Viterra Inc. is spending $18 million to upgrade its Britannia Road grain terminal to enhance the venue’s long-term viability and will temporarily close that road whenever it’s loading train cars.
The agriculture company plans to install a 12,500-foot double-loop track north of the terminal — and into an adjacent pasture — that can accommodate 144 Canadian Pacific Railway (CPR) high-capacity cars and three locomotives.
The Moose Jaw terminal employs 37 full-time staff and has a payroll of $2 million — which is double more modern venues — while the company pays $320,000 a year in taxes.
The company says this upgraded shipping system will make loading more efficient with faster times. The track will cost $16.5 million, while other upgrades comprise the remaining $1.5 million.
The new loop will bisect Britannia Road near 24th and 28th avenues, so Viterra will install two lockable gates with flashing lights near those entrances when loading train cars. Loading is expected to take 16 to 20 hours.
The company estimates each road closure will last 24 to 36 hours and occur 25 to 40 times a year. It will need a street closure permit from city hall for those times, while it will install detour signage and inform area residents ahead of time.
However, a traffic impact assessment report says only 30 non-Viterra vehicles will be affected daily during peak hours.
Discretionary use
To ensure its project can proceed, Viterra presented a discretionary use application during city council’s March 27 regular meeting because the land where it wants to install the tracks is located within two different zoning districts.
Under the M4f1 environmental low-service industrial district/flood fringe, accessory uses — which the zoning bylaw considers the proposed railway track — are permitted. However, under the FW floodway district, accessory uses are considered discretionary.
Viterra contributes significantly to Moose Jaw’s economy, while there will be many economic spinoffs from this expansion, a council report said. The expansion also reinforces the importance of the municipality’s strategic plan to provide value-added agriculture and enhance a healthy ag sector.
After a presentation by Viterra, council unanimously supported the discretionary use application. The company expects to start construction Saturday, April 15 and finish by Friday, Sept. 15.
Resident’s concerns
The only concern city hall received about the project was from Brent Lister with Lister Livestock Ltd. The businessman owns a gravel and topsoil near the terminal and uses Britannia Road daily.
In his letter to council, Lister said he was caught off-guard with the city's land sale to Viterra several months ago since no one from city hall called him about it, nor was public notice given. His meeting with staff from planning and development was also uninformative.
“This … development affects my daily business and I am very disappointed we were not informed or consulted with,” he wrote, adding 32nd Avenue — a road “nearly undrivable” — would be his only alternate route to reach Moose Jaw.
Viterra presentation
The grain terminal is more than 100 years old and is important to Viterra, while the amount of money the company is spending on this initiative will ensure the terminal lasts for decades, said Kevin Hallborg, director of special projects.
He has been with Viterra for 38 years and noted that a large trainload used to be 25 cars, then 50, and then 100, while this project envisions servicing 144 units totalling 8,500 feet in length. With the expansion, the company can move 14,500 tons of material versus 10,000 tons — a 40-per-cent increase.
“Without this change, you need more cars. And to get more cars in the industry, it just doesn’t happen,” said Hallborg.
Viterra has worked with city administration for two years on this project, which is complicated because the company must adapt its location and needs additional land in a flood plain, Hallborg continued. However, the company has developed a plan to address those issues and that works for everyone.
“The closing of Britannia Road is extremely important for this project. If the road closure cannot be accommodated, the upgrade will not happen,” Hallborg added.
Council comments
“We are all very excited about this expansion. How could we not be?” said Coun. Dawn Luhning. “It’s good for the city and good for citizens.”
Coun. Heather Eby thought this project was a “good news story” and thanked Viterra for ensuring the terminal’s longevity for another century. She noted that the company has undertaken this track expansion project elsewhere and made the transportation situation work.
“I’m very happy to see that Viterra wants to expand,” agreed Coun. Doug Blanc.
However, he pointed out that Lister expressed concerns with the project. The councillor wondered whether Viterra had spoken with him, considering the road closure would affect his business.
Viterra has reached out to Lister, but there has been no contact, said Hallborg. The business owner would have to drive an extra 1.5 kilometres a day to reach Moose Jaw when Britannia Road is closed.
The next regular council meeting is Monday, April 10.