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HomeMy WebLinkAboutPSD-063-10~ar~~on REPORT Leadiag the Way PLANNING SERVICES Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: May 17, 2010 Resolution #: (I PR '3/0-/0 By-law #: a0/F')-(~y Report #: PSD-063-10 File #: PLN 34.3 Subject: PORT GRANBY PROJECT -NEW AGREEMENT WITH HARDY STEVENSON AND ASSOCIATES LIMITED FOR MUNICIPAL PEER REVIEW SERVICES RECOMMENDATIONS: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report PSD-063-10 be received; 2. THAT the requirements of Purchasing By-law # 2006-127 be waived to allow continuity of specific consultants for a new phase of the Port Granby Project (the pre-construction and construction -Phases 1A and 2); 3. THAT a new Agreement with Hardy Stevenson and Associates Limited for consulting review services for the pre-construction and construction Phases 1A and 2 of the Port Granby Project, effective May 31, 2010 to approximately December 31, 2018 and attached to Report PSD-063-10 as Attachment 2, be approved; 4. THAT the total funds required be expensed to Account 100-50-385-10175-7160; 5. THAT the By-law attached to Report PSD-063-10, as Attachment 3, authorizing the Mayor and Clerk to execute the Agreement, be approved; and 6. THAT all interested parties listed in Report PSD-063-10 and any delegations be advised of Council's decision. OF THE MUNICIPALITY OF CLARINGTON ONTARIO L1C REPORT NO.: PSD-063-10 PAGE 2 Submitted by: Reviewed by: ~ ~~'~~` =' "`~ (~(., y Langm , FCSLA, MCIP Franklin. Wu, cting Director of Planning Services Chief Administrative Officer JAS/df 7 May 2010 REPORT NO.: PSD-063-10 PAGE 3 1.0 OVERVIEW OF PORT GRANBY PROJECT 1.1 In 2001, the Municipality of Clarington and the Municipality of Port Hope entered into a Legal Agreement approved by By-law 2000-190 with the Government of Canada for the safe, long term management of low level radioactive waste located in each community. Approximately 500,000 cubic metres of low level radioactive waste and marginally contaminated soils are currently stored at the Port Granby Waste Management Facility which is located in the southeast corner of the Municipality near the community of Port Granby. 1.2 The Port Granby Project and the Port Hope Project, as part of the larger Port Hope Area Initiative, are proceeding independently through the federal approvals process, including Environmental Assessment (EA) and licensing by the Canadian Nuclear Safety Commission (CNSC). The proponent for both Projects is the Port Hope Area Initiative Management Office (PHAI MO), which is a division of Atomic Energy of Canada Limited. 1.3 The Environmental Assessment (EA) for the Port Granby Project began in 2002 and culminated in October 2009 with Council's acceptance of the EA Screening Report issued by the Government of Canada (Phase 1). The Project, as defined by the Environmental Assessment Study Report (EASR) and the EA Screening Report, involves the excavation of the waste from the existing site and its relocation and long term storage in an engineered mound to be constructed to the north of the existing facility (Phase 2), followed by a Maintenance and Monitoring Phase over the long term (Phase 3). 1.4 A license from the CNSC is required in order for the construction of the Project to proceed (approximately 2012-2018) and the Maintenance and Monitoring Phase (2019 and beyond) to be implemented. PHAI MO has initiated the detailed engineering work required in order to obtain these approvals, and expects to receive CNSC approval for construction in late 2011. Construction work is expected to start in 2012 and end in 2018. 1.5 The Port Granby Project also involves a broad range of measures to mitigate the impacts of the Project on the natural environment and the surrounding Port Granby community. These measures will be part of the EA Follow-up Program to be implemented by the Government of Canada. 2.0 PEER REVIEW CONSULTING SERVICES 2.1 The Legal Agreement provides for the Government of Canada to reimburse the Municipalities for all reasonable administrative and legal expenses related to their participation in the Port Hope Area Initiative. Under this arrangement, the Municipality of Clarington has retained a consulting team led by Hardy Stevenson and Associates Limited since 2002 to provide a broad range of peer review services and technical expertise related to the Port Granby Project. Expertise on the peer review team includes atmospheric sciences, nuclear physics, health physics and geotechnical engineering, as well as environmental and social sciences. The existing consulting REPORT NO.: PSD-063-10 PAGE 4 services agreement, which has previously been extended three times, is due to expire at the end of 2010. 2.2 The Municipality of Port Hope has also retained Hardy Stevenson and Associates since 2003 to provide peer review services and technical expertise in relation to the Port Hope Project. This sharing of consulting services has provided enormous benefits to both Municipalities, as well as the Government of Canada. These benefits include the provision of consistent peer review comments on issues affecting both projects and the ability to share knowledge gained by the consultants between projects. This latter point is especially important for Clarington since the Port Hope Project is a more complex undertaking and is further ahead in its approval process than the Port Granby Project. 2.3 In December 2009, Port Hope extended its agreement with Hardy Stevenson to the end of the construction phase for the Port Hope Project. In order to continue the benefits associated with the sharing of consulting services, to ensure continuity between the Environmental Assessment and construction phases of the Port Granby Project, and in recognition of the high calibre of services provided by the peer review team over the past several years, Staff are recommending that a new consulting agreement with Hardy Stevenson be approved to provide continuity in consulting services taking the Port Granby Project to the end of the construction phase. 2.4 The wording of the existing agreement to December 2010 with Hardy Stevenson has been in place since 2002 at the start of the EA process. As such, it does not recognize the full breadth of consulting services that the peer review team will need to provide over the next several years as the Port Granby Project moves forward to CSNC licensing and through the construction phase. 