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ENG 074-2015 Mining Lease Proposal for Area G Sumas Mountain

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ENG 074-2015 Mining Lease Proposal for Area G Sumas Mountain Se ~A COUNCIL REPORT ABBOTSFORD Report No. ENG 074-2015 EXECUTIVE COMMITTEE Date: October 13, 2015 File No: 4520-55 To: Mayor and Council From: Dave Loewen, Manager, Engineering Inspections & Permits Subject: Mining Lease Proposal for Area "G" (Sumas Mountain) RECOMMENDATIONS 1. THAT the Mayor write a letter to the Ministry of Energy & Mines & Responsible for Core Review outlining the City's opposition to the proposed mining lease application, and include a copy of Report No. ENG 074-2015; and 2. THAT the City of Abbotsford, Fraser Valley Regional District and Sumas First Nation continue to dialogue with the Ministry of Energy & Mines & Responsible for Core Review regarding this proposed application. SUMMARY OF THE ISSUE An application for a mining lease on lands adjacent to the City of Abbotsford may result in quarry development on the lands outlined as Area "G" (Sumas Mountain), affecting Abbotsford, residents, infrastructure, environment and land use. BACKGROUND The City received a referral notification from the Ministry of Energy & Mines & Responsible for Core Review (MEMRCR) dated August 11, 2015 (Attachment A), seeking comments or concerns related to potential impacts of a mining lease application on lands in Area "G" on Sumas Mountain, adjacent to the City of Abbotsford. This follows a referral received by the City from the Ministry of Forests, Lands, & Natural Resource Operations (MFLNRO) in 2011 for a quarry proposal on the same lands by the same applicant. At that time, Council's review of Report No. ENG 48-2011 resulted in the Mayor's letter dated June 23, 2011 (Attachment B), to the Minister of MFLNRO. This letter stated Council's opposition to the proposal at that time. Further to the 2011 correspondence, at Executive Committee on November 19, 2012, Council endorsed a letter authored by Sumas Mountain residents to Premier Christy Clark (Attachment C) after Council review of Report No. ENG 77-2012, which included a petition signed by Sumas Mountain residents indicating their opposition to the quarry proposal. Report No. ENG 074-2015 Page 2 of 3 An initial response from staff to the MEMRCR, dated October 1, 2015 (Attachment D) regarding the current application, was prepared by Engineering staff, informing them of our previous response to the MFLNRO. In addition, the correspondence indicated that staff will be reaffirming Council's position on the proposed application and forwarding its response as soon as possible. DISCUSSION The email correspondence from MEMRCR indicates that issuance of a mining lease does not confer the right to carry out any surface disturbing activities in the lease area, and that a separate referral would be carried out for any permit applications for proposed development activities. However, the information package provided indicates that a mining lease removes the limit on production of ore from a mineral claim, and it also indicates the presumption is that the lessee will be engaged in mine production. Despite the fact there may be further opportunity to engage in comment on further applications before actual mine production, staff recommends that Council takes this opportunity to review its positon from 2011 and 2012. Based on the anticipated effects of quarry development outlined in the 2011 correspondence, staff recommends that Council re-affirm its opposition to the proposal. City staff have contacted the Fraser Valley Regional District and they have advised that this application is in their referral process and that their Board would be providing its position on this matter. City staff also met with staff at the Sumas First Nation on October 9, 2015 to discuss the City's concerns with the proposed mining lease application. Sumas First Nation staff were not directly aware of the latest application and indicated they would be discussing it with their Council on October 19, 2015. They were aware of the 2011 application and expressed similar concerns. They will be providing comments to the Ministry of Mines and Energy as part of the referral process. FINANCIAL PLAN IMPLICATION There is no immediate impact to the City's financial plan; however: in the advent of future quarry development, the City will be unable to collect soil fees as the proposed lease area is not within City limits. In addition, road maintenance costs will increase due to the potential increase of truck traffic on Sumas Mountain Road. Date reviewed and approved by the Chief Financial Officer: October 13, 2015. IMPACTS ON COUNCIL POLICIES, STRATEGIC PLAN AND/OR COUNCIL DIRECTION While the proposed mining lease is situated outside of city boundaries, it is clear there are impacts regarding the strategic goals of the City. Fiscal - Economic - The City will not realize soil fee revenue from any future mining proposal, yet will be impacted by increased road maintenance costs. The existing quarries within the City of Abbotsford will provide enough rock to supply