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Township defers development charges

by Mike Robinson

ELORA - Centre Wellington council has authorized a request to defer $279,000 in development charges until April 30, 2019 to help a local business expand its operation.

On April 24, council officially agreed to the deferral for Wellington Perforated Sheet and Plate Ltd., with the township allowing the development of a property at 151 Gregson Court in Fergus.

A report from Centre Wellington’s economic development officer Patricia Rutter stated the Development Charges Act allows a municipality to enter into an agreement with the owner of a property for the payment of the charges earlier or later than due.

Development charges are normally due when a building permit is issued.

Rutter stated Wellington Perforated Sheet and Plate Ltd. will begin constructing a new 38,000 square foot facility in the Fergus Business Park to replace its existing facility at 650 Dickson Drive.

Owner Brent Renton requested a deferral so that the company can continue to operate with a positive cash flow during the construction and move-in phases for the new facility.

Rutter said the deferral of about $279,000 in development charges until 2019 will allow the company to complete construction and equip the new building.

“In this case, construction cost is approximately $2.2 million and they intend to spend an additional $3 million on equipment to make them a national leader in their industry,” Rutter said.

She noted the applicant would not have to pay development charges if it was simply expanded its existing facilities.

Rutter added, “This new facility will allow them to grow and add new employees, which they have already increased by 30 percent and plan on an additional 8 – 10 employees when the facility is finished.”

Mayor Kelly Linton thanked Renton for expanding in Centre Wellington.

May 12, 2017


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