00001 1 MANITOBA CLEAN ENVIRONMENT COMMISSION 2 3 4 5 6 7 RED RIVER FLOODWAY EXPANSION PROJECT 8 9 10 11 12 ======================================= 13 Monday, February 14, 2005 14 Sheraton Hotel, 161 Donald Street 15 Winnipeg, Manitoba 16 ======================================== 17 18 19 20 21 22 23 24 25 00002 1 APPEARANCES: 2 Clean Environment Commission: 3 Mr. Terry Sargeant - Chairman Mr. Barrie Webster - Member 4 Mr. Wayne Motheral - Member Mr. Doug Abra - Counsel 5 Mr. Dave Farlinger - Technical consultant Ms. Cathy Johnson - Secretary to Commission 6 Ms. Joyce Mueller - Secretary 7 Manitoba Conservation: 8 Mr. Trent Hreno - Chair, Project Admin Team Mr. Bruce Webb - Chair, Tech Advisory 9 Committee Mr. Stewart Pierce - Counsel 10 11 Manitoba Floodway Authority: 12 Mr. Rick Handlon - Counsel Mr. Jim Thomson 13 Mr. Doug McNeil Mr. Doug Peterson 14 Mr. John Osler - Intergroup Consulting Mr. David Morgan - TetrES Consulting 15 Mr. George Rempel - TetrES Consulting 16 17 Participants: 18 Mr. Bob Starr - Ritchot Concerned Citizens Mr. Bob Bodnaruk - RM of Springfield 19 Mr. Steve Strang - RM of St. Clements Mr. Orvel Currie - Counsel to Municipalities 20 Mr. Dave Chorney - Coalition for Flood 21 Protection North 22 Mr. Jack Jonasson - Coalition for Flood 23 Protection North 24 Mr. Kerry McLuhan - Coalition for Flood 25 00003 1 Participants: (continued) 2 Protection North 3 Mr. Karl Pohl - Coalition for Flood 4 Protection North 5 Mr. Rob Loudfoot - 768 Association 6 Mr. Y. Shumuk - 768 Association 7 Paul Clifton - Paul Clifton 8 Mr. Jeff Frank - Rivers West 9 Gaile Whelan Enns - Manitoba Wildlands Earl Stevenson - Peguis Indian Band 10 Mr. Jake Buhler - Cooks Creek Conservation 11 Mr. Lloyd Crooks - Cooks Creek Conservation 12 Mr. Jon Stefanson - Cooks Creek Conservation 13 Mr. Daryl Chicoine - Counsel 14 Mr. Jim Stinson - Jim Stinson 15 16 17 18 19 20 21 22 23 24 25 00004 1 Index of Exhibits 2 3 1 Motion, Manitoba Clean Enrironment 43 4 Commission, Between RM of East St. 5 Paul, St. Clements and Springfield 6 7 2 Motion Brief of the Participants 43 8 before the Manitoba Clean Environment Commission, February 9 14, 2005, 9:00 a.m. 10 3 Brief: Motions Brief of the 100 11 Proponent before the Manitoba Clean Environment Commission, February 12 14, 2005, 9:00 a.m. 13 14 4 Prepared statement from the 768 103 Association Inc., participant in 15 the Manitoba Clean Environment Commission hearings for the Red 16 River Floodway Expansion Project 17 18 5 Support for the motion by Paul 121 Clifton 19 20 21 22 23 24 25 00005 1 INDEX OF UNDERTAKINGS 2 UNDERTAKING NO. PAGE 3 4 5 No undertakings given 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 00006 1 MONDAY, FEBRUARY 14, 2005 2 UPON COMMENCING AT 9:00 A.M. 3 4 THE CHAIRMAN: Good morning, ladies 5 and gentlemen and welcome. For any of you who may 6 have forgotten your Valentine, we will try and get 7 you out this afternoon before the florists and the 8 chocolate shops close. 9 Before calling today's proceedings to 10 order, please allow me to introduce myself. My 11 name is Terry Sargeant, I'm the chair of the Clean 12 Environment Commission, as well as chair of the 13 panel that will be reviewing the floodway 14 proposal. With me as panel members are Wayne 15 Motheral and Barrie Webster. 16 In addition to the panel, I would 17 like to introduce some of the staff and advisors 18 who are assisting us in this review, starting with 19 commission secretary, Cathy Johnson, just on the 20 table down to my left, who has only recently 21 joined the Commission. Sitting next to her is 22 Doug Abra, our legal counsel from the firm of Hill 23 Abra & Dewar. Behind me is Dave Farlinger, one of 24 the technical consultants who will be working with 25 the Environment Commission over the next few 00007 1 weeks. And at the registration table by the door 2 is our administrative secretary, Joyce Mueller. 3 I would like to note that the Manitoba 4 Clean Environment Commission is an arm's length 5 provincial agency which derives its authority from 6 the Environment Act. We conduct our hearings in 7 general accordance with the process guidelines 8 respecting public hearings. Furthermore, and 9 particularly germane to what will unfold this 10 morning, we must operate within the common law as 11 it relates to administrative bodies such as ours. 12 I'm going to put off any more detailed 13 introductory comments until we actually commence 14 the review hearings, whether that be tomorrow 15 morning or some other date yet to be determined. 16 As you are all aware, we have an extraordinary 17 matter to deal with today before we proceed to our 18 scheduled hearings. 19 In accord with our process guidelines, 20 three of the registered participants have filed a 21 motion asking that the commencement of these 22 hearings be delayed. These participants are the 23 rural municipalities of East St. Paul, St. 24 Clements and Springfield. We will now turn to 25 deal with this motion. 00008 1 The order of this part of the 2 proceedings will be as follows: Counsel for the 3 applicant, that is the three municipalities, will 4 present their motion and their argument in support 5 of that motion. This will be followed by a 6 response from the Manitoba Floodway Authority, the 7 respondent. Following this, registered 8 participants wishing to speak to the motion will 9 be allowed to do so. These presentations will be 10 limited to 20 minutes, they must be relevant to 11 the motion before us, and are to be spoken 12 arguments only. 13 To date we have had indication that 14 one participant wishes to make an oral 15 presentation this morning. One other participant 16 submitted a brief written submission which will be 17 read into the record by the Commission secretary 18 at the appropriate time. 19 Following these presentations, the 20 respondent will have an opportunity to present any 21 final comments. And lastly, the applicant will 22 have the opportunity to bat clean-up, so to speak. 23 At the end of this debate this morning 24 or early this afternoon, however long it takes, 25 the panel will recess, consider the arguments 00009 1 presented, and come to a decision. We will 2 present our decision with written reasons as soon 3 as possible. We have spoken this morning, we 4 would hope that by at about 4:00 or 4:30 this 5 afternoon we can give you either a written 6 decision or at the very least an oral decision. 7 I should note that the decision of the panel in 8 this regard is final. 9 I would just like, before we commence 10 I would like to point out to the lawyers for the 11 parties that two of the members of this panel are 12 not legally trained, most of the people in the 13 audience are not legally trained, so, please, if 14 you use any legalese terms, explain it for the 15 benefit of all of us. 16 I would now like to ask the Commission 17 secretary to read the motion into the record. 18 MS. JOHNSON: Thank you, 19 Mr. Chairman. The notice of motion: 20 "The participants, the Rural 21 Municipality of Springfield, the Rural 22 Municipality of St. Clements, and the 23 Rural Municipality of East St. Paul, 24 the participant municipalities, will 25 make a motion before the Manitoba 00010 1 Clean Environment Commission at 2 9:00 a.m. or as soon after that time 3 as the motion can be heard on the 14th 4 day of February at the Sheraton Hotel, 5 191 Donald Street, in the City of 6 Winnipeg in the Province of Manitoba. 7 The motion is for an order that the 8 public hearings scheduled to commence 9 on February 14th, 2005, be adjourned 10 sine die or to a date set by the 11 Manitoba Clean Environment Commission, 12 that the Manitoba Floodway Authority, 13 the proponent, produce all documents 14 and complete all informational and 15 technical requirements pursuant to the 16 guidelines for the preparation of an 17 Environment Impact Statement for the 18 Red River Floodway Expansion Project, 19 February 5, 2004 and the Environment 20 Impact Statement prior to the 21 commencement of the public hearings; 22 that to facilitate the involvement of 23 the participant municipalities and 24 other participants, the proponent 25 provide a comprehensive index 00011 1 referencing the EIS and all 2 supplementary proponent filings such 3 that issues can be easily 4 cross-referenced and accessed by all 5 participants; that the proponent 6 provide its position and proposals for 7 addressing the following issues as 8 detailed in the letter to the 9 commission for the participant 10 municipalities and the City of 11 Winnipeg, the City of Selkirk, and the 12 RM of St. Andrews, dated January 26, 13 2005, beyond its limited response in 14 its letter dated January 31, 2005. 15 1. Impacts on outfalls located in the 16 City of Selkirk. 17 2. Aquifer concerns based on a 18 possible transference of contamination 19 from floodway waters when levels are 20 high in the floodway. 21 3. Sealing of all of the aquifer, 22 including east and west of the 23 Springhill ski hill. 24 4. Possible usage of aquifer waters 25 spilling into the floodway. 00012 1 5. Erosion of river banks. 2 6. Ice jams and back flooding. 3 7. Low level crossing at Dunning 4 Road. 5 8. Compensation to individuals. 6 9. Cumulative impacts from initial 7 floodway construction. 8 10. Dredging at the mouth of the Red 9 River." 10 THE CHAIRMAN: Thank you. Just one 11 procedural note before we commence. I heard a 12 cell phone go off as that was being read into the 13 record. Please, turn off your cell phones. If 14 you put them on to vibrate, take your call outside 15 of the room, not inside the room. We won't 16 tolerate discourtesy to the other participants. 17 Mr. Currie, over to you, and would you 18 please introduce the folks with you? You don't 19 have to touch the mike, it will be turned on for 20 you. Please introduce the others with you on the 21 panel. 22 MR. CURRIE: Thank you, Mr. Chairman. 23 Just for the benefit of everyone, Orvel Currie 24 from the law firm of Levene Tadman Gutkin Golub 25 representing the municipalities. To my immediate 00013 1 right is Reeve Holland from the RM of Springfield, 2 to his immediate right is the Deputy Reeve Dave 3 Gera from the RM of East St. Paul, and to Deputy 4 Reeve Gera's right is Reeve Steve Strang from the 5 RM of St. Clements. 6 THE CHAIRMAN: Thank you. Proceed. 7 MR. CURRIE: Thank you very much, 8 Mr. Chairman, panel members. As it is clear from 9 what has been read into the record, this is a 10 motion to ask the panel to consider the indefinite 11 suspension of these hearings, or alternatively a 12 suspension of these hearings until a specified 13 time into the future. The intent of that is to 14 ask the panel, as has been heard, to consider 15 requiring the proponent of this project to answer 16 further and better questions and provide further 17 and better information. That's the very basics of 18 it. 19 The participant municipalities have 20 requested that I make it very clear that they are 21 not opposed to the floodway expansion. That is 22 not their position at all. They support this 23 expansion and know it must be done. It is a 24 critical component to all Manitobans. 25 What they oppose is doing it without 00014 1 careful consideration and thorough thought. What 2 they want is that there be taken into account -- 3 and I apologize here for a moment, Mr. Chairman, 4 my computer locks down on me every once in a 5 while. 6 THE CHAIRMAN: We will be patient. 7 MR. CURRIE: What they have indicated 8 is that they clearly want the construction to 9 proceed in the most cautious way, and it is based 10 upon some very basic principles that they see are 11 fundamental to Manitobans, and in particular 12 fundamental to their ratepayers and people within 13 the boundaries of their jurisdiction. 14 The first principle is that the 15 construction of this floodway is probably one of 16 the largest undertakings that the province will 17 see short of a hydro dam, which we have already 18 been through. And it will be with us for decades, 19 if not centuries. And one can't tell if it is 20 decades, but certainly one could honestly put 21 forward a century. We have got a floodway 22 construction right now that has lasted 35 plus 23 years. We know it is going on into the future. 24 Those are definitely decades. It will be a 25 project that our children's children will have to 00015 1 deal with in their generations. It is a project 2 which has and will continue to have a significant 3 impact on the most valuable resource in the 4 province, and that is the three aquifers which are 5 found within the participant municipalities' 6 borders, and upon which most, if not many, of 7 their residents rely on daily. 8 Following those general thought 9 patterns for the participant municipalities as to 10 why the issue is so important to them, they feel 11 that this commission review for them is a matter 12 of preserving a very valuable resource, a resource 13 that prognosticators state will some day perhaps 14 be, within our children's generation, the most 15 valuable resource known to mankind. It is water, 16 and will be the essence of life. We already know 17 what the critical elements of water and missing 18 water mean to various states throughout America. 19 Therefore, the participant 20 municipalities submit that this should not be a 21 race to either construct the floodway or to 22 complete this review of the design and 23 construction. The approach they submit to be 24 taken is the most cautious approach possible. If 25 it is perceived as a race to completion, they 00016 1 submit, this will lead to incomplete and casual 2 review, and ultimately in careless construction, 3 the results of which will not easily or even 4 cheaply ever be repaired. 