ca '~A COUNCIL REPORT ABBOTSFORD

Report No. : PDS 151-2015 Executive Committee

October 29, 2015 File No: 3020-20/D15-039

To: Mayor and Council From: James Bryndza, Planner Subject: Development Variance Permit application for the property, located at 74/82 Gladwin Road Owner: Kahlon Farms Ltd. (Directors: Gurdip Singh Kahlon, Sukhvinder S. Kahlon, Sohan Singh Kahlon and Kuldip Singh Kahlon)

RECOMMENDATIONS

1. THAT application 3020-20/D15-039 for a Development Variance Permit, as detailed in Report No. PDS 151 -2015, be approved in principle, and proceed for public comment at an upcoming Council Hearing; and after considering the comments and concerns of surrounding property owners and occupiers at the Council Hearing, if Council wishes to proceed with the issuance of Development Variance Permit No. 1996, the appropriate motion will be:

2. THAT application 3020-20/D15-039 to issue Development Variance Permit No. 1996, as detailed in Report No. PDS 151 -2015, be approved , subject to addressing the following: a. resolution of an outstanding building permit (No. 03-285957) or provision of a cash security to cover the cost of construction for an on-site water storage facility for the existing sprinkler system; and b. the applicant enter into an access agreement with the City for an existing driveway on 0 Avenue on the City's unconstructed road right of way; and

3. THAT the Mayor and Corporate Officer be authorized to execute all documents relating to this matter.

SUMMARY OF THE ISSUE

Kah Ion Farms Ltd. consists of 100 acres of raspberries and 200 acres of blueberries and a berry packing facility located on 74 /82 Gladwin Rd . The farm currently processes approximately 2.5 million lbs. of blueberries and 1.5 million lbs. of raspberries per year at its existing 1,626m2 processing and storage facility. Approximately 80%-90% of the berries packed in the processing facility come from seven parcels of family owned and operated farmland located in Abbotsford.

Approximately 80 employees at Kahlon Farms harvest berries both by hand and machine and transport them to the packing facility. Raspberries are usually sorted, graded and packed into 28 lb. pails. Blueberries are typically individually quick frozen and packed into 30 pound cardboard cases. Some of the berries are held on site and the balance is stored offsite at third party commercial storage facilities. In some cases

L:\ DlS\DlS-039\Council\Council Report\ PDSlSl-2015 74-82 Gladwin.docx Report No. PDS 151-2015 Page 2 of 6 product is shipped outside the municipality when local space is unavailable. The berries are sold to retailers and manufacturers in ; the majority of berries are exported to USA and Japan.

The proposed expansion is expected to increase processing capacity from 2-4 million lbs. of berries to 6-8 million lbs. of berries each year, an expansion that requires a 2 2 building of 4,044m , which is 2,044m larger than what the property's A 1 zoning permits (see Figures 1-5).

BACKGROUND

Proposal: The applicant is proposing to increase the maximum permitted floor area for an Accessory Processing Use from 2,000m2 to 4,044m2 to accommodate expansion of an existing a berry processing, packing 2 and storage facility, which is currently 1,626m .

Owner/Applicant: Kahlon Farms Ltd.

Legal Description: LOT 28 SECTION 4 TOWNSHIP 16 PLAN NWP05211 NWD

OCP Designation: Agricultural

Zoning: Agricultural One Zone (A 1)

Site Area : 7.24ha (17.9ac)

Description: The subject property is located in the Agricultural Land Reserve (ALR), at the foot of Gladwin Road, along the Canada-USA boarder. The property generally slopes south and to the east but also has a 1 Om high escarpment running north-south through the middle. A single family dwelling is located on the higher portion of the property; an existing processing facility is located in the lower portion; the remainder of the property is in blueberry and raspberry production.

Surrounding Uses: N: Farms, zoned Agricultural One Zone (A 1); S: Unconstructed road right of way (0 Ave) and USA beyond; E: Farm, zoned Agricultural One Zone (A 1); W: Gladwin Rd and residential and farm beyond, zoned Agricultural One Zone (A1 ).

DISCUSSION

Official Community Plan/Zoning/Agricultural Policies

1. The Official Community Plan (OCP) (2005) designates the subject property as Agricultural. Jhe intent of this category is to provide a stable, long-term land base for farming and other uses that support farming operations. The proposal to increase the maximum size of the processing facility supports the expansion of the farm operation, and contributes to enabling long-term agricultural uses on the property.

