Prepared by The Calgary Aggregate Producers Group, June 2012 May 25, 2015 CEAC Aggregate Workshop

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1 ROCKY VIEW AGGREGATE RESOURCES DISCUSSION PAPER Prepared by The Calgary Aggregate Producers Group, June 2012 May 25, 2015 CEAC Aggregate Workshop

2 WHO IS CAPG? The four CAPG companies have operated in Calgary region for decades and represent about 90% of production in the region. The four CAPG companies have operations straddling Calgary Spy Hill and Rocky View Bearspaw. CAPG does not speak for all aggregate producers. The Alberta Sand and Gravel Association (ASGA) is an industry association that represents all members. CAPG members cooperate to provide input on public issues and shared concerns (e.g., truck route planning in NW Calgary and regional aggregate land use policies). CAPG released its first discussion paper about regional supply and demand trends in May 25, 2015 CEAC Aggregate Workshop 2

3 A GRAVEL PLAN STAKEHOLDERS.the County should develop a comprehensive plan and policy on how to deal with gravel resources in the County, the siting and approval of gravel operations, and the mitigation of impacts on surrounding land uses, groundwater resources, and residents Reeve s Task Force on Growth Planning County Council and Administration Aggregate Industry Rocky View Aggregate Resources Policy Community Stakeholders A comprehensive plan should allow for discussion of a broad range of values including important economic and environmental values in addition to cultural values and social well-being Regional Metro and Inter- Municipal Plans Alberta Government Departments May 25, 2015 CEAC Aggregate Workshop 3

4 GRAVEL BASICS Aggregates are not abundant throughout the region. They are a limited, non-renewable natural resource. Aggregates are used in many forms including asphalt and concrete to support our infrastructure and construction projects. Needed to build roads and sidewalks, homes and office building, sports fields, schools and community centres, utilities, hospitals and airports A downtown office tower uses over 100,000 tonnes of gravel. A primary highway uses 18,000 tonnes per lane mile. Construction at the Calgary airport used about 5 million tonnes. Continued economic prosperity is tied to economical access to aggregate resources. Like other limited, non-renewable natural resources (e.g. oil, agricultural land, water and forests) we need to manage them wisely. Resource management is a regional and intermunicipal management concern because they are a critical input to our society and our way of life. May 25, 2015 CEAC Aggregate Workshop 4

5 REGULATORY SYSTEM FEDERAL PROVINCE COUNTY Fisheries Migratory Birds Public Lands Water Act (EPEA) Wildlife (EPEA) Weed Control (EPEA) Code of Practice For Pits Historical Resources (Culture) Land Use and Development Permit Hours of Operation Buffers Noise Dust Haul Routes and Traffic Land Use Bylaw approval determines location DP determines more detailed requirements Rocky View County also requires a Master Site Development Plan, prior to Land Use or DP approval RVC requires an applicant to obtain all Provincial permits Once operations begin AESRD can require the operator to show proof of County Development Permit May 25, 2015 CEAC Aggregate Workshop 5

6 LAND USE POLICIES ROCKY VIEW COUNTY MUNICIPAL DEVELOPMENT PLAN consider known potential natural resources when evaluating proposals for redesignation refer proposals for subdivision and development to the appropriate Provincial and/or referral agencies to assist in identifying potential natural resources Area structure plans should identify areas of known potential natural resources and establish land use planning strategies for the subdivision and development of lands containing or in proximity to these resources When considering a proposal for natural resource use, the Municipality shall review the: surrounding land uses balance of social and economic benefits accessibility and adequacy of the Municipal road system reclamation plan for the lands; comments received from Provincial and/or referral agencies; management plan for the handling and storage of hazardous or other waste materials, stormwater management; and additional information the Municipality may deem appropriate. SOUTH SASKATCHEWAN REGIONAL PLAN, Strategy 1.18 Work with municipalities, industry and other stakeholders to identify areas of existing and future extraction of surface materials and mineral resources and determine appropriate land uses in the vicinity of these resources. May 25, 2015 CEAC Aggregate Workshop 6

7 Municipal Site Development Plan Development Rationale Operations Plan Phasing Plan Reclamation Plan Cumulative Impacts Traffic Impact Assessment Stormwater Management Plan Ground and surface water study Environmental Overview Noise and Dust Mitigation study Erosion and weed management Summary of Provincial Approvals Community Consultation results May 25, 2015 CEAC Aggregate Workshop 7

8 SUPPLY SITUATION (2012) AREA MILLION TONNES Spy Hill 130 West/Northwest 40 Southeast 20 Northeast 10 TOTAL 200 Provincial STAR 100 TOTAL with STAR 300 May 25, 2015 CEAC Aggregate Workshop 8

9 DEMAND SITUATION We use about 10 tonnes per person per year in urban areas and 20 tonnes per person in rural areas. We use about 11 million tonnes per year for Rocky View and Calgary includes aggregates used in concrete and asphalt. Consumers will demand about 760 million tonnes during next 50 years compared to 200 million in approved pits. Where will we get this additional 560 million tonnes come from? May 25, 2015 CEAC Aggregate Workshop 9

