Attachment 1: Condition 11b Compliance Filing

TRANS MOUNTAIN EXPANSION PROJECT ABORIGINAL, LOCAL AND REGIONAL SKILLS AND BUSINESS CAPACITY INVENTORY NEB CONDITION 11B

May 2017

Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE OF CONCORDANCE Introduction to this Section As identified as a condition to the legal instruments that collectively approve the Trans Mountain Expansion Project, Condition 11b is applicable to legal instrument OC-064. This table identifies how this report addresses the requirements of Condition 11b as related to the applicable legal instrument(s), and where the requirements of this condition are addressed within the report.

OC-064 Condition 11b (CPCN) Aboriginal, local, and regional skills and business capacity inventory See below a) Trans Mountain must file with the NEB, at least 6 months prior to commencing construction, an Aboriginal, local, and regional skills and business capacity inventory for the Project. The skills and capacity inventory must include the following: a) i) A description of the information and data sources This Report Section 3.0 a) ii) A summary of Aboriginal, local, and regional skills and business capacity This Report Section 4.0 a) iii) An analysis of the Aboriginal, local and regional capacity for employment and business opportunities for the This Report Section 4.0 and 5.0 Project a) iv) Plans for communicating employment and business opportunities to Aboriginal, local, and regional communities This Report Section 7.0 a) v) A description of identified or potential skills and business capacity gaps, and any proposed measures to address This Report Section 5.0 and 6.0 them or to support or increase skills or capacity a) vi) Plans for communicating identified gaps regarding skills and business capacity with Aboriginal, local, and regional This Report Section 7.0 communities and businesses, and any proposed measures to support or increase skills or capacity. b) Trans Mountain must file with the NEB, at least 3 months prior to commencing construction, any updates to the Per above elements of the inventory described in a) i) through vi).

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE OF CONTENTS Page 1.0 INTRODUCTION ...... 1 1.1 Project Description ...... 1 1.2 About This Document...... 1 1.3 Context and Approach ...... 3 1.3.1 Aboriginal, Local and Regional – Definitions ...... 3 2.0 PROJECT REQUIREMENTS ...... 9 2.1 Occupational Requirements ...... 9 2.2 Contracting Requirements ...... 12 3.0 INFORMATION AND DATA SOURCES ...... 14 3.1 Labour Force Skills Capacity Inventory ...... 14 3.2 Labour Force Data Context ...... 15 3.3 Availability of Labour Force Statistical Data ...... 15 3.4 Occupational Requirements Researched ...... 16 3.5 Online Labour Force Data Collection ...... 16 3.6 Business Capacity Inventory ...... 16 3.7 Business Capacity Data Context ...... 16 3.8 Online Business Capacity Data Collection ...... 16 4.0 LABOUR FORCE AND BUSINESS CAPACITY OVERVIEW ...... 17 4.1 Labour Force Capacity Overview ...... 17 4.1.1 Local, Regional and Aboriginal Labour Force Data ...... 17 4.1.2 Aboriginal Community-specific Data ...... 27 4.1.3 Employment Opportunity Monitoring Indicators ...... 30 4.2 Business Capacity Overview ...... 31 4.2.1 Business Opportunity Monitoring Indicators ...... 34 5.0 SKILL AND BUSINESS CAPACITY GAP ANALYSIS ...... 36 5.1 Skills Gap Analysis...... 36 5.2 Business Gap Analysis ...... 36 6.0 EMPLOYMENT AND BUSINESS OPPORTUNITY ENHANCEMENT MEASURES...... 37 6.1 Employment Opportunity Enhancement Measures ...... 37 6.2 Business Opportunity Enhancement Measures ...... 39 7.0 COMMUNICATING OPPORTUNITIES AND GAPS ...... 40 7.1 Communication and Engagement Activities – May 2012 to June 30, 2015 ...... 40 7.2 Communication and Engagement Activities – July 1, 2015 to April 30, 2017 ...... 41 7.2.1 Employment Events ...... 41 7.3 Communication and Engagement Activities - Ongoing ...... 44 7.3.1 Trans Mountain Responsibilities ...... 44 7.3.2 Newsletters/eNewsletters ...... 47 7.3.3 Brochure ...... 47 7.3.4 Postcard ...... 48 7.3.5 Economic Benefits Flyer ...... 49 7.4 Contractor Responsibilities ...... 49 8.0 REPORTING ...... 51 9.0 REFERENCES ...... 52

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

LIST OF APPENDICES Appendix A Kinder Morgan Canada Aboriginal Procurement Policy ...... A-1 Appendix B Trans Mountain Expansion Project Employment Policy ...... B-1 Appendix C Trans Mountain Expansion Project Training Policy for Aboriginal Peoples ...... C-1 Appendix D Trans Mountain Employment and Training Programnational Energy Board Monitoring and Reporting Indicators Flow Chart ...... D-1

LIST OF FIGURES Figure 1 Overview of TMEP Socio-Economic Effects Monitoring Documents ...... 2 Figure 2 Total Number of Quarterly Registrants in TMEP Employment and Skills Registry ...... 23 Figure 3 Total Number of Quarterly Registrants on TMEP Procurement Registry ...... 32

LIST OF TABLES Table 1 Definitions of Aboriginal, Local and Regional ...... 3 Table 2 Aboriginal Communities Located in the Edmonton to Alberta (AB)/BC Border Region ...... 4 Table 3 Aboriginal Communities Located in the AB/BC Border to Kamloops Region ...... 4 Table 4 Aboriginal Communities Located in the Kamloops to Hope Region ...... 5 Table 5 Aboriginal Communities Located in the Hope to Burnaby Terminal/Burrard Inlet Region ...... 5 Table 6 Aboriginal Communities Located in the Marine Corridor ...... 6 Table 7 Aboriginal Groups – Non-Boundary-Specific ...... 6 Table 8 Aboriginal Associations, Councils and Tribes ...... 6 Table 9 TMEP Local Communities ...... 7 Table 10 TMEP Regional Communities ...... 7 Table 11 Occupational Requirements ...... 9 Table 12 Estimated Contractor Crew Size for Terminal Expansions, by Terminal ...... 11 Table 13 Estimated Contractor Crew Size for Pump Stations ...... 11 Table 14 Estimated Contractor Crew Size for Each Pipeline Spread ...... 12 Table 15 Contracting Requirements ...... 12 Table 16 Summary of 2011 NHS Employment Data in TMEP Local Communities (AB) ...... 19 Table 17 Summary of 2011 NHS Employment Data in TMEP Local Communities (BC) ...... 20 Table 18 Summary of 2011 NHS Employment Data in TMEP Regional Communities Totalled by Province...... 22 Table 19 Summary of TMEP Employment and Skills Registry by Aboriginal Status and Province ...... 23 Table 20 Summary of TMEP Employment and Skills Registry by Aboriginal Status, Province, and Job Category ...... 23 Table 21 Summary of Safety Certification as Compared to Interest in Select Job Categories in TMEP Employment and Skills Registry ...... 26 Table 22 Aboriginal Communities - Data Received for Inclusion in Workforce Analysis ...... 29 Table 23 Summary of Skilled and Unskilled, Interested Members of Aboriginal Communities by Job Category ...... 29 Table 24 Employment Opportunity Monitoring Indicators ...... 30 Table 25 Total Non-Aboriginal Businesses Registered on TMEP Procurement Registry ...... 32 Table 26 Total Aboriginal Businesses Registered on TMEP Procurement Registry ...... 32 Table 27 Summary of Number of Self-Identifying Businesses for Performing Contracting Opportunties on the Project, Registered on the TMEP Procurement Registry ...... 33 Table 28 Business Opportunity Monitoring Indicators ...... 35 Table 29 Training Program for Aboriginal Peoples – Completed Programs ...... 37 Table 30 Training Program for Aboriginal Peoples – Planned and Proposed Programs, Programs Currently Underway ...... 38

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Table 31 Trans Montain Communication Phases: Employment and Business Opportunities ...... 44

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

DEFINITIONS AND ACRONYM LIST

Definition/Acronym Full Name AB Alberta Aboriginal groups Aboriginal communities, associations, councils and tribes the Application Facilities Application ASETS Aboriginal Skills Employment and Training Strategy ATV all-terrain vehicle BC British Columbia CPCN Certificate of Public Convenience and Necessity CSTS Construction Safety Training System IR Indian Reserve KMC Kinder Morgan Canada Inc. NEB National Energy Board NHS National Household Survey NOC National Occupational Classification NVIT Nicola Valley Institute of Technology PCST Pipeline Construction Safety Training Socio-economic RSA Socio-economic Regional Study Area Inventory the Aboriginal, local and regional skills and business capacity inventory Project Trans Mountain Expansion Project TDG Transportation of Dangerous Goods TMEP Trans Mountain Expansion Project TMPL Trans Mountain Pipeline TRU Thompson Rivers University WHMIS Workplace Hazardous Materials Information System

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

1.0 INTRODUCTION Trans Mountain Pipeline ULC (Trans Mountain) submitted a Facilities Application (the Application) to the National Energy Board (NEB) in December 2013 for the Trans Mountain Expansion Project (Project or TMEP). On November 29, 2016, the Governor in Council concluded the Project was in the public interest of Canada. A Certificate of Public Convenience and Necessity (CPCN) allowing the Project to proceed, subject to 157 conditions was issued on December 1, 2016. The Aboriginal, Local and Regional Skills and Business Capacity Inventory (the Inventory) was filed February 16, 2017to meet the requirements of NEB Condition 11a. Updates to certain elements of the Inventory, pursuant to Condition 11b, are described in this filing.

1.1 Project Description Trans Mountain filed its Application with the NEB in December 2013. In developing its Application, Trans Mountain commenced a program of extensive discussions with landowners, engagement with Aboriginal groups, and consultation with affected stakeholders. This program was intended to gather input from these groups into the Application and supporting Environmental and Socio-economic Assessment (ESA), and to continue to assist Trans Mountain in the design and execution of the Project. Trans Mountain is also working with Appropriate Government Authorities to carry out the necessary reviews, studies and assessments required for the Project.

1.2 About This Document This document is intended to meet the requirements set out in NEB Condition 11b as described in the Table of Concordance.

Trans Mountain is committed to maximizing Project-related employment and business opportunities for Aboriginal, local and regional groups along the pipeline corridor system. The overall purpose of this document is to present a summary of the Inventory collected to date, which reflects Trans Mountain’s current and evolving understanding of the labour force and business capacity to participate in the Project.

Trans Mountain recognizes Aboriginal groups may face additional barriers to accessing training, employment and procurement opportunities. As such, Trans Mountain will provide Aboriginal groups with a higher level of training support as well as enhanced access to employment and procurement opportunities. Similarly, local residents who will experience construction impacts will be given a higher priority for accessing training, employment and procurement opportunities, and regional residents will be given a higher priority over residents located outside the Socio-economic Regional Study Area (Socio-economic RSA).

Information and processes outlined in this document will be used by Trans Mountain and its Contractors to enhance employment and contracting/bid opportunities available to Aboriginal, local and regional workers and businesses with interests and capability in participating in Project construction. Information and processes will also be used as the underpinning of the Aboriginal, Local and Regional Employment and Business Opportunities Monitoring Reports, which will be developed and submitted in compliance with NEB Condition 107.

Additionally, the Inventory informs Trans Mountain’s approach to training and education and the development of the Training and Education Monitoring Plan in compliance with NEB Condition 12.

The following are five (5) objectives of the Inventory:

1. Provide an overview of Aboriginal, local and regional labour force skill capacity, focusing on the identified Socio-economic RSA. 2. Provide an overview of Aboriginal, local and regional business capacity, focusing on the identified Socio-economic RSA. 3. Provide a summary analysis of the Aboriginal, local and regional capacity for business and employment opportunities in relation to the Project, in the context of the direct labour force and contracting needs of the Project.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

4. Outline Trans Mountain’s proposed measures to address capacity gaps and/or support or increase skills or business capacity. 5. Outline Trans Mountain’s plans for communicating capacity gaps and measures to address capacity gaps with Aboriginal, local and regional communities and businesses.

The Inventory is one of several documents that outline and inform Trans Mountain’s overall approach to addressing, monitoring and reporting on socio-economic effects and opportunities associated with the Project. Other relevant socio-economic documents that should be read in conjunction with this document include the following:

• NEB Condition 12 - Training and Education Monitoring Plan A81759;

• NEB Condition 13 - Socio-Economic Effects Monitoring Plan A81754;

• NEB Condition 58 - Training and Education Monitoring Reports (to be filed concurrently with this filing); and

• NEB Condition 107 - Aboriginal, Local and Regional Employment and Business Opportunities Monitoring Reports (to be filed 3 months after commencing construction).

The relationship between these socio-economic effects documents is outlined in Figure 1.

Figure 1 Overview of TMEP Socio-Economic Effects Monitoring Documents

Aboriginal, Local and Regional Skills and Business Capacity Inventory (NEB Condition 11) (This Document)

Training and Education Socio-Economic Effects Monitoring Plan Monitoring Plan (NEB Condition 12) (NEB Condition 13)

Aboriginal, Local and Regional Training and Education Employment and Business Monitoring Reports Opportunity Monitoring Reports (NEB Condition 58) (NEB Condition 107)

Monitoring and Reporting of Project-Related Socio-Economic Effects and Opportunities

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

1.3 Context and Approach Trans Mountain’s approach to collecting skill and business capacity data is pragmatic and focused. It builds from the general labour force and industry data presented on a community and regional basis in the Project Application, and focuses on the occupational and contracting requirements for the Project during construction.

Trans Mountain is particularly focused on capacity information provided by interested workers and businesses, as identified through Trans Mountain’s online registration portals and collection processes. When available, published third party and government data provide helpful context. Trans Mountain believes Project-specific databases are the best mechanism to gauge the level of interest and capacity to participate in Project opportunities in the context of a dynamic labour market where statistical/published data may lag behind changing conditions and where detailed data from other sources may not be available for the particular communities and regions likely to interact with the Project.

1.3.1 Aboriginal, Local and Regional – Definitions Trans Mountain uses the definitions of “Aboriginal”, “local”, and “regional” as outlined in Table 2. Additionally, Trans Mountain aims to maximize opportunities within the Provinces of British Columbia (BC) and Alberta.

