ST. LAWRENCE, N.L. — ST. LAWRENCE, N.L. – The brakes have been applied to a major development in St. Lawrence that would have seen the town invest approximately $300,000 into a nine-lot industrial park
The first phase of construction was expected to begin before the end of August.
Earlier this year the Town of St. Lawrence received more than $1.3 million in federal and provincial funding for the development of the park.
"We would get our portion ($300,000) back through that sale of the lots," Mayor Paul Pike told The Southern Gazette. "So our investment...we thought at the time was only a short term because the return would come directly to council and we would pay off our loan that way."
Concerns about the future of the industrial park were raised during a regular meeting of council on Aug. 13. Members voted in favour of putting the project on hold, citing concerns that one of the major industries in the town has not followed through on its commitments to council to support local business.
"I'm not saying they don't deal with any businesses in the town," said Pike, "but we're not seeing any growth in business development in the town. As a matter of fact, most of the things that are being bought for the mine are being purchased outside."
Mayor Pike feels Canada Fluorspar Inc. has not taken steps to attract businesses to the town that could complement its mining operations.
"It seems like they'd just buy it wherever," he said.
Pike also said that the town is not seeing any economic growth through new home builds.
"We have a subdivision in the works for the town, but we have no one asking for (lots)," said Pike. "Initially the mine was going to buy 10 lots, but we haven't seen that with the new management."
During the roundtable discussion at the council meeting, Coun. Mike Slaney asked if going forward with the project was in the town's best interest.
"Are we going to put $300,000 up there, when it could be used somewhere else?" asked Stacey.
Council is working to set up a meeting with representatives from the mine to discuss their concerns.
"We're try(ing) to entice some conversation with the mine, 'cause as of now we have zero communication," said Pike. "If we don't work together then this project is not going to work."
CEO says company supports local
Bill Dobbs, CEO of Canada Fluorspar Inc, told The Southern Gazette in a telephone interview, the company spent millions of dollars at businesses in the Town of St. Lawrence and on the Burin Peninsula in 2019.
"CFI buys its kitchen supplies and other items from the local grocery store, we buy many of our hardware items when possible from the Home Hardware in St. Lawrence, we support the Oceanview Hotel with guests and consultants, have meals and stays there, as do our contractors," he said.
"We support local members of the community who rent real estate to us, we support the St. Lawrence soccer club, we support the pharmacy by buying things there (and) we support the historical society."
Dobbs clarified a concern that came from St. Lawrence Council that company vehicles were no longer being fuelled at the local gas station.
"Like all mines, CFI fuels its mining vehicles from its site with diesel fuel and gasoline. In the past a few of our light-duty vehicles, which are pickup trucks, could not fuel up at the site because the site did not have gasoline."
He added those vehicles are now able to fuel up at the mine site instead of leaving it during work hours to refuel.
"There's not a business in St. Lawrence that has not benefited," said Dobbs, "including the gas station where our employee fuel their cars, where I fuel my car, where I shop on a daily basis."
Dobbs also responded to a statement made by Mayor Pike during the council meeting about the subdivision.
"There is no commitment by CFI to buy housing sites at a housing thing. Our employees buy their own houses, and we rent houses from people in St. Lawrence who benefit from that."
