TALE OF THE TROUBLED TRAIN

To follow this little saga I am providing a cast of characters:

MAIN CHARACTER: Rob Adams, Mayor of Orangeville

And that is pretty much it, all you need to know.

So, hang on to your hat, here we go:
In 2000, the then Orangeville Mayor, Rob Adams, had a brilliant idea.

He would purchase the abandoned rail line in Orangeville positioning it to his ratepayers as the economic salvation of his town.

He bamboozled, I mean worked, with the then MPP, David Tilson (now MP Tilson) and managed to secure a no strings $2 million provincial grant and put that towards the $3.5 purchase price.  (Note: a no strings grant in government speak is you don't have to pay it back, no matter what and that means the PROVINCIAL taxpayers paid to help Orangeville out.)

So good on Tilson.  He did what an MPP is supposed to do.  Help bolster the economy for his local constituents. I bet now he wishes he had taken a harder look at the business plan though.

The railroad purchase then was a steal at a net cost of $1.5 million for Orangeville.

The Orangeville Railway Development Corporation (ORDC), now managed by the Orangeville Brampton Railway Corporation OBRC) was formed.

The formation of the ORDC was permitted under the Municipal Act, which basically lets municipalities form corporations, who then are no longer bound by those pesky open meeting rules in the Municipal Act,  (or union rules or anything other than private corporation rules).

So fair enough.

The future was so bright for Rob Adams at that time, he had to wear shades. In fact here is a quote from the Town of Orangeville’s website that as of today is still posted:
“The OBRY is in the railway business for the long haul! “http://www.orangeville.ca/page.php?id=563

Except, and here comes the except, Mayor Adams didn’t have the foresight to realize that Orangeville is ONLY 30 km from Brampton.

I guess he didn't realize that by the time an industrial business loads freight on to a truck, drives it to an Orangeville train depot, unloads it off a truck onto the train, then unloads it off the train at the Brampton depot and trucks it somewhere in Brampton or the GTA, it is a hell of a lot faster to just truck it in the first place.

Good God, any 4 year old that plays with a Thomas the Tank set would know that.

Mayor Adams also also seemed to fail to recognize that while there were benefits to him as an elected official of forming a development corporation (again, he would be away from glare of the pesky public and press) there would also be negatives. 

Private corporations pay taxes.

And pay taxes this rail corporation does.

To the tune of $500,000.00 a year to Orangeville.

So follow this convoluted logic-The Town of Orangeville really IS the ORDC and so has to raise $500,000 in taxes to pay THEMSELVES.

Why wouldn't the Town of Orangeville just suspend the ORDC from paying taxes?  Well that would have been a contravention of the Municipal Act under bonusing rules.  A municipality can NOT provide financial assistance to a private company. 

Anyhew, as of today the ORDC has five customers and runs part time.

Not a typo, yes, 5 customers.  They are
Vulsay Industries
Industrial Thermo Plymers
Clorox Company of Canada Ltd.
Roechling Engineering Plastics Ltd.
Direct Plastics Group


So in 2008, along comes Orangeville’s saviour the Highland Companies aka Baupost who were looking for a little corridor from Melancthon to Owen Sound to “enhance” their existing agricultural operations, they said.


In 2009 Orangeville and Highlands entered into an agreement of purchase and sale, with Highlands agreeing to pay $5 million for the purchase of the rail line in Orangeville, with an additional $2 million being paid to Orangeville when the remaining County railbed was sold to Highlands and the track laid.
(NOTE TO READER: Pay attention to that little detail because if Rob thinks he is going to see a cent of the bonus, he is sorely mistaken. Highlands has outsmarted him on that, but then outsmarting Rob isn't that hard.)


Why would Orangeville get a “bonus” so to speak if the County agreed to sell their portion?


Well because in Dufferin, County votes are weighted, based on population. So the two Orangeville reps on County
Council get 12 votes out of 29 but on the rail issue, the Mayor of Shelburne, in keeping with the provisions of the Municipal Conflict of Interest Act, has to declare a conflict of interest and not vote, (no debate, no question that is just the way it is).  Since the Mayor of Shelburne has 2 votes, that leaves a majority of votes on the rail issue is leaving 27 votes on the rail issue and majority vote rules.  With Orangeville's 12 votes, the means they only need 2 more votes to win a majority, providing no one is absent.  If there is an absence, the majority votes is reduced by the number of people who are away.


