Report to: Development Services Committee                                   Report Date:  June 2, 2009

                                                                                                                                               

 

SUBJECT:                 RECOMMENDATION REPORT

Gemcross Developments

(ConStrada Aggregate Recycling Facility)

350 Yorktech Drive

Application for zoning by-law amendment to permit the existing aggregate recycling facility for an additional three years

                                    ZA-08-119862

 

PREPARED BY:        Scott Heaslip, Senior Project Coordinator, ext. 3140

                                    Central District

________________________________________________________________________

 

RECOMMENDATION:

 

  1. That the temporary zoning by-law amendment application by Gemcross Developments (Constrada Aggregate Recycling Facility) to permit the existing aggregate recycling facility at 350 Rodick Road for an additional three years, be denied.
  2. That staff be authorized and directed to do all things necessary to give effect to this resolution.

 

PURPOSE:

 

The purpose of this report is to provide background information regarding an application for a temporary zoning by-law amendment to permit the Constrada Aggregate Recycling Facility at 350 Rodick Road to operate for an additional three years, and to recommend that the application be denied.

 

EXECUTIVE SUMMARY:

 

Gemross Developments (Constrada) operates an aggregate recycling facility on the east side of Rodick Road, south of Highway 7. 

 

The facility was approved by the Town in 2002 and 2005 as a temporary use, for a period not to exceed a total of 6 years, in order to permit the owners to generate sufficient funds to finance the clean up of the contaminated  lands west of Rodick Road, facilitating the Rodick Road and Yorktech Drive extensions. 

 

The temporary use by-law expired on June 14, 2008.  The facility continues to operate, while the subject application is being considered by the Town.

 

The applicant applied for zoning by-law amendment on June 23, 2008, and is now requesting that the use be permitted for an additional three years. 

 

 

In originally approving this temporary use, the Town was clear with the applicant that it would not be supported beyond 6 years. An aggregate recycling facility is not a desirable use over the long term at this location in proximity to Markham Centre and the Highway 7 corridor, and in the context of the planned redevelopment of the general area.

 

With increasing traffic volumes on Rodick Road and with additional commercial development occurring in the immediate vicinity, an aggregate recycling facility is becoming increasingly less acceptable at this location.

 

Staff have been concerned from the outset that once approved it may be difficult, if challenged, to require this use to be discontinued once the temporary use permission has lapsed.  Extending the temporary use permission beyond the 6 years period originally agreed to by the applicant and the Town will only increase this risk.   Staff cannot support the request to permit this use for an additional 3 years.

 

At the November 18, 2008 Public Meeting to consider the requested extension to the temporary use by-law, Committee raised a number of issues and concerns. The applicant’s response to these matters is outlined in the options/discussion section of this report. In the event that Committee and Council were to decide to permit the requested extension to the temporary use, an amendment to the site plan agreement should also required to address the matters raised by the Committee at the Public Meeting.

 

BACKGROUND:

 

Site description and area context

The subject lands have an area of approximately 3.8 hectares (9.4 acres) and are located on the east side of Yorktech Drive, directly opposite Fairburn Drive.  The lands are being used for an aggregate recycling facility consisting of various material stockpiles, a weigh scale, a crushing machine and an administration office (see Figure 4).  The facility is surrounded by a landscaped berm and fencing. 

 

Surrounding uses include Rouge River valleylands to the north, the IBM technology campus to the east across the hydro corridor, Zoom Zoom Truck Storage to the south, and multi-tenant industrial/commercial buildings to the west across Rodick Road. 

 

Official Plan and Zoning

The site is designated “Industrial - General Industrial” in the Official Plan. Open storage is provided for only as an accessory use to a permitted industrial use in this designation. 

 

The subject lands are zoned “Select Industrial with Controlled Storage” [M(CS)] by By-law 165-80, as amended.   This zoning does not permit the use of an aggregate recycling facility nor would it permit the associated outside storage.  The Town approved a 3-year temporary use by-law in 2002 permitting the subject property to be used for an aggregate recycling facility.  The temporary use by-law was renewed in 2005, and expired on June 14, 2008.  The facility continues to operate while the subject application for a further temporary use extension is being considered by the Town.

 

Proposal 

The applicant has applied for zoning by-law amendment, requesting that the use be permitted for a further three years. 

 

OPTIONS/DISCUSSION:

 

Aggregate recycling facility approved in 2002 as a temporary use not to exceed 6 years.

 

The following excerpt from the June 4, 2002 recommendation report for the applicant’s original application for temporary use by-law summarizes the rationale for approving this facility:

 

This site is located adjacent to major commercial uses along Highway #7, the Markham Centre plan area with major office and residential uses, and directly adjacent to the Rouge River.  The long term intent for these lands is for industrial uses with a limited outdoor storage component which is screened and compatible with the commercial and prestige space within Markham Centre.  The aggregate recycling facility would not be an appropriate use over the long term.

