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Oil and gas business tax information requested by council

Mountain View County councillors have passed a motion instructing administration to bring forward updated information on the county's proposed oil and gas business tax.During last week's regularly scheduled council meeting, Coun.
Councillor Paddy Munro chaired last week’s council meeting
Councillor Paddy Munro chaired last week’s council meeting

Mountain View County councillors have passed a motion instructing administration to bring forward updated information on the county's proposed oil and gas business tax.During last week's regularly scheduled council meeting, Coun. Paddy Munro, who chaired last week's meeting and put forward the motion, said he believes the county needs to move forward with such a tax without delay.“There's major discussion going on right now about this market-based assessment and the whole tax sharing,” said Munro. “I think we need some ammunition. If anything changes we've got to be able to throw a tax out there to recover our costs from the oil and gas industry.“To have this amount of activity and not make any money as a county, that's just not acceptable. If we have to move, I want to be able to move quickly and I want the province to know that we will move quickly.“I would like information on where we are with the business tax and how much it would cost to complete it and how long it would take.”The county's 2012 budget included money to prepare a business licence tax for the oil and gas industry.The county has already engaged University of Calgary law students to research the legalities of a county tax, research that was completed in June.Jeff Holmes, director of legislative, community and agricultural services, told council: “The last motion from council was to put the business licence tax on hold pending the outcome of the well drilling equipment tax review by the province.“We have completed the legal review (of a possible MVC tax). We have not initiated the financial review that would look at how to actually structure it. That was put on hold by council pending the results from the review. Certainly we look for direction from council on where council wants to go on that.”The provincial review under the Department of Municipal Affairs has not been completed.The motion passed last week calls for administration to bring the updated information back to council at the Oct. 10 Policies and Priorities meeting.Reeve Bruce Beattie, Deputy Reeve Patricia McKean and Coun. Al Kemmere were not at last week's meeting. They were attending the Alberta Urban Municipalities Conference in Edmonton on behalf of MVC.Big Prairie fire insurance consultantCouncillors have passed a motion allowing an independent insurance consultant to review insurance documents relating to the Big Prairie Bridge fire and the county's possible claims for compensation.The county-owned bridge outside Cremona was destroyed in a still-unsolved arson fire in October 2009. At the time of the fire the county was told the structure was not covered by insurance, said Holmes.“I would like to make the motion that this insurance consultant be provided with the county's insurance document and let him review the documents in regards to the fire at Big Prairie Bridge,” said Coun. Munro, who put forward the motion.“I want somebody who will look at this and look to the letter of the agreement and if there is a chance that there is something in this agreement that will allow us to go after this insurance company.“All I want is for him to look at our documents and come back to the next Priorities and Policies meeting (scheduled for Oct. 10) with information on whether there is something we need to follow upon.”Coun. Kevin Good said, “I definitely support that. What can it hurt unless he's extremely expensive?”Coun. Munro replied: “My understanding is that they don't charge a per hour fee. I would expect him to look at the documents and give us an opinion for free. If not, it's got to come back to all council so we can have a discussion on the money. But I think he works on a percentage. We had a big fire, $2.4 million, so it deserves at least a look.”Construction on the new bridge at the site is ongoing.Council seeks gravel pit land-use informationCouncillors have instructed administration to bring forward information about a possible amendment to the land-use bylaw in regards to large commercial gravel pits on agricultural land.“I would like to get more information because I believe there is a weakness in our land-use bylaw,” said Coun. Munro. “If you have a piece of agriculture land, someone could go in there and build a massive gravel pit without the whole redesignation process. I think we need to discuss that.”He called on the administration to “bring back some different options and possibly the method to amending this land-use bylaw.”John Rustling, director of planning and development, asked Munro: “Is the intent to require a redesignation process or some sort of hearing on these larger pits? Is that the objective of the change to the bylaw?”Munro replied: “Exactly. If we are going to have the five-hectare pit, which is basically the family-run gravel pit, well that's one thing. But when you are talking about a large commercial gravel pit, where the intent is to be much bigger, then I'd like to get a handle on it right off the bat so we don't get ourselves into a runaway. All I'm asking for is some options and some information.”At the request of Coun. Kevin Good, Rustling explained that under the county's current process, “essentially, on a quarter that has an agricultural zoning, it's just a development permit application.”The motion passed by council reads: “That the CAO provide information at the Oct. 10 P & P meeting regarding land-use bylaw requirements for gravel pit operations.”Munro did not mention any specific proposed gravel pit that has prompted his request for information.There is an application currently before council requesting development approval for an expansion of an existing gravel pit seven kilometres west and one kilometre south of Sundre.County will look at quad trail damageCouncillors passed a motion instructing the operations department to examine a privately-owned quad trail near the Red Deer River west of Sundre that was damaged during spring flooding.The raised trail acted as a water barrier during the flooding, and without it flooding in the nearby area, including at the Coyote Creek Golf Resort, would have been much worse, said Coun. Munro.“On the backside of the trail, because the river overtopped it, there is a lot of washout, and I would like the department to go out there and have a look at it and find out what it will cost (to repair the damage) and bring that information back to council,” said Munro.“In my opinion it's just a few loads of gravel. We need someone to have a look at it and give us a dollar value (to repair).”


Dan Singleton

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