TABLE OF CONTENTS

REPORTS OF THE STANDING COMMITTEES

AND OTHER COMMITTEES

As Considered by

The Council of the City of Toronto

on March 4, 5 and 6, 1998

WORKS AND UTILITIES COMMITTEE

REPORT No. 2

1Beneficial Use of Biosolids; Odour Containment and Termination of Incineration at Main Treatment Plant

21998 Environment Days

3Extension of Contract No. 50130 - Provision ofBulk Lift Garbage and Recycling Collection Services -Toronto and York Community Council Areas

4Rehabilitation of Sewers at Various Locations in theCity of Toronto - Award of Contract No. 58537

5Waste Management Facilities Proposedfor Dufferin Transfer Station Site

6Other Items Considered by the Committee

City of Toronto

REPORT No. 2

OF THE WORKS AND UTILITIES COMMITTEE

(from its meeting on February 11, 1998,

submitted by Councillor Betty Disero, Chair)

As Considered by

The Council of the City of Toronto

on March 4, 5 and 6, 1998

1

Beneficial Use of Biosolids;

Odour Containment and Termination of

Incineration at Main Treatment Plant

(City Council on March 4, 5 and 6, 1998, amended this Clause by:

(1) striking out and referring Recommendation No. (1) of the Works and Utilities Committee back to the Committee for further consideration and resubmission to the next regular meeting of Council to be held on Thursday, April 16, 1998, viz.:

"(1) incineration at the Main Treatment Plant be stopped no later than January 1, 1999, and that the Interim Functional Lead for Water/Wastewater Operations be requested to report to the next meeting of the Committee, scheduled to be held on March 25, 1998, on the feasibility of such date;"; and

(2) striking out Recommendation No. (2) of the Works and Utilities Committee and inserting in lieu thereof the following:

"(2) Harbour Remediation and Transfer Inc. be authorized to start testing immediately;".)

The Works and Utilities Committee recommends that:

(1) incineration at the Main Treatment Plant be stopped no later than January 1, 1999, and that the Interim Functional Lead for Water/Wastewater Operations be requested to report to the next meeting of the Committee, scheduled to be held on March 25, 1998, on the feasibility of such date;

(2) the Harbour Remediation & Transfer Inc. facility not be restarted for testing of any kind until a report is submitted for approval of the Works and Utilities Committee outlining the additional odour controls which will be in place at that time;

(3) an odour containment program be implemented at the Main Treatment Plant, and that the Interim Functional Lead for Water/Wastewater Operations be requested to submit a report to the next meeting of the Committee on the measures taken to ensure that odours are monitored and reduced, such report to also provide the history and operational information related to the biosolids loading building at the Main Treatment Plant;

(4) the Province of Ontario be urged to release the necessary regulations to facilitate beneficial use of biosolids; and

(5) the proposed Biosolids Management and Implementation Plan be submitted to the Works and Utilities Committee, and that it include the following components:

(i) a 100 percent diversion from incineration target with an appropriate timeline;

(ii) an independent, expert evaluation panel as previously endorsed by Metropolitan Council;

(iii) the necessary expert staffing plan to support the Plan;

(iv) a strategy for inviting and considering a wide range of alternative technologies and processes for beneficial use of biosolids;

(v) a process for involvement of citizens in the process of developing, refining and monitoring the beneficial use of biosolids, such process to be developed in conjunction with the Councillors for the Don River and East Toronto wards; and

(vi) consideration of a rapid shift of biosolids to existing biosolids processing facilities in Southern Ontario.

The Works and Utilities Committee reports, for the information of Council, having requested the Interim Functional Lead for Water/Wastewater Operations to:

(1) submit a report to every other meeting of the Committee on the status of the biosolids program;

(2) submit a report to the Committee on:

(i) the optimal time for restarting the Harbour Remediation & Transfer Inc. demonstration project;

(ii) the costs to accelerate odour abatement at the Main Treatment Plant;

(iii) odour control processes in place at the Highland Creek Treatment Plant and the Humber Treatment Plant;

(iv) information referred to during the meeting respecting the sewage treatment plant in Hamilton, Ontario; and

(v) undertaking a series of testing of samples of sludges through other existing locations; and

(3) involve outside consultants in the preparation of future Requests for Proposals for biosolids treatment.

The Works and Utilities Committee submits the following report (January 29, 1998) from the Interim Functional Lead for Water/Wastewater Operations:

Recommendation:

That this report be received for information.

Council Reference/Background/History:

At its meeting held on January 14, 1998, when dealing with Clause No. 1 of Report No. 13 of The Environment and Public Space Committee, headed "Biosolids Demonstration Facility - Harbour Remediation & Transfer Inc.", adopted as amended by Metropolitan Council on December 10 and 18, 1997, the Works and Utilities Committee deferred consideration of this matter, with a request that the appropriate staff submit a report to the next meeting on the status of the project, and on further demonstration projects which move towards 100 percent diversion of biosolids from incineration.

Comments and/or Discussion and/or Justification:

We have signed the Amended Agreement with Harbour Remediation & Transfer Inc. (HR&T) that was attached to Clause No. 1 of Report No. 13 of The Environment and Public Space Committee approved by Metropolitan Council at its meeting of December 10 and 18, 1997.

The consultant engaged by HR&T to characterize the odours and odour sources last fall has been engaged to design and install the new odour control facilities. Until these facilities are installed, no biosolids will be shipped to HR&T. The only exception to this condition would be to test possible odour equipment or unless full scale operation is required to assist in the design of the new system. Such operation would be short in duration and all precautions would be taken to reduce and control the impact on the community. If testing is required, prior notification to the local councillors and the community will be undertaken.

It is anticipated that the fully designed system will be in place by July 1998 for full operation.

As part of the Main Treatment Plant Environmental Assessment, an assessment of biosolids management alternatives was undertaken to:

(a) determine the preferred strategy for meeting future solids treatment needs in the Main Treatment Plant service area; and

(b) address public concerns regarding incineration.

The assessment identified four alternatives to incineration; they were direct land application, alkaline stabilization, thermal drying and composting. It recommended demonstrating these alternatives before moving into full scale operation in order to ensure:

(1) reliability and diversity of end use markets;

(2) regulatory acceptance and compliance;

(3) public acceptance; and

(4) economic viability.

We have two demonstration projects, one which covers direct land applications, Terratec Environmental Limited, and one which covers alkaline stabilization, Harbour Remediation & Transfer Inc. Each project is diverting 10,000 dry tonnes of solids from the incineration process at the Main Treatment Plant.

The following plan has been proposed for the demonstration of the thermally dried and the composted alternatives.

(1) A Toronto Biosolids Management and Implementation Plan will be formally initiated to chart the next steps in demonstration projects to achieve 100 percent biosolids utilization.

(2) A public workshop will be held in the spring of 1998 for all interested stakeholders, including industry representatives, to discuss ideas regarding the development of demonstration projects for a composted product and a thermally dried product.

(3) Following the workshop, a draft strategy document for further biosolids utilization will be issued for public comment in the summer of 1998.

(4) Upon completion of the strategy document, an Expression of Interest will be issued to the marketplace to obtain preliminary cost estimates and confirm the scope of the project with interested suppliers. A report will be forwarded to Committee and Council outlining estimated costs and confirmation of the terms of reference for a Request for Proposals (RFP).

(5) Subsequent to approval to proceed, an RFP will be issued to engage the marketplace in the identification of the appropriate technologies, markets and associated costs. After evaluation of the proposals, a recommendation will be made to Committee and Council.

(6) Approval for these two demonstration projects will be sought from Committee and Council in early 1999.

