OSHAWA CITY COUNCIL MINUTES August 23, 2012 Page 363

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1 364 OSHAWA CITY COUNCIL MINUTES August 23, 2012 Page 363 Minutes of a special meeting of the Council of the City of Oshawa held in the Council Chamber at 6:00 p.m. Mayor Henry and Councillors Aker, Bouma, Chapman, Diamond, England, Neal, Sanders, Pidwerbecki and Wood were present. Councillor Marimpietri was absent. Mayor Henry advised the purpose of the special meeting was to consider Report CM concerning the announcement by Oshawa Port Authority regarding the development of an ethanol refinery by FarmTech Energy Corporation. DECLARATIONS OF PECUNIARY INTEREST None. DELEGATION REQUEST 1. Larry Ladd requesting to address City Council concerning the Oshawa Port Authority s approval of an ethanol refinery at the Oshawa Harbour. Moved by Councillor Sanders, seconded by Councillor England, (335) That Larry Ladd be heard. CARRIED Larry Ladd addressed City Council opposing the Oshawa Port Authority s approval of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating an ethanol refinery is now local and national news and the document and money-trail are being investigated. Larry Ladd asked if Oshawa property taxes will increase to ensure the safety and security of residents and if property will be devalued due to the proximity of an ethanol refinery at the Oshawa Harbour. Larry Ladd requested Council support the recommendation contained in Report CM and oppose an ethanol plant at Oshawa Harbour. CORRESPONDENCE REQUEST 1. Dawn MacEachern opposing the Oshawa Port Authority s approval of an Ethanol Refinery at the Oshawa Harbour. Moved by Councillor Pidwerbecki, seconded by Councillor Bouma, (336) That Correspondence Request Item 1 from Dawn MacEchern opposing the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour be received for information. CARRIED Moved by Councillor Diamond, seconded by Councillor Chapman, (337) That Additional Agenda-Related Correspondence Items 1 to 14 be added to the Council Agenda for the August 23, 2012 special meeting. CARRIED ON A 2/3 VOTE OF MEMBERS PRESENT

2 365 City Council Minutes August 23, 2012 ADDITIONAL AGENDA-RELATED CORRESPONDENCE 1. Donna Taylor, CEO, Oshawa Port Authority (OPA) advising the City s representative on the OPA will be attending the August 23, 2012 Council meeting and it is the OPA s intention to hold an information session regarding the biofuels project in September Moved by Councillor Diamond, seconded by Councillor Chapman, (338) That in response to Additional Correspondence Item 1 from the Oshawa Port Authority, Bruce McArthur be heard. CARRIED 2. Olivia Chow, MP opposing the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour. Moved by Councillor Diamond, seconded by Councillor Bouma, (339) That Additional Correspondence Item 2 from Olivia Chow, MP opposing the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour be referred to staff. CARRIED 3. Brian Brasier and Hugh Peacock, Friends of Second Marsh requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. Moved by Councillor Diamond, seconded by Councillor England, (340) That the delegations referred to in Additional Correspondence Items 3 to 14 concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour be heard. CARRIED 4. Grant Karcich requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 5. Paul-André Larose requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 6. Jesse Cullen requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 7. Gail Bates requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 8. Robert Bell requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour.

3 366 City Council Minutes August 23, Tim Dobson requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. (WITHDRAWN - See Page 368) 10. Michael Maynard requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 11. Tom Mitchell requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 12. Rosemary McConkey requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 13. Satu Pernanen requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour. 14. Brian Nicholson requesting to address City Council concerning the development of an ethanol refinery at Oshawa Harbour and submitting a replacement motion for Council consideration. Bruce McArthur, City of Oshawa representative, Oshawa Port Authority addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating in 1995 there were 550 ports federally funded in Canada and now there are 18, adding Oshawa is the last of the Port Authorities and has a gateway strategy for economic stimulus. Bruce McArthur advised Hamilton received 600 to 700 ships at their port last year and Port Oshawa is currently experiencing a 40% increase in its revenues and the balance of the season looks good, but cautioned, the history of shipping is tenuous and can change rapidly. Bruce McArthur stated Oshawa Port s new rail spur will be opened for the 2013 shipping season and customers are currently lining up, including Pittsburgh, USA, adding Oshawa Port is recognized as an industrial port based on its second agreement with Council. Bruce McArthur advised a land use study will be undertaken in the near future. Moved by Councillor England, seconded by Councillor Bouma, (341) That Bruce McArthur s delegation time be extended. CARRIED ON A 2/3 VOTE OF MEMBERS PRESENT Bruce McArthur stated the Oshawa Port Authority is willing to have a public information meeting in conjunction with the City and FarmTech would be invited to attend. Bruce McArthur stated at the meeting the Port Authority could provide its business plan for the future and FarmTech could advise of the reasons for wanting to locate at Port Oshawa. Council members questioned Bruce McArthur.