2. In 2011, Council approved the Agriculture Strategy which aims to enhance the health and viability of the agricultural economy through seven key objectives. One of these L:\DlS\DlS-039\Council\Council Report\PDSlSl-2015 74-82 Gladwin.docx Report No. PDS 151-2015 Page 3 of 6

objectives includes fostering agriculture-friendly regulations and enhancing opportunities for agricultural enterprise. The proposed variance would allow the farm to expand their operational capacity and enable the owners to process a larger volume of harvested products.

3. Under Abbotsford Zoning Bylaw No. 2400-2014, accessory farm product processing is permitted in agricultural zones (A 1 & A2) when accessory to an Agricultural Use (e.g. growing of berries). A condition of use for Accessory Processing is that it is permitted as long as buildings and structures housing such uses together do not exceed 2,000 m2 in floor area. As such, facilities larger than 2,000m 2 are deemed to be an industrial operation and are permitted in the 12 and 13 zones, where no maximum floor area exists, but maximum lot coverage is set at 60%. The applicant is proposing to vary the maximum permitted facility size to 4,044m2 (see Figure 4).

4. According to the Agricultural Land Commission (ALC) Use, Subdivision and Procedure Regulation (BC Reg. 171/2002), the storage, packing, product preparation and processing of farm products are permitted farm uses within the ALR provided a minimum of 50% of the product being processed originates from that particular farm operation. If a facility meets this criterion, a local government is not able to prohibit the use; however, the ALC's Regulations do allow a municipality to set a maximum building area or site coverage for processing uses. Abbotsford's Zoning Bylaw presently establishes a maximum size of 2,000m2 for an Accessory Processing Use in A 1 and A2 zones. The Ministry of Agriculture recently announced that new regulations will promote the use of cooperatively owned processing facilities, which may result in changes to current ALC policy.

Proposal

5. The owner is planning to expand the accessory processing facility in two phases. In the first phase the applicant plans to add approximately 1,301 m2 to the existing 2 facility, which currently measures approximately 1,626m . This would bring the total 2 area of the processing facility to 2,927m . In the second phase the applicant plans to demolish and rebuild portions of the existing processing facility, bringing the total area of the building(s) that house the facility to 4,044m2 (see Figures 3 & 4). This area will also include space for farm related uses such as office, washrooms and lunch rooms, as well as the Accessory Processing Use.

The applicant has stated that with the proposed expansion, approximately 80%-90% of the berries packed on the processing facility will still come from the seven parcels of family owned and operated farmland located in Abbotsford.

Berry Processing Industry Overview

6. According to the B.C. Blueberry Council, blueberry crop production has increased by 69% in the last 5 years, from 90 million pounds in 2010 to 152 million pounds in 2014. This increase in crop volume is indicative of a trend toward greater berry production and yield over the next few years. With more than $1 billion in sales in the past five years, is now the biggest highbush blueberry-growing region in the world. As a result, staff are starting to experience a growing number of variance requests to increase the maximum permitted floor area of processing facilities.

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7. The federal government recently announced a $65 million trade deal with China that is expected to impact blueberry production in coming years (see Attachment C). The Ministry of Agriculture also recently announced that new regulations will promote the use of cooperatively owned processing facilities (see Attachment D); however, no guidance has been provided to municipalities so far as to how this is to be regulated. These announcements are expected to contribute to the growth in blueberry production in coming years, and may lead to subsequent provincially-mandated amendments to municipal zoning bylaws.

8. Planning staff met with the Ministry of Agriculture to discuss processing facilities and berry industry trends on June 9, 2015. Ministry staff projected blueberry crop volumes to increase to approximately 170 million pounds next year, and forecast 10- 15 million pounds per annum growth between 2016 and 2024. Ministry staff believe that increasing processing and storage capacity in the berry industry should be addressed in light of the use of ALR land for non-agricultural purposes and the need for regulations which differentiate between, and regulate, fresh packing, freezing, and cold storage uses.

9. Due to lower Works and Services standards, lower Development Cost Charges (DCCs) and lower taxation rates, there are cost and market advantages to establishing processing facilities in agricultural, rather than industrial, areas. Given these factors, staff expect an increase in the number of requests for variances to accommodate this type of use. According to the Blueberry and Raspberry Councils, there are currently 13 berry processing facilities operating in Abbotsford (see Figure 4 ), although staff are aware that there may be other processing facilities in the area. Six processors are currently operating in industrial areas (zoned 12), while the remaining 7 are located in A 1 and A2 zones. In recent years, the City has dealt with variance requests to increase facility floor areas on an ad-hoc basis, with the following berry processors being granted approval:

