CITY CLERK

Clause embodied in Report No. 17 of the Administration Committee, as adopted by the Council of the City of at its meeting held on December 4, 5 and 6, 2001.

2

Exchange of Interests in Land Portions of the Keele Valley Site ()

(City Council on December 4, 5 and 6, 2001, amended this Clause by adding thereto the following:

“It is further recommended that the joint report dated November 29, 2001, from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services, embodying the following recommendations, be adopted:

‘It is recommended that:

(1) authority be granted for the City to enter into an agreement with York Major Holdings Inc. (“York Major”) to effect an exchange of interests in land at the Keele Valley Landfill site on the terms outlined in the body of this report;

(2) the City Solicitor be authorized to complete the transaction on behalf of the City, including payment of any necessary expenses;

(3) Recommendation No. (2)(b)(i) of Clause No. 2 of Joint Policy and Finance and Works Committee Report No. 2, as adopted by Council at its meeting held on August 1, 2, 3 and 4, 2000, be amended to require the City of Vaughan to first enact a temporary Zoning By-law to permit composting at the Avondale Facility to continue until December 31, 2003, instead of until May 31, 2004; and

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

(City Council on November 6, 7 and 8, 2001, deferred consideration of this Clause to the next regular meeting of City Council scheduled to be held on December 4, 2001.) 2 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

(Clause No. 9 of Report No. 16 of The Administration Committee, entitled “Exchange of Interests in Land Portions of the Keele Valley Landfill Site (Vaughan)”.)

The Administration Committee:

(1) reports having concurred with the recommendations embodied in the joint report (October 11, 2001) from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services; and

(2) recommends that the appropriate City officials be requested to enter into discussions with City of Vaughan staff respecting the Keele Valley Site as outlined in the communication (October 15, 2001) from the Deputy City Manager, City of Vaughan, and report thereon to the Administration Committee within 60 days.

The Administration Committee submits the following joint report (October 11, 2001) from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services:

Purpose:

The purpose of this report is to obtain authority to report directly to Council at its meeting of November 6, 7 and 8, 2001, on the outcome of the negotiations with York Major Holdings ("York Major") relating to an exchange of interests in land forming a portion of the Keele Valley Landfill site.

Financial Implications and Impact Statement:

Not applicable at this time.

Recommendations:

It is recommended that:

(1) authority be granted to continue negotiations with York Major relating to an exchange of interests in land at the Keele Valley Landfill site and report on the outcome of the negotiations directly to Council at its meeting of November 6, 7 and 8, 2001; and

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

Background:

On August 1, 2, 3 and 4, 2000, City Council adopted Clause No. 2 of Joint Report No. 2 of The Policy and Finance Committee and the Works Committee, entitled “Compliance Boundary at the Keele Valley Landfill Site”, and thereby authorized the Commissioner of Works and Emergency Services to apply to the Ministry of the Environment (“MOE”) to move the compliance boundary Toronto City Council 3 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2 of the Keele Valley landfill site from the edge of the secondary buffer lands south of the City-owned lands northwards to the south end of a modified primary buffer, upon completion of landfilling operations at the Keele Valley landfill site, subject to a number of conditions, including the condition that York Major, the owner of the secondary buffer lands, conveys the necessary lands to the City.

Further, on January 30, 31 and February 1, 2001, City Council adopted Clause No. 6 of Report No. 1 of The Works Committee and thereby authorized the Commissioner of Works to apply to the MOE to amend the re-circulation program upon completion of landfilling operations at the Keele Valley landfill site, such application be made concurrent with the application to alter the compliance boundary, and to engage the current Keele Valley engineering consultants to prepare the applications and supporting documentation for submission.

York Major is proposing to construct a golf course on its undeveloped secondary buffer lands. This will compliment the City of Vaughan’s Maple Valley Plan which promotes the development of lands in and around the Keele Valley landfill site for recreational use. In order to fully develop its proposed golf course, York Major requires additional lands which are currently owned by the City. Accordingly, York Major has expressed interest in entering into a land exchange agreement with the City whereby York Major would acquire the Buffer Lands and the City would acquire the portion of York Major’s lands required by the City to move the compliance boundary of the Keele Valley landfill site.