4 367 City Council Minutes August 23, 2012 Brian Brasier, Friends of Second Marsh addressed City Council in opposition to the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating it is a completely inappropriate proposal as FarmTech does not have the required provincial environmental approvals and the community does not want an ethanol refinery on its waterfront. Brian Brasier suggested the City needs to be at the forefront of the legal and political battle to stop this and, as Friends of Second owns land at the harbour, it also has legal standing. Brian Brasier urged Council members to demand disclosure of the terms of permission the Oshawa Port Authority has given to FarmTech, stating the City is within its rights to protect its community and pursue every legal means possible to halt the development of an ethanol refinery at the Oshawa Harbour. Council members questioned Brian Brasier and Hugh Peacock. Grant Karcich addressed City Council opposing the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating the area has archaeological history that should be investigated, such as historical graves on Gifford Hill, schooners from the 1850s where the new rail spur has been built and wigwams in the Second Marsh area. Grant Karcich stated FarmTech s 2008 archeological assessment was not accepted by the Province but they were instead requested to produce a Level 1, 2 and 3 archeological assessment of the site which has not been done. Moved by Councillor Diamond, seconded by Councillor Sanders, (342) That Grant Karcich s delegation time be extended. CARRIED ON A 2/3 VOTE OF MEMBERS PRESENT Grant Karcich suggested City Council request the Oshawa Port Authority release FarmTech s previous archeological study as there are probably many sites to protect on the harbour lands. Council members questioned Grant Karcich. Paul-André Larose addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour describing it as the worst possible location and stating the Second Marsh will suffer from its footprint. Paul-André Larose suggested it would be more logical to develop the refinery where the bulk of the corn production comes, thereby reducing transportation costs to farmers. Paul-André Larose stated, irrespective of the controversial merits of ethanol, this development has short term vision and does not protect the future. Jesse Cullen addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating it is an attack on working people and the Conservatives are catering to the economically elite. Jesse Cullen encouraged people to oppose an ethanol refinery at the Oshawa Harbour and stand together to resist its development.

5 City Council Minutes August 23, 2012 Gail Bates addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating she agrees with the recommendation contained in Report CM-12-36, and leasing Crown land to permit the development of an ethanol plant at the Oshawa Harbour was carried out in secrecy to allow FarmTech Energy to circumvent the law. Gail Bates listed the known toxins caused by ethanol and described their effect on humans. Councillor members questioned Gail Bates. Robert Bell addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour and provided some history of the habour area. Robert Bell stated ethanol is scientifically unsound and listed the negative effects of ethanol, such as thermal issues, pollution discharges, corn dust and slurry transport. Robert Bell stated he is prodevelopment but if an ethanol facility is built there will be a constant queue of trucks at the lake, and expressed that Oshawa Harbour should have a mixed use instead of an industrial use. Robert Bell stated the First Nations of Mohawk, Iroquois and Mississauga should be contacted for their support and supported spending taxpayer money to legally challenge this development. Council members questioned Robert Bell. Moved by Councillor England, seconded by Councillor Bouma, (343) That the meeting recess. CARRIED The meeting recessed at 7:59 p.m. and reconvened at 8:10 p.m. All Council members were present following the recess except Councillors England and Marimpietri. Tim Dobson addressed City Council in opposition to the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating support for previous speakers comments. Tim Dobson listed human health, truck traffic and the inferiority of ethanol as reasons to oppose its development. Tim Dobson supported Council using tax monies to oppose an industrial waterfront in Oshawa, stating the community has evolved since previous agreements were struck. Tim Dobson expressed disappointment that Oshawa s MP and MPP were not in attendance. Michael Maynard addressed City Council in opposition to the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating an ethanol facility at the Oshawa Harbour will destroy any possibility of a mixed-use harbour and is not a good deal to create a few jobs. Michael Maynard suggested the recommendation contained in Report CM needs to address consequences for non-compliance with the City s requests, and clearly state that appropriate legal remedies will be pursued if needed. Michael Maynard stated that although the City does not have planning authority on the port lands, as a neighbor they cannot cause a nuisance to adjoining lands. Councillor England re-entered the meeting during the delegation of Michael Maynard. 368