5 The experts for the municipalities 6 have identified two major concerns for the 7 aquifer: A real risk to the aquifer of 8 contamination; I think it can be fairly submitted 9 without pointing to the evidence specifically and 10 dragging us down through a review, if I need to I 11 will do that. Both sets of experts, participant 12 municipalities' experts and the MFA acknowledge 13 that aquifer contamination is likely. However, 14 they disagree as to both the extent and duration 15 of that aquifer contamination. It is going to be 16 my submission, if you read the experts' reports 17 that in fact the MFA will tell us it is a 18 localized effect with short term consequences. 19 And that if you read our experts' reports, which 20 we will submit are both Wayne Clifton's report 21 from Clifton & Associates, and Conestoga-Rovers' 22 report out of Ontario, which we rely on, although 23 they were commissioned by the coalition, they are 24 being presented as part of our experts on the 25 ground water issues. 00017 1 Both of those experts, our experts, 2 will tell us and have told us in their reports 3 that these contaminant events have a likelihood of 4 long term consequences, and much deeper 5 consequences than just localized going 6 regionalized. 7 And herein lies the real problem with 8 the EIS. The MFA answers the questions under the 9 EIS regarding long term effects and regionalized 10 effects with a very blunt statement that they do 11 not exist. Hence, there is no information as to 12 how one can mitigate both much broader effects and 13 the regionalized effects, there is no information 14 whatsoever regarding that point. 15 And for the participant municipalities 16 that is critical. What are the long term regional 17 effects truly going to be? What are the plans 18 that the MFA is going to put forward to deal with 19 regional effects, or effects beyond the localized 20 process or area that they claim will be the 21 result? What plans can be put in place? The 22 answer, as I submit we read the EIS, is that we 23 will deal with this in both the design and 24 construction phase. 25 And therein lies the bigger problem. 00018 1 If we take that component and put it into the 2 design and construction phase, we have now 3 eliminated public participation. And that is the 4 heart of this review. This is the only true 5 public participation that the participant 6 municipalities get and that the public in general 7 will be afforded. And what I mean by that is that 8 it is a true independent review. 9 As you have stated, Mr. Chairman, in 10 your introductory remarks, you are a board 11 independent from the government. You will make 12 decisions based upon that independence. If the 13 public review is left to the design and 14 construction phase, the MFA and the Manitoba 15 Government potentially, through the Department of 16 Conservation, will be the final arbiters of what 17 design will be done. And who is going to stand on 18 the opposite side and say, there is more to be 19 done, that there are better methods to mitigate? 20 Mr. Chairman, this will help me only 21 in this way, to stop me from repeating myself, 22 occasionally I will ask you, do I make sense? It 23 doesn't necessarily mean that you agree with me, 24 but it certainly let's me pass on to the next 25 point. So I ask at this point, have you 00019 1 understood the points that I have made up to this 2 stage? 3 THE CHAIRMAN: Yes. 4 MR. CURRIE: Thank you. 5 What happens in the submission of the 6 participant municipalities with the EIS is that 7 when they question these broader concerns, both as 8 to regionalized and greater effects on the 9 aquifers, and asking about what are your 10 mitigation strategies, the answers are in effect 11 dismissive. They dismiss the possibility of 12 long-term effects, and they virtually guarantee no 13 meaningful or real public input. Because once you 14 are a proponent and you have made your mind up 15 that this will not have an effect, you can say to 16 us all you want that you will listen, but one has 17 a very difficult time believing it. And if we are 18 really pushing forward with this sense, it is your 19 role to put the public mind at ease that they have 20 truly been heard, that they have had meaningful 21 input. And that is the whole essence of this 22 hearing. 23 I would like to just briefly talk 24 about our brief, Mr. Chairman. On page 12, I 25 don't know if you need to necessarily jump there, 00020 1 but if you would like to, that's certainly where 2 I'm going. I would ask the panel to move with me 3 to the bullet point about two-thirds of the page 4 down. 5 Clifton, who is our expert, at that 6 bullet point indicates that he sees a problem with 7 the proponent's model and data. He indicates that 8 a great deal of effort has been expended on 9 compiling a regional model and predicting the 10 impacts of expansion of the floodway on the 11 regional and local ground regime. 12 THE CHAIRMAN: Mr. Currie, I think 13 some of us have different versions of your brief, 14 so page 12 might not be the same for me as for 15 you. 16 MR. CURRIE: My apologies. 17 THE CHAIRMAN: There were a couple of 18 updates sent out. Perhaps you might just refer to 19 either the paragraph or the heading? 20 MR. CURRIE: Sure. It is paragraph 21 21, Mr. Chairman. The heading should read, the 22 participant municipalities' issues have not been 23 addressed. 24 THE CHAIRMAN: Thank you. 25 MR. CURRIE: If we turn one page over, 00021 1 we should see at the bottom a bullet point, 2 Clifton identifies the problems with the 3 proponents. Thank you very much, Mr. Chairman. I 4 wonder if I might -- 5 THE CHAIRMAN: It is the bullet, 6 Clifton identifies? 7 MR. CURRIE: Correct. I wonder if I 8 might take a moment to grab some water? 9 THE CHAIRMAN: There is water right 10 beside you there. 11 MR. CURRIE: Herein lies only one of 12 many problems that we are going to submit, but we 13 are going to say this is sort of the general gist 14 of public input and the general gist of what 15 public participation in this CEC Commission will 16 do and should do. 17 If we read Clifton's comments he 18 states, 19 "A great deal of effort has been 20 expended on compiling a regional model 21 and predicting the impacts of 22 expansion of the floodway on the 23 regional and local ground water 24 regime. The results purport to 25 demonstrate that only local impacts 00022 1 are to be expected. These conclusions 2 however are biased by the basic 3 assumption upon which the model was 4 based and include a considerable 5 degree of uncertainty inherent in the 6 modeling process. It cannot be stated 7 with certainty that impacts will be 8 limited to the floodway corridor. The 9 models are too general and lack the 10 precision and reliable data inputs to 11 draw that conclusion. The conclusions 12 are premature and require 13 substantially more investigation and 14 analysis for confirmation." 15 And that's where he is saying we are lacking 16 information. If you are going to use a model, 17 surely to goodness use one that will work, and 18 that will do and conclude what -- provide the 19 conclusions that you find you want to draw from 20 them. 21 He concludes on the basis of current 22 models that it is reasonable to assume that the 23 effects of deepening -- and that's a questionable 24 issue now because I think that the MFA has 25 somewhat modified their proposal to say they won't 00023 1 deepen necessarily, but I think it is a 2 qualified -- and this is another issue -- it is a 3 qualified "we will not deepen." We will not 4 deepen unless we have to is what their design 5 model will say. 6 And Clifton goes on to state, 7 "It is reasonable to assume that the 8 effects of deepening and operating the 9 floodway will be observed several 10 kilometres beyond the right-of-way 11 limits and that an increased amount of 12 seepage will flow from the already 13 severely impacted aquifer." 14 Now, he is referring to a point that I have not 15 got to, Mr. Chairman, and that is of course the 16 existing and the potential loss of water from that 17 aquifer, which could be substantial. It is 18 currently, according to our experts, in the range 19 of no less than 1300 Imperial gallons per minute, 20 and may be upwards of 1700 Imperial gallons per 21 minute, leaving the aquifer and pouring into the 22 floodway. 23 Clifton estimates in his report that 24 that is a sufficient number of, or sufficient 25 amount of water to supply a City of 30,000 plus 00024 1 people per day. 2 The aquifer is not an unlimited 3 resource. It must at some point have a capacity. 4 And what do we mean by that? There will always be 5 water in the aquifer, I think that that's a point 6 that many of the experts will concur on. Whether 7 it is usable water is going to be the question. 8 Whether it is potable water is the real issue. 9 And if we look at Clifton's report he 10 will say that in the original construction of the 11 floodway they saw a drawdown of 6 metres of water, 12 that is a drop of roughly 18 plus feet of water 13 over the aquifer within the area of the floodway. 14 That's a significant drop. These are real 15 concerns. Another 6 feet -- or 6 metres rather, 16 or 2 metres, is not something we should be taking 17 lightly. 18 Recently, and I mean as recent as 19 Friday of last week, there were meetings in 20 Brandon regarding water in Manitoba and the 21 preservation of that resource. They have some 22 very strong fundamental points of view, and the 23 first and foremost is that we protect it. And 24 hence if we are going to protect it, if we are 25 going to move forward, it makes sense to use the 00025 1 best possible practice to preserve it, in any form 2 of construction, including the floodway. 3 Let's look at the models, let's assure 4 ourselves that this will not happen, and let's do 5 the right thing upfront. 6 If we go through the hearings without 7 the additional information related to -- and I 8 could go through it, we have some of it in our 9 brief and I have provided some to the Commission 10 today, and I will finish up hopefully with that 11 point. But if the Commission agreed with the 12 participant municipalities that both of these 13 possibilities exist and that we should protect it, 14 if that were something that the Commission thought 15 was valuable, they would be making recommendations 16 regarding the implementation of mitigation 17 strategies. 18 Where does that leave us though? It 19 eliminates any review on those mitigation 20 strategies, because once you have made your 21 recommendations, it is my position you are 22 functus. And you have asked me to define those 23 terms. It simply means you have no more authority 24 to come back and re-review. And that will be 25 problematic for public concerns and the 00026 1 participant municipalities, because they are 2 looking to you as their opportunity to review 3 those strategies, those mitigation strategies. 4 It is also true that during this 5 process that you may conclude that a license 6 should not be provided for the project based upon 7 the model that exists, or the proponent's 8 proposal. There are many problems with that. 9 First off, I'm going to submit it is highly 10 unusual and highly unlikely, because it is an 11 extremely important project for Manitoba, and I 12 don't think that anyone wants that result. If 13 that is the approach that is taken, additionally, 14 it will surely lead to a greater uncertainty about 15 the project and it will surely lead to a greater 16 amount of delay. There is no question that your 17 refusal of a license will be problematic. 18 So the reality is that the better 19 process is to do it right the first time, get it 20 in, get it right, do it right. 21 If we wait for the design and 22 construction phases for these concerns, they are 23 well outside the Commission's review. As I've 24 indicated, the public process is critical. It is 25 something that we all have to have a feeling at 00027 1 the end of the day that we were heard. 2 And that's where I'm going to move to 3 the critical parts of my brief, Mr. Chairman. I 4 was very happy to hear your earlier remarks that 5 you feel that you were bound by the common law and 6 its impact upon administrative tribunals, because 7 of course that is a major premise upon which we 8 base our case. 9 The heart of your review, in our 10 submission, is that you will be recommending a 11 license based upon measures proposed to mitigate 12 any adverse environmental impact, and we are 13 submitting to you that our experts are telling us 14 their reports are deficient on the long-term and 15 regionalized effects and the mitigation therefrom, 16 and it is necessary in a tribunal context that the 17 opponents have an opportunity to review those 18 mitigation strategies. What are better 19 strategies? What are possible options beyond 20 those put forward by the proponent? Currently, 21 they are, we submit, little if none, and when they 22 do put them forward, what is the critical peer 23 review? Who is going to do that? 24 And these participant municipalities 25 are saying they want to do it because it is, in 00028 1 fact, a fundamental issue for their constituents, 2 it is in fact the thing for them. If we read 3 Wayne Clifton's report, he indicates that the 4 aquifer may feed as many as 81,000 people. There 5 is no clear indication that he is wrong or right 6 on the number, however, one of the things that we 7 can say is that it likely feeds most, if not all, 8 of the participant municipalities' residents. The 9 exception being that there is some piped water, 10 treated water within some of the municipalities, 11 but it does not service their whole constituent or 12 ratepayer base. 13 It is our submission that your mandate 14 will also require you to consider any residual 15 adverse effects, which are another way of saying 16 what are the mitigation strategies for these 17 residual effects. But it maybe goes deeper than 18 that. It may go deeper to, what are the 19 compensation models that might be in place should 20 we have a problem with the aquifer where someone's 21 well is completely affected? And what is the 22 public's review of that process? Should there be 23 something at least in a model basis or some 24 attempt to tell us how we are going to deal with 25 the longer term impacts, both as to -- even if 00029 1 they are correct that it is only localized, but if 2 it becomes regionalized, who is going to take the 3 responsibility? 