Name of Owner Zone Size of Facility Date of Approval A & P Fruit Growers 2 A1 4,566 m January 11 , 2010 Ltd. Fraser Valley Packers 2 2 A1 3,731 m ; amended to 4,308.57 m April 13, 2015 Inc. 2 2 May 28, 2007 I Lally Farms A2 4,013 m ; amended to 5,513 m January 12, 2009 Parsat Enterprises Ltd . A2 Proposed expansion to 4,431 .4 7 m2 Under review (Westberry Farms)

Agricultural Lands Review

10. In June 2014, Council directed staff to review agri-industrial uses within the broader context of the Official Community Plan (OCP). In conjunction with Phase 2 of the Zoning Bylaw and during the upcoming Agricultural Lands Review, staff anticipate completing further research regarding OCP and Zoning Bylaw provisions related to agriculture. As part of the Agricultural Lands Review, it is anticipated that the maximum size of processing facilities appropriate in an agricultural setting and the conditions, if any, that should be considered when exceeding that threshold, will be reviewed in more detail with senior levels of government and other City departments.

11. As part of the processing facility research, staff will also need to review servicing capacities within the agricultural areas. Generally, processing facilities have L:\015\015-039\Council\Council Report\POS151-2015 74-82 Gladwin.docx Report No. PDS 151-2015 Page 5 of 6

significant sanitary and water demands, and the maximum permissible size may be limited by available capacities.

Servicing Requirements

12. There is an incomplete building permit (No. 03-285957) for an existing building that houses the processing facility on the subject property. There are a number of outstanding items that must be corrected before final occupancy can be granted, including the requirement for on-site water storage for the existing sprinkler system. Staff recommend that issuance of a Development Variance Permit be conditional upon the resolution of the outstanding building permit or that a cash security be received to cover the cost of construction for an on-site water storage for the existing sprinkler system.

13. There is an existing driveway and access point to the site at the south end of the property, off of an un-constructed portion of O Avenue. The City's Transportation department is requesting that the applicant enter into an access agreement with the City for this existing access. Staff recommend that an access agreement for the driveway be a condition of issuing the proposed Development Variance Permit.

14. As part of a potential future building permit application, the applicant will need to upgrade its source of water to meet fire flow requirements. Due to the nature and location of the proposed application, it may not be feasible to upgrade the City's water supply network and options will need to be investigated by the applicant, including on-site storage or other methods acceptable to Abbotsford's Fire Service Bylaw (No. 1513-2006) and the BC Building Code.

15. The proposed industry/activity is governed under the Waste Discharge Regulation of the Environmental Management Act and as such, discharge of waste to the environment (for example, water from washing berries) will require authorization from the Ministry of Environment before a new building permit can be issued.

Communication Plan

If supported by Council, Development Variance Permit No. 1996 will be prepared for an upcoming Council Hearing (see Attachment F). The City will notify in writing the adjacent property owners and occupiers of the date and time of the Council Hearing.

FINANCIAL PLAN IMPLICATION

No financial plan implications are anticipated.

IMPACTS ON COUNCIL POLICIES, STRATEGIC PLAN AND/OR COUNCIL DIRECTION

This proposal is consistent with the Agriculture Strategy.

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SUBSTANTIATION OF RECOMMENDATION

Staff recommend that Development Variance Permit applications for processing facilities be reviewed on a case-by-case basis until such time as the Agricultural Lands Review is complete. This recommendation recognizes recent senior government announcements and policy changes that promote the expansion of the blueberry industry in British Columbia.

Prepar y: Ja Department Head Approval: ' Planner, Devel Siri Bertelsen General Manager, Planning & Development Services

Reviewed~ by: Darren Braun Director, Development Planning

Enclosures:

Figure 1 - Location Figure 2 - Context Plan Figure 3 - Site Plan Figure 4 - Proposed Variance Figure 5 - Existing Processing Facilities

Attachment A-Works & Services Report, dated September 29, 2015 Attachment B - Letter of Intent Attachment C - - News Release - Harper Government Secures Access for Fresh British Columbia Blueberries to China Attachment D - Ministry of Agriculture - B.C. Government News - New Regulations Encourage Farming on ALR Land Attachment E - Development Variance Permit No. 1996

L:\DlS\DlS-039\Council\Council Report\PDSlSl-2015 74-82 Gladwin.docx FIGURE 1 LOCATION FILE NO.

ADDRESS: 74 I 82 Gladwin Road 3020-20 I 015-039 APPLICANT: Kahlon Farms Ltd.

o .,.....A ABBOTSFORD October 16, 2015 Planning and Development Services ·~~ r ". ~ •·. ;t ~{::...:._ .• ,- .., ~ ?