6 369 City Council Minutes August 23, 2012 Council members questioned Michael Maynard. Tom Mitchell was not in attendance to address City Council. Rosemary McConkey addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour and questioned the goal of a public meeting with the Oshawa Port Authority if the City is powerless to change anything. Rosemary McConkey supported the City responding to the Oshawa Port Authority announcement with more force than the recommendation contained in Report CM Satu Pernanen addressed City Council concerning the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating the primary focus should be to get written confirmation from the Province that FarmTech must apply and receive approval for emissions before any construction begins. Satu Pernanen stated all comments provided to the Ministry of Agriculture and Agri-Foods Canada last year should be made available to the public and expressed concern with recommendation parts 5 and 6 contained in Report CM naming one environmental consultant. Satu Pernanen opposed the Oshawa Port Authority hosting a public meeting until all documents are released to the public and suggested Council hire the best environmental lawyer available to fight this development. Brian Nicholson addressed City Council opposing the Oshawa Port Authority s approval of the development of an ethanol refinery by FarmTech Energy Corporation at the Oshawa Harbour stating Council has a responsibility to defend taxpayer s money spent to develop a people-friendly waterfront in Oshawa. Brian Nicholson stated Report CM advises there is no legal authority to protect our community from an ethanol plant, but stated there is a moral authority to make something of the Oshawa waterfront other than a stinky, noisy, truck-ridden ethanol plant. Brian Nicholson encouraged Council members to join with Second Marsh and stay firm and fight for Oshawa taxpayers, and requested Council consider replacing the recommendation in Report CM with the stronger language he submitted, stating the right people can stop this development with the stroke of a pen and should be demanded to do so.

7 City Council Minutes August 23, 2012 COMMITTEE OF THE WHOLE REPORT 1. Bob Duignan, City Manager submitting Report CM concerning the Announcement by Oshawa Port Authority regarding the Development of an Ethanol Refinery by FarmTech Energy Corporation Recommendation (AMENDED - PARTS 1(b), 1(c), 2, 3, 5 and 6 PART 1(d) WITHDRAWN See Pages ) 1. That the City of Oshawa: 370 a) Reaffirm its opposition to an ethanol refinery at the Oshawa harbour/waterfront and its disappointment with the recent decision of the Oshawa Port Authority to approve a lease for an ethanol refinery by FarmTech Energy Corporation; and b) Request that, given the unavailability of information and the community s interest in the Oshawa Port Authority (OPA) decision to enable the development of an ethanol refinery, the OPA hold a transparent and open public meeting to address City and community concerns, explain its decision to approve a lease for the refinery, the development plan for the proposed refinery and the environmental safeguards that will be implemented and that the meeting format include an opportunity for questions and answers; and c) Provide the Oshawa Port Authority, at no cost, the use of the General Motors Centre, including a full set up for a public meeting (e.g. stage, sound system, floor seating, etc.), to hold the public meeting and that the City also pay the cost to reasonably advertise the meeting in local newspapers; and d) Fund the City s costs for advertising and accommodating the Oshawa Port Authority s public meeting from the Oshawa Harbour Redevelopment Project account. 2. That the Oshawa Port Authority be requested to provide the City with the following by Wednesday, September 26, 2012: Any and all public motions, ratifications or other public information associated with its approval of a land lease for FarmTech; Evidence that the Oshawa Port Authority formally determined, as part of any decision to approve an ethanol refinery by FarmTech, that the project would not likely cause significant adverse environmental effects and the rationale for such a determination; and