4 Again, our expert points out that if 5 we ignore that issue of responsibility, the cost 6 of repair, so far as it is known, will lie to the 7 local governments or the participant 8 municipalities. And is that equitable? Does it 9 make sense, and is there anything in the 10 proponent's project which addresses it? 11 If I can move you then, 12 Mr. Chairman -- I have it as paragraph 6 in my 13 brief. It should read, "the broad mandate of," 14 Mr. Chairman. 15 "It is the submission of the 16 participant municipalities that it is 17 the broad mandate of this Commission 18 to concern itself with the following: 19 The aquifers of which I have spoken 20 about a great deal this morning. The 21 ceiling of the aquifer and what are 22 the plans for the sealing? How are 23 they to be accomplished? What are the 24 depths upon which they will seal off 25 the aquifers? Should they seal the 00030 1 existing problem, and what are their 2 plans to do so? Erosion of the river 3 banks should be considered. Ice jams 4 and back flooding..." 5 THE CHAIRMAN: Could we just interrupt 6 for a minute? Excuse me, we can't have another 7 camera in that spot blocking off the public. 8 9 (OFF THE RECORD DISCUSSION) 10 11 MR. CURRIE: I guess I don't want to 12 run through and read each one of the points, Mr. 13 Chairman, I think you are quite capable of doing 14 that yourself. I really want to get to the heart 15 of my point, which is that each of these points 16 require at least public dialogue on the 17 possibilities of mitigation. They require an 18 analysis of the strategies that they are going to 19 use to repair them. It requires an analysis of 20 some sort from the proponent as to how they might 21 compensate the municipalities for unanticipated 22 costs. And what are those? Unanticipated costs 23 are the Dunning Road crossing, what is going to 24 happen to it? There is going to be changes there. 25 Who is going to pick up the balance of the problem 00031 1 once the change occurs? Who is going to pay for 2 the moving of water lines for the RM of East St. 3 Paul? Who is going to ultimately be responsible 4 for that, and how is that going to be paid? There 5 is no discussion about that. And those are 6 certainly things that the participant 7 municipalities would be asking the Commission to 8 make recommendations on. 9 If you are going to create a 10 construction for a project that has an adverse 11 effect on some existing matter, surely to goodness 12 there is an equitable position to say that the 13 MFA, or whoever is the constructing authority, 14 should be responsible for the cost of those 15 changes. And there is no discussion of that in 16 the EIS, and there is no discussion on the table 17 today and then therefore there is no opportunity 18 to make a reasonably strong recommendation. 19 What is also missing from the EIS are 20 the cumulative impacts from the initial floodway 21 construction. And there is a difference, Mr. 22 Chairman, between repairing old consequences, and 23 addressing cumulative impacts. And there is 24 people much more astute at this concept than I am, 25 but I am going to give you my blunt version of it, 00032 1 if you will. 2 There are existing problems with the 3 floodway which we all acknowledge. When you add 4 an additional problem, potential problem, problem 5 one is not problem one any more, it is problem one 6 plus a little bit, what we call a cumulative 7 effect and we don't know exactly. It is one plus 8 one plus a little bit. So it may not add up to 9 two. So two problems don't necessarily add up to 10 two, it adds up to much more, and the cumulative 11 effect is that additional amount past two in a 12 very simple way. 13 And those cumulative effects need to 14 be addressed. They need to somehow have a 15 strategy in place that if this is the cumulative 16 effect, we are going to manage it in this way. 17 And to answer it in the construction and design 18 phase, to repeat myself, is to say that it 19 disposes, dismisses and eliminates public review, 20 true meaningful public review. 21 It is our submission, Mr. Chairman, 22 that you have the authority to request this 23 additional information. And to request not a 24 compliance with the EIS, because I think -- and it 25 is argued it may be out of your jurisdiction, but 00033 1 certainly that they have a proposal put forward to 2 the Commission that answers many of these problems 3 before the Commission hearing starts. Because not 4 only does it take out of the public meaningful 5 input, it also quite frankly, takes out the CEC's 6 input. You have no recommendations on the design 7 and construction phase, that's well past you. 8 I anticipate, Mr. Chairman, and I'm 9 moving in this direction, if we can move to 10 paragraph 11 of my brief, that one of the concerns 11 will be that the information is not required. 12 That it is not part of the proposal. And in 13 paragraph 11, we submit that the EIS guidelines in 14 this case have asked for these proposals and this 15 information. And we are going to state that the 16 information is clearly required pursuant to the 17 guidelines for the EIS. And they read, "Describe 18 how concerns and issues raised by the public were 19 incorporated into the development of the project 20 including its design, impact, mitigation and 21 monitoring." And it is telling them you gotta 22 look at mitigation, and you have gotta consider it 23 long term, discuss any unsolved issues that were 24 raised by stakeholders during the assessment 25 process. 00034 1 Well, this is certainly an unresolved 2 issue because we have experts that say there are 3 long term consequential contamination effects 4 possible on this aquifer, and the long range 5 distant effects beyond localized effects. There 6 is no discussion as to how they legitimately 7 dismiss that, and don't concern themselves with 8 it. 9 Provide a detailed description of the 10 proposed monitoring and follow-up activities. 11 Well, they have eliminated that requirement by 12 stating that there is no long term or regionalized 13 effects. They don't have to monitor it or 14 consider it. Describe the equipment to be used, 15 the parameters to be measured, the methodology and 16 frequency of measurement and the mechanism for 17 reporting results of the proposed monitoring of 18 the environmental conditions affected by the 19 project. 20 Last, all of the matters that we have 21 raised before the Commission I can tell you that 22 there is nothing in the EIS that's going to 23 address those issues, because effectively we have 24 been told that they do not exist. 25 It is our submission that the 00035 1 Commission can evaluate the proponent's compliance 2 with the EIS to the extent that it controls its 3 jurisdiction to hold a proper hearing. I would 4 refer to it as evidence of the proponent's 5 proposal. And there is a distinction, because 6 there is an argument to be made that the 7 Environmental Act doesn't necessarily allow you 8 the EIS proposal and review. However, the 9 evidence is that if you look at that EIS and the 10 guidelines, you can come to your own conclusions 11 upon your own jurisdiction to decide whether in 12 fact there is going to be a proper public hearing 13 without this further input. Did I make sense, Mr. 14 Chairman? 15 THE CHAIRMAN: Yes, certainly. 16 MR. CURRIE: Thank you. And I 17 undertake once again to tell you that I don't take 18 it that you agree with me, I take it that you at 19 least get me off that point and get on. 20 It is our submission, Mr. Chairman, 21 that a fair interpretation of your own hearing 22 guidelines are such to say that any prejudice to a 23 participant by way of an inability to provide 24 information or to challenge information is 25 sufficient to invoke the fairness principles, not 00036 1 only at common law, but within your own mandate, 2 under your own statute. And as I have already 3 indicated, Mr. Chairman, if the project proceeds 4 without this information and without addressing 5 these issues, the Department of Conservation and 6 the Minister will be the final arbiter, and that 7 is not necessarily what the role of the CEC is. 8 It is to hold an independent, thorough public 9 review, to give recommendations to the Minister. 10 And that means on everything, not just on what the 11 proponent puts forward in their project. 12 A point, Mr. Chairman, that I have 13 been asked to make many times over, almost by a 14 plethora of emails that came flying into my office 15 when I forwarded my submission, is that you are 16 not only licensing this project, you are licensing 17 the whole of the floodway. We can't license half 18 a car. Put it in simple terms. We don't go to 19 our insurance company and ask them to insure us 20 from the back door to the trunk. This is not 21 something that's going to happen. 22 Once you license the project, it is 23 licensed. It will be licensed forever. And it 24 will be on the whole of the project. And what 25 does that tell us? That tells us in my 00037 1 submission, that you have a greater authority then 2 to consider both the existing state of affairs, 3 and the remediation of those state of affairs, and 4 the cumulative impact. Not only do you have it on 5 the authority of your statute, but now you have 6 what I would refer to as an intellectual authority 7 to do it. There is a logical cohesiveness to 8 that, if you will. 9 If we proceed and there is a hearing 10 and the issues are not addressed, the information 11 is not provided, it is our submission that the 12 proponent will have obtained a licence without 13 identifying the extent of the environmental 14 impacts. And by this submission will have 15 excluded mitigation of environmental impacts from 16 the Commission's review. As I pointed out, Mr. 17 Chairman, mitigation is within your mandate. No 18 question. Consequently the proponent will have 19 excluded from having participated in the review 20 the participant municipalities. And hence they 21 bring this motion forward today. 22 Mr. Chairman, if you look at paragraph 23 20 of our submission, you will see more 24 information that is required. And I submit 25 without reading that through to you in any detail, 00038 1 I have largely already addressed it in a much 2 broader context, but that brings it to specifics. 3 I might just address one or two of 4 them that I hadn't already addressed, Mr. 5 Chairman, and that was the data deficiency across 6 all subject areas will be addressed in the 7 construction environmental protection proposal 8 which will be prepared by the project contractor, 9 following licensing. It is clearly that there is 10 an anticipation that much of this information will 11 be dealt with as on an I will deal with it when I 12 have to basis. And we are submitting that's 13 simply not the way the review should go. 14 Monitoring the effectiveness of clay 15 plugs which may be relied upon to protect aquifer 16 resources. What are their strategies? What is 17 going on? Are there better strategies, people 18 with more information and should they be 19 recommended? We will never know unless we get the 20 opportunity to speak to it. 21 I'm going to leave the rest of those 22 issues, Mr. Chairman, for your review at another 23 time and hopefully you will take the time, and I 24 urge you to look at paragraph 20 with your mandate 25 and consider our comments. 00039 1 One of the major considerations when 2 you are looking at an adjournment of a hearing is 3 where will prejudice lie? Who will be affected 4 the most by this process? It is our submission, 5 Mr. Chairman, that prejudice on a monetary scale, 6 what I mean by that is how much we put experts 7 out, how many times they might have to come back 8 to the table for a further hearing, how much staff 9 may be inconvenienced and indeed how much we might 10 be inconvenienced ourselves, are not 11 considerations, not within your mandate. The real 12 prejudice that has to be addressed is will there 13 be a lack of meaningful input by the public as a 14 result of the failure to provide the information 15 prior to the hearing. That's the true prejudice. 16 That's the true test. All other forms of 17 prejudice are likely to be inconsequential and 18 pale to those. They are in fact or it is in fact 19 your fundamental duty, I submit, to make sure that 20 the hearings are fair, full and complete. And so 21 when we look at the issue of prejudice, we urge 22 the panel to consider that the failure to have 23 full public participation and to have participant 24 municipalities participate fully in all of the 25 design and completion of this project as being the 00040 1 number one major concern. 2 Mr. Chairman, I'm nearing the end of 3 my submission. I know that I have three people 4 who are watching me closely. I wonder if I might 5 take two minutes to consider their input very 6 quickly and ask somewhat of a cleanup, but I 7 promised I would be approximately an hour and a 8 little bit and I realize I'm near that number 9 already. If I could take two minutes, I would 10 appreciate it. 11 THE CHAIRMAN: Certainly. And you are 12 not limited to any time, and you will have an 13 opportunity to make some final comments after all 14 of the other presentations as well. 15 MR. CURRIE: Thank you, Mr. Chairman. 16 17 (RECESS TAKEN) 18 19 THE CHAIRMAN: Back to order. Mr. 20 Currie. 