 

However, this site has been restricted from any redevelopment due to the site contamination.  The opportunity that this temporary use / lease arrangement provides is to permit the owners to generate sufficient funds to finance the clean up of the lands west of Rodick Road, as well as the management of environmental contaminants over the long term on the two eastern parcels.  In addition, the road extension (Rodick Road and Yorktech Drive) necessary to serve transportation network requirements can now be realized with the clean up of these sites.  The property owner has indicated that the proposed lease/temporary use arrangement would enable them to finance the clean up.  The proposed lease arrangement with the tenant who will operate the recycling facility is for three years with the opportunity to extend for a maximum of an additional three years.  The temporary effects of the uses on adjacent properties are minimized through the berming, landscaping and fencing proposed by the applicant.  Also, many of the uses proposed within Markham Centre have not yet been built and are not anticipated to be fully built within the time frame proposed for the temporary use.

 

Past experience with the use of temporary by-laws indicates that once approved it may be difficult, if challenged, to discontinue the use at the end of the proposed time frame.  In some instances, applicants have been successful in securing a permanent or extended temporary use on the basis that if once considered appropriate, then there is an increased argument to consider them appropriate over the long term.

 

In this instance, the proposed use over the long term is clearly not appropriate in the Markham Centre context, and Town staff has made it clear to the property owner and the applicant from the outset.  However, the opportunity of realizing an environmental clean up of these sites, facilitating the Rodick Road extension, and the screening and landscaping which can be incorporated on site in the short term, would justify recommending approval of a temporary use.  In addition, the applicant has indicated that they intend to use the site for a maximum of three to six years and have demonstrated through a draft lease agreement, their commitment to this time frame.  Prior to final Site Plan approval, an executed lease agreement will be required, demonstrating a maximum three (3) to six (6) year term, subject to zoning approvals.  The temporary use zoning is recommended for approval with the condition of a Holding (H) provision, only to be removed upon the execution of the Site Plan Agreement.  The direct references to the lease agreement, and corresponding references in the site plan agreement, are intended to make clear to all parties the temporary and time limited nature of any support by the Town for this use. 

 

Town staff is clearly supporting the proposal only on the basis of the property owner and the applicant abiding by their commitments to the Town in regard to a limited temporary use pursuant to the application and related submissions/commitments and as reflected in the specific conditions of approval.  These arrangements are intended to be binding on any subsequent parties, and all corresponding agreements should be registered on title.

 

Appicant committed in writing to the Town not to extend use beyond 6 years

On April 25, 2003, the Owner entered into a site plan agrement with the Town.  The agreement includes a commitment to the maximum 6 year time limit, as follows:

 

(zz)       That the Owner and the Applicant covenant and agree not to initiate any applications, transactions or legal action that would seek to permit the recycling facility as a temporary use beyond the proposed maximum six (6) year period, nor to seek permission for the use as a permanent use.               

 

The April 5, 2005 staff report regarding the extension to the to the temporary use by-law reinforced that the use is to be temporary, as follows: 

 

The applicant originally indicated that the site would be used for recycling purposes for a maximum of three to six years, and has demonstrated through a lease agreement a commitment to this time frame.  Prior to final Site Plan approval, an executed lease agreement was required, demonstrating a maximum three (3) to six (6) year term, subject to zoning approvals, and appropriate clauses being incorporated into the executed site plan agreement.  A copy of the executed lease agreement was received March 1, 2005.  Direct references to the lease agreement, and corresponding revisions in the site plan agreement were included to make clear to all parties the temporary and time limited nature of any support by the Town for this use.

 

The use was deemed by the Town to be inappropriate in the long term.  The Town has made it clear to the property owner and the applicant from the outset that the facility was not a desirable use over the long term given the location of the site in proximity to Markham Centre and the Highway #7 corridor.  While the environmental clean up of the adjacent sites, the Rodick Road extension and the screening and landscaping all served to justify recommending approval on a temporary use, all parties have committed to a temporary and time limited arrangement. 

 

Applicant now requesting a further three year extension

The applicant has applied for temporary use by-law to permit the facility to operate for a  further three years.  This current request replaces an earlier application in 2008 to permit the use on a permanant basis.

 

Aggregate recycling facility becoming less acceptable over time at this location

The site currently has only one access to Rodick Road, which is on a curve with sight line restrictions.  When this facility was originally approved in 2002, Rodick Road ended at Fairburn Drive.  With the completion of the Rodick Road bridge over the 407ETR to 14th Avenue, the traffic volume on Rodick Road has increased, and will increase further when Rodick Road is extended across the CN Rail line to Esna Park Drive (tentatively scheduled for 2010).  Truck turning movements at this location will become more difficult and disruptive as traffic volumes on Rodick Road increase.   If the application were to be approved, ongoing traffic monitoring should be required. 

