The township will enter into a road use agreement to with the Hensall District Co-op (HDC) to allow enhanced road usage on Sideroad 12 during half-load season, with the understanding that the company will compensate the municipality.
A June 12 report to council from CAO Manny Baron notes the co-op has been planning major upgrades to its property since it was purchased from Driscoll Farms in 2017.
“These upgrades are aligned with our goal to enhance our economic development and job creation,” stated Baron, noting the expansion is anticipated to create six new full-time jobs.
In his report, Baron points out the co-op board of directors is hesitant to commit to the expansion because it is a half-load road “and they would not be able to service their customers appropriately during that time of year.”
“We introduced the idea of creating an agreement that would protect our interest in the road during half-load season. We suggested there could be an agreement created that would outline that any damage created by truck traffic would be repaired at HDC’s cost,” the report states.
Baron indicated the co-op board has approved the expansion with the condition of being able to use the road during half-load season.
He said public works staff believe the road is sturdy enough to withstand the increased traffic.
“That being said, if there is a need to strengthen the road, we could add a six-inch lift to make it even more robust,” Baron stated.
He added the township would benefit from approximately $50,000 in additional development charges, plus increased property assessment.
The report notes a six-inch lift to the road would cost approximately $22,000 if needed.
The report also states local farmers would benefit from the expansion, “as they will not have to leave Mapleton to acquire their seed, chemicals, etc.”
Councillor Lori Woodham asked why the company is only being asked to put up a $10,000 letter of credit against potential damage when road improvements could cost $22,000.
Baron explained the letter of credit is essentially a “damage deposit” while any agreement regarding the road would be separate. He said if council wanted to change that arrangement it could ask for a $35,000 letter of credit.
“This would be applicable to anyone in our township, correct?” Woodham asked.
Baron replied, “If they’re willing to enter into an agreement such as this one I would not only enjoy writing the agreement, but would be jumping up for joy because it means that we are open for business, people are succeeding. So, absolutely.”
Councillor Dennis Craven pointed out, “The amounts might not be the same. This would be the amount for this road only.”
Baron agreed, “The roads would be assessed on a case-by-case basis.”
“This is a template that we can certainly use going forward if there is another business looking to take advantage of an agreement like this,” said councillor Michael Martin, who acted as mayor pro-tem for the discussion.
Mayor Neil Driscoll, a co-op employee, had declared a conflict of interest on the matter.
Driscoll also declared a conflict for a public meeting held the same evening on a request for a zoning amendment on his property to facilitate a severance and sale of additional land to the co-op.
The amendment would rezone approximately 0.71 hectares (1.75 acres) of the property from agricultural to agricultural commercial.
The property and buildings will be utilized as part of the adjacent Hensall District Co-operative operation. An associated severance application is being submitted to separate the property and merge with the Hensall District Co-operative property.
A reduced separation distance between the existing residence and the agricultural commercial uses (buildings, outdoor storage, etc.) is also being requested.
A report from Wellington County senior planner Curtis Marshall indicated the planning department has no concerns with the application as it conforms to the Official Plan and to applicable provincial policies.
Council directed a zoning bylaw be brought forward for consideration at the next meeting.