21 MR. CURRIE: Thank you, Mr. Chairman, 22 I thank you for the brief break. What I did find 23 out was that there was one concern and that was 24 with regards to the definition of cumulative 25 impact, and that there is a greater definition 00041 1 found within the Canadian Environmental Act and 2 that's where I should really drive you to. It 3 requires you to consider the past, present and 4 future concerns of two projects. And so that 5 gives you even greater authority. So with that, 6 that was one comment that I got. The rest seem to 7 be that I can pretty much conclude here soon, with 8 the exception of one of the reeves would like to 9 make a brief submission either now or during the 10 public process to address what they would consider 11 a more personalized version of what I had to say, 12 in a different way, if that pleases the chair in 13 some capacity, if we could accommodate that. 14 THE CHAIRMAN: Yes, we would certainly 15 accommodate that. That's within your rights in 16 presenting your case. 17 MR. CURRIE: Thank you. I think they 18 will do it at the rebuttal, if that pleases 19 everyone. 20 THE CHAIRMAN: That's fair. 21 MR. CURRIE: Then I will wrap up with 22 that, Mr. Chairman, and say that the participant 23 municipalities and the public are really relying 24 upon your review and process as their only true 25 opportunity to speak to an independent panel about 00042 1 all of these issues. And that lies at the heart 2 of this motion, that we need to know that we are 3 being heard. You may not agree with us, and 4 that's fine, but at least we are being heard. And 5 that's the minimum that's required. 6 And with that, Mr. Chairman, other 7 than that I'm not sure how the chair deals with 8 the submission itself, but whether I mark it as an 9 exhibit or whether it becomes part of something in 10 the cause, I will ask the chair at this point, I 11 would like to have it marked as some identifiable 12 record, if it pleases you. 13 THE CHAIRMAN: I should have noted 14 that at the beginning. It is a good point, Mr. 15 Currie, thank you for reminding me. Your notice 16 of motion, your brief in support of your motion 17 and as well as the respondent's brief will be 18 filed or recorded either as exhibits or as matters 19 of record. So it will become part of our record. 20 MR. CURRIE: Okay. And maybe with 21 that, Mr. Chairman, could I ask perhaps the 22 secretary, are we dealing with exhibit 1 as the 23 notice of motion, exhibit 2 as the submission of 24 the applicant. 25 MS. JOHNSON: You are correct, your 00043 1 motion is exhibit 1 and the brief will be exhibit 2 2, and the following documents from the other 3 participants will be numbered accordingly. 4 MR. CURRIE: Thank you very much. 5 6 (EXHIBIT 1: Motion, Manitoba Clean 7 Environment Commission, Between RM of 8 East St. Paul, St. Clements and 9 Springfield) 10 11 (EXHIBIT 2: Motion Brief of the 12 Participants before the Manitoba Clean 13 Environment Commission, February 14, 14 2005, 9:00 a.m.) 15 16 THE CHAIRMAN: Our normal procedures 17 are if any of the panelists have any questions of 18 clarifications, we will ask them at this time. 19 Mr. Motheral, Mr. Webster? 20 MR. WEBSTER: Thank you, Mr. Chairman. 21 It seems to me that one of your major points, Mr. 22 Currie, is that the baseline for the EIS, being 23 that the current floodway is where we are starting 24 from, is one of the major issues that you are 25 dealing with, is that correct? 00044 1 MR. CURRIE: Correct. Thank you, Mr. 2 Webster. 3 MR. WEBSTER: And that the fundamental 4 approach that you are taking could be summed up as 5 being a precautionary principle? 6 MR. CURRIE: It is absolutely correct. 7 MR. WEBSTER: Can I ask you then were 8 these objections raised earlier in the process, 9 did you actually raise these kinds of issues 10 during the process leading up to the hearing with 11 the Authority? 12 MR. CURRIE: I think in fairness, Mr. 13 Webster, that in fact they weren't addressed in 14 the same way as what we have put them to the 15 Commission. So I can't honestly say that they 16 were put to the MFA in that capacity. What was 17 put to the MFA were questions about the impacts, 18 expecting to come back with answers that would fit 19 within the cautionary principles and fit within 20 what I would say is a baseline model. 21 What came back instead was an absolute 22 no. These are not concerns. And so it makes no 23 sense then to go back and say, did you consider 24 the cautionary principles. There are two issues 25 with that, Mr. Webster. One is that the time line 00045 1 was extremely compressed. In a project of this 2 magnitude, we got from what I recall in the 3 evidence somewhere around the 26th of November, 4 sort of the marching orders to get everything in 5 and concerns raised and addressed. And that those 6 questions were answered then by somewhere in the 7 middle of January. And when you get back a no and 8 you are set for a hearing on February 7, it 9 changes the context within which you start to 10 present questions. Simply when you get a no, and 11 then you are asked to respond, I don't have 12 necessarily on retainer my expert. I have to send 13 it out to him and say here are the responses. He 14 then is, you know, like every other Canadian, 15 enjoying a winter holiday, I too would like some 16 time off, and suddenly February 14 rolls upon us 17 much quicker. And certainly from my perspective 18 it was January 31 that I had to be in tune because 19 that was the time limit upon which I had to have 20 my submissions before the CEC. So I hope that 21 answers your question, Mr. Webster. 22 MR. WEBSTER: It is a fundamental 23 position or part of your position, as I see it, 24 that the baseline for the EIS is a point of 25 departure between what your clients are looking at 00046 1 and what the Floodway Expansion Authority has 2 looked at? 3 MR. CURRIE: Correct. 4 MR. WEBSTER: And that's something 5 that wasn't raised, that particular issue was not 6 raised until this brief? 7 MR. CURRIE: I'm not sure that that's 8 accurate, that particular principle is accurate. 9 I was talking more to the other. I would have to 10 honestly look through the responses and questions. 11 I apologize, Mr. Webster, I don't have it off the 12 top of my head. If I could get back to you with 13 an answer on that? 14 MR. WEBSTER: Thank you. 15 THE CHAIRMAN: You can bring that 16 during -- 17 MR. CURRIE: On an anecdotal basis, 18 Mr. Webster, and I prefer to look at the evidence 19 directly, I am told that it has been a constant 20 discussion with the MFA, that there is a baseline 21 concern, that we are looking at the cumulative 22 impacts both as to the past, existing and present. 23 And now that I think about it, I can say there is 24 something on cumulative impacts in those responses 25 but I would have to really -- I would, rather than 00047 1 be flippant about it or wrong, I would rather look 2 if I could. 3 MR. WEBSTER: Thank you. 4 THE CHAIRMAN: You can bring that up 5 in your closing comments, Mr. Currie. 6 MR. CURRIE: Thank you, Mr. Chair. 7 THE CHAIRMAN: Thank you very much. 8 We will take a short break until 10:30, so 15 9 minutes. I would ask you to be back here promptly 10 at 10:30. Prior to taking the break, let me note 11 that there are copies of the respondent's brief on 12 the front table. For those of you who may wish to 13 look at them, please help yourself, and I would 14 ask the respondents to get in place for 10:30. 15 16 (Proceedings recessed at 10:20 a.m. 17 and reconvened at 10:35) 18 19 THE CHAIRMAN: Mr. Handlon. 20 MR. HANDLON: Thank you, Mr. Chair and 21 members of the Commission. My name is Rick 22 Handlon. I'm a lawyer with the Pitblado law firm. 23 We are counsel to the Manitoba Floodway Authority, 24 and I'll be referring to it as either MFA or the 25 Floodway Authority. With me to my right is 00048 1 Professor Bryan Schwartz, who is counsel to our 2 firm and who is also professor at the law school, 3 University of Manitoba. To his right is 4 Mr. McNeil, who is the vice-president of 5 hydraulics for the Manitoba Floodway Authority. 6 And to his right is Mr. Bert Smith from KGS Group. 7 And to his right, Dave Morgan with TetrES. 8 You have our written brief, and I 9 don't intend to go through it line by line, I will 10 be making reference to it during the course of the 11 submission. I'll also be making reference to some 12 of the points Mr. Currie made this morning and 13 what is contained in his brief as well. 14 Before beginning with the substance of 15 the motion, let me say that we should put before 16 this Commission the background to the Floodway 17 Expansion and put it into perspective. 18 The Floodway Expansion Project is 19 first and foremost a measure to prevent potential 20 environmental disasters by increasing the City of 21 Winnipeg's reliable security against floods up to 22 a magnitude of one in 700 years. It is a project 23 that is important to all of Manitoba. The 24 physical protection it will provide goes beyond 25 Winnipeg and through the Municipality of East St. 00049 1 Paul to Lockport. 2 The study of the expansion began a 3 number of years ago in the aftermath of the 1997 4 flood when Manitoba was painfully reminded of the 5 destructive power of severe spring flooding in the 6 Red River Valley. 7 The issues related to this project are 8 not those typical of an environmental assessment 9 hearing in which there is tension between economic 10 development on the one side and protection of the 11 environment on the other. The floodway expansion 12 itself is aimed at better protecting the 13 environment in Manitoba, both natural and 14 developed. In addition, it is a project that is 15 important to the economy of this province. 16 Mr. Currie spoke of the position of 17 the municipalities. I note from their brief that 18 was filed some 10 days ago from the municipalities 19 that they do support the floodway expansion. The 20 outline of the submission by Reeve Strang from the 21 RM of St. Clements was to "support idea floodway 22 expansion." He points out, "must have guaranteed 23 safe and plentiful drinking water." He also adds, 24 "appreciate efforts of floodway expansion 25 authority." 00050 1 I believe those words speak to the 2 extensive consultive process that has been going 3 on for well over a year. 4 The Rural Municipality of East St. 5 Paul presentation to the Commission states, 6 "As we all know, the proposed project 7 is a massive undertaking and is an 8 extremely important project to the 9 citizens of Manitoba." 10 He goes on to state, 11 "Due to the positive nature of this 12 project, the RM of East St. Paul would 13 like to go on record as saying that we 14 do support in general terms the 15 proposal for the expansion of the Red 16 River Floodway." 17 The consultant retained by the three 18 municipalities who are bringing this motion, 19 Mr. Clifton, in his report at page 15 states, 20 "Despite the noted deficiencies..." 21 in his lengthy report, 22 "...and concerns, the municipalities 23 recommend the Commission approve the 24 floodway expansion project." 25 But he adds, 00051 1 "...with a number of specific 2 conditions of approval to address 3 their concerns." 4 And then he goes on and details that. 5 The reason I read those submissions is 6 to bring home the fact that this is an important 7 project, it's an important project to all of us. 8 It's an important project to the municipalities 9 themselves. 10 I submit that what the municipalities 11 are asking this Commission to do is premature. To 12 assess the full compliance of the guidelines by 13 the EIS which has been filed requires in itself a 14 whole hearing. It's inconsistent to be in support 15 of the floodway expansion and at the same time 16 seek to have the hearings adjourned. These 17 hearings are an important step in the process of 18 obtaining a licence under the Environment Act. To 19 cause these hearings to be delayed when there has 20 been substantial disclosure and consultation, and 21 the purpose of these hearings is to allow for 22 public input, public comments on the project and 23 the environmental assessment that is contained in 24 the EIS is unreasonable. If one supports this 25 project and the concept of public hearings, when 00052 1 the viewpoints of all interested parties, not just 2 some, are important to be heard, then it is 3 inconsistent, I submit, to seek to have these 4 hearings adjourned. 5 We submit that there should be no 6 delay to the start of the hearing. We have 7 outlined in our argument section of our brief six 8 main points why an adjournment is not warranted, 9 not appropriate, and I submit not reasonable. I'll 10 introduce these six main points and then come back 11 to them individually. The points are in bold 12 headings beginning in page 7 of our brief. 13 The first point is that the 14 information provided in the EIS has been reviewed 15 by PAT, the Project Administration Team, and found 16 to be sufficient to warrant proceeding with these 17 hearings. 18 I would note, this Commission should 19 place substantial weight on the fact that the 20 Project Administration Team has made a 21 determination confirming both the acceptability 22 and the completeness of the EIS, which also 23 includes the supplemental filings for public 24 hearings. 25 The second point is that the decision 00053 1 of PAT is fully justified, given the extensive 2 process of disclosure and consultation that MFA 3 has conducted and in which the municipalities have 4 had an opportunity to participate and have in fact 5 participated. Third point -- and I would just on 6 that second point, the conclusion of the 7 independent assessment by environmental experts 8 that you will hear from in this hearing, that were 9 the authors of the EIS, is that there be no likely 10 significant adverse effects from the expansion, 11 including ground water. 12 The third point is that it's not 13 feasible or legally required at this stage for MFA 14 to address all of the details of the final design 15 of the project, or the extra margins of safety 16 against unlikely or unanticipated adverse effects. 17 Mr. Smith pointed out to me this 18 morning that the construction of this project is 19 scheduled to continue for a period of over four 20 years involving six highway bridges, six railway 21 bridges and numerous other crossings. It is a 22 substantial project and cannot -- it is 23 unreasonable to suggest that every detail in the 24 final design could be available for this, at the 25 time of this hearing. In fact, if every detail of 00054 1 the final design was in place, it would mean that 2 the final design was locked in. There wouldn't be 3 any ability to change it. 4 I think that as identified by PAT, 5 this is the appropriate time for public hearings 6 to get the public input, including the input of 7 the three municipalities. 