2.5 The new consulting services agreement (Attachment 2) better reflects the scope of services that the peer review team will be expected to provide over the next several years uhtil the end of the construction phase in approximately 2018. These services include the review of detailed engineering designs, overview of construction activities and the monitoring of mitigation measures identified in the EASR and the EA Screening Report. As well, the volume of material to be reviewed and the pace of work related to the Project is expected. to increase significantly. A Secondary Project Manager has been added to the peer review team to supplement the project coordination role currently performed by municipal staff. 2.6 It is recognized that PHAI MO has yet to receive the necessary funding from the federal government to proceed with the construction phase of the Port Granby Project. As such, the consulting services agreement includes a clause stating-that the agreement is contingent on the Municipality receiving continued funding from the government pursuant to the Legal Agreement. 3.0 CONCLUSION 3.1 The Port Granby Project is a complex long term undertaking, and the expertise provided by the peer review team has been critical to the Municipality's ability to effectively REPORT NO.: PSD-063-10 PAGE 5 participate ih the Project and ensure that its interests and those of its residents are addressed. The continued involvement of the peer review team in the Project over the next several years will ensure continuity between the EA and construction phases of the Project. 3.2 The Purchasing Manager and Director of Corporate Services concur with this Report. Staff Contact: Janice Szwarz Attachments: Attachment 1 -Glossary of Terms Attachment 2 -Consulting Services Agreement with Hardy Stevenson and Associates Attachment 3 - By-law List of interested parties to be advised of Council's decision: Dave Hardy, Hardy Stevenson and Associates Limited Christine Fahey, Port Hope Area Initiative Management Office Eugene Todd, Municipality of Port Hope Dave McCauley, Natural Resources Canada Gerry Mahoney, South East Clarington Ratepayers Association Attachment1 To Report PSD-063-10 GLOSSARY OF TERMS CNSC Canadian Nuclear Safety Commission EA Environmental Assessment EASR Environmental Assessment Study Report PHAI MO Port Hope Area Initiative Management Office Attachment 2 To Report PSD-063-10 THIS INDEPENDENT CONSULTANT AGREEMENT is made as of the day of , 2010 BETWEEN: THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON (hereinafter called the "Municipality") OF THE FIRST PART and - HARDY STEVENSON AND ASSOCIATES LIMITED (hereinafter called the "Company") OF THE SECOND PART WHEREAS The Municipality of Clarington has called for proposals for the provision of services: The Consultant has offered to supply such services and the Municipality and the Consultant have agreed upon the provision of the services upon the terms and conditions contained in this Agreement. IT IS AGREED 1.0 INTERPRETATIONS 1.1 In this Agreement unless the context otherwise requires: "Agreement" means this agreement and includes Schedules and any annexes or documents incorporated by reference; "Consultant" means the person or company so named in the Description of the Parties at the commencement of this document; "Consultants Representative" means the person appointed by the Consultant to represent the Consultant for the purposes of this Agreement and so identified in this Agreement, or such person as may be appointed subsequently by the Consultant and notified to the Municipality in writing; "GST/HST" means any tax imposed underGST/HST legislation; 1 "Project Service" means the services described herein which are to be performed by the Consultant in accordance with this Agreement; 1.2 A recital, schedule, annex or a description of the parties forms part of this Agreement. 1.3 In this Agreement unless a contrary intention appears, words imparting a gender include any other gender and words in the singular include the plural and vice versa. 1.4 Clause headings in this Agreement are for the convenience of reference only and have no effect in limiting or extending the language of the provisions to which they refer. 1.5 This Agreement shall be governed by the Laws of the Province of Ontario. 2.0 ENTIRE AGREEMENT This Agreement constitutes the entire agreement between the Municipality and the Consultant in relation to the Project Services and any previous correspondence is expressly excluded. AGREEMENT FOR CONSULTING SERVICES FOR THE PORT GRANBY PROJECT This Agreement outlines the services to be provided to the Municipality of Clarington (the "Municipality") by Hardy Stevenson and Associates Limited (the "Company') and its sub-consultants, collectively known as the Municipal Peer Review Team ("MPRT"), in relation to the Port Granby Project. This Agreement shall replace the existing contract between the Municipality and the Company approved by Clarington Council on April 2, 2002 (By-law 2002-042), and subsequently extended in December 2002, December 2006, and December 2008. The current contract has been extended to the end of 2010. Backeround From the 1930s to the 1980s, low level radioactive waste resulting from the refining of radium and uranium in Port Hope was deposited at various locations in Port Hope and in a waste management facility located near the community of Port Granby in the Municipality of Clarington. The Government of Canada has assumed responsibility far the cleanup and management of these wastes, and in 2001 entered into a Legal Agreement with the Municipalities of Clarington and Port-Hope to implement local solutions for the management of the wastes. The undertaking defined by the Legal Agreement is known as the Port Hope Area Initiative, with two separate projects-the Port Granby Project ("the Project') and the Port Hope Project. The two Projects are proceeding independently through the federal approvals process, including Environmental Assessment (EA) and licensing by the Canadian Nuclear Safety Commission (CNSC). The "Proponent" for both Projects is the Port Hope Area Initiative Management Office (PHAI MO), which is a division of Atomic Energy of Canada Limited (AECL). The Environmental Assessment for the Port Granby Project began in 2002 and culminated in 2009 with Clarington Council's acceptance of the EA Screening Report issued by the Government of Canada (Phase 1). The Project, as defined by the Environmental Assessment Study Report and the EA Screening Report, involves the excavation of the waste and its relocation and long term storage in an engineered mound to be constructed to the north of the existing waste management facility (Phase 2), followed by a Maintenance and Monitoring Phase over the long term (Phase 3). A licence from the CNSC is required in order for the construction of the Project to proceed (approximately 2012-2018) and the Maintenance and Monitoring Plan (2019 and beyond) to be implemented. PHAI MO has initiated the detailed engineering work required in