Steinbach won’t take no for answer on friendly land annexation

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This article was published 13/03/2017 (3359 days ago), so information in it may no longer be current.

The City of Steinbach is trying to overturn a Municipal Board ruling against a historic annexation that would see the fast-growing city more than double its physical size.

Steinbach struck a deal in 2015 to annex 7,300 acres from neighbouring RM of Hanover, an agreement both unique and enviable among municipalities such as Winnipeg that are locked in by their current boundaries. Steinbach is currently 6,300 acres in size.

Steinbach city council maintained the city needs the space for future growth. A report by land-use consultant MMM Group projects the city could triple its current 15,000 population by 2040, and top 100,000 people within 50 years. That’s at its average growth rate of 4.2 per cent per year from 2001-2016.

But in January, the Municipal Board rejected Steinbach’s friendly annexation, calling it “overly ambitious.” It said Steinbach should receive only a third of the land, chiefly because the plan could mean the loss of good farmland.

The quasi-judicial board is not subject to direction by anyone within cabinet, any MLA or any government official.

The final say is up to the province, but it’s rare for the government to act against a board recommendation. Steinbach has been working behind the scenes to convince the government and Municipal Board of its position.

“We need to plan for the future. That’s the whole point of working together with our neighbour (Hanover),” Steinbach Mayor Chris Goertzen said.

“When you look at how often municipalities don’t get along, this is an example of two municipalities working for the betterment of a region. Hanover and Steinbach are the two largest municipalities (in population) outside of Winnipeg and Brandon, and we’re going to continue to grow.”

Steinbach and Hanover have fostered co-operation over the years, signing numerous shared-service agreements on landfill and firefighting.

In return for the 7,300 acres, Steinbach agreed to pay Hanover nearly $1 million in compensation for tax loss on the property. As well, Steinbach agrees to lifting a freeze along its boundaries that prevents Hanover from developing there.

“We are 100 per cent in agreement with Steinbach,” said Luc Lahaie, the RM’s chief administrator, adding the agreement took several years to negotiate, and neither side wants to see it defeated now.

However, the municipal board maintains the land deal is excessive. “Steinbach should be encouraged to increase density instead of creating urban sprawl,” it said. It argued Steinbach still has 1,600 acres available, equivalent to a 15-year supply of developable land.

Goertzen responded that a limited land base allows a few developers to control the community’s growth and drive up new home prices. Having more land and competition from multiple developers has helped keep new house prices lower and facilitated the city’s expansion, he said.

The board felt there would be a significant impact on livestock operations outside the annexed land and “potential land use conflicts are likely to emerge.” There are no livestock operations in the annexation area, however, but there are some nearby.

Six of 150 people who own land in the area filed objections to the annexation, only two of whom live on the land in question, according to the Steinbach data. Opponents maintain annexation threatens their farm operations.

Goertzen argued it’s only a land transfer at this point, not a change in land use, but critics charge the long-term intent is urban sprawl.

Keystone Agricultural Producers and even Manitoba Agriculture have also spoken against the agreement. Sheri Grift, an agricultural land use specialist with the province, said 5,000 of the 7,300 acres is prime agricultural land.

Grift warned farmers that their land would face higher assessments because annexation will likely increase market values. As well, Hanover is running short of land for its existing livestock farms due to soil phosphorus limits, and those producers may not be able to expand, she said.

But some landowners spoke in favour of the annexation, saying it would eliminate bureaucracy and confusion, and allow zoning and urban development in a “logical” manner, according to the board report. It would also attract new industry and greater economic opportunity, they said.

Another problem is the land the board has approved for annexation is south of Steinbach and not currently serviceable and will require costly and lengthy extensions to infrastructure such as water and sewer lines.

Goertzen stressed an agreement like this is unique, and perhaps unprecedented in its scope.

“Two years ago, rural municipalities went through the amalgamation process where small urban communities had to be put together. That was a forced amalgamation,” he said.

“We think communities should be working together, and we worked together on a friendly annex, not a forced amalgamation, so there should be some understanding of the effort we’ve made.”

bill.redekop@freepress.mb.ca