TABLE 1

DEFINITIONS OF ABORIGINAL, LOCAL AND REGIONAL

Term Definition Aboriginal Aboriginal Peoples who have self-identified as such. Aboriginal groups that have been identified as potentially affected by or as having interests in the Project. Aboriginal groups having an Indian Reserve (IR) or traditional territories crossed by the Project Footprint and in the Socio-economic RSA. A list of Aboriginal groups engaged with the Project is provided in Tables 3 - 8. Aboriginal business A business that is owned at least 51 percent by an Aboriginal group or Aboriginal person(s), as per the definition of “Aboriginal” above. Local Municipalities, counties, cities or regional districts crossed by the Project Footprint. The Footprint of the Project is defined as the area directly disturbed by surveying, construction and clean-up of the pipeline and associated physical works and activities (including, where appropriate, the permanent right-of-way, pump stations, terminals, Westridge Marine Terminal, temporary construction workspace, temporary stockpile sites, temporary staging sites, camps, access routes and power lines). A list of TMEP communities considered “local” is provided in Table 9. For employment purposes, local means a person’s home address is in a Project Footprint (“local”) community. For procurement purposes, local means the business has an office in a Project Footprint community. Regional Municipalities, counties or regional districts not crossed by the Project Footprint, however are within the Socio- economic RSA as defined in the Facilities Application (see Section 5.0 of Volume 5B, Filing IDs A3S1R7, A3S1R7, A3S1R9), and thus could be a source of labour or services within reasonable commuting distance from the Project. A list of TMEP communities and areas considered “regional” is provided in Table 10. For employment purposes, this means a person’s home address is in a “regional” community or area. For procurement purposes, this means the business has an office in a “regional” community or area. Other Municipalities, counties, regional districts or other communities located outside of the Socio-economic RSA.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 2

ABORIGINAL COMMUNITIES LOCATED IN THE EDMONTON TO ALBERTA (AB)/BC BORDER REGION Alexander First Nation Alexis Nakota Sioux Nation Aseniwuche Winewak Nation of Canada Asini Wachi Nehiyawak Traditional Band Enoch Cree Nation Ermineskin Cree Nation Foothills Ojibway Society Horse Lake First Nation Louis Bull Tribe Métis Nation of Alberta Gunn Métis Local 55 Métis Regional Council Zone IV of the Métis Nation of Alberta Michel First Nation Montana First Nation Nakcowinewak Nation of Canada O’Chiese First Nation Paul First Nation Saddle Lake Cree Nation Samson Cree Nation Stoney Nakoda First Nation Sturgeon Lake Cree Nation Sucker Creek First Nation Sunchild First Nation Tsuu T’ina First Nation Whitefish (Goodfish) Lake First Nation

TABLE 3

ABORIGINAL COMMUNITIES LOCATED IN THE AB/BC BORDER TO KAMLOOPS REGION Adams Lake Indian Band Ashcroft Indian Band Canim Lake Band (Tsq’escen’) Kelly Lake Cree Nation Kelly Lake First Nation Kelly Lake Métis Settlement Society Ktunaxa Nation Little Shuswap Lake Indian Band Lheidli T’enneh First Nation Lhtako Dene Nation Llenlleney’ten First Nation (High Bar) Neskonlith Indian Band Oregon Jack Creek Band Shuswap Indian Band Simpcw First Nation Skeetchestn Indian Band Splatsin First Nation Sts’wecem’c Xgat’tem (Canoe Creek/Dog Creek) Tk’emlups te Secwepemc (Kamloops Indian Band) Toosey Indian Band Whispering Pines/Clinton Band Williams Lake (T'exelc) Band Xat’sull First Nation (Soda Creek)

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 4

ABORIGINAL COMMUNITIES LOCATED IN THE KAMLOOPS TO HOPE REGION

Boothroyd Band Boston Bar Indian Band Coldwater Indian Band Cook’s Ferry Indian Band Kanaka Bar Indian Band Lower Nicola Band Lower Similkameen Indian Band Lytton First Nation Nicomen Indian Band Nooaitch Indian Band Okanagan Indian Band Penticton Indian Band Shackan Indian Band Siska Indian Band Skuppah Indian Band Spuzzum First Nation St'uxwtews (Bonaparte Indian Band) Upper Nicola Band Upper Similkameen Indian Band

TABLE 5

ABORIGINAL COMMUNITIES LOCATED IN THE HOPE TO BURNABY TERMINAL/BURRARD INLET REGION

Aitchelitz First Nation Chawathil First Nation Cheam First Nation Chehalis Indian Band (Sts'ailes) Katzie First Nation Kwantlen First Nation Kwaw-kwaw-aplit First Nation Kwikwetlem First Nation Leq’a:mel First Nation Matsqui First Nation Musqueam Indian Band Peters Band Popkum First Nation Qayqayt First Nation (New Westminster) Scowlitz First Nation Seabird Island Band Semiahmoo First Nation Shxw’ow'hamel First Nation Shxwha:y Village Skawahlook First Nation Skowkale First Nation Skwah First Nation Soowahlie Indian Band Squamish Nation Squiala First Nation Sumas First Nation Ts’kwaylaxw (Pavillion Indian Band)

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 5 Cont’d

Tsawwassen First Nation Tsleil-Waututh Nation Tzeachten First Nation Union Bar Indian Band Yakweakwioose Band Yale First Nation

TABLE 6

ABORIGINAL COMMUNITIES LOCATED IN THE MARINE CORRIDOR

Cowichan Tribes Ditidaht First Nation Esquimalt Nation Halalt First Nation Huu-ay-aht First Nation Hwlitsum First Nation Lake Cowichan First Nation Lyackson First Nation Malahat First Nation Pacheedaht First Nation Pauquachin First Nation Penelakut First Nation Scia'new Indian Band (Beecher Bay) Sechelt Indian Band Snaw-Naw-As Nation (Nanoose) Snuneymuxw First Nation Songhees Nation Stz'uminus First Nation (Chemainus) T'Sou-ke First Nation Tsartlip First Nation Tsawout First Nation Tseycum First Nation

TABLE 7

ABORIGINAL GROUPS – NON-BOUNDARY-SPECIFIC

British Columbia Métis Federation Métis Nation of British Columbia

TABLE 8

ABORIGINAL ASSOCIATIONS, COUNCILS AND TRIBES

Cowichan Nation Alliance Maa Nulth First Nations Nicola Tribal Association Nuu-chah-nulth Tribal Council Okanagan Nation Alliance Sencot'en Alliance Shuswap Nation Tribal Council St’at’imc Chiefs Councils Stk’emlupsemc te Secwepemc Nation

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 8 Cont’d

Ts’elxweyeqw Tribes Management Limited Tsilhoqot’n National Government

TABLE 9

TMEP LOCAL COMMUNITIES

AB BC • Strathcona County • Fraser-Fort George Regional District, Area H • City of Edmonton • Village of Valemount2 • City of Spruce Grove • Thompson Nicola Regional District, Electoral Areas B, A, O, P, J, M, N • Parkland County • District of Clearwater • Town of Stony Plain • City of Kamloops • Village of Wabamun • City of Merritt • Yellowhead County • Fraser Valley Regional District, Electoral Areas B, D, E • Town of Edson • District of Hope • Town of Hinton • City of Chilliwack • Municipality of Jasper1 • City of Abbotsford • Township of Langley • City of Surrey • City of Coquitlam • City of Burnaby 1. Work will be performed on the Jasper Pump Station in the Municipality of Jasper. 2. Village of Valemount is not crossed by the pipeline corridor, however is in close proximity and is a proposed location for staging, worker accommodation, etc.

TABLE 10

TMEP REGIONAL COMMUNITIES

AB BC • City of Fort Saskatchewan • Village of McBride • Village of Spring Lake • Thompson-Nicola Regional District, Electoral Area L • Summer Village of Betula Beach • District of Barriere • Summer Village of Kapasiwin • Municipality of Sun Peaks • Summer Village of Lakeview • Village of Chase • Summer Village of Point Alison • District of Logan Lake • Summer Village of Seba Beach • Regional District of Okanagan-Similkameen, Electoral Area H • Lac Ste. Anne County • Town of Princeton • Town of Mayerthorpe • Fraser Valley Regional District, Electoral Area G, • Town of Onoway • District of Kent • Village of Alberta Beach • Village of Harrison Hot Springs • Summer Village of Birch Cove • District of Mission • Summer Village of Castle Island • Metro Vancouver, Electoral Area A • Summer Village of Nakamun Park • District of Maple Ridge • Summer Village of Ross Haven • City of Langley • Summer Village of Silver Sands • City of Pitt Meadows • Summer Village of South View • City of White Rock • Summer Village of Sunrise Beach • City of Port Coquitlam • Summer Village of Sunset Point • City of New Westminster

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 10 Cont’d

• Summer Village of Val Quentin • Corporation of Delta • Summer Village of West Cove • City of Richmond • Summer Village of Yellowstone • City of Port Moody • Sturgeon County • Village of Anmore • Town of Morinville • Village of Belcarra • Town of Bon Accord • District of North Vancouver • Town of Gibbons • City of Vancouver • Town of Legal • City of North Vancouver • Town of Redwater • District of West Vancouver • City of St. Albert • Village of Lions Bay • Brazeau County • Bowen Island, Island Municipality • Town of Drayton Valley • Village of Breton • Leduc County • City of Leduc • Town of Beaumont • Town of Calmar • Town of Devon • Village of Thorsby • Village of Warburg • Summer Village of Golden Days • Summer Village of Itaska Beach • Summer Village of Sundance Beach • Improvement District No. 12 (Jasper National Park)

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

2.0 PROJECT REQUIREMENTS An understanding of Project need is required in order to identify the capacity of Aboriginal, local, and regional communities to participate in the Project. This section provides an overview of the estimated occupational labour force and contracting requirements for the construction of the Project.

2.1 Occupational Requirements A wide array of skilled and semi-skilled workers and trade specializations will be required during construction, as outlined in Table 11 by category, occupation and National Occupation Classification (NOC) code.

The majority of these workers will be hired by Trans Mountain’s Contractors and subcontractors, under the direction of Trans Mountain. A determination of the exact requirements for occupational requirements by Contractors and subcontractors will be defined as construction planning continues.

TABLE 11

OCCUPATIONAL REQUIREMENTS

Occupational Category Occupation NOC Code Semi-Skilled Workers General Labourers/Pipeliners 7611 Swampers 7611 Oilers 7612 Survey Helpers 7612 Measurement 7611 Sandblasters 9612 Pipeline Labourers 7611 Trades Helpers 7611 Specialized Labourers 7612 Traffic Controllers 7611 Fire Watch Labourers 7611 Painters/Coaters 7294 Truck Drivers Flat Deck/Lowbed Operators; Water Truck, Parts Truck and Gravel Truck 7511 Drivers Bus Drivers 7511 Fuel Truck and Lube Truck Operators 7511 Hydrovac Truck Operators 7511 Picker Truck Operators 7371/8241 Heavy Equipment Operators Bulldozer Operators 7521 Tackhoe Operators 7521 Grader Operators 7521 Feller Bunchers 7521 Bending Machine Operators 7521 Side-Boom Operators 7371 Piledrivers 7521 Crane Operators 7371 Trades Carpenters 7271 Plumbers/Gasfitters 7251 Heavy-Duty Mechanics 7321 Pipefitters 7252 Welders 7237 Boilermakers 7234 Electricians 7242 Instrumentation Technicians 2243 Structural Steel Erectors 7236 Millwrights 7311 Insulators 7293 Sheet Metal Workers 7233

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 11 Cont’d

Occupational Category Occupation NOC Code Administrative and Accounting Payroll Clerks 1432 Purchasing Agents 1524 Materials Co-ordinators 1521 Clerks/Administrative Supporters 1241/1411 Field Office Administrators 1221 Field Cost Controllers 1111 Field Contract Administrators 1225 Camp Support Camp Managers 0632 Cook/Kitchen Managers 6321 Cook’s Helpers 6711 Camp Attendants 6721 Construction Management Project Managers 0711 Construction Managers 0711 Superintendents 0711 Assistant Superintendents 0711 Technical and Project Support Supervisors 0211 Foremen 0711 Engineers and Engineering Technologists Civil Engineers 2131 Electrical/Instrumentation Engineers 2133 Mechanical Engineers 2132 Process Engineers 2134 Field Engineers 2131 Drafting Technologists and Technicians 2253 Civil Engineering Technologists 2231 Electrical/Instrumentation Engineering Technologists 2241 Mechanical Engineering Technologists 2232 Surveyors 2154 Technical Inspectors Chief Inspectors 2264 Technical Inspectors (Groundwork Disturbance, Pigging and Hydrotest, 2264/2261 Senior Welding, Pipeline, Craft) Environmental and Safety Compliance Environmental Compliance Managers 4161 Permits and Approvals Managers 4161 Environmental Inspectors 2263 Environmental Aboriginal Monitors 2263 Safety Coordinators 2263 Safety Inspectors 2263/2264 Security Officers 6541 Emergency Medical Responders 3234

The following tables outline the Contractor occupational requirements anticipated as associated with the various Project components based on construction estimates developed in Q1 2014. At peak, it is estimated Contractors will employ 4,500 people, and Trans Mountain will employ 400-500 people. Requirements will be refined as construction planning continues throughout 2017.Table 12 outlines the estimated contractor crew size for each of the terminal expansions by occupation type.

• Table 13 outlines the estimated contractor crew size for the pump station expansions by occupational type.