In order to proceed with these matters, City Council at its meeting of July 24, 25 and 26, 2001, adopted Clause No. 18 of Report No. 11 of The Administration Committee declaring a portion of the buffer lands of the Keele Valley Landfill Site surplus to City requirements

Comments:

City staff and York Major have commenced negotiations relating to a land exchange transaction. Staff of Works and Emergency Services Department is making application to the Ministry of the Environment in early December to both move the compliance boundary of the Keele Valley landfill site and amend the leachate re-circulation program. The Ministry of the Environment requires that a public meeting be held in advance thereof and to this end a meeting is scheduled to be held on November 27 2001. Staff of Works and Emergency Services consider City Council approval to an agreement in principle with York Major for an exchange of interests in land to permit the golf course proposal to proceed would result in the application being favourably regarded by the City of Vaughan and its residents and it is therefore considered necessary to report to the November 6, 7 and 8, 2001 meeting of Council on the land exchange provided agreement in principle is achieved in the next couple of weeks. It is anticipated agreement in principle will be reached in the next couple of weeks and, accordingly, this report recommends that the Commissioners of Corporate Services and Works and Emergency Services be authorized to report directly to Council on this matter. Toronto City Council 4 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

Conclusions:

In view of the urgency to enter into an agreement in principle with York Major for an exchange of interests in land at the Keele Valley Landfill site, it is appropriate that the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services be directed to report directly to Council on the terms and conditions of the exchange.

Contacts:

Name: Luba Tymkewycz Name: Steve Whitter Position: Manager, Portfolio Position: Director, Transfer, Processing Management and Disposal Operations Telephone: (416) 392-7207 Telephone: (416) 392-4687 Fax: (416) 392-1880 Fax: (416) 392-4754 E-Mail: [email protected] E-mail: [email protected]

The Administration Committee also submits the following communication (October 16, 2001) from Councillor Betty Disero, Ward 17 - Davenport:

I just want to let Members know that I support getting a report to Council from staff, with respect to finalizing the decision on this matter.

Second of all, with respect to “Item No. 24(a)” from Ms. Theresa A. Caron, Deputy City Manager and City Solicitor of the City of Vaughan, I would ask that your Committee request staff to enter into discussions and report back on a status within 60 days to the Administration Committee.

Thank you.

(Communication (October 15, 2001) from the Ms. Theresa A. Caron, Deputy City Manager and City Solicitor, referred to in the foregoing communication from Councillor Disero)

We wish to thank you for the opportunity last Friday for City of Vaughan representatives, Councillor , City Manager Scott Somerville and myself to discuss with you, issues respecting the closure of Keele Valley Landfill and Vaughan’s desire to initiate negotiations for acquisition by the City of Vaughan of the Avondale Operations Site.

Further to that meeting, this letter outlines the various factors and mechanisms that may be available for consideration in the finalizing terms for Vaughan’s acquisition of the Avondale lands.

Both the City of Vaughan and the City of Toronto have corporate objectives respecting the Keele Valley site and surrounding lands. It is Vaughan’s intention that through a combination of land valuation considerations and acquisition options, the objectives of both municipalities will be achieved. Toronto City Council 5 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

Vaughan proposes that City of Toronto staff enter into discussions and negotiations with the City of Vaughan staff to explore alternatives and initiatives that will result in favourable and mutually acceptable terms of acquisition. The negotiations should include consideration of such factors as remediation costs and realistic alternative uses and include consideration of various mechanisms and payment plans such as a long term lease or an easement for limited uses with an option to purchase at the end of the term or immediate acquisition with a long term payment plan.

It is recognized that both municipalities must ensure that the best interests of their Corporation be served, however, it is Vaughan’s belief that due to the obligations and objectives of both Toronto and Vaughan in the timely and efficient closure of Keele Valley, that mutually agreeable solutions are available.

Thank you again for the opportunity to discuss these concepts with you and Vaughan appreciates your assistance in the consideration of these matters.

Please do not hesitate to advise if you require anything further in this regard at this time.

(A copy of the maps attached to the foregoing report was forwarded to all Members of Council with the October 16, 2001, agenda of the Administration Committee and a copy thereof is also on file in the office of the City Clerk, City Hall.)