8 371 City Council Minutes August 23, 2012 Evidence that the Oshawa Port Authority formally determined that any lease with FarmTech represents fair market value and the rationale for such determination. 3. That, pursuant to Section 13 of the Land Use, Development and Municipal Services Agreement between the Oshawa Harbour Commission and the City, the Oshawa Port Authority meet with City Council to discuss its recent decision regarding an ethanol refinery, the plans for the refinery and the lack of timely notice and consultation in respect to the announcement. 4. That City staff contact federal and provincial staff to make them aware of the ethanol project and to confirm what approvals will be required. 5. That the Oshawa Port Authority and/or FarmTech Energy Corporation be requested to engage AMEC Earth and Environmental (the independent third party environmental consultant used by Public Works and Government Services Canada to screen FarmTech s Environmental Assessment submission) to review the issues raised by the City in the City s submission to the Federal Government in respect to FarmTech s 2011 Federal Environmental Assessment and to identify any additional actions FarmTech should take to protect the environment. 6. That the Oshawa Port Authority be requested to require that FarmTech implement all of the environmental safeguards and monitoring identified by FarmTech and its consultants as part of the 2011 Federal Environmental Assessment process and any recommendations resulting from AMEC s review as identified above through legal and binding agreements and that the Port Authority also engage AMEC to ensure compliance during the construction phase and at regular monitoring intervals thereafter. 7. That the Central Lake Ontario Conservation Authority (CLOCA) be requested to advise what regulatory actions it can and will take in respect to the development of the ethanol refinery on the Gifford Hill and to require that any and all approvals required from CLOCA for said refinery be considered by the CLOCA Board and not be delegated to staff. 8. That the Oshawa Port Authority, Local MP s and all members of the Federal and Provincial Cabinets and the Region of Durham be provided a copy of this resolution. 9. That MP Honourable Jim Flaherty and MP Dr. Colin Carrie and the Federal Minister of Transportation, Infrastructure and Communities be requested to write the Oshawa Port Authority in support of this Council resolution and encourage the Oshawa Port Authority to undertake the actions requested by this resolution.

9 City Council Minutes August 23, 2012 Moved by Councillor Pidwerbecki, seconded by Councillor Bouma, (344) That Council adopt the recommendation contained in Report CM concerning the announcement by Oshawa Port Authority regarding the development of an ethanol refinery by FarmTech Energy Corporation. CARRIED AS AMENDED BY THE FOLLOWING MOTIONS The motion was divided upon request to vote on each part separately. Part 1(a) CARRIED ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Aker, Bouma, Chapman, Diamond, Neal, Pidwerbecki, Sanders, Wood and Mayor Henry NEGATIVE Councillor England Moved by Councillor Diamond, seconded by Councillor Bouma, (345) That Part 1(b) be amended by replacing the words community s interest with the words community s deep concern. CARRIED Moved by Councillor England, seconded by Councillor Neal, (346) That Part 1(b) be further amended to delete the words explain its decision and insert the words provide the lease in accordance with Section 8.3 of the letters patent to prove fair market value or provide written consent of the Minister that the initiative was approved by the Treasury Board. TABLED BY THE FOLLOWING MOTION Moved by Councillor Diamond, seconded by Councillor England, (347) That the amendment concerning Part 1(b) be tabled to later in the meeting. CARRIED Part 1(b) as amended CARRIED ON THE FOLLOWING VOTE Moved by Councillor England, seconded by Councillor Neal, (348) That Part 1(c) be amended by replacing the words no cost with the words full cost. CARRIED ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Bouma, Chapman, Diamond, England, Neal and Sanders NEGATIVE Councillors Aker, Pidwerbecki, Wood and Mayor Henry 372

10 373 City Council Minutes August 23, 2012 Part 1(c) was divided upon request to vote on the part related to a public meeting separately from the City paying the cost to advertise in local newspapers. The part of Part 1(c) related to a public meeting CARRIED ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Aker, England, Neal, Pidwerbecki, Sanders and Mayor Henry NEGATIVE Councillors Bouma, Chapman, Diamond and Wood The part of Part 1(c) related to the City paying the cost to advertise in local newspapers LOST ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Neal, Pidwerbecki and Mayor Henry NEGATIVE Councillors Aker, Bouma, Chapman, Diamond, England, Sanders and Wood Council concurred to withdraw Part 1(d) as it is moot based on Part 1(c) as amended. Moved by Councillor Chapman, seconded by Councillor Diamond, (349) That the preamble in Part 2 be amended by inserting the words or at least one week prior to the meeting requested in 1(b) and the intention as confirmed in Donna Taylor s of August 22, 2012 whichever is first following the words Wednesday, September 26, CARRIED ON THE FOLLOWING VOTE Moved by Councillor Diamond, seconded by Councillor Chapman, (350) That the preamble in Part 2 be amended by inserting the words While continuing to assert the community s absolute lack of support for the construction and operation of an ethanol refinery at Port Oshawa, prior to the words that the Oshawa Port Authority be requested. CARRIED ON THE FOLLOWING VOTE Pidwerbecki, Sanders and Mayor Henry NEGATIVE Councillor Wood

