HomeMy WebLinkAboutPLN 07-19--,C~of--p](KERJNG From: Kyle Bentley Report to Planning & Development Committee Report Number: PLN 07-19 Date: April 1, 2019 Director, City Development & CBO Subject: Toronto and Region Conservation Authority's Guideline for Dete'rmining Ecosystem Compensation, June 2018 File: D-8000-046 Recommendation: 1. That Council support the use of the Toronto and Region Conservation Authority's Guideline for Determining Ecosystem Compensation, dated June 2018, as a technical guideline to determine compensation for ecosystem loss due to development impacts, where all options for protection have been exhausted, when required through conditions of draft plans of subdivision, zoning, land divisions, and site plans, with the exception of tree removal that falls under the purview of the City's Tree Removal Compensation Fee; 2. That the City collect compensation for ecosystem loss due to development impacts, where all options for protection have been exhausted, when required through conditions of draft plans of subdivision, zoning, land divisions, and site plans, under the circumstances set out in Table 1 in Report PLN 07-19; 3. That staff be authorized to develop a memorandum of understanding in consultation with Toronto and Region Conservation Authority regarding the administration and collection of the fees and technical guidance regarding the interpretation and calculation of compensation in terms of the Guideline; and 4. That staff be authorized to initiate an amendment to the Pickering Official Plan to introduce policies that address ecosystem loss and compensation due to development impacts, where all options for protection have been exhausted, on a city-wide basis. Executive Summary: This report provides information regarding the Toronto and Region Conservation Authority's (TRCA) Guideline for Determining Ecosystem Compensation (the Guideline), issued in June 2018. It also contains a discussion regarding the purpose and scope of the Guideline, the principles that guide its application, its applicability, how it fits into the development approval process, and its implications for the City: The report concludes with a number of recommendations regarding the use of the Guideline, defining its relationship to the City Tree compensation practice, and requesting authorization to initiate an Official Plan Amendment to introduce policies that address ecosystem loss and compensation.
PLN0?-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation 1. Background 1.1 How are natural heritage systems protected? April 1, 2019 Page 2 There is a strong policy framework in Ontario to protect and expand the natural heritage system. The Planning Act identifies the protection of ecological systems, including natural areas, features and functions as a matter of Provincial interest. Similarly, the Provincial Policy Statement requires that the long term ecological function and biodiversity of natural heritage systems should be maintained, restored or enhanced where possible. Municipalities and other agencies protect these systems through various processes. Regional and local official plans designate lands as natural heritage systems where development is generally not permissible. Municipalities may pass Tree Protection By-laws to further regulate natural heritage system lands and/or the destruction of indiviclual trees, and to establish penalties for unlawful removal of trees in the areas covered by the by-laws. Additionally, municipalities may establish compensation protocols to calculate a value for the lost feature, function, or area, and require the value to be used towards enhancing the natural heritage system in a nearby location. The Pickering Official Plan designates and provides policies to protect a robust natural heritage system. The City has passed a Tree Protection By-law in 2003 that prohibits and regulates the injuring, destruction or removal of trees within defined areas of the City. Further, the City passed Tree Inventory, Preservation and Removal Compensation Requirements in January 2018 to address the loss of trees during the development review process, with the exception of the Duffin Heights Neighbourhood, which has its own compensation agreement in place. TRCA is one of the City's partner agencies that plays a strong role in protecting and enhancing the natural heritage system through its regulatory authority, land stewardship, and as a commenting agency on development applications. The Conservation Authorities and municipalities have been continuously working together to reduce the losses to the natural heritage system through the promotion of best practices, strengthening environmental policies, education programs, and compensation requirements. 1.2 Why is a compensation guidelin~ required? In spite of the strong policy framework, and the efforts and initiatives from the City and TRCA to protect, restore, or enhance the natural heritage system, losses to the natural heritage system and features continue to occur due to unavoidable losses associated with urbanization and infrastructure expansion. These losses may become even more apparent due to impacts associated with climate _change. In November 2014, TRCA adopted their Living City Policies. These policies, among other matters, introduced stronger policy direction regarding "compensation", defining it in the context of conservation and land use planning, as "the replacement of lost/altered ecosystem services or ecological functions". The Living Cities policies also recommended that after all other options for protection, minimization and mitigation have been exhausted, and where no other federal, provincial and municipal requirements exist to protect a natural heritage feature being impacted by development or infrastructure, that compensation for the loss of ecosystem services be provided.