• Table 14 outlines the estimated contractor crew for an average pipeline spread, noting that some spreads for the Project will be larger and some will be smaller than average.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 12

ESTIMATED CONTRACTOR CREW SIZE FOR TERMINAL EXPANSIONS, BY TERMINAL

Edmonton Westridge Marine Occupation Terminal Burnaby Terminal Sumas Terminal Terminal Construction/Project Managers 2 3 1 2 Contractor Superintendents 7 10 3 8 Management and Field Office Support 23 37 6-8 20-22 Labourers 12 70 20 55-70 Equipment Operators/Crane Operators 30 45 8-10 25-30 Security 3 4 1 4 Safety 9 12 3 10-15 Inspection 12 18 3 10-15 Survey 8 12 2 12-14 Hydro Vac 32 40 4 20 Electricians 18 30 6 30-40 Boilermakers/Welders 40 100-120 10 20-30 Foremen (all trades) 18 25 4-6 25-30 Coating Contractors 30 50 10 7-10 Welding Supervisors 6 12 2 -- Pipefitters 12 25 4 20 Pipe Welders 15 30 2-4 -- Carpenters 5-10 7-15 2-4 15-25 Quality Assurance/Quality Control 7 10 2-3 7-10 Pile Drivers ------3-5 Deck Engineers ------6-10 Iron Workers/Steel Erectors ------20 Rebar Erectors ------10-15 Mechanics ------3-5 Drivers and other Operators ------8-15

TABLE 13

ESTIMATED CONTRACTOR CREW SIZE FOR PUMP STATIONS

Occupation Pump Station Crew Construction Manager 0.3 General Contractor Superintendent 0.3 Chief Inspector 0.3 Resident Inspector 1 Site preparation – earthwork 6 Millwrights (equipment setting) 2 Building Erectors 4 Environment Inspector (roaming) 0.3 Welders 3 Pipefitters 3 Electricians 6 Carpenters 6 Safety Inspector (roaming) 0.3 Crane Operators 1 Painters/Coaters 2 Foremen 4 Mechanical Inspector (part time) 0.3 Labourers 6

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 14

ESTIMATED CONTRACTOR CREW SIZE FOR EACH PIPELINE SPREAD

Occupation Spread Crew Management 5 Professional Staff 6 Inspection (Lead, Junior, Aboriginal Monitors) 7 Accounting/Administration 18 Sandblaster 5 Foreman 40 Security 2 Welder* 40 Welder Helper 40 Bucker 1-2 Carpenter (Journeyman not required) 5 Equipment Operator* 105 Labourer 130 Drivers 28 Note: * Requires a red seal or journeyperson ticket.

2.2 Contracting Requirements Sourcing of goods and services on the Project are anticipated to be substantial. The procurement of goods and services for the construction of the Project will be largely conducted through Contractors hired directly by the Project. Trans Mountain and the selected Contractors will work closely to identify the existing business capacities that reside within the Aboriginal, local and regional communities located along the Project corridor. Trans Mountain and the selected Contractors will work closely throughout the Project to identify any potential business capacity gaps within the Aboriginal, local and regional communities’ businesses and to create and implement any proposed measures to support or increase their capacity where reasonably possible. Trans Mountain and the selected Contractors will work together to maximize contract opportunities within the Aboriginal, local and regional communities where commercially reasonable.

The anticipated types of direct and subcontracting opportunities related to the construction of the Project are detailed in Table 15.

TABLE 15

CONTRACTING REQUIREMENTS

Contractor Services Professional Services Materials/Equipment Support Services Blasting Communications Boats Accommodations Cathodic Protection Design Bridges Aerial Services Concrete Work Emergency Response Compaction All-terrain Vehicles (ATVs)/Snowmobiles Construction (Facility) Engineering Services Cranes Catering Food/Services Construction (Pipeline) Environmental Services Earthmoving/excavation Fencing Crane Operations Equipment Certification Electrical Fire Control/Protection Dock Work Inspection Services Equipment Rental First Aid Services Dredging IT System Work Heavy Equipment Hauling (delivery & pick-up) Drilling Laboratories & Research HVAC Industrial Camps Electrical & Instrumentation Marine Consulting Hydro-testing Janitorial/Sanitary Services Erosion Control Non-destructive Testing Instrumentation & Controls Laundry Services Excavation Project Management Loading Equipment Mowing & Ground Care/ROW Maintenance Foundation Work Specialized Services Mats On-Site Machine Shop Work

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TABLE 15 Cont’d

Grading Surveying Main Control Panels Personnel Transportation Hot Tapping X-ray materials/equipment Metering skids/provers Postal/Delivery Service Hydrovac Modular Buildings Recruiting & Staffing Line Locating Motors Road Dust Control Marine Diving Pipe Safety Services Painting Pumps Security Services Pile Driving Specialized Tools Signage Pipe Bending Switchgear Snow Plowing Pipe Coating Transformers Steam or Pressure Cleaning Reclamation/Remediation Valves & Fittings Thawing Services ROW Clearing Variable Frequency Drives Towing & Vehicle Repair Roadwork Traffic Control Sandblasting Transportation Services Scaffolding Waste Management Services Steel Erection Water Transportation Tank Coating Tank Erection Tree Fallers Welding

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

3.0 INFORMATION AND DATA SOURCES 3.1 Labour Force Skills Capacity Inventory Trans Mountain has completed desktop research and used available historical contracting information to inform its understanding of the capacity for Project participation by Aboriginal, local and regional community members. In addition, Trans Mountain has undertaken initiatives to develop pragmatic, real- time labour force skills capacity inventory collection processes that will support the Project workforce loading process and the realization of maximizing opportunities for Aboriginal, local and regional people.

Aboriginal Data Sources:

• Employment/unemployment rates for municipalities and IRs from the monthly Labour Force Survey, conducted by Statistics Canada.

• Primary data collected via direct engagement with Aboriginal communities.

• Primary qualitative data about current employment trends collected from consultation with employment offices in local communities.

• Primary data via the TMEP Employment and Skills Registry.

Local Data Sources:

• Employment/unemployment rates for municipalities from the monthly Labour Force Survey, conducted by Statistics Canada.

• Experienced Labour Force Aged 15 Years and Over in Private Households by Sex (3), Age Groups (13), Aboriginal Identity (3), and Occupation - NOC 2011 (691), for the Census Divisions and Subdivisions, 2011 National Household Survey (NHS) (for each census sub-division identified as a TMEP local community, listed in Table 10), from Statistics Canada.

• Primary qualitative data about current employment trends collected from consultation with employment offices in local communities for their service areas.

• Primary data via the TMEP Employment and Skills Registry.

Regional Data Sources:

• Employment/unemployment rates for municipalities from the monthly Labour Force Survey, conducted by Statistics Canada.

• Experienced Labour Force Aged 15 Years and Over in Private Households by Sex (3), Age Groups (13), Aboriginal Identity (3), and Occupation - NOC 2011 (691), for the Census Divisions and Subdivisions, 2011 NHS (for each census sub-division identified as a TMEP regional community, listed in Table 11)) from Statistics Canada.

Additionally, Trans Mountain has utilized, and will continue to review Aboriginal, local and regional labour force skills capacity data as made available from a range of other organizations, such as the following:

• Industry trades associations;

• BC Skilled Trades Employment Program;

• AB Ministry of Jobs, Skills, Labour and Training;

• AB Ministry of Human Services;

• BC Ministry of Jobs, Tourism and Skills Training, including WorkBC;

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

• Indigenous and Northern Affairs Canada;

• Community Futures organizations; and

• Economic development organizations and initiatives, including Venture Kamloops and the North Thompson Economic Development Program.

3.2 Labour Force Data Context In most geographies, labour market conditions are constantly evolving and are affected by local, regional, national and international economic forces. As such, all capacity data should be understood to represent a snapshot in time and provide an order-of-magnitude understanding of the ability of Aboriginal, local and regional communities’ capacity to participate in employment opportunities related to the Project.

3.3 Availability of Labour Force Statistical Data Labour force data are based on Census of Canada data available from Statistics Canada. The most recent Census of Canada was completed in 2011. Data pertaining to labour force are from the 2011 NHS and are the most relevant and available data at the regional, municipal or community level across the Socio-economic RSA.

The NHS is a new survey instrument established by Statistics Canada during the latest census. It is a voluntary, self-administered survey introduced as a replacement for the long-form census questionnaire. The results of the 2011 NHS were released in June 2013. The NHS differs from the Census of Canada in that it surveys only the population in households typically residing in Canada. It excludes persons living in institutional collective dwellings such as hospitals, nursing homes and penitentiaries as well as Canadian citizens living in other countries, full-time members of the Canadian Forces stationed outside Canada and persons living in non-institutional collective dwellings such as work camps, hotels and motels, and student residences. Statistics Canada indicates that the NHS had a sampling rate of about 3 in 10 and a response rate of 68.6 percent, and estimates about 21 percent of the Canadian population participated in the NHS (Statistics Canada 2013).

Given the different surveying methods and population of focus, the community-level population counts that underlie the NHS data are different from those provided in the Census of Canada. Statistics Canada indicates the final weights are selected so as to reduce or eliminate differences between the 2011 Census population counts and the NHS estimates. However, some discrepancies may persist because the weighting constraints sometimes have to be discarded. In addition, since the final weight adjustment is based on calibrated areas, some of which are made up of several small municipalities, there may be discrepancies between the NHS estimates and the census counts for small municipalities; whether there is a discrepancy or not is an indication of the quality of the NHS estimates. For census subdivisions with a population of 25,000 or more, the census count and the NHS estimate are practically identical (Statistics Canada 2013b). Regardless of shortcomings, NHS data are, however, the most relevant information for many socio-economic population parameters at the regional, municipal, community and IR levels.

For some smaller communities, certain Census of Canada and NHS data from Statistics Canada are suppressed or otherwise not made available for confidentiality purposes.

It is understood many communities, particularly small or Aboriginal communities, may not be accurately reflected in Statistics Canada data. However, in many places, these data are often the only data available at the community level. Where local information or knowledge has been identified to verify or add to the understanding of population or economic statistics, it is presented in the discussion.

For some NOC codes, certain statistical data are reported as zeros. Zeros may occur due to rounding, they may result due to inconsistencies or errors in the source data, or they may be true zeros.

Statistical data are typically available only for incorporated communities, regions and IRs. Unincorporated hamlets and communities are amalgamated into the county or region in which they are geographically located and by which they are administered.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

3.4 Occupational Requirements Researched Trans Mountain has identified a detailed list of occupational requirements for the construction of the Project, as included on the TMEP website (http://www.transmountain.com/jobs-during-construction) and in Section 2 of this report.

For the purposes of researching employment capacity in Aboriginal, local, and regional communities via the TMEP Employment and Skills Registry, specific roles and job categories have been studied. These roles are seen by the Project as the most likely to be hired specifically for construction. Other roles such as engineers and construction managers are likely already filled or are on-staff with the Contractors and, therefore, would likely not be hired specifically for the construction of the Project.

3.5 Online Labour Force Data Collection Aboriginal, local and regional labour force and business capacity information is being collected by Trans Mountain in an ongoing manner through the TMEP Employment and Skills Registry and community- based research with Aboriginal communities. As such, the information presented in this document should be considered as a summary of data available to Trans Mountain through the collection period, ending April 30, 2017.

Capacity data will be augmented as the database is further populated and community-based research is conducted throughout the construction planning phase.

3.6 Business Capacity Inventory There is limited published information about Aboriginal, local, and regional business capacity in the Socio-economic RSA. Trans Mountain has completed desktop research, used available historical contracting information and has undertaken initiatives to develop pragmatic, real-time business capacity collection processes that will support the Project procurement process and the realization of maximizing opportunities for Aboriginal, local and regional businesses. Data gathering initiatives include the following:

• TMEP Procurement Registry;

• Primary data collected via direct engagement with Aboriginal groups;

• Hosting procurement workshops in key locations and inviting Aboriginal groups;

• Hosting procurement workshops in local and regional communities and inviting residents to attend; and

• Attending meetings with industry and industry organizations.

3.7 Business Capacity Data Context In most geographies, business capacity is constantly evolving and is affected by local, regional, national and international economic forces. As such, all capacity data should be understood to represent a snapshot in time and provide an order-of-magnitude understanding of the ability of Aboriginal, local and regional communities to participate in contracting opportunities related to the Project.

3.8 Online Business Capacity Data Collection Aboriginal, local and regional labour business capacity information is being collected by Trans Mountain in an ongoing manner through the TMEP Procurement Registry and community-based research with Aboriginal communities. As such, the information presented in this document should be considered as a summary of data available to Trans Mountain through the collection period, ending April 30, 2017.

Capacity data will be augmented as the database is further populated and community-based research is conducted throughout the construction planning phase.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

4.0 LABOUR FORCE AND BUSINESS CAPACITY OVERVIEW This section provides an overview of relevant skill and business capacity information gathered from various sources to date to support Project planning.

4.1 Labour Force Capacity Overview 4.1.1 Local, Regional and Aboriginal Labour Force Data Starting in January 2015, Trans Mountain has been collecting labour force skills data through the TMEP Employment and Skills Registry (https://csi.kindermorgan.com/csi/isinfo/). People interested in employment opportunities register information including name, community of residence as well as completed safety and training certifications. Registrants indicate the region(s) along the pipeline corridor they would prefer to work and identify which job categories they are qualified for (in alignment with the NOC codes described in Table 11). Registrants are asked to select their first and second choice of preferred role and are asked to indicate if they are currently working in one of the roles listed. Additionally, registrants have the opportunity to self-identify as an Aboriginal person.

In addition, Trans Mountain has obtained a custom data set from the 2011 NHS conducted by Statistics Canada., The data include NOC codes at the census subdivision (municipal) level and sorted for Aboriginal identity, for all AB and BC municipalities that overlap the Socio-economic RSA studied in the Application.

• Table 16 provides a summary of the 2011 NHS data from TMEP local communities in AB, by job category.

• Table 17 provides a summary of the 2011 NHS data from TMEP local communities in BC, by job category.

• Table 18 provides a summary of the 2011 NHS data from TMEP regional communities, totalled by province.

• Table 19 provides a summary of total registrants on the TMEP Employment and Skills Registry, by Aboriginal/non-Aboriginal status and province as of April 30, 2017

• Figure 2 illustrates the total number of people who have registered quarterly on the TMEP Employment and Skills Registry as of April 30, 2017

• Table 20 provides a summary of registrants on the TMEP Employment and Skills Registry by Aboriginal/non-Aboriginal status, province and job category as of April 30, 2017.

Table 16 illustrates the capacity to work in each of the roles required for the Project in local communities in Alberta, and Table 17 illustrates the same for BC. Gaps in the regional labour force skills capacity can be inferred from the low numbers of people employed in the trades positions examined in the rural Alberta and BC Interior local communities.