Conclusion:

We will continue to work with HR&T to ensure that the odour control equipment will resolve their odour problems, and to allow the alkaline stabilization process to be adequately demonstrated.

In addition, we will move forward the plan, as described, to demonstrate the two other alternatives identified in the Main Treatment Plant Environmental Assessment: composting and thermal drying.

Contact Name:

Mr. R.M. Pickett, Director, Water Pollution Control

Telephone: (416) 392-8230, Fax: 397-0908

E-mail: bob_pickett@metrodesk.metrotor.on.ca

________

The following persons appeared before the Works and Utilities Committee in connection with the foregoing matter:

- Ms. Karen Buck, Toronto, Ontario, and submitted a communication with respect thereto;

- Ms. Karey Shinn, Chair, Public Committee for Safe Sewage Treatment in Metropolitan Toronto, and submitted a communication with respect thereto;

- Mr. Peter Smith, Lakeside Area Neighbourhoods Association;

- Mr. Dharmendra K. Rai, Plant Manager, Harbour Remediation & Transfer Inc.; and

- Councillor Pam McConnell, Don River.

(City Council on March 4, 5 and 6, 1998, had before it, during consideration of the foregoing Clause, the following report (March 2, 1998) from the Commissioner of Works and Emergency Services:

Purpose:

The purpose of this report is to provide Council with additional information with respect to Clause No. 1 of Report No. 2 of The Works and Utilities Committee given the timely need for pre-design testing and pilot evaluation prior to the warmer weather in April-May 1998.

Funding Sources, Financial Implications and Impact Statement:

There are no financial or funding implications.

Recommendation:

It is recommended that this report be received for information.

Council Reference/Background/History:

At its meeting held on February 11, 1998, when dealing with Clause No. 1 of Report No. 2 of The Works and Utilities Committee, entitled "Biosolids Demonstration Facility - Harbour Remediation & Transfer Inc." (HR&T), in consideration of this matter, requested that the HR&T facility not be restarted for testing of any kind until a report is submitted to Works Committee outlining the additional odour control measures which will be in place at that time. Under the terms of the amending agreement, dated December 9, 1997, entered into between the Municipality of Metropolitan Toronto and Harbour Remediation & Transfer Inc., approval of the scope of the Odour Control Work, including all retainers and work plans, was delegated to the Commissioner. HR&T is to use its best efforts to undertake and complete the work as approved by the Commissioner and recommence the processing of biosolids. Given the potential delay associated with the Commissioner reporting back through the Works and Utilities Committee to Council and the potential effect of any delay on the currently permitted downtime period, it is appropriate that the report on restarting for testing be considered by Council at its meeting of March 4, 1998."

Comments and/or Discussion and/or Justification:

The HR&T biosolids processing operations have been suspended last year due to related odour problems. A general plan of action to address the problem has recently been prepared. The plan is based on a previously completed odour survey and odour characterization study by ORTECH Consultants. Zorix Consultants Inc. (Zorix) (formerly ORTECH Volatile Organic Group) has been engaged by HR&T to design and manage the Odour Control Improvement Project and to provide environmental consulting services.

In order for the Odour Control Improvement Project to proceed, Zorix needs to collect additional data from HR&T's biosolids processing plant, under normal operation. This is needed in order to conduct the essential pre-design testing and pilot evaluation work on new odour control equipment. The main reason for undertaking this work is to ensure that any investments in a final odour control system will be made on sound technical and economic basis. In addition, odour control technology suppliers will need to be comfortable with their pilot evaluations before HR&T and Zorix commit them to the necessary performance criteria.

Zorix is planning to test a McCarthy Robinson two-stage pilot scrubber, a Ceilcote chemical scrubber and a modified lime injection system (see attached pilot evaluation setup diagram). Zorix has proposed the following two test runs in order to test and evaluate the new pilot odour treatment components:

(1) To evaluate the odour control performance of a McCarthy Robinson two-stage pilot scrubber:

- operating for five consecutive days at eight hours per day. The first two operating eight-hour periods will be overnight with the remaining three operating periods during day-time hours.

(2) To evaluate the odour control performance of a Ceilcote chemical scrubber, the effectiveness of a modified lime-injection system and any necessary validation tests on the McCarthy Robinson two-stage pilot scrubber:

- operating for five consecutive days at eight hours per day. The first two operating eight-hour periods will be overnight with the remaining three operating periods during day-time hours.

The daytime periods are required to allow air samples to be delivered to the analytical laboratory for analysis. The two test runs are planned around a two week interim period so that Zorix will be able to assess sample analyses and establish odour control criteria and performance levels. The biosolids processed during the two test runs would be brought back to the Main Treatment Plant, by HR&T, for temporary storage where the biosolids will be covered to prevent odour emissions. This material will again be taken by HR&T when they are back in normal operation with the new odour control system and reprocessed, if necessary.

Zorix, on behalf of HR&T, has recently contacted the Approvals Branch of the Ministry of the Environment (MOE) with a request for the related temporary amendment to their Certificate of Approval (Air) No. 8-3654-95-979. After HR&T receives approval from the MOE, we will ensure the community is notified of the testing program in conjunction with the local Councillors.

Conclusion:

In order for the Odour Control Improvement Project to proceed, additional data must be collected from HR&T's biosolids processing plant, under operating conditions to test new odour control equipment. This data is required in order to conduct the essential pre-design testing and pilot evaluation work on the new odour control equipment and to ensure that any investments in a final odour control system will be made based on sound technical and economic information.

Contact Name:

Mr. R. M. Pickett, P. Eng., Director, Water Pollution Control, Telephone No. (416) 392-8230, Fax No. (416) 397-0980, and e-mail: bob_pickett@metrodesk.metrotor.on.ca.)

(A copy of the pilot evaluation setup diagram, referred to in the foregoing report, is on file in the office of the City Clerk.)

(City Council also had before it, during consideration of the foregoing Clause, the following communications:

(i) (February 18, 1998) from the President of Operations, Harbour Remediation & Transfer Inc., seeking permission to commence testing of new scrubbers and other control equipment; and

(ii) (February 25, 1998) from Ms. K. Shinn, Chair, The Safe Sewage Committee, providing information regarding the new Sludge Application Regulations (SARS).)

2

1998 Environment Days

(City Council on March 4, 5 and 6, 1998, adopted this Clause, without amendment.)

The Works and Utilities Committee recommends that:

(1) advance approval be given to proceed with 28 Environment Days, one in each ward, and that the Interim Functional Lead for Solid Waste Management be requested to submit a report to the next meeting of the Committee on the issue of geographic areas that might require a second Environment Day; and

(2) dates for Environment Days in 1998 be allocated to Councillors on a first come, first served basis.

The Works and Utilities Committee reports, for the information of Council, having requested the proposed 3Rs Committee to:

(1) consider the proposals for the 1998 Environment Days and provide any suggestions that might affect the program directly to the Works Department; and

(2) review the results of the 1998 program, solicit comments and feedback from Members of Council for the design of Environment Days in subsequent years, and submit a report thereon to the Committee.

The Works and Utilities Committee submits the following report (January 28, 1998) from the Interim Functional Lead for Solid Waste Management:

Purpose:

The purpose of this report is to provide background information and plans for the operation of Environment Days in 1998.

Funding Sources, Financial Implications and Impact Statement:

Funds have been requested for this program in the 1998 operating and capital budget submissions of the Works Department's Metro Hall location. The total operating and capital costs are $540,000.00 and $100,000.00 respectively, including the cost of household hazardous waste management and disposal.

Recommendation:

That this report be received for information.

Council Reference/Background/History:

Since the program's inception in 1991, 227 Environment Days were hosted by Metropolitan Councillors and coordinated by the Metro Works Department.