(City Council on November 6, 7 and 8, 2001, had before it, during consideration of the foregoing Clause, a joint report (November 5, 2001) from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services advising of the status of the negotiations respecting an exchange of interests in land at the Keele Valley Landfill Site.)

(Having regard that City Council deferred consideration of this Clause to its next meeting scheduled to be held on December 4, 2001, the aforementioned joint report will be resubmitted to Council.)

(City Council on December 4, 5 and 6, 2001, again had before it, during consideration of the foregoing Clause, the following joint report (November 5, 2001) from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services:

Purpose:

To advise of the status of the negotiations respecting an exchange of interests in land at the Keele Valley Landfill Site.

Financial Implications and Impact Statement:

Revenue will be realized from the eventual sale. Toronto City Council 6 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

Recommendations:

It is recommended that:

(1) the Commissioner of Corporate Services in consultation with the Commissioner of Works and Emergency Services be authorized to continue negotiations with York Major respecting an exchange of interests in land at Keele Valley Landfill site and report back to City Council at its meeting scheduled for December 4, 5 & 6, 2001 on the results of these negotiations.

Background:

By its adoption of Clause 18 of Report No. 11 of the Administration Committee on July 24, 25 and 26, 2001, Council declared surplus to municipal requirements a portion of the Keele Valley Landfill site and authorized City staff to enter into negotiations for a possible land exchange transaction.

At its meeting held on October 16, 2001, the Administration Committee had before it a report dated October 11, 2001 from the Commissioner of Corporate Services entitled “Exchange of Interests in Land – Portion of the Keele Valley Landfill Site” seeking authority to continue negotiations with York Major Holdings Inc. (“York Major”) relating to an exchange of interests in land at the Keele Valley Landfill site and report on the outcome of the negotiations directly to Council at its meeting of November 6, 7 and 8, 2001.

Comments:

Negotiations with York Major were, in the opinion of staff, concluded with respect to the general principles of the transactions and a report to Council thereon was being finalized. However, in the afternoon of Monday, November 5, 2001, York Major introduced a new requirement which had never been part of the transaction and staff are not prepared to recommend that this new requirement simply be included in the currently negotiated general principles. This requirement may have significant value to the City and staff are not prepared to recommend that it be included in the transaction without any additional compensation.

York Major has now requested that the matter be deferred by Council to its meeting in December, 2001. A deferral will allow staff and representatives of York Major time to continue negotiations to resolve all issues respecting this new requirement.

Conclusions:

In order to provide sufficient time to resolve all issues respecting this land exchange, it is appropriate to defer this matter to the City Council meeting scheduled on December 4, 5 & 6, 2001. Toronto City Council 7 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

Contact:

Name: Mark Forbes Steve Whitter, Director Position: Appraiser/Negotiator Transfer, Processing & Disposal Operations Telephone: (416) 392-1166 (416) 392-4687 Fax: (416) 392-1880 (416) 392-4754 E-Mail: [email protected] [email protected] Report No.: Cc01-204

List of Attachments:

Schedule C - Site Map)

(A copy of Schedule “C”, referred to in the foregoing report, is one file in the office of the City Clerk.)

(City Council also had before it, during consideration of the foregoing Clause, the following joint report (November 29, 2001) from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services:

Subject:

To authorize an exchange of interests in land at the Keele Valley Landfill site.

Financial Implications and Impact Statement:

Revenue in the amount of $200,000.00 less closing costs and the usual adjustments is anticipated as a result of this land exchange.

Recommendations:

It is recommended that:

(1) authority be granted for the City to enter into an agreement with York Major Holdings Inc. (“York Major”) to effect an exchange of interests in land at the Keele Valley Landfill site on the terms outlined in the body of this report;

(2) the City Solicitor be authorized to complete the transaction on behalf of the City, including payment of any necessary expenses;

(3) Recommendation No. (2)(b)(i) of Clause 2 of Joint Policy and Finance and Works Committee Report No. 2, as adopted by Council at its meeting held on August 1, 2, 3, and 4, 2000, be amended to require the City of Vaughan to first enact a temporary zoning by-law to permit composting at the Avondale Facility to continue until December 31, 2003 instead of until May 31, 2004; and Toronto City Council 8 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

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

Background:

By its adoption of Clause 2 of Report No. 2 of the Joint Policy and Finance and Works Committee on August 1, 2, 3 and 4, 2000, Council authorized the City to request the Ministry of the Environment (MOE) to amend the Certificate of Approval for the Keele Valley Landfill site to move the compliance boundary of the landfill site from the south end of the secondary buffer lands at Major Mackenzie Drive to the south end of a modified primary buffer.