The rural communities along the pipeline corridor, such as Yellowhead County, the towns of Hinton and Edson, the Thompson-Nicola and Fraser Valley Regional Districts, the District of Clearwater, and the Village of Valemount, show the lowest levels of employment of welders, pipefitters, electricians, carpenters, steel erectors, painters/coaters, millwrights, other trades, and heavy equipment operators, while the vast majority of the length of the pipeline corridor passes through these communities. This appears to reinforce the fact that trades and heavy equipment operator positions will be difficult to fill by the Project from workers in local communities outside of the Edmonton and Metro Vancouver regions.

Table 18 illustrates the capacity to work in each of the roles required for the Project in regional communities in Alberta and BC. While the data indicate there is a large pool of trades and heavy equipment operators to draw from in TMEP regional communities, many of these workers are again located in the Edmonton and Metro Vancouver regions, as the rural areas of Alberta and BC along the

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017 pipeline corridor are included in the local communities, specifically Yellowhead County, the Thompson- Nicola Regional District, and the Fraser Valley Regional District.

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TABLE 16

SUMMARY OF 2011 NHS EMPLOYMENT DATA IN TMEP LOCAL COMMUNITIES (AB)

Semi- Heavy Engineers and Environmental Skilled Equipment Administrative Construction Engineering Technical and Safety Census Sub-Division Workers Truck Drivers Operators Trades and Accounting Camp Support Management Technologists Inspectors Compliance Parkland Total 305 690 355 1240 1575 205 405 275 50 225 County Aboriginal 0 60 25 25 0 0 0 0 0 0 Non-Aboriginal 290 635 330 1150 1540 200 385 275 45 215 Village of Total 0 35 0 0 0 0 0 0 0 0 Wabamun Aboriginal 0 0 0 0 0 0 0 0 0 0 Non-Aboriginal 0 25 0 0 0 0 0 0 0 0 Town of Total 130 230 210 655 530 170 90 15 20 50 Stony Plain Aboriginal 0 0 10 0 0 0 0 0 0 0 Non-Aboriginal 85 200 180 595 510 140 90 15 0 50 City of Total 240 365 250 1195 1220 345 225 195 50 175 Spruce Aboriginal 0 0 0 65 0 25 0 0 0 0 Grove Non-Aboriginal 200 360 235 1060 1140 320 215 195 50 165 Strathcona Total 720 740 420 3100 4645 845 740 1355 245 725 County Aboriginal 30 35 25 120 85 60 0 0 0 0 Non-Aboriginal 670 705 390 2935 4505 770 735 1330 250 685 City of Total 7500 7100 2270 22455 36195 12240 3035 11540 970 6065 Page Edmonton Aboriginal 640 415 215 1405 1540 585 35 150 35 380 Non-Aboriginal 6855 6695 2050 21045 34645 11655 3000 11370 935 5685

19 Yellowhead Total 165 410 345 540 345 45 80 0 0 10 County Aboriginal 0 0 50 15 0 0 0 0 0 0 Non-Aboriginal 155 385 295 500 330 45 70 0 0 10 Town of Total 25 410 230 390 270 145 0 0 0 15 Hinton Aboriginal 0 80 0 0 15 0 0 0 0 0 Non-Aboriginal 25 330 225 330 235 145 0 0 0 10 Town of Total 50 200 100 270 350 95 20 20 0 0 Edson Aboriginal 0 0 0 0 0 0 0 0 0 0 Non-Aboriginal 40 190 95 270 330 80 10 20 0 0 Municipality Total 0 0 0 0 65 125 0 0 0 0 of Jasper Aboriginal 0 0 0 0 0 0 0 0 0 0 Non-Aboriginal 0 0 0 0 65 115 0 0 0 0 Source: Statistics Canada 2015

TABLE 17

SUMMARY OF 2011 NHS EMPLOYMENT DATA IN TMEP LOCAL COMMUNITIES (BC)

Heavy Engineers and Environmental Semi-Skilled Truck Equipment Administrative Construction Engineering Technical and Safety Census Sub-Division Workers Drivers Operators Trades and Accounting Camp Support Management Technologists Inspectors Compliance District of Total 25 90 0 115 105 85 0 0 0 0 Hope Aboriginal 0 0 0 0 0 10 0 0 0 0 Non-Aboriginal 25 90 0 105 110 75 0 0 0 0 Fraser Total 50 60 25 55 120 50 0 0 0 0 Valley Aboriginal 0 0 0 0 0 0 0 0 0 0 Regional Non-Aboriginal 50 55 25 55 115 40 0 0 0 0 District Areas B, D, E City of Total 715 1080 375 1650 2270 955 250 340 60 460 Chilliwack Aboriginal 95 25 25 60 130 80 0 0 0 0 Non-Aboriginal 595 1045 355 1575 2120 865 240 290 55 435 City of Total 1180 2415 450 2645 4320 1635 440 590 75 955 Abbotsford Aboriginal 0 25 0 95 85 30 0 0 0 0 Non-Aboriginal 1155 2370 420 2525 4210 1605 430 580 75 920 Township of Total 755 1220 395 2710 4455 1410 685 650 80 450 Langley Aboriginal 15 85 0 65 75 25 0 0 0 20 Page Non-Aboriginal 735 1135 380 2590 4375 1385 680 650 80 425 City of Total 4110 6325 1055 8900 16595 6745 1645 3075 265 3980

20 Surrey Aboriginal 115 110 0 255 325 225 15 0 0 45 Non-Aboriginal 3980 6210 1045 8640 16255 6525 1630 3045 260 3925 City of Total 1255 960 155 2740 9750 3300 705 2835 165 1460 Burnaby Aboriginal 35 0 0 0 110 15 0 0 0 20 Non-Aboriginal 1225 960 155 2680 9605 3265 690 2810 160 1420 City of Total 940 620 205 2070 5390 1875 555 1480 55 750 Coquitlam Aboriginal 15 0 0 25 80 15 0 0 0 0 Non-Aboriginal 925 615 195 1990 5265 1860 560 1460 55 740 City of Total 45 210 80 110 130 100 0 0 0 0 Merritt Aboriginal 0 30 0 0 15 30 0 0 0 0 Non-Aboriginal 45 180 75 100 105 70 0 0 0 0 Thompson- Total 85 200 110 100 115 30 35 0 0 0 Nicola Aboriginal 40 0 0 0 0 0 0 0 0 0 Regional Non-Aboriginal 40 190 100 95 115 20 35 0 0 0 District Areas A, B, J, M, N, O, P City of Total 505 1180 255 1800 2735 1295 305 390 120 590 Kamloops Aboriginal 20 45 0 75 105 110 0 0 0 0 Non-Aboriginal 485 1115 240 1690 2575 1175 310 340 105 560

TABLE 17 Cont’d

Heavy Engineers and Environmental Semi-Skilled Truck Equipment Administrative Construction Engineering Technical and Safety Census Sub-Division Workers Drivers Operators Trades and Accounting Camp Support Management Technologists Inspectors Compliance District of Total 30 20 15 60 45 0 0 0 0 0 Clearwater Aboriginal 0 0 0 0 0 0 0 0 0 0 Non-Aboriginal 25 25 15 60 40 0 0 0 0 0 Village of Total 0 0 0 0 0 10 0 0 0 0 Valemount Aboriginal 0 0 0 0 0 0 0 0 0 0 Non-Aboriginal 0 0 0 0 0 0 0 0 0 0 Fraser-Fort Total 0 60 10 20 0 0 0 0 0 0 George Aboriginal 0 0 0 0 0 0 0 0 0 0 Regional Non-Aboriginal 0 45 10 20 0 0 0 0 0 0 District, Area H Source: Statistics Canada 2015

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TABLE 18

SUMMARY OF 2011 NHS EMPLOYMENT DATA IN TMEP REGIONAL COMMUNITIES TOTALLED BY PROVINCE

Heavy Engineers and Environmental Semi-Skilled Truck Equipment Administrative Construction Engineering Technical and Safety Province Workers Drivers Operators Trades and Accounting Camp Support Management Technologists Inspectors Compliance Alberta Total 1430 2830 1340 7310 8460 2010 990 1270 445 1350 Aboriginal 25 110 0 80 40 55 0 0 0 0 Non-Aboriginal 1330 2645 1315 6835 8125 1900 970 1145 375 1255 British Total 8540 6700 1505 18230 56180 23490 5040 13315 820 8940 Columbia Aboriginal 205 55 0 125 685 510 10 10 0 65 Non-Aboriginal 8165 6450 1435 17720 55145 22875 4960 13150 810 8695 Source: Statistics Canada 2015 Note: - The municipalities included in these regional totals are listed in Table 11 TMEP Regional Communities.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 19

SUMMARY OF TMEP EMPLOYMENT AND SKILLS REGISTRY BY ABORIGINAL STATUS AND PROVINCE

AB BC Non- Rest of Non-Aboriginal AB Aboriginal AB Total Aboriginal BC Aboriginal BC Total Canada Total Registry Total 906 212 1118 1499 403 1902 59 3079

Figure 2 Total Number of Quarterly Registrants in TMEP Employment and Skills Registry

TABLE 20

SUMMARY OF TMEP EMPLOYMENT AND SKILLS REGISTRY BY ABORIGINAL STATUS, PROVINCE, AND JOB CATEGORY

AB BC Job Category Non-Aboriginal AB Aboriginal Non-Aboriginal BC Aboriginal Rest of Canada Total Boilermakers 8 1 16 4 2 31 Bus Drivers 15 3 49 10 1 78 Carpenters 14 13 54 29 1 111 Chief Inspectors 83 6 85 16 9 199 Technical Inspectors (Ground Disturbance, Pigging and Hydrotest, Senior Welding, Pipeline, Craft) Cook 27 14 82 38 3 164 Camp Attendant Kitchen Helper Camp Manager Crane Operators 2 1 9 2 0 14

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 20 Cont'd

AB BC Job Category Non-Aboriginal AB Aboriginal Non-Aboriginal BC Aboriginal Rest of Canada Total Electricians 29 3 80 6 1 119 Emergency Medical 3 0 30 8 0 41 Responders/Technicians Engineering Technologists 107 1 67 1 6 182 (Drafting, Civil, Electrical/Instrumentation, Mechanical) Engineers (Civil, 123 2 82 0 10 217 Electrical/Instrumentation, Mechanical, Process, Field) Environmental and Aboriginal 53 16 62 40 6 177 Monitors Iron Workers/Steel Erectors 4 1 25 9 0 39 Labourers 135 100 409 174 16 834 Trades Helpers Survey Helpers Painters/Coaters etc. Millwright 8 1 38 7 0 54 Operator Technician 33 2 55 8 3 101 Control Centre Operator Operators (Bulldozer, Trackhoe, 79 37 216 86 6 424 Grader, etc.) Piledrivers Other Trades (Plumbers/Gasfitters, 23 6 89 19 2 139 Heavy-Duty Mechanics, Instrumentation Technicians, Insulators, Sheet Metal Workers) Payroll Clerk 150 27 146 31 4 358 Purchasing Agent Administrative Support Field Contract Administrators Field Cost Controllers Pipefitters 33 8 49 17 0 107 Project Managers 125 11 99 14 9 258 Construction Managers Superintendents Foremen Safety Inspectors / Advisors 87 11 111 26 2 237 Security Officers 18 10 38 4 0 70 Side-Boom Operators 15 7 36 8 0 66 Surveyors 16 3 23 3 2 47 Technical and Project Support 109 5 48 3 7 172 Supervisors Traffic Controllers (Flag People) 36 14 78 42 5 175 Truck Drivers (Flat Deck, Fuel 51 15 194 49 3 312 Truck, Gravel Truck, etc.) Parts Runners Hydrovac Operator Welders 48 16 126 29 4 223

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

4.1.1.1 Safety and Training Certifications Trans Mountain has assessed the safety and training certifications held by those who have registered on the TMEP Employment and Skills Registry. This assessment has assisted with the development of training programs aimed at increasing capacity to work on the Project in Aboriginal, local and regional communities along the pipeline corridor, as outlined in the Training and Education Monitoring Plan (NEB Condition 12b).

Per the anticipated requirements for Project employment, registrants on the database were asked to indicate whether they possess the following certifications:

• ATV;

• Driver’s licence, including:

- Class 1;

- Class 2;

- Class 3;

- Class 4; and

- Class 5;

• First aid (any level);

• Ground disturbance (any level);

• Pipeline Construction Safety Training (PCST) or Construction Safety Training System (CSTS);

• Transportation of Dangerous Goods (TDG);

• Workplace Hazardous Materials Information System (WHMIS); and

• Confined space entry.

While it is not mandatory to indicate possession of any of these certifications to register, the vast majority of registrants did indicate that they possess at least one of the certifications listed. Approximately 34 percent of those registered indicated they have a first aid certification, WHMIS certification, and hold a Class 5 driver’s licence.

Rates of certification in ground disturbance, PCST/CSTS, TDG and confined space entry were significantly lower. Approximately 23 percent of those registered indicated being certified in ground disturbance, and 21 percent indicated certification in PCST/CSTS, while 32 possessed TDG and 27 percent possessed confined space entry training. These certifications are all critical for many of the Project employment positions and present a significant opportunity for TMEP to provide training in these areas to increase local, regional and Aboriginal employment capacity. See Section 2 of the Training and Education Monitoring Plan (NEB Condition 12) for a description of Trans Mountain’s commitment to certification training.

