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HomeMy WebLinkAboutBRU 81 014 agree with Ont Hydro CORPORATION OF THE TOWNSHIP OF BRUCE BY-LAW NO. 81-14 BEING A BY-LAW to authorize the entering into an agreement between the Corporation and Ontario Hydro for financial impact assistance, monitoring, land use and road maintenance in the township. NOW THEREFORE the Council of the Corporation of the Township of Bruce enacts as 'follows: 1. That the Corporation do enter into the agreement with Ontario Hydro which forms part of this by-law and a copy of which is hereto attached. 2. That the Reeve and Clerk of the Corporation are hereby authorized to execute the said agreement on behalf of the Corporation by their signatures and the affixing of the Corporate Seal of the Corporation thereto and to deliver the agreement so executed to Ontario Hydro, provided that the Corporation shall receive back one counterpart executed by the said Ontario Hydro. By-law introduced and read a First time this TWENTY-THIRD day of JUNE, 1981. By-law read a Second time this TWENTY-THIRD day of JUNE, 1981. By-law read a Third time and finally passed, 81-14 this TWENTY-THIRD day of JUNE, 1981. signed, sealed and numbered dJß- ERK ~û~ REEVE Q ~ SEAL ~.- - ."--- -. - . . ~ . ~_ _.----~--4..~."':-, . -." - - . ....._, "" .__.~ ~. v ~ -t.:'.; J' ,. THIS AGREEMENT made in duplicate this 23 day of June , 1981. BETWEEN: ONTARIO HYDRO, OF THE FIRST PART - and - THE CORPORATION OF .THE TOWNSHIP OF BRUCE, hereinafter called "The Corporation" OF THE SECOND PART WHEREAS Ontario Hydro operates or may operate nuclear generating stations, heavy water plants, bulk steam supply systems and support facilities at the Bruce Nuclear Power Development (BNPD), in the Township of Bruce, north of Kincardine, on Lake Huroni and WHEREAS construction of the nuclear generating station known as Bruce B will continue for a period of approximately 6 yearsj and WHEREAS Ontario Hydro does not intend that the Corporation incur financial hardship as a result of the construction of the Bruce Nuclear Power Developmentj and WHEREAS because of the amount of assessment attributable to the Bruce Nucl~ar Power Development site the 50 per cent limitation specified in section 47(6) of The Power Corporation Act has applied during the years 1974 through 1981 and is expected to continuej and WHEREAS since 1974 Ontario Hydro has acquired property up to five miles from the said site to ensure that no landowner suffer financial loss due to the Restricted Development Area policy in the Bruce Township Official Plan which relates to regulatory requirements associated with facilities at the BNPD sitej and 1114M .J- " .' ; . ~ - 2 - WHEREAS Ontario Hydro wishes to purchase and retain ownership of all properties within the 1-2 mile zone; and WHEREAS properties within the 2-5 mile zone will be treated according to policy adopted by Ontario Hydro from time to time; and WHEREAS the Corporation suffers a 1053 in assessment and revenue consequen~ on the purchase of these lands in the 1-2 and the 2-5 mile zones; and WHEREAS industrial development may occur within the boundaries of Bruce Township utilizing thermal energy and necessitating the development of other facilities such as roads and a harbour; and WHEREAS the County of Bruce wishes to prepare planning instruments to review and regulate changes associated with this potential industrial growth in Bruce Township; and WHEREAS the Corporation wishes to participate in a significant way in the preparation of such planning instruments, including an industrial development strategy, amendments to the Official Plan for the Bruce County South Planning Area, and amendments as necessary to the Bruce Township Official Plan and the Bruce Township Zoning By-law; and WHEREAS Ontario Hydro wishes to participate with the Corporation in addressing concerns associated with the past, present and future effects of the Bruce Nuclear Power Development; and WHEREAS the parties have agreed to enter into an agreement subject to the terms and conditions hereinafter appearing; and WHEREAS the Corporation on the 23rd day of a bylaw No. 81-14 authorizing the"Corporation agreement for such purposes upon such terms and execution of the Agreement by the Corporation. June , 1981, passed to enter into an conditions and the (1) Definitions NOW THEREFORE THIS INDENTURE WITNESSETH that for the considerations herein contained, the parties hereto covenant and agree as follows: (1) 1. For the purpose of this agreement the following definitions shall apply: (a) 0-1 mile zone means the land area between Lake Huron and the Boundary line marked in red on the drawing attached hereto and formir~ part of this Agreement. (b) 1-2 mile zone means the land area between the boundary line in red and the boundary line in greet; on the drawing but does not include any land on which Ontario Hydro erects any buildings or works as defined in The POVle%' Corporation Act. 1114M ~l.. < .~..r ~ :: - 3 - .;,. -;. ...... . . . . , (c) 2-5 mile zone means the land area betweE!n,theboundary line 1n green on the drawing and the boundary li~e in yellow but does not include any land on which Ontario Hydro erects any building or works as defined in The Power Corporation Act. (d) Year means a calendar year. (2) Municipal Revenue i) For each year from January 1, 197~, Ontario Hydro agrees to pay Special Grants on the lands owned by it in the 1-2 mile and 2-5 mile zones based on the valuations established under Section 41 of The Power Corporation Act for such lands 1n the year calculated according to Section ~7 but excluding the 50 per cent limitation in Subsection 6 of Section 41, based on the sum total of the Corporation's mill rate for all purposes, provided however that the maximum amount payable by Ontario Hydro for the 1-2 mile zone will be as specified in Section 2 (iii). These Special Grants shall be considered to be over and above the payments-in-lieu of taxes annually made to the Corporation. (2) ii) The parties agree that for the years 1974 through 1980 the total amount of the grants payable under Subsection 1 above for such years is $46,034 for the 1-2 mile zone, and $23,565 for the 2-5 mile zone, which amounts shall be paid to the Corporation forthwith after execution of these presents. (2) iii) While Ontario Hydro now owns 751 acres in the 1-2 mile zone and Ontario Hydro intends to acquire all the properties in the 1-2 mile zone, approximately 1,535 acres, and to make Special Grants to the Corporation as referred to in Section (2) (i), Ontario Hydro's annual payments for any or all properties 1n the 1-2 mile zone shall not exceed a maximum of $~O,OOO. The maximum of $40,000 is based on a projection of an annual increase in the commercial mill rate of two mills from 1981 to 1981 as well as the total acreage that Ontario Hydro owns and intends to acquire by 1981. If the Corporation is of the opinion that the Special Grant should exceed $40,000 in a particular year up to and including 1987, the Corporation shall refer the matter to the Liaison Committee established under Section 5 (vi) of this Agreement for review and recommendation. Ontario Hydro will provide to the Liaison Committee upon execution of this Agreement the basis for the projections and calculation of the limit of $40,000. (2) iv) Until such time as the limit of $40,000 for annual Special Grants for the 1-2 mile zone is reached, annual payments may vary depending on whp,n the remaining land is purchased. 1114M ~,~..; .- ~. , , - 4 - (2) v) In the event that Ontario Hydro sells properties now owned 1n the 2-5 mile zone, the annual Special Grant to the Corporation for that zone up to and including 1987 will vary accordingly. Annual mill rate changes adopted by the Corporation will be included in the calculation of this grant. (2) vi) Annual payments of approximately $1500 are made by residents to the Corporation in respect of a marine road allowance located near the western end of the 6th Concession. Such payments will cease upon Ontario Hydro's purchase and removal of these buildings. Ontario Hydro shall be under no obligation to continue such payments, or recognize lost revenue in any proposal to purchase the said marine road allowance. (2) vii) Ontario Hydro agrees to continue discussions with Atomic Energy of Canada Ltd. with respect to a payment to the Corporation annually for Douglas Point Nuclear Station. Reports on these discussions shall be referred to the Liaison Committee. (3) Monitorin~ Program (3) i) The Corporation agrees