Similarly, many of the Area Municipalities held compost give-a-ways, and community, ravine and watercourse cleanups, hosted by the local councillors.

Comments and/or Discussion and/or Justification:

Environment Days, which take place in public places such as schools, parks and shopping malls, between April and October, allow residents to participate in a variety of environmental activities which are extensions of Works Department programs. The 1997 Environment Days were extremely successful with residents having the opportunity of locally: purchasing a composter, water saving kit, or blue box; picking up free leaf compost; diverting household hazardous waste, clothing, tires, books, polystyrene, tetra paks, polycoat cartons, plastic tubs and bags; and dropping off non-perishable food items. The 1997 Environment Days are summarized in the chart found below.

1997 ENVIRONMENT DAY SUMMARY

(Number of Events - 31)

In 1998, staff plan to continue to coordinate these environmental events by combining the experience of the Works Departments across the new city. Many of the local communities have organized area-wide cleanup days, garage sales and other environmentally related activities. The Works Departments will organize Environment Days to coincide with local community environmental initiatives, whenever possible or feasible.

It is anticipated that the number of Environment Days held in 1998 will be greater than in past years due to increased interest by the public. Councillors will be receiving a letter from staff which will provide pertinent information on Environment Days to assist them in booking their event.

Conclusions:

Environment Days have been very popular to date, allowing residents to participate in a number of environmental programs. Environment Days should continue to be held in 1998.

Contact:

Carolyn McSkimming

Municipal Compost Coordinator (Metro Hall)

Telephone: (416) 392-5807

Fax: (416) 392-4754

E-mail:carolyn_mcskimming-pereira@metrodesk.metrotor.on.ca

3

Extension of Contract No. 50130 - Provision of

Bulk Lift Garbage and Recycling Collection Services -

Toronto and York Community Council Areas

(City Council on March 4, 5 and 6, 1998, amended this Clause by:

(1) striking out the recommendation of the Works and Utilities Committee and inserting in lieu thereof the following recommendations of the Works and Utilities Committee embodied in the communication dated March 2, 1998, from the City Clerk:

"The Works and Utilities Committee recommends that:

(1) the recommendation of the Committee from its meeting on February 11, 1998, embodied in Clause No. 3 of Report No. 2 of The Works and Utilities Committee, be rescinded; and

(2) the Interim Functional Lead for Solid Waste Management be requested to negotiate with Canadian Waste Services Inc. a one-year extension of the contract for the provision of bulk lift garbage and recycling collection services for the Toronto and York Community Council areas, and submit a report thereon to the next meeting of the Committee, scheduled to be held on March 25, 1998."; and

(2) adding thereto the following:

"It is further recommended that:

(1) the report dated March 4, 1998, from the Interim Functional Lead for Solid Waste Management, headed 'Supplementary Report - Provision of Bulk Lift Waste Collection Services in Toronto and York Community Council Areas', be received; and

(2) the Interim Functional Lead for Solid Waste Management be requested to submit a report to the Works and Utilities Committee on other bulk lift contracts anticipated in the future.")

The Works and Utilities Committee recommends the adoption of the reports dated January 28, 1998 and February 2, 1998, from the Interim Functional Lead for Solid Waste Management.

The Works and Utilities Committee reports, for the information of Council, having:

(1) directed that:

(i) the Chair of the Committee, Councillors Altobello, Layton, and Saundercook, and appropriate staff, be requested to meet with representatives of the Toronto Civic Employees' Union, Local 416, prior to the meeting of Council scheduled to be held on March 4, 1998;

(ii) the Interim Functional Lead for Solid Waste Management be requested to provide information to the aforementioned Councillors on the issues raised during the meeting of the Committee; and

(iii) if necessary, a special meeting of the Works and Utilities Committee be held at the call of the Chair prior to the meeting of Council scheduled to be held on March 4, 1998, and that representatives of the Toronto Civic Employees' Union, Local 416, be invited to appear before the Committee at that time; and

(2) requested the Interim Functional Lead for Solid Waste Management to submit a report to the Committee by April 1998 on timelines and cost comparisons of all existing bulk lift contracts in the former municipalities.

The Works and Utilities Committee submits the following reports from the Interim Functional Lead for Solid Waste Management:

(January 28, 1998, headed "Extension of Toronto Community

Council Area Bulk Lift Contract No. 50130 for the Collection

of Garbage and Recyclable Materials")

Purpose:

To decide on the method of selecting a contractor to provide bulk lift garbage and recycling collection services, for high-rise apartments in the Toronto Community Council area, beyond the current contract scheduled to expire on June 17, 1998.

Funding Sources, Financial Implications and Impact Statement:

Adoption of the recommendations in this report will result in the maintenance of bulk lift garbage and recycling collection services in the Toronto Community Council area with no change in the taxation cost of those services. The 1996 annual cost of the contract was $1,270,849.00, including GST.

Recommendation:

That Contract No. 50130 be extended for a three-year period from June 18, 1998 to June 17, 2001, and that appropriate notice of this extension be delivered to the contractor, Canadian Waste Services Inc.

Background:

The Council of the former City of Toronto, at its meeting of May 3 and 4, 1993, decided that the bulk lift collection of garbage and recyclable materials from high-rise apartments be contracted out (Clause 36 contained in Executive Committee Report No. 8). On June 18, 1998, a contract was entered into between the former City of Toronto and WMI Waste Management of Canada Inc. (WMI). The assets of WMI were subsequently acquired by Canadian Waste Services Inc. (CWSI) and CWSI now provides bulk lift collection services in accordance with the contract originally entered into between the old City of Toronto and WMI.

The contract between the former City of Toronto and WMI includes the following clause:

"INFORMATION TO TENDERERS

5. TERM OF CONTRACT

Work on this Contract shall commence on or about MAY 31, 1993 and shall continue for five (5) years. The Contract may be renewed for an additional 3-year period at the Commissioner's option. Work shall not commence until the Contractor has signed the Contract and obtained a written order to commence the same signed by the Commissioner of Public Works and the Environment.

Tender price for the 3-year renewal option shall be stated in current 1993 dollars. Should this option be exercised by the Commissioner, this price will be adjusted using the price adjustment formula described in Section IV, D, 2), c) of the Specifications."

WMI, in submitting its bid, tendered the same contract unit prices for the three-year renewal option as for the original five years of the contract term.

Comments:

Costs and Economy of Current Bulk Lift Contract:

As noted above, the assets of WMI have been acquired by CWSI. The assets of other competing companies, including Laidlaw Waste Systems and Philip Environmental, have also been acquired by CWSI.

The bulk lift garbage contract had yielded significant cost savings to the former City of Toronto. In the report dated July 2, 1993, from the Commissioner of Public Works and the Environment, entitled "Bulk Lift Residential Garbage Collection", to the Toronto City Services Committee meeting of July 21, 1993, the annual financial savings was estimated at $1,662,186.00.

It is noted that of the five bids received, the original tendered prices of three of the bids for the former City of Toronto Contract No. 50130 were over 50 percent higher than the low bid. The current price for bulk lift collection is considered by the Waste Work Management Team to be price competitive.

The current unit prices for bulk lift garbage collection by contract in the various parts of the City of Toronto are shown in Table 1.

As can be seen from Table 1, the Toronto Community Council area unit prices are somewhat higher than for some of the other Community Council areas. This may be explained by the relatively slower average travel speeds and more difficult access to high-rise buildings inside the Toronto Community Council area. The current cost of the contract based on the price adjustment clause contained in the contract is approximately 8 percent higher than the original 1993 tender prices.