the region for the next 30 to 100 years. Report No. ENG 074-2015 Page 3 of 3 Environmental - As no environmental assessment was provided, the extent of impact on wildlife habitat both in the mining lease area and on the surrounding lands (including within City limits) is unknown at this time. Social - Community - Access to the neighbouring Regional Park and future development of the park will be affected as a result of the proposed mining lease. The extent of the impact will not be known until more detailed quarry development plans are made available. The proposal is in conflict with the City's Soil Removal Eligibility Area that incorporated an extensive · consultation process. SUBSTANTIATION OF RECOMMENDATION The application for a mining lease may result in quarry development on the subject lands which in turn would have negative effects on the City of Abbotsford, resulting in the further degradation of City roads, and yet unknown effects on the local environment, land use and neighbouring residents, both within City limits and surrounding lands. Peter Sparanese, P.Eng. General Manager, Engineering and Regional Utilities ATTACHMENTS Attachment "A" - Letter dated August 11 , 2015 from MEMRCR Attachment "B" - Letter dated June 23, 2011 to MFLNRO Attachment "C" - Letter dated October 24, 2012 to Premier Christy Clark Attachment "D" - Letter dated October 1, 2015 to MEMRCR Report No. ENG 074-2015 Attachment A From: Marshall, Rh onda MEM:EX <Rhonda .M [email protected]. ca > Sent: Tuesday, August 11, 2015 3:06 PM To: planning-info Subject: Mining lease appli ca tion 13880-02-632 Attachments: Lease Application.pdf; iMap version.pdf; Mining and Placer Leases Explained Jan 2015.pdf To Whom it May Concern, Re: Application for a Mining Lease, Event Number 5484130 Applicant: 266531 BC Ltd. Mineral Claims, Tenure Numbers 523888 and 1024042 I am writing regarding the above noted Application for a Mining Lease which has been received by the Office of the Chief Gold Commissioner. The mineral claims noted above have been included on the application for conversion to a mining lease. We are seeking your comments or concerns related to potential impacts this application may have from your agencies perspective. Information you provide will be considered when drafting terms and conditions for the mining lease indenture, or as possible exclusions from the proposed lease area. Please note that the issuance of a mining lease does not confer the right to carry out any surface-disturbing activities in the lease area. If a mining lease were to be issued, the Ministry will consider comments and/or concerns related to any subsequently proposed development activities within the lease area through a separate referral on any permit applications related to those proposed activities. Attached, please find the mining lease application, a map of the area of interest and an explanation of the administration of provincial mineral rights. The location of these claims is in the Chadsey Lake/Sumas Mountain Regional Park area in the Fraser Valley. I would appreciate receiving your comments by September 11, 2015. If I have sent this to the wrong person, please forward to the correct person and/or notify myself of the error. Please feel free to contact me at by email or at 604-660-2670 if you wish to discuss this application further. Thank you, 'Rfwncfa Jvlarsfia{{ Manager, Vancouver Mineral Titles Ministry of Energy and Mines 300-865 Hornby Street, Vancouver, BC V6Z 2G3 Phone: 604-660-2670 Fax: 604-660-2653 Mineral Titles: www.MineralTitles.gov.bc.ca Mineral Titles Email: [email protected] Mineral Titles - Toll Free: 1-866-616-4999 MTO Information: www.MineralTitles.qov.bc.ca/mto/Paqes/default.aspx MTO E-Service: www.mtonline.qov.bc.ca/ 1 Page 1 of 1 Mineral Titles Online Viewer Lease Application Event Detail Event Number ID 5484130 Comments Surveyed Area 0.00 Lot Number Land District Participating Tenures Tenure Number 523888 Tenure Type Mineral Tenure Subtype Claim Title Type MCX Claim Name/Property Issue Date 2005/DEC/14 Good To Date 2015/JUN/05 ............... -·-··-- .. ·- ····----·····"'·" ········-·· ·-··· Tenure Number 1024042 Tenure Type Mineral Tenure Subtype Claim Title Type MCX Claim Name/Property GOLDEN 6 Issue Date 2005/JUL/20 Good To Date 2015/JUN/05 -····- .......... ······ ··- ..... -····-·····-· --- Tenures Ownership Info Owner Client Number 212531 Owner Name 266531 BC LTD Owner Percentage 100.00 Owner Client Number 212531 Owner Name 266531 BC LTD Owner Percentage 100.0D Click~ to go back to the previous page Click here to go back to the tenure search page. Click~ to print this page. https://www .mtonline.gov .bc.ca/mtov/lappEventDetail.do ?eventID=5484130 2014-06-19 .... _,.· .. ~, BRITISH """ ~ -~ . ~ · ~COLUMBIA ...·· . .... ·· .... - ~ --- .- ··-· -.....,_ 'II D 266531 BC Ltd. Mining m: ~ '·=- .. .;.· 0 I --.-.- I\ .......... i; ... ,....,;,......, ""'t: ~ ;:.. .,'I> ... '.i;;;>ft~ Ft. L_Riparian Zones In GVRD .. .....-:.0-e.._ •• !:> ~<': L_Fraser River Lowlands Re .J\! i e°""' e-.-, 11'~ - Colour Filled ... L_GVRD Parks - Lower Mai1 ,..,.,--...,.
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