Scottish Water was carrying out the works at Philiphaugh on the outskirts of Selkirk whilst laying new pipes between Howden and Yarrowford.
A Scottish Borders Council's archaeologist said:
"It is an exciting discovery. It is not every day that medieval villages are found - most of them are known, this one was completely unknown."
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A bus route from Hawick to Kelso and Jedburgh may have been saved, but with some services cut.
The Kilgallioch Windfarm will become the third largest onshore windfarm in the UK. The company says it'll benefit the community.
Tammy Pickford was on a holiday organised for people with terminal illnesses. She left her purse, with a photo of her father, in Ambleside.