Table 1

Current Unit Prices for Garbage Collection

in Bulk Lift Contracts

* Price adjusted to reflect collection of garbage, excluding bulky items.

** All municipalities provide twice-a-week bulk lift garbage collection.

Options for Continuing Contracted Bulk Lift Garbage and Recycling Collection Service:

Two options are available to the City for the continuance of the contracted bulk lift garbage and recycling collection service: calling new tenders or extending the existing contract. Each of these two options is reviewed below.

(1) Call New Tenders for Bulk Lift Garbage and Recycling Collection:

The lead time for obtaining new garbage collection equipment following the placing of orders is approximately nine to twelve months. Therefore, it is customary in tendering garbage collection contracts to call and award tenders approximately one year prior to the commencement of work, in order to allow all bidders sufficient time to obtain equipment at competitive prices. Due to the limitations on extending contracts beyond the end of 1998 and the ownership changes and consolidation in the Canadian waste management industry which all took place in 1997, the decision on calling tenders for a new contract was deferred. During this period, it also became apparent that a retendered contract could be subject to increased prices.

(2) Extend Existing Contract:

The original tender documents specifically provided for a three-year contract extension. The only action required to extend the contract is the provision of appropriate notice by the Commissioner of City Works Services. This will fix current costs for a further three-year period, subject to the price adjustment clause contained in the contract.

Conclusion:

Extension of the current contract has been determined to be competitive. Authorization should be given to extend Contract No. 50130 for three years, based on the terms of the existing contract.

Contact Name and Telephone Number:

John Warren

Director of Operations and Sanitation

City Works Services Department

Toronto Community Council Area

Phone: (416) 392-1846

Fax: (416) 392-0396

E-mail: jwarren@city.toronto.on.ca

--------

(February 2, 1998, headed "Modification to Toronto Community

Council Area Bulk Lift Contract No. 50130 to Add

Bulk Lift Collection for the York Community Council Area")

Purpose:

To decide on the method of providing bulk lift garbage and recycling collection for high-rise apartments in the York Community Council area from June 1, 1998 to June 17, 2001.

Funding Sources, Financial Implications and Impact Statement:

Adoption of the recommendations in this report will result in the maintenance of bulk lift garbage and recycling collection services in the Toronto and York Community Council areas with no change in the combined taxation costs for the two Community Council areas. The current annual cost of providing these services is approximately $1,600,000.00 per year, including GST.

Recommendations:

It is recommended that Contract No. 50130 be amended as follows:

(1) to provide for the inclusion of the provision of bulk lift garbage and recycling services to the York Community Council area effective June 1, 1998 until June 17, 2001;

(2) that on June 1, 1998, the unit prices in the contract be amended as follows:

Garbage Collection and Delivery to Disposal $18.79 per tonne

Recycling Collection and Delivery to Processing $44.62 per tonne

Bulky Item Collection and Delivery to Disposal $64.40 per tonne

White Goods Collection and Delivery to Processing $71.27 per tonne;

and

(3) that the cost adjustment formula in Contract No. 50130 be applied to the unit prices imputed for 1993 based on the unit prices shown in Recommendation No. (2) above and shown below on June 21, 1998, and subsequent contract anniversary dates as provided in the contract document:

Garbage Collection and Delivery to Disposal $17.48 per tonne

Recycling Collection and Delivery to Processing $41.50 per tonne

Bulky Item Collection and Delivery to Disposal $59.90 per tonne

White Goods Collection and Delivery to Processing $66.29 per tonne;

and that the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

Council Reference/Background/History:

In my report (January 28, 1998) entitled "Extension of Toronto Community Council Area Bulk Lift Contract No. 50130 for the Collection of Garbage and Recyclable Materials", it is recommended that Contract No. 50130 be extended for three years. York Community Council Contract No. 95-5-S-8-F expires on May 31, 1998. There is no provision in this contract for extension.

The services provided both under Toronto Community Council Area Contract No. 50130 and York Community Council Area Contract No. 95-5-S-8-F are provided by Canadian Waste Services Inc. (CWSI). Contract No. 50130 is carried out using approximately six bulk lift collection vehicles and Contract No. 95-5-S-8-F is carried out using between one and two bulk lift collection vehicles.

Comments and/or Discussion and/or Justification:

It is necessary to decide how to proceed to continue the provision of bulk lift collection services in the York Community Council area. Two options are available to City Council: calling of tenders or amalgamation of the work with Toronto Community Council Area Contract No. 50130. Both of these alternatives are reviewed below.

(1) Calling Tenders for Work:

This would involve a tender call with a short lead time prior to closing of tenders (approximately one month). Due to the limited lead time prior to the required tender award and the fact that any tender award recommendation would have to be brought before the April 22, 1998 meeting of the Works and Utilities Committee, there may be limited competition in prices bid. It is likely that bid prices will exceed the current unit price of $15.73 per tonne, including GST, for garbage collection. There is also a need for a period of stability so that we can plan the amalgamation of the Solid Waste Services from the various Community Council areas. Accordingly, this is not the preferred plan for continuing bulk lift collection services.

(2) Amalgamate the Provision of York Bulk Lift Contract No. 95-5-S-8-F

Services with Toronto Contract No. 50130:

The contractor for Contract No. 50130 (CWSI) has agreed to adjust the unit prices for the contract in such a way that the total cost to the City remains the same for the collection of garbage and recyclable materials in the Toronto and York Community Council areas as under the two existing contracts. The CWSI proposal is shown in Table 1.

Since the amalgamated unit prices will result in no cost increase to the City and security of service provision in York and Toronto, the amalgamation of the two contracts is the preferred arrangement.

Table 1

Proposed Unit Prices for Amalgamation of York and Toronto

Bulk Lift Garbage and Recycling Collection Contracts

Note: Unit price for White Goods collection remains unchanged because this item is not included in York Community Council Area Contract No. 95-5-S-8-F.

* Proposed amalgamated unit prices result in no change in the total annual cost.

Conclusions:

Amendment of Contract No. 50130 to include the York Community Council area at the revised amalgamated unit prices shown in this report has been determined to be cost competitive. Authorization should be given to amend Contact No. 50130 to include the York Community Council area at the revised amalgamated unit prices shown in this report.

Contact Name and Telephone Number:

John Warren, Director of Operations and Sanitation

City Works Services Department

Toronto Community Council Area

Phone: (416) 392-1846; Fax: (416) 392-0396

E-Mail: "jwarren2@city.toronto.on.ca"

The Works and Utilities Committee reports, for the information of Council, having also had before it during consideration of the foregoing matter the following communications:

(i) (February 10, 1998) from Mr. Tommy Lenathen, Vice-President, Toronto Civic Employees' Union, Local 416, requesting that consideration of the report dated January 28, 1998, regarding extension of the contract for the provision of bulk lift garbage and recycling collection services, be deferred until the next meeting of the Committee; and

(ii) (February 11, 1998) from Ms. Karen Buck, Toronto, Ontario, respecting Contract No. 50130 and the provision of bulk lift garbage and recycling collection services for the Toronto and York Community Council areas.

(City Council on March 4, 5 and 6, 1998, had before it, during consideration of the foregoing Clause, the following communication (March 2, 1998) from the City Clerk, forwarding the Recommendations of the Works and Utilities Committee from its special meeting held on March 2, 1998:

Recommendations:

The Works and Utilities Committee recommends that:

(1) the recommendation of the Committee from its meeting on February 11, 1998, embodied in Clause No. 3 of Report No. 2 of The Works and Utilities Committee, be rescinded; and

(2) the Interim Functional Lead for Solid Waste Management be requested to negotiate with Canadian Waste Services Inc. a one-year extension of the contract for the provision of bulk lift garbage and recycling collection services for the Toronto and York Community Council areas, and submit a report thereon to the next meeting of the Committee, scheduled to be held on March 25, 1998.

