Appendix I - Northumberland County

Adam McCue 1111260067-200-290County of Northumberland June 1, 2012Two recent studies, including one in Toronto (Lim and Missios, 2003), indicate that larger landfills have greateradverse effects on property values than smaller ones. Ready (2005) found that landfills that accept largevolumes of waste (≥ 500 tonnes per day) decreased property values by 12.9% adjacent to the landfill, with thiseffect diminishing within about 3 km of the landfill. Lower volume landfills (< 500 tonnes per day) had little effecton adjacent property values (approximately 2.5%), with about one-quarter of these landfills having no effect onproperty values. It should be noted for comparison that the Brighton Landfill receives about 70 tonnes per day.It is thought that larger landfills that are more visible or prominent in the landscape have a greater effect onproperty values.Other studies have also reported mixed results. Reichart et al. (1991) found that landfills located close toexpensive housing areas could affect property values by up to 5.5 – 7.3%. In less expensive, olderneighbourhoods the drop in property values was approximately 3 – 4% adjacent to the landfill. No effect onresidential property values was found in rural areas. This study included a homeowner survey, which indicatedthat odour and visual effects were the most common nuisance-related issues potentially affecting propertyvalues. This study also found a strong correlation between nuisance effects and perceived health effects,meaning that residents’ awareness of the landfill through odour and visual effects, for example, generate theperception that the landfill is a human health risk, potentially causing property value effects.Other studies have noted that successful residential developments in North America have been built adjacent tolandfills, and that landfills create jobs, generate tax revenue, and provide reliable solid waste disposal service,thereby possibly increasing property values over the scale of an entire community.CONCLUSIONProperty values have been identified as one of the important issues among some residents near the BrightonLandfill. From studies of other landfills, which show mixed results, effects on property values must be studied ona case-by-case. However, it is believed that properly engineered and maintained landfills, which do not createnuisance effects for nearby residents, may not have a significant effect on property values in the surroundingcommunity. Adverse property value effects may be counteracted by beneficial effects on revenue, employmentand continued service.In the case of the Brighton Landfill, it is unlikely that the proposed expansion will have a significant adverseeffect on property values. This is because the project includes some reengineering, including lining, and cappingwhen closed, making it less of an environmental or human health risk than it may be at present, and nuisanceeffects such as odour and visual effects will be mitigated. An independent appraiser hired by the County hasverified the conclusion that the proposed expansion of the landfill within its existing site will not likely have anyeffect on property values.GOLDER ASSOCIATES LTD.Peter Brown, M.Sc.Cultural Sciences Group LeaderJ.E. (Ted) O'Neill, B.Sc.Project ManagerPJFB/JEO/SSL/kf\\ott1-s-filesrv1\data\active\2011\1126-e~1\112aa9~1\0900-e~1\0990-d~1\second~1\appi-p~1\property values memo 1june2012 (pb).docx2/3

Adam McCue 1111260067-200-290County of Northumberland June 1, 2012REFERENCESBouvier, R.A., J.M. Halstad, K.S. Conway and A. B. Manolo. 2000. The Effect of Landfills on Rural ResidentialProperty Values: Some Empirical Evidence. The Journal of Regional Analysis and Policy (2000) 30:2.Farber, Stephen. 1998. Undesirable Facilities and Property Values: a Summary of Empirical Studies. EcologicalEconomics, v.24.Lim, J.S., P. Missios. 2003. Does Size Really Matter? Landfill Scale Impacts on Property Values. Unpublishedworking paper, Department of Economics, Ryerson University, Toronto.Ready, Richard. 2005. Do Landfills Always Depress Nearby Property Values? Rural Development PaperNo. 27. The Northeast Regional Center for Rural Development.Reichart, A.K., M. Small, S. Mohanty. 1991. The Impact of Landfills on Residential Property Values. The Journalof Real Estate Research, vol. 7, no. 3.3/3

A NARRATIVE ANALYSISOFTHE POTENTIAL IMPACTOF THE PROPOSED LANDFILL EXPANSIONON PROPERTY VALUES NEAR ORADJACENT TO THE SITELOCATED ATMUNICIPALITY OF BRIGHTON,ONTARIOPREPARED BYBAAYEN REAL ESTATE APPRAISERSREAL ESTATE APPRAISERS & CONSULTANTS