FIGURE 2 CONTEXT PLAN FILE NO. ADDRESS: 74 I 82 Gladwin Road 3020-20 I 015-039 APPLICANT: Kahlon Farms Ltd.

:!!!!!!!!~..,...A ABBOTSFORD October 16, 2015 Planning and Development Services FIGURE 3 SITE PLAN FILE NO. ADDRESS: 74 I 82 Gladwin Road 3020-20 I 015-039 APPLICANT: Kahlon Farms Ltd .

n tr.A ABBOTSFORD October 16, 2015 Planning and Development Services FIGURE 4 PROPOSED VARIANCE FILE NO. ADDRESS: 74 I 82 Gladwin Road 3020-20 I 015-039 APPLICANT: Kahlon Farms Ltd.

o ~A ABBOTSFORD October 16, 2015 Planning and Development Services RASPBERRIES BLUEBERRIES & RASPBERRIES Berryhill Foods Ltd. 5 2887 Mt. Lehman Road

Fraser Valley Packers Inc. A A&P Fruit Growers Ltd. 6 260 Short Road V 1794 Peardonville Road 7 Kahlon Farms Ltd. 262 Columbia Street

8 Lucerne Foods Ltd. 31122 South Fraser Way

9 Mukhtiar Growers Ltd. 287 Townline Road

10 Pacific Coast Fruit Products 34352 Industrial Way

11 Snowcrest Foods Ltd. 1925 Riverside Road

12 Triple Crown Packers Ltd. 2283 Peardonville Road

13

FIGURE 5 EXISTING BERRY PROCESSORS DEVELOPMENT VARIANCE FILE NO. PERMITS (DVP) ISSUED ADDRESS: 74/82 Gladwin Road 3020-20 I D15-039 1. A&P Fruit Growers Ltd. APPLICANT: Kahlon Farms Ltd. 4,566 m 2 (DVP 1718) 2. Fraser Valley Packers Inc. e · ..,.....A 3,731 m 2 (DVP 1353) / 4,308.57 rrf (DVP 1970) November 2, 2015 ABBOTSFORD 3. Lally Farms Inc. 2 Planning and Development Services 4,013 m / 5,513m2(DVP1549) ATTACHMENT A ..a;.,~.;a..- f~ ~-- ,, -' .1¥ 1 1 ABBOTS FORD p F\11: I u 11 r'J El\I"[ r: t\IG 11\i [ Er-·d l\!G r > \ I ( I~ )l\J

WORKS ANID SERVICES REQUIRIEMENTS

File No: i 015-039

Planner: ' James Bryndza, Planner

Prepared By:

Approved By:

Date: September 29, 2015

Applicant: Kahlon Farms Ltd.

7 4/82 Gladwin Road Development Property: Lot 28, Section 4, Township 16, New Westminster District Plan 5211

The Local Government Act authorizes local governments to require development to meet current works and services standards as set out in the City's Development Bylaw and Policies.

This report includes the Existing Conditions of the site, the Works & Services Requirements to meet the applicable bylaws and policies and Future Considerations that may apply to the next phase of development.

Please have your consulting engineer call Kim Fleming, Development Technologist 2 at 604- 864-5689 in regard to this report and any other servicing matters relating to this application.

Page 1of3 015-039 - -

A11no1sF0Ro t .r ,~ , ir·l'/li 1\11 11 ir:il" r Hll"'· l J1\!ICl(i1· REQUIREMENTS At this time, based on the limited information supplied at Development Permit stage, the following comments are to be brought to the attention of the applicant.

Access The existing driveway on 0 Ave is on the City's un-opened road ROW. The applicant will need to formalize an Access Agreement with the City.

Miscellaneous Requirements All works shall be performed in substantial conformance with the City's Development By-law, the Provincial 'Land Development Guidelines' and the City's Erosion and Sediment Control Bylaw, in the control and prevention of erosion and sediment during all phases of construction. No release of silt, sediment laden waters or deleterious substances is permitted into any existing City storm or drainage system during any phase of development of the Lands.