The Committee reports, for the information of Council, having:

(1) requested the Interim Functional Lead for Solid Waste Management to submit a report directly to Council for its meeting on March 4, 1998, on the history of the damages caused to containers and any other damages that the City has had to absorb both under the existing contract, and prior to the existing contract when such work was carried out by City staff, and to explore an amendment to the contract to limit reimbursement for such damages;

(2) established a sub-committee comprised of Councillors Altobello, Disero and Layton to work with staff and the Toronto Civic Employees' Union, Local 416, regarding a strategy for tendering other contracts, and to explore the means by which the provision of bulk lift waste collection would be organized if it were handled in-house, and to submit a report thereon to the Committee;

(3) requested the Interim Functional Lead for Solid Waste Management and the Union to report to the sub-committee, after consulting with equipment suppliers, on the availability of equipment and dates of such availability; and

(4) requested the Interim Functional Lead for Solid Waste Management to provide to the sub-committee a further explanation of the difference between the Canadian Waste Services Inc. contract and the way in which in-house operations would be conducted in terms of the vehicles involved, numbers of staff and any other relevant factors.

Background:

The Works and Utilities Committee at a special meeting held on March 2, 1998, had before it a communication (February 20, 1998) from the City Clerk advising that, in accordance with the direction of the Committee at its meeting on February 11, 1998, during consideration of reports dated January 28, 1998 and February 2, 1998, from the Interim Functional Lead for Solid Waste Management regarding the extension of Contract No. 50130 for the provision of bulk lift garbage and recycling collection services for the Toronto and York Community Council areas, Councillors Disero and Saundercook and the Commissioner of Works and Emergency Services met with Mr. Tommy Lenathen, Vice-President, and other representatives of the Toronto Civic Employees' Union, Local 416, on February 20, 1998, at which time it was decided to call a special meeting of the Committee.

The Committee also had before it a report dated February 27, 1998, from the Interim Functional Lead for Solid Waste Management, providing further information with respect to the aforementioned contract; and recommending that:

(1) the recommendations in the reports dated January 28, 1998 and February 2, 1998 be approved;

(2) staff report to a future meeting of the Committee regarding a strategy for tendering other contracts; and

(3) the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

The following persons appeared before the Committee in connection with the foregoing matter:

- Mr. Larry Katz, Mr. Bill Guttery, Mr. Tony Pacheco, Mr. Darren Jackson, Mr. Carl Bartlett and Mr. John Nicholson, representing the Toronto Civic Employees' Union, Local 416, and submitted a copy of the Union Brief with respect thereto;

- Councillor Mario Giansante, Kingsway - Humber; and

- Councillor Doug Holyday, Markland - Centennial.

(Report dated February 27, 1998, addressed to the

Works and Utilities Committee from the

Interim Functional Lead for Solid Waste Management)

Purpose:

To address communications received from Toronto Civic Employees' Union Local 416 regarding my report on the provision of bulk lift waste collection services in the Toronto and York Community Council areas.

Funding Sources, Financial Implications and Impact Statement:

As in my report dated February 2, 1998, adoption of the recommendations in this report will result in the maintenance of bulk lift garbage and recycling collection services in the Toronto and York Community Council areas with no change in the combined taxation costs for the two Community Council areas. The current annual cost of providing these services is approximately $1,600,000.00 per year, including GST.

Recommendations:

(1) That the recommendations in my reports dated January 28, 1998 and February 2, 1998, be approved;

(2) that staff report to a future meeting of the Committee regarding a strategy for tendering other contracts; and

(3) that the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

Council Reference/Background/History:

At the Committee meeting of February 11, 1998, in considering the reports entitled "Extension of Toronto Community Council Area Bulk Lift Contract No. 50130 for the Collection of Garbage and Recyclable Materials" and "Modification to Toronto Community Council Area Bulk Lift Contract No. 50130 to Add Bulk Lift Collection for the York Community Council Area", the Committee requested that additional information be provided to a special meeting of the Committee, to be held on March 2, 1998, regarding the communication received from Toronto Civic Employees' Union Local 416.

Comments and/or Discussion and/or Justification:

In order to assist the Committee in assessing in more detail the issues associated with providing bulk lift waste collection services in the Toronto and York Community Council areas, this report is divided into two sections as follows:

(1) potential revised extension of existing contracts to allow for retendering or carrying out work with in-house forces.

(2) Use of existing City-owned vehicles to carry out collection services.

Each of the above issues is addressed below:

(1) Potential Revised Extension of Existing Contracts to Allow for

Retendering or Carrying out Work with In-house Forces:

In order to determine whether it is possible to extend the City of Toronto Contract No. 50130 to allow for retendering, the contractor, Canadian Waste Services Inc. (CWSI), was requested to advise of their proposed pricing for a three-month and a 12-month extension of the Toronto Community Council area contract. A three-month extension would allow for retendering, but would not allow the successful bidder to acquire any new equipment (approximately 12 months lead time is required) and could result in uncompetitive bids. A 12-month extension would allow for competitive bids or equipment purchase and carrying out the work with in-house forces.

In a letter dated February 16, 1998, CWSI has refused a three-month or a 12-month contract extension. The City Solicitor has also advised that it would be contrary to the terms of the City of Toronto Contract No. 50130 to extend the contract and then terminate it in a period shorter than three years without cause. Therefore, retendering is only possible with a very short time period. Tenders would have to be called in late March 1998 or early April 1998, close in mid-April 1998, with the new contract(s) coming into force on June 1, 1998 in the York Community Council area and June 17, 1998 in the Toronto Community Council area. This would probably make any tendering process uncompetitive and may result in increased costs to the City, compared with the recommended arrangements.

Similarly, the existing contracts with other suppliers in the City of Toronto Districts are exclusively for those geographic areas and cannot be extended unilaterally. The contract details are shown in Table 1.

(2) Use of Existing City-owned Vehicles to Carry out Collection Services:

The only City-owned bulk lift collection vehicles are in the North York Community Council area where two vehicles are used for collection during the daytime on Monday, Tuesday, Thursday and Friday. Approximately 15 bulk lift collection vehicles would be required to provide service with in-house forces in Toronto and York. It would be necessary to purchase new City bulk lift collection vehicles to provide service in Toronto and York.

The estimated incremental annual cost of providing these services using in-house forces is shown below. These costs have been estimated based on the equipment and staff used to provide this service in Toronto and York before the service was contracted out.

Toronto Community Council Area $3,330,000.00

York Community Council Area $1,120,000.00

Total $4,450,000.00

There is a saving of $2,911,618.00 per year by carrying out the work by contract. The annual cost under the extended CWSI contract of $1,598,122.00 per year, including GST, results in a net cost to the Corporation of $1,538,382 (after the City's GST rebate.) In addition to the above annual cost increase, in order to carry out the work on an in-house basis, it would be necessary to purchase 15 front load packer vehicles, seven rear load packer vehicles, four automated side loader recycling vehicles and three pick-up trucks, at a cost of approximately $5,275,000.00.

Conclusions:

Other existing contracts cannot be extended to provide service to the Toronto and York Community Council areas. CWSI has advised that it will not extend the Toronto contract for a period other than three years and the City Solicitor has advised that the City cannot unilaterally extend the contract for a shorter period of time. Retendering in the remaining time period, prior to the expiry of the existing Toronto and York contracts, for a short time period such as a one-year contract, is expected to result in increased contract costs due to limited tender competition. There are insufficient collection vehicles to carry out the work on an in-house basis, and the lead time to acquire new vehicles (which would cost approximately $5,275,000.00) is approximately one year.