order to obtain these approvals. The Project also involves a broad range of measures to mitigate the impacts of the Project on the natural environment and the surrounding Port Granby community. These measures will be part of an EA Follow-Up Program to be implemented by the Government of Canada. Consultive Services The Legal Agreement provides for the Government of Canada to reimburse the Municipalities for all reasonable administrative and legal expenses related to their participation in the Port Hope Area Initiative. It is under this arrangement that the Municipalities of Clarington and Port Hope have each retained the MPRT over the past several years to provide a broad range of peer review services and technical expertise related to their respective Projects, as well as issues common to both Projects. This sharing of consulting services has provided enormous benefits to both Municipalities, as well as the Government of Canada. In December 2009, the Municipality of Port Hope extended the contract with the Company for the provision of peer review services to the end of the construction phase for the Port Hope Project. In order to continue the benefits associated with the sharing of consulting services and to ensure continuity between the Environmental Assessment and Construction phases of the Port Granby Project, the Municipality of Clarington has also decided to extend its contractual relationship with the Company to the end of the construction period for the Port Granby Project. Scope of Work The MPRT, under the direction of the Company, will be responsible for the provision of peer review activities and other consulting services to the Municipality in relation to its participation in the Project. The MPRT will assist the Municipality of Clarington through the pre-licensing and licensing process, EA follow-up, detailed design, construction, verification and final approvals pertaining to end use. The MPRT's work related to the Port Granby Project will be coordinated 6y the Municipal Project Manager (the "Manager") as identified by the Municipality. The management and administration of the MPRT will be the Company's responsibility. David Hardy, Principal of Hardy Stevenson and Associates Limited, will function as the "Director' of the MPRT. The Manager will have full access to and the full support of the MPRT. The staff and sub-consultants of the MPRT may change over the duration of the Agreement. Any required personnel changes will be agreed upon by the Manager and the Company before being finalized. The responsibilities of the MPRT encompass key services, as detailed below: a) Provide strategic and technical advice and support to the Municipality; 3 b) Undertake peer reviews of Project-related documents; c) Communication activities; d) Civil Engineering Support prior to and during Construction; e) Provide replacement support and/or Services for the Manager if so requested by the Municipality. (a) Strategic and Technical Advice and Support The MPRT's primary responsibility will be to support the Manager in undertaking the work necessary for the Municipality to be effectively involved in the Project and to ensure that the Municipality's interests are protected throughout the Project. This mandate will encompass: • Advising and assisting the Manager, other Municipal staff and Council on all aspects of Project implementation, including engineering and policy concerns that arise during the facility design, licensing and construction process, and issues relating to the implementation of the EA Follow-up Program; • Conducting research on issues when requested by the Municipality on various issues, including financial, health, and socio-economic issues; • Supporting the Municipality and Manager at informal and formal Project meetings and public forums related to the Project; • Ensuring that Natural Resources Canada (NRCan), the CNSC and the Proponent fulfill their responsibilities on Project-related programs (e.g. EA Follow-Up Program, Waste Excavation Management Plan, Environmental Management and Protection Plan, Water Treatment Strategy, Complaints Monitoring Program, Remediation Verification Program, Radiation Protection Plan, Maintenance and Monitoring Plan, etc.), the Property Value Protection Program, and any new programs that become established; • Identifying and monitoring Project-related policies, procedures or controls. (b) Peer Review of Project-Related Documents The Municipality will rely on the MPRT to undertake peer reviews of Project-related documents prepared by the Proponent and other agencies, and to present and discuss the results of the peer reviews. The MPRT will review construction drawings and site plans as well as other documents that will require municipal review and approval. Specific responsibilities in this respect include monitoring the progress of assessments and critically assessing any resulting findings or recommendations. It is expected that studies or reports related to the facility licensing and construction process will be evaluated pursuant to a proven peer review process that would consider at least the following factors: • Appropriateness of design criteria, assumptions, and technical approaches; • Adherence to relevant regulation, standards, or Municipal approval documents; • Appropriateness of adopted models and/or validity of calculations or computations; and • Assessment of facts and reasoning leading to presented opinions, judgments, conclusions or recommendations. 4 Upcoming Peer Review Documentation for the Port Granby Project The following documents will require peer review as part of detailed design and in preparation for licensing by the CNSC: • Detailed Design Description Report- Long Term Waste Management Facility • Detailed Design Description Report-Excavation Plan • Water Treatment Definition • Radiation Protection Plan • Environmental Management & Protection Plan for Construction Activities • Radiation Material Transportation Plan • Emergency Plan • Long Term Maintenance and Monitoring Plan • Decommissioning Plan • Construction Verification Plan • Remediation Verification Protocol • Safety Assessment In addition, the MPRT will peer review the EA Follow-Up Program, including the Socio-Economic Impact Mitigation Strategy and the Bio-Physical Impact Mitigation Strategy, to be prepared by the Proponent, monitor the implementation of these strategies to ensure their effectiveness, and recommend improvements where deemed necessary. (c) Communication activities The Municipality must maintain excellent communications with its residents, especially those in the vicinity of the Project, NRCan, CNSC and the Proponent, and other parties that may become involved in the process. Effective communications with the local, regional and national media are also important. The MPRT will provide communications support to the Municipality, when necessary, Including: • Helping to maintain positive relations with the residents in the vicinity of the Project; • Supporting the Mahager and the Municipalit~s communications staff, and providing updates on the Project to Council as required; • Ensuring the Proponent remains sensitive to Clarington's interests in relation to media and public relations issues resulting from its activities; • Coordinating communications with the national, regional and local media with respect to the Project. (d) Civil Engineering Support Prior to and During the Construction Phase During the pre-construction phase, the MPRT will be responsible for the peer review of documents provided by the Proponent related to the excavation of the existing waste management facility, the construction and development of the Long Term Waste Management Facility, and associated works. 