Baayen Real Estate Appraisersreal estate appraisers & consultantsAffiliate Offices in Whitby, Peterborough, Cobourg603 Centre Street South Telephone: (905) 718-9493Whitby, Ontario, L1N 4W6 Fax: (416)-987-1271E-mail: friederike@baayen.comWebsite: www.baayen.comJanuary 5, 2012Adam McCueManager of WasteTechnical Support & CommunicationsCounty of Northumberland555 Court House RoadCobourg, ON, K9A 5J6Dear Adam,Re: A narrative analysis of the potential impact of the proposed landfill expansion on rural propertieslocated in the Municipality of Brighton, OntarioOur File #7912We have the pleasure of enclosing our analysis of potential impact of the landfill expansion onproperty values near or adjacent to the site, prepared according to your instructions. The propertyrights evaluated are those of the fee simple estate, subject to tenants’ interests. The effective date ofthis appraisal is December 5, 2011.It is our opinion that, having analysed sales of hobby farms in the general area, there is no identifiableor measurable impact on the land value of those sites near or adjacent to the subject.* It must be noted that the above opinion is considered valid only if all assumptions contained withinthis analysis are correct. This opinion is based on the most recent known sales uncovered through ourresearch and may not reflect changes in values derived from future sales that may be impacted bychanging economic conditions.The following report contains the date, analysis, and conclusions upon which this research is based.This analysis is subject to copyrights as shown in the attached contingent and limiting conditions.Acceptance of this analysis signifies agreement with these contingent and limiting conditions. Under“Scope of the Work” we have listed the functions carried out in our research.In the event that a whole or a part of the report is disseminated, photocopied and/or used, shown ordelivered to any other persons, the client hereby agrees to indemnify the appraiser against any claimor judgement that may arise from the foregoing action.The client’s name and all information received from the client will be kept strictly confidential and willnot be disclosed to anyone without the client’s written consent.It is understood that the reader or anyone relying on this report must read the report in its entiretyto clearly understand all underlying assumptions with regard to the opinion arrived at in thisreport.As of the date of this report, I, Friederike Baayen, AACI, have completed the requirements under thecontinuing education program of the Appraisal Institute.Yours truly,Baayen Real Estate AppraisersPer: Friederike Baayen, AACI, P.App.

4TABLE OF CONTENTSPAGEContingent and limiting conditions 5Data summary and value conclusion 7Purpose and function of the report 8Definition of market value 8Scope of the appraisal 9Extraordinary limiting conditions 10Identification of the property 10Neighbourhood analysis 11Site description 11Environmental analysis 11Analysis 12Addenda 15-Site Maps 16-Zoning Map 19Certificate 20Qualifications of the appraiser 21____________________________Baayen Real Estate Appraisers

5CONTINGENT AND LIMITING CONDITIONSThis analysis is made subject to the following contingencies and assumptions:• The data and statistical information contained herein were gathered from reliable sources andare believed to be correct; however, these data are not guaranteed for accuracy.• All maps and sketches in this report were included to assist the reader to visualize theproperty. We have not made a survey of the subject or the comparables.• No responsibility is assumed for matters legal in nature.• It is assumed that the property rights appraised herein exclude mineral rights, if any exist.• It is assumed that all real estate complies in all material respects with all restrictive covenantsaffecting the site and has been built or improved, in all material respects, in compliance withall requirements of law, including all zoning, land classification, building, planning, fire andhealth by-laws, rules, regulations, orders and codes of all federal, provincial, regional andmunicipal governmental authorities having jurisdiction thereto. The same applies to allforthcoming or future expansion and/or changes of the site.• Changes in economic conditions, or expectations of future changes in economic conditions,either locally or nationally, may change the estimated value of typical hobby farm as reportedherein.• This analysis is to be used in whole, not in part.• All rights reserved. The use of any part of this report reproduced, transmitted in any form or byany means, electronic, mechanical, photocopying, recording or otherwise, or stored in a retrievalsystem, without the prior consent of the author, is an infringement of the copyright law and isforbidden.• Neither all nor any part of the contents of this report, or copy thereof, shall be conveyed by anyparty or person, including the client, to the public through advertising, public relations, news orother media, without the written consent and approval of the appraiser, particularly as to valueconclusions, the identity of the appraiser, or a firm with which they were connected, or anyreference to any designations conferred upon the appraiser.• This report or any part thereof shall not be quoted from nor referred to in any report or financialstatement of the applicant nor in any documents filed with any government agency or otherperson without the prior written consent and approval of the appraiser.• In the event that a whole or a part of the report is disseminated, photocopied and/or used,shown or delivered to any other persons, the applicant hereby agrees to indemnify the appraiseragainst any claim or judgement that may arise from the foregoing action.____________________________Baayen Real Estate Appraisers

