ROBERTS BANK SOCIO-COMMUNITY AND …...Roberts Bank Container Expansion Project CitySpaces / Novacorp Deltaport Third Berth Socio-Community and Economic Impact Assessment November

ROBERTS BANK

SOCIO-COMMUNITY AND

ECONOMIC IMPACT ASSESSMENT

Prepared For:

Vancouver Port Authority

2700 Granville Square

200 Granville Street

Vancouver, BC

V6C 2P9

Prepared By:

CitySpaces Consulting Ltd

Suite 910, 688 West Hastings Street

Vancouver, BC

V6B 1P1

Novacorp Consulting Inc

#20 – 4100 Salish Drive

Vancouver, BC

V6N 3M2

November 30, 2004

Roberts Bank Container Expansion Project CitySpaces / Novacorp

Deltaport Third Berth

Socio-Community and Economic Impact Assessment November 30, 2004

TABLE OF CONTENTS

EXECUTIVE SUMMARY ............................................................................................................................................... 1

1.0 INTRODUCTION.................................................................................................................................................1-1

2.0 SOCIO-COMMUNITY AND ECONOMIC IMPACT ASSESSMENT – APPROACH AND

METHODOLOGY..........................................................................................................................................................2-2

2.1 DISTINCTION BETWEEN SOCIO-COMMUNITY AND ECONOMIC IMPACTS .........................................................2-2

2.2 GEOGRAPHICAL AREAS ......................................................................................................................................2-2

2.3 BASELINE COMPONENTS.....................................................................................................................................2-3

2.4 INCREMENTAL IMPACT ASSESSMENT.................................................................................................................2-4

2.5 CONSTRUCTION AND OPERATIONAL IMPACTS EVALUATION ...........................................................................2-4

2.6 SOCIO-COMMUNITY IMPACT ASSESSMENT METHODOLOGY ............................................................................2-4

2.7 ECONOMIC IMPACT ASSESSMENT METHODOLOGY AND MODEL .....................................................................2-5

2.7.1 Economic Impact Terminology .................................................................................................................2-6

2.7.2 Overview of the Economic Model .............................................................................................................2-7

3.0 SOCIO–COMMUNITY ECONOMIC SETTING...........................................................................................3-9

3.1 PROJECT SETTING ...............................................................................................................................................3-9

3.2 DELTA OVERVIEW ............................................................................................................................................3-10

3.2.1 Ladner .......................................................................................................................................................3-10

3.2.2 Tsawwassen ..............................................................................................................................................3-10

3.2.3 North Delta ...............................................................................................................................................3-10

3.2.4 Population.................................................................................................................................................3-11

3.2.5 Age Distribution .......................................................................................................................................3-11

3.2.6 Language ..................................................................................................................................................3-11

3.2.7 Family Structure.......................................................................................................................................3-12

3.2.8 Land Use Planning Context.....................................................................................................................3-12

3.2.9 Delta Official Community Plan ...............................................................................................................3-12

3.2.10 Land Use.................................................................................................................................................3-13

3.3 TSAWWASSEN FIRST NATION (TFN) OVERVIEW ............................................................................................3-16

3.3.1 TFN Demographic Data ..........................................................................................................................3-16

3.3.2 TFN Community Vision ...........................................................................................................................3-17

3.3.3 Land Use: TFN Reserve...........................................................................................................................3-17

3.3.4 Tsawwassen First Nation Agreement in Principle.................................................................................3-18

3.4 THE GREATER VANCOUVER REGIONAL DISTRICT ..........................................................................................3-18

3.5 TRANSPORTATION AND TRAFFIC......................................................................................................................3-19




3.5.1 Road ..........................................................................................................................................................3-19

3.5.2 Rail ............................................................................................................................................................3-19

3.5.3 Air..............................................................................................................................................................3-20

3.5.4 Marine.......................................................................................................................................................3-21

3.5.5 Commuting Patterns ................................................................................................................................3-21

3.6 HEALTH, EMERGENCY AND PROTECTIVE SERVICES .......................................................................................3-21

3.6.1 Hospitals/Medical Facilities ...................................................................................................................3-21

3.6.2 Police Services .........................................................................................................................................3-22

3.6.3 Security .....................................................................................................................................................3-22

3.6.4 Fire Department .......................................................................................................................................3-25

3.6.5 Ambulance Service ...................................................................................................................................3-26

3.6.6 BC Rail Emergency Protocols.................................................................................................................3-26

3.7 COMMUNITY AND SOCIAL SERVICES AND FACILITIES ....................................................................................3-27

3.7.1 Schools and Educational Institutions......................................................................................................3-27

3.7.2 Community Services .................................................................................................................................3-27

3.7.3 Public Libraries........................................................................................................................................3-28

3.7.4 Recreation and Parks...............................................................................................................................3-28

3.7.5 Regional Parks .........................................................................................................................................3-28

3.8 TSAWWASSEN FIRST NATION COMMUNITY FACILITIES AND SERVICES ........................................................3-29

3.8.1 Community Facilities and Services .........................................................................................................3-29

3.9 ECONOMIC BASELINE INFORMATION ...............................................................................................................3-29

3.9.1 Labour Force............................................................................................................................................3-29

3.9.2 Personal Income.......................................................................................................................................3-32

3.9.3 Economic Development – Building Permits and Housing Starts..........................................................3-34

3.9.4 Economic Development – Incorporations and Bankruptcies ................................................................3-36

3.9.5 Local Industrial Base ...............................................................................................................................3-37

4.0 SOCIO–COMMUNITY IMPACT ASSESSMENT.......................................................................................4-41

4.1 CONSTRUCTION IMPACTS .................................................................................................................................4-41

4.1.1 Population and Demographics................................................................................................................4-41


4.1.3 Land Use ...................................................................................................................................................4-43

4.1.4 Noise Impacts on Land Use .....................................................................................................................4-43

4.1.5 Visual Impacts on Land Uses ..................................................................................................................4-44

4.1.6 Air Quality on Land Uses ........................................................................................................................4-45

4.1.7 Transportation..........................................................................................................................................4-46

4.1.7.1 Roads.................................................................................................................................................................... 4-46




4.1.7.2 Rail ....................................................................................................................................................................... 4-47

4.1.7.3 Marine .................................................................................................................................................................. 4-48

4.1.8 Hospital/Medical Services .......................................................................................................................4-48

4.1.9 Police ........................................................................................................................................................4-48

4.1.10 Security ...................................................................................................................................................4-49

4.1.11 Fire Protection .......................................................................................................................................4-49

4.1.12 Community and Social Services and Facilities ....................................................................................4-49

4.2 OPERATIONAL IMPACTS....................................................................................................................................4-49

4.2.1 Population and Demographics................................................................................................................4-50


4.2.3 Land Use ...................................................................................................................................................4-51

4.2.4 Noise Impacts on Land Uses ...................................................................................................................4-52

4.2.5 Visual and Lighting Impacts on Land Uses............................................................................................4-52

4.2.6 Air Quality and Human Health ...............................................................................................................4-53

4.2.7 Transportation..........................................................................................................................................4-54

4.2.7.1 Roads.................................................................................................................................................................... 4-54

4.2.7.2 Rail ....................................................................................................................................................................... 4-55

4.2.7.3 Marine .................................................................................................................................................................. 4-55

4.2.8 Hospital/Medical Services .......................................................................................................................4-56

4.2.9 Police Services .........................................................................................................................................4-57

4.2.10 Security Services ....................................................................................................................................4-57

4.2.11 Fire Protection .......................................................................................................................................4-57

4.2.12 Community and Social Services and Facilities ....................................................................................4-57

5.0 ECONOMIC IMPACT ASSESSMENT..........................................................................................................5-60

5.1 CONSTRUCTION PHASE DIRECT ECONOMIC IMPACT..................................................................................5-61

5.1.1 Capital Expenditure Estimates and Timing............................................................................................5-61

5.1.2 Construction Phase Direct Economic Impacts ......................................................................................5-62

5.1.3 Construction Phase Direct Economic Impact Summary and Distribution...........................................5-65

5.1.4 Local Issues and Opportunities associated with the Construction Phase............................................5-67

5.1.5 Construction Phase Economic Impact Interpretation ...........................................................................5-68

5.2 NEW TERMINAL OPERATIONS DIRECT ECONOMIC IMPACT ............................................................................5-68

5.2.1 New Terminal Operational Expense Estimates and Timing..................................................................5-69

5.2.2 New Terminal Operations Direct Economic Impacts ............................................................................5-69

5.2.3 New Terminal Operations Direct Economic Impact Summary and Distribution ................................5-74

5.2.4 New Terminal Operations Economic Impact Interpretation.................................................................5-76

5.3 DIRECT ECONOMIC IMPACT FROM BUSINESS ACTIVITIES OUTSIDE THE TERMINAL .....................................5-76




5.3.1 Ex-Terminal Direct Economic Impact Estimates and Timing...............................................................5-77

5.3.2 Ex-Terminal Direct Economic Impact Summary and Distribution ......................................................5-78

5.3.3 General Overview of Operational Phase Container Industry Business Opportunities.......................5-80

5.4 OVERALL DIRECT ECONOMIC IMPACT SUMMARY ..........................................................................................5-81

5.5 SECONDARY ECONOMIC IMPACTS....................................................................................................................5-81

6.0 SUMMARY AND CONCLUSIONS ................................................................................................................6-84

6.1 SUMMARY OF MITIGATION RECOMMENDATIONS............................................................................................6-84

6.2 SIGNIFICANCE AND CHARACTERISTICS OF NET SOCIO-COMMUNITY AND ECONOMIC IMPACTS ..................6-85

7.0 REFERENCES ....................................................................................................................................................7-87



Socio-Community and Economic Impact Assessment ES-1 November 30, 2004

EXECUTIVE SUMMARY

The Socio-Community and Economic Impact Assessment (SEIA) addresses community and

economic impacts associated with the Construction and Operational Phases of the Deltaport

Third Berth Project.

The study area for the SEIA was defined as Canada, the Province of British Columbia (BC), the

Greater Vancouver Regional District (GVRD), the Corporation of Delta (Delta) and the

Tsawwassen First Nation (TFN). The economic assessment section examined impacts and

benefits for all geographic areas (with Delta and TFN combined in one area), while the socio-

community section examined impacts as they primarily related to Delta, TFN and the GVRD.

The socio-community impact assessment focused on population/demographics, land/resource

use, health services, emergency services (police and fire), social services, community

facilities/services, transportation and traffic, parks/recreation, noise, air quality, and visual and

lighting impacts.

The Economic impact assessment focused on employment/job generation, wages and salaries

paid, goods and services purchased, taxes paid, economic development, labour force, local

businesses, personal income characteristics and housing.

Socio-Community Impacts During Construction

Demographic Impacts

Impacts on the local population base during construction of this project are considered to be very

low. The vast majority of workers will come from outside of Delta. There will be some local

hiring opportunities and some workers may choose to locate closer to the project site if their

particular job extends over the full 3 years of construction.

Within the planning context of the local area, the construction will provide local job

opportunities, which is one of Delta’s OCP policies and one of TFN’s community goals.

Construction itself will have minimal impact on existing land uses in the local area as the Project

is contained on existing Port and Provincial Crown land and railway rights of way.




Noise Impacts

Noise impact assessments have determined that day time and night time construction noise levels

would be below existing ambient levels and inaudible under most atmospheric conditions. Noise

control requirements will be outlined in the construction contract. Details of the noise impact

assessment are provided in Chapter 14 of the Application.

Visual and Lighting Impacts

Visual impacts of the construction at the terminal are considered low from three of the

viewpoints and of minor concern from the fourth viewpoint at the BC Ferry causeway. Similarly

lighting mitigation during construction has been proposed to minimize glare on land.