More recently, at its meeting held on October 16, 2001, the Administration Committee had before it a joint report dated October 11, 2001 from the Commissioner of Corporate Services and the Commissioner of Works and Emergency Services entitled “Exchange of Interests in Land – Portion of Keele Valley Landfill Site” seeking authority to continue negotiations with York Major Hodings Inc. ("York Major”) relating to an exchange of interests in land at the Keele Valley Landfill site and report on the outcome of the negotiations directly to Council at its meeting of November 6, 7 and 8, 2001. City Council at its meeting on November 6, 7 and 8, 2001 deferred the matter to the December 4, 5 and 6, 2001 Council meeting.

Comments:

Negotiations have continued respecting the exchange of interests in land at the Keele Valley Landfill site and York Major has agreed to the following terms:

(1) City of Toronto (the “City”) agrees to apply to the Ministry of the Environment (“MOE”) for an amendment to the Certificate of Approval (“C of A”) for the Keele Valley Landfill Site (“KVL”) to eliminate leachate re-circulation and to realign the secondary buffer for the KVL by moving the compliance boundary from the edge of the secondary buffer lands to the modified primary buffer as shown on the attached Schedule C (Schedule C to show entire perimeter of compliance boundary).

(2) York Major agrees to support the City’s application to the MOE described in section 1 hereof and York Major agrees that:

(a) any technical studies required in support of the City’s application shall be completed to the satisfaction of the City’s Commissioner of Works and Emergency Services (the “Commissioner”) at the cost of York Major;

(b) York Major shall be responsible for any costs associated with the processing of the City’s application, including costs associated with any necessary proceedings, including without limitation, those required under the Environmental Protection Act and/or the Environmental Assessment Act; and

(c) provided however that the maximum aggregate amount payable by York Major in respect of the costs referred to in subparagraphs (a) and (b) above shall be $125,000.00. Toronto City Council 9 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

(3) York Major agrees to convey Parts A and B as shown on attached Schedule C to the City, free and clear of all encumbrances.

(4) York Major agrees to grant the City permanent rights to discharge storm water from the KVL and primary buffer lands into Pond C as shown on Schedule C in accordance with the storm water management plan approved by the MOE for the KVL site as same may be amended from time to time. York Major, at its cost, must modify Pond C to meet the storm water management plan requirements of the C of A for the KVL.

(5) York Major agrees to extend the term of the existing easement and restrictive covenants in favour of the City, registered in the Land Registry Office for the Registry Division of York (No. 65) (the “Registry Office”) as Instrument No. 317046 (collectively the “Existing Easement”) over Parts E and H as shown on Schedule C, in perpetuity, subject to the following terms and conditions, provided same are approved by the MOE:

(a) the City agrees to take reasonable efforts to minimize damage and inconvenience to the Part E and Part H lands and the City agrees to take reasonable efforts to do all construction and remediation on the Part E lands during the “off season” of the golf course operation. Nevertheless, the City shall be entitled to carry out any work on the Part E and Part H lands at any time to comply with the C of A for the KVL and the requirements of the MOE;

(b) the City agrees to ensure that any new wells that it constructs are not located on any existing putting greens and/or tee boxes;

(c) the City shall only exercise its easement rights on the Part E and Part H lands in those areas which are not occupied by a building or structure, it being understood and agreed that prior to erecting or placing any buildings or structures on the Part E and Part H lands, York Major shall consult with and obtain the prior written approval of the Commissioner of the size and location of any such buildings or structures, which approval shall not be unreasonably withheld or delayed, provided that the Commissioner shall not object to any buildings and/or structures being erected or placed on the Part H lands so long as York Major maintains a 9 metre buffer around the perimeter of the Part H lands as shown on Schedule C on which no buildings and/or structures are erected or placed; and

(d) the City shall be responsible for restoring any land on which the City carries out any remediation measures to a condition as close as reasonably possible to its condition immediately preceding the entry by the City on the said land.

