REPORTING · 11th July 2010
The Kitimat City Council Met on Monday, July 5th for their Regular Meeting of Council. Mayor Joanne Monaghan called the meeting to order at 7:30 Pm. Not present were Councillor Mario Feldhoff and Municipal Manager Trafford Hall.
Monaghan introduced new faces. First she introduced Steve Christiansen, the new Community Treasurer. She also introduced Anthony, the new reporter from the Northern Sentinel. She also thanked everyone who participated in the July First Celebration.
The first presentation was Barbara Campbell from Kitimat Minor Fastball. She thanked Council for their ongoing support. However, the tournament they were going to hold has been cancelled. She returned the $3000 Grant and thanked the community for trying to make the tournament a success.
Dr. Bruce Bidgood was not around yet so Kevin Brown and Michelle Perret took the stand representing Enbridge with Perret taking center stage. She started speaking about the regulatory process which started last May. She explained there were three specialists reviewing the application on the Joint Review Panel. She estimated the regulatory process would take until 2012, construction would begin in 2013 and the pipeline would take 3 years to construct. There would be two pipelines, one to import condensate.
She moved onto Marine safety explaining there were 8.4 million barrels a day being transported out of North America. She said they will make the project safer through radar, set the criteria for the ships even though they do not own them, the use of BC pilots, the use of tethered tugs, environmental monitoring ahead of the ship and exceeding the Canada Shipping Act.
She asked the Council to watch their DVD, available at their office. She said Enbridge is committed to the safety of their pipeline, determining the safest route for the pipeline. She said the pipeline has already been re-routed to make sure it is safe. She said they had people ensuring the water crossings were safe. She added there were people monitoring the pipeline for anything out of the ordinary and who can shut the pipeline down. They also use methods within the pipeline to inspect the pipes.
Perret explained the benefits can be divided into regulatory, consultation and operation phases. In the regulatory phase, the benefits come from the studies which are currently being done. This requires local equipment rentals and use of hotels and restaurants. During the construction phase, they will divide the pipe into construction spreads which vary from 90-150 km with 2000 to 3000 workers employed at this time. She stated there were many spin off jobs which would come with this and explained what they were. She added there would be $165 million tax revenue for BC, $114 million to Alberta and $912 million to Canada.
Moving on to operations, Perret said there would be 560 jobs in BC, 380 in Alberta and $58 Million in BC and Alberta. She said there would be long term community benefits. Councillor Richard McLaren wanted to know where the pipe would be coming from, such as overseas. Perret did not know and would be determined at a later stage. McLaren hoped if the pipe came from overseas, there would be room for assembly in Kitimat.
Councillor Randy Halyk asked what a person year, a term she had used earlier in her presentation was. Perret answered it was a way economists look at number. A 4 month job is not a person year but three four month jobs is a person year. Halyk’s second question was how many BC workers there would be. The response, they are looking at local workers wherever possible but there are people who travel from pipeline to pipeline who would get jobs. Welders would also be hired. Skill, experience and interest would be the skills they are looking for.
The next question was if they would be hiring a company to install the pipeline. The answer depends on capacity availability and interest. His final question was about the property taxes, $36 per annum. She estimated $29 million in BC, she was unable to estimate the number and hoped to have the answer but it had to be double checked because it was a large number. Monaghan said it would be $25 million a year. Perret said this was the same number she heard.
Councillor Rob Goffinet asked a good question about the direct jobs during the operational phase which Perret was unable to answer. She did say there would be 50-60 jobs in Kitimat.
Councillor Bob Corless said the last time pipelines were here, they used Kitimat as a pawn. He said they have announced a pipeline from here to Texas. He wanted to know if this was going to happen again. She explained it was based on commercial interest in opposition to anything else. Halyk asked about spill and emergency response, the standards for vetting vessels and the Termpol process.
Perret said the response information was in one of their reports which have been filed. There was a significant review of the marine options. She said there would be double hulled vessels and a limit on age among other things vetted through a third party. With that there were no further questions.