to participate with Ontario Hydro in the establishment and implementation of a monitoring program related to roads, land use, and any other matters that are agreed to be of mutual interest. This program will provide a baseline inventory, record change on a regular basis, project and evaluate trends so as to assist with general planning decisions and compensatory measures. The general terms of reference of this program shall be prepared and jointly approved by the parties as soon as possible having regard to the timing referred to in Subsections (ii) and (iii) following. The overall monitoring program shall continue until one year after the termination of this Agreement, if requested by the Corporation. Ontario Hydro agrees to pay the costs related to the establishment and maintenance of an overall monitoring program to a maximwB of $130,000 over the duration of this Agreement. If increases in cost occur due to inflation, the Liaison Committee shall review the adequacy of this funding. If impacts associated with BNPD are identified by the monitoring program and compensation is recommended by the Liaison Committee established under Section 5 (vi), a method of compensation shall be devised. (3) ii) Before the 1982 mill rate is set, the Corporation agrees that a Bruce Township Municipal Finance Management Study shall be established to review past financial procedures and future options relating. to possible changes in the Corporation's assessment base and revenues. Preliminary 1114M ~ ~." ! .1.;''' , . - 5 - Terms of Reference are provided in Schedule A. As a result of this study, the Corporation will consider adopting a 5-year management plan to gUide Council's decision-making. The Liaison Committee referred to in Section 5 (vi) shall have the responsibility for establishing this study and selecting the participants. The study will be completed by December 31, 1981. Ontario Hydro agrees to pay a maximum of $45,000 toward the cost of this study, which amount is over and above the amount provided for in Section 3 (i). (3) iii) A program will be established within three months of execution of this Agreement to monitor: a) changes in the 1-2 and 2-5 mile zones regarding the ownership, assessment and use of land; and b) changes in traffic patterns, volumes and road conditions to an extent sufficient to assess the impact of the BNPD workforce and their families on the Corporation's roads. The Liaison Committee referred to in Section 5 (vi) shall have the responSibility for establishing the monitoring program and selecting the participants. The costs of the monitoring referred to in this section are included in and form part of the $130,000 referred to in Section 3 (i). (4) Special Consideration for Certain Specific Roads (4) i) Ontario Hydro shall assume the responsibility for the cost of maintenance of the roads covered in blue on the drawing attached hereto and forming part of this Agreement (Concession Roads 2 and 4, and the BNPD Tie Road). Ontario Hydro shall at its own expense perform any necessary maintenance and repairs of such roads. If for any reason Ontario Hydro may not do such maintenance or repairs on the road, the Corporation may do such work at Hydro's expense after consultation with the Liaison Committee as to the extent of any work program of maintenance and repairs. (4) ii) As compensation for past impacts associated with the circulation patterns of the BNPD workforce and their households, Ontario Hydro shall assume the cost of paving and improvements for Concession 8 from the Lakeshore road allowance to Highway 21. Ontario Hydro shall compensate the Corporation to a maximum of $180,000 for the reasonable cost of paving and improving Concession 8. The 11l4M t,.!.. .. '.' ~ . 