(6) York Major and the City acknowledge that subsection 1(3) of the Existing Easement stipulates that the Existing Easement shall expire on any lands with respect to which the MOE provides a written release, waiver or discharge with respect to any further requirements or continuing conditions pursuant to the C of A for the KVL. York Major and the City acknowledge that this clause will be triggered in respect of the lands shown as Part I on Schedule C if the MOE approves the City’s application to relocate the Toronto City Council 10 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

compliance boundary and releases the City from any further requirements or continuing conditions pertaining to the Part I lands.

(7) Subject to MOE approval, the City agrees to convey Part F as shown on Schedule C to York Major, free and clear of all encumbrances, save and except any existing easements in favour of Eastern Power Developers Corp. (“Eastern Power”) and subject to the reservation of an easement and the inclusion of restrictive covenants in favour of the City, on the same terms and conditions as the Existing Easement, as extended and amended in section 5 hereof.

(8) Subject to MOE approval, the City agrees to lease to York Major Parts B, D, G, J and K as shown on Schedule C, subject to any existing easements in favour of Eastern Power and subject to the reservation of an easement and the inclusion of restrictive covenants in favour of the City, on the same terms and conditions as the Existing Easement, as extended and amended in Section 5 hereof. The lease will be for a term of 99 years at a rental rate of One Dollar ($1.00) per annum and the leased lands shall be used for golf course purposes only and kept free of all buildings and structures, other than any buildings or structures for which York Major obtained the prior written approval of the Commissioner as to the size and location thereof, which approval shall not be unreasonably withheld or delayed. York Major will pay all realty taxes and any other costs required to maintain and operate the leased lands.

(9) The City agrees that it shall, at the cost and risk of York Major, raise or lower the existing monitoring wells on Parts B, D, E, F, G and J as shown on Schedule C as may be required to accommodate York Major’s golf course construction, subject to the monitoring wells being at all times in compliance with the grading plan approved for these lands by the Ministry of Natural Resources (“MNR”) and the MOE. In addition, the City will relocate wells as required by York Major for its golf course construction at the cost and risk of York Major only if approved by the MOE.

(10) York Major agrees that it shall, through the use of flags and fences, protect the monitoring wells on Parts B, D, E, F, G and J as shown on Schedule C during construction of the golf course and thereafter throughout the management and use of the said lands, all at the expense of York Major. Should York Major or those for whom York Major is in law responsible damage any of the City’s monitoring wells it shall forthwith repair them at the expense of York Major.

(11) York Major agrees to allow the City to use the appropriate vehicle to access the wells for monitoring, maintenance and remediation. In addition, York Major agrees to provide, at no cost to the City, a golf cart which can be used by the City from time to time at any time to permit the City to monitor, maintain and remediate the wells as required.

(12) York Major agrees to provide, at York Major’s cost, a protective setting for the monitoring wells, including without limitation, installing any protective equipment and/or materials which the Commissioner deems necessary or desirable to protect the monitoring wells from damage. In addition, York Major agrees to waive any rights to claim from the City any expenses it incurs in connection with York Major’s removal of Toronto City Council 11 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

abandoned monitoring wells which York Major may remove at its own cost. Should the City wish to abandon any further monitoring wells, the City shall do so at its expense, including the cost of remediating any such abandoned well sites.

(13) York Major agrees that prior to the closure of the KVL site, no new land uses on the lands that currently comprise the secondary buffer shall be permitted, including without limitation, occupancy of the portion of the Parks shown as Part I on Schedule C which currently comprise part of the secondary buffer, opening to the public of the golf course lands on Parts B, D, E, F, G, J and/or K or opening to the public of the commercial lands on Part H, other than such temporary land uses as may be permitted pursuant to Official Plan Amendment No. 535 of the Vaughan Planning Area, as amended and approved by the Region of York and City of Vaughan By-law No. 427-2000, provided that York Major has obtained the prior written approval of the Commissioner and the MOE for such uses.

(14) York Major agrees to pay, at its sole cost, all surveying costs, land transfer taxes and GST related to or arising from the transactions contemplated by this agreement on behalf of both itself and the City.