Air Quality Impacts

The air quality and human health assessments indicate that the contribution of construction

emissions to the predicted exceedances to the Canadian Acceptable Objective for hourly N02

and CO is negligible. The human health risk assessment signifies an absence of potential acute or

chronic health risks in the local study area during construction.

Transportation Impacts

Roads will be temporarily impacted during construction due to the additional traffic generated by

construction vehicles/equipment and construction worker traffic. This impact is not considered to

be significant and can be minimized with a traffic management plan prepared by the contractor

in collaboration with VPA, MoT, and the Corporation of Delta including engineering and

emergency services staff.

Rail construction will have minimal impact on the local area since construction will take place

within existing rights of way. Likewise marine traffic will continue to use the existing berths at

Deltaport within a navigational safety plan.

Emergency Response Services

Hospital and other medical services will experience some increase in usage from construction

related injuries but this is only expected to average about one incidents per month. The required

level of response can be accommodated with the existing medical and emergency services.

Police services that are required to respond to any incidents at the construction sites are expected




to be minimal given VPA’s own reinforced security provisions and personnel. Likewise it is

anticipated that Fire Department services to the sites will be minimal.

Community and Social Services

Community and social services/facilities will likely not to be used by construction workers.

Socio-Community Impacts During the Operational Phase

Demographic Impacts

Impacts on the local population base during operations of the Third Berth are considered to be

very low. The vast majority of workers will come from outside of Delta. There will be some

local hiring opportunities and some workers may choose to locate closer to the project site.

Within the planning context of the local area, the operations at the new berth, as well as new and

expanded business operations away from the terminal, will provide local job and business

opportunities meeting one of Delta’s OCP policies and one of TFN community goals. In addition

it addresses a provision of Delta’s industrial area policy which is to encourage and enhance the

development and servicing of existing industrial areas and increase the municipal tax base.

The operations will also have minimal impact on existing land uses in the local area as the Third

Berth project is an expansion to an existing self-contained facility, contained on existing VPA

and Provincial Crown land, and the off-site rail is within an existing railway right of way.

Noise Impacts

Additional noise levels during the operations phase are primarily due to increased train traffic

and rail operations. Noise levels associated with terminal operations are not considered to be

significant and are predicted to be within 1 to 2 dBa. Noise mitigation recommendations are

presented in Chapter 14 of the application.

Visual and Lighting Impacts

The visual impacts during operations are similar to construction and some landscaping mitigation

strategies have been recommended. Lighting mitigation has also been recommended to create

reduced impact of the lighting systems. Mitigation measures are presented in Chapters 15 and 16

of the Application.




Air Quality Impacts

Air quality assessments have determined emissions concentrations are well below ambient

criteria. The concentration ratio and exposure ratio measured are below the standard measure of

1.0, signifying an absence of potential or chronic health risks in the local study area.

Transportation Impacts

An increase in traffic will occur on the local and regional road network as a result of the Project.

This will include increased container truck traffic, and additional employee and supplier traffic.

Chapter 2.0 of the Application recommends mitigation strategies to accommodate this additional

traffic. The proposed closure of the south leg of 57B Street at Deltaport Way will also have an

impact on local farmers and the community. Further consultation is required with the

Corporation of Delta, the Delta Farmer’s Institute, and local residents to review the proposed

closure and an alternate access for farmers using this route. This review should also examine the

potential safety benefits of the 57B Street closure.

In addition, the SEIA recommends that VPA continue to work with the Corporation of Delta, the

Municipality of Surrey, the City of Langley and the Township of Langley to resolve road related

issues as they arise.

Rail operations will impact traffic and wait times at level crossings and increase noise from

longer and more trains traveling through the local communities. Chapter 2.9 of the Application

outlines mitigation strategies for these situations.

The marine navigational impact assessment concludes that the navigational impact during

operations will be low.

Emergency Response Services

The present usage of hospital and medical services by Deltaport is low and expected to add only

5 to 7 more visits per year to the local hospital and 2 to 3 more calls per year for ambulance

service.

Police services are seldom used by the Deltaport operations at present. This will be further

reinforced by the new security measures and personnel now being used at all VPA terminals and

operations as part of the implementation of the Marine Transportation Security Regulations.




Fire protection services have been called 2 to 3 times over the past several years. The expansion

will have negligible impact on this service. HAZMAT services for Deltaport will continue to be

contracted out to a private firm.

Community and Social Services

Community and social services/facilities are not anticipated to be used by many workers at

Deltaport.

Direct Economic Impacts During the Construction Phase

The results of the economic impact analysis show that the Deltaport Third Berth Project will

generate significant economic benefits locally, regionally and nationally over the construction

period. The direct economic impacts associated with the Construction Phase of the Deltaport

Third Berth Project are summarized below:

• Employment – Estimated new job creation over the three to four-year construction period: 60 person-years in Delta, 599 person-years elsewhere in the GVRD, 43 person-years elsewhere in British Columbia and 43 person-years elsewhere in Canada.

• Wages and Salaries – The estimated present value of new wages, salaries and benefits earned over the construction period: $3.2 million in Delta, $32.4 million elsewhere in the GVRD, $2.3 million elsewhere in British Columbia and $2.3 million elsewhere in

Canada. • Business Income – The estimated present value of new goods and services sold over the

three to four-year construction period: $9.8 million in Delta, $85.5 million elsewhere in

the GVRD, $6.2 million elsewhere in British Columbia and $5.6 million elsewhere in Canada.

• Income Taxes – The estimated present value of new corporate and personal income

taxes realized by the provincial and federal governments over the construction period: $14.5 million by the Government of British Columbia and $30.9 million by the Government of Canada.

• Commercial Fishery – The estimated present value of income lost in the commercial fishery over the construction period is negligible, or zero, based on the fisheries impact analysis carried out by Triton and taking into account the remediation measures planned

for the Dungeness crab fishery.

• Total Direct Impact Economic Value – The estimated present value of new wages and salaries and business income earned as well as taxes paid over the three to four-year construction period: $13.0 million in Delta, $117.9 million elsewhere in the GVRD, $22.9 million elsewhere in British Columbia and $38.8 million elsewhere in Canada.




DELTAPORT THIRD BERTH PROJECT – CONSTRUCTION PHASE

Summary and Distribution of Direct Economic Impacts – (2004$ x 1,000) (1)

IMPACT CATEGORY DELTA GVRD

(Net)

BC

(Net)

CANADA

(Net)

FOREIG

N (Net) TOTAL

New Employment (Person-Years) 60 599 43 43 177 922

Wages/Salaries/Benefits Earned $3,243 $32,368 $2,330 $2,296 $9,559 $49,796

Business Income

(Goods & Services) $9,783 $85,523 $6,159 $5,623 $21,030 $128,118

Value Sub-Total

(Excluding Taxes)

$13,026 $117,891 $8,489 $7,919 $30,589 $177,914

Regional Proportion

(Excl Taxes) 9.9% 90.1% --- --- ---- 100%

Corporate Income Taxes Received $0 $0 $10,846 $22,021 N/A $32,867

Personal Income Taxes Received $0 $0 $3,610 $8,839 N/A $12,449

Income Tax Sub-Total $0 $0 $14,456 $30,860 N/A $45,316

TOTAL DIRECT ECONOMIC

IMPACTS $13,026 $117,891 $22,945 $38,779 $30,589 $223,230

(1) All dollar estimates reflect economic impacts over the construction period and are shown as the Net Present Value of these benefits in 2004$ x

1,000 using a discount rate of 6% per annum. Property taxes accruing during the construction period are included in the operational phase impacts

(Section 5.2).

Direct Economic Impacts From New Terminal Operations

The results of the economic impact analysis show that the Deltaport Third Berth Project will

generate significant economic benefits locally, regionally and nationally for an indefinite time in

the future. The direct economic impacts associated with new terminal operations for the

Deltaport Third Berth Project are summarized below:

• Employment – Estimated new average, annual job creation over the 20-year study

period: 46 person-years per annum in Delta, 306 person-years per annum elsewhere in the GVRD and 4 person-years per annum elsewhere in British Columbia.

• Wages and Salaries – The estimated present value of new wages, salaries and benefits

earned over the 20-year study period: $30.3 million in Delta, $200.7 million elsewhere in the GVRD and $2.3 million elsewhere in British Columbia.

• Business Income – The estimated present value of new goods and services sold over the

20-year study period: $8.2 million in Delta, $60.8 million elsewhere in the GVRD, $2.2 million elsewhere in British Columbia and $3.0 million elsewhere in Canada.




• Income Taxes – The estimated present value of new corporate and personal income taxes realized by the provincial and federal governments over the 20-year study period:

$26.4 million by the Government of British Columbia and $61.0 million by the Government of Canada.

• Property and Other Taxes – The estimated present value of new property and other

local/regional taxes realized over the 20-year study period: $13.6 million in Delta; $7.7 million elsewhere in the GVRD and $1.7 million elsewhere in British Columbia.

• Commercial Fishery – The estimated present value of income lost in the commercial

fishery during the 20-year operational period studied is negligible, or zero, based on the fisheries impact analysis carried out by Triton and taking into account the initial remediation measures planned for the Dungeness crab fishery.

• Total Direct Impact Economic Value – The estimated present value of new wages and salaries and business income earned as well as taxes paid over the 20-year study period: $52.1 million in Delta, $269.3 million elsewhere in the GVRD, $32.7 million elsewhere

in British Columbia and $64.0 million elsewhere in Canada.

DELTAPORT THIRD BERTH PROJECT – NEW TERMINAL OPERATIONS



(Net)

BC

(Net)

CANAD

A

(Net)

FOREIG

N (Net)

TOTA

L

New Employment (Avg FTE/Year) 46 306 4 0 0 356

Wages/Salaries/Benefits Earned $30,341 $200,71

$2,334 $0 $0 $233,39

Business Income (Goods & Services) $8,162 $60,841 $2,226 $2,968 $0 $74,197

Value Sub-Total (Excluding Taxes)

$38,503 $261,55

$4,560 $2,968 $0 $307,58

Regional Proportion (Excl Taxes) 12.8% 87.2% --- --- ---- 100%

Personal/Corporate Income Taxes

Recei e

$0 $0 $26,403 $61,044 N/A $87,447

Property and Other Taxes Received $13,566 $7,748 $1,749 $0 N/A $23,063

Taxes Received Sub-Total $13,566 $7,748 $28,152 $61,044 N/A $110,51


IMPACTS

$52,069 $269,30

$32,712 $64,012 $0 $418,09

(1) All dollar estimates reflect economic impacts over 20 years of operation and are shown as the Net Present Value of these benefits in 2004$ x

1,000 using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time Equivalents (FTE’s) annually over the

period.

Direct Economic Impacts From Business Activities Outside the Terminal

The direct economic impacts from new business activity which is external to the new terminal

operation and directly associated with the Deltaport Third Berth Project are summarized below:




• Employment – Estimated new average, annual job creation over the 20-year study period: 21 person-years per annum in Delta, 1,200 person-years per annum elsewhere in

the GVRD, 155 person-years per annum elsewhere in British Columbia and 565 person-years elsewhere in Canada.


earned over the 20-year study period: $11.0 million in Delta, $620.0 million elsewhere in the GVRD, $80.2 million elsewhere in British Columbia and $291.7 million elsewhere in Canada.

• Business Income – The estimated present value of new business income earned (excluding wages, salaries, benefits and taxes paid) over the 20-year study period: $10.0 million in Delta, $560.5 million elsewhere in the GVRD, $72.6 million elsewhere in

British Columbia and $263.9 million elsewhere in Canada. • Income Taxes – The estimated present value of new corporate and personal income

taxes realized by the provincial and federal governments over the 20-year study period:

$119.9 million by the Government of British Columbia and $273.9 million by the Government of Canada.

