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HomeMy WebLinkAboutPSD-091-06 Cl~!il1glOn REPORT PLANNING SERVICES Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: Tuesday, September 5, 2006 Report #: PSD-091-06 File #: PLN 33.4 -l~(, /il I By-law #: o<UV GPA - 3el('~O(, Subject: AMENDMENT TO LEGAL AGREEMENT REGARDING THE PORT HOPE PROJECT RECOMMENDATIONS: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report PSD-091-06 be received; 2. THAT the Agreement to amend the Agreement between the Corporation of the Municipality of Port Hope, the Corporation of the Municipality of Clarington, and her Majesty the Queen in Right of Canada as represented by the Minister of Natural Resources be APPROVED; 3. THAT the By-law attached to this Report authorizing the Mayor and Clerk to sign the Agreement to amend the Legal Agreement for the Port Hope Area Initiative, be ADOPTED; and 4. THAT a copy of this report, Council's decision, and the signed By-law be forwarded to Natural Resources Canada and the Municipality of Port Hope. Submitted by: Davi . Crome, M.C.I.P., R.P.P. Director of Planning Services Reviewed bye-) ~~ 04- Franklin Wu, Chief Administrative Officer JAS/FLlDJC/df 27 July 2006 CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T (905)623-3379 F (905)623-0830 REPORT NO.: PSD-091-06 PAGE 2 1.0 BACKGROUND AND PURPOSE OF REPORT 1.1 The Legal Agreement that forms the basis of the Port Hope Area Initiative, which came into effect on March 29, 2001, was signed by the Municipality of Clarington, the Town of Port Hope, and the Township of Hope. The Agreement was based on the construction of long term storage facilities in each of the municipalities for the low level radioactive waste located within their respective boundaries. A preferred option for the long term storage of a municipality's waste that involves moving the waste to either of the other two municipalities requires an amendment to the Agreement. 1.2 On January 1, 2001, the Township of Hope and the Town of Port Hope amalgamated and became the Municipality of Port Hope. 1.3 As a result of the environmental assessment undertaken for the former Hope Township and former Town of Port Hope facilities (collectively identified as the Port Hope Project), the Low Level Radioactive Waste Management Office recommended to Port Hope Council that the wastes from the two municipalities be consolidated at one long term storage facility to be located at the existing Welcome site in the former Hope Township. In April 2005, Port Hope Council agreed to the submission of this option for federal review. Clarington Council also provided its consent to the submission of the consolidated option in March 2005. 1.4 The original Legal Agreement must be amended in order for the Port Hope Project to proceed with one storage facility for the wastes from the two former municipalities. Port Hope Council approved the amendment (Amendment No.2) to the Legal Agreement on July 18, 2006. Amendment No.1, which dealt with the administration of the Host Community Fee for the former Hope Township, was approved in late 2003. 1.5 The purpose of this report is to obtain Council's approval of Amendment No. 2 to the Legal Agreement for the Port Hope Area Initiative. 2.0 OVERVIEW OF AMENDMENT 2.1 The effect of Amendment NO.2 is to replace all references in the Legal Agreement to separate long term storage facilities in Hope Township and the Town of Port Hope with one facility known as the "New Port Hope Waste Management Facility". Parts A and B of Schedule 1 are also being replaced with new Parts A and B, which has the effect of deleting the reference to the proposed facility in the former Hope Township, and inserting a description of the new conceptual design for the Port Hope Project. This concept involves the construction of a single waste containment mound for all of the wastes from the new Municipality of Port Hope at the existing Welcome Waste Management Facility. 2.2 The description of the Clarington (Port Granby) Project is also included in Part B of Schedule 1. However, the description of the Port Granby Project remains unchanged from that found in the original amendment, with one minor exception. Under the sub-title "Administrative Costs", the date from which Canada agrees to reimburse Clarington for reasonable future administrative and legal expenses has been changed from "the date of REPORT NO.: PSD-091-06 PAGE 3 the signing of the Project" to "March 29, 2001, the date Canada signed the Agreement." The effect of this change is only to clarify the effective date of federal reimbursement of costs. 3.0 CONCLUSIONS 3.1 The amending agreement will also be signed by Natural Resources Canada. Once the Legal Agreement has been amended, the Port Hope Project can continue through with the federal review and subsequent licensing by the Canadian Nuclear Safety Commission. 