8 The fourth point is that these 9 hearings are only one component of the public 10 participation process, which is part of the 11 cooperative environmental assessment established 12 under the Canada/Manitoba agreement. We submit 13 that it is in the public interest that this 14 hearing proceed in both a thorough and expeditious 15 manner. 16 The fifth point is, while the 17 municipalities have further opportunities to 18 express their concern, delay in these proceedings 19 would risk serious and irreparable harm to the 20 public. It is important in the pubic interest 21 that this hearing proceed and not be delayed. We 22 submit that this is not a race, as suggested by 23 Mr. Currie. The studies regarding the floodway 24 expansion have been ongoing since 1997. In some 25 people's mind, the process has been too slow. 00055 1 I submit that when one deals with the 2 balance, when considering the submission of 3 Mr. Currie as to a delay of this hearing and 4 proceeding with this hearing, that the balance is 5 tipped overwhelmingly in favour of proceeding at 6 this point. 7 And our final point is that delaying 8 these proceedings would add greatly to the cost of 9 the public hearings themselves, and would cause 10 substantial inconvenience to both this Commission, 11 the Manitoba Floodway Authority, and many of the 12 participants. And that is a factor that must be 13 considered. Even in a court hearing, even in a 14 tribunal that deals with, makes final decisions 15 affecting people's rights, that is a consideration 16 when there is an application for an adjournment. 17 If you can go to, I ask you to go to 18 our statement of facts just so I can outline some 19 of the relevant facts that are outlined in that 20 section of our argument, and it begins at page 21 number 2. Paragraph 1 deals with the point that I 22 started off with as to the importance of the 23 Floodway Expansion Project. Paragraphs 2 through 24 8 deal with the regulatory framework that I'll get 25 into more detail on, because this process, this 00056 1 public hearing is part of the cooperative 2 environmental assessment process as agreed to 3 between Canada and Manitoba, and it is important 4 to understand and to appreciate and to consider on 5 this application that regulatory framework. 6 Paragraphs 9 through 22 deal with the 7 chronology of events, beginning with the filing of 8 the proposal by Manitoba Floodway Authority for 9 the floodway expansion, through the draft 10 guidelines which sought public input and received 11 public input, the final guidelines that were 12 issued, the development of the EIS, the filing of 13 the EIS in the summer of 2004, the continuing 14 public consultation dealing with the EIS, the 15 comments that led to a list of deficiencies and 16 the supplemental filing that was filed by MFA in 17 the fall of 2004. 18 It also deals with the IR process that 19 this Commission instituted or set out in October 20 of 2004. That's a measure that -- that's a 21 procedure that is specific to this hearing. It 22 was not part of the process of the cooperative 23 environmental assessment as undertaken by PAT, but 24 it was a very substantial process that allowed the 25 participants to this hearing to pose questions, 00057 1 additional questions regarding details on the 2 environmental assessment impact statement and to 3 get input from the Manitoba Floodway Authority. 4 And as you know, there was a large 5 volume of responses, thorough responses to those 6 information requests, and there was an opportunity 7 to the participants if they felt that certain 8 questions, information that they sought was 9 insufficient, to allow them the opportunity to 10 make further submission to the Commission to deal 11 with any alleged deficiency. And we point out in 12 our argument the municipality did not avail 13 themselves of the opportunity, as offered by this 14 Commission, and that is a factor to be considered. 15 In the Statement of Facts, we refer to 16 a number of documents. Perhaps I could just take 17 you through that. Tab 1 is the agreement from 18 2000 between Canada and Manitoba on environmental 19 assessment cooperation. That's the umbrella 20 agreement. 21 Tab 2 is the cooperative environmental 22 assessment process concerning this project. It 23 was the agreement, it sets outs the agreement and 24 the steps which the cooperative environmental 25 assessment would take place in respect to this 00058 1 project. 2 Tab 3 are the terms of reference. 3 Tab 4 are the substantial responses to 4 the questions put forward by the municipalities in 5 the information request, the IR process. 6 Tab 5 is the letter from PAT, the 7 project administration team, of January 14, 2005. 8 And I would point out the last 9 paragraph of that letter, the letter from the 10 chair, Trent Hreno, indicating that as director of 11 the Environmental Approvals Branch, I would 12 encourage you -- that is to this Commission -- to 13 convene a public hearing on the project at the 14 earliest opportunity. 15 Tab 6 is a letter from the Minister of 16 Water Stewardship from last Friday to the 17 municipalities, the three municipalities and other 18 municipalities, dealing with some of the issues 19 that had been raised originally in the 20 municipalities' letter of January 26th. And 21 subsequent are some references to cases in 22 administrative law text. 23 The first point is that the 24 information provided in the EIS has been reviewed 25 by the project administration team and has been 00059 1 found sufficient to warrant proceeding with these 2 hearings. And I would ask to direct you back to 3 tab 1 of our brief which is the umbrella 4 agreement. It is the agreement between Canada and 5 Manitoba that sets out, where there is a project 6 that has federal components and provincial 7 components, and there's a need to have 8 environmental reviews, both provincially and 9 federally, that there will be a cooperative effort 10 in facilitating those environmental reviews. And 11 if I could just read the part of the preamble, the 12 last paragraph of the preamble, it states, 13 "A cooperative environmental 14 assessment will be undertaken to 15 generate the type and quality of 16 information and conclusions on 17 environmental effects required by all 18 parties making decisions on the basis 19 of the cooperative environmental 20 assessment." 21 Parties as referred to is both the federal 22 government and the provincial governments. 23 If we go on in the agreement at page 24 4, and I'll just identify the headings, there is 25 the sections dealing with preliminary 00060 1 consultations. The next page deals with sharing 2 of information, both federally and provincially, 3 determining environmental assessment 4 responsibilities, both federally and provincially, 5 giving notice about participation in the 6 assessment. And then skipping a page, going to 7 page 7, the determination of the lead party. In 8 this case, the lead party was determined to be the 9 Province of Manitoba. 10 And at the bottom of page 7, and this 11 is the important part because it establishes the 12 Project Administration Team, or as we refer to it 13 as PAT, and I won't get into the details of how 14 that's established, but I turn your direction to 15 paragraph 34, 16 "The Project Administration Team will 17 be responsible for managing the 18 cooperative environmental assessment 19 including..." 20 and there's paragraphs "A" through "G", 21 "...coordinating public participation 22 in the cooperative environmental 23 assessment as per clause 35 of the 24 agreement. "B", coordinating 25 consultation between the parties, the 00061 1 proponent and the public. "C", 2 establishing a mutually agreeable 3 schedule for the cooperative 4 environment assessment as per clauses 5 36 and 37. Setting the information 6 requirements for assessing the 7 environmental effects of the project 8 as per clauses 39, 40 and 41." 9 And it's that section, that responsibility that 10 was in part the process that led to the 11 development of the draft guidelines for the 12 Environmental Impact Statement and the 13 finalization of the guidelines. 14 "E, ensuring that the information 15 pertaining to the environmental 16 effects of the project is analyzed as 17 per clause 42. "F"..." 18 and this is a very important responsibility that 19 deals with the very heart of this motion, 20 "...assessing the completeness of the 21 environmental assessment information 22 and discussing the findings of the 23 cooperative environmental assessment 24 report and any proposed 25 recommendations to decision makers." 00062 1 Going on, section 35 deals with 2 details of public participation; 36 and 37, the 3 assessment schedule, because it's important not 4 only to have this process, but have this process 5 proceed in a timely and efficient manner and there 6 are provisions dealing with that. 7 Next page, page 9, heading, 8 "Setting the environmental assessment 9 information requirements." 10 That is what I dealt with or mentioned just a 11 moment ago, specifically developing the draft 12 guidelines which were then open to public 13 comments, or review and comments. And then the 14 heading in the middle of the page, 15 "Determining completeness of the 16 environmental assessment information." 17 So that's the umbrella agreement. Now 18 there is a specific agreement as I indicated at 19 tab 2 which is specific to this project. 20 If you turn to page number 3 under 21 "purpose", and I'll read the first paragraph. 22 "The purpose of this document is to 23 set out the steps to be taken to 24 ensure the cooperative administration 25 of the environmental assessment of the 00063 1 project. The parties intend to 2 cooperate in the EA process in a 3 manner that meets the requirements of 4 both Canada and Manitoba." 5 The next page, under project administration team 6 in the second paragraph, 7 "The PAT will be responsible for 8 making required decisions during the 9 administration of the cooperative 10 environmental assessment for the 11 project." 12 And then there's a section that goes on, pages 4 13 over to page 5, which sets out the assessment 14 process. And I won't go through the details, but 15 the assessment process involves the development of 16 the draft guidelines for the information 17 requirements of the EIS, the final guidelines, the 18 review period for public review on the EIS once 19 it's filed, the allowing for comments on the EIS 20 both from the public and from TAC, the technical 21 advisory committee which is assisting PAT. 22 And if you look at the top of page 5, 23 "The public will be formally invited 24 to provide comments on the project, 25 the Environmental Impact Statement, or 00064 1 any concerns they have relating to the 2 project to the chairman of the PAT 3 within the same 60 day review period." 4 And that's after the EIS. The next paragraph, 5 "The chairman of the PAT will, at the 6 conclusion of the 60 day review 7 period, provide on behalf of the PAT 8 written comments regarding the draft 9 EIS to the proponent, including any 10 requirements for additional 11 information that would be needed to 12 complete the environmental assessment 13 documentation. In the event 14 additional environmental assessment 15 information is provided by the 16 proponent, a 30-day review period will 17 be provided to assess the information 18 at the conclusion of the review noted 19 above and after the resolution of any 20 identified information deficiencies." 21 And I'll just stop there. That process was in 22 fact undertaken in this case, and I won't go 23 through all of the facts in our statement of 24 facts, but we have the chronology of events. And 25 there was a supplemental filing, there was a 00065 1 request for further information from the PAT to 2 the proponent, and there was a supplemental filing 3 which is part of the material here and which would 4 be part of the material for this hearing. 5 It was after receipt and review of the 6 EIS, the supplemental filing, that the PAT, 7 according to its responsibilities, and I'll just 8 read on in that paragraph, 9 "The PAT will determine the 10 completeness and acceptability of the 11 environmental assessment information. 12 Directly following this determination, 13 notice will be provided to Manitoba's 14 Clean Environment Commission to 15 schedule the necessary provincial 16 hearings. Manitoba's Clean 17 Environment Commission will convene 18 public hearings regarding the 19 environmental assessment for the 20 project and provide a report on the 21 conclusions and recommendations 22 reached by the Commission in 23 accordance with the terms of reference 24 to be issued by Manitoba's Minister of 25 Conservation." 00066 1 So we see from the regulatory framework that while 2 there are terms of reference, a direction from the 3 Minister to this Commission to hold this hearing, 4 that it is part of the cooperative environmental 5 review process between Canada and Manitoba. And 6 in order to facilitate that process, to make it 7 the most efficient process possible, there's an 8 establishment of a project administration team 9 that will undertake the responsibilities that I've 10 stated. Not only the responsibilities to give 11 guidelines to the proponent, what does the 12 Environmental Impact Statement need to deal with, 13 but also once there's been a filing and a request 14 for further information, that committee, that team 15 makes the determination, is the material complete 16 and thorough enough to allow for the hearings, the 17 public hearings of this Commission to proceed. 