• Total Direct Impact Economic Value – The estimated present value of new wages and

salaries and business income earned as well as taxes paid over the 20-year study period: $21.0 million in Delta, $1,180.1 million elsewhere in the GVRD, $272.7 million elsewhere in British Columbia and $829.6 million elsewhere in Canada.

DELTAPORT THIRD BERTH PROJECT – EX-TERMINAL BUSINESSES



(Net)

BC

(Net)

CANADA

(Net)

TOTAL

New Employment (Avg FTE/Year) 21 1,200 155 565 1,942

Wages/Salaries/Benefits Earned $11,028 $619,550 $80,201 $291,730 $1,002,508

Business Income (Excl Wages & Salaries) $9,977 $560,545 $72,562 $263,946 $907,031

Corporate & Personal Income Taxes $0 $0 $119,943 $273,899 $393,842


IMPACTS $21,005 $1,180,095 $272,706 $829,575 $2,303,381

(1) All dollar estimates reflect economic impacts over 20 years of operation and are shown as the Net Present Value of these benefits in

2004$ x 1,000 using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time Equivalents (FTE’s)

annually over the period.




Overall Direct Economic Impact Summary

The overall direct economic benefits expected to occur as a result of the Deltaport Third Berth

Project from construction, terminal operations and ex-terminal business activity are summarized

below.

DELTAPORT THIRD BERTH PROJECT – ALL IMPACT SECTORS



(Net)

BC

(Net)

CANADA

(Net)

TOTAL



Business Income (Excl Wages & Salaries) $27,922 $706,909 $80,947 $272,537 $1,088,315

Property and Income Taxes $13,566 $7,748 $162,551 $365,803 $549,668


IMPACTS $86,100 $1,567,292 $328,363 $932,366 $2,914,121

(1) All dollar estimates reflect economic impacts over 20 years of operation, including construction, and are shown as the Net Present Value

of these benefits in 2004$ x 1,000 using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time

Equivalents (FTE’s) annually over the period.

Summary of Significance of Socio-Community and Economic Impacts

The table on the following page summarizes the significance of the socio-community and

economic impacts, net of mitigation, during both the construction and operational phases of the

Deltaport Third Berth Project.




Deltaport Third Berth Project Summary

Significance of Net Socio-Community and Economic Impacts

Aer

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Construction

Population/Demographics Site Neutral Low Short term N/A High Yes Insignificant

Land Use Planning Local Neutral Low Short term N/A High Yes Insignificant

Land Uses Local Neutral Low Short term N/A High Yes Insignificant

Transportation / Traffic Regional Negative Mod. Short term Continuous High Yes Insignificant

Hospital/Medical Services

Local Negative Low Short term Sporadic High Yes Insignificant

Police/Security Services

Local Neutral Low Short term Sporadic High Yes Insignificant

Fire Local Neutral Low Short term Sporadic High Yes Insignificant

Community/Social Facilities Local Neutral Low Short term N/A High Yes Insignificant

Air Quality Local Negative Low Long term Continuous High Yes Insignificant

Noise Regional Negative Low Long term Continuous High Yes Insignificant

Visual Local Negative Low Long term Continuous High Yes Insignificant

Lighting Local Negative Low Long term Continuous High Yes Insignificant

Wages / Salaries (Direct) Local/Reg Positive High Short term Once High No Moderate

Employment (Direct) Local/Reg Positive High Short term Once High No Moderate

Business Income (Direct) Local/Reg Positive Mod. Short term Once High No Moderate

Tax Base Local/Reg Positive Mod. Long term Continuous High No Moderate

Operation

Population/Demographics Site Neutral Low Long term N/A High No Insignificant

Land Use Planning Local Neutral Low Long term N/A High No Insignificant

Land Uses Local Neutral Low Long term Continuous High No Insignificant

Transportation / Traffic Regional Neutral Mod. Long term Continuous High No Insignificant


Local Negative Low Long term Continuous High No Insignificant

Police/Security Services Local Neutral Low Long term Continuous High No Insignificant

Fire Local Neutral Low Long term Continuous High No Insignificant

Community/Social Facilities Local Neutral Low Long term N/A High No Insignificant





Wages / Salaries (Direct) Local/Reg/Prov/Nat’l Positive High Long term Continuous High No Significant

Employment (Direct) Local/Reg/Provl/Nat’l Positive High Long term Continuous High No Significant

Business Income (Direct) Local/Reg/Prov/Nat’l Positive High Long term Continuous High No Significant

Tax Base Local/Reg/Prov/Nat’l Positive Mod. Long term Continuous High No Significant



Socio-Community and Economic Impact Assessment 1-1 November 30, 2004

1.0 INTRODUCTION

The Vancouver Port Authority (VPA) proposes to construct the Deltaport Third Berth Project

(the Project), located at the existing Deltaport container facility at Roberts Bank in Delta, B.C.

The Project includes the construction of approximately 20 hectares of fill for newly constructed

land for container operations and storage, and construction of a wharf to accommodate an

additional berth. Other components of the Project include a tug moorage area, deepening of the

existing ship channel, an additional truck exit gate, additional rail support track, and some

limited road improvements. There will be limited construction of new site services, as many of

the existing Deltaport site services are adequate to meet the project needs. The Project is

expected to increase current capacity of Deltaport from 900,000 TEUs (twenty-foot equivalent

units) to 1.3 million TEUs.

The Project is subject to a comprehensive study assessment under the Canadian Environmental

Assessment Act (CEAA). This Socio Community and Economic Impact Assessment (SEIA) has

been prepared as a fulfillment for part of the CEAA requirements.




2.0 SOCIO-COMMUNITY AND ECONOMIC IMPACT ASSESSMENT –

APPROACH AND METHODOLOGY

The Deltaport Third Berth Project (The Project) at Roberts Bank includes the construction and

operation of a third berth at the existing Deltaport container terminal. This Socio Community and

Economic Impact Assessment (SEIA) addresses, only, the socio-community and economic

impacts associated with the construction and operational phases of the Project.

The approach and methodology used to assess the impact of the proposed Deltaport Third Berth

Project at Roberts Bank was approved by the Roberts Bank Socio-Community Working Group.

Key features of this approach and methodology are described in this chapter.

2.1 DISTINCTION BETWEEN SOCIO-COMMUNITY AND ECONOMIC IMPACTS

This study addresses two types of impacts from the Deltaport Third Berth Project: socio-

community impacts and economic impacts. It is important to distinguish between these impacts

for purposes of this report.

Socio-community impacts are those which affect community and resident services, facilities,

life-style, land use and general well being including such issues as traffic, noise, air quality and

visual impacts.

Economic impacts are those which can be measured in economic terms such as dollars and

employment and which arise, in a positive sense or a negative sense, both directly and indirectly

from the project.

2.2 GEOGRAPHICAL AREAS

The socio-community and economic impact analysis focused, generally, on four distinct

geographical areas as follows:

• Canada;

• the Province of British Columbia; • Greater Vancouver Regional District (GVRD); and • The local area including the Corporation of Delta (Delta) and the Tsawwassen First

Nation (TFN).




Because of the difference between socio-community impacts and economic impacts, the

approach used to assess these impacts involved some geographic variation. This was necessary

since these two different types of impact exhibit very different distribution patterns.

In particular, it is important to note the following:

• economic impact assessment, with a very wide distribution pattern, adhered directly to the geographic boundaries describe above; and

• socio-community impacts, with a limited geographic distribution pattern, were assessed in a more local and regional context and primarily addressed areas within Delta and TFN.

2.3 BASELINE COMPONENTS

The consulting team reviewed and assessed existing reports, data and resources to map out the

baseline data for the geographical areas. The baseline data was used to project the possible socio-

community impacts of the Deltaport Third Berth Project on the study area. Some baseline

information was incorporated into the evaluation and projection of economic impacts. Section

7.0 contains references, reports and contact persons used in data collection.

Socio-community information was used directly as a base against which these impacts were

estimated. The type of this information which was included in the socio-community impact

evaluation included the following:

• population and demographics;

• land use; • resource use (including the agricultural community); • health services (ambulance, hospital);

• emergency and protective services (police and fire); • social services; • schools;

• transportation (road, rail, marine) • recreation; and • visual, lighting, air quality and noise impacts.

The economic impact evaluation relied to a lesser extent on baseline economic data and

information but did take into account the following:

• employment conditions; • job creation opportunities;

• wages and salaries paid;




• the taxation regime; • economic development plans and trends;

• labour force characteristics; • local and regional businesses capabilities; and • personal income characteristics.

2.4 INCREMENTAL IMPACT ASSESSMENT

Both the socio-community assessment and the economic impact assessment took special care to

identify and assess the net, new (or incremental) impacts which can be attributed to Deltaport’s

Third Berth Project alone. Impacts associated with other area, regional, provincial or national

developments were segregated and eliminated from this analysis. The result is a series of

conclusions of the positive and negative social, community and economic effects which are

determined to be tied to the development and operation of the Deltaport Third Berth Project.

2.5 CONSTRUCTION AND OPERATIONAL IMPACTS EVALUATION

The Deltaport Third Berth development is a major construction undertaking, but also a business

expansion which will operate for many years to come. The evaluation approach used by the

consulting team addressed both the impacts expected to occur during the construction phase as

well as the impacts expected to occur once the new berth becomes operational. As described in

the report, these construction and operational impacts are quite different.

2.6 SOCIO-COMMUNITY IMPACT ASSESSMENT METHODOLOGY

Baseline information for the Deltaport Third Berth Project was used to identify areas of impact,

the nature of the impacts and possible mitigation measures. As mentioned above, impacts were

examined for both the construction and operational phases of the project. The impacts were

identified using standardized measures which are a net result after mitigation as described in

Table 2-1.

Table 2-1: Deltaport Third Berth Project - Socio-Community Impact Methodology Attribute Descriptor Definition

Aerial

Extent

Site

Local Regional

• Effect restricted to the Deltaport Third Berth footprint

• Effect restricted to the Corporation of Delta and/or TFN • Effect restricted to the GVRD

Direction Positive

Neutral

• Net beneficial effect

• No net change




Attribute Descriptor Definition

Negative • Adverse effect

Magnitude Low Moderate

High

• Effects occur within the immediate vicinity of the project. • Effects occur in certain areas of the municipality.

• Effects extend throughout municipality

Duration Short-term Medium-term

Long-term

• Effects occur for <1 year to end of construction • Effects occur for up to 10 years

• Effects extend for life of Delta Third Berth Project (100+ years)

Frequency Once

Sporadic Continuous

• Occurs only once

• Occurs on occasion and at irregular intervals • Occurs on a regular basis at regular intervals

Confidence Low

Moderate

High

• Direct supporting or related information is lacking and best

professional judgment cannot be made without evidence

• Direct supporting information is lacking but conclusions can be made on related evidence and professional judgment.

• Assessment based on reliable site specific or regional data and

well documented cause-effect relationship.

Reversibility Yes or

No

• Can impact be reversed upon completion of construction or at the

end of the project’s life cycle?

Significance Insignificant or

Significant

• Based on the analysis and best professional judgment, is the effect

on the socio-economic component of concern significant?

