$50
Million Post Expressway Bill
Another
huge economic hole has opened up in the main
argument for the proposed Red Hill Creek Expressway.
Proponents of the expressway have been claiming
that the $220 million road may eventually pay
for itself by opening up new industrial lands
in the North Glanbrook Business Park. Now it
has now been revealed that nearly $50 million
more will have to be spent before these lands
are "shovel-ready" for the hoped-for
industrial boom. The city's economic development
director admits that the private owners of these
lands have no interest in making such huge investments
in the faint hope that some major industry will
decide to relocate to Hamilton. Consequently
the director admits "we're going to have
to put in the roads and sewers ourselves".
That is, it's the Hamilton property taxpayer
who will be on the hook for this $50 million
IN ADDITION TO paying for the expressway.
Even if the expressway is built, and the City
can find another $50 million for servicing,
the Glanbrook lands will likely not even be
available. Most of the private owners of the
business park are already petitioning that their
lands be re-zoned to residential, raising the
spectre of hundreds more acres of urban sprawl
south of Rymal Road. And since the Ontario Municipal
Board recently ruled that an extra 550 acres
are needed in Hamilton for residential development,
the private owners should have little trouble
overcoming any attempts by the city to keep
these business park lands zoned industrial.
So the valley expressway will feed more unsustainable
sprawl development instead of the dreamed of
industrial boom.
The economic development director openly admits
that the City "makes money on industrial
development and loses it on residential."
Part of the reason is the ridiculously low residential
development charges in Hamilton and Glanbrook
of less than $7000 per home (compared to $13,500
in Burlington and Oakville, and over $20,000
per home in Milton, Markham and Vaughn).
The Glanbrook Business Park already has ready
access to the Lincoln Alexander Parkway, but
this $200 million road has done nothing to attract
industrial activity. The Red Hill expressway
will not come any closer to the Glanbrook site
than the Linc, so it is questionable that it
would provide any benefit even without the problem
of the massive outstanding servicing costs of
the business park.
The proponents also claim that the valley expressway
will spur airport development but the latest
study shows these lands will require vast expenditures
as well before industrial development can occur
there. The four parcels near the airport suggested
for development will require about $165 million
in servicing. Even if it made economic sense
to borrow the money to accomplish this, the
City is already so far in debt that it's credit
rating has recently been downgraded.
Figures presented to Council last week estimate
the following costs of servicing:
