The Collingwood judicial inquiry returned to council chambers this week to begin hearing from witnesses.

The first part of the inquiry investigated the circumstances surrounding the sale of half of the town's electrical utility.

Part two of the inquiry will dig into the council's decision in 2012 to spend $12.8 million of that share sale on two recreational facilities in town.

The town's clerk, Sara Almas, told the inquiry today how the former deputy mayor first proposed the idea of fabric-covered buildings. She is just one witness testifying. The preliminary witness list also includes the former mayor, deputy mayor, and the CAO at the time.

The town has allocated $4 million to pay for the rising cost of the inquiry.

Collingwood Mayor Brian Saunderson says that money is an investment in the town's corporate governance. The town also hired a new accountability officer. "If there are concerns about how business is being done at town hall, we can look at all outside influences," he explains, "and we are accountable."

The second phase of the hearings is expected to be completed by the end of October.