FUTURE CONSIDERATIONS Upon further development an additional works and services review will apply related to that application. Listed below are some items to consider. Bylaws • the applicant is to be familiar with the Development Bylaw to ensure an understanding of possible future Works and services that may impact the development • the applicant is to review the Works and Services identified in the Development Agreement and how they may impact the building. Stormwater Management • detention and infiltration will be required if lot coverage exceeds 20%. Ensure that adequate room and proper placement has been reviewed. Traffic Management • with future rezoning or subdivision a corner truncation at Gladwin Road and 0 Avenue will be required. • the increase in vehicle traffic will be reviewed for its impact on the access and nearest intersections. Access may be restricted. Sanitary • The properties are outside the sewer boundary and are not serviced with City sewer. Water • The existing City infrastructure in this rural area was not designed to provide the level of service required for similar type applications within the urban development boundary area. Available flow in the water system fronting the site on Gladwin Road is only 390 Imp. gpm (30 lps) and the minimum fire flow required for commercial/industrial processing applications that would be located within the urban development boundary area is 2,200 Imp gpm (167 lps).

Page 2 of 3 015-039 ~~--?' ~ ~-,,.,, ABBOTSFORD DcVELOPIVIE l\!l El\IGll\IEEHING DIVISIO N • To meet the level fire flows prescribed in the by-law several kilometers of watermain would need to be upgraded. Due to the nature and location of the proposed application, it is recommended that Abbotsford Fire Services (AFS) be consulted regarding minimum requirements for fire protection . Since it is not feasible to upgrade the water supply network to provide acceptable fire flows. options may include on-site storage or other methods identified by AFS or the BCBC.

a There is an existing 18mm water service to this property and the developer/ owner has indicated a need for a service upgrade. Should a larger service be required. the owner will be responsible for all direct and indirect costs associated with a service replacement. • Any and all additional comments and/or requirements will be provided through the engineering drawing review process phase of the building permit application. Development Cost Charges. • Development Cost Charges are applicable at Building Permit or Subdivision Lot Grading • A Lot Grading Plan is required . Final lot grading shall conform to City's Lot Grading Policy and Guidelines. Any retaining walls that the Developer or Consulting Engineer consider are necessary to effectively grade the Lands to prevent negative impacts on finished neighbouring Lands, either existing or proposed, shall be constructed by the Developer. The standard "Lot Grading Covenant shall be registered against title to all proposed lots.

• Lot grading shall also provide for the collection of surface runoff and other drainage that will discharge to the City Drainage system. Lot grading may be designed to allow for surface sheet flows or collected in swales and directed to lawn basins as necessary to the satisfaction of the General Manager, Engineering. Any collection of surface flows to a concentrated point discharge location shall include provision for easements or rights­ of-way across impacted Lands as necessary. All lot grading shall be designed to take care of surface flows emanating from onsite grading.

Erosion and Sediment Control All works shall be performed in substantial conformance with the City's Development By-law. the Provincial 'Land Development Guidelines' and the City's Erosion and Sediment Control Bylaw. in the control and prevention of erosion and sediment during all phases of construction. No release of silt, sediment laden waters or deleterious substances is permitted into any existing City storm or drainage system during any phase of development of the Lands.

The ESC Plan requires 4 drawings, each indicating the ESC methods for that stage of construction; • site preparation • site servicing • building construction a warranty period

Page 3 of 3 015-039 ATTACHMENT B

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Letter of Intent

October 28, 2015

To: James Bryndza Planning Department City of Abbotsford

Re: Development Variance Permit at 82 Gladwin Rd

Dear Sir:

Please accept our application for Development Variance Permit (DVP) on 82 Gladwin Rd, Abbotsford to allow packing facility floor space of 3765 m2 (40527 ft2) The facility would be used in season to dean, grade, and pack our raspberries and blueberries grown on our own farms in Abbotsford. The existing floor space is no longer sufficient to pack our increasing production. Both the floor space and the current building height is a limiting factor. In order to minimize building foot print some of the existing buildings will be removed. The proposed expansion would give us sufficient space to house all the essential equipment that is required to pack quality berry product for today's market place and allow for more efficient movement of product.

We are aware that City of Abbotsford allows each agriculture parcel up to 2000 m2 floor space limit of built up area for processing, packing and storage. Our farm operation grows raspberries and blueberry on seven parcels of land located in the municipality of Abbotsford. Only the parcel located at 82 Gladwin 'Rd will have some space dedicated for packing and storage.

We have been packing fruit at our current site since 1997. Our fruit production has increased many folds since 1997, but the packing space has remained the same. We have consistently complied with Ale's 50% rule for own production requirement. Historically, our own fruit has accounted for 80%-90% of the total product packed at our facility. Although there can be annual variations in field production, we do not anticipate the above ratio to deviate significantly from year to year. We are a grower packer with a business model focussed on growing our own product.