An analysis of interest in select jobs as compared to select safety certifications provides insight into where opportunities exist to increase the likelihood of workers in communities along the Project corridor being hired for construction related roles by TMEP Contractors. Table 21 provides summary information on percentages of interested workers with necessary safety certifications.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 21

SUMMARY OF SAFETY CERTIFICATION AS COMPARED TO INTEREST IN SELECT JOB CATEGORIES IN TMEP EMPLOYMENT AND SKILLS REGISTRY

First Aid Ground Disturbance Confined Space PCST

Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal

Labourers 36% 64% 38% 62% 30% 70% 41% 59% Trades Helpers Survey Helpers Painters/Coaters etc. Traffic Controllers (Flag People) 38% 62% 50% 50% 31% 69% 48% 52%

Truck Drivers (Flat Deck, Fuel 22% 78% 22% 78% 21% 79% 26% 74% Truck, Gravel Truck, etc.) Parts Runners Hydrovac Operator Operators (Bulldozer, 31% 69% 33% 67% 32% 68% 40% 60% Trackhoe, Grader, etc.) Piledrivers Welders 23% 77% 26% 74% 13% 87% 15% 85%

Pipefitters 22% 78% 14% 86% 13% 87% 22% 78%

Electricians 9% 91% 14% 86% 7% 93% 0% 100%

Carpenters 40% 60% 50% 50% 34% 66% 42% 58%

Iron Workers/Steel Erectors 36% 64% 57% 43% 13% 87% 33% 67%

Boilermakers 14% 86% 0% 100% 10% 90% 0% 100%

Millwright 16% 84% 14% 86% 9% 91% 25% 75%

Other Trades 22% 78% 15% 85% 6% 94% 17% 83% (Plumbers/Gasfitters, Heavy- Duty Mechanics, Instrumentation Technicians, Insulators, Sheet Metal Workers) Payroll Clerk 20% 80% 32% 68% 17% 83% 6% 94% Purchasing Agent Administrative Support Field Contract Administrators Field Cost Controllers Cook 37% 63% 53% 47% 33% 67% 46% 54% Camp Attendant Kitchen Helper Camp Manager Operator Technician 12% 88% 6% 94% 11% 89% 8% 92% Control Centre Operator Chief Inspectors 11% 89% 12% 88% 8% 92% 11% 89% Technical Inspectors (Ground Disturbance, Pigging and Hydrotest, Senior Welding, Pipeline, Craft) Environmental and Aboriginal 27% 73% 25% 75% 34% 66% 34% 66% Monitors Safety Inspectors / Advisors 15% 85% 14% 86% 13% 88% 14% 86%

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 21 Cont'd

First Aid Ground Disturbance Confined Space PCST

Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal Aboriginal Non-Aboriginal

Crane Operators 33% 67% 33% 67% 25% 75% 0% 100%

Side-Boom Operators 25% 75% 18% 82% 25% 75% 31% 69%

Bus Drivers 19% 81% 22% 78% 26% 74% 20% 80%

Project Managers 8% 92% 14% 86% 9% 91% 13% 87% Construction Managers Superintendents Foremen Technical and Project Support 5% 95% 11% 89% 9% 91% 10% 90% Supervisors Engineers (Civil, 1% 99% 0% 100% 0% 100% 0% 100% Electrical/Instrumentation, Mechanical, Process, Field) Engineering Technologists 1% 99% 0% 100% 0% 100% 0% 100% (Drafting, Civil, Electrical/Instrumentation, Mechanical) Surveyors 13% 88% 19% 81% 13% 88% 21% 79%

Security Officers 13% 87% 18% 82% 19% 81% 20% 80%

Emergency Medical 19% 81% 33% 67% 23% 77% 0% 100% Responders/Technicians

The job categories in Table 21 have been selected from the TMEP Employment and Skills Registry and used in this analysis as they represent the highest level of interest from Aboriginal workers registered in the TMEP Employment and Skills Registry, combined with roles Trans Mountain is targeting through its Training Program for Aboriginal Peoples.

In labourer and traffic controller positions, the data suggest Aboriginal workers are behind non-Aboriginal workers in rates of certification in first aid, ground disturbance, and PCST/CSTS. There is an opportunity for Trans Mountain and its Contractors to target these workers for construction readiness training in these areas, which could lead to these workers becoming qualified for entry-level positions in a short period of time.

Interestingly, in the other selected positions, rates of safety certification of Aboriginal Peoples were generally comparable to non-Aboriginal people, and in some cases higher. This likely illustrates the work of various employment and training agencies and initiatives over recent years to provide training to Aboriginal Peoples in an effort in increase employability.

Ground disturbance certification shows high variability in certification levels between Aboriginal and non-Aboriginal workers, depending on job interest. An opportunity exists to provide training for both Aboriginal and non-Aboriginal equipment operators, as this will likely be required by all construction personnel with the Project.

4.1.2 Aboriginal Community-specific Data Aboriginal Peoples comprise a substantial percentage of the labour force in Western Canada, however, labour market outcomes tend to be lower for these populations. In 2006, Aboriginal Peoples had a higher unemployment rate, lower employment rate, lower incomes and a lower participation rate than the Canadian average (Sharpe and Arsenault 2010). The Aboriginal population could play a key role in mitigating the long-term labour shortages caused by Canada’s aging population and low birth rate. This is

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

true not only because of their relatively young population and higher population growth rate, but also because the participation and employment rates currently lag behind the Canadian average (Sharpe and Arsenault 2010). As noted in the Application, the labour force participation rates in some parts of the Socio-economic RSA are notably lower and unemployment rates are higher in IR communities compared to other communities. For example, in the Edmonton Region, the unemployment rate across municipalities in 2011 was 5.6 percent, while on IRs in the region it was 23.1 percent. In the Fraser-Fort George/Thompson Nicola Regional Districts, the unemployment rate across municipalities in 2011 was 8.8 percent while in IRs it was 17.7 percent, In the Fraser Valley Regional District, the unemployment rate across municipalities in 2011 was 7.6 percent while in IRs it was 37.2 percent (Statistics Canada 2013).

According to the Petroleum Human Resources Council, in 2011 Aboriginal Peoples comprised 5.8 percent of the oil and gas labour force in Canada. This was almost double the total rate of employment of Aboriginal Peoples across all industries in Canada, at 3.4 percent. The oil and gas industry typically operates in areas adjacent to large Aboriginal populations, which can account for the higher rate of employment within the industry. However, the Aboriginal labour force is viewed as an underutilized labour pool by the industry and provides an opportunity for the Project (Petroleum Human Resources Council 2014).

The TMEP Employment and Skills Registry is being augmented by primary research conducted by Trans Mountain with Aboriginal communities about interests and abilities in Project-related employment. In February 2015 a letter was sent to Aboriginal groups to provide an update regarding employment opportunities with the Project and to request participation in a labour force analysis. The letter requested data regarding the interest or ability for community members to work in Project-specific roles (as outlined in Table 21) be provided. Additionally, interest in participating in training opportunities and information about training programs of interest was also requested.

Through ongoing engagement activity, Trans Mountain is working with Aboriginal communities to assist in the completion of the labour force analysis. Table 22 provides a list of the communities where information has been received to date. As an ongoing and iterative process, Table 23 provides a summary of the information collected to date.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 22

ABORIGINAL COMMUNITIES - DATA RECEIVED FOR INCLUSION IN WORKFORCE ANALYSIS

AB BC • Alexis Nakota Sioux Nation; • Ashcroft Indian Band; • Aseniwuche Winewak Nation of Canada; • British Columbia Métis Federation; • Ermineskin Cree Nation; • Canim Lake Band (Tsq’escen’); • Nakcowinewak Nation of Canada; • Coldwater Indian Band; • O’Chiese First Nation; • Cowichan Tribes; • Paul First Nation; • Esquimalt Nation; • Samson Cree Nation; and • Kwikwetlem First Nation; • Sunchild First Nation. • Malahat First Nation; • Métis Nation of British Columbia; • Musqueam Indian Band; • Nicomen Indian Band; • Nooaitch Indian Band; • Pauquachin First Nation; • Popkum First Nation; • Scia'new Indian Band (Beecher Bay); • Seabird Island Band; • Semiahmoo First Nation; • Shackan Indian Band; • Skeetchestn Indian Band; • Tk’emlups te Secwepemc (Kamloops Indian Band); • Upper Nicola Band; • Whispering Pines/Clinton Band; and • Yale First Nation.

TABLE 23

SUMMARY OF SKILLED AND UNSKILLED, INTERESTED MEMBERS OF ABORIGINAL COMMUNITIES BY JOB CATEGORY

AB BC Number of Number of Number of Number of Interested, Number of Number of Interested, Members Skilled Members Skilled Unskilled Members Skilled Members Skilled Unskilled Job Category and Employed and Unemployed Members and Employed and Unemployed Members Trades Helpers, Construction Labourers 2165 3421 3129 251 373 318 and Related Motor Vehicle and 199 447 726 49 138 57 Transportation Heavy Equipment 162 257 807 47 108 95 Operators Welder 25 26 225 35 91 44 Pipefitter 23 40 122 2 7 11 Electrician 33 17 95 3 10 10 Carpenter 75 15 149 21 48 13 Steel Erector 13 21 108 2 6 7 Painter/Coater 11 21 69 4 13 17 Millwright 3 3 81 0 7 7 Heavy Equipment 14 2 86 7 28 8 Mechanic Other Trades 9 3 97 4 6 10 Administrative and 483 448 831 69 119 81 Accounting

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 23 Cont’d

AB BC Number of Number of Number of Number of Interested, Number of Number of Interested, Members Skilled Members Skilled Unskilled Members Skilled Members Skilled Unskilled Job Category and Employed and Unemployed Members and Employed and Unemployed Members Camp Support 204 400 849 59 205 110 Operations 25 8 182 4 26 21 Public, Environmental and Occupational Health and 127 258 540 24 73 62 Safety Note: - At the time of this report, data were provided by thirty-one Aboriginal communities engaged, eight of which are in AB, and twenty-three of which are in BC. Engagement with the remaining Aboriginal groups is ongoing, and data for all groups successfully engaged with will be available in subsequent submissions of this report.

4.1.3 Employment Opportunity Monitoring Indicators Information on Aboriginal, local and regional labour force capacity will continue to be collected and updated through the construction planning and construction phases of the Project. The business capacity data inform Trans Mountain’s monitoring of business opportunities emerging from the construction phase of the Project in compliance with NEB Condition 107. Table 24 outlines the employment opportunity monitoring indicators Trans Mountain is proposing. Appendix D includes a graphical representation of the Monitoring Indicators proposed for the Employment and Training Program overall, including those below and those included in compliance with NEB Condition 12.

TABLE 24

EMPLOYMENT OPPORTUNITY MONITORING INDICATORS

Responsibility of Frequency of Indicator Indicator Selection Rationale Data Source Data Collection Data Collection Number of people registered in TMEP Provides an indication of level of interest and TMEP Online Trans Mountain Monthly Online Employment and Skill Database, skill capacity available for Project construction- Employment provided to TMEP contractors: related employment. and Skill a) Number of Aboriginal registrants; Database b) Number of local registrants; c) Number of regional registrants; and, d) Number of other registrants.

Percentage of qualified Aboriginal, Provides an indication of labour force market, Contractor Contractors Monthly local, and regional applicants to TMEP availability and success of TMEP and TMEP monthly reports contractors, per occupational Contractor engagement activities to promote requirement (job): employment-related opportunities a) percentage Aboriginal; b) percentage local; c) percentage regional and, d) percentage other. Percentage of close to qualified* Provides an indication of labour force market, Contractor Contractors Monthly Aboriginal, local, and regional availability and success of TMEP and TMEP monthly reports applicants to TMEP contractors, per Contractor engagement activities to promote occupational requirement (job): employment-related opportunities a) percentage Aboriginal; b) percentage local; c) percentage regional; and, d) percentage other. Number of TMEP contractor-supported Provides an indication of successful training, as Contractor Contractors Monthly trained participants employed by TMEP organized by TMEP Contractors, leading to monthly reports Contractors. Project-related employment.

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TABLE 24 Cont'd

Responsibility of Frequency of Indicator Indicator Selection Rationale Data Source Data Collection Data Collection Number of TMEP-supported trained Provides an indication of successful training Contractor Contractors Monthly participants employed by TMEP leading to Project-related employment. monthly reports Contractors. Percentage of Aboriginal, local, regional Demonstrates Aboriginal, local and regional Contractor Contractors Monthly hires with TMEP Contractors, per involvement in direct TMEP construction monthly reports occupational requirement (job): employment. TMEP can set expectations for a) percentage Aboriginal; Contractors directly involved in construction; b) percentage local; TMEP cannot influence indirect and induced c) percentage regional; and, employment associated with the Project. d) percentage other. Average duration of Provides indication of employment retention of Contractor Contractors Monthly employment/contract of TMEP-supported trainees. monthly reports TMEP-supported training program participants. Average duration of Provides indication of employment retention of Contractor Contractors Monthly employment/contract of TMEP TMEP contractor-supported trainees. monthly reports contractor-supported training program participants. Percentage of Aboriginal, local, regional Provides indication of employment retention. Contractor Contractors Monthly hires with TMEP Contractors (based on monthly reports number of employees) demobilized prior to completion of expected employment contract with construction of the Project. a) percentage Aboriginal; b) percentage local; c) percentage regional; and, d) percentage other. Note: - During each monitoring cycle, indicators will be reported for that monitoring cycle and for the Project as a whole (summary to-date). - *a close to qualified applicant is an applicant who, with participation in a short-term training program (maximum duration of three weeks) would be deemed qualified for the position by the TMEP contractor.

4.2 Business Capacity Overview Trans Mountain has been collecting Aboriginal, local and regional business capacity information through the TMEP Procurement Registry (www.transmountain.com/procurement), since November 2013.

Businesses interested in contracting opportunities related to the Project have registered the following information: company; location; Aboriginal affiliation; geographical area of service along the pipeline corridor; union status; years in business; size of contract capability (dollar value); value of work conducted in previous fiscal year; work capability/services offered; history with Trans Mountain; and membership in ISNetworld (a system of standardizing Contractor health and safety management).

Figure 3 illustrates the total number of companies registered on the TMEP Procurement Registry each quarter since it became available in November 2013, as of April 30, 2017.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

Figure 3 Total Number of Quarterly Registrants on TMEP Procurement Registry

Table 25 provides a summary of the total number of non-Aboriginal businesses registered on the TMEP Procurement Registry divided by specific business roles to be carried out on the Project. Companies were able to indicate multiple service offerings depending upon their capabilities, therefore, each registered company may be counted in more than one business role in the table.

TABLE 25

TOTAL NON-ABORIGINAL BUSINESSES REGISTERED ON TMEP PROCUREMENT REGISTRY

Business Role: AB BC Other Total Contractor Services 583 427 138 1148 Professional Services 551 391 168 1110 Materials/Equipment 566 401 196 1163 Support Services 521 530 136 1187

Table 26 provides a summary of the total number of Aboriginal businesses that have registered on the TMEP Procurement Registry divided by specific business roles to be carried out on the Project. Companies are able to indicate multiple service offerings depending upon their capabilities, therefore, each registered company may be counted in more than one business role in the table.