(15) York Major agrees to pay, at its sole cost, any and all costs and expenses which may be payable in order to obtain and register the releases and partial discharges referred to in section 18(f) and (g) hereof.

(16) The City agrees to prepare and submit to the MNR at York Major’s expense, a rehabilitation plan, consistent with York Major’s golf course plans, for any lands to be conveyed or leased to York Major by the City for which the MNR requires a rehabilitation plan.

(17) York Major shall release and fully indemnify and save harmless the City in relation to:

(a) any costs incurred by the City, directly or indirectly, as a result of the movement of the compliance boundary as contemplated hereunder and/or the new uses permitted on the lands currently comprising the secondary buffer;

(b) any claims or damages asserted in respect of any existing contamination of the lands currently comprising the secondary buffer;

(c) any impact on the stream water flow as a result of golf course irrigation in respect of which the City is deemed responsible by the MOE; and

(d) any claims generated as a result of activities carried out on lands that are currently included in the secondary buffer lands,

with such indemnification to be secured in a manner satisfactory to the Commissioner in a form satisfactory to the City Solicitor, which security may include but not be limited to such collateral agreements or registrations on title as considered appropriate for this purpose, which may include an easement, to the extent possible at law, that will operate as a warning clause and prevent persons who own and/or use lands that currently Toronto City Council 12 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

comprise part of the secondary buffer from bringing nuisance claims against the City in respect of the KVL, with such financial securities as liability insurance including the City as an additional insured and bonds as deemed necessary by the City’s Chief Financial Officer and Treasurer, and satisfactory to York Major, both acting reasonably.

(18) It is understood that the transactions contemplated in this letter are to be completed on May 1, 2002, provided and with the understanding that finalization of any conveyance/lease documents cannot be completed unless and until the following conditions precedent have been satisfied or in the case of the conditions set out in subparagraphs 18(f) and (g), waived by York Major:

(a) the MOE approves the City’s applications referred to in section 1 hereof and the proposed conveyances and lease contemplated herein, which approval is either given without conditions or if given with conditions, such conditions are satisfactory to the City Solicitor and the Commissioner in their sole and absolute discretion;

(b) the City of Vaughan (“Vaughan”) approves of the City’s proposed acquisition of land as contemplated herein, pursuant to section 208.3 of the Municipal Act, which approval is either given without conditions or if given with conditions, such conditions are satisfactory to the City Solicitor and the Commissioner in their sole and absolute discretion;

(c) Vaughan enacts a temporary zoning by-law, with all appeal periods having expired without an appeal having been taken, to permit composting at the Avondale Facility to continue until December 31, 2003;

(d) Official Plan Amendment No. 535 of the Vaughan Planning Area, as amended and approved by the Region of York and City of Vaughan By-law No. 427-2000 are still in full force and effect and all of the lands which currently comprise the secondary buffer are zoned as an “H” Holding zone, unless the City of Vaughan, with the approval of the MOE, lifts the “H” designation;

(e) Vaughan enters into an agreement with the City whereby Vaughan agrees to impose, where possible, on any planning application for approval by Vaughan in respect of the lands which currently comprise the secondary buffer, the inclusion on title of a warning clause with respect to the potential for nuisance impacts on the use and enjoyment of the secondary buffer lands that could result from time to time from any use of the Avondale Facility or any maintenance activities after cessation of waste disposal operations at the KVL.

(f) Eastern Power releases all of its right, title and interest in Parts B, D, F, G, J and K as shown on Schedule C, save and except any existing easement rights it may have, arising out of its agreement with the City, dated January 24, 1992 (the “Eastern Power Agreement”), notice of which is registered in the Registry Office as Instrument No. 643268. Toronto City Council 13 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2

(g) Eastern Power’s mortgagees, or any other party claiming any interest in Parts B, D, F, G, J and K as shown on Schedule C through or under Eastern Power, release and/or discharge, as the case may be, all of their right, title and interest in Parts B, D, F, G, J and K as shown on Schedule C, save and except in respect of any existing easement rights Eastern Power may have over these lands.