6CONTINGENT AND LIMITING CONDITIONS: (CONTINUED)• The only party who may rely on the opinions expressed in this report is the client. This reportassumes that only the addressee will rely upon it, and only for the intended use stated herein.No one else may rely on this report without the written consent of the appraiser, which we maynot provide retroactively. We expressly deny any legal liability for unauthorized reliance and forany other use.• The fee received for this appraisal report does not include any appearances in court. Iftestimony in court is required, a separate fee will be charged.____________________________Baayen Real Estate Appraisers

7DATA SUMMARYLOCATION OF PROPERTY:The Municipality of Brighton, OntarioTYPE OF DEVELOPMENT:Landfill SiteLEGAL DESCRIPTION: Part of Lots 31 & 32, Concession 2,Municipality of BrightonSIZE OF LAND:22.8 HectaresSIZE OF IMPROVEMENTS:Approved land filling of 13.4 hectares (33.1acres)ZONING CLASSIFICATIONS:Future DevelopmentOFFICIAL PLAN:Waste DisposalEFFECTIVE DATE OF ANALYSIS: December 5, 2011____________________________Baayen Real Estate Appraisers

8PURPOSE AND FUNCTION OF THIS ANALYSISThe purpose of this report is to analyse the potential impact of the proposed landfill expansion onproperty values near or adjacent to the Brighton Landfill site. The report is prepared for Mr. AdamMcCue of the County of Northumberland.The client’s name and all information received from the client will be kept strictly confidential and willnot be disclosed to anyone without the client’s written consent.DEFINITION OF MARKET VALUEMarket value is defined as:"The most probable price which a property should bring in a competitive and open marketunder all conditions requisite to a fair sale, the buyer and the seller each acting prudentlyand knowledgeably, and assuming the price is not affected by undue stimulus."Implicit in this definition is the consummation of a sale as of a specified date and the passing of titlefrom seller to buyer under conditions whereby:1. Buyer and seller are typically motivated;2. Both parties are well informed or well advised, and acting in what they consider theirbest interests;3. A reasonable time is allowed for exposure in the open market;4. Payment is made in terms of cash in Canadian dollars or in terms of financialarrangements comparable thereto;5. The price represents the normal consideration for the property sold unaffected by specialor creative financing or sales consideration granted by anyone associated with the sale.In this report, we have not established market value of the subject, rather weanalysed several sales of hobby farms to understand the typical value of theproperties near or adjacent to the subject.____________________________Baayen Real Estate Appraisers

9SCOPE OF THIS ANALYSISScope Of This AppraisalThe type of report chosen by the client is a analysis containing summaries of market data andanalyses; supporting data is kept in the appraiser's file. This type of report conforms with CanadianStandards of Professional Appraisal Practice regulations by invoking the extraordinary limitingconditions as allowed in the regulations, as long as the resultant report is not misleading, a majorerror of omission or commission is not made, and the report is free from a series of errors thatindividually would not affect the value but in aggregate could affect the final value. In undertakingour research into the subject and the local market, the following specific functions were carried out:1. We received our instructions from Mr. Adam McCue of the County of Northumberland.Information regarding the subject zoning and official plan was obtained from the localmunicipality. Sources of market evidence included local and other Real Estate Boards,MPAC, real estate agents, other appraisers active in the area, and our office files.2. We did not complete technical investigations such as:- Inspections or engineering review of the structure, roof or mechanical systems;- Technical review of the utility servicing;- Investigations into the bearing, percolation or other qualities of the soils;- An archaeological survey;- An environmental review of the subject property;- A site or building survey;- Audits of financial and legal arrangements.3. The time and cost to confirm third party information can exceed a reasonable appraisalbudget. Consequently, the analysis set forth in the report relied upon the written andverbal information obtained from primary and hearsay sources, some of which we did notconfirm. Except as described herein, we did not verify client-supplied information, whichwe assume to be correct. Anyone wishing to rely on this report should confirmwith its author the source of any important information herein, and theassumptions that underlie an significant conclusion.____________________________Baayen Real Estate Appraisers