The potential cost of carrying out the work in-house is approximately $2,911,618.00 per year more than under the recommended contract extension and contract blending.

Other City of Toronto bulk lift contracts expire in 1999 and 2000 as shown in Table 1 attached. If City Council decides that it is appropriate to consider delivering bulk lift waste collection service on an in-house basis, advance tendering of these contracts at least one year prior to their expiry, compared with detailed estimates of in-house costs and equipment acquisition requirements will enable City Council to make a decision without facing the extremely tight deadlines associated with continuing bulk lift collection services in Toronto and York at this time. We will report to a future meeting on the proposed strategy for combining or phasing these contract tenders.

For the above reasons, it is recommended that City of Toronto Contract No. 50130 be extended for three years to June 17, 2001 and that the contract terms be extended to include the York Community Council area at the blended costs of the existing Toronto and York contract, resulting in no increased cost to the City, as recommended in my previous reports to your Committee.

Contact Name and Telephone Number:

John Warren, Director of Operations and Sanitation, Toronto Community Council Area

Phone: (416) 392-1846; Fax: (416) 392-0396; E-Mail: "jwarren2@city.toronto.on.ca".)

Table 1

Contract Details

City of Toronto

Bulk Lift Garbage Collection Contracts

(City Council also had before it, during consideration of the foregoing Clause, the following report (March 4, 1998) from the Interim Functional Lead for Solid Waste Management:

Purpose:

To provide information on the history of damage to bulk lift containers in the Toronto Community Council area.

Funding Sources, Financial Implications and Impact Statement:

There will be no additional financial implications for the City if the recommendations of this report are approved.

Recommendations:

It is recommended that:

(1) the recommendations contained in the previous reports dated January 28, 1998 and February 2, 1998 regarding the extension of the Toronto Community Council area bulk lift contract for three years and blending the contract with the York Community Council area bulk lift contract be adopted; and

(2) the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

Council Reference/Background/History:

The Works and Utilities Committee, at its special meeting of March 2, 1998, in considering my report dated February 27, 1998, entitled "Supplementary Report - Provision of Bulk Lift Waste Collection Services in the Toronto and York Community Council Areas":

"(1) requested the Interim Functional Lead for Solid Waste Management to submit a report directly to Council for its meeting on March 4, 1998, on the history of damages caused to containers and any other damages that the City has had to absorb both under the existing contract, and prior to the existing contract when such work was carried out by City staff, and to explore an amendment to the contract to limit reimbursement for such damages; and

(2) established a sub-committee comprised of Councillors Altobello, Disero and Layton to work with staff and the Toronto Civic Employees' Union, Local 416, regarding the strategy for tendering other contracts, and to explore the means by which the provision of bulk lift waste collection would be organized if it were handled in-house, and to submit a report thereon to the Committee."

Comments and/or Discussion and/or Justification:

(1) Damage to garbage and recycling containers in the City of Toronto Community Council area and reimbursement for costs:

Table 1, attached, shows the purchase pattern for bulk lift containers from 1985 to 1997. Table 2, attached, shows the pattern of purchase of toter (plastic 260, 340 or 360 litre) containers from 1989 to 1997. Table 3 attached shows the pattern of purchase of casters, container lids and charger doors from 1991 to 1997. Table 4 is a record of toter containers broken at bulk lift areas collected by the bulk lift contractor and from the remainder of the City collected by City forces in 1992, 1994 and 1997. Table 5 is a record of miscellaneous bulk lift container repairs for 1992, 1994 and 1997. The Toronto Community Council area bulk lift contract started in June 1993. Tables 1 to 4 inclusive do not indicate any increased damage to containers following the assumption of bulk lift garbage and recycling collection in the Toronto Community Council area by a contractor. However, Table 5 indicates an increase of repair since the contractor started the collection service, which may be attributable to the age of the containers and/or the use of one-person collection crews by the contractor. Nevertheless the overall cost of contract services and container repair is substantially lower than the cost of container repair and delivery of bulk lift collection service on an in-house basis prior to contracting out. The cost of labour for bulk lift container repairs has remained relatively constant since 1992, as shown in Table 6.

The City Solicitor advises that the terms and conditions of the Toronto Community Council area Contract were settled at the time the Contract was tendered and awarded, and no amendments can be made without the consent of the Contractor. In particular, the Contract stipulates that the City shall replace any bulk lift containers and carts which the Contractor notifies the City are missing or damaged, without any limitation. Therefore, it is not possible to require the Contractor to pay for damage to garbage and recycling containers that result from the normal operation of the contract and normal wear and tear on the containers.

(2) Establishment of sub-committee:

Staff of the City will work with the sub-committee and assist it in submitting a report on the potential provision of bulk lift collection services on an in-house basis.

Conclusions:

In view of the short time period prior to the expiry of the existing Toronto and York Community Council area bulk lift contracts, it is recommended that the recommendations contained in the previous report regarding the extension of the Toronto Community Council area bulk lift contract for three years and blending the contract with the York Community Council area bulk lift contract be adopted.

Contact Name and Telephone Number:

John Warren, Director of Operations and Sanitation, Toronto Community Council Area,

Phone (416) 392-1846

Fax (416) 392-0396

E-Mail "jwarren2@city.toronto.on.ca".)

(A copy of each of Tables Nos. (1) to (6), referred to in the foregoing report, is on file in the office of the City Clerk.)

4

Rehabilitation of Sewers at Various Locations in the

City of Toronto - Award of Contract No. 58537

(City Council on March 4, 5 and 6, 1998, adopted this Clause, without amendment.)

The Works and Utilities Committee recommends the adoption of the following report (February 6, 1998) from the Commissioner of Works and Emergency Services:

Purpose:

To award a contract for the rehabilitation of the Danforth Avenue combined sewer between Ellerbeck Street and Donlands Avenue.

Funding Source:

The cost of this project in the amount of $1,324,837.00 has been accommodated within the approved Interim Appropriations of the 1998 Operating Budget. Funds are available in Account 4031-39270-7Feat-5004 (Planned Sewer Maintenance and Repair Account).

Recommendations:

(1) That Contract No. 58537 for the rehabilitation of sewers at various locations be awarded to the low bidder, The Lining Company (Inliner Canada Inc.), in the amount of $1,324,837.00; and

(2) that the appropriate City officials be authorized and directed to take the actions necessary to give effect thereto.

Comments:

The former City of Toronto Tender Committee, at its meeting of December 17, 1997, received tenders for Contract No. 58537 for the rehabilitation of sewers at various locations within the City of Toronto, as summarized below:

Tender

No. Tenderer Tender Price

(1) The Lining Company (Inliner Canada Inc.) $1,324,837.00

(2) Insituform Technologies Limited $1,342,648.00

City Council at its meeting of January 6, 1998, enacted By-law No. 7-1998. This By-law, the Interim Financial Control By-law, delegated to the Chief Administrative Officer the authority to make commitments and expend funds provided in the estimates and approved projects of up to $500,000.00

in any single contract. Since this contract is in excess of $500,000.00, its award requires the approval of Council pursuant to By-law No. 7-1998. Award of the contract at this time will permit the work to be completed prior to the busy summer restaurant season on Danforth Avenue.

The award of this contract is subject to the receipt of a favourable report from the Fair Wage and Labour Trades Office regarding working conditions and wages of the recommended contractor and his sub-contractors.

Contact Name and Telephone Number:

A. Koropeski, Director

Infrastructure Planning and Transportation Division, 392-7711.

5

Waste Management Facilities Proposed

for Dufferin Transfer Station Site

(City Council on March 4, 5 and 6, 1998, adopted this Clause, without amendment.)