3.2 It is important to note that, although the description of the Port Granby Project in the Legal Agreement does not reflect the Preferred Option approved by Council in June 2006, the Legal Agreement does not need to be amended to allow the Port Granby Project to continue through to federal review and licensing by the Canadian Nuclear Safety Commission. The Municipality's solicitor has advised that the Legal Agreement "commits the parties to the Environmental Assessment and Regulatory Review processes rather than to the Base Case as a specific project. . . ". In this regard, the in- situ management option described in the Legal Agreement is intended to form the starting point for the federal EA process. Attachments: Attachment 1 - By-law Authorizing Signing of Amending Agreement List of interested parties to be advised of Council's decision: Ms. Sharon Baillie-Malo Mr. Glenn Case Mr. Carl Cannon Mr. Sanford Haskill Attachment 1 To Report PSD-091-06_ CORPORATION OF THE MUNICIPALITY OF CLARINGTON BY-LAW NO. 2006 - being a by-law to enter into an amending agreement between the Corporation of the Municipality of Clarington (Clarington), the Corporation of the Municipality of Port Hope (Port Hope), and Her Majesty the Queen in Right of Canada as represented by the Minister of Natural Resources (Canada). WHEREAS the Agreement for the cleanup and long-term safe management of low-level radioactive waste between Clarington, Port Hope, and Canada (Legal Agreement) must be amended in order for the Port Hope Project to proceed; AND WHEREAS Port Hope Council approved the necessary amendment, being Amendment No.2, to the Legal Agreement, on July 18'h, 2006; AND WHEREAS the terms of Amendment NO.2 to the Legal Agreement are attached hereto as Appendix "A"; NOW THEREFORE BE IT RESOLVED THAT the Council of the Corporation of the Municipality of Clarington enacts as follows: 1. THAT the Agreement to amend the Legal Agreement between Clarington, Port Hope, and Canada, being Amendment NO.2 and attached hereto as Appendix "A", is hereby approved; and 2. THAT the Mayor and Clerk be hereby authorized and directed to sign the said amending Agreement and any related documentation to carry out the purpose of this by-law. BY-LAW read a first time this day of 2006 BY-LAW read a second time this day of 2006 BY-LAW read a third time and finally passed this day of 2006 John Mutton, Mayor Patti L. Barrie, Municipal Clerk June 27, 2006 DRAFT AMENDMENT #2 TO AN AGREEMENT FOR THE CLEANUP AND THE LONG-TERM SAFE MANAGEMENT OF LOW-LEVEL RADIOACTIVE WASTE SITUATE IN THE TOWN OF PORT HOPE, THE TOWNSHIP OF HOPE and THE MUNICIPALITY OF CLARINGTON AMONG THE CORPORATION OF THE MUNICIPALITY OF PORT HOPE, A Municipal corporation pursuant to the Ontario Municipal Act (hereinafter referred to as the "Municipality of Port Hope") OF THE FIRST PART THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON, A Municipal corporation pursuant to the Ontario Municipal Act (hereinafter referred to as the "Municipality of Clarington") OF THE SECOND PART AND HER MAJESTY THE QUEEN IN RIGHT OF CANADA as represented by the Minister of Natural Resources (hereinafter referred to as "Canada") OF THE THIRD PART WHEREAS the Municipality of Port Hope, the Municipality of Clarington, and the former Corporation of the Township of Hope entered into An Agreement for the Cleanup and the Long-Term Safe Management of Low-Level Radioactive Waste Situate in the Town of Port Hope, the Township of Hope, and the Municipality of Clarington on March 29, 2001 (hereinafter referred to as the "Original Agreement"); AND WHEREAS, as a result of municipal restructuring in the Province of Ontario, effective January 1, 2001, the Corporation of the Township of Hope and the Corporation of the Town of Port Hope became the Municipality of Port Hope; AND WHEREAS the parties amended the Original Agreement on October 7, 2003; AND WHEREAS in the context of an environmental assessment of the long-term management of low-level radioactive wastes in the Municipality of Port Hope, an assessment of alternative means of carrying out the project has resulted in the recommendation that wastes in the former Township of Hope and Town of Port Hope be consolidated at one site within the Municipality of Port Hope, AND WHEREAS the Municipality of Port Hope, by resolution NO. 91/2005, provided written consent, as set out in Section 4.1.3 of the agreement, for the recommended consolidation option to be submitted for federal review, AND WHEREAS the consolidation requires amendment to the Original Agreement as set out in Section 4.1.4 of the agreement; NOW, THEREFORE, in consideration of the mutual covenants contained herein, the Municipality of Port Hope, the Municipality of Clarington, and Canada agree to amend the Original Agreement as follows: 1. Section 1.1 of the Original Agreement is amended as follows: In the definitions of "Element", "Facility" and "Low-Level Radioactive Waste Management Project", the references to "New Welcome Waste Management Facility" and "New Town of Port Hope Waste Management Facility" are replaced with "New Port Hope Waste Management Facility" in each definition. The definitions of "New Welcome Waste Management Facility" and "New Town of Port Hope Waste Management Facility" are revoked and replaced with the following definition: "New Port Hope Waste Management Facility" means the activities and structure contemplated in the "Description of the Preferred Option", attached as Schedule B to the Municipality of Port Hope Resolution NO. 91/2005, dated April 19, 2005." 