10EXTRAORDINARY LIMITING CONDITIONSDue to the nature of the report required by the client, the following will not be considered:* A Cost Approach to Value, Income Approach to Value or Direct Comparison Approach* A title searchIDENTIFICATION OF THE PROPERTYA. Legal Description:The landfill site is legally described as Part of Lots 31 & 32, Concession 2, Municipality ofBrighton, County of Northumberland.B. Ownership of Property and Sales History of Property:The property is owned by the County of Northumberland.D. Encumbrances, Restrictions, Easements, etc.None uncovered.____________________________Baayen Real Estate Appraisers

11LOCATION & NEIGHBOURHOOD ANALYSISThe subject property is located in the Municipality of Brighton, Ontario. It is situated in a rural area onthe west side County Road 26 and north of Highway 401.The Municipality of Brighton is located approximately 156 km east of Toronto and 394km west ofMontreal. Highway 401, Ontario’s major east/west transportation corridor, intersects the municipality.The most 2006 census numbers indicate the population as 10,253.It is a popular tourist destination known for fishing, Presqu’ile Park on Lake Ontario, Bed andBreakfasts and bird watching areas.Employers in the municipality include Kawartha Pine Ridge District School Board, Sobeys, No Frills,Agrium Advanced Technologies (Nu-Gro Ltd), Archer’s Poultry Farms, Municipality of Brighton,Dresser Wayne Canada, Al Vanderlaan Building Supplies, Cole’s Building Supplies and ElementalEmbrace.Most urban amenities, including shopping, schools and recreational facilities are located in the generalsubject neighbourhood. Nearby hospitals are located in Cobourg, Campbellford, Belleville andTrenton.SITE DESCRIPTIONThe subject site measures 22.8 hectares in total with 13.4 hectares approved for landfill. It has beenoperating as a landfill site since 1975. The proposed expansion would extend the life of the site fromthe year 2016 to 2023. Should the proposed expansion not proceed the landfill would run out ofcapacity in 2016 and then operate as a waste transfer station.ENVIRONMENTAL ANALYSISWe are not experts in environmental analysis and if there is any doubt, an environmental audit shouldbe taken.____________________________Baayen Real Estate Appraisers

12ANALYSISThe subject’s neighbourhood consists of rural hobby-type farm properties. The following analysisoffers an indication of the value of the typical hobby farm in the Municipality of Brighton during thelast four year period.SALES OF HOBBY TYPE FARMSIN THE MUNICIPALITY OF BRIGHTONWe searched the local market for MLS sales over the past 4 years of hobby type farm properties withvarying land sizes and found a number of sales in the general area and two near the landfill site asshown as follows:Address Date Price1 County Road #27Brighton Twp., Ont.2 County Road#29Brighton Twp., Ont.3 County Road #27Brighton Twp., Ont.4 County Road#29Brighton Twp., Ont.5 County Road #26Brighton Twp., Ont.6 Whites RoadBrighton Twp. Ont.7 Rush RoadBrighton Twp., Ont.8 Scriver RoadBrighton Twp., Ont.9 County Road #26Brighton Twp, Ont.10 County Road #26Brighton Twp., Ont.11* County Road #26Brighton Twp., Ont.12* County Road #26Brighton Twp., Ont.13* County Road #26Brighton Twp., Ont.$Landsize/AcreEst. BldgSize(Sq Ft)Est.Bldg.Age% ofListingTimeListed(Days)Aug/11 390,000 73 1,530 26-30 98 22Jun/11 187,000 2.07 Est.2000 115 96 41Jun/11 155,000 5.56 Est.1,400 51-60 94 102Apr/10 280,000 19.36 est.2,500 100+ 83 784Jul/10 216,000 7.775 2,750 45-160 98 76Jul/10 255,000 46 1,500 25-110 101 47Jan/10 255,000 100 2,732 12 103 5Oct/09 350,000 47.66 1,398 4 95 94May/09 144,500 1.7 1,160 35-50 93 227Mar/08 244,000 21.89 1,409 16- 77 100 17Nov/10 248,000 3.09 2,492 21 n/a n/aSep/10 290,000 1.3 1,465 8 n/a n/aJul/09 220,000 0.7 1,398 21 n/a n/a____________________________Baayen Real Estate Appraisers

