Midwest Minute- Dec 6/17- "Bullies and Bad Neighbours"
Vern McClelland
Associate Broker, RE/MAX Lloydminster and Founder, ProgressiveTender.com
Bullies and Bad Neighbours
I spoke to Santa the other day and suggested he put coal in the stockings of the executives of three large companies this Christmas.
Regular readers of this column know I strongly support the concept of informed landowners and tenants when dealing with requests from people who want to access their property, say to establish an oil well or to create a utility corridor.
I am all for economic development and appreciate the jobs created as a result, but have long believed the big players always held the cards while farmers and ranchers operated somewhat in the dark.
That’s why our family moved quickly to retain Section 25 Management, a Lloydminster based company, to assist us in day to day discussions with a long line up of firms wanting access to land we either own or rent.
We simply wanted a more level playing field only improved information and experience in the sector could give us.
It is disturbing to find out that one major energy company has apparently decided to “slow walk” initial requests for rent reviews issued on our behalf by Todd Plandowski and his staff.
Now, I’m talking about leases where the compensation for land usage hasn’t been altered in 15 and 25 years, respectively; not three years ago!
Yes, I know I was asleep at the wheel not generating these rent reviews sooner but hey, we are trying to organize it now.
I bet this company is hoping the time and expense of carrying on a sustained campaign will make Section 25 financially weaker plus lose favour with their growing list of clients.
In fact, it looks like management is threatened by landowners to moving to assert their rights.
Well, I got news for you. It only makes us more determined to get a fair deal, so I guess we, and families like us, will see you in front of the Surface Rights Board.
The rules say you will be forced to pay compensation retroactively to the renewal date, and we both know there will be an increase, so I suggest you quit playing these silly games and engage in constructive discussion sooner rather than later.
A second multi-national unilaterally implemented a payment policy of just under 120 days for its contractors.
In this struggling economy, this is puts even more burden on small business owners. In reality, they have become a source of financing for the energy giant as they are now forced to pay wages and suppliers long before they get settlement for their work.
I have even stronger words for this practice, but this is a family newspaper.
Contrast this with another energy producer in the Midwest which consistently pays approved invoices by direct deposit within five business days.
If I was a contractor, I know which one would get my loyalty.
The third firm, a large construction company, built its light manufacturing complex next to several country residential properties just outside the City.
It is not uncommon for them to pick early Sunday morning to start up a screaming sandblasting unit next to the property line or to intensively light up the yard throughout the night even when no work is taking place.
The kicker came this spring when they deliberately diverted a significant amount of silty snow melt and rain water runoff from their compound on to back lawn of the acreage next door.
A complaint to the local municipal authority was ignored; apparently the taxes from the industrial site is more important to officials than the quality of life for the mature couple who have lived there for many years.
At a time when environmental activists are gaining strength and politicians are listening to the large urban electorate before making decisions, or in some cases not making decisions about our natural resources, you would think companies like these would rather be seen as pro-community and searching for ways to positively engage stakeholders.
These actions suggest we are still in the wild, wild west where survival of the fittest is all that counts.
And that makes me sad.
Vern McClelland is an associate broker with RE/MAX of Lloydminster. He can be reached at (780) 808-2700, through www.vernmcclelland.com or by following the Midwest Group Lloydminster on Facebook.