We would like to proceed with approvals and construction in two phases. In the first phase we would add approximately 14000 ft2 of processing space to the existing facility area of 17500 ft2. In the second phase we would likely remove some of the existing buildings and build up to the 3,765m2 (40,527 ft2)

rROuu c u::~, ."'\NI l'ACKF~~ OF QUALITY F·RUITS limit as proposed under DVP application. This additional space would be specifically dedicated for pre­ cooling, packing, and storage of our growing fruit production.

In addition to the processing space discussed above, we would add a two story structure (30'x50') dedicated for office and employee welfare space totalling 3000 ft2 for our farm operation.

Gordie Kahlon Harper Government Secures Ac 1Ties to China - Ca... Page 1 of 3 ATTACHMENT C Government Gouvernement I I of Canada du Canada Home -+ News -+ News Releases -+ Harper Government Secures Access for Fresh British Columbia Blueberries to China

"*-I Agriculture and Agriculture et News Release I ...,,. Agri-Fooc Cana::la Agroalimentaire Canada

e Share this page Harper Government Secures Access for Fresh British Columbia Blueberries to China

June 24, 2015 -Abbotsford, British Columbia -Agriculture and Agri-Food Canada (AAFC)

The Honourable Gerry Ritz, Minister of Agriculture, and the Honourable , Minister of International Trade, and Member of Parliament for Abbotsford, today announced that Canada and China have agreed to sustained market access for fresh British Columbia blueberries.

Chinese inspectors are expected to visit Canada this summer to carry out a pre-shipment inspection and to authorize the first shipments of blueberries to China. Once fully implemented, the Canadian blueberry industry estimates new access to this important market to be worth $65 million annually.

On the occasion of this important announcement, Minister Fast and the Honourable Norm Letnick, British Columbia's provincial Agriculture Minister, visited Westberry Farms in Abbotsford, British Columbia (B.C.) today to see first-hand how blueberry producers will benefit from this new market access.

Quick Facts

• British Columbia is the largest highbush blueberry-producing region in the world, with production more than doubling in the last decade. • In 2014, British Columbia produced about 65,500 tonnes of highbush blueberries, worth more than $110 million.

http://news.gc.ca/web/article-en.do?nid=99 l 209 10/22/2015 Harper Govemment Secures Access for Fresh British Columbia Blueberries to China - Ca... Page 2 of 3

• With a population of more than 1.4 billion, China is one of the fastest-growing economies in the world. • Blueberries are Canada's largest fruit export in terms of value and volume.

Quotes

"By continuing to promote Canada's food and agriculture sector as a reliable and safe supplier of choice for Chinese consumers, we are making sure our agriculture industry remains a key driver of the Canadian economy."

- Agriculture Minister Gerry Ritz

"This is great news for B.C.'s world-class blueberries. Our government's top priority is to create jobs, growth and long-term prosperity for all Canadians, including British Columbians. This market access win to the most populous country in the world is another example of how our government's pro-trade plan is getting results for Canadian businesses, workers and their families."

- International Trade Minister Ed Fast

"I want to congratulate the governments of Canada and China on reaching the important initialling stage. Building markets for B.C. products is part of the B.C. government's efforts to encourage young farmers to enter the profession, support food security in our province, and grow B.C.'s agrifood revenues to $14 billion a year by 2017."

- British Columbia's Agriculture Minister Norm Letnick ------·------"We were extremely pleased to be in China on the momentous occasion of the protocol signing between Canada and China on fresh blueberry exports. This comes at a time when the demand for fresh Canadian blueberries in China is very high due to the health benefits and quality of our product. We look forward to providing the Chinese consumer with a beneficial Canadian agri-food."

- . Executive Director, B. C. Blueberry Council, Debbie Else/I

http://news.gc.ca/web/article-en.do?nid=99 1209 1012212015 Harper Government Secures Access for Fresh British Columbia Blueberries to China - Ca... Page 3 of 3

Contacts

Jeff English Director of Communications Office of the Honourable Gerry Ritz Minister of Agriculture 613-773-1059

Media Relations Agriculture and Agri-Food Canada Ottawa, Ontario 613-773-7972 1-866-345-7972 Follow us on Twitter: @AAFC Canada

Max Moncaster Press Secretary Office of the Honourable Ed Fast Minister of International Trade 343-203-7332

Media Relations Office Foreign Affairs, Trade and Development Canada 343-203-7700 [email protected] Follow us on Twitter: @CanadaTrade Like us on Facebook: Canada's International Trade Plan-DFATD

Search for related information by keyword [ Hon. Gerry Ritz ] [ Hon. Ed Fast ] [~-A-g-ri-cu-lt-u-re-a-nd_A_g-ri--F-o_o_d _C_a_n_a-da---J Agriculture

Date modified: 2015-06-24

http ://news.gc.ca/web/article-en.do ?nid=99 l 209 I 0/22/20 15 New regulations encourage farming on ALR land I BC Gov News Page I of 3

ATTACHMENT D British Columbia News New regulations encourage farming on ALR land https ://news. gov. bc.ca/O 8 643

Monday, June 15, 2015 12:15 PM VICTORIA - New regulations under the Agricultural Land Commission Act will encourage farming and help B.C.'s agricultural community fill the growing demand for B.C. food, locally and around the world, Agriculture Minister Norm Letnick announced today.

