Agenda Item No.: E.1.a. City Policy C521 - Land Development Application Process for Potentially Contaminated Properties Recommendations: That City Policy C521, Land Development Application Process for Potentially Contaminated Properties, Attachment 1 of the May 8, 2006, Planning and Development Department report 2006PDP119, be approved. Advertising This City Policy has been advertised in the Edmonton Journal on Friday, May 26, 2006, and Sunday, June 4, 2006. Report Summary City Policy C521, Land Development Application Process for Potentially Contaminated Properties, will provide direction for processing planning and land development applications for properties with potential soil or groundwater contamination. Report Before approving a rezoning or subdivision, municipalities must ensure that the land is suitable for its intended use. This applies to the suitability of property with respect to soil or groundwater contamination. The Environmental Protection and Enhancement Act (EPEA), adopted in 1993, established a regulatory framework to address environmental contamination. The City of Edmonton, Capital Health Authority and Alberta Environment have worked cooperatively on procedures for reviewing and processing planning bylaw and subdivision applications involving property with potential soil and groundwater contamination. The procedures used by the City are Routing: Delegation: Written By: May 8, 2006 File: 2006PDP119 Public Hearing, City Council G. Jackson G. Jackson/S. Pragnell Planning and Development Department (Page 1 of 3) consistent with its responsibility to review and make recommendations on bylaw and subdivision applications and to provide advisory notices on development and building permits, but they have not been formally adopted. Proposed City Policy C521, Land Development Process for Potentially Contaminated Properties (Attachment 1), will be implemented through City Procedures, Land Development Application Process Guidelines for Potentially Contaminated Properties. (Attachment 2), approved by the City Manager, for planning bylaw and subdivision applications involving properties where soil or groundwater contamination may be present. Proposed City Policy C521 acknowledges the co-operative relationship between the City of Edmonton, Alberta Environment and Capital Health Authority. The policy also authorizes the practice of placing advisory notices on development and building permits. The proposed City Procedures formalize practices that have been developed by Administration in cooperation with Alberta Environment, Capital Health Authority and the development industry. Proposed City Policy C521 includes the initiation of a DC3 Provision as a major improvement to current practices in the form of a site specific Direct Control Provision for contaminated sites. The Direct Control (DC3) Provision is a new regulatory instrument to facilitate remediation and redevelopment of contaminated sites. The framework for direct control land use regulation on a contaminated site will be applied E 1 a City Policy for Potentially Contaminated Sites and the DC3 Direct Control Zoning through the proposed Bylaw 14304 to amend the Edmonton Zoning Bylaw. Each site will require a site specific DC3 Provision based on the unique development situation and conditions of the site. Current practices for processing planning bylaws and subdivision applications for properties with potential soil or groundwater contamination are effective in most cases. However, redevelopment can be obstructed when complete remediation prior to approval of the bylaw or subdivision is not practical. The position of Administration on the development of contaminated sites has been to require clean up of the property for all permitted or discretionary uses allowed in the zone. This has created difficulties in allowing the redevelopment of some brownfields sites where the cost of clean-up for all uses in the existing or proposed zone, either permitted or discretionary, is prohibitive. The DC3 Provision would allow approval of a planning bylaw or subdivision by applying zoning-based requirements for site remediation or implementation of risk management measures prior to the issuance of a development permit. Redevelopment of some contaminated properties could be facilitated by using the DC3 zoning to restrict uses that are sensitive to low levels of environmental contamination while allowing development of less sensitive uses. The new City Policy and City Procedure for development on brownfield sites will encourage brownfield development by allowing for clean-up of a property to a (Page 2 of 3) level appropriate for the range of uses in a site specific DC3 Provision rather than for all potential uses in a standard zone. The proposed approach will provide for an appropriate level of safety for the redevelopment of brownfield sites where the cost of site remediation to acceptable standards for all use in an appropriate standard land use zone would normally prohibit redevelopment of any kind. Determination of the sensitivity of land uses with respect to levels of soil or groundwater contamination will continue to be based on standards used by Alberta Environment and Capital Health Authority. For properties where residential or residential related uses are allowed, Administration will accept remediation to a level of contamination that is safe for those uses and will not support risk management approaches. The concern is that the potential consequences of the failure of risk management measures where residential uses are involved outweigh the benefits of a risk management approach. City practices dealing with planning and development applications involving land with potential or known soil or groundwater contamination have been developed in co-operation with the Urban Development Institute (UDI). Regulatory agencies with interests in remediation and risk management of soil and ground water contamination have provided input. City Policy C521, the City Procedures and the DC3 amendment to the Edmonton Zoning Bylaw are supported by UDI and endorsed by a UDI letter of support. City Policy for Potentially Contaminated Sites and the DC3 Direct Control Zoning also introduces the DC3 Direct Control Provision, a new regulatory instrument of the Edmonton Zoning Bylaw that will facilitate remediation and redevelopment of contaminated properties. The new procedures for development of contaminated sites will encourage the redevelopment of brownfield sites in Edmonton. The proposed City Policy, City Procedures and DC3 zoning are consistent with and complementary to the City’s approach to remediation and development of City-owned property with potential or known contamination. Budget/Financial Implications Administration of City Policy C521 and the associated City Procedures will require staff time in excess of time used to administer the current process. The additional requirement will be one full-time equivalent position to be requested in the 2007 budget. Legal Implications Corporate Services Department, Law Branch, has reviewed the proposed Policy, Procedures and DC3 Provision and is satisfied that the City is providing due diligence with respect to acting in the interest of public health and safety. Background Information Attached 1. City Policy C521, Land Development Application Process for Potentially Contaminated Properties 2. City Procedures, Land Development Application Process Guidelines for Potentially Contaminated Properties (For Information Only) Others Approving this Report Justification of Recommendation In approving City Policy C521, Council will address the City’s responsibility to take steps to ensure that property that is subject to a planning bylaw or subdivision application is suitable for the intended uses with respect to soil and groundwater contamination prior to approving the application. The policy authorizes Administration to adopt appropriate procedures for processing planning bylaw and subdivision applications involving property where contamination may be present, recognizes the City’s co-operative relationship with Alberta Environment and Capital Health Authority, and endorses the practice of printing advisories on development and building permits. Proposed City Policy C521 (Page 3 of 3) J. Tustian, General Manager, Corporate Services Department