6 Corporation shall arrange for pUblic tenders for the work of paving pursuant to its normal and usual procedures for letting contracts for such work. (5) Municipal Authority and Regulation (5) i) In recognition of certain inspection services for-BNPD provided at no cost to the Corporation by the Atomic Energy Control Board, the Corporation agrees to provide building permits to Ontario Hydro at the rate of $5 per $1,000 of building valuation for a period up to and including December 31, 1987 and to enact any necessary by-law thereto. If changes in legislation and regulation result in increased responsibility and increased costs for the Corporation, the question of the amount of building permit fees shall be referred to"the Liaison Committee for review and recommendation, but any revision will continue to recognize the principle adopted by this section. Ontario Hydro agrees to make application for building permits prior to starting construction activities. (5) ii) Within 60 days of the approval of this Agreement by the Corporation, the Corporation agrees to initiate an amendment to the Bruce Township Official Plan if required and to pass as soon as possible thereafter a by-law changing the zoning of properties currently owned by Ontario Hydro in the 1-2 mile zone to "Public and Institutional", the same zoning as applies to the 0-1 mile zone at the date of execution of this Agreement. On an annual and regular basis, the Corporation agrees to rezone all lands acquired by Ontario Hydro during the preceeding twelve months in the 1-2 mile zone to "Public and Institutional", the same zoning as applies to the 0-1 mile area at the date of execution of this Agreement. All proviSions associated with the existing zoning designation shall apply to the 1-2 mile zone. Ontario Hydro agrees to provide to the Corporation legal and proper descriptions of the properties to be rezoned. Ontario Hydro shall on each occasion agree to pay all reasonable costs associated with facilitating and implementing these changes. The Corporation shall actively proceed to conduct any public meetings as and when they are necessary and seek approval of the by-law at the earliest opportunity. (5) iii) Ontario Hydro agrees to refer to the Liaison Committee when appropriate the uses and provisions of the "Public and Institutional" zoning category regarding any proposed development in the 1-2 mile zone. 1114H ..-:.. .; .~. " , ~ - 7 - (5) iv) Ontario Hydro recognizes the potential for industrial development in the vicinity of the BNPD site. As of the date of this Agreement, Ontario Hydro does not intend to lease any of its land for non-Hydro industrial development. In the event that Ontario Hydro leases some of its lands for non-Hydro industrial use, it is. recognized that such tenants of lands owned by Ontario Hydro should be liable for municipal taxes. Ontario Hydro therefore agrees that any agreement with third parties with respect to occupancy of land and/or buildings used for industrial purposes will provide that such third party shall, if liable therefore, pay realty and business taxes. If such tenants are not liable for realty tax, Ontario Hydro, if liable therefore, agrees to make payments-in-lieu of taxes on the land excluding the payment of business tax as provided for under The Power Corporation Act and over and above the 50% limitation on payments-in-lieu for the BNPD facilities, but subject to the limitations of Section 2 (ili). In the event of such non-Hydro industrial development, Ontario Hydro also agrees that the Corporation shall collect business taxes directly from the tenant. (5) v) Should any proposed industrial uses related to Ontario Hydro's supply of steam or hot water be developed in Bruce Township, Ontario Hydro will endeavour, if its contracts so permit and it has such information, to prOVide regular recordings on the usage if so requested by the Corporation. (5) vi) A Liaison Committee shall be established. Each party shall nominate two members and alternates to act on their behalf. Decisions and recommendations of the Liaison Committee shall be unanimous and shall be binding on both parties to this Agreement. Failure of the Liaison Committee to agree shall result in Arbitration as provided for in Section 6 of this Agreement. (5) vii) As of the date the Board of Directors of Ontario Hydro authorizes the undertaking of this Agreement, the Corporation agrees to dismiss all claims related to past impacts involving the BNPD, its workforce or other associated matters. Current and future effects are to be considered within the context of the overall monitoring program through representations at the Liaison Committee specifically established to address matters of mutual interest and to meet on a regular basis predetermined by joint agreement. The role of this committee is to include initiation and receiving of reports, the review of staffing requirements, the compensation for i.mpacts as determined by the monitoring program, and generally to act as the forum for discussion and resolution of mutual interests. 