The federal government is still paying millions of dollars to a B.C. real estate developer as part of a settlement over land riddled with unexploded landmines.
But as the payouts near their end, a subdivision proposed for the land could be inching closer to becoming a reality.
READ MORE: Feds (again) pay millions to B.C. developers over unexploded mines
According to public accounts tabled in Parliament last week, the Department of National Defence has paid another $2.2 million to K&L Land Partnership as part of an ongoing legal settlement reached after the developer claimed in court that the department was negligent in failing to warn the developers about unexploded bombs left over from a Second World War training camp once based on the land.
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A 2016 settlement saw the government agree to pay out $11 million to the developer to avoid going to trial.
In 2017, the government public accounts listed a payment of $4.4 million to the developer, but officials declined to say what it was for, citing a confidentiality agreement.
In October 2018, the government again listed a payment of $2.2 million to the developer.
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This year, officials were finally able to say why the payments continue.
“The agreement was that the Crown would pay half the settlement up front and then up to 20 interim payments equal to 1/20th of the remaining settlement as the lands were cleared of UXO (unexploded ordinance),” said Daniel Le Bouthillier, spokesperson for the Department of National Defence.
“To date, 17 such payments have been made, and it is anticipated that the rest will be paid out this fiscal year.”
However, it remains possible that the payments could take longer to be completed.
“Strictly speaking, there is no fixed number of years remaining for the payments,” he said.
K&L Land Partnership is an entity made up of 11 numbered companies and was formed in 2005 to handle the $15-million purchase of 1,349 undeveloped acres on Lake Kalamalka, located near Vernon, B.C.
Those numbered companies are owned by several stakeholders, among them the Aquilini family.
The Aquilinis control one of the province’s biggest developers through the Aquilini Investment Group.
They also own the Vancouver Canucks.
The near-completion of the settlement payments, which are tied to the removal of the unexploded mines, means the developer is inching closer to being able to actually build on the land.
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Court documents filed in 2013 said the plan for the land was to “develop a residential subdivision, with appropriate amenities, for sale to members of the public.”
Local media reports have described the zoning application as proposing to build 54 single-family homes.
K&L Land Partnership claimed in court documents that while they had been told by the department in 2007 that there were past cases of unexploded mines in the Vernon area, they were not told that risk specifically applied to their land until 2011.
The reason for the unexploded mines is an old military training camp that used to operate in the area.
Soldiers heading off to the Second World War were trained in the use of grenades, mortars and tank and anti-tank rounds at the camp starting in 1941.
In 1949, the training camp was converted into a cadet camp and remains so today.
There have been several cases of injuries and deaths related to the unexploded mines since the training camp closed down.
No one has died since 1973.
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