2.7 ECONOMIC IMPACT ASSESSMENT METHODOLOGY AND MODEL

The purpose of the economic impact assessment was:

• to develop an economic model which effectively describes the construction phase and operational phase net impacts of the Deltaport Third Berth Project; and

• to use the model and multiplier estimates to prepare an economic impact assessment

which fairly describes direct and secondary economic effects for the project. Construction phase expenditures and their phasing have been used which were prepared by

VPA’s engineering consultants and as detailed in a separate report. The geographic distribution

of these expenditures has been estimated based on a variety of previous reports and studies and

on our assessment of the type of expenditures compared with the ability and capability of

businesses within the described geographic areas to supply the goods, services, equipment and

labour required.

Operational phase expenditures have been based on VPA’s financial model of expected Berth 3

operations and its associated expenditures, labour requirements and supply and service

purchases. New business activities occurring within the supply chain, but outside the terminal

itself, were estimated using previous detailed economic impact analysis of new container




operations prepared on behalf of VPA. The geographic distribution of these expenditures and

new business income has been based on similar analyses as were described above for the

construction phase.

Secondary (i.e. indirect and induced) benefits associated with both the construction and the

operational phases of the Deltaport Third Berth Project have been based on standard industry

multipliers, the 2003 provincial government report entitled “British Columbia Economic

Multipliers and How To Use Them.” and data extracted from previous detailed economic impact

studies prepared on behalf of VPA (specifically for its container terminals).

The analysis uses a variety of assumptions, industry standards, development and operational

standards and multiplier estimates. While extensive original research was not carried out, the

factors and parameters used provide a realistic and practical economic assessment of the

economic impacts and their distribution associated with the Deltaport Third Berth Project.

2.7.1 Economic Impact Terminology

Standard economic impact terminology is used throughout this chapter and the report. The most

noteworthy terms are described below:

• “impact analysis” estimates the impact of dollars from outside the geographic area (i.e. “new dollars”) on the area’s economy;

• “direct effects” are the changes in economic activity during the first round of spending and include spending associated with both the development/construction phase as well as the operational phase over time;

• “secondary effects” are the changes in economic activity from subsequent rounds of re-spending in the economy and are comprised of “indirect effects” and “induced effects”;

• “indirect effects” are the changes in sales, income or employment within the economy in

backward-linked industries supplying goods and services for construction (e.g. land and terminal development) and to the new business which is established (i.e. the ongoing operation of Deltaport’s Third Berth);

• “induced effects” are the increased sales within a geographic area from household spending of the income earned by employees in new or expanded businesses;

• “total effects” are the sum of direct, indirect and induced effects; and

• “multipliers” capture the size of the secondary effects in a given geographic area, generally as a ratio of the total change in economic activity relative to the direct change.

Multipliers may be expressed as ratios of sales, income or employment or as ratios of total

income or employment changes relative to direct sales. They express the degree of




interdependency between sectors in an economy and can vary considerably across regions and

sectors.

2.7.2 Overview of the Economic Model

The consulting team developed an economic impact model using a spreadsheet format to identify

and describe the key economic factors of interest for the construction and operational phases of

the Deltaport Third Berth Project. The model incorporates both development (i.e. construction,

equipment acquisition, etc.) and operational (i.e. new terminal operations and new business

income outside the terminal) considerations. It is prepared over a 24-year period (i.e. 2004

through 2027, or 20 years once the new terminal becomes operational in 2008) so that the

development build-out and the timing of its direct and secondary effects can be compared over a

reasonable operational time-frame. This enables relative benefits to be expressed in terms of

current dollars through the use of net present value analysis.

The economic impact model provides the means for a practical assessment of direct and

secondary impacts, across the described geographic areas, for the following key business

expenditure categories:

• development capital investment to construct and equip the Deltaport Third Berth Project; • operational expenditures on wages and salaries for employees at the new terminal

operations and in directly related business expansion within the supply chain;

• operational expenditures on goods and services by the company for its new terminal business operations and from new business activity elsewhere in the container supply chain; and

• personal and corporate income taxes as well as property and other taxes generated because of the Third Berth Project.

The approach used for this analysis includes several steps for each of the economic benefit

generating categories listed above. These are as follows:

• an estimate of total expenditures under each category (i.e. either development or operational and their timing);

• an estimate of extra-regional leakage (i.e. the distribution of direct spending amongst the

various geographic jurisdictions described above); • a calculation, annually over 24 years, of the direct regional economic impact under each

category and within each geographic area;




• a calculation of the ‘net present value’, in current (2004) dollars, of the direct economic impacts from Deptaport Third Berth development and operations within each geographic

area; and • an estimate of the multipliers which are applicable for the provincial (British Columbia)

and national (Canada) economies to provide a measure of secondary economic impacts.

Some of the estimates used are approximate, generic and/or based on available standards and

research. However, the analysis provides a realistic assessment of the new, incremental

economic impacts for the proposed project.




3.0 SOCIO–COMMUNITY ECONOMIC SETTING

This section of the report describes the setting of the Roberts Bank Expansion Project. The data

relates to land area covered by the Corporation of Delta, the Tsawwassen First Nations (TFN)

and where relevant the Greater Vancouver Regional District (GVRD). Information outlined in

this chapter includes baseline data relating to both the socio-community and economic setting.

Socio-Community Baseline Data

• Project setting • Population and demographics

• Land use planning context • Resource use • Transportation and traffic

• Health Services • Emergency services • Community facilities and services

• Parks and Recreation Economic Baseline Data

• Employment • Wages

• Tax base • Economic development • Labour force statistics

• Local businesses • Personal income characteristics • Housing

3.1 PROJECT SETTING

Roberts Bank (105 hectares) is a man made land mass and causeway built by the federal

government in the 1970s and expanded in the 1980s. The facility is located at end of a 1.4

kilometre causeway in Georgia Strait where deep-sea coal and container ships can be

loaded/unloaded. Road access to Roberts Bank is by Deltaport Way, which runs through a rural

area of the Corporation of Delta. Rail access is from the BC Rail line which also runs primarily

east west through the rural farm land of the Corporation of Delta. The road and rail access routes

are located close to the Tsawwassen First Nation reserve.




3.2 DELTA OVERVIEW

The Corporation of Delta is a suburban municipality located in the south west corner of the lower

mainland. Delta is bounded by the Strait of Georgia to the west, the Fraser River to the north,

located south of the Fraser River and north of the US Border. The Corporation covers

approximately 36,433 hectares, with a considerable portion of the area in water. There are 16,747

hectares of land and 18,324 hectares of water in Delta. Overall, Delta makes up approximately

14.7 percent of the total area of the Greater Vancouver Regional District (GVRD). In 2003, the

population of Delta was estimated to be 100,570. The majority of the population is largely

concentrated within three residential areas (Ladner, North Delta & Tsawwassen). The remainder

of the population is spread throughout the rural farm land of Delta which remains protected for

farming through the Agricultural Land Reserve (ALR).

3.2.1 Ladner

Ladner (population 21,367) is the closest residential neighbourhood in Delta to Roberts Bank,

lying around 3 km to the east of the project. Ladner is the original farming and fishing village in

Delta, with a waterfront setting, a historic village downtown core and a blend of housing, from

character homes to modern apartments. Ladner remains Delta's administrative centre and is the

site of the municipal hall on Highway 17, the Justice Building, Delta Hospital, a skateboard park

and the comprehensive Leisure Centre which incorporate swimming pools, fitness facilities and

an ice arena.

3.2.2 Tsawwassen

Tsawwassen (population 21,337), is bounded by the US border to the south, the shore of Georgia

Strait to the west, the Boundary Bay shore to the east and Highway 17 to the north. Today

Tsawwassen is mainly a residential community with a commercial core located along 56th

Street.

3.2.3 North Delta

North Delta (pop 52,115) is the largest residential area in the municipality. Nestled in forested

hillside, with family neighbourhoods. North Delta is bounded by the Burlington Northern Santa




Fe Railway to the west, the Fraser River to the North, 120th Street to the east and Highway 99 to

the south.

3.2.4 Population

In the 2001 Census, the population of Delta was recorded as 97,208 people. The 2003 estimate

placed the population of Delta at 100,570.

Table 3-1: Population Data

2001

Population

1996

Population

%

Change

Tsawwassen 21,337 21,170 0.8

Ladner 21,367 21,085 1.3

North Delta 52,108 51,230 1.7

Rural Delta 2,396 2,430 -1.3

Total Delta 97,208 95,915 1.3

Source: Corporation of Delta. October 2004. http://www.corp.delta.bc.ca

3.2.5 Age Distribution

Around 28% of the population in Delta is of school age, with around 17% between 20 and 34.

Adults between the ages of 35-64 account for around 44% of the base. Seniors, those over 65

account for around 11% of the population.

Table 3-2: Age Distribution

Age Group Tsawwassen Ladner North Delta Farm Total Delta

0-19 24.6% 27.9% 30.1% 22.5% 28.2%

20-34 12.8% 15.6% 19.2% 14.4% 16.9%

35-64 45.4% 46.7% 44.1% 42.8% 43.7%

65-85+ 17.2% 12.5% 7.9% 16.3% 11.1%

Source: Corporation of Delta. October 2004. http://www.corp.delta.bc.ca

3.2.6 Language

The 2001 census reports that English is the predominate first language amongst Delta residents

(88.2%). Punjabi (4.1%) and Chinese (2.1%) are the most common other first languages within

the Corporation.




3.2.7 Family Structure

The 2001 Census recorded the martial status of Delta residents over the age of 15. Over 27% of

Delta residents are single, 59% are either married or in common-law relationships. Around 9%

are separated or divorced and 5% are widowed.

In 2001, there were 27,655 families in Delta. 54% of couples had children living at home.

Couples head 88% of Delta’s families with 12% single parent families.

3.2.8 Land Use Planning Context

New development within the Corporation of Delta is governed by the policies and directions set

out with the Delta Official Community Plan (OCP) and the Greater Vancouver Regional

Districts Livable Region Strategic Plan. There are also a wide range of Provincial and Federal

regulations which govern development in Delta.

3.2.9 Delta Official Community Plan

Delta’s current Official Community Plan (OCP) was adopted in 1986, and includes goals,

objectives and policies to shape growth and development of the municipality. The Municipality

is currently involved in an OCP Review which is expected to be completed by the end of 2004.

There are four key objectives which specific planning policies have been developed around.

These include:

1. Environment: Conserve, enhance and improve the physical environment of the municipality.

2. Diversity: conserve and increase the diversity of community activities and services

throughout the municipality 3. Accessibility: improve access to and ease of movement within the municipality 4. Management: encourage economic growth and protect the existing tax base by managing

and guiding the development of the municipality as a whole. There are 16 key policy areas that are developed around the key objectives. One particularly key

policy is to focus residential growth within the three urban centres of Ladner, North Delta and

Tsawwassen, while protecting the farm lands from development. The OCP notes that based on

the existing land use designations and zoning it is projected that the municipality can support a




total of 39,428 housing units. If these projected residential units were built, Delta could reach a

population of 106,420. Most of the new development in Delta is designated infill development in

North Delta and in Ladner.

Table 3-3: OCP Population and Dwelling Unit Limitations

Delta Area

2001

Population

OCP Population

Projections

2001 Dwelling

Units

OCP Dwelling

Units

Tsawwassen 21,337 23,672 8,475 9,466

Ladner 21,367 25,500 7,860 8,865

North Delta 52,108 53,994 16,215 19,897

Rural Farm 2,396 3,260 903 1,200

Total Delta 97,208 106,381 33,453 39,428 Source: Corporation of Delta. October 2004. http://www.corp.delta.bc.ca

The OCP identifies Roberts Bank as one of 11 industrial areas within the municipality. The Plan

recognizes that local industry provides tax revenue and an employment base that can ease

commuting time, cost and traffic congestion for local workers. Priorities and policies for

industrial lands include:

• Maintain an adequate supply of serviced land with good access • Review and analyze industrial zones to ascertain viability and marketability, to provide

economic data and facilitate interlocking policies • Identify locations where clustering of similar types of industry can take place • Enforce good maintenance

• Encourage partnership between public and private sectors • Take the following steps without delay: • Compile an inventory of all existing industries

• Map these in relation to other land uses • Identify underdeveloped areas • Explore satisfactions and dissatisfactions

• Access landscaping quality and condition of structures • The above actions could be considered in the context of a detailed strategy plan for

industrial land

• Prepare a detailed policy on transportation, handling and storage of dangerous goods Within the three main communities of Delta (Ladner, North Delta and Tsawwassen), specific

area plans have been prepared. The TFN lands are not included within the Delta OCP or the local

area plans.