5 During the construction phase of the Project, the MPRT will be responsible for: • Peer review of the oversight process for construction, civil works and engineering; • Peer review of the remediation of the existing waste management facility site; • Peer review of environmental controls; • Ensuring that all provisions in the EA Follow-Up Program are appropriately implemented; • Addressing other issues as they may arise. When the construction phase of the Project is completed, the MPRT will be required to provide reviews for: • Quality assurance to ensure that the mound is ready for the cap; • Ensuring that all the radioactive material has been removed; • Ensuring that the long term design is implemented appropriately; • Ensuring that the remediation activities meet municipal standards. (e) Provide Replacement support and/or Services for the Manager If requested by the Manager or the Municipality, the Company will provide replacement staff support and/or resources to supplement or replace the role of the Manager. These services may include: • Representing the Manager at meetings with the Proponent, the CNSC, NRCan, other agencies, and the public; • Coordinating the submission of peer review comments to the Proponent; • Liaison and coordination with other Municipal Departments; • Responding to public inquiries; • Managing the Municipality's invoices to the PHAI - MO; • Other associated duties. Location and Timin¢ of Services Services to be provided pursuant to this Agreement shall be provided primarily at the Company's office. The Municipality shall provide office space at the Municipal Administrative Center in Bowmanville or other such location approved by the Municipality when required, in order to supplement or replace the role of the Manager. Services by other staff orsub-consultants associated with the MPRT shall be rendered at their place of business or other such location as dictated by the nature of the project for which they have been engaged. The Company will use all reasonable efforts to complete within any agreed upon time-frame the performance of the services pursuant to this Agreement. The period of performance for this Agreement shall be from April 1, 2010 through December 31, 2018 with an option to extend the Agreement at the Municipality's sole discretion subject to the establishment of acceptable rates and satisfactory service. 6 Fees and Expenses associated with the Scooe of Work The MPRT shall provide their services on an "as required" basis at the per diem rates identified herein. The Municipality will not circumvent the Company and hire any of the Company's Staff or any member of the MPRT directly for activities related to the Project. The Manager, working in cooperation with the Company, shall provide an annual project budget estimate to the Municipality for review and approval prior to engaging the services of these staff and sub-consultants. The Municipality reserves the right to preclude the use of service providers that have not been identified in advance. Fees will be approved by the Municipality prior to being incurred. Per Diem rates for currently named staff and sub-consultants of the Company during the 2010 Federal Fiscal Year (April to December 2010; January to March 2011) shall be as follows: .. Project Management Hardy Stevenson and Dave Hardy $1,499 Associates Danya AI-Haydari $855 Administration $606 Secondary Project Management Municipal Infrastructure Group Eric Tuson $1,088 Social Sciences Envision Synergy Dr. Charlotte Young $1,278 Atmospheric Science, Air Quality AMEC Dr. Tony van der Vooren $1,274 Biophysical Sciences, Aquatic Biology Niblett Environmental Chris Ellingwood $1,174 Nuclear Physics Eberline Services ltd Dr. Robert Murphy $1,574 Health Physics N/A Dr. Murray Finkelstein $2,212 Hydrogeology/ geotechnical Terraprobe Paul Bowen, Mike Tanos $1,375 Transportation Planning HDR Steve Molloy/ Matthew Hum $1,594 Coastal Engineering ShorePlan Engineering Milo Sturm $1,031 Civil Engineering Municipal Infrastructure Group Eric Tuson $1,088 The Company will not mark up fees or expenses. On April 1 of each applicable year, fees shall be increased pro rata with the increase in the Consumer Price Index (CPI) (all items) for Toronto with February 1st of the previous year as the base date and the increase for the coming year to be based on the increase, if any, in the CPI from November 1 to November 1. Expenses will be billed by the Company to the Municipality at cost. Travel expenses will be billed at the Municipality's travel rate or $0.50 per kilometre whichever is higher, for Company staff and all other staff and sub-consultants of the MPRT. This rate will be adjusted annually to reflect the Municipality of Clarington's approved mileage rate. 7 GST, HST and other applicable taxes are additional to the rates quoted herein and shall be itemized separately on all invoices. Invoices shall be presented to the Municipality monthly in arrears. INSURANCE 11.1 The Consultant, at its sole cost and expense shall insure its activities in connection with the work under this Agreement and obtain, keep in force, and maintain insurance as follows: 11.1.1 The Consultant shall maintain .and pay for Comprehensive General Liability Insurance including premises and all operations. This insurance coverage shall be subject to limits of not less than $ 3,000,000 inclusive per occurrence for third party Bodily Injury and Property Damage or such coverage or amount as may be requested. The policy shall include the Municipality as an additional insured in respect of all operations performed by or on behalf of the Consultant. A certified copy of such policy or certificate shall be provided to the Municipality prior to commencement of the work. 11.1.2 Business Automobile Liability Insurance for owned, scheduled, non-owned, or hired automobiles with a combined single limit not less than $ 1,000,000 per occurrence. REQUIRED ONLY IF THE CONSULTANT IS DRIVING ON MUNICIPAL PROPERTY IN THE COURSE OF PERFORMING WORK FOR THE MUNICIPALITY. 