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RFD- 3583 Business Items   Item #   10. b.    
Regular Council Meeting Agenda
Meeting Date: 04/23/2019  
Title:    Memorandum of Agreement - Annexation - Parkland County - Levasseur
Department: Planning & Infrastructure  
Strategic Vision Element: Related Goal: The City maintains a constant inventory of available land, both developed and developable, to ensure businesses can find properties that meet their needs.

Request for Decision Summary
The purpose of this RFD is to request Council's support of the negotiated Memorandum of Agreement with Parkland County to annex lands from the County.  The lands to be annexed are located south and southeast of the existing boundary of the City of Spruce Grove (City) and include approximately 8 quarter sections.   

Parkland County Council will be ratifying the agreement at their April 23, 2019 Council Meeting.
Proposed Motion
That the Memorandum of Agreement for Annexation between Parkland County and the City of Spruce Grove be approved as presented, and executed by the Mayor and CAO.
Municipal Development Plan policy requires that the City maintain a 25-year land supply for future growth to ensure the economic health of the City.  With the extraordinary growth rate over the past 15+ years, the City commissioned a Growth Study (December 2016) to determine the land supply within the existing City boundaries.  Using a medium high growth rate scenario, the number of years until the existing land supply is depleted varies based on land use type, including 22 years for residential, 18 years for industrial and 26 years for commercial. Resulting from a thorough technical analysis, the Growth Study identified those lands most suitable to annex into the City from both the Town of Stony Plain and Parkland County based on a 50 year growth projection.

As part of the negotiation process with Parkland County, the City agreed to a lesser growth projection of 30 years which resulted in a need for approximately 435 ha of gross developable land.  The lands identified to be annexed include a full section south of Highway 16A and between Century and Pioneer Roads, the east half of the section south of Shiloh and west of Campsite Road, the two quarter section east of Campsite Road, and the remainder of the land within the NAIT quarter section. 

The Memorandum of Agreement describes the proposed annexation area and contains the standard clauses related to tax relief for 30 years.  Because the City previously agreed to actively participate in the Tri-Municipal Regional Plan, the Agreement provides for an uncontested annexation. However, the County has requested two additional clauses be added to the agreement (amended agreement attached).  Clause 11 provides that the City and County will jointly prepare a transition plan for the annexed area.  The transition plan will look at mitigation strategies for issues that may impact the rural landowners within the annexation area.
Clause 12 provides that an additional agreement between the City and County will need to be negotiated to address compensation to the County.  Typically compensation would consider any costs shredded (i.e., road maintenance, dust abatement, etc.) and the loss of tax revenue.  Should an agreement on compensation not be reached through negotiations, the annexation could become contested and would require resolution through a Municipal Government Board annexation hearing .

Administration is expecting Parkland County Council to approve and execute the Agreement at its Council meeting on April 23, 2019.
That Council not approve the Memorandum of Agreement and provide direction to the Negotiation Committee for future negotiations.
Upon the execution of this Agreement, the public engagement phase of the process will commence.  A communication plan is being developed by the consultants in partnership with the City and County's communication specialists.  Engagement will include two open houses to inform and consult with affected landowners and other ratepayers and directed one-on-one consultation will occur with the affected landowners within the County.  Upon completion of the consultations, the consultants will prepare a Summary of Consultation Report to be included in the annexation application to the Municipal Government Board. 
The Growth Study webpage on the City's website will be updated, including the details of forthcoming stakeholder engagement.
This Memorandum of Agreement marks a significant milestone in the annexation process.  Upon completion of the consultation phase, it allows the annexation of the identified lands within Parkland County to move forward uncontested by the County.
Memorandum of Agreement - Parkland County Annexation

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