The Works and Utilities Committee reports having received the following report (January 28, 1998) from the Interim Functional Lead for Solid Waste Management as information; and having directed that such report be submitted to Council:

Purpose:

The purpose of this report is to respond to a motion arising from briefings of the Works and Utilities Committee held on January 14, 1998, that requested that the appropriate staff submit a report to the Committee for its next meeting, scheduled to be held on February 11, 1998, on the waste management facilities proposed for the Dufferin Transfer Station site.

Funding Sources, Financial Implications and Impact Statement:

There are no financial or funding implications.

Recommendation:

That this report be received for information.

Council Reference/Background/History:

There are two facilities proposed for the Dufferin Transfer Station site.

(1) Material Recycling Facility:

At its meeting held on September 24, 1997, Metropolitan Council adopted Clause No. 3 of Report No. 12 of The Environment and Public Space Committee, headed "Selection of Expanded Blue Box Material Processing Capacity", which included the recommendation that "the Commissioner of Works be given authority to enter into negotiations with Miller Waste Systems and finalize a contract for the design, construction and operation of a Material Recycling Facility at the Dufferin Transfer Station. The terms and conditions of the agreement must be satisfactory to the Commissioner of Works and the Commissioner of Finance, and in a form satisfactory to the Metropolitan Solicitor and otherwise consistent with the Miller Waste Systems' price proposals."

The selection of Miller Waste Systems as the successful proponent was the result of a Request for Proposal (RFP) issued by Metro Works for Blue Box material processing capacity. The details of the RFP, and the submissions received, are discussed in Clause No. 1 of Report No. 10 of The Environment and Public Space Committee, entitled "Requests for Proposals for Blue Box Processing", which was adopted by Council at its meeting held on July 2 and 3, 1997.

(2) Demonstration Mixed Waste Recycling and Organics Processing Facility:

At its meeting on April 9, 1997, Metropolitan Council adopted, with amendments, Clause No. 1 of Report No. 4 of The Environment and Public Space Committee, headed "Recommended Diversion Target and Proposed Project under the 3Rs Strategy." One of the adopted recommendations was that the Commissioner of Works be authorized to issue a Request for Proposals for the design, construction and operation of a 20,000 tonnes per year demonstration processing facility capable of processing both source separated organic waste and mixed municipal waste.

At its meeting on July 2 and 3, 1997, Metropolitan Council adopted Clause No. 11 of Report No. 9 of The Environment and Public Space Committee, entitled "Issues Related to the Request for Proposals for a Demonstration Mixed Waste Recycling and Organics Processing Facility" (June 5, 1997), which advised that the RFP for the facility was scheduled to be released in August 1997, with the recommendations going to the new City of Toronto Council early in 1998, and that two locations were being considered for the facility: 101 Commissioners Street in the Portlands, and the Dufferin Transfer Station site in North York.

On July 9, 1997, North York Council adopted a recommendation from their Works Committee "that the Municipality of Metropolitan Toronto be advised that the City of North York is opposed to the construction of a new Material Recovery Facility (MRF) and a mixed waste separation/recycling and processing and composting facility at the Dufferin Transfer Station, and to the implementation of a user pay system for residential waste."

It should also be noted that, with respect to the alternative site at 101 Commissioners Street, the Toronto Economic Development Corporation (TEDCO), who owns the site, advised Metro Works that they were reluctant to bring a new waste management use into the Port Area until such time as current concerns about nuisances (such as odours) from existing waste management facilities were resolved. The City of Toronto, however, advocated the 101 Commissioners Street site for the demonstration facility because of its proximity to generators of high levels of organic waste in the central part of the City.

Metropolitan Council, at its meeting held on September 24 and 25, 1997, received Clause No. 28(j) of Report No. 12 of The Environment and Public Space Committee, headed "Mixed Waste Recycling and Organics Processing Demonstration Facility". The report provided an update on the development of the RFP document along with the rationale for the selection of the Dufferin Transfer Station site as the preferred location for the demonstration facility.

The Dufferin Transfer Station is located at 35 Vanley Crescent in North York and is one of seven active waste transfer stations owned by the new City of Toronto. It was identified as the preferred site for recycling activities and mixed waste processing during the course of the Solid Waste Environmental Assessment Plan (SWEAP), 1987-1992, by the project consultant, Proctor & Redfern Ltd. This was based on the site's excellent transportation connections close to Highways Nos. 401 and 400 and previous on-site mixed waste processing and composting activities, in addition to the ongoing transfer function. This location is a licensed, operational waste management site.

Discussion and Justification:

(1) Material Recycling Facility:

Metro Works Department staff, in conjunction with the Metro Finance Department, and with the assistance of Metro Legal Services, finalized the essential terms and conditions of the Dufferin Blue Box Material Recovery Facility contract with Miller Waste Systems in December 1997. Legal Services is presently drafting the formal contract, including compilation of the correspondence to date evidencing the agreed upon terms. It is anticipated that both parties will sign the contract before the end of January 1998.

The removal of surplus equipment and structures from the former Resource Recovery Building (500 Building), which was necessary to allow for the construction of the new MRF, is substantially complete. Miller Waste Systems has indicated that they are prepared to mobilize their forces and begin detailed design of the new MRF as soon as the contract is signed.

(2) Demonstration Mixed Waste Recycling and Organics Processing Facility:

In September of 1997, Metro Toronto issued a Request for Proposals for a Mixed Waste Recycling and Organics Processing Demonstration Facility. The demonstration facility is a key element of the strategy to achieve 50 percent waste diversion by 2006, because it will be used to determine the role that mixed waste processing and source separated organics processing facilities will play in achieving the diversion target. The utilization of one or both approaches is essential to achieving this 50 percent target.

The facility is being designed to accept both a mixed waste stream and a source separated organics stream. The design will be flexible to allow the facility to be converted to a dedicated mixed waste processing plant or a dedicated organics composting plant after the demonstration phase.

This strategy was developed to manage financial risks by allowing the City to test both processing approaches prior to committing to develop full scale processing capability, and by building a facility that has the flexibility to be modified to perform a range of diversion functions in the future.

The RFP closed on January 8, 1998, and a total of seven submissions was received. An evaluation committee consisting of staff from the Works, Finance, and Legal Departments, as well as MacViro Consultants Inc. (the consultants who prepared the RFP document), is currently reviewing the seven submissions, and is expected to report back to Committee in March 1998 with recommendations.

Conclusions:

The Dufferin Transfer Station is the future site of two new waste management facilities: the Blue Box Material Recovery Facility awarded to Miller Waste Systems, and the proposed Mixed Waste Recycling and Organics Processing Demonstration Facility for which staff are reviewing proposal submissions and expect to recommend a contract award to Committee in March 1998.

Contact Name:

Andrew Pollock, Senior Manager, Waste Diversion and Planning, Metro Hall

Phone: (416) 392-4715; Fax: (416) 392-4754

E-mail: Andy_Pollock@metrodesk.metrotor.on.ca

________

The Works and Utilities Committee reports, for the information of Council, having also had before it during consideration of the foregoing matter a communication (February 11, 1998) from Ms. Karen Buck, Toronto, Ontario, respecting the waste management facilities proposed for the Dufferin Transfer Station site.

(City Council on March 4, 5 and 6, 1998, had before it, during consideration of the foregoing Clause, a confidential report (March 3, 1998) from the City Solicitor, such report to remain confidential in accordance with the provisions of the Municipal Act.)

6

Other Items Considered by the Committee

(City Council on March 4, 5 and 6, 1998, received this Clause, for information.)