2. Section 1.17 of the Original Agreement is amended by revising the Schedule 3 title to read "Property for the New Port Hope Waste Management Facility". 3. Section 3.1.1 of the Original Agreement is amended by replacing the references to "New Welcome Waste Management Facility" and "New Town of Port Hope Waste Management Facility" with the single reference to the "New Port Hope Waste Management Facility". 4. Section 6.1 of the Original Agreement is revoked. 5. Sections 6.2 and 6.3 of the Original Agreement are amended by replacing any references to "New Welcome Waste Management Facility" with "New Port Hope Waste Management Facility", and revoking Section 6.3.1 c). 6. Schedule 1 Part A and B of the Original Agreement is replaced with Schedule 1 Part A and B attached hereto. 7. Schedule 3 of the Original Agreement is replaced with Schedule 3 attached hereto. 8. Schedule 8 (as amended October 7, 2003) is amended by replacing any references to "New Hope Township Waste Management Facility' with "New Port Hope Waste Management Facility". IN WITNESS WHEREOF this Amendment has been executed on behalf of the Municipality of Port Hope, the Municipality of Clarington, and Canada by duly authorized representatives. The Municipality of Port Hope per: Rick Austin, Mayor Frances Aird, Clerk/Deputy CAO March _' 2006 The Municipality of Clarington per: John Mutton, Mayor Patti Barrie, Municipal Clerk March _' 2006 Her Majesty the Queen in Right of Canada per: 'TBD March _, 2006 A2-2 SCHEDULE 1 PART A Description of the Low-Level Radioactive Waste Management Project The Project includes all work necessary and incidental to the achievement of the following: (a) the completion of all socio-economic, engineering and environmental research necessary to acquisition of an approval, permit, licence or other such authorization or the reaching of a required determination under applicable federai or provincial legislation; (b) the submission of the design of each Facility and the process for carrying out the Elements of the Project within the community in order to comply with the environmental assessment requirements; (c) the finalization of the design of the New Port Hope Waste Management Facility and the New Port Granby Waste Management Facility, and the process for carrying out the Project in order to comply with the regulatory requirements; (d) the submission of each finalized design of each new Facility and the process for carrying out the Elements of the Project within the community for applicable regulatory approvals; (e) the acquisition of all properties necessary for the construction and operation of the new Facilities; (f) the operation of the Welcome Waste Management Facility and the Port Granby Waste Management Facility following Canada's acquisition thereof; (g) the construction and subsequent operation of the new Facilities; (h) the Cleanup of Historic Low-Level Radioactive Waste at the sites in the former Town of Port Hope as identified in the Port Hope LLRW Management Policy Review Committee's Report titled Report on Conceptualization of Low-Level Radioactive Waste Storage Facility Designs in the Town of Port Hope, dated March 1999 and the relocation of the Historic Low-Level Radioactive Waste to the New Port Hope Waste Management Facility; (i) the acceptance of the Cameco Decommissioning Waste at the New Port Hope Waste Management Facility; A2-3 0) the Cleanup of Industrial Waste at the sites in the former Town of Port Hope as hereinafter identified; and, (k) the completion of all surface remedial work and landscaping associated with the completion of the construction of the new Facilities. PART B Without limiting the generality of the above description, the Project includes all work necessary and incidental to the achievement of the components set out below. Municipalitv of Port Hope The construction of the New Port Hope Waste Management Facility. Location: the Facility will be located just south of Highway 401 and west of Baulch Road at the site of the current Welcome Waste Management Facility. Materials to be accommodated: the Facility will have a capacity of approximately 1.9 million cubic meters of Low- Level Radioactive Waste and non-radioactive Industrial Waste, consisting of three categories presently situated in the Municipality of Port Hope: 1. Historic Low-Level Radioactive Waste - This type of Low-Level Radioactive Waste comprises approximately 577,500 