TABLE 26

TOTAL ABORIGINAL BUSINESSES REGISTERED ON TMEP PROCUREMENT REGISTRY

Business Role: AB BC Other Total Contractor Services 113 142 14 269 Professional Services 86 115 15 216 Materials/Equipment 95 112 12 219 Support Services 126 148 12 286

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

A summary of the number of Aboriginal and non-Aboriginal businesses capable of performing each of the contracting opportunities registered in the TMEP Procurement Registry as of April 30, 2017 is found in Table 27.

TABLE 27

SUMMARY OF NUMBER OF SELF-IDENTIFYING BUSINESSES FOR PERFORMING CONTRACTING OPPORTUNTIES ON THE PROJECT, REGISTERED ON THE TMEP PROCUREMENT REGISTRY

Total Total Total Total Contractor Registered Professional Registered Materials/ Registered Support Registered Services Businesses Services Businesses Equipment Businesses Services Businesses Blasting 108 Communications 143 Boats 72 Accommodation 237 s Cathodic 89 Design 313 Bridges 117 Aerial Services 59 Protection Concrete Work 209 Emergency 196 Compaction 146 ATV's / 149 Response Snowmobiles Construction 432 Engineering 380 Cranes 162 Catering / Food 112 (Facility) Services Services Construction 348 Environmental 331 Earthmoving / 334 Fabrication 280 (Pipeline) Services Excavation Services Crane 160 Equipment 86 Electrical 246 Fencing 147 Operations Certification Dock Work 62 Inspection 297 Equipment 386 Fire Control / 140 Services Rental Protection Dredging 65 IT System Work 88 Heavy 408 First Aid 203 Equipment Services Drilling 143 Laboratories 53 HVAC 111 Hauling 248 and Research (Delivery and Pickup) Electrical and 223 Marine 67 Hydro-Testing 126 Industrial 127 Instrumentation Consulting Camps Erosion Control 269 Non-Destructive 115 Instrumentation 225 Janitorial / 97 Testing & Controls Sanitary Services Excavation 434 Project 519 Loading 182 Laundry 56 Management Equipment Services Foundation 277 Specialized 402 Mats 202 Mowing and 158 Work Services Ground Care / ROW Maintenance Grading 301 Surveying 175 MCC's 131 On-Site machine 57 Shope Work Hot Tapping 59 X-Ray 40 Metering Skids / 141 Personnel 87 Provers Transportation Hydrovac 187 Modular 276 Postal / Delivery 25 Buildings Service Line Locating 129 Motors 135 Recruiting and 131 Staffing Marine Diving 25 Pipe 224 Road Dust 185 Control Painting 178 Pumps 232 Safety Services 285 Pile Driving 137 Specialized 180 Tools Pipe Bending 92 Switchgear 148 Pipe Coating 160 Transformers 146 Reclamation / 426 Valves and 249 Remediation Fittings Right of Way 391 VFD's 147 Clearing Road Work 325 Sandblasting 144

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 27 Cont'd

Total Total Total Total Contractor Registered Professional Registered Materials/ Registered Support Registered Services Businesses Services Businesses Equipment Businesses Services Businesses Scaffolding 107 Steel Erection 226 Surveying 193 Tank Coating 125 Tank Erection 131 Tree Fallers 178 Note: - As registration on the TMEP Procurement Registry is ongoing and as verification of business capabilities is conducted by TMEP, the numbers presented in this table will be subject to updates in subsequent filings of this report.

Trans Mountain has been augmenting its capacity inventory of Aboriginal business through direct and proactive contact and collaboration with interested Aboriginal groups. Trans Mountain has been working directly with Aboriginal groups identified as potentially interested in and/or affected by the Project, and has explored a range of additional information related to Aboriginal business capacity and capability, which has also been included in the capacity inventory. This engagement has also included actively supporting Aboriginal groups to register their business information with Trans Mountain. The type of business information discussed with Aboriginal groups at the community level includes the following:

• Types/size of businesses;

• Services provided;

• Past contracts;

• Skill sets and experience of employees/workers;

• Equipment/facilities;

• Ability to expand or ramp up to meet future needs; and

• Contract language to be provided to major Contractors to support Trans Mountain commitments.

4.2.1 Business Opportunity Monitoring Indicators Information on Aboriginal, local and regional business capacity will continue to be collected and updated throughout the planning process and construction phases of the Project. The business capacity data inform Trans Mountain of business opportunities emerging from the construction of the Project, for which the monitoring of will be reported to the NEB pursuant to NEB Condition 107. Table 28 outlines the business opportunity monitoring indicators Trans Mountain is proposing.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 28

BUSINESS OPPORTUNITY MONITORING INDICATORS

Frequency of Responsibility of Data Timing of Indicator Indicator Selection Rationale Data Source Data Collection Collection Reporting 1) Number of businesses registered Identifies level of business TMEP Procurement TMEP Monthly 90 days after on TMEP Procurement Registry. interest in participating in Registry construction a) Aboriginal; TMEP in the Aboriginal, local commencing, then b) local; & regional communities. every 6 months. c) regional Final report within 6 months after 2) Number of businesses hired by Identifies how many TMEP Procurement TMEP and Monthly construction TMEP and Contractors. Aboriginal, local & regional Registry Contractor completion. a) Aboriginal; businesses were hired Contractor monthly b) local; because of TMEP reports c) regional; and d) other 3) Total gross dollar value of Identifies the value of the work TMEP Procurement TMEP and Monthly contracts issued to businesses contracted out because of Registry Contractor hired by TMEP and Contractors TMEP and where it was Contractor monthly a) Aboriginal; allocated reports b) local; c) regional; and d) other 4) Total percentage content in Indicates the level of TMEP & Contractor TMEP and One-time, at Final report within Project spending: Aboriginal, local & regional Contractor end of 6 months after a) Aboriginal; business participation in TMEP construction construction b) local; compared to the total cost of completion. c) regional; and the Project d) other.

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5.0 SKILL AND BUSINESS CAPACITY GAP ANALYSIS 5.1 Skills Gap Analysis The labour force skills capacity information collected to date indicates there is a strong interest and capacity in employment amongst Aboriginal, local and regional community members. To increase access to employment opportunities prior to construction, Trans Mountain has identified gaps in skills related to essential skills, pipeline construction, traffic control, health, safety and security. Accordingly, Trans Mountain is implementing short-term training programs through its Training Program for Aboriginal Peoples (in compliance with NEB Condition 12) to assist in closing the gap and enhancing access to opportunities for Aboriginal Peoples and contractors will support training for local and regional communities members, where appropriate to support access to employment opportunities.

5.2 Business Gap Analysis The business capacity information that has been collected to-date indicates that there is a strong interest and capacity from Aboriginal, local and regional businesses to participate in Project opportunities. Trans Mountain has been working closely with Aboriginal, local and regional communities over the past number of years to keep them informed of any developments or changes within the Project and gather information within the Trans Mountain procurement registry in order to ensure that Trans Mountain is aware of the number of Aboriginal, local and regional businesses interested in participating in construction.

Trans Mountain and the selected Contractors will work closely throughout the Project to identify any potential business capacity gaps within the Aboriginal, local and regional communities’ businesses and to create and implement any proposed measures to support or increase their capacity where possible. Trans Mountain and the selected Contractors will work together to maximize contract opportunities within the Aboriginal, local and regional communities where reasonably possible.

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6.0 EMPLOYMENT AND BUSINESS OPPORTUNITY ENHANCEMENT MEASURES 6.1 Employment Opportunity Enhancement Measures Trans Mountain has developed the Trans Mountain Training and Education Program as detailed in the Training and Education Monitoring Plan (NEB Condition 12) based on the Project occupational requirements and guided by the Trans Mountain Employment Policy (Appendix A) and the Trans Mountain Training Policy for Aboriginal Peoples (Appendix B). Trans Mountain will provide training opportunities for a minimum of 450 Aboriginal participants, in advance of construction (10 percent of the anticipated occupational requirements). Collaboratively with Aboriginal groups, Aboriginal Skills Employment and Training Strategy (ASETS) organizations and partner-institutions, the Trans Mountain Training and Education Program will be promoted to Aboriginal people and interested candidates will apply to participate. Candidates will be selected for participation through the application process managed by the partner-institution. In addition to the training completed with Aboriginal participants to date (Table 29) Trans Mountain aims to collaborate with the training providers to deliver further training programs in advance of the start of construction and during the construction period, to enhance access to Project employment opportunities for participants (Table 30). TABLE 29

TRAINING PROGRAM FOR ABORIGINAL PEOPLES – COMPLETED PROGRAMS

Program Training Provider Location/Aboriginal Group # of Participants Date of Program Alberta Nakcowinewak Nation of Canada Creating Hope Society Nakcowinewak Nation of 18 Collaborative Employment Services (service provider); Canada December 2014 – Initiative to Increase Workforce Nakcowinewak (facility January, 2015 Participation Project provider) Driver Training (AB Class 5) Start Rite Driver Education Aseniwuche Winewak 6 2014 - 2015 Nation of Canada Scholarships and Educational Various educational Aseniwuche Winewak 11 2014 - 2015 Assistance institutions Nation of Canada Substance Abuse Treatment (Pre- Red Dog Recovery Ranch, Aseniwuche Winewak 6 2014 - 2015 employment readiness) Poundmakers Lodge Nation of Canada Management Development Pacific Institute Aseniwuche Winewak 24 2014 - 2015 Nation of Canada Youth Firefighting Training Parks Canada Aseniwuche Winewak 10 2015 - 2016 Nation of Canada Scholarships and Educational Various educational Aseniwuche Winewak 10 2015 - 2016 Assistance institutions Nation of Canada Substance Abuse Treatment (Pre- Red Dog Recovery Ranch, Aseniwuche Winewak 6 2015 - 2016 employment readiness) Poundmakers Lodge Nation of Canada Integrated Training Program Alberta Works Aseniwuche Winewak 26 2015 - 2016 Nation of Canada Aboriginal Junior Forest Ranger Alberta Agriculture and Aseniwuche Winewak 8 2015 - 2017 Program Forestry Nation of Canada FASD Employment Supports NW FASD Network Aseniwuche Winewak 12 2015 - 2016 Nation of Canada British Columbia Emergency Response Systems First Nations Emergency 35 2014 Society RISC Archaeological Inventory Training Upper Nicola Band 7 April – May 2015 Environmental Monitor Training Nicola Valley Institute of Shackan Indian Band 2 September 2016 Technology Camp Cook College of New Caledonia; Prince George 7 February – April 2014 Sage Trainers Oil & Gas Safety Phoenix Recruiting & Williams Lake 2 July – August 2014 Oilfield Services

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 29 Cont'd

Program Training Provider Location/Aboriginal Group # of Participants Date of Program Environmental Technician Vancouver Island Nanaimo 1 2014 University Enhanced Construction Craft Worker Thompson Rivers Kamloops 35 November 2014 – Level I University February 2015 Camp Cook Seabird Island College Agassiz 12 November 2015 – February 2016 Basic Security Training Level I Seabird Island College; Agassiz 17 October 2015 Griffin Security Women in Trades Training Thompson Rivers Kamloops 14 November 2015 – University February 2016 Land Surveyor Assistant Opus Stewart Weir On the job training 5 2015 Business Fundamentals Program Thompson Rivers Clearwater 3 January – May 2016 University Bridging Trades Program Nicola Valley Institute of Merritt 15 May – June 2015 Technology Integrated Welding Trades Training Thompson Rivers Agassiz 14 January – July 2016 Program University; Seabird Island College Integrated Construction Craft Worker Thompson Rivers Agassiz 12 2015 – 2016 Program University; Seabird Island College

TABLE 30

TRAINING PROGRAM FOR ABORIGINAL PEOPLES – PLANNED AND PROPOSED PROGRAMS, PROGRAMS CURRENTLY UNDERWAY

Program Training Provider Location # of Participants Date of Program Alberta Trans Mountain Labourer Safety Norquest College/Alberta Edmonton 100 2017-2018 Certification Module Aboriginal Construction Career Centre Labour Readiness Classroom Connections Maskwacis 115 2017 Trades Training Tradewinds to Success Edmonton 69 2017-2018 Boilermaker Welder Construction Craft Worker Plumber/pipefitter Pipeline Construction Readiness Women Building Futures Edmonton 24 July 2017/January 2018 British Columbia Environmental Training Vancouver Island Upper Nicola Band 2 2017 University Multi Industry Skills Training Camosun College Victoria 14 April – May 2017 Traffic Control – Level 1 Domcor Kamloops, Hope, Merritt, 60 April – May 2017 Burnaby Basic Security Guard - Level 1 Genesis Kamloops, Merritt, 70 March – May 2017 Chilliwack, Surrey Construction Craft Worker – Level 1 Thompson Rivers Kamloops 14 March – May 2017 University Office Administration Native Education College Vancouver 14 January – July 2017 Environmental Technician Seven Generations Vancouver 12 January – March 2017 Environmental Services Parts and Warehousing Secwepemc Cultural Kamloops, Vancouver, New 68 January – June 2017 Education Society (in West Minister, Surrey partnership with other training providers) Integrated Welding Trades Training Thompson Rivers Agassiz 14 2017 – 2018 Program University; Seabird Island College

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

TABLE 30 Cont'd

Program Training Provider Location # of Participants Date of Program Integrated Construction Craft Worker Thompson Rivers Agassiz 12 2016 – 2017 Program (2 of 3) University; Seabird Island College Integrated Construction Craft Worker Thompson Rivers Agassiz 12 2017 – 2018 Program (3 of 3) University; Seabird Island College Integrated Heavy Equipment Operator Thompson Rivers Agassiz 8 2017 – 2018 Program University; Seabird Island College

Additionally, during the Trans Mountain orientation for all Project workers, the following training will be provided: • Security awareness;

• Environmental Level 1, 2, or 3 (role-dependent);

• Worker Code of Conduct including respectful workplace; and

• TMEP Cultural Awareness.