(a) Deposit/Return System for Beverage,

Wine and Spirit Containers.

The Works and Utilities Committee reports having:

(1) received the following report from the Interim Functional Lead for Solid Waste Management, and the following communication from Councillor Joan King; and

(2) deferred consideration of the following communication from Mr. John Jackson, Coordinator, Citizens' Network on Waste Management, until such time as the matter of deposit/return systems is again before the Committee:

(i) (January 28, 1998) from the Interim Functional Lead for Solid Waste Management respecting the implementation of a deposit/return system for all beverage, wine and spirit containers in the City of Toronto, and the implications of withdrawing the collection of such materials from the Blue Box Program, as requested by the Committee at its meeting on January 14, 1998; outlining the issues of deposit/return and product stewardship which are under intensive review at this time, and the consultation processes being undertaken by the Recycling Council of Ontario (RCO) and the Association of Municipal Recycling Co-ordinators (AMRC) on product stewardship and deposit/return; forwarding a draft RCO summary of policy options which is about to be submitted for consideration by the Minister of the Environment; advising that the Waste Management Team is currently assessing, in detail, information developed by the previous seven municipalities regarding the issues of product stewardship, Blue Box funding and beverage container deposit/return, and that further information will be provided to the Committee at its meeting scheduled to be held on March 25, 1998, following detailed analysis and consideration of the information developed in the RCO and AMRC consultation process; and recommending that the report be received for information.

(ii) (January 27, 1998) from Mr. John Jackson, Coordinator, Citizens' Network on Waste Management, requesting the opportunity to appear before the Committee at its meeting on February 11, 1998, regarding deposit/return systems and refillables as components of a new materials management strategy for the City of Toronto; and forwarding a copy of a report entitled "A Strategy to Promote Refillables & Reuse in Ontario", and a communication to the Minister of the Environment with respect thereto.

(iii) (January 23, 1998) from Councillor Joan King, Seneca Heights, providing background information on the Recycling Council of Ontario's Waste Management Roles and Responsibilities Consultation Process, a process initiated by the Recycling Council of Ontario to develop a consensus on a number of product stewardship issues; forwarding a copy of a communication from the Minister of the Environment with respect to the process, which requested that a number of funding options be developed; and listing the membership of a work group and Advisory Committee, and dates for forums to review funding options.

(iv) (February 11, 1998) from Mayor Mel Lastman, addressed to Members of Council, forwarding an invitation to "Moving Forward on Stewardship for LCBO Packaging", a forum sponsored by the City of Toronto and the Solid Waste Association of North America respecting options to eliminate the municipal waste management costs of wine and spirit containers, to be held on February 24, 1998, in the Council Chamber at Metro Hall.

The following persons appeared before the Works and Utilities Committee in connection with the foregoing matter:

- Mr. Usman Valiante, Principal, General Science Works;

- Mr. Joseph P. Hruska, Vice-President, Municipal Development, CSR: Corporations Supporting Recycling, and submitted material with respect thereto; and

- Ms. Karen Buck, Toronto, Ontario, and submitted a communication with respect thereto.

(b) Appointment to Task Force on an Access

and Equity Action Plan, Race Relations,

Disability and Human Rights.

The Works and Utilities Committee reports having recommended to the Special Committee to Review the Final Report of the Toronto Transition Team that Councillor Tom Jakobek be appointed as the representative of the Works and Utilities Committee to the Task Force on an Access and Equity Action Plan, Race Relations, Disability and Human Rights, as requested in the following communication:

(January 21, 1998) from Councillor Joe Mihevc, Chair, Task Force on an Access and Equity Action Plan, Race Relations, Disability and Human Rights, requesting that each Standing Committee designate a member to serve on the Task Force on an Access and Equity Action Plan, Race Relations, Disability and Human Rights, or to act as a liaison between the Task Force and each Standing Committee.

(c) Waste Transport and Disposal Agreement.

The Works and Utilities Committee reports having:

(1) received the following report; and

(2) requested the Interim Functional Lead for Solid Waste Management to submit a report to the Committee on increasing the current tipping fees at landfill sites to cover costs:

(i) (January 28, 1998) from the Interim Functional Lead for Solid Waste Management respecting the financial commitments made by Metropolitan Toronto for the haulage and disposal of solid waste by Browning-Ferris Industries Inc. (BFI) to a landfill site in Michigan and the costs thereof to the new City of Toronto, as requested by the Committee at its meeting on January 14, 1998; reviewing alternatives and strategies for short-term waste disposal addressed in a report dated December 4, 1996, including an expansion of the Keele Valley Landfill Site, increasing tipping fees for private sector users in order to divert waste, and diverting some waste from Keele Valley through a private sector disposal contract; reviewing the main components of the contract with BFI, and advising that BFI commenced work under this contract on January 1, 1998; and recommending that the report be received for information.

(ii) (February 11, 1998) from Ms. Karen Buck, Toronto, Ontario, respecting the waste transport and disposal agreement.

(d) Long-Term Solid Waste Disposal Planning.

The Works and Utilities Committee reports having:

(1) received the following report; and

(2) requested the Interim Functional Lead for Solid Waste Management to:

(i) revisit the planning process with respect to the maximum tonnage over a 20-year cycle, and to provide a quarterly report to the Committee on the status of the process; and

(ii) to include in the list of possible alternatives the mining of the Keele Valley Landfill Site and other potential locations:

(i) (January 29, 1998) from the Interim Functional Lead for Solid Waste Management providing background information related to the contract for solid waste disposal with Browning-Ferris Industries Ltd., and reviewing previous siting processes for disposal capacity; also providing background information on the current planning process for long-term solid waste disposal being carried out under the Environmental Assessment Act, including the status of draft Terms of Reference prepared for approval by the Minister of the Environment preliminary to the submission of an environmental assessment, and the adoption of four Planning Principles; advising that based on input received from industry participants and provincial review, a number of changes to the draft Terms of Reference are being considered and will be brought before the Committee in March/April 1998; and recommending that the report be received for information.

(ii) (February 11, 1998) from Ms. Karen Buck, Toronto, Ontario, respecting the long-term solid waste disposal planning.

________

Mr. Lawson Oates, Manager, EA Co-ordination Branch, Management and Technical Services Division, Works Department, gave a presentation to the Works and Utilities Committee in connection with the foregoing matter, and submitted a copy of his presentation.

(e) Article Respecting Incineration of Waste.

The Works and Utilities Committee reports having referred the following communication from Councillor Johnston to the Interim Functional Lead for Solid Waste Management:

(i) (January 30, 1998) from Councillor Anne Johnston, North Toronto, forwarding, for information, an article published in "New Scientist" respecting the incineration of waste and in particular questioning the benefit of paper recycling.

(ii) (February 8, 1998) from Dr. Stephen Connell, Toronto, Ontario, submitted by Ms. Karen Buck, in response to the aforementioned communication from Councillor Johnston respecting the article published in "New Scientist."

(f) Reuse, Repair and Rental Guide for Toronto Area.

The Works and Utilities Committee reports having referred the following communication to the Interim Functional Lead for Solid Waste Management for consideration with the operating budget, with a request that a report be submitted to the Committee on the responses received as a result of the guide by those companies listed therein:

(February 9, 1998) from Mr. Michael Khoo, Toronto Environmental Alliance, forwarding a proposal for the continuation of the printing and distribution of the guide entitled "Use It, Re-use It", a guide to reuse, repair and rental in the Toronto area.

Respectfully submitted,

BETTY DISERO,

Chair

Toronto, February 11, 1998

(Report No. 2 of The Works and Utilities Committee, including additions thereto, was adopted, as amended, by City Council on March 4, 5 and 6, 1998.)