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 3 Although compensation has been partially successful in restoring natural heritage systems and ecological functions, TRCA recognized that there have been various challenges in its application. For example, these challenges include the lack of consistent standards and transparency, lengthy negotiations that delay the development approval process, and the lack of direction on selecting sites for ecological restoration. Initial discussions between TRCA and the development industry also revealed that developers would welcome the development of a transparent and standardized compensation protocol or guideline. Subsequently, TRCA investigated best practices for compensation, and produced a Draft Terrestrial Ecosystem Services Compensation Protocol in mid-2015. A consultation process followed with key stakeholders, the building industry, and municipalities. Staff, in their comments on the Draft Protocol, supported in the principle the concept of a standardized ecosystem compensation protocol and provided technical comments. Following a review of the comments received, TRCA revised the Draft Protocol, and renamed it "Guideline for Determining Ecosystem Compensation". The TRCA Board endorsed the Guideline in June 2018 and directed TRCA staff to work with municipalities and public agencies to implement it, recognizing their distinct regulatory frameworks. The Guideline is posted on TRCA's website and can be accessed via the following link: https ://trca.ca/app/uploads/2018/07 /TRCA-Guideline-for-Determ ining-Ecosystem-Compensation-J une-2018. pdf. 2. The purpose and scope of the Guideline? The Guideline was developed in support of TRCA's Living City Policies. The Guideline provides direction for compensation in a consistent and transparent manner, after it has been decided through a planning, environmental assessment and/or permit process, that the impact on a natural heritage feature cannot be avoided, minimized or mitigated. The Guideline determines requirements for replacing the natural features and related functions that are lost to development or infrastructure. It deals with the loss of the feature and the land base associated with the ecosystem function. Other important aspects that have been clarified by the Guideline are the following: • the roles of the parties (TRCA, municipalities, and proponents) • the applicability of the Compensation Guideline, specifically with regard to the type of features and how it relates to other replacement tools, and • the method to determine the compensation amount, and the simplification thereof. TRCA will be regularly reporting to their Board on the status of compensation projects undertaken by TRCA, financial bookkeeping, and project monitoring results. 3. Principles that guide its application The following seven principles help guide the application and implementation of the Guideline: • Compensation must be considered only as a last resort within the established mitigation hierarchy of: Avoid, Minimize, Mitigate, Compensate.
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 4 • The compensation process should be transparent, helping to ensure accountability of all parties involved. • The compensation process should strive to be consistent and replicable. • Compensation outcomes should strive to fully replace the same level of lost ecosystem structure and function in proximity to where the loss occurs, and where possible, achieve an overall gain. • Compensation should be directed to on-the-ground ecosystem restoration and be informed by strategic watershed and restoration planning. • Implementation of compensation should be completed promptly so that ecosystem functions are re-established as soon as possible after (or even before) losses occur. • The compensation process should use an adaptive management approach incorporating monitoring, tracking, and evaluation to gauge success and inform program improvements. 4. The Applicability of the Guideline The Guideline contains a comprehensive overview of its applicability. The Guideline: • applies to all new applications or project undertakings that come before TRCA on or after June 22, 2018, and to any existing applications or project undertakings before TRCA that have not received approval as of June 22, 2018; • applies to all cases where money is directed to TRCA, through an agreement, to implement ecosystem restoration and conservation land securement; • applies to any natural feature (e.g., woodlands, wetlands, thickets and meadows) that has been determined through the review of development applications, infrastructure or TRCA permits, to require compensation; • does not apply to street trees or trees in parks that are not associated with natural features; • requires compensation be applied to re-establish natural ecosystems; • is not intended for the provision or improvement of engineered green infrastructure, such as green roofs; • does not contain stipulations for determining compensation for the loss of fish habitat and defers to provincial and federal ministries; • recognizes and supports other compensation programs such as municipal by-laws for tree replacement; • stipulates that TRCA will continue to support other compensation programs by providing technical guidance and coordinating with municipal staff to avoid duplication, and to assist in the development of new or updated by-laws, as needed; • acknowledges that municipalities may have enabling policies in their official plans regarding compensation, in which case the Guideline may be used as technical guidance in implementing such policies; and • recognizes that municipalities may have their own uriique approach to compensation, and may wish to adapt the Guideline to their own needs.