Here is the structure of voting at County:
Amaranth (2 votes) Mayor & Deputy 1

East Garafraxa (2 votes) Mayor only
East Luther Grand Valley (2 votes) Mayor only
Melancthon (2 votes) Mayor & Deputy 1 each
Mono (4 votes) Mayor & Deputy 2 each
Mulmur (2 votes) Mayor & Deputy 1 each
Shelburne (3 votes) Mayor 2 & Deputy Mayor 1
Orangeville (12 votes) Mayor & Deputy 6 each
29 Votes


Others on County Council and the public thought that Orangeville might have a little bit of a bias for voting at the County table FOR the sale of the County owned rail bed to benefit Orangeville, as opposed to acting in the best interests of the County, which is what all elected officials at the County table are to do.


In fact they felt so much that way that the potential conflict of interest issue went to court. In the end a judge determined that Orangeville reps on County Council did not have a conflict of interest.

So fair enough.

Oh yeah, I forgot this little detail. Can you guess who offered and is paying the annual property taxes on behalf of Orangeville until the deal is closed?

All together now....survey says: Highlands. To the tune of $500,000 per year.

Oh yeah, I forgot this little detail. Can you guess who paid all of Orangeville’s legal bills around the conflict of interest issue?

All together now....survey says: Highlands!!! To the tune of $94,487.02.

And finally, oh yeah, I forgot this little details.  Guess who paid all of Orangeville’s legal bills as it related to the sale of the lands to Highlands?

All together now.....survey says: Highlands. To the tune of $135,856.04.

No wonder Adams and his minion Maycock, I mean Deputy Mayor, Warden of the County of Dufferin were so happy to pose for this picture, that was pretty offensive to alot of people.

But now Rob, wearing his County hat, is saying what an economic driver the sale of the rail bed owned by the County will be (dejavu all over again anyone?) to the COUNTY!!!!

So since this is a long and convoluted story here is quick RECAP, pay attention:

• Orangeville/Adams bought the rail line as an economic driver for Orangeville
• Cost $3 million, $2 million of which was paid for the by taxpayers of Ontario NOT Orangeville
• Net cost to Orangeville $1.5 million
• Rail proved not to be financially viable
• Orangeville/Adams enters into an agreement to sell the rail line to Highlands for $7 million (including the “bonus” of $2 million)
• Net gain to Adams $5 million not including the $500,000 annually paid by Highlands on property taxes
• Loss of respect of most ratepayers in Dufferin-priceless

And if everything was kosher on this deal, Adams wouldn’t have voted at the County level against having a public meeting about the sale


He would not be contravening the rules of open meeting and notice of meetings by burying the County rail subcommittee meetings INSIDE general government services agendas


He would NOT be refusing to permit Melancthon Councillors make a delegation to Orangeville Council about the QUARRY issue, NOT the rail bed issue


He would NOT have voted at County Council against holding a public meeting prior to entering into any deal to sell the County's portion of the rail bed


And he would show up at some public events supporting the DUFFERIN residents who are against the quarry, just like the MPP.s, MP;’s and other elected officials from outside of their own ridings are doing.


So, what is the prob, Rob?

Hopefully, however, there will be a light at the end of the tunnel (and not the one shining out of Adams ass) and Orangeville ratepayers will finally hear about this issue and ask the hard questions of their elected officials. 


If you get $7 million for a rail line ($2 million for the sale of portion that you don't even own), will that pay for our water supply until the end of time?


The following elected officials are on the railway Board of Directors, in case you wanted to contact them:


Councillor Scott Wilson
519-835-0900

swilson@orangeville.ca

Councillor Mary T. Rose
519-941-7654
mrose@orangeville.ca

Councillor Gail Campbell
519-942-2719
gcampbell@orangeville.ca


Councillor Sylvia Bradley
519-940-8747
sbradley@orangeville.ca


Deputy Mayor Warren Maycock
519-941-1837
wmaycock@orangeville.ca


Mayor Rob Adams
519-941-0440 ext. 2240 (Mayor's Office)
radams@orangeville.ca