deliverables, such as maintaining public access to the pool, offering a financial assistance program, and allowing day-use access.”

The County’s long-standing partnership with PEFAC reflects a cost-effective approach to delivering core recreation services through a community-based model, notes the report. While modest in scale, the arrangement provides meaningful public benefit and aligns with practices seen in similar-sized municipalities across Ontario.

It was explained that the agreement ultimately functions as a grant, allowing PEFAC to manage its operations independently while ensuring the residents of the County have access to this type of facility.

The report noted that “in a community where recreational options for teens and young adults are limited, PEFAC plays a vital role in offering alternatives to less constructive behaviours, helping foster a sense of belonging, confidence and well-being,” it states. “Beyond recreation, the facility contributes to broader community goals: PEFAC membership is a perk offered in physician recruitment, it serves as a fitness facility for firefighters, and provides essential water safety education through the swim to survive program.”

These community benefits would not be easily, quickly or cheaply replaced by the municipality or other partners, it report concluded.

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PEFAC supplies some numbers

1,185 members
3,500-plus different users per year
$500,000 in wages to County residents
100,000 user occasions each year
5 full-time and 8 part-time staff
20 instructors
7-10 summer day camp staff
Open 4,650 hours each year, 55-plus classes per week
$800,000-plus in earned revenue, 90%-plus of costs.

The users come from, per ward (rough figures) The figures are based on 1525 members and users in past year. An additional 650 did not have PEC as primary address – seasonal residents, day passes from out-of-town, users from Adolphustown, etc.:

Picton, 470
Bloomfield-Hallowell: 524
Wellington: 95
Sophiasburgh: 109
North Marysburgh: 100
Wellington: 95
Athol: 76
South Marysburgh: 63
Hillier: 60
Ameliasburgh: 29.