11.1.3 Professional Liability Insurance with a limit of $ 1,000,000 per occurrence. If this insurance is written on a claims-made form, it shall continue for three years following termination of this Agreement. The insurance shall have a retroactive date of placement prior to or coinciding with .the effective date of this Agreement. 11.2 It shall be expressly understood that the Insurance coverage and limits referred to above shall not in any way limit the liability of the Consultant. The Consultant shall furnish the Municipality with certificates of insurance evidencing the compliance with all requirements prior to commencement of work under this Agreement. Such certificates shall: • Provide 30 days advance notice to the Municipality of any modification, change, or cancellation of any of the above insurance coverage; • Indicate that the Municipality has been endorsed as an additional insured under the coverage referred to in section 11.1.1; • Include a provision that the coverage will be primary and will not participate with nor be excess over any valid and collectible insurance or program of self insurance carried or maintained by the Municipality. ASSIGNMENT AND SUBCONTRACTING The Consultant may not assign or transfer this Agreement, or any interest therein or claim thereunder, or subcontract any portion of the work, thereunder, without the prior written approval of the Municipality. 8 Duration of Agreement This Agreement shall replace the Compan~/s existing contract with the Municipality, and will come into effect on the date that the By-law approving the Agreement has been passed by the Council of the Municipality of Clarington. This Agreement shall terminate on December 31, 2018 unless extended by mutual agreement of the Municipality and the Company as provided for in this Agreement. The Agreement maybe terminated early by the delivery by either party of written notice to terminate this Agreement. The Agreement is also contingent on the Municipality receiving continued funding from the Proponent pursuant to the Port Hope Area Initiative Legal Agreement. Terms of Payment The Company will invoice the Municipality on a monthly basis for fees and expenses incurred by the MPRT. The Municipality will make every effort to pay the invoices within 30 days of receipt. Confidentiality and Privacy The Company shall treat as such all confidential proprietary information obtained from the Municipality in the course of the engagement and will not use such information except in connection with the performance of its services hereunder, subject to the provisions of the Municipal Freedom of Information and Protection of Privacy Act. Please signify your acceptance of the terms and conditions set out herein by signing below and returning to the undersigned. We look forward to our continued work together on this project. NOTIFICATION Any written notification required herein shall be personally served, mailed, or faxed to the following: For the Municipality: Director, Planning Services Department (or designate) The Municipality of Clarington 40 Temperance Street Bowmanville, ON LiC 3A6 T:906-623-3379 F:906-623-0830 For the Consultant Mr. David Hardy, RPP Hardy Stevenson and Associates. 364 Davenport Road Toronto, ON MSR 1K6 T: 416-944-8444, F: 416-944-0900 HARDY STEVENSON AND ASSOCIATES LIMITED Mr. David Hardy, RPP Date: Principal Hardy Stevenson and Associates Limited WITNESS Ms. Danya AI-Haydari Date: Environmental Planner Hardy Stevenson and Associates Limited ACCEPTED BY MUNICIPALITY OF CLARINGTON Mr. lim Abernethy Date: Mayor, Municipality of Clarington Ms. Patti Barrie Date: Clerk, Municipality of Clarington 10 Attachment 3 To Report PSD-063-10 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON BY-LAW NO. 2010 - being a By-law to authorize a contract between the Corporation of the Municipality of Clarington and Hardy Stevenson and Associates Limited, Toronto, Ontario, to enter into an agreement for Consulting Services, Port Granby Long- Term Low-Level Radioactive Waste Management THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON HEREBY ENACTS AS FOLLOWS: 1. THAT the Mayor and Clerk are hereby authorized to execute, on behalf of the Corporation of the Municipality of Clarington, with the Corporation Seal, a contract between Hardy Stevenson and Associates Limited, Toronto, Ontario, and said Corporation; and 2. THAT the contract attached hereto as Schedule "A"form part of this By-law. By-law read a first time this day of 2010 By-law read a second time this day of 2010 By-law read a third time and fnally passed this day of 2010 Jim Abernethy, Mayor Patti L. Barrie, Municipal Clerk THIS INDEPENDENT CONSULTANT AGREEMENT is made as of the day of , 2010 BETWEEN: THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON (hereinafter called the "Municipality") OF THE FIRST PART -and - HARDY STEVENSON AND ASSOCIATES LIMITED (hereinafter called the "Company") OF THE SECOND PART WHEREAS The Municipality of Clarington has called for proposals for the provision of services: The Consultant has offered to supply such services and the Municipality and the Consultant have agreed upon the provision of the services upon the terms and conditions contained in this Agreement. IT IS AGREED 1.0 INTERPRETATIONS 1.1 In this Agreement unless the context otherwise requires: "Agreement" means this agreement and includes Schedules and any annexes or documents incorporated by reference; "Consultant" means the person or company so named in the Description of the Parties at the commencement of this document; "Consultant's Representative" means the person appointed by the Consultant to represent the Consultant for the purposes of this Agreement and. so identified in this Agreement, or such person as may be appointed subsequently by the Consultant and notified to the Municipality in writing; "GST/HST" means any tax imposed under GST/HST legislation; 1 "Project Service" means the services described herein which are to be performed by the Consultant in accordance with this Agreement; 1.2 A recital, schedule, annex or a description of the parties forms part of this Agreement. 1.3 In this Agreement unless a contrary intention appears, words imparting a gender include any othergender and words in the singular include the plural and vice versa. 1.4 Clause headings in this Agreement are for the convenience of reference only and have no effect in limiting or extending the language of the provisions to which they refer. 