10 WHERE WILL WE GET AGGREGATES? Along river valleys and stream channels in west Rocky View Glendale, Big Hill Springs and Weedon Trail areas in northwest Rocky View Sundre and Canmore deposits are too far away to be economical for large markets Use of remaining close-to-market deposits will help keep infrastructure costs affordable, while minimizing community impacts related to trucking and air emissions Close-to market aggregates also keep taxes, jobs, and CAP levies in Rocky View May 25, 2015 CEAC Aggregate Workshop 10

11 COMMUNITY IMPACT OF LONG-DISTANCE TRUCKING Longer trucking times and distances means: Higher $$ cost for construction and public infrastructure projects Greater air pollution and carbon loading Greater impact on local roads and communities adjacent to longer truck routes Example: A 30,000 tonne order of mixed specification aggregates for a community sports field can cost $2,600,000 in Fort McMurray compared to $550,000 in Calgary. The difference is partly due to higher aggregate cost in northern Alberta but is mainly due to long trucking hauls. This sports field project would generate 700 truckloads between Edmonton and Fort McMurray May 25, 2015 CEAC Aggregate Workshop 11

12 COMMUNITY CONSULTATION Early consultation and involvement with community and neighbours there s always room for improvement Industry commitment to appropriate mitigation, monitoring and enforcement of Best Management Practices (BMP) Consider use of good-neighbour agreement to reinforce site-specific commitments Work with the County to identify and incorporate local community benefits where appropriate Define the ongoing communication program that will continue during operations May 25, 2015 CEAC Aggregate Workshop 12

13 BEST MANAGEMENT PRACTICES Coordinate provincial requirements and municipal requirements Use simple standards for small pits in remote locations. Use performance standards for large pits in sensitive locations. Promote investment and innovation by operators. Mitigation practices and technology is always improving. Need tools to support commitments to implement, monitor and enforce BMPs and performance standards Review existing BMPs for aggregate operations (e.g., Alberta Environment Guide to the Code of Practice for Pits, Aggregate Operators BMPs Handbook for British Columbia) Identify and protect truck routes. Ensure appropriate development adjacent to truck routes. STANDARDS community consultation noise level air quality visual appearance surface and groundwater natural environment soil conservation reclamation landscape truck routing May 25, 2015 CEAC Aggregate Workshop 13

14 RECLAMATION THAT FITS Carburn Park Red Deer River reclamation is financially secured by Alberta Environment and Sustainable Development (AEPEA Code of Practice for Pits) wetlands and streams are regulated under AEPEA Public Lands and Water Act applications Inland Athletic Park Foothills Residential reclamation can be ongoing so that active areas are smaller look for community fit and local benefits in the reclamation land use reclamation and end-use can be coordinated with County land use policies May 25, 2015 CEAC Aggregate Workshop 14

15 COMMUNITY BENEFITS The regional population, environment and economy benefit from close-to-market aggregates Producers are contributing over $1,000,000 in CAP dollars to the County each year. This amount is expected to grow. Opportunities for improved land uses upon reclamation More local jobs and municipal revenue Decreased truck traffic (closer pits = fewer trucks) Additional County benefits should be discussed early in the planning process rather than at the Public Hearing May 25, 2015 CEAC Aggregate Workshop 15

16 COMMUNITY AGGREGATE PAYMENT CONTRIBUTIONS (CAP LEVY) Source: ASGA Rockyview City Of Calgary Province of AB 2006 $ 896, $ - $ 4,346, $ 1,586, $ - $ 6,505, $ 1,416, $ 1,100, $ 6,776, $ 1,141, $ 900, $ 5,813, $ 1,000, $ 1,470, $ 6,945, $ 1,042, $ 1,314, $ 8,170, $ 1,119, $ 1,743, $ 9,609, $ 1,034, $ 1,357, $ 9,306, $ 1,000, $ 1,250, $ 9,250, Estimated 2015 $ 1,000, $ 1,250, $ 9,250, Estimated $ 11,237, $ 10,385, $ 75,973, $0.25 / tonne levy paid by private producers Created as means to demonstrate value of gravel to local communities Long term goal to foster support towards gravel and reduce sterilization of resources Funds to be allocated into communities affected by Sand and Gravel Operations May 25, 2015 CEAC Aggregate Workshop 16

17 REVENUE TO MUNICIPALITY (Source: ASGA) Gravel pits typically assessed at increased land value The property tax mill rate is also typically higher (business vs Farmland) May 25, 2015 CEAC Aggregate Workshop 17

18 AGGREGATE RESOURCE PLANNING ROLES Province and Regional soil conservation and reclamation security under Code of Practice EPEA Water Act protection of wetlands, surface water and groundwater aggregate conservation policies mapping of aggregate deposits and truck routes provincial air quality standards and monitoring CAP legislation County aggregate conservation policies mapping of aggregate deposits and truck routes communication with industry and community residents performance standards coordinated with existing national and provincial standards test of reasonableness clear requirements for MSDP and LUB applications off-site levies and special development conditions Aggregate industry contribute CAP levies maintain, improve and enforce Truck Registry System for trucking safety other industry-wide initiatives through ASGA communication with municipality and community residents continuous improvement by operators in environmental protection, impact mitigation and community engagement May 25, 2015 CEAC Aggregate Workshop 18

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