Council approves $50K analysis of Domtar lands
By Rachel Maclean
The Eagle
Cochrane town council unanimously decided to pay up to $50,000 for an independent third-party economic analysis for the Domtar site downtown.
The decision came down after a special meeting at council chambers April 20 because the town has asked Springwood Developments to consider adding a residential component to the northern 15 acres of the site, currently the plan only allows for commercial development.
Due to a possibility of additional clean-up for the site to allow mix-use commercial and residential, Springwood Developments has asked for financial assistance from the town.
The town sees merit in the request because including residential could increase the future tax base and density around local and regional transit hubs to create a vibrant downtown.
“To include residential is a strong case to make the downtown sustainable in the long run,” Mike Saley, director of planning and engineering, told council.
The risk lies with Alberta Environment. Currently they are conducting environmental tests to see if the remediation action plan (RAP) could actually allow residential on the land, or if there is too much contamination.
Saley said the tests could take from a couple of months to the fall, but the economic analysis would also be conducted in the same timeline.
Coun. Ross Watson was concerned that if Alberta Environment deems the site too contaminated for residential the up to $50,000 economic analysis could be a waste of time and money. He was wondering if council could wait until hearing back from Alberta Environment.
“Certainly that creates more certainty,” said Saley. “I guess there is anticipation that it would be able to be remediated for residential. . . . Our best guess is that it is do-able.”
Watson also wondered why the developer wouldn’t pay for the economic analysis, but Saley said because the town has been asked for financial assistance in the future to help clean up and build on the planned area for residential the town would like a non-biased opinion whether it is cost beneficial.
“If we put a little investment in now we may gain huge benefits in the future,” said Saley.
“From taxation, from development from land tax, from business tax, from the ability of that site to move forward with development.
“So the question (for the economic analysis) would be should we make that investment now, and how much should it be, if at all, and what would be the long term benefit of that investment today.”
Saley said the Town doesn’t employ skilled experts in economic analysis, and due to the controversial profile of the site an independent party would be ideal to stand any scrutiny.
“It’s just another check,” said Saley.
Saley said no clean-up of the site can move forward until it is understood whether there will be a residential portion, and no development can move forward until the site is cleaned up.
He said he expects the testing and economic analysis to be done for the fall, the cleanup to take one to two years, and then development can start two to three years after the cleanup.
Saley said by having the economic analysis done now provides a framework that could speed up the process in the future, even if Alberta Environment comes back saying residential will not be allowed on the site.
“$50,000 is nothing in sense of the long term big picture,” said Saley. “Certainly it is a sizable investment in the short term, but I do believe that the information we would get is worth the investment.”

