Town of Fort Erie Brownfields

Community Improvement Plan

Town of Fort Erie Brownfields

Community Improvement Plan

July 29, 2008Fort Erie, Ontario

TopicsTopics

The Consulting TeamWhat are Brownfields?The Brownfield Challenge for Municipalities Benefits of Brownfield RedevelopmentTools to Promote Brownfield Redevelopment – Brownfields Legislation– Community Improvement Plans– Marketing of Redevelopment Opportunities

Environmental Site Assessment and RemediationFort Erie Brownfields CIP ProcessQuestions and Answers

The Consulting TeamThe Consulting Team

Bruce Bennett Hatch Ltd.

Environmental Assessment Specialist

Luciano Piccioni RCI Consulting

Project Manager and Brownfields CIP Specialist

Dr. Richard DiFrancesco

Regional Analytics Economic Impact

Specialist

Brian Ball Bluewater

Environmental Inc. Environmental

Remediation Specialist

Funding PartnersFunding Partners

Fort Erie Economic Development and Tourism Corporation

Town of Fort Erie

Federation of Canadian Municipalities

Regional Municipality of Niagara

What are Brownfields?What are Brownfields?

NRTEE defines “brownfields” as abandoned, idled or underutilized industrial or commercial propertieswhere past actions have known or suspected environmental contamination, but where there is an active potential for redevelopment.Estimated 30,000+ brownfield sites in CanadaTypical examples – heavy industrial manufacturing (metals, glass, chemicals), petroleum storage, printers, dry cleaners, landfills, gasoline stations, etc…

What are Brownfields?What are Brownfields?

What are Brownfields?What are Brownfields?

Not all Brownfields are created equal

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10%-20%

60%-80%

10%-20%

The Brownfield Challenge for MunicipalitiesThe Brownfield Challenge for MunicipalitiesHow can brownfield sites negatively impact a community?– Potentially harm the environment and human health– Stigma associated with environmental contamination– Lower property values and property tax revenues;– Can lead to neighbourhood and employment area

deterioration and result in urban blight;– Significant opportunity cost – less than optimal use of

existing infrastructure;– Limit economic growth;– Increases pressure for development of greenfield sites.

The Brownfield Challenge for MunicipalitiesThe Brownfield Challenge for MunicipalitiesWhat are the impediments to brownfield redevelopment?– Lack of funding to conduct upfront environmental

assessment and remediation– Cost of remediation and difficulty obtaining financing – Fear of environmental liability – regulatory (Ministry of

Environment) and civil liability– Complexity and uncertainty of regulatory approvals process

= additional time and expense – Stigma and perception of risk– Lack of awareness and understanding of benefits and

opportunities

Benefits of Brownfield RedevelopmentBenefits of Brownfield Redevelopment

Brownfield Development

Economic Benefits - Jobs - Property taxes - Income taxes - Business opportunities - Cost savings of utilizing existing infrastructure

Environmental Benefits - Mitigation/elimination of health/safety risks - Restoration of environmental quality - Reduced urban sprawl

Social Benefits - Better quality of life - Neighbourhood renewal - More housing choices

Benefits of Brownfield RedevelopmentBenefits of Brownfield Redevelopment

Studies have shown that:– Value of properties within 2.5 km. of a redeveloped

brownfield can increase by an average 10% – Every $1 spent on brownfield development generates $3.80

in total economic output– Every hectare of brownfield redeveloped for residential can

save as much as $66,000 a year in total transportation costs– Every acre of brownfield land redeveloped can save 4.5

acres of greenfield land

Redevelopment of brownfields is the epitome of “Smart Growth”

Tools to Promote Brownfield Redevelopment Tools to Promote Brownfield Redevelopment

Brownfields Legislation Community Improvement PlansMarketing of RedevelopmentOpportunities

Brownfields Legislation Brownfields Legislation

BFSLAA (Bill 56) introduced in May 2001, received Royal Assent in Nov. 2001 Purpose – “encourage revitalization of contaminated land (brownfields) by way of limiting liability and providing financial assistance”Bill 56 amended several Provincial Acts including: – Environmental Protection Act (EPA) – Municipal Act– Municipal Tax Sales Act– Planning Act

1st set of regulations (298/02) passed on Dec.1/02 – Liability Limitation for Certain Actions Taken Under EPA– Municipal Tax Sales Act– Planning Act

2nd set of regulations (153/04) took effect on Oct. 1/04 – Current guidelines became regulations– Liability protection for owners filing Record of Site Condition (RSC)– Environmental Site Registry– Qualified Persons (QP)– Risk Assessment requirements– Financial assistance (education tax freeze/cancellation) - BFTIP

3rd set of regulations passed on October 1/05 – Certain Changes of Property Use require an RSC (Part IV)– Certificates of Property Use (Part X)

Brownfields Legislation

Budget Measures Act (No. 2) - Dec/05– Streamlines and improves BFTIP

Planning and Conservation Land Statute Amendment Act - Jan/07– Expanded definition of eligible costs for grants and loans

Municipal Statute Law Amendment Act – Jan/07– Allows for removal of provincial Crown liens– Municipalities now have 2 years to vest a property after failed tax sale– Revenue sharing arrangement between municipalities and the

provinceBudget Measures and Interim Appropriation Act – May/07– Clarification of liability for off-site migration*– New process for filing RSC* – Municipalities now protected from inaccuracies in the RSC* Awaiting regulations

Amendment to O. Reg 153/04 – April 1/08 – New more stringent requirements for QPs (to take effect on Oct.1/09)

Brownfields Legislation

What is a CIP?What is a CIP?

