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To:
Special Joint Meeting of Works Committee and Policy and Finance
Committee
From: Barry H. Gutteridge, Commissioner, Works and Emergency
Services
Subject: Toronto Integrated Solid Waste Resource Management
("TIRM") Process Category 2, Proven Disposal Capacity Residual Solid
Waste Disposal Capacity Options Rail Transportation Review
July 19, 2000
Purpose:
The purpose of this report is to present to the Joint Committee
(Policy and Finance Committee and Works Committee) information related
to the rail transportation components of proposals submitted in
connection with the award of contracts for residual disposal capacity
under the Toronto Integrated Solid Waste Resource Management ("TIRM;")
Process.
Financial Implications and Impact Statement:
There are no direct financial impacts arising from this report.
Recommendations:
It is recommended that this report be received for information.

Background:
During the course of deputations at the Joint Committee meeting
of June 22 and 23, 2000, a spokesperson for one of the Respondents
advised he would provide information related to rail safety issues.
Staff have subsequently been advised that the relevant information
was provided to our TIRM consultants during the course of the due
diligence.
In order to convey key information about the rail transportation
components of the proposals from Rail Cycle North and Republic Services
of Canada our consultant, Earth Tech (Canada) Ltd., has assembled
an overview of key findings/facts resulting from the technical/environmental
due diligence review of rail transport. This overview is attached
as Appendix A, and is submitted to the Joint Committee for reference
purposes.
Comments:
The TIRM project consultant, Earth Tech, has provided an overview
of their key findings resulting from the due diligence review of
the rail transport components of the submissions from Rail Cycle
North and Republic Services of Canada. These finding are presented
in Appendix A to this report.
The components of the overview are:
regulatory status;
environmental management system;
track maintenance and operation; and
volume of traffic.
Conclusions:
This information report provides an overview of three railways whose
services may be engaged through the TIRM Process to provide transport
of solid waste.
Contact:
Lawson Oates, B.A., M.E.S.
Manager, Strategic Planning
Solid Waste Management Services
Works and Emergency Services
Metro Hall, 19th Floor
Phone: 416-392-9744
Fax: 416-392-4754
E-mail: loates@toronto.ca
Angelos Bacopoulos General Manager, Solid Waste Management Services
Barry H. Gutteridge Commissioner, Works and Emergency Services

Appendix A.Back
to Top
The TIRM project consultant,
Earth Tech (Canada) Inc., has provided an overview of key findings/facts
resulting from the technical due diligence review of rail transport.
Rail Cycle North
The Rail Cycle North consortium has two railways participating in
their proposal submission, Canadian National Railway ("CN") and
Ontario Northland Railway ("ONR"). CN would transport solid waste
from the MacMillan Rail Yard (located in the City of Vaughan) to
North Bay, Ontario. ONR would then transport the solid waste from
North Bay to the Adams Mine Landfill.
Canadian National Railway Regulatory Status
CN is regulated federally under the Railway Safety Act.
Environmental Management System
CN has a highly developed Environmental Management System "EMS")
with many elements of the International Standards Organization ("ISO")
14001 program implemented.
With respect to their EMS, CN maintains a corporate environmental
policy. Their EMS demonstrates a comprehensive understanding of
their environmental performance, achieved through an environmental
auditing program that assesses compliance to regulatory requirements
as well as conformance with internal procedures.
CN has committed to Responsible Care and the ethic and code elements
related to Responsible Care. CN is scheduled to complete the Responsible
Care verification audits in 2001.
Volume
CN has 1,400 cars/day (7 days per week) run on their Washago to
North Bay line. RCNs proposal to transport Torontos waste (at
1 million tonnes/year 5 days per week) would constitute only an
increase of 8 percent in traffic. CN Railway has approximately the
same number of cars (1,400) running from Toronto to Detroit (with
respect to RCNs contingency sites in Michigan).

Ontario
Northland Railway
Regulatory Status
The ONR line between North Bay and Kirkland Lake is not regulated
by the Federal Government under the Railway Safety Act or provincially
under the Ontario Shortline Railways Act. However, ONR is having
discussions with Transport Canada, the Canadian Transport Agency
and the Transportation Safety Board (TSB) with respect to ONRs
regulatory status. ONR intends to voluntary adhere to the Federal
Safety Requirements.
ONR is regulated Federally under the Transportation of Dangerous
Goods so when the recent sulphuric acid spill occurred, Transport
Canada was required to investigate the matter.
Environmental Management System (EMS)
ONR has parts of an EMS in-place by virtue of ONR operating in conformance
with Responsible Care . Elements of Responsible Care apply to
ONR through Norandas use of ONRs services.