3.2.10 Land Use

There are seven main land uses within the Corporation of Delta which include:




1. Residential

The 2001 Census reports that there are 32,785 dwelling units in Delta. Of these 26,020 dwelling

units were owned, while 6,785 units were rented. The majority of the buildings were built before

1991 (87%). Residential development is clustered in North Delta, Ladner and Tsawwassen.

2. Institutional

The majority of institutional and civic land uses are located within Ladner, where the City Hall,

Delta Hospital, Ladner Recreation Centre and Justice Buildings are clustered. There are other

recreational facilities located in both North Delta and Tsawwassen.

3. Commercial

Retail: Delta has a small retail base with 1.8 million square feet of retail floor space, roughly 3%

of the GVRD total of 61.1 million sq ft. Commercial centres are located in each of the three

urban areas. North Delta has around 50% of the retail floor space, while Ladner and Tsawwassen

each account for around 25% of the total floor space.

Office: Delta is a small player in the regional office market with only 1% (215,000 sq ft) of the

GVRD’s total office space. This inventory has been static for a decade because Delta does not

have a town centre or a business office park. An additional 619,000 sq ft of office space is

projected over the next 15 years.

4. Industrial

Delta has approximately 1,456 hectares (3,600 acres) of land zoned for industrial uses. Currently

around one third (485 hectares) is vacant. The developed industrial lands provide approximately

19,039,938 sq ft of industrial space. Currently 612,605 sq. ft. of the built space is vacant.

The largest industrial area in Delta and the GVRD is Annacis Island More than 10,000 people

work on the island. Annacis Island is physically separated from residential and commercial

areas.

Tilbury Industrial Park is the second major industrial zone in Delta and is the location for 300

manufacturing, industrial, high technology and distribution companies.




Roberts Bank plays a significant role in the industrial make up for Delta. At 285 acres of

terminal space, it represents approximately eight percent of Delta’s industrial land base. It also

contributes $6,000,000 to the local property tax base.

There are smaller clusters of industrial activity in Delta, including:

• River Road East – mixed industry • Nordel – mixed industry

• Boundary Bay Airport – transportation and distribution

5. Agricultural

Agriculture is a major land user and contributor to the community’s economic base. More than

half of the total land base lies within the Agriculture Land Reserve (10,180 hectares). In 2001,

there were 196 farms in Delta, which account for 7% of all farms in the GVRD (source Census

of Agriculture 2001). In 2001, there were close to 1,000 Delta residents employed in primary

agriculture.

Approximately one quarter of Delta’s farms are smaller, mixed use operations that engage in

crop, and in some cases livestock production. There are also many larger operators that

specialize in field crops and vegetable production. The average farm size in Delta is amongst the

highest in the Lower Mainland. Almost one quarter (22.4%) of the total provincial acreage in

vegetables is in Delta. The growth of the greenhouse sector has seen Delta become one of the

preferred locations within the Province. A quarter of the Provincial greenhouse area is located in

Delta.

6. Parks and Open Space

Parks and open space account for 2,546 hectares (15%) of Delta’s land base. This includes both

municipal and regional parks. These are discussed in more detail later in this chapter. A

significant portion of the open space in Delta is located in Burns bog.

Burns Bog is owned and managed by the Province, the GVRD, and the Corporation of Delta. On

March 24, 2004, a binding purchase agreement was reached that protected over 2,000 hectares

(5,000 acres) of Burns Bog. The purchase also secured a parcel of land east of Highway 91 and

south of 72nd Avenue that was identified by Delta Council as being important as a green zone.




7. Fishing

Delta is situated between the Fraser River, Roberts Bank and Boundary Bay. The Fraser River is

one of the largest salmon bearing rivers in the world. Historically, the Fraser has been an

important fishing ground, and early settlements of both First Nations and Europeans fished the

Fraser River and nearby Roberts Bank. The Fraser River today remains an important fishing

resource for First Nations, commercial and recreational fishermen.

3.3 TSAWWASSEN FIRST NATION (TFN) OVERVIEW

Roberts Bank is located immediately west of the Tsawwassen First Nation (TFN) reserve. The

reserve is located between Highway 17 (with some lands south of Highway 17), the Strait of

Georgia, south of 27B Avenue and 48th Street/English Bluff Road. It has an area of 290 hectares

of which approximately 98 hectares are designated environmentally sensitive foreshore, 72

hectares developed for housing, community facilities and businesses and 120 hectares

“underdeveloped”.

3.3.1 TFN Demographic Data1

In 2001, there were 174 people living on the TFN reserve, 155 are Tsawwassen First Nation

members and 19 were non-members. In 2001 around 80 people (46% of the population on the

TFN reserve) were under 19 years of age; 36 people (21%) were between the ages of 20-34; and

51 people (29%) were between the ages of 35 and 64. There are seven people (4%) over the age

of 65 living on the reserve.

• As of 1999 there were 269 Tsawwassen members; 114 who were living off the reserve. • As of 1999 there were 62 community housing units on the reserve. • The number of residential units in the market housing subdivisions: Tsatsu Shores, 81;

Stahaken, 73; Tsawwassen Beach, 25. • The approximate population living in the market housing subdivisions: Tsatsu Shores,

197; Stahaken, 195; Tsawwassen Beach, 64.

1 Community Planning and Development Report: Proposed Treaty Settlement Lands, Chapter 3, 2002.




3.3.2 TFN Community Vision2

As part of the Treaty Negotiation Process, Chief Baird outlined the Community’s vision as they

related to the land required for the creation of a sustainable community:

• A healthy and prosperous community located in the area of our existing village and

Reserve where we have lived for thousands of years. • Sufficient economic development land to provide full time quality jobs for our people

and income to help support community programs and services.

• Sufficient land to provide for the residential and community needs of present and future generations.

• Sufficient land to give Tsawwassen people who live off-Reserve an opportunity to return

home. • Respect for existing Reserve land tenures (including Certificates of Possession). • Detached single family homes for all of our people, like our neighbours in South Delta

and Ladner enjoy. • Safe and secure access to the Fraser River and to other marine waters throughout our

Territory

• Access to lands throughout our Territory for traditional and cultural uses and purposes. • Protection of sites that have special cultural significance. • Ideals of land use and environmental stewardship which reflect our unique responsibility

and connection to the land as Tsawwassen. • Harmonious relations with other governments based on mutual respect. • Recognition and respect for out Aboriginal Title and Rights in and to our Traditional

Territory.

3.3.3 Land Use: TFN Reserve

The existing TFN Reserve lands total approximately 290 hectares. Table 3-4 outlines the primary

land uses.

Table 3-4: TFN Reserve Land Use3

Land Use hectares

Total area of existing reserve 290

• Land set aside as culturally and environmentally sensitive 98

• Land in use for Tsawwassen member housing, administration, roads 56

• Land in use for existing market housing 16

• Land ‘underdeveloped’ 120

2 Speaking Notes of Chief Negotiator Kim Baird, Main Table Meeting, Tsawwassen First Nation Community Hall,

July 30, 1999, pp. 59-60. 3 Op cit




3.3.4 Tsawwassen First Nation Agreement in Principle

The Tsawwassen First Nation, the Government of Canada and the Province of British Columbia

signed an Agreement in Principle (Agreement) on March 15, 2004 as a further step in their

Treaty negotiations. This Agreement among other items identifies the Tsawwassen lands to

include:

• The Tsawwassen Reserve • Approximately 365 hectares of provincial Crown lands which will cease to be Crown

Lands

• Fraser River parcels • Boundary Bay Parcels

The 365 hectares are generally contiguous to the existing Reserve lands and are generally

bounded by 52nd Street, 28th Avenue, and 34th Street. The Fraser River parcels are on Canoe

Pass and the Boundary Bay parcels are located at the South East corner of 64th Street and the BC

Rail lines

Negotiations to reach a Final Agreement are in process.

3.4 THE GREATER VANCOUVER REGIONAL DISTRICT

The Greater Vancouver Regional District’s (GVRD) Livable Region Strategic Plan (LRSP) is the

region’s growth strategy. The primary goal of the LRSP is to maintain regional livability and

protect the environment in the face of anticipated growth. The LRSP is used as the framework

for making regional land use and transportation choices. The four main objectives of the LRSP

are to:

• Protect the Green Zone: The Green Zone protects Greater Vancouver's natural assets,

including major parks, watersheds, ecologically important areas and resource lands such as farmland. It also establishes a long-term growth boundary.

• Build complete communities: The plan supports the public's desire for communities with

a wider range of opportunities for day-to-day life. Focused on regional and municipal town centres, more complete communities would result in more jobs closer to where people live and accessible by transit, shops and services near home, and a wider choice of

housing types. • Achieve a compact metropolitan region: The plan avoids widely dispersed and

accommodates a significant proportion of population growth within the "growth

concentration area" in central part of the region.




• Increase transportation choice: The plan supports the increased use of transit, walking and cycling by minimizing the need to travel (through convenient arrangement of land

uses) and by managing transportation supply and demand.

3.5 TRANSPORTATION AND TRAFFIC

Delta and the TFN are centrally located within the Lower Mainland with excellent transportation

links to the region, North America and the Pacific Rim by road, rail, sea and air.

3.5.1 Road

Container truck traffic to/from Roberts Bank is dependent upon an efficient road network. Delta

is at the heart of the Lower Mainland’s road network, including:

• Highway 99 which links south to the United States and north to Richmond, the Vancouver International Airport and Vancouver.

• Highway 17 which connects to Highway 99, River Road and the Tsawwassen Ferry Terminal which links the area to Vancouver Island markets.

• Highway 91 which links local communities to the north, and to the TransCanada highway

for major eastern Canadian destinations. • The recently completed Nordel Way which links Delta to Surrey

Traffic congestion can occur at times at:

• Highway 99, especially through the Massey Tunnel

• River Road • Highway 17 between Ladner and the Highway 99 Junction

A more detailed description of the current road network is contained in Chapter 2 of the

Application.

3.5.2 Rail

Roberts Bank is connected to the regional rail network via the Port Subdivision which runs from

Pratt junction (Langley) to the terminal. The line is currently owned by BC Rail. The Port

Subdivision line intersects with the Burlington Northern Santa Fe line from the United States

which runs north south along the western boundary of North Delta. A detailed description of the

rail network is contained in Section 2.9 of the Application.




BC Rail has instituted emergency protocols. BC Rail has a central dispatch center which

monitors the tracks that run from Roberts Bank through Delta, Surrey, Langley and Abbotsford.

The fully integrated computerized system provides real-time monitoring of track status,

switching and train movement on the lines. The dispatch centre monitors trains from BC Rail,

CN, CP Rail, BNSF and Surrey Rail and is in constant radio contact with the train operators

providing immediate operational and emergency communication. Included in the monitoring

system is information on the distances between rail crossings and page subdivisions, which are

used to provide accurate movement forecasting between track and road based operations.