S. 106 of Municipal Act prohibits bonusing S. 28 of Planning Act - exception for CIP’sMunicipality may designate a community improvement project areaOnce a CIP is approved, a municipality may:– acquire, lease, sell, hold, clear, or otherwise prepare land for

community improvement– construct, repair, rehabilitate or improve buildings on municipal land– make grants/loans to owners, tenants and their assignees to pay

for eligible costs as specified in the CIP

OP must have appropriate policies that enable preparation of CIP and municipal use of financial incentive tools.

Goals of a Brownfields CIPGoals of a Brownfields CIP

Improve environmental health and public safetyImprove the physical and visual quality of brownfield sitesRetain and increase employment opportunitiesIncrease assessment values and property tax revenuesStimulate private sector investment in brownfield remediation, rehabilitation, adaptive reuse and redevelopmentMake more efficient use of existing infrastructure and servicesReduce urban sprawl and its related costsImprove energy efficiency of new and existing buildingsProvide opportunities for affordable housing and mixed uses/ live-work opportunities

Financial Incentives Financial Incentives

Potential Types of Financial Incentives– Environmental Study Grants– Tax Assistance (BFSLAA)– Up-front Clean-up Grants/Loans– Tax Increment Financing Based Grants– Development Charge Exemption/Waiver– Development and Building Fee Rebates

Proactive Municipal Leadership Program– RFP’s on failed tax sale properties– Active financial participation in public-private partnerships and

pilot projects

Financial IncentivesFinancial Incentives

Best Practices Review – comparison of 11Ontario municipalities, including Niagara Falls and Welland– Types of Incentive Programs Offered– Municipal Leadership Programs– Geographic Approach to Brownfield Redevelopment– Planning Policies– Data Bases and Inventories– Marketing and Education Programs– Monitoring Programs– Implementation Experience and Results

Financial IncentivesFinancial Incentives

Implications for Fort Erie Implications for Fort Erie

BFSLAA presents both opportunities and risks – key to maximize opportunities while minimizing risk Town must prepare and adopt a CIP in order to provide financial assistance to brownfields Once CIP approved, financial incentive programs should be implemented using comprehensive and well developed implementation plan:– Program Guides– Application Forms– Legal Agreements– Administrative Procedures– Marketing of Incentive Programs and

Redevelopment Opportunities

Marketing Marketing

Tools Used in Fort Erie Tools Used in Fort Erie

Fort Erie Review of Immediate Land Development Opportunities (2003)Revision to Official Plan policies on Community Improvement and Potentially Contaminated Properties (2006)Grant funding received from FCM to prepare CIP Participation in NEDC Redevelopment Opportunities Project (2007-2008)NEW - Brownfields CIP (2008)

Assessment and Remediation Approaches/ TechnologiesAssessment and Remediation Approaches/ Technologies

Site Assessment is always the first step A quality site assessment is key to accurately estimating remediation costs and avoiding “surprises”– Phase I ESA– Phase II ESA– Remedial Action Plan

Assessment and Remediation Approaches/ TechnologiesAssessment and Remediation Approaches/ Technologies

Restoration Approaches– Background Approach– Generic Approach

Full Depth RestorationStratified Restoration RSC submitted to MOE

– Risk Assessment (RA) Approach Permits exceedance of MOE standardsEngineering/Land Use Controls Certificate of Property UseStill requires RSC

Risk Assessment (RA) ApproachRisk Assessment (RA) Approach

Risk Assessment (RA) ApproachRisk Assessment (RA) Approach

Assessment and Remediation Approaches/ TechnologiesAssessment and Remediation Approaches/ TechnologiesEx-situ Technologies

– Excavation and disposal at approved landfill facility

– Bioremediation– Thermal desorption– Soil washing– Solvent extraction

In-situ Technologies– Bioremediation– Chemical oxidation– Phytoremediation – Soil vapour extraction/air sparging– Multi-phase extraction– Funnel and gate

Fort Erie Brownfields CIP ProcessFort Erie Brownfields CIP Process Public Meeting #1 Public Meeting #2 Public Meeting #3

A Introduction of the Brownfields CIP and Background Review

B Planning and Environmental Due Diligence Policies and Procedures

C Brownfield Strategy and Community Improvement Plan

Deliverables Brownfields Legislation Review Brownfields Information Package Brownfields Orientation Presentation

Deliverables Revised Official Plan Policies Environmental Due Diligence Procedure Guideline for Utilization of In-Situ Remediation

Deliverables Brownfield Strategy (Interim Report), including: i) Best Municipal Practices; ii) Critical Needs Analysis iii) Financial Incentive Programs iv) Municipal Leadership Strategy v) Economic Impact Analysis Brownfield CIP, including: i) Detailed Financial Incentive Programs ii) Administrative Procedures iii) Program Guides, Application Forms, Legal Agreements

Fort Erie Brownfields CIP Process Fort Erie Brownfields CIP Process

Comprehensive, integrated and multi-disciplinary approachPartnership approach with the Town and stakeholders to understand their needs and goalsConsultation with key stakeholders and the public will inform processFocus is on generating a realistic results-oriented CIP and all implementation materials

Questions and AnswersQuestions and Answers