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 5 5. How does Compensation fit into a development or infrastructure approval process? Figure 1 (contained in the Guideline) and provided as Attachment #1 to Report PLN 07-19, illustrates how compensation might fit into the current review and approval process for development applications and infrastructure. The figure illustrates that the Guideline is a . tool that is used by TRCA, in cooperation with the municipality, once a decision has been made that ecosystem loss is unavoidable. 6. What are the implications for the City? In answering this question, it is important to first point out the mechanisms or regulatory means the City currently uses to request compensation. a. The Pickering Official Plan The Official Plan contains a number of policies on the subject of compensation, which pertain only to a few specific geographic areas in the City and to major infrastructure projects. While the principle of compensation is already embedded in the Official Plan, the current policies regarding compensation are specific to only infrastructure expansions, certain urban neighbourhoods and certain natural heritage features, and do not directly address ecosystem loss and compensation due to development impacts, on a city-wide basis. Nonetheless, policy 2.5.a) of the Plan states that critical ecological functions and components should be protected from inappropriate human uses and activities. The City consults and collaborates with TRCA and the development industry to seek favorable outcomes where these functions and components cannot be protected through the unavoidable loss of key natural heritage or key hydrologic features due to development or infrastructure impacts. Yet, the absence of City-wide policies in relation to ecosystem loss and compensation leaves a policy void. This void can hamper the City and TRCA's efforts to achieve shared objectives for a connected and robust natural heritage system and to reach a satisfactory level of compensation. A more complete policy framework on ecosystem loss and compensation will create a level playing field and a greater degree of consistency for all development proposals in the City, irrespective of the geographic area in the City or the type of natural feature impacted. It is therefore recommended that new enabling policies be developed for the Pickering Official Plan, providing a stronger basis for collaboration between parties and to achieve consistent and fair compensation. With respect to municipal infrastructure projects, the Guideline acknowledges that such projects may face challenges. The Guidelines stipulate that TRCA will work with municipalities to explore offsetting losses to the natural heritage system through such means as ecological restoration and enhancement programs.
PLN0?-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation b. Council's Tree Protection By-law and Compensation Practice April 1, 2019 Page 6 Council has a Tree Protection By-law (6108/03) in place. It prohibits and regulates the removal of trees within defined areas of the City (within shoreline and stream corridors, wetlands and environmentally significant areas identified in Schedule Ill of the Pickering Official Plan, and areas within 30 metres on lands adjacent thereto), subject to certain exemptions such as woodlots that are governed by By-law #031-:2012 of the Regional Municipality of Durham. A person who wishes to remove a tree within the defined area, must apply for a permit to do so. The provisions of the City's By-law does not apply to the removal of trees imposed as a condition to the approval of a site plan, a plan of subdivision or consent, or any agreement entered into to that effect. In order to formalize the City's tree removal compensation practice when required by conditions of draft plan of subdivision, zoning, land division or site plan approval, the Council adopted a compensation fee for tree removal in January 2018. Tree compensation is one of the tools used by the City to implement the policies in the Pickering Official Plan regarding the protection, restoration, management and expansion of the City's urban forest. The scope of this policy is limited to "tree removal", and does not extend to the loss of ecosystem functions and the associated land base. In a manner similar to TRCA's Compensation Guideline, the priority for compensation is replacement plantings on the development site. If there is insufficient room for these plantings on site, it may take place on other publicly owned lands in proximity to the development site. If there is insufficient space to plant all the trees required for compensation, the City may take cash-in-lieu to be used for tree planting initiatives within a neighbouring community, if possible. Prior to TRCA's Compensation Guideline and Council's adoption of a Tree Compensation fee, the decision on who collects the compensation for tree loss was often part of a negotiation process between TRCA and the City. Any compensation in relation to other ecosystem losses was mainly a matter TRCA took up with developers, but in the absence of a formal compensation guideline, there was confusion and uncertainty as to when, why and how compensation should be collected. Hence, the need for the Guideline. In order to: clarify the application of the City's Tree Removal Compensation fee in relation to the Guideline; distinguish the type and location of the features for which compensation is required; and to prevent any duplication of compensation efforts, staff recommends the following approach:
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 7 Table 1 Location of feature What features and/or Authority IT ool ecosystem functions? Within the City of Pickering Individual trees Council's adopted Tree (outside TRCA's regulatory Removal Compensation area), through a City condition of Fee, and the Pickering site plan approval, draft plan of Official Plan subdivision, zoning, or land division Within the City of Pickering Woodlands, areas of natural TRCA's Guideline, and the (outside TRCA's regulatory and scientific interest, and Pickering Official Plan area), through a City condition of other non-regulated features, site plan approval, draft plan of and their related ecosystem subdivision, zoning, or land functions, (which could include division the associated land base) Within the City of Pickering Individual trees Council's adopted Tree (inside TRCA's regulatory area), Removal Compensation through TRCA permit process, a Fee, and the Pickering condition of site plan approval, Official Plan draft plan of subdivision, zoning, or land division Within the City of Pickering Woodlands, wetlands, valley TRCA's Guideline, and the (inside TRCA's regulatory area), lands, shorelines, areas of Pickering Official Plan through TRCA permit process, a natural and scientific interest, condition of site plan approval, and their related ecosystem draft plan of subdivision, zoning, functions, (which could include or land division the associated land base) To advance the implementation of the Guideline in accordance with the table above, staff will be developing a memorandum of understanding (MOU) in consultation with TRCA with respect to matters such as the administration and collection of fees, and technical guidance regarding the interpretation and calculation of compensation in accordance with the Guideline. Once the MOU has been developed, it will be presented to Council for endorsement. 7. Conclusion Acknowledging and strengthening of the natural heritage system and its functions through a more holistic, integrated approach to compensation is important for the health and sustainability of the watersheds and the ecosystem in the City.
