How much the town owes and borrows

Full title: Municipal Debt, 2022-2026 · Written by John Farrugia

First publishedOctober 24, 2026

Last updatedOctober 27, 2026

Records checked up toOctober 24, 2026

Full report5 pages, with every source

This fact sheet shows how much money Strathroy-Caradoc owes, how much more Council has agreed to borrow, and how that compares with the province's limit.

What happened

The town's audited financial statements show it owed about $2.8 million at the end of 2022 and about $8.5 million at the end of 2025.
Most of that increase is a mortgage of about $7.8 million on the Caradoc Place housing, which is counted in the town's debt. Without it, the town's own debt at the end of 2025 was about $0.7 million.
In 2026 Council approved about $29 million of new borrowing for a new Fire Station 1, four road projects, a Police HQ Annex, a fire engine and a renovation at 137 Frank St. Most of it has not been borrowed yet.
Separately, the Mount Brydges sewage plant upgrade has an approved loan of up to $6.65 million. None of it shows up in the debt at the end of 2025.
The new yearly payments on the 2026 loans, about $1.65 million, fit within both the province's limit and the town's own stricter limit.

Why it matters to you

Borrowing approved now means yearly loan payments for years to come, up to 20 years for most of the 2026 loans. The fact sheet keeps debt already owed separate from borrowing that is only approved, so residents can see both.

Words with a dotted underline: tap them to see what they mean.

What the evidence shows

Shown in recordsTown documents, minutes or other official records show this.Reported, not provenSaid in the news, by a person, or claimed in court. Not proven by records.Still unansweredA question the records do not answer yet.

Shown in recordsThe audited statements show long-term debt of about $2.8 million at the end of 2022 and about $8.5 million at the end of 2025. page 1
Shown in recordsMost of the increase is the Caradoc Place housing mortgage of about $7.8 million, which counts in the town's debt because the housing corporation is included in the town's statements. page 1
Shown in recordsIn 2026 Council approved about $29 million of new borrowing, most of it not yet borrowed; staff said this 'will likely be a 2027 debt expense'. page 1
Shown in recordsThe Mount Brydges sewage plant has a real, approved loan of up to $6.65 million from the Green Municipal Fund, but none of it is in the debt at the end of 2025. page 3
Shown in recordsThe new yearly payments of about $1.65 million are within both the province's 25% limit and the town's stricter 17% limit. page 2
Shown in recordsThese borrowing decisions were made by voice vote, and none was a recorded vote, so the movers and seconders shown do not tell us how each member voted. page 2
Shown in recordsThe per-project loan figures on the staff backup sheet do not add up exactly to the total in the staff report, so the fact sheet does not show them. page 3
Still unansweredHow much of the Mount Brydges construction loan had been drawn by October 2026 is not public. page 3
Still unansweredThe final interest rates and payment schedules for the 2026 loans are not yet known, because Council still has to approve the final agreements. page 4

Key numbers

Long-term debt owed, end of 2022$2,774,184 page 2

Long-term debt owed, end of 2025$8,483,135 page 2

New borrowing Council approved in 2026about $29 million page 1

Approved loan for the Mount Brydges sewage plantup to $6.65 million page 2

New yearly payments on the 2026 loans$1,649,346 page 4

Yearly payment room still available under the provincial limit$11,467,224 page 4

Still unanswered

The final interest rates and payment schedules for the 2026 loans, which Council has yet to approve.
How much of the Mount Brydges construction loan has been drawn so far.
How this term compares with earlier terms; debt from 2018 to 2021 was not reviewed.
Whether figures quoted in the 2026 election debates match the records; the fact sheet did not check them.

What's in the full report

What you need to know page 1
1. Debt actually owed (audited) page 2
2. Borrowing approved in 2026 page 3
3. The Mount Brydges sewage plant loan page 3
4. How it compares with the limit page 4
5. What this fact sheet does not show page 4
Notes page 4
References - clickable links page 4
Updates and corrections page 5

Words used in this report

Net long-term debt: What the town owes on long-term loans at year end, as shown in its audited statements.
Audited financial statements: The town's yearly money report, checked by outside accountants.
Consolidated: Added together with the town's own figures - here, the housing corporation's mortgage is counted in the town's debt.
Construction loan: A loan drawn bit by bit to pay for work as it is done, then turned into a regular long-term loan at the end.
Internal loan from reserves: The town borrows from its own savings (reserves) instead of from a lender.
Annual repayment limit: The province's cap on a town's yearly debt payments: 25% of the town's own revenue.
Green Municipal Fund (FCM): A fund run by the Federation of Canadian Municipalities; it approved a grant and a loan for the Mount Brydges plant.
Recorded vote: A vote where the minutes list how each member voted.

Updates and corrections

Every change to this report is listed here. An Update adds new information. A Correction fixes a mistake. A Minor change is wording, layout or branding only.

Minor change October 27, 2026
The contact email for questions and corrections is now StrathroyCouncilWatch@gmail.com. Nothing else changed.
Original publication October 24, 2026
First release.

This page is a short guide to the full report. If they ever seem to differ, the full report is the record. Questions or corrections: StrathroyCouncilWatch@gmail.com.