The first motion to hire an acoustic engineer for Tamitik Arena. Halyk explained the announcer was not clear and there was a problem with the acoustics. He said the opportunity to do something about it was here. He added there was a proposal in 2006. He moved to approve the rest of it, a $30,000 on the acoustics. However, there was already a motion on the table so he was asked to deal with one before making the other.
Martin Gould advised council the 2006 report had already directed administration to-do work in Tamitik, Riverlodge and KIR in subsequent years. He said the sound system used during the Bull-O-Rama belonged to Sight and Sound. Councillor Gerd Gottschling clarified a different sound system was used and there were issues in 2009. The problem was the huge space which the sound system bounces around, it echoes. There were no problems when the arena is full.
Halyk said a sound engineer did come in and told them the speakers would work if placed at a certain level. They used the sound system the first year, Sight and Sound had been hired for better sound and they still did not get good sound.
Corless pointed out they should not have gone through the budget process because they keep spending money full steam ahead. Goffinet said they have a report which was specific to the facility and the money should go through the Budget Process. Halyk compared this sound system to the Mount Elizabeth Theatre Sound System and the reopening of KIR.
Corless suggested taking the money from the Eurocan Viability Study, Halyk suggested taking it from the dog pound. The motion failed unanimously. Halyk motioned the sound system be implemented immediately. There was no seconded.
The next motion was for the status report layout be altered for better readability. Halyk said it is time to make it more readable and suggested chronological order much like a to-do list. The motion was carried.
The final motion was to offer a tax holiday to anyone who buys Eurocan using the Pyroy model. Halyk said it was a long process and the viability report came back positive. It makes sense to show they are open for business. He said they could demonstrate to investors, they are open for business.
McLaren said this was a difficult subject. He had prepared what they have done in Quesnal for giving tax relief for West Frasier. He suggested tabling the motion and studying what other people have done. The tabling motion was carried.
Council moved onto bylaws. Recreation fees were given final adoption. The parking amendment bylaw received two readings and notice to notify residents of the change. It was carried.
The TECUP for a picture framing business at 96 Yukon street was renewed although Halyk was concerned there were a lot of empty storefronts. He said he could understand why but he said the rentals on the storefronts are very high, parallel with Vancouver.
The TECUP for the log sort on Forest Avenue was introduced. Councillor Goffinet reminded Council this was a log sorting operation with most of the fibre being towed away from Kitimat. Both the Eurocan and Pytrade projects need the fibre and hoped the fibre would not be dumped but be processed through the two companies. He would vote for the motion for these projects. The memorial bench to be put in by Overwaitea received approval with several conditions.
In communication, the letter on the proposed road to Alaska was received for information because the project had been around for a while. The request for a referendum was also received for information. The Coast Mountain Board of Education Advisory Planning Member was received for information.
Council moved on to new business. Halyk talked about the meeting Tuesday. Monaghan clarified it was a Viability Group Initiative which Council is a member. Halyk reminded Monaghan they do support the viability group.
On a second topic, Halyk said the Mayor was still on the Gateway Alliance website speaking to the project. He said he was not here during the last motion. He suggested the Mayor asked to have her photo removed. She said she said what they passed at the meeting and reminded Halyk he was not at the last meeting.
Halyk referred back to Cuff who has done a report for Lillooet information which is clear on how Mayor and Council should work together. He said the Mayor should be approaching Council on this. Monaghan said Former Mayor Richard Wozney had appeared in an Enbridge brochure during his time on Council and he had not asked Council if he could say this. She then produced another article where Wozney had spoken in favour of the Enbridge project. She said he was also in an Enbridge video. Halyk reminded her “Two wrongs don’t make a right.”
Gottschling said Cuff could give them an interpretation. Monaghan said she had not read the paper but she had talked to Mr. Cuff. Gottschling said she would understand the issue if she read the Lillooet paper. He said she did not understand the motion from the last meeting and they were concerned they have not made a decision on the issue.
Gottschling stated the Mayor needs to consult with council before they speak on behalf on council. Monaghan was going wait for Cuff. She closed the meeting on that note because it had been beaten to death
Gottschling said they were spending too much money on this issue. Goffinet thanked the Mayor because they were over looking the issue. She said staff would be instructed to remove the photo.
There was no in camera so the meeting was adjourned.