Track
Maintenance and Operation
For the year 2001, ONR has a capital budget of $7.3 million to improve
their track network. In previous years the capital budgets have
been around $3 - $5 million/year for ONRs Track Maintenance Group.
Included in the 2001 capital budget program ($7.3 million) is the
replacement of 50,000 new ties (35,000 between North Bay and Kirkland
Lake). There are approximately 380,000 ties between North Bay and
Kirkland Lake (therefore approximately 10 percent tie replacement).
ONR has completed a track/tie/roadbed assessment program using a
new piece of equipment called a Holland Track Star it tests
downward pressure as well as outward pressure. However, there are
no criteria for both pressures. Therefore, ONR has adopted CN standards,
a federally regulated company.
ONR follows the requirements of the Railway Safety Act for track
inspection and testing. For the rail operation between North Bay
and Kirkland Lake, the track must be visually inspected by competent
staff at least twice per week. Testing equipment such as the ultra-sonic
testing and gauge/pressure testing is completed twice per year using
CN test equipment.
ONR is hiring a track consultant in the fall to review their track
infrastructure and operating practices. This will allow ONR to focus
future spending.
CN has running lights on ONR lines and vice versa. CN has stated
that they are confident in ONRs track condition, citing the fact
that CN would not otherwise risk their rolling stock (approximately
$10 million per locomotive) and their reputation with their clients.
If CN is concerned about the condition of the ONR tracks, CN would
not run on the ONR line.

Recent
Sulphuric Acid Spill
The TSB is investigating the sulphuric acid spill and they cannot
issue details of their investigation, as the internal draft report
has not yet been presented to the Board. The draft report is scheduled
to be presented to the Board by the end of September 2000. The final
report may be available to the public 60 days after the presentation
to the Board. However, if the Board requires further investigation,
the release of the report may be delayed further.
A TSB representative indicated that when the sulphuric acid spill
occurred, ONR responded quickly and appropriately. ONR followed
the requirements of their internal incident manual and senior staff
were involved quickly. ONR set up a command post and maintained
good communication with regulatory agencies, the municipal authorities
and the community.

Volume
Currently, ONR transports 2.8 million tonnes per year over their
line. An increase of 1.0 million tonnes per year would bring their
total to 3.8 million tonnes/year. It should be noted that in previous
years when Dofasco was operating the Adams Mine, ONR transported
approximately 1.5 million tonnes per year out of the mine.
Blockages
Within the last 5 years there have been 2 blockages between North
Bay and Kirkland Lake that lasted greater than 48 hours this includes
the recent sulphuric acid spill. Both blockages were due to derailments
and ONR was able to re-route their trains to their intended destinations
within 24 hours by using running rights on other railway companies
lines.
Republic Canadian Pacific Railway
Regulatory Status
CP is regulated federally under the Railway Safety Act.

Environmental
Management System
CP has a highly developed Environmental Management System with many
elements of the ISO 14001 EMS implemented.
With respect to their EMS, CP maintains a corporate environmental
policy. Their EMS demonstrates a comprehensive understanding of
their environmental performance from an on-going operation. CP has
a comprehensive environmental auditing program that assesses compliance
to regulatory requirements as well as conformance to internal procedures.
CP has committed to Responsible Care and the ethic and code elements
related to Responsible Care . CP is scheduled to complete the Responsible
Care verification audits in 2001.

Volume
Republics proposal to transport Torontos waste (at a rate of 1
million tonnes per year, 5 days per week) would constitute only
a 5 percent increase in traffic on CPs Expressway line.
CP has recently undertaken substantial upgrades to their operation
between Toronto (Milton Yard) and Detroit (Verner Yard) through
the opening of the Expressway System. The Expressway System is a
streamlined operation where truck trailers are loaded on to specially
constructed cars at yards that are designed for the flow of truck
trailers in and out of the yards.
The Verner Yard has gone through a substantial upgrade to assist
with the flow of trailers through the yard. The upgrades include
improvements to site security, administrative offices, truck traffic,
truck trailer marshalling and electronic trailer monitoring.
Security All three railways noted in this appendix maintain
their own police force.

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