The Program is an ongoing initiative and implementation will continue through construction, as required by the Project.

6.2 Business Opportunity Enhancement Measures Trans Mountain is implementing a number of business opportunity enhancement measures based on the Project requirements for goods and services and guided by the Kinder Morgan Canada Aboriginal Procurement Policy (Appendix A). Trans Mountain will work directly with Aboriginal communities to identify areas where Aboriginal businesses require help, which may include the following:

• Assisting with proposal development;

• Identifying potential business/joint-venture partners;

• Aligning smaller companies with a Contractor;

• Assisting with health and safety requirements (ISNetworld certification); and

• General business support.

In addition, Trans Mountain will do the following:

• Develop a process with Contractors to ensure information about Aboriginal, local and regional business capacity is easily accessible for Contractors.

• Host procurement workshops to share information about how to participate in the procurement bid process.

• Consider Aboriginal, local and regional content as a criteria of bid evaluation.

• Require Contractors to report on their Aboriginal, local and regional content.

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7.0 COMMUNICATING OPPORTUNITIES AND GAPS Trans Mountain understands employment and business opportunities are of significant interest to Aboriginal, local and regional stakeholders and is committed to maximizing opportunities for these groups. Trans Mountain launched online procurement and employment registries in November 2013 and January 2015, respectively, as a means of capturing more information for interested and qualified job seekers and learning more about business capacity. These online registries, as well as information about anticipated workforce and procurement needs, have been the focus of employment and procurement communication since their development.

General Project consultation and engagement opportunities began in May 2012 in conjunction with the public announcement of the Project, and are ongoing. Reports on activities completed between May 2012 and June 30, 2015 were filed with the NEB and are available in the Application (Volume 3A: Stakeholder and Volume 3B: Aboriginal) as well as in Consultation Update No. 1 and Errata, Technical Update No. 1 / Consultation Update 2, Consultation Update 3 and Consultation Update 4. These reports include the results of consultation conducted to date, identification of issues and concerns as well as Trans Mountain’s response and are included below. Where appropriate, Trans Mountain’s response has been updated to reflect information developed since the original response was provided during the NEB hearing of the Project.

Activities completed between July 1, 2015 and April30, 2017 are discussed below. New issues, concerns regarding mitigation measures identified during this period, as well as Trans Mountain’s response, are also described below in Section 7.2.

Planning is underway to enhance promotion of employment and business opportunities following the November 29, 2016 governor in council approval of the Project. These activities are described in Section 7.3.

7.1 Communication and Engagement Activities – May 2012 to June 30, 2015 Focus: general awareness of opportunities and timelines, promotion of online registries.

In addition to hosted events, Trans Mountain has sought partnerships with organizations promoting jobs, training and contracting opportunities throughout the pipeline corridor. This combined approach provides a broader reach than an event offered by a single employer. Jobs and business opportunities have been promoted through a variety of community events, including the following:

• Open houses focused on building community and resident readiness for potential employment opportunities related to the Project.

• Jobs and training information sessions offered to secondary schools to align with education level and job readiness for grades 10, 11 and 12 students.

• Community and business public information sessions.

• Events with Chambers of Commerce or other industry-specific groups or associations.

• Engagement with employment agencies (WorkBC, Alberta Works and other).

• Engagement with 10 ASETS organizations in BC and AB where there is demonstrated interest in a partnership. Each of the organizations represents Aboriginal groups with a traditional territory overlapping the pipeline corridor.

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7.2 Communication and Engagement Activities – July 1, 2015 to April 30, 2017 Focus: in-person promotion of opportunities and timelines, promotion of online registries.

The focus of employment and business opportunity communication between July 1, 2015 and April 30, 2017 has been to increase awareness of potential opportunities and to drive interested parties to the online registries. Activities completed during this reporting period are described below.

7.2.1 Employment Events Trans Mountain participated in a variety of events focused on job and training opportunities related to the Project during the July 1, 2015, to April 30, 2017, reporting period. All events were job and career focused, and as such, the interests and concerns of those who attended each event were similar in all instances. Specific details regarding the events attended are provided below.

7.2.1.1 Treaty Six ASETS Employment Partnerships and Job Fair – Edmonton, AB On October 5 to 6, 2015, Trans Mountain had a booth at the Treaty Six ASETS Employment Partnerships and Job Fair, hosted by the Tribal Chief’s Employment and Training Services Association and Oteenow Employment and Training Society. Approximately 1,000 people attended the event over two (2) days, most of who were from Aboriginal groups in the Edmonton area.

7.2.1.2 Partners in Trades 2015 – Richmond, BC On October 21 to 23, 2015, Trans Mountain attended the Partners in Trades event to network with local ASETS staff and union representatives, present information on training opportunities, and provide attendees a tour of the Burnaby Tank Terminal and Westridge Marine Terminal.

7.2.1.3 WorkBC Fall Job Fair – Kamloops, BC On October 26, 2015, Trans Mountain had a booth at the Kamloops Fall Job Fair, hosted by the Kamloops WorkBC Employment Services Centre. More than 1,000 people attended the event, many of whom expressed support for the Project and enthusiasm for potential job opportunities.

7.2.1.4 Indspire: Soaring – Indigenous Youth Career Conference – Vancouver, BC On February 10 to 11, 2016, Trans Mountain attended the Indspire: Soaring – Indigenous Youth Career Conference, hosted by Indspire; an Indigenous-led registered charity that invests in the education of Indigenous people for the long-term benefit of these individuals, their families and communities, and Canada [Indspire 2016].

7.2.1.5 Common Ground Alliance Contractor Breakfasts – Vancouver, BC On February 16 and 18, 2016, Trans Mountain attended the Common Ground Alliance Contractor Breakfasts series. Common Ground Alliance is a non-profit organization established to lead development of consistent practices to ensure the highest possible standards of worker safety, public safety and damage prevention in connection with underground infrastructure. Breakfast attendees consisted of Contractors and owners – most of whom provide ground disturbance services.

7.2.1.6 Nicola Valley Institute of Technology (NVIT) Job Fair – Merritt, BC On February 24, 2016, Trans Mountain had a booth at the NVIT Job Fair. Trans Mountain was joined at the fair by local businesses in the service and healthcare industries along with various government agencies. Over 100 students from NVIT attended, many of whom were aware of the Project and sought details regarding potential employment opportunities.

7.2.1.7 Stoney Nation Career and Community Resource Fair – Morley, AB On February 24, 2016, Trans Mountain had a booth at the Stoney Nation Career and Community Resource Fair, hosted by the Stoney Nation Job Resource Centre. The event was attended by

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

approximately 250 people, primarily residents of Morley and the Stoney Nakoda First Nation Reserve surrounding the community.

7.2.1.8 Citxw National Assembly Career Fair – Merritt, BC On March 2, 2016, Trans Mountain had a booth at the Citxw National Assembly Career Fair. Approximately 100 high school students attended the trade show-style event with industry and training service providers in attendance.

7.2.1.9 Sto:lo Career Fair – Chilliwack, BC On March 3, 2016, Trans Mountain had a booth at the Sto:lo Career Fair, at the Tzeachten Community Hall, hosted by the Sto:lo Service Agency. Approximately 200 high school and adult job seekers attended the event.

7.2.1.10 Thompson Rivers University (TRU) Career Fair – Kamloops, BC On March 3, 2016, Trans Mountain had a booth at the TRU Career Fair. This annual event brings together many local employers and select employment agencies to promote summer positions and full- time jobs to TRU students. Approximately 1,500 students attended the fair, along with some non-students from the Kamloops region. There was generally very strong Project support expressed by attendees and a desire for construction to begin as soon as possible.

7.2.1.11 Upper Nicola Band Career Fair – Upper Nicola Band Reserve On June 29, 2016, Trans Mountain had a booth at the Upper Nicola Band Career Fair at the N’kwala School on the Upper Nicola Band Reserve. The event was intended to provide information to community members about jobs that may be available or may be needed in the future by employers in the region, and what type of education and skills are required. The event was timed to coincide with the end of the school year. Approximately 80 people attended the fair.

7.2.1.12 Lower Nicola Community Open House – Merritt, BC On August 9, 2016, Trans Mountain attended a community open house hosted by Lower Nicola Indian Band. Team members from the Employment and Training, Aboriginal Engagement, Procurement, and Emergency Management teams were available to answer questions from approximately 150 attendees.

7.2.1.13 Ermineskin Treaty Days Trade Show – Maskwacis, AB On September 22, 2016, Trans Mountain had a booth at the Ermineskin Trade Show and Exposition as part of the annual Ermineskin Cree Nation Treaty Days celebration. Hosted by Ermineskin Resource Development Inc., this was the first year for the trade show, and approximately 75 people from the local community attended.

7.2.1.14 Oteenow Job Fair – Edmonton, AB On October 19, 2016, Trans Mountain had a booth at the Oteenow Job Fair. The Oteenow Employment and Training Society serves the urban Aboriginal population of the City of Edmonton and surrounding communities. Oteenow hosts an annual career fair each fall; this is the first year that Trans Mountain has attended. The event attracted approximately 350 attendees.

7.2.1.15 Alexander First Nation Career Fair - Morinville, AB On November 24, 2016, Trans Mountain had a booth at the Alexander First Nation Career Fair. This is an annual career fair hosted by Alexander First Nation, intended to educate schoolchildren from the Nation and surrounding communities about potential career paths and job opportunities. This was the seventh year for the event, and the first time Trans Mountain has attended. The event attracted approximately 300 attendees.

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7.2.1.16 Merritt Work Centre Career Fair - Merritt, BC On January 16, 2017, Trans Mountain had a booth at the Merritt Work Centre job fair hosted by the Merritt Employment Service Centre. The event attracted a steady stream of approximately 130 attendees. Skilled and experienced workers including mill wrights, electricians and pipefitters looking for employment due to the closure of a local sawmill in December 2016.

7.2.1.17 Canim Lake Indian Band Career Fair - Canim Lake, BC On February 3, 2017, Trans Mountain had a booth at the Canim Lake Indian Band career fair, which was attended by approximately 100 community members interested in employment opportunities and construction start date of the Project. Workshops by local employment centre provided participants with information on resume writing and interview skills.

7.2.1.18 Nicola Valley Institute of Technology Career Fair - Merritt, BC On February 22, 2017, Trans Mountain had a booth at the NVIT career fair attended primarily by students of NVIT with interest in employment opportunities expressed by Natural Resource Program students. In addition, the Province of BC Communities in Transition Program were supporting a number of laid off sawmill workers to obtain safety certifications in preparation for employment opportunities related to the Project.

7.2.1.19 Esquimalt First Nation Career Fair - Esquimalt, BC On February 24, 2017, Trans Mountain had a booth at the Esquimalt First Nation Career Fair, which was attended by an estimated 100 or more people. Those interested in employment opportunities on the Project were provided information relating to their interest and information provided to those who were not familiar with the Project.

7.2.1.20 Sto:lo Aboriginal Skills Employment and Training Strategy Career Fair - Chilliwack, BC On March 1, 2017, Trans Mountain had a booth at the Tzeachton Job Fair hosted by Sto:lo Aboriginal Skills Employment Training Services which was attended by approximately 150 individuals. Those interested in employment opportunities were provided information relating to their job interest and directed to register their interest in employment at TMEP’s Employment and Skills Registry.

7.2.1.21 Thompson Rivers University - Kamloops, BC On March 2, 2017, Trans Mountain had a booth at the TRU Career Fair. This annual event brings together many local employers and select employment agencies to promote summer positions and full- time jobs to TRU students. Over 1,000 students attended the fair, along with some non-students from the Kamloops region. There was generally very strong Project support expressed by attendees and a desire for construction to begin as soon as possible.

7.2.1.22 Sto:lo Aboriginal Skills Employment and Training Strategy Career Fair - Pemberton, BC On March 7, 2017, Trans Mountain had a booth at the Mt. Currie/Pemberton Job Fair hosted by Sto:lo Aboriginal Skills Employment Training Services which was well-attended by approximately 150 individuals. Information was provided on job opportunities and anticipated construction start date and directed to register their interest in employment at TMEP’s Employment and Skills Registry.

7.2.1.23 Kamloops Indian Band Career Fair - Kamloops, BC On March 8, 2017, Trans Mountain had a booth at the T’kemlups te Secwepemc Job Fair, which was well-attended by approximately 75 community members. Those interested in employment opportunities were provided information relating to their job interest and directed to register their interest in employment at TMEP’s Employment and Skills Registry.

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Aboriginal, Local and Regional Skills and Trans Mountain Pipeline ULC Business Capacity Inventory Trans Mountain Expansion Project May 2017

7.2.1.24 Citx Nlakapumux Association Career Fair - Merritt, BC On March 8, 2017, Trans Mountain

7.2.1.25 Citx Nlakapumux Association Career Fair - Merritt, BC On March 9, 2017, Trans Mountain attended this well organized with approximately 100 high school students and approximately 50 job seekers moving through tradeshow talking with industry and training service providers. Information was provided to both students and job seekers on type of workers needed for the Project. Job seekers were encouraged to access TMEP’s Employment and Skills Registry.

7.2.1.26 Yellowhead Tribal Development Treaty 6 Career Fair - Edmonton, BC On March 14-15, 2017, Trans Mountain participated at this successful and popular career fair for the second time. Trans Mountain participated by hosting a booth and also through a gold sponsorship of the event. Representing the Treaty 6 Nations the fair is organized by the Yellowhead Tribal Development Foundation (YTDF) (Alexander First Nation, Alexis First Nation, Enoch First Nation, O’Chiese First Nation and Sunchild First Nation) and by the Six Independent Alberta First Nations Society of Hobbema (SIAFN) (Samson Cree Nation, Saddle Lake Cree Nation, Ermineskin Cree Nation, Paul First Nation, Louis Bull Tribe, Montana First Nation). Approximately 700 people attended the event and those that visited the Trans Mountain booth were encouraged to access TMEP’s Employment and Skills Registry to register their interest in employment with the Project.