1.5 This Agreement shall be governed by the Laws of the Province of Ontario 2.0 ENTIRE AGREEMENT This Agreement constitutes the entire agreement between the Municipality and the Consultant in relation to the Project Services and any previous correspondence is expressly excluded. AGREEMENT FOR CONSULTING SERVICES FOR THE PORT GRANBY PROJECT This Agreement outlines the services to be provided to the Municipality of Clarington (the "Municipality') by Hardy Stevenson and Associates Limited (the "Company")and its sub-consultants, collectively known as the Municipal Peer Review Team ("MPRT"), in relation to the Port Granby Project. This Agreement shall replace the existing contract between the Municipality and the Company approved by Clarington Council on April 2, 2002 (By-law 2002-042), and subsequently extended in December 2002, December 2006, and December 2008. The current contract has been extended to the end of 2010. Backsround From the 1930s to the 1980s, low level radioactive waste resulting from the refining of radium and uranium in Port Hope was deposited at various locations in Port Hope and in a waste management facility located near the community of Port Granby in the Municipality of Clarington. The Government of Canada has assumed responsibility for the cleanup and management of these wastes, and in 2001 entered into a Legal Agreement with the Municipalities of Clarington and Port Hope to implement local solutions for the management of the wastes. The undertaking defined by the Legal Agreement is known as the Port Hope Area Initiative, with two separate projects-the Port Granby Project ("the Project")and the Port Hope Project. The two Projects are proceeding independently through the federal approvals process, including Environmental Assessment (EA) and licensing by the Canadian Nuclear Safety Commission (CNSC). The "Proponent" for both Projects is the Port Hope Area Initiative Management Office (PHAI MO), which is a division of Atomic Energy of Canada Limited (AECL). The Environmental Assessment for the Port Granby Project began in 2002 and culminated in 2009 with Clarington Council's acceptance of the EA Screening Report issued by the Government of Canada (Phase 1). The Project, as defined by the Environmental Assessment Study Report and the EA Screening Report, involves the excavation of the waste and its relocation and long term storage in an engineered mound to be constructed to the north of the existing waste management facility (Phase 2), followed by a Maintenance and Monitoring Phase over the long term (Phase 3). A licence from the CNSC is required in order for the construction of the Project to proceed (approximately 2012-2018) and the Maintenance and Monitoring Plan (2019 and beyond) to be implemented. PHAI MO has initiated the detailed engineering work required in order to obtain these approvals. The Project also involves a broad range of measures to mitigate the impacts of the Project on the natural environment and the surrounding Port Granby community. These measures will be part of an EA Follow-Up Program to, be implemented by the Government of Canada. Consultine Services The Legal Agreement provides for the Government of Canada to reimburse the Municipalities for all reasonable administrative and legal expenses related to their participation in the Port Hope Area Initiative. It is under this arrangement that the Municipalities of Clarington and Port Hope have each retained the MPRT over the past several years to provide a broad range of peer review services and technical expertise related to their respective Projects, as well as issues common to both Projects. This sharing of consulting services has provided enormous benefits to both Municipalities, as well as the Government of Canada. In December 2009, the Municipality of Port Hope extended the contract with the Company for the provision of peer review services to the end of the construction phase for the Port Hope Project. In order to continue the benefits associated with the sharing of consulting services and to ensure continuity between the Environmental Assessment and Construction phases of the Port Granby Project, the Municipality of Clarington has also decided to extend its contractual relationship with the Company to the end of the construction period for the Port Granby Project. Scone of Work The MPRT, under the direction of the Company, will be responsible for the provision of peer review activities and other consulting services to the Municipality in relation to its participation in the Project. The MPRT will assist the Municipality of Clarington through the pre-licensing and licensing process, EA follow-up, detailed design, construction, verification and final approvals pertaining to end use. The MPRT's work related to the Port Granby Project will be coordinated by the Municipal Project Manager (the "Manager") as identified by the Municipality. The management and administration of the MPRT will be the Company's responsibility. David Hardy, Principal of Hardy Stevenson and Associates Limited, will function as the "Director" of the MPRT. The Manager will have full access to and the full support of the MPRT. The staff and sub-consultants of the MPRT may change overthe duration of the Agreement. Any required personnel changes will be agreed upon by the Manager and the Company before being finalized. The responsibilities of the MPRT encompass key services, as detailed below: a) Provide strategic and technical advice and support to the Municipality; 3 b) Undertake peer reviews of Project-related documents; c) Communication activities; d) Civil Engineering Support prior to and during Construction; e) Provide replacement support and/or Services for the Manager if so requested by the Municipality. (a) Strategic and Technical Advice and Support The MPRT's primary responsibility will be to support the Manager in undertaking the work necessary for the Municipality to be effectively involved in the Project and to ensure that the Municipality's interests are protected throughout the Project. This mandate will encompass: • Advising and assisting the Manager, other Municipal staff and Council on all aspects of Project implementation, including engineering and policy concerns that arise during the facility design, licensing and construction process, and issues relating to the implementation of the EA Follow-up Program; • Conducting research on issues when requested by the Municipality on various issues, including financial, health, and socio-economic issues; • Supporting the Municipality and Manager at informal and formal Project meetings and public forums related to the Project; • Ensuring that Natural Resources Canada (NRCan), the CNSC and the Proponent fulfill their responsibilities