The centre provides a 24 hour emergency contact for the rail companies and the RCMP and

manages the communication plan to deal with incidents that involve the rail line. If an accident

occurs trackside which involves a train stoppage, BC Rail will contact the RCMP who in turn

will notify the Fire and Ambulance Departments in order to minimize the impact on emergency

response operations. If a non-train related incident occurs and the RCMP decide that passing

trains will affect the on-scene incident management, the RCMP will contact BC Rail who can

alter train operations accordingly.

VPA is currently facilitating discussions between BC Rail, Delta Police and Delta Fire

Departments in order to develop similar protocols currently in use by BC Rail and the RCMP.

These protocols will be integrated into the standard operating procedures and will provide

effective coordination to eliminate delays to areas in which train operations can directly affect

emergency response such as at Boundary Bay Airport. `

3.5.3 Air

Boundary Bay Airport is located in Delta and serves light aircraft and as a flight training centre.

The BC Rail Port Subdivision line runs along the northern edge of the airport.

The Vancouver International Airport (YVR) is located 20 km north west of Delta. YVR is a

world class air transportation and cargo-shipping terminal serviced daily by all major

international carriers.




3.5.4 Marine

In 2003, 365 ships representing 730 movements were served at Deltaport. In the same year,

Westshore Terminals had 190 ships representing 380 movements. Deltaport has been open since

June 1997 and since that date the number of ships using the terminal has increased steadily.

During the same period the number of ships using Westshore Terminals has decreased from 230

in 1997 to 190 in 2003.

During the six years of operation there have been no collisions and very few near misses in this

locale.

3.5.5 Commuting Patterns

Residents of Delta and the TFN are less likely than other residents of the GVRD to work within

their own communities. On average, 74% of Delta residents work outside the municipality.

Table 3-5: Commuting Patterns Delta GVRD

• Travel in municipality of residence 26% 42%

• Travel in different municipality 74% 58%

Source: Statistics Canada, Census 2001

3.6 HEALTH, EMERGENCY AND PROTECTIVE SERVICES

3.6.1 Hospitals/Medical Facilities

Roberts Bank is located approximately 5 km from Delta Hospital. The facility provides services

for the business and industrial parks in Tilbury and Annacis Island, Robert’s Bank, BC Ferries

Tsawwassen Terminal, Boundary Bay Airport, Delta Air Park, the George Massey and the

general population of Delta.

Delta Hospital is a community hospital that provides day surgery, endoscopy services, hospice

care, medical rehabilitation and recuperative services, 24 hour emergency services and

residential long term care beds.

Major trauma cases are transferred to Royal Columbia Hospital (New Westminster), Vancouver

General Hospital or Lions Gate Hospital (North Vancouver).




Deltaport utilizes the emergency ward of Delta Hospital approximately 15–20 times a year

according to representatives of TSI, the terminal operator. Not all of these visits are of a critical

nature as only 8-10 per year on average require ambulance assistance.

3.6.2 Police Services

The Delta Police Department serves the communities of Ladner, Tsawwassen and North Delta.

The main Police station is located in Ladner, at 4455 Clarence Taylor Crescent. Delta is divided

into four districts with community policing operations in Tsawwassen, Ladner, and two stations

in North Delta .

There are 143 Police officers in Delta and 31 civilian personnel, which equates to an average of

737 residents per police officer.

Since 2004, the RCMP has taken over responsibility for policing for the Port including the

terminals at Roberts Bank. Police officers have been designated to oversee policing and

emergency preparedness including a level 2 or 3 security situation.

The records for TSI, the terminal operator for Deltaport, indicate that they have not requested

local police services. Zim Lines one of the shipping lines using Deltaport does use local polices

services under a private agreement.

3.6.3 Security

Security services for Roberts Bank are a shared responsibility between the Vancouver Port

Authority and the terminal operators. If the VPA determines a need for increased security, Delta

police may be contracted to provide extra officers for the period of heightened security. The

International Ship and Port Facility Code is presently being implemented at Roberts Bank as the

security standard for the Port. It requires that ship and port facility staff to:

• gather and assess information • maintain communication protocols • restrict access; prevent the introduction of unauthorized weapons, • provide the means to raise alarms • put in place vessel and port security plans; and ensure training and drills are conducted.




On July 1, 2004, Transport Canada's new Marine Transportation Security Regulations (MTSR)

came into effect. The regulations are designed to strengthen security requirements for vessels,

marine facilities and ports so that they are in compliance with the International Maritime

Organization's I.S.P.S. Code. The regulations detail the procedures that all Canadian ships and

facilities that are covered by the I.S.P.S. Code must follow in order to comply with the Code.

The compliance process for a Port facility is summarized below:

• A security assessment of the facility’s infrastructure and operations is submitted for approval by Transport Canada

• Once the assessment is approved by Transport Canada the facility operator produces a security plan. The security plan was required to address each vulnerability identified in the port security assessment and detail the measures and initiatives that will be put in place in order for the facility to comply with the M.T.S.R. and subsequently comply with the I.S.P.S. Code

• Prior to approving the Security Plan Transport Canada carries out an inspection of the facility to identify any discrepancies

• The plan was approved by Transport Canada prior to the July 1st 2004 deadline. • On July 1st 2004 the plan went into effect (and must be approved every year)

The Port facility Security Plan provides detailed information on the following:

(a) the organization of the port administration in terms of security, including the tasks of personnel who have security responsibilities;

(b) the name of the port administration and the name and position of the port security officer, including information on how they may be contacted at any time;

(c) the identification of restricted areas and any security procedures, equipment or systems for those areas;

(d) a description of procedures for and frequency of exercises;

(e) a description of procedures for the following:

(i) ensuring the security of information in the port security plan and keeping the records

(ii) maintaining security and communication systems and equipment,

(iii) identifying and correcting security equipment or systems failures or malfunctions,

(iv) communications,

(v) responding to changes in the MARSEC level,

(vi) preventing unauthorized weapons, explosives, incendiaries or other dangerous substances or devices from entering the marine facilities in the port,




(vii) reporting security threats and security incidents to the appropriate law enforcement agencies and the Minister as soon as possible after they occur so that an investigation can be conducted,

(viii) reporting breaches of security to the Minister,

(ix) securing non-critical operations in order to focus response on critical operations, and

(x) periodically reviewing, updating and auditing the port security plan; and

(f) a description of

(i) security procedures, equipment and systems for access control,

(ii) security procedures for the delivery of ships' stores and bunkers,

(iii) security procedures, equipment and systems for monitoring the port and surrounding area, and

(iv) procedures for security threats, breaches of security and security incidents, including procedures for the evacuation of the port.

The M.T.S.R. states that the Port facility shall conduct a security exercise that shall fully test the

port security plan and include the substantial and active participation of personnel who have

security responsibilities in the port. The regulation also states that the exercises shall be

conducted at least once every calendar year with no more than 18 months between them.

The first live exercise at Deltaport will be conducted on December 2nd 2004.

As part of Deltaport’s M.T.S.R. compliance a security plan was submitted and approved by

Transport Canada. The plan detailed all of the physical and operational measures that were in

place or scheduled to be implemented in order for the terminal to comply with the regulation. A

summary of some of the measures implemented at Deltaport follows:

• The access control at Deltaport has been strengthened to include an electronic access control system, electronic turnstiles, vehicle gates and fully manned access points.

• A comprehensive digital CCTV system has been installed to monitor the Deltaport

facilities and causeway. • There is a full time uniformed presence at Deltaport. The security officers carry out

access control and foot and vehicle patrols. All officers have completed a comprehensive

marine security training course as well as the security training as stipulated by the Province of B.C.




3.6.4 Fire Department

Delta Fire and Emergency Services provides responses for Fire Suppression, Motor Vehicle

accidents, Medical Emergency Services response and EHS support, Rescue and Safety

responses, Public Service calls, Emergency Measures and Planning, Fire Prevention and Public

Education, Fire Investigation and Community Support to the community of Delta.

There are six fire halls strategically located throughout the municipality with 145 full-time staff

and 12 volunteers. A minimum of 25 emergency personnel are on duty at all times with an

average response time of approximately 4 minutes.

Roberts Bank is served by Fire Hall No. 1. It has the most manpower and equipment of all

Delta’s six halls. The minimum staff on duty is eight, including a Battalion Chief, two officers

and five fire fighters. Fire Hall No. 1 is also home to the fire administration department. The area

covered by the hall includes the area north and west of the BC Rail right of way, including 82nd

street and 64th Street and down to and Robert’s Bank, east to and including 80th Street, as well

as both sides of Highway 17 and including the Massey Tunnel. It serves the Boundary Bay

Airport, Tilbury Island and Deltaport Container Terminal/Westshore Terminal at Robert’s Bank.

Hall No. 2 provides service to Highway 17 to Ladner Trunk Road, the Tsawwassen Ferry

Terminal (including the ships), Tsawwassen Beach and the Tsawwassen First Nation, and mutual

aid for Point Roberts if required. Hall No 2 provides back up to Hall No1 on motor vehicle

accidents.

There were two calls to the Delta Fire Department in 2003 and three calls up to the end of

October 2004.

Delta Fire Department presently responds to hazardous material (HAZMAT) incidents. Their on-

site response time to Deltaport is approximately 8-10 minutes and is limited to incidents that can

be handled by standard issued protected turnout clothing and breathing apparatus. For incidents

requiring a more comprehensive response Delta has a Mutual Aid Agreement with the Surrey

and Vancouver Fire Departments which have full HAZMAT response capability. Surrey is the

first choice for Delta back up and has a 20 minute response time, while Vancouver has a 35- 45




minute response time. Both Surrey and Vancouver have two HAZMAT teams with four trained

HAZMAT members.

TSI, the terminal operator at Deltaport, does not rely on the Delta Fire Department for HAZMAT

incidents. They contract HAZMAT clean up services from a private contractor, C.E.D.A., for

incidents at its terminal. There were three HAZMAT incidents at Deltaport in 2003 that related

to a leaking valve outlet on a tank.

3.6.5 Ambulance Service

Ambulance services are provided to the municipality of Delta including Roberts Bank by the BC

Ambulance Services. This a provincial service that is regionally dispatched. As such there are

no service boundaries. The Ladner ambulance station is located at 4641 Clarence Taylor

Crescent and has three ambulances stationed there. If all three ambulances are on calls, a back

up one is dispatched from another station in Richmond, Delta or White Rock.

BC Ambulance Services also has two Bell 22 helicopters located at the South Terminal

Vancouver International Airport. These can be dispatched to any location and transport directly

to a hospital that receives trauma victims – Vancouver General Hospital, Lion’s Gate Hospital

(North Vancouver) or Royal Columbian Hospital (New Westminster).

The ambulance service has been called to Deltaport 10 times during 2003 and eight times so far

in 2004.

3.6.6 BC Rail Emergency Protocols

BC Rail has a central dispatch center which monitors the tracks that run from Deltaport

Terminals through Delta, Surrey, Langley and Abbotsford. The fully integrated computerized

system provides real-time monitoring of track status, switching and train movement on the lines.

The dispatch center monitors trains from B.C. Rail, C.N., C.P., B.N.S.F. and Surrey Rail and is

in constant radio contact with the train operators providing immediate operational and

emergency communication. Included in the monitoring system is information on the distances

between rail crossings and page sub-divisions, which are used to provide accurate movement

forecasting between track and road, based operations.




The center provides a 24-hour emergency contact for the rail companies and R.C.M.P. and

manages the communication plan to deal with incidents that involve the rail line. If a trackside

incident occurs which involves a train stoppage, B.C. Rail will contact the R.C.M.P. who in turn

will notify the Fire and Ambulance Departments in order to minimize the impact on emergency

response operations. If a non-train related incident occurs and the R.C.M.P. decide that passing

trains will affect the on-scene incident management, the R.C.M.P. will contact B.C. Rail who can

alter train operation accordingly.