13*These sales were not listed on the local Real Estate Boards and appear to be private sales.Information about these sales was obtained through MPAC.The ten MLS sales of typical hobby farms plus the three private residential sales in the Municipality ofBrighton range in price from $144,000 to $390,000 with an average price of $249,000. Whencomparing the sales we find many variables that may affect the individual sale price. The variablescould include the time adjustment of sale, location, land size, building age/size, quality and theoriginal listing price. All of the items are shown in the above sales list except for sales #11 to #13.We have the following comments on these items:Time Adjustment:Seven sales occurred in the last two years and prices have not changed very much. The older salestook place in the recession of 2008 and 2009 and there is little evidence that prices changed.Location:This is usually one of the more important factors in the sale price. Sales #5, #9 and #11 to #13 arelocated near the landfill site and there, normally, values are reduced. However, the existence of thelandfill site dates back to 1975 and its negative effect or stigma has already been reflected in theirvalues.Most other sales are scattered throughout the Municipality with some in inferior (remote) locationwhereas other are near urban amenities and have a superior location.Land size:Seven of the sales show small size parcels of land under 10 acres and those are typically consideredbuilding lots. Three of the sales show prices under $200,000 with four over $200,000. The other saleshave parcels ranging from 20 to 100 acres.Building size and age:There are only three relatively newer houses under 12 years old on the list, whereas most otherhouses are 50 to 100+ as their basic structure, with some recent additions. The quality variessignificantly between the sales. From the listing information it is appears three are upgraded, one isrenovated and the remaining sales appear fair to average.Sales #9 and # 10 give an indication of the price reduction from the original listing price and the saleprice. All of them are less than 10% except sale #4 which had a listing time of more than 2 years.Most of the other sales are under 100 days and that appears typical in the general market.____________________________Baayen Real Estate Appraisers

14CONCLUSION:The above analysis of most of the hobby type properties in the Municipality of Brighton does notindicate major price changes other than adjustments for obvious reasons such as location size ofimprovements and land. The general sale price range of neighbouring properties the in Township ofCramahe appears slightly higher, between $200,000 and $300,000, whereas in the Municipality ofBrighton the range is from $150,000 to $250,000.After considering that the landfill site has been in place since 1975 and any impact on property valuesnear the site has been reflected, and that private sales are typically not exposed to the larger openmarket, we conclude that the proposed expansion of the landfill site within its existing borders andbuffer zones will not likely have any affect on property values.____________________________Baayen Real Estate Appraisers

15ADDENDA____________________________Baayen Real Estate Appraisers

16SITE MAP____________________________Baayen Real Estate Appraisers

17SITE MAP____________________________Baayen Real Estate Appraisers

18SITE MAP____________________________Baayen Real Estate Appraisers

19ZONING MAP____________________________Baayen Real Estate Appraisers

20CERTIFICATIONWe certify that:1. There is no undisclosed interest in the subject property, the object of this appraisal, past,present or contemplated;2. All known factors affecting the value of the property were considered;3. To the best of the appraiser's knowledge, the information reported is true and factual and hasbeen verified where possible;4. The employment and compensation for rendering the opinion in this report are not contingent onthe value found or upon anything else other than the delivery of this report for thepredetermined fee;5. This report is subject only to the assumptions and limiting conditions listed in the report, andthat the report identifies all of the limiting conditions (whether imposed by the terms of theassignment or by the appraiser);6. The appraisal has been made and the report rendered strictly in accordance with the ProfessionalStandards and the Code of Ethics of the Appraisal Institute of Canada and the Society of RealEstate Appraisers, and that the value estimate contained herein is held in confidence with theclient;7. The effective date of the appraisal is December 5, 2011.January 5, 2012Baayen Real Estate AppraisersPer: Friederike Baayen, AACI, P.App.____________________________Baayen Real Estate Appraisers

21QUALIFICATIONS, MEMBERSHIPS, ETC.ofFRIEDERIKE BAAYEN- Accredited Appraiser - Appraisal Institute of Canada, AACI designation- Combined 10 years residential and ICI appraisal experience- Bachelor of Arts, University of Toronto- Member of Oshawa-Durham Chapter of Appraisers- Past board member of Perry House Child Care Services- Past member and Co-VP of CAPIA, Canadian Association of Petroleum InvestmentAnalysts- Past work in Institutional Sales, Oil & Gas Research and former Investment Advisor withMacDougall MacDougall & MacTier Inc.____________________________Baayen Real Estate Appraisers