11 City Council Minutes August 23, 2012 The preamble in Part 2 CARRIED AS AMENDED ON THE FOLLOWING VOTE Moved by Councillor England, seconded by Councillor Bouma, (351) That the first bullet in Part 2 be amended by adding the words together with a copy of the lease following the word FarmTech. CARRIED ON THE FOLLOWING VOTE The first bullet in Part 2 CARRIED AS AMENDED ON THE FOLLOWING VOTE Moved by Councillor Diamond, seconded by Councillor England, (352) That the second bullet in Part 2 be amended by deleting the word likely. CARRIED The second bullet in Part 2 CARRIED AS AMENDED ON THE FOLLOWING VOTE 374

12 375 City Council Minutes August 23, 2012 The third bullet in Part 2 CARRIED ON THE FOLLOWING VOTE Moved by Councillor Chapman, seconded by Councillor Bouma, (353) That the meeting recess. CARRIED The meeting recessed at 9:55 p.m. and reconvened at 10:05 p.m. All Council members were present except Councillors England and Marimpietri. Moved by Councillor Diamond, seconded by Councillor Chapman, (354) That Part 3 be amended by replacing the word discuss with the word examine. CARRIED Part 3 CARRIED AS AMENDED ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Aker, Bouma, Chapman, Diamond, Neal, Pidwerbecki, Sanders, Wood and Mayor Henry Absent Councillors England and Marimpietri Councillor England re-entered the meeting. Part 4 CARRIED ON THE FOLLOWING VOTE Moved by Councillor Diamond, seconded by Councillor Chapman, (355) That Part 5 be amended by replacing the words AMEC Earth and Environmental (the independent third party environmental consultant used by Public Works and Govemment Services Canada to screen FarmTech's Environmental Assessment submission) with the words an independent qualified environmental consultant. CARRIED

13 City Council Minutes August 23, 2012 Part 5 CARRIED AS AMENDED ON THE FOLLOWING VOTE Moved by Councillor Diamond, seconded by Councillor Chapman, (356) That Part 6 be amended by adding the words Earth and Environmental following the word AMEC. CARRIED Part 6 CARRIED AS AMENDED ON THE FOLLOWING VOTE Part 7 CARRIED ON THE FOLLOWING VOTE Pidwerbecki, Sanders and Mayor Henry NEGATIVE Councillor Wood Part 8 CARRIED ON THE FOLLOWING VOTE Part 9 CARRIED ON THE FOLLOWING VOTE Pidwerbecki, Sanders and Mayor Henry NEGATIVE Councillor Wood 376

14 377 City Council Minutes August 23, 2012 Moved by Councillor Pidwerbecki, seconded by Councillor Diamond, (357) That Oshawa City Council direct Mayor John Henry to request that the Federal Ethics Commissioner investigate the appointments of the Board of Directors and the Chairman of the Oshawa Port Authority (OPA), and the relationship directly or indirectly to the Honourable Jim Flaherty, and the FarmTech Energy Corporation regarding the OPA decision to build an ethanol refinery at the Oshawa Harbour. CARRIED ON THE FOLLOWING VOTE AFFIRMATIVE Councillors Bouma, Chapman, Diamond, England, Pidwerbecki, Sanders and Mayor Henry NEGATIVE Councillors Aker, Neal and Wood Moved by Councillor Pidwerbecki, seconded by Councillor Sanders, (358) That the Office of the Mayor issue a press release to be sent across the country summarizing tonight s meeting. CARRIED ON THE FOLLOWING VOTE CONFIRMING BY-LAW Moved by Councillor Wood, seconded by Councillor Sanders, (359) That the Confirming By-law be passed. CARRIED A by-law to confirm the City Council meeting of August 23, ADJOURN Moved by Councillor Neal, seconded by Councillor Aker, (360) That the meeting adjourn. CARRIED The meeting adjourned at 10:51 p.m.