UARB orders MODG to pay $304,000 for fees related to Goldboro expropriation

By Helen Murphy    

GUYSBOROUGH – A company that appealed the value the Municipality of the District of Guysborough applied to its interest in expropriated land in Goldboro filed a claim of $581,043 in legal and other costs. Last Thursday, June 8, the UARB released its decision in the case, ordering MODG to pay $303,912 for costs incurred by PEV International Research and Development Inc. in its appeal of the expropriation payment decision.

The earlier claim by PEV related to the value of its interest in the property being expropriated was filed with the board in October 2009, and the hearing took place in the fall of 2015. (PEV did not actually own the land in question, the claim was in relation to an agreement it had with the owner for rights to development the land.) The claim was initially for more than $47 million in compensation, but by the time of the hearing that figure had been reduced to $8,986,000 plus interest and costs. MODG had determined the value of PEV’s interest in the expropriated land to be worth $47,000. In its May 2016 decision, the board awarded PEV $149,500 as total compensation for its interest in the property.

Since the Sable Offshore Energy Project was built 17 years ago, MODG has taken in close to 60 million in tax revenues, with 40 per cent of that clawed back by the province.

In an interview Monday, MODG’s CAO Barry Carroll told The Journal that the property that was subject of the appeal was later sold to Goldboro LNG. He added that while there are costs associated with expropriate in assembling industrial park lands, the benefits far outweigh the costs.