oneia- kilmer david harper presentation

Urban Intensification and Ontario’s New Brownfield Regulation

ONEIA Forum – Turning Brown to GreenMarch, 3 2011

• Potential Environmental Liabilities – civil and regulatory liabilities affecting both former owners and developers.

• “Remediation Funding Gap” – conventional financing is not readily available during site restoration.

• Process Uncertainty – timing and outcomes unclear for environmental and planning matters.

Brownfields 101

Common Barriers to Brownfield Redevelopment

ONEIA ForumMarch 3, 2011 2

Brownfield Financing Gap

$$$$

Redevelopment Timeline

Value = ??

FINANCING GAP

Higher Order Use

Site Closure

>Costs

The Problem: Brownfields Cannot be Valued on a Cost Basis


• Strategic location (i.e. downtown, direct highway exposure, waterfront property)

• Remediation feasible and not cost-prohibitive relative to land value

• Municipal support for higher-order uses (re-designation/rezoning)

• Market demand for developable land

• Parcel is of significant size (10 to 30 acres)

• High value municipal incentives

Evaluating Opportunities

Redevelopment/Remediation Parameters


Detailed Due Diligence

• Supplemental Subsurface Investigations

• Screening Risk Assessment and Remedial Options

• Stakeholder Dialogue

• Roads, Parkland and Servicing

• Higher Order Land Use Potential

• Insurance Deliverables

• End-Use Market Acceptance

• Realistic Exit Values/Markets/Timing

• Valuation of Municipal Incentives

Evaluation of the Market, Planning and Environmental Risks

Due Diligence Takes Typically 75 to 90 days


Remedial Strategy

• Risk assessment and clean-up standard selection based on site development strategy.

• Demolition, on-site material segregation, treatment and re-use.

• Contaminant source removal and supplemental ground water treatment and mitigation.

• Site monitoring and risk management considerations.

• Regulatory site closure documentation completed by Qualified Consultant.

Integrated Site Management


Brownfield Funding Timeline

18-48 Months +

Due Diligence

Site Restoration and Land Use Concepts

Approvals

12-36 months

6-12 months

2-4 months

Closure

Sale?? months

Acquisition

Cos

ts

Redevelopment Timeline

Redevelopment can be Prolonged and Costs Substantial


The changes can be summarized in the following categories:

• Enhanced Record of Site Condition (RSC) Integrity

• Streamlined Risk Assessment Approach (Tier 2)

• Revised Soil and Groundwater Site Condition Standards

• Implementation and Transition (comes into effect July 2011)

• Complementary Amendments (ie. soils management)

Regulatory Amendments

Off-Site Liability Protection?

Brownfield Amendments – O. Reg. 511/09


March 3, 2011 ONEIA Forum 9

3600 – Looking Southeast


Lake Shore Streetscape

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Townhouse development…


Planning Application Submitted

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Units

8-12 Storey Apartment 100

4-6 storey 40

12 storey Apartment 200

Back-to-Back Towns 123

Stacked Towns 75

Total Units 538

• Zoning Applications for Official Plan Amendment and Zoning By-law Amendment submitted June 2010.

• Strong City support

• Community consultations

• Anticipate approvals Spring 2011


Built Form Imagery

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Built Form ElevationsBack-to-Back Townhouse

Stacked Townhouse


3600 - Demolition

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e245,000 sq. ft.

Demolition of the 245,000 building …


3600 - Demolition

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… was completed on-time and on-budget


3600 - Demolition

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UST Removal…


Remedial Plan

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Field Work Timeline

3 months

6 months

Approvals Timeline

3 months

12 months

18 months

Risk Assessment

• Addresses wider-area impacts, on- and off-site.

• Focus source remediation based on proposed use.

• Improved timing and less disruptive to site development construction.

• Preservation of historic buildings and cultural landmarks.

• Encourages on-site management vs. off-site disposal.

• Easily integrated with other remedial strategies.

• Benefits translate to up-front cost savings for redevelopment.