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 8 TRCA's Compensation Guideline: sets consistent standards and a transparent process in place; creates a greater level of predictability; clarifies the roles of all parties; leads to shorter negotiations and development approval timelines; and puts in place a strategic site selection method for ecological restoration. To ensure consistent application of the Guideline and coordination with the City's current compensation practices, staff recommends that: • Council support the use of Toronto and Region Conservation Authority's Guideline for Determining Ecosystem Compensation, dated June 2018, as a technical guideline to determine compensation for ecosystem loss due to development impacts, where all options for protection have been exhausted, when required through conditions of draft plans of subdivision, zoning, land divisions, and site plans, with the exception of tree removal that falls under the purview of the City's Tree Removal Compensation Fee; • the City collect compensation for ecosystem loss due to development impacts, where all options for protection have been exhausted, when required through conditions of draft plans of subdivision, zoning, land divisions, and site plans, as illustrated in Table 1 in Report PLN 07-19; • Council authorize staff to develop a memorandum of understanding in consultation with TRCA regarding the administration and collection of the fees and technical guidance regarding the interpretation and calculation of compensation in terms of the Guideline; and • Council authorize staff to initiate an amendment to the Pickering Official Plan to introduce policies that address ecosystem loss and compensation due to development impacts_, where all options for protection have been exhausted, on a city-wide basis. This report was prepared in consultation with TRCA and the City's Engineering Services Department. Attachment 1 Figure 1: Compensation and Review and Approval Processes
PLN 07-19 Subject: TRCA's Guidelines for Determining Ecosystem Compensation April 1, 2019 Page 9 Prepared By: n Jacobs, MCIP, RPP Principal Planner, Policy Jeff Brooks, MCIP, RPP Manager, Policy & Geomatics Arnold Mostert, OALA Senior Coo_rdinator, Landscape & Parks Development DJ:ld Recommended for the consideration of Pickering City Council Tony Prevedel, P.Eng. Chief Administrative Officer Approved/Endorsed By: !~~ Catherine Rose, MCIP, RPP Chief Planner ;l ~ ~ntley, P. Eng. Director, City Development & CBO
ATTACHMENT# I TO R~PORl # f¥:-N 07-19 Figure 1: Compensation and Review and Approval Processes ~ -I m ::C <m -"' mm :e "' )Ii -I zm c~ )Ii 'Tl .,, 0 .,, r-~ 6 ~== r-m .,, "' ~ i! 0 OJ n r-m -"' "' "' ::c DI~ :i! m -I "' ::c m m "' -I iii ~ .,, >~ G\ z C: 'Tl -o c~ C: == Zm me ~ PRIVATE LAND DEVELOPMENT PROPOSALS AVOID MINIMIZE MITIGATE PUBLIC INFRASTRUCTURE UNDERTAKINGS If there remains unavoidable loss TRCA COMPENSATION GUILDELINE Determine Compensation How much compensation is required to address loss Apply Compensation Stakeholde.r agreements, Implementation plans and actions Track Compensation Document decisions and actions <---Guideline is separate from other off-setting requirements but may be influenced or replaced by them Other public agency off-setting requirements r --I I I I\ Restoration Opportunities Strategic direction on restoration locations and design TRCA Guideline for Determining Ecosystem Compensation Page4