1114M 't',y'-......~ '.~ ,r - 8 - (5) viii) Ontario Hydro agrees that the Corporation may, at any time, submit a claim to the Liaison Committee for any item of compensation not specifically identified in this Agreement, but for which Ontario Hydro has obligated itself under this Agreement. Once such claims have been unanimously agreed to by the Liaison Committee, they are to be submitted to the Project Manager of the BNPD. (6) Other Provisions (6) i) Ontario Hydro agrees to participate in the review of the water supply and treatment servicing needs associated with residential development at Inverhuron and Zeph's subdivision. The Corporation agrees to involve the Ministry of the Environment and the County of Bruce in this review. The findings of this review shall be referred to the Liaison Committee. Nothing herein shall construe that Ontario Hydro accepts the responsibility or liability for the provision of these services to these residential developments. (6) ii) The Corporation and Ontario Hydro agree that industrial and other compatible uses in the 1-2 mile zone may be acceptable subject to the provisions of the industrial development strategy, official plan and zoning by-law applying to Bruce Township. (6) iii) Upon execution of this Agreement, Ontario Hydro agrees to pay to a maximum of $30,000 for the reasonable legal and technical fees incurred by the Corporation in completing this Agreement, of which approximately $20,000 has been paid as per the letter from D.E. Anderson to Reeve J. MacKenzie dated September 29, 1980. (6) iv) Other supplementary agreements within which measures of compensation will be determined may be undertaken as the need arises and as mutually agreed upon by the Liaison Committee in Section 5 (vi) of this Agreement. (6) v) Ontario Hydro and the Corporation agree that should any differences arise in connection with the interpretation or application of this Agreement, or with the achievement of supplementary agreements referred to herein, such issues shall be submitted to a Board of Arbitration, and the award of such Board of Arbitration shall be final and binding on Ontario Hydro and the Corporation, and not subject to any appeal. 11l4M 0,,:, ; lt~ ... .' - 9 - (6) vi) Ontario Hydro and the Corporation (for the purposes of this paragraph, referred to as the parties) agree that any arbitration as provided for above shall be constituted and established as follows: (a) Each party may at any time serve on the other party a notice requiring an arbitration and specifying the relief claimed and the grounds for claiming such relief; (b) Within seven clear days of the service of such notice, both parties shall appoint a member to a board to be constituted in respect of such arbitration; (c) The members shall, within seven clear days from the aforementioned seven day period, appoint a chairman of the Board of Arbitration; (d) The provisions of The Arbitrations Act, R.S.O. 1970, Chapter 25, and amendments thereto, Schedules "A" and regulations thereto shall, mutatis mutandis, be part of this procedure; (e) The Board of Arbitration shall hear the matters in dispute, and make their award in writing, within three months after the appointment of the chairman, and may not enlarge this time period without the consent in writing of both parties. (6) vii) Should Ontario Hydro deny, in whole or in part, any claim submitted to the Liaison Committee, or fail to respond to such claim within a period of 90 days, the Corporation may submit the claim to a Board of Arbitration as provided above. (6) viii) This Agreement shall terminate on December 31, 1987. Prior to 1987, Ontario Hydro will review with the Corporation the question of future application of all payments to the Corporation related to this Agreement and events that could lead to the extension of this Agreement or a new agreement. (6 ) ix) This Agreement may be terminated at the end of any year by Ontario Hydro on 60 day's prior written notice if Section ~7 of The Power