Many Advantages for Brownfields


Comparison of Table 3 Standards (Residential/Parkland)

PARAMETER TABLE 3 STANDARDS – RESIDENTIAL/PARKLAND

SOIL GROUNDWATER

2004 2009 2004 2009

Tetrachloroethylene 0.45 (2.3) 0.28 5 (17) 1.6Trichloroethylene (3.9) 1.1 (0.52) 0.061 50 (17) 1.6Dichloroethylene 1 2-cis- 2.3 (30) 3.4 (17) 1.6 (17) 1.6Vinyl Chloride (0.0075) 0.003 (0.022) 0.02 (1.3) 0.5 (1.7) 0.5Petroleum Hydrocarbons (F1) (260) 30 (65) 55 No Value 750Petroleum Hydrocarbons (F2) (900) 150 (150) 98 No Value 150Benzene (25) 5.3 (0.17) 0.21 (12000) 1900 (430) 44Benzo[a]pyrene 1.2 0.3 1.9 0.81Antimony 13 7.5 16000 20000Arsenic (25) 20 18 480 1900Copper (300) 225 (180) 140 23 87Lead 200 120 32 25

Tier 2 Pilot

More StringentLess Stringent

New ValueNo Change


Application of Risk Management Measures

Tier 2 Pilot

PARAMETER STANDARDSRMM STANDARD:

Asphalt or Concrete Cap, or Soil Cap >1m thick

2009 GENERIC TABLE 3(Res/Parkland)

TIER 2

Soil Groundwater Soil Groundwater Soil GroundwaterTetrachloroethylene (2.3) 0.28 (17) 1.6 (2.3) 0.28 (17) 1.6 (2.3) 0.28 (17) 1.6Trichloroethylene (0.52) 0.061 (17) 1.6 (0.52) 0.061 (17) 1.6 (0.52)0.061 (1.7) 1.6Dichloroethylene 1 2-cis- (30) 3.4 (17) 1.6 (30) 3.4 (17) 1.6 (30) 3.4 (1.7) 1.6Vinyl Chloride (0.022) 0.02 (1.7) 0.5 (0.022) 0.02 (1.7) 0.5 (0.022) 0.02 (1.7) 0.5Petroleum Hydrocarbons (F1)

(65) 55 750 (210) 130 (1900) 1400 (240) 130 (1900) 1400

Petroleum Hydrocarbons (F2)

(150) 98 150 (150) 98 150 (150) 98 150

Benzene (0.17) 0.21 (430) 44 (0.17) 0.21 (430) 44 (0.17) 0.21 (430) 44Benzo[a]pyrene 0.3 0.81 0.3 0.81 3.6 0.81Copper (180) 140 87 (180) 140 1400 5600 1400Lead 120 25 120 410 1000 410

Tier 2 Standards with RMM that are less stringent than no RMMs

Tier 2 standards with RMMs that are the least stringent



Tier 2 Pilot

PARAMETER STANDARDS RMM STANDARD: Ground floor non-

residential2009 GENERIC TABLE 3(Res/Parkland)

TIER 2

Soil Groundwater Soil Groundwater Soil Groundwater

Tetrachloroethylene (2.3) 0.28 (17) 1.6 (2.3) 0.28 (17) 1.6 (29) 4.5 (230) 30Trichloroethylene (0.52) 0.061 (17) 1.6 (0.52) 0.061 (17) 1.6 (0.61) 0.91 (230) 30Dichloroethylene 1 2-cis- (30) 3.4 (17) 1.6 (30) 3.4 (17) 1.6 (37) 55 (230) 30Vinyl Chloride (0.022) 0.02 (1.7) 0.5 (0.022) 0.02 (1.7) 0.5 (0.25) 0.032 (23) 3Petroleum Hydrocarbons (F1)

(65) 55 750 (210) 130 (1900) 1400 (610) 580 1900


(150) 98 150 (150) 98 150 (490) 380 150

Benzene (0.17) 0.21 (430) 44 (0.17) 0.21 (430) 44 (0.4) 0.32 (5700) 840Benzo[a]pyrene 0.3 0.81 0.3 0.81 0.3 0.81Copper (180) 140 87 (180) 140 1400 (570) 430 1400Lead 120 25 120 410 200 410





Tier 2 Pilot

PARAMETER STANDARDSRMM STANDARD:

Ventilated underground/1st floor parking, no basement dwellings

2009 GENERIC TABLE 3(Res/Parkland)

TIER 2

Soil Groundwater Soil Groundwater Soil GroundwaterTetrachloroethylene (2.3) 0.28 (17) 1.6 (2.3) 0.28 (17) 1.6 (81) 28 (1700) 160Trichloroethylene (0.52) 0.061 (17) 1.6 (0.52) 0.061 (17) 1.6 (24) 6.1 (1700) 160Dichloroethylene 1 2-cis- (30) 3.4 (17) 1.6 (30) 3.4 (17) 1.6 (630) 340 (1700) 160Vinyl Chloride (0.022) 0.02 (1.7) 0.5 (0.022) 0.02 (1.7) 0.5 (0.57) 0.21 (170) 16Petroleum Hydrocarbons (F1)