7.2.1.27 Clearwater Employment Office Career Fair - Clearwater, BC On April 20, 2017, Trans Mountain had a booth at the Clearwater Employment Centre Job Fair hosted by both Clearwater and Barriere Employment Service Centre’s. The fair was small but attended by approximately 50 individuals from both communities. Many unemployed, skilled and experienced workers attended from the forestry sector. Job seekers were encouraged to access TMEP’s Employment and Skills Registry to register their interest in employment with the Project.

7.3 Communication and Engagement Activities - Ongoing 7.3.1 Trans Mountain Responsibilities Trans Mountain will continue to promote job and business opportunities through in-person, print and electronic communication mechanisms described below.

Focus: employment and procurement processes, training and hiring.

Trans Mountain is completing two phases of engagement and communication activities regarding employment and business opportunities following federal government approval of the Project on November 29, 2016. In partnership with Contractors, these phases are designed to maximize stakeholder readiness within a realistic employment context.

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TRANS MONTAIN COMMUNICATION PHASES: EMPLOYMENT AND BUSINESS OPPORTUNITIES

Phase Dates Focus Phase 1 - Complete Q1 2017 • Anticipated workforce needs • Anticipated business opportunities • Minimum employment requirements • Online jobs and procurement registries • Procurement process • Construction timelines Phase 2 and ongoing Q2/Q3 2017 In partnership with Contractors: • Training opportunities • Hiring process • Workforce loading • Sub-contracting and procurement process

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7.3.1.1 Project Website - Employment and Skills and Procurement Registries Trans Mountain promotes the employment and procurement registries through a number of communications channels and activities. A series of webpages provides information about the anticipated employment, procurement, training and education opportunities. Links to the TMEP Employment and Skills and Procurement Registries allow interested individuals to immediately express interest, receive updates and be included in the Project database. Trans Mountain anticipates transferring the data from the registries to Contractors in Q2 2017 following contract awards. Following the initial data transfer, data will be shared quarterly to support the hiring efforts of the Contractors.

A high profile homepage call-out provides a direct link to the jobs page to minimize navigation to the information or registries.

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7.3.2 Newsletters/eNewsletters Trans Mountain issues weekly e-blast newsletters (Trans Mountain Today) to individuals who subscribe to this service. Jobs and procurement updates are frequently referenced in these communications as well as website links.

Trans Mountain also has an employment update and procurement update eNewsletter, which is distributed to organizations and stakeholders throughout the pipeline corridor. The newsletter is also being made available in hard copy at public events and is used during engagement activities.

7.3.3 Brochure Trans Mountain has developed an Employment Opportunities Brochure (https://www.transmountain.com/uploads/pages/141 2049150-Jobs-brochure-Final-web.pdf) which provides a description of each of the positions listed in Table 4.1-1. Additionally, the working conditions and the required training and certifications for each position is outlined. This brochure serves as both a working and promotional tool for employment and training officers in Aboriginal, local and regional communities.

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7.3.4 Postcard Trans Mountain has developed a promotional postcard that provides information about the TMEP Employment and Skills and Procurement Registries. Postcards are distributed during meetings, at job fairs, trade shows, and other events and serve as a reminder to those who speak with Project representatives to visit the Trans Mountain website and register their interest in employment and/or procurement opportunities with the Project.

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7.3.5 Economic Benefits Flyer Trans Mountain has developed an economic benefits promotional flyer, which it distributes to employment offices and other business and industry partners, as requested.

7.4 Contractor Responsibilities Following finalization of contract agreements in Q2 2017, Contractors will hold primary responsibility for promotion of employment, training and business opportunities and will be responsible for all phases of workforce hiring. Trans Mountain will undertake, where appropriate, ongoing communication and engagement initiatives as it relates to Project requirements.

Trans Mountain will work to maximize employment opportunities for Aboriginal, local and regional groups through additional training and by working closely with the selected Contractors throughout the Project. Contractors will be required to adhere to the Trans Mountain Expansion Project Aboriginal, Local and Regional Inclusion Plan. As a component of their Aboriginal, Local and Regional Inclusion Plan, Contractors will be required to submit an Aboriginal, Local and Regional Employment and Training Plan to Trans Mountain for review, audit and approval, to demonstrate activities and process to achieve employment and training objectives including communication efforts. The Plan will include a recruitment

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plan to attract and recruit Aboriginal, local and regional workers over the Project’s construction period including, but not exclusive to:

a) promotional activities including job fairs, advertising and website promotion via the Trans Mountain website and contractor website; b) building and maintaining relationships with Aboriginal groups; c) building and maintaining relationships with ASETS organizations; and d) utilization of local and regional employment offices; Trans Mountain will work with Contractors to finalize and approve the Employment and Training Plans in Q2 2017, the plans will be audited to ensure adherence with the inclusion objective (to maximize) and reporting will take place throughout construction using the indicators listed in Table 24 and 28 of this document and Table 20, as included in the Trans Mountain Education and Training Monitoring Plan (Condition 12b).

Please refer to Section 3 of the Trans Mountain Expansion Project Education and Training Monitoring Plan for further information regarding Contractor requirements.

Trans Mountain will work to maximize business opportunities for Aboriginal, local and regional community businesses by working closely with selected Contractors throughout the Project; Contractors will be required to adhere to the Trans Mountain Expansion Project Aboriginal, Local and Regional Inclusion Plan. As a component of their Aboriginal, Local and Regional Inclusion Plan, Contractors will be required to submit an Aboriginal Procurement Plan and Project Procurement Plan to Trans Mountain for review, audit and approval to demonstrate activities and process to maximize business opportunities with eligible Aboriginal, local and regional businesses/communities identified through the Project’s socio-economic RSA as per Tables 1-10 of this document.

Trans Mountain will work with Contractors to finalize the Aboriginal and Project procurement plans throughout Q2 2017 to ensure that they will meet Trans Mountain’s expectations to maximize potential opportunities for Aboriginal, local and regional businesses to participate in the Project.

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8.0 REPORTING Trans Mountain will file the TMEP Aboriginal, Local and Regional Employment and Business Opportunity Monitoring reports with the NEB as required by NEB Condition 107. The reports will also be made available to the public through Trans Mountain’s ongoing Aboriginal engagement and stakeholder consultation programs and via the NEB website. Contractors will be required to file information regarding the provision of opportunities on a monthly basis.

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9.0 REFERENCES Indspire. 2016. About Indspire. Accessed: September 2016. http://indspire.ca/about-indspire/

Statistics Canada. 2013. National Household Survey – User Guide. Accessed: April 2015. http://www12.statcan.gc.ca/nhs-enm/2011/ref/nhs-enm_guide/index-eng.cfm.

Statistics Canada. 2015. 2011 National Household Survey, Experienced Labour Force Aged 15 Years and Over in Private Households by Sex (3), Age Groups (13), Aboriginal Identity (3), and Occupation - National Occupational Classification (NOC) 2011 (691), for the Census Divisions and Subdivisions (custom data set). June.

Petroleum Human Resources Council. 2014. HR Trends and Insights: Diversity in Canada’s Oil and Gas Workforce (digital file). Calgary, AB. Accessed: April 2015. http://www.careersinoilandgas.com/labour-market-information/reports.aspx.

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APPENDIX A

KINDER MORGAN CANADA ABORIGINAL PROCUREMENT POLICY

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Kinder Morgan Canada (KMC) promotes open and transparent consultation and communication and strives to build lasting relationships with Aboriginal communities and businesses. KMC is committed to ensuring these relationships are based on trust, mutual respect and the achievement of common goals. KMC will work with Aboriginal communities to promote economic development through the identification of opportunities that offer Aboriginal communities and businesses the ability to participate in the procurement of goods and services in support of KMC’s operational and project requirements.

KMC has dedicated personnel who connect Aboriginal companies with KMC’s procurement opportunities and provide advice, information and materials to help Aboriginal businesses in the following way:

• Assist in identifying procurement and economic development opportunities;

• Assist in identifying the processes used to procure goods; and

• Build procurement bidding expertise to assist with the KMC bid process.

Aboriginal Businesses Increasing Aboriginal participation in the procurement of goods and services is a key goal of KMC. Procurement through direct awards, select tenders and specified Aboriginal content in bid documents where appropriate will enable us to realize this goal. To ensure that procurement practices are consistent with our goals, the following criterion is utilized to qualify Aboriginal businesses:

• Sole proprietorships - business must be wholly owned by an Aboriginal person.

• Limited company - business must have at least 51 percent of the equity (including any common or voting shares) owned by one or more Aboriginal Businesses or Aboriginal People.

• Partnership or joint ventures - business must have at least 51 percent ownership rights (including any voting rights) directly held by one or more Aboriginal Businesses or Aboriginal People.

• As determined by KMC in its sole discretion from time to time, any other businesses with a substantial amount of ownership rights held by one or more Aboriginal businesses or Aboriginal people.

Procurement Practices To ensure opportunities are extended to Aboriginal communities and businesses, the following procurement practices may be utilized, as applicable:

• Direct awards - a contract for goods or services that is awarded on an open book basis or without a request for proposal or special requirements for tender basis.

• Limited competitive bidding – a bid where there is an acknowledged number and/or capacity of Aboriginal businesses in a particular commodity or service area, and where fair market value is achieved, KMC may establish a competitive Aboriginal procurement process where only Qualifying Aboriginal businesses will be requested to bid on the procurement. This can include limiting the number of invitations with a minimum of at least three invitations.

• Inclusion of Aboriginal content as a component of the bid evaluation criteria - select KMC procurement opportunities may be required to include an Aboriginal Opportunities Requirement (AOR). The AOR requires that bidders include, in their bid documents, a plan to ensure that an awarded contract must include specified Aboriginal participation and benefits as measured in direct or indirect Aboriginal content value.

This flexible tool allows non-Aboriginal companies to provide benefits to Aboriginal Peoples and communities, assisting KMC to meet its Aboriginal participation objectives, through a range of options including training, employment, procurement, contributions to Aboriginal youth and other programs as specified by the company.

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Regardless of the practice used for procurement, KMC will always seek competitive market based costs and will not compromise safety, the environment, quality or schedule.

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APPENDIX B

TRANS MOUNTAIN EXPANSION PROJECT EMPLOYMENT POLICY

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The Trans Mountain Expansion Project (“the Project”) is committed to providing pipeline and facilities construction employment opportunities for Aboriginal, local and regional communities located along the Project corridor. This policy outlines the strategies created to ensure the overall objectives of the employment program are met.

Employment Objectives • Aboriginal Peoples and local community members participate in employment on the construction of the Project.

• Contractors and Sub-Contractors provide an accessible and welcoming work environment for Aboriginal and local employees.

• Contractors and Sub-Contractors have programs in place to facilitate the hiring and retention of Aboriginal and local workers employed on the Project.

• The construction labour force will have a positive impact on local communities.

• Communication linkages between the Project, Contractors, the Aboriginal and local communities are effective in providing qualified workers on a timely basis.

• Ensure the Project’s high standards for health and safety, concern for the environment, construction quality and schedules are achieved.

Employment Strategies • Provide Contractors and Sub-Contractors with the Project’s expectations for employment, recruitment and retention standards and policies.

• Provide timely information to Aboriginal and local communities on potential employment opportunities and requisite qualifications

• Identify relevant and timely Project information on employment opportunities to inform training institutions and employment organizations.

• Consult with employment service delivery organizations, unions, associations and local communities to establish recruitment processes linking applicants with Contractors and Sub-Contractors.

• Collaborate with Contractors, Sub-Contractors, and employment service delivery organizations to ensure the recruitment of those qualified to work on the Project.

• Monitor Contractors’ commitments to identify and implement retention measures to ensure Aboriginal people continue to be employed to the completion of the work they are hired for and for which they have the necessary qualifications.

• Develop a liaison process for managing Aboriginal and local community concerns during construction.

• Ensure Contractors, Sub-Contractors, and camp policies are inclusive and supportive of a diverse workplace.

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APPENDIX C

TRANS MOUNTAIN EXPANSION PROJECT TRAINING POLICY FOR ABORIGINAL PEOPLES

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Overview Trans Mountain recognizes the unique legal and constitutional rights of Aboriginal Peoples and will be respectful of their history, customs, beliefs and traditions. We are committed to supporting the sustainability of Aboriginal communities through the creation of employment opportunities over the life of the Project. We are committed to the development of an Aboriginal workforce through effective and accessible training programs to maximize their participation in available employment opportunities.

The Trans Mountain Expansion Project is committed to enhancing Aboriginal Peoples’ long-term success through participation in the Canadian economy. This will be accomplished by supporting programs that build capacity in Aboriginal communities, along the TMPL right-of-way and its related facilities, to enhance their ability to benefit from economic opportunities associated with the pipeline industry.

Training Objectives Trans Mountain is committed to the following training objectives to provide Aboriginal Peoples with access to opportunities and resources to benefit from the development of the Trans Mountain Expansion Project.

• Develop working relationships with Aboriginal communities to foster an understanding of their current human resource capacity.

• Collaborate with Aboriginal organizations, industry partners, educational institutions and all levels of government to leverage training funds for the provision of relevant and timely training programs to ensure participation to the greatest extent possible of Aboriginal Peoples in employment opportunities of this Project

• Establish communications to maintain information flow to Aboriginal communities and relevant organizations on the status of the Project to ensure training is planned, scheduled and implemented to meet Project timelines.

• Develop and implement an evaluation plan; including tools to assess training and recruitment effectiveness.

Training Initiatives To achieve the objectives that Trans Mountain has set out, the following initiatives have been identified:

• Establish training priorities and corresponding core budget that identifies training programs based upon community priorities and linked to opportunities available during the construction phase of the Project.

• Support training to employment initiatives that focus on transferable skills related to the construction of the pipeline, facilities and docks.

• Work with Aboriginal and mainstream organizations to deliver training programs designed for successful training outcomes for Aboriginal candidates.

• Identify available resources to assist Aboriginal communities to increase their current capacity to participate in employment.

• Collaborate with Aboriginal communities, educational and training institutions, industry and all levels of government to increase the availability of training funds for Aboriginal communities.

• Provide information on the opportunities available during construction (including pre and post) and during subsequent pipeline operations.

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APPENDIX D

TRANS MOUNTAIN EMPLOYMENT AND TRAINING PROGRAM NATIONAL ENERGY BOARD MONITORING AND REPORTING INDICATORS FLOW CHART

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