cubic metres of material situated at licensed sites in the former Town of Port Hope operated by the Low-Level Radioactive Waste Management Office, at major sites, including those identified on the table following, and at small- scale unlicensed sites. A2-4 MAJOR KNOWN SITES OF HISTORIC LOW-LEVEL RADIOACTIVE WASTE IN PORT HOPE PORT HOPE HARBOUR ALEXANDER RAVINE HIGHLAND DRIVE LANDFILL HIGHLAND DRIVE SOUTH RAVINE PINE STREET N. CONSOLIDATION PINE STREET N. STORAGE SITE" SITE" MILL STREET SOUTH WATERWORKS SITE PINE STREET N. ROADWAY STRACHAN STREET CONSOLIDATION SITE" CN/CP VIADUCTS SITE SEWAGE TREATMENT PLANT TEMPORARY STORAGE SITE" HIGHLAND DRIVE ROADWAY JOHN STREET SOUTH SITE " these are temporary storage sites licenced by the CNSC. - in addition, the Facility will accommodate additional Historic Low-Level Radioactive Waste located in other sites within the former Town of Port Hope including those identified by past or future surveys performed by LLRWMO or the FOA. 2. Cameco Waste a) Cameco Decommissionino Waste - This type of Low-Level Radioactive Waste comprises Came co-owned materials in the former Town of Port Hope and includes an inventory of 3,822 cubic metres of Low-Level Radioactive Waste materials that have been in storage at the Cameco facility since prior to 1988 and materials that would result from the decommissioning of Cameco-owned and/or operated processing facilities and associated properties utilized by Eldorado in the former Town of Port Hope prior to 1988. This includes Low-Level Radioactive Waste at the main plant site at 1 Eldorado Place and the Dorset Street East warehousing facilities (117,000 cubic meters) and at the Centre Pier property (30,000 cubic meters). The estimated total volume is approximately 150,000 cubic meters. b) Cameco Waste - Welcome - Approximately 620,000 cubic metres of waste located at the Welcome Waste Management Facility. 3. Industrial Waste - This category includes non-radioactive materials that the former Town of Port Hope identified in its proposal to the government as wastes that it wants included in the Facility. The category consists of (i) waste material (including sludge) at a former wastewater lagoon site at Lake Street, (ii) dried sewage sludge currently stored in an engineered facility at the Lake Street Sewage Treatment Plant, (iii) wastes from a former coal gasification plant adjacent to John Street between Park and Alexander Streets and (iv) waste from the former Crane Sanitary Company located at the Center Pier and at the Lions Recreational Centre Park. The estimated volume from these four components is approximately 51,250 cubic metres. Conceptual desiQn: the conceptual design, originally described in a) the Final Report of the Port Hope LLRW Management Policy Review Committee entitled, Report on Conceptualization of Low-Level Radioactive Waste Storage Facility Designs in the Town of Port Hope, March 15, 1999 as Approach 3, and b) the Final Report of the Township of Hope Low-Level Radioactive Waste Ad Hoc Committee entitled, Report on Concept Design Options for a Low- Level Radioactive Waste Storage Mound at the Welcome Site, September 10,1998 as Conceptual Approach 1C, has been revised and now involves the consolidation of the waste at a single long-term waste management facility as described in Schedule B of the Municipality of Port Hope Resolution NO. 91/2005, dated April 19, 2005. the conceptual design involves: the construction of a waste containment mound that is partially below-grade with an appropriate liner and cover system to house all excavated Low-Level Radioactive Waste, marginally contaminated soils, and miscellaneous Industrial Waste the remediation of contaminated sites and the transfer of the contaminated material to the new waste management facility the integration of the waste at the Welcome Waste Management Facility into the new waste management facility final designs will be completed through the detailed engineering and technical studies which commenced at the signing of this Agreement Proiect costs: Canada agrees to payor absorb the Project costs, including: survey for contamination and, if required, cleanup and restoration of roadways, including infrastructure, and properties where there is reason to believe that Historic Low-Level Radioactive Waste may exist improvements to infrastructure required for the construction and operation of the Facility including: all reasonable capital costs related to road improvements, including extensions, widenings, replacements, and resurfacing of roads as a result of the development and operation of the site including transportation routes to or from the Facility; all reasonable capital costs related to providing or improving other services to the site including sewage, water, and lighting; development of the New Port Hope Waste Management Facility, in a manner consistent with the original conceptual designs, including post-closure recreational