(65) 55 750 (210) 130 (1900) 1400 610 1900


(150) 98 150 (150) 98 150 490 150

Benzene (0.17) 0.21 (430) 44 (0.17) 0.21 (430) 44 9.3 (43000) 4400Benzo[a]pyrene 0.3 0.81 0.3 0.81 0.3 0.81Copper (180) 140 87 (180) 140 1400 570 1400Lead 120 25 120 410 200 410




Proposed CPU for RMM – Enclosed building with storage garage

Regulatory Amendments


Built Form Implications

Implementation

No at-grade living space



Creative Underground Parking Solutions

Implementation

Sustainable Remediation?

“Dig and Haul” and Carbon Dioxide Emissions

SOURCES:1.Reid, Lesley, Sustainability in Remediation - Calculating CO2 Emissions Associated with Varied Remediation Activities Presented at GeoEdmonton 20082.Environment Canada: Emission Factors for Energy Mobile Combustion Sources for Heavy-Duty Diesel Vehicles http://www.ec.gc.ca/pdb/ghg/inventory_report/2005_report/a12_eng.cfm#a12_1_4

Average source excavation 7,500 m3 of soilPortion of soil requiring off-site disposal 50% Volume of soil requiring off-site disposal 3,750 m3 of soilVolume each dump truck carries (m3) 16 m3 of soilTotal round trips required 235 trips

Average distance from site to Landfill 225 kmTotal traveling distance for disposal (round trip) 105,750 kmDistance from site to clean fill location 50 kmTotal traveling distance for backfill (round trip) 23,500 km

TOTAL DISTANCE 129,250 km

Fuel consumption of dump truck (Source 1) 35 L/100 km

Emission coefficient (Source 2) 2.7 kg CO2/L

Total CO2 Emissions 122,141 kg

Total CO2 Emissions 122.141 tonnes


http://www.ec.gc.ca/pdb/ghg/inventory_report/2005_report/a12_eng.cfm

• One of the leading demolition contractors in Canada.

• Family owned and operated for over 35 yrs with 250 employees.

• Hazardous materials abatement, asset recovery, Brownfield remediation and large earth moving expertise and experience.

• Annual revenue of $55 million.

• Located in Kettleby Ont. (near Aurora).

• Serving consultants, multi-national corporations, developers, general contractors, government agencies and home owners.

• Sophisticated fleet of owned equipment to provide a “turnkey” operation.

• Ability to recycle up to 95% of building structures and divert waste from landfills.

Priestly Demolition

March 3, 2011 28ONEIA Forum

4.33 ha former Arvin Meritor Industrial Property


3600 Lake Shore Boulevard West, Toronto

• Disconnect site services and cap storm and sanitary sewers.

• Clear and grub property and remove and dispose of approximately 11,000 sq. m. of asphalt.

• Excavate and stockpile unimpacted overburden soils for reuse.

• Excavate and dispose offsite of approximately 5000 MT of hydrocarbon and metal impacted soil.

• Place and compact unimpacted overburden soils.


Remediation Program – Site & Areas A, B & C

• Excavate and stockpile unimpacted overburden soils.

• Excavate down 8 m into fractured bedrock.

• Crush rock to 3 in. or less and spread on asphalt treatment pad.

• Add pre-measured 50/50 iron powder and mix with soil.

• Add pre-measure bentonite to soil/rock/iron mix.

• Spread mixture back in excavation, misting in lifts.


Remediation Program – Zone 1


Excavation of Shale Bedrock


Loading of Shale Bedrock


Crushing of Shale Bedrock


Spreading of Crushed Material and Addition of Iron/Bentonite


Completed Zone 1

• Excavate and stockpile unimpacted overburden soils.

• Excavate down to approximately bedrock interface at 3.5 m.

• Mixed premeasured concrete sand onsite in concrete trucks with pre-measured iron powder.

• Spread sand/iron mix back in excavation in lifts alternating with impacted soil and compacting.


Remediation Program – Zone 2

• Dust control – keep material wet as needed.

• Water management – testing and managing water primarily onsite with some offsite disposal of impacted water.

• Shale excavation – Link Belt 8000

• Frost – periodic removal to achieve compaction

• Schedule – 3 months


Remediation Program - Challenges

A force to be wrecking with.

www.priestly.ca


David HarperManaging Partner

Kilmer Brownfield Management Limited

[email protected]

www.kilmergroup.com/brownfield/

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