The regulations will help farmers throughout B.C. take advantage of the demand for value-added B.C. goods by promoting the use of co-operatively owned processing facilities. The changes make it easier, for example, for berry growers to use co-operatively owned facilities to make value added products like jams or sauces, or flash freeze them for off-season sales.

Similarly, the regulation creates opportunities for producers in the north and east to pool resources and establish value-added facilities for fruits, grains, honey and other crops. The opportunity for B.C. fanners to increase their income through value-added products also encourages farmers to expand their business models and consider growing additional crops in the ALR.

The regulations also support the growing appreciation of B.C. wines, beers and spirits by locals, as well as those visiting B.C. Breweries, distilleries and meaderies will be permitted to operate on ALR land on terms similar to wineries, requiring at least 50% of the products used to make the beverage be grown on the fann. Another change, subject to the results of consultations being conducted by the Liquor Control and Licensing Branch, will permit alcohol producers in the ALR to offer alcohol from other producers to their lounge and restaurant guests, so winery guests who prefer a beer with their meal can have one.

Government is consulting on this, with plans to open up the opportunity to manufacturers later this year, so that any winery, brewery, cidery, distillery or meadery can sell products made off-site in their lounges - aligning with a recommendation made in the B.C. Liquor Policy Review. The change will create more opportunities for B.C. farmers to grow and produce crops used for these beverages, as well as building on British Columbia's growing international reputation for culinary tourism.

In 20 14, two ALC-administered zones were created to better recognize the province's regional differences. Zone 2 includes the Interior, Kootenay and North regions, where growing seasons are shorter than elsewhere in the province. One other change in the regulation supports succession planning in Zone 2, by allowing retiring farmers to continue living on their family farm after they've sold it using a lease for a life term. The retiring farmers can continue to li ve on the farm they have worked on, while sharing their knowledge with the next generation of farmers who have purchased their farm, and keeping the entire piece of land in production, growing crops and food.

The Regulations are one part of the B.C. government's efforts to grow the Agrifood Sector to $14 billion by 2017, by supporting high-quality, high value products, building domestic and international markets and securing a strong future for farming.

A backgrounder with a complete list of regulatory changes follows

~ -- - 4, _ - • https://news.gov.bc.ca/stories/new-regulations-encourage-farming-on-alr-land 10/22/2015 New regulations encourage farming on ALR land I BC Gov News Page 2of3

B.C. Agriculture Minister Norm Letnick -

"We heard in our extensive consultations with representatives of about 100 farming groups and local governments, that British Columbians wanted these regulations to help preserve farmland and encourage agriculture, and that's what we've delivered. These regulations provide farming families the chance to earn a higher income, and prepare for the transition of the farm from one generation to another, ensuring B.C. has a growing agrifoods economy and reliable food source for years to come."

BC Agriculture Council chair Stan Vander Waal -

"These regulations are good news for BC agriculture. BC farmers have been calling for the modernization of the Agriculture Land Commission Act for some time. With these regulations BC farmers can explore new farm business opportunities under continued proactive oversight by the independent Agriculture Land Commission (ALC). BCAC trusts the ALC to administer these new regulations in accordance with the commission's primary purpose, which is to keep BC farmland for farming."

Media Contacts:

Dave Townsend Government Communications and Public Engagement Ministry of Agriculture 250 356-7098 250 889-5945 (mobile)

BACKGROUNDER

New regulations encourage farming on ALR land

The new regulations, applicable in both Zones 1 and 2, are intend~d to:

• Encourage farming by allowing landowners to lease portions of their land for agricultural production without an application to the ALC. • Support value-added farming by updating a regulation that requires farms in the ALR with on-site packing and processing facilities to grow at least 50% of the farm products packed or processed. The update allows facilities owned by co-operative associations to count all produce provided by their members as part of the 50%. This change encourages farming operations to pool resources and establish a single co-operative processing faci lity, rather than building individual facilities on multiple farms. Individual farmers with a facility at one location are also able to include crops they produce on other parcels of land they own or lease, as part of the 50% calculation. • Encourage value-added farming by allowing breweries, distilleries and meaderies on ALR land on terms similar to wineries, requiring at least 50% of the farm products used to make the beer, spirits, and mead be grown on the farm. • Expand opportunities for additional revenue for farmers by allowing wineries, cideries, breweries, distilleries and meaderies in the ALR to sell alcohol that was not produced on the farm in their lounges and restaurants, subject to the Liquor Control and Licensing Act and local government regulations. Retail sales of products will remain restricted to those nrnrl 11 rPrl nn thP form https://news.gov.bc.ca/stories/new-regulations-encourage-farming-on-alr-land 10/22/2015 New regulations encourage farming on ALR land I BC Gov News Page 3of3

In addition, succession planning in Zone 2 is being supported by allowing:

• Retiring fam1ers who sell their property to continue living on their fami ly farm using a lease for a life term. The retiring farmer may sell their farmland and lease back their family fa1m residence from the person who purchased the farm. The lease terminates when the retiree dies or leaves the property. To take advantage of this lease option, the farmer must have owned and operated the farm for at least 15 years; the farm must be at least five hectares in size; and the portion of the land that is leased back to the retiring farmer must be no larger than one hectare. • Owners of larger ALR parcels (50 hectares and over), to build a second single family dwelling for family or rental income purposes, providing the total area used for residential purposes on the parcel ofland is less than 4,000 m2 (43,000 sq. ft.) or 0.4 of a hectare. The area used for residential purposes includes the total area occupied by all residences and residential facilities, roads and service lines, and all land between them.

The changes follow and were guided by extensive consultations with representatives of about 100 farming groups and local governments as well as the hundreds of individual farmers and citizens who contributed their thoughts and ideas. A summary of the consultation process and results is available at: http:/ \\ vv\<\2.gO\ .be.ca gO\ togetherbc consultations/ ALC regulations.page

Media Contacts:

Dave Townsend Government Communications and Public Engagement Ministry of Agriculture 250 356-7098 250 889-5945 (mobile)

https://news.gov.bc.ca/stories/new-regulations-encourage-farming-on-alr-land I 0/22/2015 ATTACHMENT E

DEVELOPMENT VARIANCE PERMIT NO. 1996

1. This Development Variance Permit No. 1996 is issued to

KAHLON FARMS LTD ., INC.NO. 309748 262 COLUMBIA STREE ABBOTSFORD, BC V2T 5X6

as the owner (the "Permittee") and shall apply only to ALL AND SINGULAR that certain parcel or tract of land within the City of Abbotsford ("the City") described below, and any and all buildings, structures and other development thereon:

Parcel Identifier: 011-139-781 Legal Description: LOT 28 SECTION 4 TOWNSHIP 16 NEW WESTMINSTER DISTRICT PLAN 5211

(the "Lands")

2. This Development Variance Permit is issued pursuant to and in accordance with the applicable bylaws of the City and is issued subject to compliance with all of the bylaws of the City except as specifically varied by this Permit.

3. Abbotsford Zoning Bylaw, 2014 Section 210.7.6 (b) shall be varied to allow an 2 Accessory Processing Use having a maximum floor area of 4,044m , as generally shown on Schedule "A"

4. This Permit does not constitute subdivision approval, a Soil Removal/Deposit Permit, a Tree Removal Permit or a Building Permit and does not entitle the Permittee to undertake any work without the necessary approvals or permits. Site work must be in compliance with the Soil Deposit/Removal Bylaw and the Tree Protection Bylaw; other works must be constructed in accordance with engineering plans and specifications acceptable to the City's General Manager of Engineering; and bui ldings and structures can only be altered, changed in occupancy or constructed in accordance with the B.C. Building Code following issuance of a Building Permit.

5. This Permit expires two years from the date of issuance, as provided for in the Local Government Act, Section 926.

AUTHORIZING RESOLUTION PASSED by Abbotsford City Council on the day of ' 2015.

THIS PERMIT IS ISSUED this day of '2015.

The Corporate Seal of the CITY OF ABBOTSFORD was hereunto affixed in the presence of:

Mayor, Henry Braun

Corporate Officer, William Flitton L:\0151015-039\0EVELOPMENT VARIANCE PERMIT NO. 1996.docx SCHEDULE "A" DEVELOPMENT VARIANCE PERMIT NO. 1996

Proposed Accessory Processing Facility

a ~A ABBOTSFORD Planning and Development Services