Vancouver Port Authority is currently facilitating discussions between B.C. Rail and the Delta

Police and Fire Departments in order to develop similar protocols currently in use by B.C. Rail

and the R.C.M.P. These protocols will be integrated into the standard operating procedures and

will provide effective coordination to eliminate delays to areas in which train operations can

directly affect emergency response such as Boundary Bay Airport.

3.7 COMMUNITY AND SOCIAL SERVICES AND FACILITIES

The Municipality of Delta offers a wide range of community facilities and services including

schools, day care, community centres, recreation centres, parks and playgrounds, cultural

facilities and libraries. Schools, parks and recreation, libraries and social resource services are

briefly summarized below.

3.7.1 Schools and Educational Institutions

Within the municipality of Delta, there are 26 elementary and 7 secondary schools. Total

enrolment is approximately 17,220 students (9,941 elementary, secondary 7,294). Capacity for

the Delta school system is estimated to be 19,575, creating available space for 2,355 students.

Delta Secondary and Ladner Elementary schools, both located in Ladner, serve students who live

in the immediate area of the Project.

3.7.2 Community Services

There are a wide range of community services provided in Delta. The Delta Community

Snapshot (2002) identifies the following:




• Delta Mental Health Association • Deltassist Family and Community Services for abused women and children.

• Scottsdale House for people with mental illness • Delta Advocates for Community Mental health • Delta Association for Child development

• Delta Youth Services • Delta Hospice Society • Child Care Options Resource and Referral Program- Delta

• The United Way of the Lower Mainland • South Fraser Child Development Centre • Partners in Playgrounds

• Welcome Wagon • Information Centre for referral services to community and social service organizations • The Surrey-Delta Immigrant Services Society

3.7.3 Public Libraries

There are 3 public libraries located in Delta which are part of the Fraser Valley Regional Library

System (FVRL). The libraries include:

• Ladner Pioneer Library: 4683-51st Street - Ladner • George Mackie Library - 8440 - 112th Street- North Delta

• South Delta Library: 1321A - 56th Street - Tsawwassen

3.7.4 Recreation and Parks

The municipality of Delta provides a wide range of sports and recreation facilities, including

playgrounds, ball diamonds, tennis courts, skateboard park, lacrosse boxes, ice arenas, curling

rinks, indoor swimming pools, boat launches, seniors activity centres and major indoor

recreation centres.

3.7.5 Regional Parks

Within Delta are 546 hectares (1,350 acres) of regional parks not including the proposed Burns

Bog Park. The main parks include:

• Boundary Bay Regional Park (89 hectares)

• Deas Island Regional Park (121 hectares) • Delta Nature Reserve (60 hectares)




The majority of the neighbourhood parks are located either within or adjacent to the urban areas

of the Corporation. There are currently no parks within close proximity of the Roberts Bank

Terminal. There are several parks located within the Ladner urban area that are close to Highway

17.

3.8 TSAWWASSEN FIRST NATION COMMUNITY FACILITIES AND SERVICES

The health, emergency, protective services, community facilities and services identified in

Sections 3.6 and 3.7 are available to the TFN. The TFN have additional services for its members.

3.8.1 Community Facilities and Services4

Existing community facilities for TFN members include an Elders Centre, a Youth Centre, a

Longhouse, a Recreational Centre, a Pre-School, a Community Garden and a Skate Board Park.

TFN’s Health and Social Services Programs include Home and Community Care, Nursing

Services, Social Assistance, Elders, Mobile Early Childhood Development Program, Community

Policing, Community Health, Outreach Counselling and Family Support and Justice.

3.9 ECONOMIC BASELINE INFORMATION

Selected economic baseline information and data is reported in this section for the local and

regional geographic areas of significance in the economic impact analysis. This information was

used, in part, during the local and regional (i.e. Delta and the GVRD) distribution assessment of

the economic impact associated with the Deltaport Third Berth Project. It was sourced from the

Delta Economic Profile prepared for the Delta Chamber of Commerce (March – 2004) as well as

other sources of economic data available to the consulting team including Statistics Canada, BC

Stats, Royal LePage and the Corporation of Delta amongst others.

3.9.1 Labour Force

Table 3-6 presents percentage share of labour force by industry for Delta, GVRD and BC in

1991 and 2001. In 1991, the total Delta labour force was approximately 50,435, of which 10,780

4 Tsawwassen First Nation website, October 27, 2004.




workers were associated with the goods producing sectors and 39,330 with service sectors. A

further 325 labour force participants were new entries to the job market and had not yet worked

in either sector.

By 2001 the total labour force in Delta stood at 52,835, with 9,385 workers attached to the goods

producing sectors, 42,765 in the service sectors, and 685 labour force participants not yet

experienced in either sector. While Delta had a relatively small labour force in goods producing

in 1991, these sectors have continued to decline. In contrast, the GVRD experienced solid

growth in the goods producing labour force between 1991 and 2001. Overall, the Delta labour

force increased by less than 5 percent between 1991 and 2001. At the same time, the labour force

in the GVRD grew by over 12 percent over the same period.

Table 3-6: Labour Force Distribution by Industry, 1991 & 2001 (in percentages)

1991 2001

Delta GVRD BC Delta GVRD BC

Goods Producing

Agriculture 1.6 1.2 2.4

Fishing and Trapping 0.7 0.3 0.6

Logging and Forestry Industries 0.5 0.4 2.2

1.9 1.4 5.1

Mining 0.3 0.3 1.1 0.2 0.3 1.1

Manufacturing Industries 12.1 10.9 11.1 10.2 12.5 13.4

Construction 6.2 7.1 7.4 4.8 8.6 9.6

Total Goods Producing 21.4 20.2 24.8 17.1 22.8 29.2

Service Producing

Transportation & Storage 7.7 5.3 5.1 9.4 8.8 7.9

Wholesale Trade 6.9 5.9 4.6 6.4 6.9 5.2

Retail Trade 12.5 12.6 12.8 11.1 10.0 9.7

Finance, Insurance, & Real Estate 7.3 7.5 5.7 6.8 6.4 4.8

Business, Personal, & Other Services 14.1 16.1 13.2

Communications and Utilities 3.6 3.6 3.0

Education 6.1 6.2 6.4

Health Care 7.8 8.5 8.5

36.6 33.6 27.3

Public Administration 6.0 5.0 6.5 5.4 4.0 5.3

Accommodation & Food Services 6.1 7.5 8.0 5.9 6.8 8.6

Total Service Producing 78.1 78.2 73.8 81.6 76.5 68.8

Other 0.5 1.6 1.4 1.3 0.7 2.0

Total Labour Force 100.0 100.0 100.0 100.0 100.0 100.0 Source: Delta Economic Profile. May 2004.

Table 3-7 shows the local and regional labour force and its distribution by occupational category.

Sales and services represent the largest occupational group for Delta and the GVRD, while

business, finance and administrative is the second largest group in both the jurisdictions. This is




followed by trades, transport and equipment operators. Collectively the largest three occupation

groups make up 59.8 percent of the labour force in Delta and 56.1 percent in the GVRD.

Table 3-7: Labour Force By Occupation, 2001 Delta GVRD

Management Occupations 6,470 12.2% 124,965 11.6%

Business, finance and administrative 10,675 20.2% 207,890 19.4%

Natural and applied sciences and related 3,330 6.3% 75,150 7.0%

Health occupations 2,435 4.6% 54,895 5.1%

Social science, education, government & religion 3,855 7.3% 85,975 8.0%

Art, culture, recreation and sport 1,375 2.6% 42,595 4.0%

Sales and service 13,300 25.2% 263,765 24.6%

Trades, transport and equipment operators 7,590 14.4% 130,110 12.1%

Occupations unique to primary industry 1,150 2.2% 18,350 1.7%

Processing, manufacturing and utilities 1,970 3.7% 46,210 4.3%

Occupation – Not Applicable 685 1.3% 23,105 2.2%

Total Labour Force By Occupation 52,835 100.00% 1,073,010 100.00% Source: Delta Economic Profile. May 2004.

Table 3-8 highlights the mobility of the labour force for Delta, Richmond and the GVRD in

2001. As illustrated, the labour force for both men and women in Delta is much more likely to

travel to outside municipalities for work than other communities in the region. In comparison to

Richmond, Delta workers are twice as likely to be working outside the community as residents in

Richmond.

Table 3-8: Place of Work, 2001 Delta Richmond GVRD

Males

• In municipality of residence 23% 53% 38%

• In different municipality 77% 47% 62%

Females


• In different municipality 70% 41% 54%

Total (Combined Male and Female)


• In different municipality 74% 44% 58% Source: Delta Economic Profile. May 2004.

In conclusion, the labour force in Delta is growing at a much slower pace than is generally

observed in the GVRD. While this is partially a result of slower population growth in Delta than

observed in GVRD, it does not cover the entire discrepancy. Between 1991 and 2001, the

population of Delta increased by 10 percent while the labour force grew by only half this rate at

five percent.




It is likely Delta will continue to lag the regional labour force growth over the next several years,

particularly if the trend of overall aging of local residents continues and the numbers of workers

retiring accelerates. Also, Delta has seen a noticeable drop in its percentage share of goods

producing sectors, particularly in the key manufacturing and construction sectors, and it is

possible that the local labour force will further follow this transition and continue to run counter

to the GVRD trend.

3.9.2 Personal Income

Figure 3-1 summarizes the “Change in Personal Income” for Delta, Richmond, GVRD and

British Columbia.. Personal income levels in Delta have consistently been the highest among the

four jurisdictions and significantly higher than those observed for Richmond.

Figure 3-1: Change in Personal Income, 1990-2000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

Delta GVRD Richmond BC

Source: Delta Economic Profile. May 2004.

Table 3-9 shows the percentage of individual earnings by various income groupings for the

Province, Delta, Richmond and the GVRD. Given that Delta has the highest average income, it is

not surprising that Delta also has a larger percentage of individuals earning $50,000 or more.

Delta also has a smaller percentage of individuals that earn less than $10,000.




Table 3-9: Percentage of Population By Individual Income Group, 2000

$10,000 or less $10,000-$20,000 $20,000 -$50,000 $50,000 or more

Delta 22.3% 19.3% 36.7% 21.7%

Richmond 33.3% 19.8% 32.4% 14.6%

GVRD 26.4% 20.9% 34.8% 17.8%

BC 25.3% 22.3% 35.4% 17.0% Source: Delta Economic Profile. May 2004.

Table 3-10 compares the source of personal income for the above jurisdictions in 1990 and 2000.

During this period, employment income remained the largest source of personal income in each

area, although all employment income shares have declined over the past decade. Delta

continues to have a higher share of personal income derived from employment income than

Richmond, GVRD or BC.

Pension income has increased sharply across all jurisdictions as identified in Table 3-10. In

Delta, income from pension sources rose sharply by 50 percent between 1990 and 2000 while

increases of 29 percent were observed in Richmond, 19 percent in the GVRD and 29 percent in

BC. At the same time, income from investment sources has declined for all jurisdictions.

Table 3-10: Change in the Source of Personal Income, 1990 and 2000

Employment Pension Investment Self-Employ Other

1990 2000 1990 2000 1990 2000 1990 2000 1990 2000

Delta 74.8% 72.1% 6.6% 9.9% 9.5% 7.8% 3.9% 4.3% 5.2% 5.9%

Richmond 71.5% 69.9% 6.8% 8.8% 12.0% 10.6% 4.6% 6.7% 5.1% 4.0%

GVRD 67.1% 67.9% 7.7% 9.2% 14.2% 10.8% 5.5% 5.6% 5.5% 6.5%

BC 66.9% 66.1% 9.2% 11.9% 12.5% 9.7% 5.2% 5.0% 6.2% 7.3% Source: Delta Economic Profile. May 2004.