on Project-related programs (e.g. EA Follow-Up Program, Waste Excavation Management Plan, Environmental Management and Protection Plan, Water Treatment Strategy, Complaints Monitoring Program, Remediation Verification Program, Radiation Protection Plan, Maintenance and Monitoring Plan, etc.), the Property Value Protection Program, and any new programs that become established; • Identifying and monitoring Project-related policies, procedures or controls. (b) Peer Review of Project-Related Documents The Municipality will rely on the MPRT to undertake peer reviews of Project-related documents prepared by the Proponent and other agencies, and to present and discuss the results of the peer reviews. The MPRT will review construction drawings and site plans as well as other documents that will require municipal review and approval. Specific responsibilities in this respect include monitoring the progress of assessments and critically assessing any resulting findings or recommendations. It is expected that studies or reports related to the facility licensing and construction process will be evaluated pursuant to a proven peer review process that would consider at least the following factors: • Appropriateness of design criteria, assumptions, and technical approaches; • Adherence to relevant regulation, standards, or Municipal approval documents; • Appropriateness of adopted models and/or validity of calculations or computations; and • Assessment of facts and reasoning leading to presented opinions, judgments, conclusions or recommendations. 4 Upcoming Peer Review Documentation for the Port Granby Project The following documents will require peer review as part of detailed design and in preparation for licensing by the CNSC: • Detailed Design Description Report -Long Term Waste Management Facility • Detailed Design Description Report -Excavation Plan • Water Treatment Definition • Radiation Protection Plan • Environmental Management & Protection Plan for Construction Activities • Radiation Material Transportation Plan • Emergency Plan • Long Term Maintenance and Monitoring Plan- • Decommissioning Plan • Construction Verification Plan • Remediation Verification Protocol • Safety Assessment In addition, the MPRT will peer review the EA Follow-Up Program, including the Socio-Economic Impact Mitigation Strategy and the Bio-Physical Impact Mitigation Strategy, to be prepared by the Proponent, monitor the implementation of these strategies to ensure their effectiveness, and recommend improvements where deemed necessary. (c) Communication activities The Municipality must maintain excellent communications with its residents, especially those in the vicinity of the Project, NRCan, CNSC and the Proponent, and other parties that may become involved in the process. Effective communications with the local, regional and national media are also important. The MPRT will provide communications support to the Municipality, when necessary, Including: • Helping to maintain positive relations with the residents in the vicinity of the Project; • Supporting the Mafiager and the Municipality's communications staff, and providing updates on the Project to Council as required; • Ensuring the Proponent remains sensitive to Clarington's interests in relation to media and public relations issues resulting from its activities; • Coordinating communications with the national, regional and local media with respect to the Project. (d) Civil Engineering Support Prior to and During the Construction Phase During the pre-construction phase, the MPRT will be responsible for the peer review of documents provided by the Proponent related to the excavation of the existing waste management facility, the construction and development of the Long Term Waste Management Facility, and associated works. During the construction phase of the Project, the MPRT will be responsible for: • Peer review of the oversight process for construction, civil works and engineering; • Peer review of the remediation of the existing waste management facility site; • Peer review of environmental controls; • .Ensuring that all provisions in the EA Follow-Up Program are appropriately implemented; • Addressing other issues as they may arise. When the construction phase of the Project is completed, the MPRT will be required to provide reviews for: • Quality assurance to ensure that the mound is ready for the cap; • Ensuring that all the radioactive material has been removed; • Ensuring that the long term design is implemented. appropriately; • Ensuring that the remediation activities meet municipal standards. (e) Provide Replacement Support and/or Services for the Manager If requested by the Manager or the Municipality, the Company will provide replacement staff support and/or resources to supplement or replace the role of the Manager. These services may include: • Representing the Manager at meetings with the Proponent, the CNSC, NRCan, other agencies, and the public; • Coordinating the submission of peer review comments to the Proponent; • Liaison and coordination with other Municipal Departments; • Responding to public inquiries; • Managing the Municipality's invoices to the PHAI - M0; • Other associated duties. Location and Timing of Services Services to be provided pursuant to this Agreement shall be provided primarily at the Company's office. The Municipality shall provide office space at the Municipal Administrative Center in Bowmanville or other such location approved by the Municipality when required, in order to supplement or replace the role of the Manager. Services by other staff orsub-consultants associated with the MPRT shall be rendered at their place of business or other such location as dictated by the nature of the project for which they have been engaged. The Company will use all reasonable efforts to complete within any agreed upon time-frame the performance of the services pursuant to this Agreement. The period of performance for this Agreement shall be from April 1, 2010 through December 31, 2018 with an option to extend the Agreement at the Municipality's sole discretion subject to the establishment of acceptable rates and satisfactory service. 