18 So on this point, and I have taken a 19 lot of time on this one point but it's very 20 important, this Commission, when dealing with this 21 request, and Mr. Chairman, you've correctly 22 pointed out that it is an extraordinary request, 23 should place substantial weight and show deference 24 to the decision of PAT as to the acceptability and 25 completeness of the EIS and the supplemental 00067 1 filing for public hearings. 2 I submit that the municipalities' 3 position does not consider the role of PAT and the 4 determination it has made. They assert that there 5 are unresolved issues, however, that ignores the 6 role and responsibility of PAT in assessing the 7 material that was filed, allowing for further 8 public input, and then finally determining as to 9 the completeness and the appropriateness of the 10 material for the public hearing. 11 It ignores the fact that, their 12 position asking for an adjournment ignores the 13 fact that they had an opportunity in January, 14 pursuant to the direction of this Commission, if 15 they felt that the information request responses 16 that they received were insufficient, they had the 17 opportunity to raise that in a formal way with 18 this Commission. 19 I believe, Mr. Chairman, in your memo 20 you referred to an appeal, if the participants 21 felt that the responses were not sufficient in 22 allowing them to deal with these public 23 hearings -- and this is a process that was unique 24 to the Commission's hearing, not part of the 25 overall cooperative environmental review process 00068 1 of PAT -- that they had the right to bring that to 2 the attention of this Commission. The 3 municipalities did not. 4 And so now, at this late date, on the 5 eve of these hearings, where we have -- and these 6 hearings have been set for quite some time, they 7 were set on a preliminary basis on the 8 understanding that the steps of the cooperative 9 process would evolve through the fall of 2004 and 10 into 2005, to a point that the PAT would issue the 11 direction to have these public hearings. To now 12 seek to adjourn the matter, when they themselves 13 didn't avail themselves of an opportunity to seek 14 further clarification, further details, I submit 15 is inconsistent, and particularly with a project 16 which they themselves support. 17 Now, it is not to say that the public 18 hearing, this public hearing can't be thorough and 19 complete. That is the purpose. We want, and all 20 parties should participate and should cooperate in 21 making sure this public hearing is as thorough and 22 complete as possible, but also done expediently. 23 To request an adjournment at the 11th hour on the 24 eve of the hearing is not cooperating, and I say 25 this with respect, with the spirit of this 00069 1 Commission's mandate. 2 The second point, as I said, is the 3 decision of PAT is fully justified by the 4 extensive process of disclosure and consultation 5 that the floodway authority has conducted and in 6 which the three municipalities have full 7 opportunity to participate. So when I say, when 8 we're talking about the decision, it is the 9 decision made by PAT that the EIS material is 10 complete and acceptable for a public hearing. And 11 I won't go through the details of all of the steps 12 that were taken, they are set out in the 13 paragraphs I referred to in the Statement of 14 Facts. 15 In light of the extensive process of 16 disclosure and cooperative environmental review 17 process, PAT determined it was timely to have 18 these hearings. Beyond this process, which was 19 the basis of PAT's decision, this Commission has 20 its own procedure for eliciting further 21 information, as I mentioned the IR process. 22 Dealing with the question of 23 groundwater, which is an important issue to the 24 three municipalities, I would direct the 25 Commission to our brief, starting at page 9. 00070 1 And page 9, paragraph 8, we point out 2 that the three municipalities in their very 3 recently submitted brief focus their concerns on 4 groundwater issues. And we point out there that 5 these issues on groundwater have been dealt 6 with -- it's not that they weren't dealt -- they 7 were dealt with extensively in the EIS material. 8 We have referred to certain provisions or certain 9 excerpts from the EIS which deal with the 10 groundwater issues. That may not be all of them, 11 but it includes the EIS executive summary, the 12 main volume, the supporting volumes, the 13 engineering documents that you have before you, or 14 behind you rather, the supplemental filing, 15 particularly section 2, and the specific responses 16 to the information requests by the three 17 municipalities. 18 Their concerns are further addressed 19 in the letter from the Minister of Water 20 Stewardship which is at tab 6. 21 And I submit that it would be unfair 22 to the proponent and a distortion to this process 23 to require MFA to once again document its position 24 and findings on all of these issues prior to 25 commencement on the actual hearings. 00071 1 If you will recall initially there was 2 a letter from the three municipalities, plus the 3 City of Selkirk, City of Winnipeg, and other 4 municipalities to delay these hearings. And their 5 request is set out in this letter to this 6 Commission, and that's found in my learned 7 friend's brief at tab "A". And at that point in 8 time, it's only a couple of weeks ago, the request 9 was a request for a postponement of these hearings 10 for four to six weeks. And the stated reason for 11 the request of postponement was to await the 12 outcome meetings between municipalities and the 13 government on unresolved issues that needed to be 14 resolved prior to the hearings. And so the 15 request at that point in time was not on the basis 16 that we now find is being advanced, that there is 17 deficiency in the EIS, even though it's been 18 determined to be complete by the project 19 administration team, it was to allow further 20 meetings with government. 21 You'll see there are 12 points that 22 are raised in this letter, and nine of those 23 points find their way into my learned friend's 24 brief, but now the change is that they are saying 25 that there are deficiencies in the EIS, in the 00072 1 filings of the expert reports, the consultants, 2 but that's not the position that they took at that 3 point in time. 4 In fact, before I get to the result of 5 that, at tab "C" of their brief, we have the 6 lengthy letter from the Floodway Authority only a 7 couple days later which deals with the specifics 8 of each of those issues. And you will now see 9 from our brief that there had been meetings with 10 government, with the Department of Water 11 Stewardship. There is an extensive letter -- or 12 there is a letter from the Minister of Water 13 Stewardship dealing with those concerns. 14 Our position is a number of those 15 concerns, although real to the municipality, are 16 outside the scope of this hearing. Some of the 17 issues relate to matters that are relevant to this 18 hearing, some not. But there has been, I would 19 submit, if you read the letter, some of the 20 concerns that were raised by the municipality 21 originally as the basis for their grounds to 22 postpone the hearing have been dealt with by the 23 Province of Manitoba. And I submit if you look at 24 that letter, and I don't intend to go through it 25 in detail, a commitment on the part of Water 00073 1 Stewardship. It's on page 2 and I'll read it, 2 "In addition, as I mentioned at our 3 meeting, Manitoba Water Stewardship 4 intends to initiate a comprehensive 5 study of the two related aquifers in 6 the region. This work will include 7 development of a groundwater three 8 dimensional model." 9 I am sorry, it's at page 2, it's at tab 6. 10 MR. WEBSTER: You said "C". 11 MR. HANDLON: I'm sorry, I didn't 12 direct you over to our brief. It is now in our 13 brief. 14 MR. WEBSTER: Whereabouts are you? 15 MR. HANDLON: At tab 6. 16 MR. WEBSTER: Yes, page 2? 17 MR. HANDLON: Yes, and it's the middle 18 paragraph, or just below the middle of the page, 19 "in addition." 20 MR. WEBSTER: Thank you. 21 MR. HANDLON: I am sorry, I should 22 have been clear in my direction. 23 "This work will include the 24 development of the groundwater three 25 dimensional model that will determine 00074 1 potential effects of additional water 2 withdrawals arising from new 3 developments on existing users and the 4 sustainability of the aquifer system. 5 This model will also be capable of 6 incorporating regional scale water 7 quality issues." 8 So there's been an undertaking by the 9 province to have a regional study, beyond the one 10 issue of the floodway itself, but a regional study 11 of all issues related to water supply and water 12 quality in that region. 13 My learned friend in his brief refers 14 to and really, on a preliminary motion, that it is 15 impossible to get into the details of the issues 16 relating to the aquifers concerns that were 17 referred to by my learned friend. It requires a 18 hearing in itself. I can't do justice to refer, 19 to deal with the details of those concerns. We 20 have our consultants, Mr. Smith, Mr. Morgan who 21 will be dealing with those issues among the other 22 issues in their presentation and will be subject 23 to cross-examination. 24 But my learned friend's brief refers 25 to one report from Conestoga-Rovers and it's a 00075 1 report that the proponent just received last week. 2 And it's at page 13 of their brief and you don't 3 need to go there. But let me just read it. This 4 is one of the alleged deficiencies that stated, 5 "More detailed water quality sampling 6 program should be developed to better 7 characterize the effects of the 8 existing floodway on groundwater 9 quality during a flood. And 10 mitigation measures need to be 11 developed to protect residents from 12 poorer groundwater quality due to 13 infiltration of flood waters." 14 Now, the Floodway Authority, as 15 indicated through its consultants and through its 16 assessment, that there will be no adverse effects 17 to ground water. However, they are committed to 18 all mitigation efforts monitoring. And quite 19 frankly, if this is a deficiency, do we have -- 20 opposing rhetorical question, do we have to wait 21 for a flood before we can get the information so 22 the assessment can be done so we can then have a 23 hearing? I submit that the proper process is to 24 raise the concerns in an organized and a thorough 25 fashion through these hearings. 00076 1 The third point, and that begins at 2 page 11 of our brief and it's at the bottom of the 3 page. My point is it's not feasible or legally 4 required at this stage for MFA to address all of 5 the details concerning either the design or the 6 extra margins of safety against unlikely or 7 unanticipated adverse effects. 8 Mr. Currie, in his submission, refers 9 to certain portions of the guidelines as it 10 relates to environmental protection plans. But if 11 you read right at the top of page 11 of our brief. 12 The guidelines for the EIS specifically provide, 13 in section 9, that, and this is a quote, 14 "The EIS should also describe an 15 adaptive management process that could 16 be implemented in the event that the 17 project has unexpected adverse effects 18 or when mitigation measures may not be 19 effective." 20 The guidelines further state, 21 "If regulatory approval for the 22 project is provided, a project 23 specific Environmental Protection 24 Plan, EPP, shall be developed prior to 25 construction." 00077 1 The very guidelines themselves do not 2 contemplate the details of an environmental 3 protection plan related to construction at this 4 stage. These, and perhaps it might be helpful to 5 refer to those guidelines specifically, and I'm 6 going to ask you to turn back to my learned 7 friend's brief, the very last tab where he has 8 excerpts from the guidelines. And the second last 9 page is the section 9 that is partially reproduced 10 in our brief. 11 12 It's the very last tab. It's actually 13 page 17. And you'll see the quotes that are in 14 our brief start in the second paragraph under 15 section number 9, the second or the last sentence 16 the EIS should also describe. 17 And then if you go down to the bullet 18 points, you'll see, 19 "The EPP should commit to the 20 principles of adaptive management in 21 addressing any unexpected effects. 22 The EPP shall be developed to 23 accomplish the following goals." 24 And then there's a number of bullet 25 points to facilitate the mitigation of 00078 1 environmental effects through the full lifecycle 2 of the project by providing field construction and 3 operating personnel with clear instructions. And 4 then there's other details. 5 So it's clear, from the guidelines 6 themselves, that this alleged deficiency is really 7 not a deficiency at all. The proponent received 8 guidelines for the preparation of Environmental 9 Impact Statement. It prepared its Environmental 10 Impact Statement on the basis of what it told the 11 guidelines were to be. 12 These guidelines specifically stated 13 that environmental protection plans, there had to 14 be a commitment to environmental protection plans 15 but they didn't have to be developed to final 16 design criteria until construction. That's not to 17 say, and we go on in our argument to say there's 18 been a commitment on the part of the Floodway 19 Authority to consult now and into the future. 20 If you turn to page 12 of our brief 21 now on the same point that it's not feasible or 22 legally required at this stage for MFA to address 23 all of the details concerning these extra margins 24 of safety. And we have four bullet points, the 25 final design of the floodway will not be completed 00079 1 until after some additional consultations. In 2 fact, these very public hearings take place. MFA 3 will continue to listen to legitimate criticisms 4 and concerns and make adjustments that it 5 considers reasonable in light of such input or is 6 required by the regulatory authorities. 7 It's not possible to know every 8 geotechnical detail associated with ground water 9 in advance of the actual construction. 