elements, the construction of which may be staged; and, establishing an ongoing communications program to fully-inform residents about the Project Additional cleanup of Port Hope Industrial Waste: Canada agrees to pay the costs of removal of certain Industrial Waste within the Municipality of Port Hope, as earlier described in Schedule 1, the transportation of those wastes to the New Port Hope Waste Management Facility, the restoration, the backfilling and landscaping of the site from which the wastes were removed Administrative costs: Canada agrees to reimburse to the Municipality of Port Hope, reasonable future administrative, legal, and external communications expenses incurred from March 29, 2001, the date Canada signed the Agreement, for the duration of the Project following the signing of the Agreement, Canada and the Municipality of Port Hope will establish a process whereby such administrative expenses will be identified, quantified, and paid Clarinaton The construction of the New Port Granby Waste Management Facility. Location: the Facility will be located at or approximate to the site of the Port Granby Low-Level Radioactive Waste Management Facility Materials to be accommodated: the Facility will accommodate approximately 500,000 cubic metres of Cameco Waste - Port Granby at the Port Granby Low-Level Radioactive Waste Management Facility, including approximately 100,000 cubic metres of calcium fluoride, neutralized raffinate and marginally contaminated soils and contaminated industrial trash from the East Gorge of the current site in addition, the Facility will accommodate any Historic Low-Level Radioactive Waste located within the Municipality of Clarington as identified by surveys to be performed by Canada. Conceptual desian: the conceptual design is described in the Final Report of the Port Granby Low-Level Radioactive Waste Advisory Committee entitled, Report on Conceptualization of On-Site Low-Level Radioactive Waste Storage Facility Designs for the Port Granby Waste Management Facility, June 28, 1999 as Concept Design S, Option 2 as endorsed by Clarington Council the conceptual design involves: the construction of a groundwater diversion trench and perimeter barrier wall on the eastern, northern, and western perimeters of the existing Port Granby Waste Management Facility; the construction of an on-site mound for roughly 100,000 cubic metres of material from the East Gorge of the current site; installation of an appropriate cover on the existing waste facility; bluff stabilization and the construction of a toe berm to retard further erosion final designs will be completed after the detailed engineering and technical studies which will commence at the signing of the Agreement Proiect costs: Canada agrees to payor absorb the Project costs, including: improvements to infrastructure required for the construction and operation of the new Facility including: all reasonable capital costs related to road improvements, including extensions, widenings, replacements, and resurfacing of roads required for the development and operation of the site; all reasonable capital costs related to providing or improving other services to the site including sewage, water, and lighting; survey and, if required, cleanup and restoration of roadways and properties where there is reason to believe that Historic Low-Level Radioactive Waste may exist; development of the re-engineered Facility as a site that is appropriate for natural heritage and passive recreational uses, including the Waterfront Trail; establishing an ongoing communications program to fully-inform residents about the Project Administrative costs: Canada agrees to reimburse to the Municipality of Clarington, reasonable future administrative and legal expenses incurred from March 29, 2001, the date Canada signed the Agreement, for the duration of the Project following the signing of the Agreement, Canada and the Municipality of Clarington will establish a process whereby such administrative expenses will be identified, quantified, and paid Other conditions: in the consideration of Concept Design Option 82 as an alternative in the environmental assessment process, Canada in consultation with the Municipality of Clarington will retain consultants to examine and prepare reports on, among other issues, the following: the concentration of thorium-230 in the wastes located in the East Gorge; groundwater flow through the East Gorge and contact with the wastes deposited in the middle till and lower sands area; potential impacts of shoreline erosion control measures on other shoreline properties in the area; and, a contingency plan for the relocation of the wastes, including marginally contaminated soil, in the event of system failure SCHEDULE 3 PROPERTY FOR THE NEW PORT HOPE WASTE MANAGEMENT FACILITY NOTE... THE AGREED MAP OF THE WASTE MANAGEMENT FACILITY WITH THE CORRECT SCHEDULE NUMBER AND TITLE WILL BE INSERTED IN PLACE OF THIS PAGE