McGregor Bay Association Statement on Fisher Harbour
August 2, 2009

The McGregor Bay Association [MBA] is deeply concerned that the proposed alterations to environmental protections contained in the original water lease of Alexander Center Industries [ACIL] at Fisher Harbour in McGregor Bay, Ontario have the potential to:

• Cause wide-ranging and irreparable environmental damage to the unique and fragile nature of the ecology which, among other things, has a geographically limited capacity to “flush” out contaminants;
  
  
• Violate the rights and interests of our neighbors in the Whitefish River First Nation, including their important sacred sites of Dreamer’s Rock, Bell Rock and burial grounds as well as ceremonies;
  
  
• Undercut the quality of life in McGregor Bay as well as the value of several hundred properties currently worth in the range of $50,000,000-$100,000,000.

Background
McGregor Bay borders Killarney Provincial Park, the “jewel” of the Ontario parks system, as well as Baie Finn [Baie Fine] and the Whitefish River First Nation. The appeal of its pristine lands and waters is responsible for a significant portion of the predominant local industry --tourism -- and the infrastructure and numerous businesses that support this industry. The community of McGregor Bay contributes to local employment to a significantly greater extent than ACIL’s Fisher Harbour facility.

While progress and diversification of the economy is highly desirable, no single commercial enterprise should be allowed to endanger this beautiful environment which is at the same time the primary economic foundation of the North, including the communities of Killarney, NEMI, Manitoulin Island, Espanola and others.

Problem
Past experience with ACIL and the Ministry of Natural Resources justifies very real concern about the ACIL request to expand the list of authorized commodities for Fisher Harbour shipment. For example, the original Fisher Harbour lease of 1975 listed seven commodities acceptable for shipment through the Harbour. Salt was not among these. Nevertheless, ACIL began shipping in large quantities of salt without approval or authorization. When this was reported to the Ministry of Natural Resources the MNR chose not to enforce the lease, allowing ACIL to continue shipping salt without sanction or penalty. This history, and the proposed expanded commodity list which is so nebulously worded that even heavy metals, insecticides, pesticides, industrial chemicals, and petroleum products are not excluded, makes the MNR-ACIL Fisher Harbour lease particularly problematic.

Resolution
We resolve that:

• The present procedures for exercising MNR’s leasing authority behind closed doors has not worked with respect to Fisher Harbour and is unacceptable;
  
  
• If the MNR-ACIL Fisher Harbour lease renewal process goes forward without our participation we will have no choice but to request a full Part II inquiry. However, the MBA believes it is in the best interest of all parties to come to a timely and efficient resolution of any issues and concerns by including representatives or designees of the MBA to responsibly participate in developing the wording of any lease, including the commodity list and specific enforcement clauses. The Whitefish River First Nation should have a seat on this Committee as well as the Bay of Islands Association if they so wish;
  
  
• In the event that a new lease is issued by MNR:

* The approved list of commodities must be based on the 1975 list;

* Substances that could be harmful to people, animals or the environment in the event of a spill must be banned;

* Enforcement provisions and government monitoring procedures must be specified with significant penalties delineated.

* It is in the best interests of the community of McGregor Bay that Fisher Harbour, ACIL, Fisher-Wavy and any others operating Fisher Harbour maintain and document an insurance policy, having a minimum face value of $100 million (adjusted for inflation), specifically covering the residents and property owners of McGregor Bay with respect to any medical harm, and/or loss of property, and/or loss of use of property resulting from the operation of Fisher Harbour.

Adopted by unanimous acclamation at McGregor Bay, Ontario this 2nd day of August 2009 at the annual General Membership Meeting of the McGregor Bay Association.