Following a trial in early April, a judge has issued his ruling on the compensation to a private property owner following the 2018 expropriation of a statutory right-of-way on their property to expand the existing right-of-way for the Baptiste Lake Dam.

The Lake serves as the drinking water source for the community of Edgewater and the Regional District of East Kootenay (RDEK) has overseen the operation and maintenance of the dam for many years through the Edgewater Water Service. In 2018, the Province directed the RDEK to upgrade the dam and follow the recommendations of a 2013 Dam Safety Review. In order to meet the design requirements, the RDEK had to expand the statutory right-of-way by an additional 1.86 acres from the 157-acre piece of private property.

The property was for sale at the time and the developer and RDEK entered into discussion on the value of the additional land requirement. "From the outset of the conversations in 2018, we have had civil and respectful dialogue but different perspectives, and were unable to find middle ground," explains RDEK CAO Shawn Tomlin. "Knowing the potential impact to the community financially, we sought out professional advice on fair market value. We hired a certified appraiser and, in the end, his estimated value differed vastly from developer's expectation.  We were not able to find resolution and moved ahead with the expropriation, recognizing that this legal process would likely be required to determine what was appropriate compensation."

In 2018, the RDEK paid the developer $13,720 for the expropriation based on its appraisal report.  The total project cost, excluding costs associated with the statutory right-of-way, was $862,486. The RDEK was successful in securing grant funding through the Clean Water and Waste Water Fund ($417,330) and Community Works Fund (approximately $200,000) and the dam upgrade was completed in 2019.

The trial took place in early April and in his findings, the Honourable Mr. Justice Crerar ruled that the developer's appraisal more accurately estimated the fair market value of the expropriated land and the negative impacts to the property's value due to the addition of rip rap and other features that altered the previous more natural lake view features.

Justice Crerar ordered the RDEK to pay a further $340,000 to the developer. "I appreciate the time and effort from all sides in following this process through. From day one, we have been cognizant of the financial impact on the community as it is a small service area and it was important to us to ensure due process to determine a fair resolution," adds Tomlin. "While some may associate a court matter with conflict, this case was civil and respectful. All parties remained professional throughout. The core issue was not a personal dispute but simply the need to arrive at a fair and appropriate number. This process has ensured that the matter was resolved impartially and definitively."

The original Baptiste Lake Dam was constructed in 1925, before being upgraded to include an outlet and spillway in 1974. The RDEK took over operation and maintenance of the dam, which included an existing statutory right-of-way, from the Edgewater Improvement District in 2005 and has been operating and maintaining it ever since.