Corporation Act is amended or repealed. Should Section 47 of The Power Corporation Act be amended or repealed and Ontario Hydro terminates this Agreement, Ontario Hydro and the Corporation agree to negotiate a new agreement for the balance of the time to December 31, 1987. In the event that the parties fail to reach an 1l1~M . . ~\. .' - 10 - agreement within 120 days of the end of the year of termination, any matters not settled shall be referred to arbitration pursuant to the provisions of Section 6 (vi) of this Agreement. The parties agree that this Section and Section 6 (vi) survive the termination of this Agreement. (6) x) This Agreement shall extend to, be binding upon and enure to the benefit of the successors and assigns of the parties hereto. IN WITNESS WHEREOF Ontario aydro and the Corporation have caused this agreement to be executed by the affixing of their Corporate Seals attested by the signatures of their proper officers duly authorized in that behalf. ONTARIO HYDRO ~ ~ l _ __ ~6-~~ Executi-ve Vice~esiden-{ ~", , ~ . .........19... . ............- ASSi~ THE CORPORATION OF THE TOWNSHIP OF BRUCE ~ ;-/- )". ~- '- Reev ~- , '. . ~ru~ Clerk 11l4M .~ Ow' _" .' - ./ -. ...., .'-" , . .. ...... -........ ~ ~"~ ~"~--- .......:- -- ~- -.. ...' . ~ . ......... ..' ',~ / 1".. ...,.', ,. '. '-~/ " :..- .... ... .... -- ..... ......... -- - -' ~ -- ...... / ~ ./ ,/ ./ ,/ '~ .- .! .- "'. ........... ~ Schedule A Preliminary Terms of Reference for the Bruce Township Municipal Finance Management Study 1. The purpose of the Bruce Township Municipal Finance Management Study is to assist the Township in pursuing its continuing concerns and to provide a context in which it can plan for possible future changes to its assessment, t~xation and general revenues. 2. The scope of this study will include the following aspects of Bruce Township's municipal finances: a) Section 507 of The Municipal Act, in particular the role of the County levy and mill rates; b) Bruce Township's assessment and Ontario Hydro's payments-in-lieu of taxes under section 47 of The Power Corporation Act; c) Ontario Hydro's Special Grants regarding property purchases in the 1-2 and 2-5 mile zones and reassessment of land; d) Other Ontario Hydro grants and agreements of the past and of the future under the monitorir~ program established in Section 3 of this Agreement; e) Ontario Hydro building permit fees; f) Further development on Ontario Hydro land: assessment and taxation implications; g) The impact of increased land values due to potential industrial development adjacent to BNPD utilizing thermal energy and other facilities. The question of equitable impact grant distribution from BNPD with other lower-tiered municipalities and the County will not be a primary focus of this study. 3. These aspects will be considered according to the following scenarios: a) Ontario Hydro growth proceeds as currently planned and no industrial development occurs; b) Additional major Ontario Hydro developments occur and an estimate of slow growth is made for industrial development; c) Additional major Ontario Hydro developments occur and an optimistic estimate of growth is made for industrial development; d) Ontario Hydro growth proceeds as currently planned and a best estimate of growth is made for industrial development. ll14M ~.. .. ~ ~~ - 2 - 4. The study is to review the Township's municipal finance management for the past 5 years (1977-1981), the following five years (1982-1986) and the succeeding two years (1987-1988) to illustrate the state of affairs after the construction phase will have ended. 1114M ,'..:. .. -0 t ON :'I:"L~ "~L:~:~ ~~ .9" l..!!-__ I ~ -- -fJt::; .LE~END ___ ....u.",. ~:~~T"'lhO .YtlAO r-'-""~, Tm",H'''' ~ '" . 't'ILl-'<<' ~ ....CT T", .- JjOTES SCHEDULE m x IS A PHOTO rHIS - RE DUCT ION NOV 1980 II . . .~ ~ r~, . · \" HU - ... .- .." - ..- .-.., r~- ~-"4-..-~ .......~ ';i-- i ", .......... ~.- \r-CtI ...................... . . n'''L1 101.: ',\~:~.I 'C~.~ ....... )..9 r~""J i '. _~~t' 1 ) '\ m '. I ::::.::\... ...." 1?' + ~ J ::r::"n n / I.......,:t ' , ;. i ~V\~~: "~ ' ) ~ / /, l-'\.~ 'i \', i'.:t.'-'."~.=:-'" ~ ~ ':('( Ja'~ _4,.{!\!"f,"~ (~~~/) I . 11: \\~ t. : a~ J.\[~.\\:. 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