6 Fees and Expenses associated with the Scope of Work The MPRT shall provide their services on an "as required" basis at the per diem rates identified herein. The Municipality will not circumvent the Company and hire any of the Company's Staff or any member of the MPRT directly for activities related to the Project. The Manager, working in cooperation with the Company, shall provide an annual project budget estimate to the Municipality for review and approval prior to engaging the services of these staff and sub-consultants. The Municipality reserves the right to preclude the use of service providers that have not been identified in advance. Fees will be approved by the Municipality prior to being incurred. Per Diem rates for currently named staff and sub-consultants of the Company during the 2010 Federal Fiscal Year (April to December 2010; January to March 2011) shall be as follows: .. Project Management Hardy Stevenson and Dave Hardy $1,499 Associates Danya AI-Haydari $855 Administration $606 Secondary Project Management Municipal Infrastructure Group EricTuson $1,088 Social Sciences Envision Synergy Dr. Charlotte Young $1,278 Atmospheric Science, Air Quality AMEC Dr. Tony van der Vooren $1,274 Biophysical Sciences, Aquatic Biology Niblett Environmental Chris Ellingwood $1,174 Nuclear Physics Eberline Services ltd Dr. Robert Murphy $1,574 Health Physics N/A Dr. Murray Finkelstein $2,212 Hydrogeology/ geotechnical Terraprobe Paul Bowen, Mike Tanos $1,375 Transportation Planning HDR Steve Molloy/ Matthew Hum $1,594 Coastal Engineering ShorePlan Engineering Milo Sturm $1,031 Civil Engineering Municipal Infrastructure Group Eric Tuson $1,088 The Company will not mark up fees or expenses. On April 1 of each applicable year, fees shall be increased pro rata with the increase in the Consumer Price Index (CPI) (all items) for Toronto with February 1st of the previous year as the base date and the increase for the coming year to be based on the increase, if any, in the CPI from November 1 to November 1. Expenses will be billed by the Company to the Municipality at cost. Travel expenses will be billed at the Municipality's travel rate or $0.50 per kilometre whichever is higher, for Company staff and all other staff and sub-consultants of the MPRT. This rate will be adjusted annually to reflect the Municipality of Clarington's approved mileage rate. GST, HST and other applicable taxes are additional to the rates quoted herein and shall be itemized separately on all invoices. Invoices shall be presented to the Municipality monthly in arrears. INSURANCE 11.1 The Consultant, at its sole cost and expense shall insure its activities in connection with the work under this Agreement and obtain, keep in force, and maintain insurance as follows: 11.1.1 The Consultant shall maintain and pay for Comprehensive General Liability Insurance including premises and all operations. This insurance coverage shall be subject to limits of not less than $ 3,000,000 inclusive per occurrence far third party Bodily Injury and Property Damage or such coverage or amount as may be requested. The policy shall include the Municipality as an additional insured in respect of all operations performed by or on behalf of the Consultant. A certified copy of such policy or certificate shall be provided to the Municipality prior to commencement of the work. 11.1.2 Business Automobile Liability Insurance for owned, scheduled, non-owned, or hired automobiles with a combined single limit not less than $ 1,000,000 per occurrence. REQUIRED ONLY IF THE CONSULTANT IS DRIVING ON MUNICIPAL PROPERTY IN THE COURSE OF PERFORMING WORK FOR THE MUNICIPALITY. 11.1.3 Professional Liability Insurance with a limit of $ 1,000,000 per occurrence. If this insurance is written on a claims-made form, it shall continue for three years following termination of this Agreement. The insurance shall have a retroactive date of placement prior to or coinciding with .the effective date of this Agreement. 11.2 It shall be expressly understood that the Insurance coverage and limits referred to above shall not in any way limit the liability of the Consultant. The Consultant shall furnish the Municipality with certificates of insurance evidencing the compliance with all requirements prior to commencement of work under this Agreement. Such certificates shall: • Provide 30 days advance notice to the Municipality of any modification, change, or cancellation of any of the above insurance coverage; • Indicate that the Municipality has been endorsed as an additional insured under the coverage referred to in section 11.1.1; • Include a provision that the coverage will be primary and will not participate with nor be excess over any valid and collectible insurance or program of self insurance carried or maintained by the Municipality. ASSIGNMENT AND SUBCONTRACTING The Consultant may not assign or transfer this Agreement, or any interest therein or claim thereunder, or subcontract any portion of the work, thereunder, without the prior written approval of the Municipality. 8 Duration of Agreement This Agreement shall replace the Company's existing contract with the Municipality, and will come into effect on the date that the By-law approving the Agreement has been passed by the Council of the Municipality of Clarington. This Agreement shall terminate on December 31, 2018 unless extended by mutual agreement of the Municipality and the Company as provided for in this Agreement. The Agreement may be terminated early by the delivery by either party of written notice to terminate this Agreement. The Agreement is also contingent on the Municipality receiving continued funding from the Proponent pursuant to the Port Hope Area Initiative Legal Agreement. Terms of Payment The Company will invoice the Municipality on a monthly basis for fees and expenses incurred by the MPRT. The Municipality will make every effort to pay the invoices within 30 days of receipt. Confidentiality and Privacy The Company shall treat as such all confidential proprietary information obtained from the Municipality in the course of the engagement and will not use such information except in connection with the performance of its services hereunder, subject to the provisions of the Municipal Freedom of Information and Protection of Privacy Act. Please signify your acceptance of the terms and conditions set out herein by signing below and returning to the undersigned. We look forward to our continued work together on this project. NOTIFICATION Any written notification required herein shall be personally served, mailed, or faxed to the following: For the Municipality: Director, Planning Services Department (or designate) The Municipality of Clarington 40Temperance Street Bowmanville, ON L1C 3A6 T: 905-623-3379 F: 905-623-0830 For the Consultant Mr. David Hardy, RPP Hardy Stevenson and Associates. 364 Davenport Road Toronto, ON MSR iK6 T: 416-944-8444, F: 416-944-0900 9 HARDY STEVENSON AND ASSOCIATES LIMITED Mr. David Hardy, RPP Date: Principal Hardy Stevenson and Associates Limited WITNESS Ms. Danya AI-Haydari Environmental Planner Hardy Stevenson and Associates Limited Date: ACCEPTED BY MUNICIPALITY OF CLARINGTON Mr. Jim Abernethy Date: Mayor, Municipality of Clarington Ms. Patti Barrie Date: Clerk, Municipality bf Clarington 10