10 Test holes cannot reveal every 11 specific geological feature that might be 12 encountered in the course of actual digging. The 13 authors are confident, however, there is no 14 significant risk of a blowout or other event which 15 could produce unexpected or serious harm, 16 especially in light of the shift of the design 17 away from deepening. 18 The details of construction 19 dewatering, monitoring programs and mitigation 20 options are required to be submitted to Manitoba 21 Water Stewardship for approval prior to proceeding 22 and with work that might affect ground water. 23 Certainly that combined with the commitment on the 24 part of MFA to continue to consult with the 25 municipalities provides the municipalities with a 00080 1 level of security knowing that their concerns will 2 be considered to be taken into account throughout 3 this process including construction and after 4 construction. 5 And our last point is the point I made 6 that the environmental protection plans are only 7 required by the guidelines prior to construction. 8 The fourth point is that, and I state 9 it on page 12, these hearings are only one 10 component of the public participation process 11 which is part of the cooperative environmental 12 assessment established under the agreement. This 13 Commission does not make a final decision 14 regarding the licensing of the project. The three 15 municipalities will have opportunities to raise 16 their concerns through these hearings. 17 And that's what we encourage. And 18 also in the future. We cite at paragraph 18 a 19 case from Manitoba where Justice Hirshfield states 20 in relation to this Commission, 21 "does not adjudicate on issues nor 22 does it make decisions. It merely 23 advises and makes recommendations to 24 the Minister." 25 And we point out section 7(3), 00081 1 "following a public hearing, which 2 advice and/or recommendations may be 3 accepted or rejected." 4 And I'll skip down to paragraph 20. 5 The three municipalities will have the opportunity 6 in these hearings to make their concerns known and 7 test the information in the EIS both in 8 cross-examination and through their own witnesses. 9 If there remains concerns after these public 10 hearings, the CEC's report and an ongoing public 11 consultation, they will be free to make their 12 concerns known to the Minister before the licence 13 is issued. 14 We point out, going onto the next page 15 and the statement that I had made previously, 16 paragraph 21. MFA has already made it clear that 17 these public hearings are not the end of the 18 consultation process. 19 And this statement wasn't made last 20 week, it was made in the Environmental Impact 21 Statement last summer. "MFA," or MFEA at the 22 time, 23 "will maintain an ongoing public 24 involvement program at least to the 25 end of the Floodway Expansion's 00082 1 construction phase. This will include 2 regular meetings with municipalities 3 and stakeholders." 4 And it goes on. Paragraph 22. At the 5 licensing stage, the Environment Act provides 6 formal recourse for any affected party that 7 objects to the issuing of a Class 3 licence. 8 Under the provisions of subsection 28(1), an 9 appeal can result in a decision the Lieutenant 10 Governor in Council to hold additional public 11 hearings, to vary or cancel the licence or order 12 the Minister to reconsider the granting of the 13 licence. And in fact, a provision that goes on to 14 say that if there is such an appeal to the details 15 of a licence, that there can be -- that project 16 can be stopped while that appeal process has been 17 undertaken. 18 If I could just refer to the principle 19 my learned friend has advanced as to a fair 20 hearing, in his submission, that the common law, 21 the rules of natural justice apply. And that in 22 order to have a fair hearing, that they have to be 23 given full details of every aspect of the 24 construction. 25 Well firstly, we submit that we have 00083 1 met their guidelines for the preparation of the 2 EIS which have been met. There has been a 3 thorough process of public consultation throughout 4 the process. But it's to be kept in mind and the 5 rules of natural justice that have been referred 6 to have to be looked at in the light of the nature 7 of the Tribunal that is hearing the matter. 8 Of course if there are well-defined 9 issues and there are parties to a dispute such as 10 there might be in a Court of Queen's Bench action 11 or in the labour board or the municipal board 12 where there are -- rights of parties will be 13 affected by a decision, that there is a very high 14 regard given to the fact that there is a need for 15 full disclosure of the positions of the parties in 16 advance of the hearing itself. 17 And I'm not to say, I submit, that 18 that's been fulfilled in these hearings. However, 19 this is not a situation where this Tribunal makes 20 final decisions as to the legal rights of the 21 parties. It solely makes recommendations. So in 22 that regard, one has to perhaps attempt or 23 understand the rules of natural justice how they 24 apply. 25 My learned friend refers to a Latin 00084 1 phrase Audi alteram partem which literal meaning 2 is "hear the other side." The legal principle is 3 that no one should be condemned unheard. That's 4 one of the principles of natural justice. 5 Certainly there has been full consultation that 6 this hearing will hear the other side, will hear 7 the municipalities. 8 We point out in paragraph 19 of our 9 brief, S. Blake in her text on Administrative Law. 10 "Where the authority granted is merely 11 to investigate and report but not 12 decide, there may be a limited duty to 13 act fairly. The extent of the duty 14 turns on the role of the investigation 15 in the decision-making process and on 16 the degree of exposure to harm of the 17 person investigated." 18 We submit that there has been full 19 disclosure here to the extent reasonably possible. 20 And in paragraph 23 of the same text on Blake, 21 "The common-law right to procedural 22 fairness cannot override procedure 23 prescribed by statute. In the case of 24 conflict, the statute prevails." 25 And in this case, we see that the 00085 1 statutory scheme is this Commission conducts a 2 hearing on the direction of the Minister. The 3 Minister directed a hearing. And if you read the 4 terms of reference, subject to the cooperative 5 environmental assessment process. And through 6 that process, through the federal and provincial, 7 the body PAT was to make the decision when the 8 material was sufficient according to the 9 guidelines developed to have the hearing. 10 Our fifth point is at the bottom of 11 page 14, and I am not going to go into this in 12 detail. We submit that whereas the municipalities 13 will have further opportunities to express their 14 concerns -- and I disagree with the statement made 15 by Mr. Currie that they will not have 16 opportunities to express their concerns in the 17 future, and I have pointed that out in our 18 detailed submission. But even in these hearings 19 themselves, that this Commission should proceed 20 with these hearings, it has certainly the power 21 and authority to adjourn the hearings at some 22 point in the future if it is desirable and in the 23 public interest. 24 And maybe I should speak to the public 25 interest. There are no specific parties to this 00086 1 hearing. What this Commission is looking at is 2 what's in the public interest here, and it's only 3 going through this hearing process that that 4 determination could be made. 5 So if at some point this Commission 6 feels that further information is needed in order 7 for you to make your recommendation, you certainly 8 have that power and authority. 9 And secondly, my learned friend uses 10 the phrase functus, you can't do it anymore. 11 Well, certainly at a later point if a licence is 12 issued and there's an appeal, part of that appeal 13 process could involve referral back to this 14 Commission. So I am only saying that not as that 15 that's a likely possibility or likelihood, but 16 only that those options are available. So if we 17 look at it, the municipalities will have further 18 opportunities to express their concerns. 19 A delay in these proceedings could 20 risk serious and irreparable harm to the public 21 regardless of the content of the hearings and the 22 Commission's report. And we point out the 23 statistics as to the potential damage to the City 24 of Winnipeg and Province of Manitoba that could 25 result in a substantial flood, and the likelihood 00087 1 of that occurring. It's not a question of whether 2 it will occur, it's a question of when another 3 flood in the Red River Valley will occur, and 4 Manitoba needs to be protected to the extent 5 possible. 6 And our last point, page 15 at the 7 bottom of the page, delaying these proceedings 8 would add greatly to the cost of the public 9 hearings, cause substantial inconvenience to the 10 Commission, the proponent, and many of the 11 participants. 12 And my learned friend said, well, that 13 shouldn't be the determining factor. Perhaps it's 14 not the determining factor, but it's a factor 15 nonetheless to take into account. 16 And we have added a quote from Brown 17 and Evans, administrative law, that says when you 18 have a multi-party hearing, and this is even 19 dealing with a situation where rights are being 20 finally decided, that an adjournment may be 21 refused -- or that adjournment will not likely be 22 granted at the request of one participant in a 23 multiple-party proceeding when all others are 24 present with their lawyers and witnesses and are 25 ready to start. 00088 1 At the break, I was given some notes 2 and some points to address in Mr. Currie's 3 submission and his reference to a race. The last 4 flood and the flood that brought the vulnerability 5 of our present floodway to attention was in 1997. 6 It's already been seven years. The RMs have had 7 and will continue to have opportunity for public 8 input. 9 As to dealing -- and certainly 10 considerations were given in the EIS and the 11 studies as to the long-term effect of the 12 expansion to this floodway. This is a unique 13 project, the expansion of a floodway, because we 14 already have had an existing floodway in place for 15 35 years. And on the basis of that, the studies 16 were facilitated because of the length of the data 17 collection period. 18 In reference to a comment by 19 Mr. Clifton that was read, and criticizing the 20 model and a suggestion to use a model that would 21 work. And quite frankly, it is a state-of-the-art 22 model as I am told, and as you will hear during 23 these proceedings. So to attempt to deal with 24 that type of a comment right now, we're simply not 25 able to deal with it, but I submit it was an 00089 1 appropriate comment. 2 As to deepening our brief of the 3 floodway channel, which was the greatest concern 4 in respect to ground water, we have pointed out -- 5 or the final design of the floodway at the present 6 time, and you'll hear this during the submission, 7 is that in order to get greater capacity for the 8 floodway expansion, there will be no deepening. 9 There are certain works that have to be done on 10 the low flow channel, and that will involve 11 placing fill material where there are depressions, 12 and armouring the low flow channel which will add 13 greater protection to the ground water concerns 14 put forward by the municipalities. So that the 15 armouring will be comprised of putting clay fill 16 in the areas of depressions and putting riprap for 17 the entire length of the low flow channel. 18 My learned friend said this Commission 19 can assess the proponent's compliance with the 20 guidelines -- can assess the proponent's 21 compliance with the guidelines in its EIS. And 22 that's really your role in these hearings. But 23 you can't do it now. These hearings have to 24 proceed. And I won't get into the details of some 25 of the groundwater issues with my learned friend 00090 1 because it's impossible to deal with it. I think 2 it's better to have experts that are ready to 3 proceed speak to those matters rather than have 4 lawyers comment on matters outside their field of 5 expertise. 6 If I could just have a couple of 7 minutes to confer with my colleagues to see if 8 there are any additional points, or if you have 9 any questions that you would like to pose at this 10 point in time. 11 THE CHAIRMAN: We'll give you a couple 12 of moments now to consult with your colleagues. 13 We'll consult among us to see if we have any 14 questions or clarification. Thank you. 15 We'll break for a moment or two. 16 17 (BRIEF RECESS) 18 19 THE CHAIRMAN: Order, Mr. Handlon. 20 MR. HANDLON: Thank you. Just a few 21 follow-up points. As we've set out in the EIS and 22 which you will hear during these hearings from the 23 consultants, that after thorough study, the 24 independent experts are confident that there be no 25 likely adverse effects. Points like the 00091 1 mitigation fund are an extra measure of safety 2 against unexpected events. 3 I will just point out at page 11 of 4 our brief, we outlined those additional safety 5 margins, extra margins of environmental safety. 6 And the three bullet points, during construction 7 stage, there will be an environmental protection 8 plan, which we've discussed, in place which will 9 provide for monitoring and avoidance of mitigation 10 measures in respect of groundwater effects. In 11 addition, there will be an $11 million 12 environmental mitigation fund that has been 13 established to address any unlikely or 14 unanticipated effects during construction of the 15 project, including such effects on groundwater. 16 After construction is completed, there 17 will be continuing monitoring and follow-up 18 program, including funding for mitigation related 19 to the effects of the project, if and as required. 