In the event that all of the above conditions have not been satisfied, or in the case of the conditions set out in subparagraphs 18(f) and (g), waived by York Major on or before April 1, 2002, then the closing date shall be extended until that date which is thirty (30) days following the date all of the above conditions have been satisfied or waived as aforesaid, as the case may be. In the event that York Major waives the conditions set out in subparagraphs 18(f) and (g), York Major agrees that York Major shall execute a commitment to be bound by and to continue to honour all of the obligations of the City under the Eastern Power Agreement and York Major shall provide Eastern Power with a certified copy of such commitment prior to closing, all in accordance with section 3 of the Eastern Power Agreement. The parties agree to pursue the satisfaction of the above conditions in good faith and in a diligent and expeditious manner.

(19) Following the closing of the transactions contemplated in this letter, the City shall permit York Major to use the sand fill (approximately 400,000 tonnes) situate on Parts D and F as shown on Schedule C for golf course construction. Should York Major wish to purchase the sand fill prior to closing, York Major shall obtain the prior written approval of the MOE to remove the sand fill from Parts D and F and redistribute it on the lands that currently comprise the secondary buffer and York Major shall enter into a separate agreement with the City to purchase the sand fill at a cost of One Dollar ($1.00) per tonne. Any payments made by York Major to the City under this separate agreement will be credited against the funds York Major is to pay the City on closing pursuant to section 20 hereof. Should the land transactions between York Major and the City contemplated in this letter not be completed, York Major will continue to purchase the sand fill under the separate agreement, if it so wishes, and all monies paid by York Major to the City for the purchase of sand fill will remain with the City.

(20) In addition to the various covenants, agreements and understandings contained in this agreement, York Major agrees to pay the sum of Two Hundred Thousand Dollars ($200,00.00) to the City, to be paid on the closing date of the transactions contemplated herein.

The foregoing results in an exchange of lands through conveyance and lease which facilitates the relocation of the secondary buffer to the limits of the realigned primary buffer, puts the City in control as owner of all of the primary buffer lands, secures the City’s rights in perpetuity over all of the lands the City must continue to monitor and provides York Major with the necessary interests to proceed with the development of its golf course which is supported by Vaughan.

The movement of the compliance boundary will result in potential savings as the City will not have to maintain the environmental requirements on the secondary buffer lands over the next 32 years. The elimination of the leachate recirculation program will result in savings for the construction of capital works associated with the program and savings in operating costs over a Toronto City Council 14 Administration Committee December 4, 5 and 6, 2001 Report No. 17, Clause No. 2 period of 19 years. The conveyance to the City of Parts A & B will allow the City to better manage the environmental requirements for the Keele Valley Landfill site. The rights to discharge storm water from the Keele Valley Landfill site into a pond (Part C) on their property will now secure the City these necessary rights in perpetuity as opposed to having to secure the rights and build a pond in 2033 when the City’s present easement rights on York Major lands expire. By supporting the development of the York Major golf course lands, the City has received favourable reaction from the City of Vaughan and its residents. As a result, at this time, Vaughan and its residents are generally supportive of the City’s application to the MOE to have the compliance boundary moved and the leachate recirculation program eliminated.

Accordingly, the Commissioners of Works and Emergency Services and Corporate Services are of the opinion that the City should proceed with the transaction with York Major on the basis of the general principles outlined in this report.

The authorization to request the MOE to move the compliance boundary of the Keele Valley Landfill Site, as noted above, was conditional on a number of items including Recommendation No. (2)(b)(i) of the report which requires that the City of Vaughan first enact a temporary zoning by-law to permit composting at the Avondale Facility to continue until May 31, 2004. Staff of Works and Emergency Services, through discussions with the City of Vaughan, have determined that an outside date of December 31, 2003, rather than May 31, 2004, is acceptable.

Conclusions:

Based on the considerations outlined in this report, it is appropriate to proceed with the proposed exchange of interests in the subject lands on the terms and conditions detailed herein.

Contact:

Name: Mark Forbes Steve Whitter, Director Position: Appraiser/Negotiator Transfer, Processing & Disposal Operations Telephone: (416) 392-1166 (416) 392-4687 Fax: (416) 392-1880 (416) 392-4754 E-Mail: [email protected] [email protected] Report No.: Cc01-180

List of Attachment:

Site Map)

(A copy of Schedule “C”, referred to in the foregoing report, is one file in the office of the City Clerk.)

______