 

Subsequent to the original approval of the facility in 2002, First Markham Centre, a

multi-tenant industrial development with accessory retail, has been constructed directly across Rodick Road from the facility.  A similar development has also been approved at the south-west corner of Road and Yorktech Drive.  An aggregate recycling facility, which generates considerable dust, noise and truck traffic, is not considered to be a compatible use to the adjacent commercial developments, nor to higher order land uses in the nearby Markham Centre and Hwy 7 Corridor Areas.

 

Extension beyond the 6 years originally committed to by applicant would increase  risk of facility becoming permanent

Staff have advised Council  from the outset that it may be difficult, if challenged, to require this use to be discontinued once the temporary use permission has lapsed. 

 

Each successive extension to the temporary use permission strengthens the potential case for the use to be permitted on a permanent basis.

 

For the reasons outlined above, staff cannot support the request to permit this use for an additional 3 years.

 

The Legal Services Department advises that the written commitments provided by the applicant not to extend the use beyond 6 years do not extinguish the applicant’s statutory right under the Planning Act to apply to extend the use.  In the event the application is appealed to the Ontario Municipal Board, the Board would adjudicate the case based on the planning merits, and would not likely place any significant weight to the prior written commitments of the applicant.

 

Applicant has made submissions regarding the issues identified by Development Services Committee

At the November 18, 2008 Public Meeting to consider the requested extension to the temporary use by-law, Committee raised a number of issues and concerns that need to be addressed in the final staff report, including:

·        Procedural guarantee that an application for permanent use will not be filed in future

·        Status of the on-site sediment control facility

·        Status of contamination on the subject property

·        Assurance that the property will eventually be cleaned of contaminated soils (economics of environmental remediation)

·        Percentage of materials produced from the facility (both concrete and asphalt) that is used for construction within Markham

·        Amount of truck traffic eliminated as a result of having the facility in Markham

·        Truck circulation patterns

 

The applicant has responded to these concerns as follows:

 

  • Procedural guarantees:  The applicant submitted a letter (Appendix ‘A’), which advises that “we are unable to provide such a guarantee, although it is not our client’s intention to file such an application at this time.”

 

·        On-site sediment control facility:  The applicant’s letter advises that the design of the sediment control facility has been approved by the Town’s Engineering Department and that the facility is ready to be installed.   

 

  • Contamination: The applicant submitted a report from an environmental engineer   (Appendix ‘B’), which advises that approximately 150,000 tones of contaminated soil would need to be removed from the site to remediate site contamination, at an estimated cost of $12,750,000.

 

·        Truck traffic: The applicant submitted a report from a transportation engineer (Appendix ‘C’).  The highlights of the report (for the year 2008) are as follows:

1.          Average daily truck traffic into and out of the site ranged from a low of 70 in December to a high of 420 in June.

2.          Truck movements peak mid morning and mid afternoon.

3.          67% of the vehicles are 6-axle trucks (dump trucks), 21% are larger trailer trucks and the remaining 11% are cars and pickups.

4.          47.5% of the deliveries had destinations in Markham.  

5.          A further analysis will be undertaken this summer of background traffic flows on the boundary roads including an examination of roadway and intersection operations with the inclusion of truck site movements.       

 

Staff note that the written submissions provided by the applicant do not fully provide all of the assurances requested by Committee (i.e. procedural guarantees; assurance of future environmental remediation).  The applicant should be prepared to address these items at the Development Services Committee meeting.

 

FINANCIAL CONSIDERATIONS AND TEMPLATE: (external link)

Not Applicable.

 

ALIGNMENT WITH STRATEGIC PRIORITIES:

Not applicable.

 

BUSINESS UNITS CONSULTED AND AFFECTED:

The application was circulated to various departments for comment. 

 

 

RECOMMENDED BY:

 

 

________________________                        ________________________

Biju Karumanchery, M.C.I.P, R.P.P                 James Baird, M.C.I.P, R.P.P

Senior Development Manager               Commissioner, Development Services

 

 

 

 

 

 

 

 

 

ATTACHMENTS:

 

Figure 1           Location Map

Figure 2           Area Context/Zoning

Figure 3            Air Photo

Figure 4            Site Plan                      

 

Appendix ‘A’   letter dated January 16, 2009 from Macauley Shiomi Howson Limited.

Appendix ‘B’   letter dated December 23, 2008 from Barenco Environmental 

                         Engineering and Site Remediation Services

Appendix ‘C’    Letter dated February 4, 2009 from Poulos and Chung Limited  

 

APPLICANT/AGENT:      Peter Cheatley

                                          MaCauley Shiomi Howsom Limited

                                          60 Annette Street

                                          Toronto, Ontario

                                          M6S 2C4

                                          Tel: 416-487-4101

                                          Fax: 416-487-5489

                                          Email: cheatley@mshplan.ca

 

 

File path: Amanda\File 08 119862\Documents\Recommendation Report