20 It was pointed out that I skipped over 21 one section on page 12 that is important. And 22 page 12 dealt with the other opportunities of the 23 municipality to be involved in future public 24 consultation specifically relating to the 25 construction. And the second last bullet point on 00092 1 page 12, dealing with the licensing requirement 2 for Manitoba Water Stewardship, I skipped over the 3 sentence that stated, 4 "The committees will be formed 5 including representation from Manitoba 6 Water Stewardship, MFA or its agents, 7 local government and private citizens, 8 to keep all parties informed and 9 ensure concerns are addressed." 10 And the final point, when one deals 11 with the need, not a race, to move on 12 expeditiously, is the fact that there is -- every 13 year there are statistics dealing with another 14 major flood. And page 15, we set out those 15 statistics from a report that was done a number of 16 years ago from KGS in 1999, which led to a series 17 of assessments in design of the expansion project, 18 and the last bullet point on page 15, and I will 19 read it, 20 "The average annual damage to Winnipeg 21 that could be incurred due to the 22 probability of floods that could 23 exceed the existing floodway capacity 24 is expected to be in the range of 25 $50 million to $75 million per year, 00093 1 excluding potential business losses." 2 So delay has a real effect and it is important for 3 this Commission to do a thorough job, that these 4 proceedings need to proceed, and you should not 5 take the extraordinary step of adjourning these 6 proceedings at this point in time. 7 The details Mr. Currie has pointed out 8 in paragraph 20 of his brief as to the additional 9 information that they request; number one, it's 10 impossible for this Commission on a preliminary 11 motion to know if there are any deficiencies in 12 the material. That's the purpose of this hearing. 13 Who is to monitor when the deficiencies are 14 correctly rectified, when, and at what time? 15 The municipalities and the concerns 16 will be foremost, as all other concerns throughout 17 the course of this hearing. And I guess our final 18 submission, final point is these proceedings need 19 to proceed on and we look forward to that. Thank 20 you. 21 THE CHAIRMAN: Thank you, Mr. Handlon. 22 I believe Mr. Webster has a question or two. 23 MR. WEBSTER: Thank you, Mr. Chairman. 24 Mr. Handlon, you've given us a very 25 clear representation as to the care with which the 00094 1 authorities that led to the execution of the EIS 2 and the dealings with that, that that's all been 3 done very, very well. However, if you come to 4 page 17 of your brief, point 5 finishes up with a 5 statement that I think puts its finger on one of 6 the things that the municipalities are concerned 7 about, and that is that it says that there are no 8 likely significant adverse effects on groundwater 9 or to groundwater as the result of the expansion. 10 Now, I wanted to ask you, does the 11 extensive information that you were talking about 12 earlier, does it address the impact of the project 13 on groundwater resources including the effect to 14 the original floodway? 15 MR. HANDLON: The EIS, and I can't 16 speak to all the details of it, Mr. Morgan can, 17 but it certainly assesses the baseline situation 18 of the existing floodway, and the concerns raised, 19 and that part is fully analyzed in the course of 20 the EIS that you will hear. And I'm sure you will 21 hear their initial submission on that, you'll hear 22 cross-examination on it. 23 The question here, we have the 24 existing floodway, as we have all other 25 developments, and it's important to look at the 00095 1 environmental impact of this project. And this 2 environmental impact of this project, by widening 3 rather than deepening will not, in the opinion of 4 the experts, adversely cause any adverse effect to 5 ground water that can't be mitigated. But that's 6 something that certainly would be subject to 7 considerable discussion at these hearings. But 8 the short-term and the long-term effects have been 9 studied, and it's the situation where the 10 conclusion the experts have come to, both from an 11 engineering perspective -- and you see the binders 12 of material -- that have studied the issues of 13 ground water, and the issue of widening rather 14 than deepening is a very substantial one. And on 15 the basis of that design, and that design has 16 certain difficulties associated with it, but 17 that's the commitment to do that, their opinion is 18 that there will be no adverse effect to the 19 aquifers in question. You see that the 20 government, by the recent letter from the Minister 21 of Water Stewardship, has committed to a regional 22 groundwater study. 23 I mean, it's important to look at the 24 potential adverse effects to the groundwater, the 25 aquifers by this project, but it's important to 00096 1 look at the groundwater quality in its totality, 2 and that can only be done by a regional study and 3 that has been committed to. 4 But as I stated, although, despite the 5 opinions given and the thorough assessment given, 6 that there are additional safety measures built in 7 there for unexpected or unanticipated adverse 8 effects. 9 MR. WEBSTER: Okay. Finally then you 10 talked about an EPP being put together addressing 11 the issues that come up during the course of the 12 project. Would those address the effects not only 13 of the project, but of the original floodway, the 14 cumulative effects that would come up during the 15 course of the construction? 16 MR. HANDLON: As I understand the 17 environmental impact, or environmental protection 18 plans deal with situations that may occur in the 19 field, deal with monitoring issues as a broad 20 range, I'm not qualified to get into all the 21 details of those. But the practical plans to 22 ensure that the, in the course of not only the 23 construction but the continued operation, that 24 there are measures taken to mitigate against 25 adverse effects. 00097 1 MR. WEBSTER: I guess my point is, can 2 you separate one from the other at that point? 3 MR. HANDLON: At that point? 4 MR. WEBSTER: Yes? 5 MR. HANDLON: In some respects, 6 perhaps not -- 7 MR. WEBSTER: Okay. 8 MR. HANDLON: -- as to construction. 9 But as I said from the outset, I think the 10 engineers are best to answer that. That's getting 11 a little beyond my sphere of expertise. And 12 perhaps Mr. Morgan can answer that. 13 MR. MORGAN: David Morgan speaking. I 14 just want to make clear that in the EIS, supported 15 by the engineering documents, and probably 16 repeated again in the IR's, section 5.4.5 17 monitoring follow-up, where we talk about is there 18 a recommendation to monitor, to see if these 19 unlikely effects which the people are concerned 20 about should be done. We state, 21 "Monitoring of groundwater quality on 22 the western side of the floodway 23 should be done following a large flood 24 to verify the movement and effect of 25 surface water intrusion." 00098 1 So implicitly, if it's done starting now and after 2 the construction, it will be assessing not only 3 the project but the cumulative effects of the 4 project. So it's stated in the EIS. 5 MR. WEBSTER: I realize we'll be 6 hearing all of these details in the course of the 7 hearing, but the point I guess I'm raising is to 8 what extent can you separate one from the other at 9 that point, in terms of the EPP during the 10 project? 11 MR. MORGAN: Well, we expect to do 12 some baseline monitoring. I mean, the monitoring 13 has started, for the last 35 years there's been 14 monitoring, but there will be continued monitoring 15 before and after. 16 Also the existing conditions of the 17 surface water intrusion is also discussed in 18 section 5.4. When we get into the hearings we can 19 discuss all these issues. I didn't want to get 20 into a technical thing here before -- we're not 21 even under oath. 22 MR. WEBSTER: I'm not asking you for 23 one. 24 THE CHAIRMAN: I think Mr. Webster's 25 point was, is there sufficient information in the 00099 1 EIS to address the issues that he was talking 2 about? That's what we're concerned with today. 3 MR. MORGAN: Yes. We feel there was 4 sufficient information to provide the assessment. 5 THE CHAIRMAN: Thank you. Thank you 6 Mr. Handlon, and I thank your team. I don't think 7 we have any further questions at this point. It 8 is now ten to 12:00. We now have three 9 participants in the room who have requested to 10 speak to this motion. We also, as I noted 11 earlier, have had one written submission. I would 12 propose, since we're coming up to lunch time, that 13 we will read the written submission into the 14 record now. We will come back at one o'clock, and 15 I point -- I like to emphasize one o'clock sharp, 16 we will hear the three participants' submissions 17 at that time, and following that we'll have any 18 closing comments from the two principals to this 19 motion. 20 Ms. Johnson, could you please read the 21 submission from the 768 Association? Just by way 22 of background, let me note that 768 Association, 23 which is one of the registered and funded 24 participants, asked last week whether or not they 25 could submit a written presentation as none them 00100 1 were able to attend today. I allowed it, and they 2 sent it in to us on Friday I believe. 3 MS. JOHNSON: Thank you, Mr. Chairman. 4 Before I proceed to reading that submission into 5 the record, could I add exhibit number 3 as the 6 motions brief of the proponent before the Manitoba 7 Clean Environment Commission, February 14, 2005, 8 9:00 a.m. 9 10 (EXHIBIT 3: Motions Brief of the 11 Proponent before the Manitoba Clean 12 Environment Commission, February 14, 13 2005, 9:00 a.m.) 14 15 MS. JOHNSON: Okay. 16 "The 768 Association Inc. is in 17 support of the motion as presented. 18 Similar to the concern of the 19 municipalities presenting the motion, 20 the 768 Association has had difficulty 21 in receiving full responses to the 22 information request sent to the 23 proponent. On January 14, 2005, our 24 consultant, Green Mountain Hydrotech 25 Limited, submitted an appeal to the 00101 1 CEC regarding insufficient responses 2 to information requests. This was 3 followed up by an e-mail from 4 Hydrotech to the CEC on January 21, 5 2005, noting that a ruling and a 6 response to the appeal had not been 7 received yet. Although we did finally 8 receive a response from the proponent 9 on February 10, 2005, we have yet to 10 determine the sufficiency of this 11 response. We advise the Commission 12 that even if the response was 13 sufficient, we have now been put in a 14 position such that we cannot finalize 15 our report and presentation for the 16 hearing as scheduled. 17 Similar to the concerns of the 18 municipalities, the 768 Association is 19 of the opinion that the project 20 description in the EIS is grossly 21 inadequate in key areas such as 22 compensation to individuals, 23 cumulative impacts from the floodway 24 construction and operating parameters. 25 The 768 Association has presented this 00102 1 concern every step of the way. These 2 views have been expressed in a letter 3 to Manitoba Conservation on 4 October 14, 2004 to Intergroup 5 Consultants on February 16, 2004 6 during round one of the stakeholder 7 workshops, to the proponent at a 8 meeting on April 20, 2004, to the CEC 9 at a meeting on June 1, 2004, and 10 again to Intergroup Consultants on 11 June 3, 2004 during round three of the 12 stakeholder workshops, and finally in 13 a letter to the Chair of the Project 14 Administration Team, also the director 15 of the Environmental Approvals on 16 November 11, 2004. The issue has also 17 repeatedly been submitted by other 18 stakeholders and participants such as 19 RCCC, NRAC, Health Canada and others. 20 Without full disclosure, review and 21 discussion of these key components, it 22 is our opinion that the CEC hearings 23 will hold little value. 24 Similar to the concerns of the 25 municipalities, the 768 Association is 00103 1 concerned that the proponent has not 2 completed the project design and 3 description and is contemplating 4 changes or additions which would then 5 be implemented after the hearings and 6 without public scrutiny. In addition 7 to the items listed by the 8 municipalities, we note that the 9 proponent has advised that they are 10 still contemplating the need for a 11 backup gate system. Our approved 12 funding allowed us to investigate the 13 issue but we were unable to do so 14 because the details of the proposed 15 system were not available. 16 We respectfully request as per the 17 motion that the CEC hearings be 18 suspended until such time that the 19 proponent has addressed the noted 20 concerns. On behalf of the 768 21 Association, Robert F. Duerksen." 22 Please, Mr. Chairman, I would enter that as 23 Exhibit 4 into our records. 24 25 (EXHIBIT 4: Prepared statement from 00104 1 the 768 Association Inc., participant 2 in the Manitoba Clean Environment 3 Commission hearings for the Red River 4 Floodway Expansion Project) 5 6 THE CHAIRMAN: Thank you. We will now 7 take a lunch break and please come back at 1:00 8 sharp. 9 10 (Proceedings recessed at 11:55 a.m. 11 and reconvened at 1:00 p.m.) 12 THE CHAIRMAN: Order, please. I would 13 like to resume the hearings now, please. We have 14 had requests from three participants to speak on 15 this motion. I will call them in the order that 16 they made the requests of us. The first will be 17 Mr. Paul Clifton, second will be Mr. Jack Jonasson 18 and finally Mr. Karl Pohl. 19 Mr. Clifton, would you please come 20 forward? I would remind the participants that are 21 speaking to this motion, they should be speaking 22 only to this motion and not debating issues of 23 substance, which will be the business of the main 24 hearings. 25 I should also note that their 00105 1 presentations are to be no more than 20 minutes. 2 Mr. Clifton. 3 MS. CLIFTON: Thank you, Mr. Chair, 4 Commissioners, public. Before I start, I'm going 5 to tell you that I tend to speak better than I 6 read and speak. And I have a lot of stuff in my 7 head, and I articulate very well, and I will do 8 th