The future implications are difficult to determine for Delta and surrounding areas given the many

dynamics at play. However, it is interesting that there has been a sharp jump in pension income

without a corresponding increase in the 65 or older age group in the community. This suggests

that a significant number of residents in Delta may be choosing to retire prior to 65. If this trend

continues, it is possible that the pension income growth will accelerate in the Delta over the next

decade.

The transition from employment income to pension income will result in a relative decline in

average incomes for residents as they move from employment to retirement. This, however,




should not result in an overall drop in the local standard of living in the area. Rather, it creates a

shift in the region’s working age population versus its retired population. At the same time the

goods producing labour force in Delta has been on a slow decline. This portion of the labour

force has traditionally earned better wages than the more service-oriented labour force. This

could also put future downward pressure on local personal income and would impact the local

standard of living. At the same time, however, Delta has maintained a higher percentage of

workers in the management and trades occupations than generally observed in the GVRD. These

occupations typically include higher compensation than other occupations and have historically

captured higher percentage wage increases during period of economic expansion.

3.9.3 Economic Development – Building Permits and Housing Starts

Building permit trends offer some insight into the overall development activities within Delta

and neighbouring areas. An increase in building permits over historical levels generally indicates

accelerated development, while decreases indicate a local contraction. Building permit activity

for Delta and Richmond between 1993 and 2002 is summarized in Table 3-11. The building

permit value for Delta is expressed as a percentage share of the entire GVRD to provide a

regional perspective.

Table 3-11: Total Building Permits, 1993-2002 ($ x 1,000) 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002

Corporation

of Delta 115,681 122,202 102,624 94,588 107,465 84,527 110,347 96,092 91,048 81,829

City of

Richmond 357,461 402,036 274,339 332,978 281,822 239,587 150,622 169,507 173,800 335,578

Delta as %

of GVRD 3.3% 3.0% 2.9% 2.3% 2.9% 2.6% 3.7% 3.1% 2.7% 2.0%


For Delta, building permits generally remained constant over the period with a noticeable

weakness between 1998 and 2002. Meanwhile Richmond experienced strong years in 1993 and

1994 and then a softer market between 1998 and 2001 before once again experiencing strong

investment in 2003. Delta has traditionally averaged between two and three percent of total

GVRD building permit value. Only in 1993 and 1999 did Delta exceed three percent of the total

regional activity.




Another important indicator of economic growth in the Delta area is the number of housing starts

in a given year. Housing starts make up a portion of the total value of building permits but

provide unique insight into the population growth and are often an important indicator of a

community’s economic cycles. As illustrated in Figure 3-2, housing starts in Delta have been

hovering near twenty year lows over the last seven years. During the same period in Richmond,

housing starts rose dramatically, recovering strongly from a slump that lasted between 1997 and

2001. Historically, Delta has seen housing starts from between a half to one-third of the number

experienced in Richmond. However, in 2003 Delta reached its biggest discrepancy with

Richmond in last seventeen years when the municipality experienced only eight percent of the

number of housing starts as were experienced in Richmond.

Figure 3-2: Housing Starts, 1986-2003

124

1,015

373

2,672

1,641

1,498

0250

500750

1,0001,250

1,5001,750

2,0002,250

2,5002,750

3,000

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

Num

ber

of H

ouses

Delta Richmond


In conclusion, Delta has not experienced the same level of economic development as has

neighbouring Richmond or the larger GVRD in recent years. However, it is anticipated that the

region will experience on-going strong population growth over the next two decades and the

economy of the Lower Mainland will show continued strength. This growth can eventually be

expected to spill over into Delta, to some extent, and should translate into some new demand for

land and construction activity over the next several years. However, the shortage of available




industrial land which is both close to the marine terminal and rail accessible will continue to

limit industrial growth spin-off opportunities from the Deltaport Third Berth Project.

3.9.4 Economic Development – Incorporations and Bankruptcies

Figure 3-3 highlights the change in business incorporations and bankruptcies for Delta between

1990 and 2003. In reviewing this data, it is important that it be placed in perspective with where

the business filed for incorporation and bankruptcy which is not, necessarily, the community in

which the business operated. Regardless, business incorporations and bankruptcies still represent

a good indicator of general business activity.

Figure 3-3: Delta Business Incorporations and Bankruptcies, 1990-2003

559

498

531

499 503

82

120 128

181 173

429

437

506452451

544

471

480

441

156174

187

50

100

150

200

250

300

350

400

450

500

550

600

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Nu

mb

er

of

Bu

sin

esse

s

Incorporations Bankruptcies


Note: Bankruptcy data was not produced for Delta between 1992 and 1999.

For Delta, incorporation activity has fluctuated over the years, usually peaking when provincial

and local economic conditions have been their most favourable, and declining during

recessionary periods. Conversely, bankruptcies tend to be at their highest during the most

difficult economic times. The comparison of these two values suggests that, after a tough period

in the late 1990’s when incorporations were declining and bankruptcies rising, the business

climate locally has once again begun a noticeable expansion phase. Over the past three years

incorporations have risen each year while bankruptcies have slowly trended downward.




There also may be a number of non-economic factors driving these numbers. For example, a

shift in registration of local incorporations to other municipalities (e.g. Vancouver) or an

increasing preference for partnerships and proprietorships rather than limited companies may

impact the statistics. However, if these factors are assumed to remain constant, then the increased

number of incorporations may be a positive signal turn for the area’s economic future

3.9.5 Local Industrial Base

The industrial base of Delta, and that of the other municipalities in Greater Vancouver, are

expected to directly influence the extent to which these local and regional areas benefit from the

supply and service requirements of the Deltaport Third Berth Project, during both the

construction and the operational phases.

Manufacturing is a major contributor to the income of Delta residents. In 2001, there were 5,400

manufacturing workers living in Delta, approximately 10 percent of the total labour force.

Manufacturing as a percentage of the total labour force in the GVRD was 9.2 percent. Of GVRD

municipalities, Delta had the fifth largest manufacturing labour force, after Vancouver, Burnaby,

Richmond and Surrey. The average personal income of manufacturing workers in Delta in 2001

was $52,577. It is important to note, however, that many of these workers who live in Delta

likely travel to their employment in municipalities outside of Delta.

In 1991, Delta had 5,800 manufacturing workers comprising 19.8 percent of the labour force.

The change in Delta to a progressively smaller manufacturing sector is characteristic of national

and North American trends that are seeing most job creation come from the service sectors rather

than goods-producing industries like manufacturing.

The BC Manufacturers’ Directory lists 239 manufacturing firms located in Delta, which is a low

estimate since the directory does not capture all companies. Several notes on the manufacturing

sector in Delta are included below:

• The largest 25 manufacturers are responsible for more jobs than the entire Delta manufacturing labour force. This indicates that these firms employ many residents of neighbouring municipalities and therefore that Delta is a net provider of high-paying

manufacturing jobs to other areas of the Lower Mainland.




• Industrial and manufacturing activity is clustered in three areas: Annacis Island, Tilbury and River Road. These areas are relatively accessible by residents of neighbouring

municipalities which manufacturers draw from for their workers. • Some large manufacturers have their headquarters in Delta, but many are also national

and international subsidiaries

• There is a diversity of products being manufactured in Delta with concentrations in wood products, food processing, building products and high technology.

Delta has approximately 3,600 acres of industrially zoned land, of which one third is vacant. The

municipality accounts for approximately 13 per cent of the Lower Mainland’s industrial land

supply. And the majority of industrial businesses are clustered in two major geographic centres:

Annacis Island and Tilbury Industrial Park.

Annacis Island is the largest industrial area in the GVRD and has a diversity of large

manufacturers with clusters in high technology and forestry. More than 10,000 people work on

the Island. Physically separated from residential and commercial areas, Annacis is a relatively

secure and geographically central industrial area. The area is exclusively industrial and lease-

only.

Tilbury Industrial Park became the second major industrial zone in Delta and the fourth largest

industrial park in the GVRD in the 1980’s. It is home to 300 manufacturing, industrial, high

technology and distribution companies.

Roberts Bank terminals play a significant role in the transportation and distribution industrial

make up for Delta. At 285 acres of terminal space, it represents approximately eight percent of

Delta’s industrial land base. It also contributes $6,000,000 to the local property tax base.

There are three smaller clusters of industrial activity in Delta, including the following areas:

• River Road East – mixed industry; • Nordel – mixed industry;

• Boundary Bay Airport – transportation and distribution. Construction activity in the industrial sector is also an important indicator of the area’s base and

potential. Table 3-12 highlights the industrial building permits in Delta, the GVRD and British

Columbia between 1996 and 2002. Delta accounted for 17 percent of all industrial permits over




this period and maintained a consistent track record of project development. Expenditures ranged

from a low of $14 million in 1998 to a high of $34.4 million in 1999.

Table 3-12: Industrial Building Permits, 1996-2002 ($ x 1,000) 1996 1997 1998 1999 2000 2001 2002

BC 252,646 285,423 273,279 319,378 295,525 221,353 230,119

GVRD 151,875 163,773 160,652 172,837 147,547 105,178 129,291

Delta 21,461 36,724 14,208 34,461 28,807 25,154 16,948 Source: Delta Economic Profile. May 2004.

Delta’s industrial real estate sector was a strong performer in 2003 with a year-end occupancy

rate of 97.24%. The Greater Vancouver region as a whole also performed well with a vacancy

rate of only two percent. Delta accounted for 12 percent of the industrial inventory and ranked

fifth in terms of regional land absorption during 2003. Industrial real estate information for

Lower Mainland municipalities in 2003 is summarized in Table 3-13.

In general, the region has the tightest industrial market in the country. New construction is

attributable to pent-up demand from companies responding to the lack of available space. Many

developers are starting projects with as little as a 30% pre-lease commitment. The market is

expected to remain tight in 2004.

Table 3-13: Lower Mainland Industrial Market Activity, 4th Quarter, 2003

Delta Inventory

Overall

Vacancy

Rate

Vacancy

Rate

Current

Quarter

% For

Sale

% For

Lease

Absorption

Current

Quarter

YTD

Absorption

Weighted

Avg. Overall

Abbotsford 5,770,131 0.20% 1.23% 0.00 100.00 63,827 59,396 $3.50-$5.00

Burnaby 24,096,762 2.04% 3.39% 6.07 93.93 89,245 515,132 $5.00-$7.00

Coquitlam 5,888,096 3.34% 2.61% 1.50 98.50 74,072 189,093 $5.75-$7.00

Delta 18,935,039 2.76% 2.65% 37.45 62.55 156,196 257,279 $5.50-$7.00

Langley 11,904,990 2.13% 2.67% 24.51 75.49 -58,528 406,422 $5.50-$7.00

Maple Ridge 2,185,157 3.75% 2.99% 35.90 64.10 30,455 -16,585 $5.50-$7.00

New Westminster 4,375,230 0.37% 5.58% 100.00 0.00 51,183 34,000 $4.50-$6.00

North Shore 4,713,072 4.69% 5.26% 99.45 0.55 11,934 26,907 $6.75-$9.00

Port Coquitlam 4,838,765 6.53% 2.74% 0.00 100.00 102,328 22,920 $5.00-$6.50

Port Moody 904,444 0.71% 1.81% 0.00 100.00 752 9,926 $4.50-$5.95

Richmond 28,484,700 1.50% 2.28% 4.87 95.13 414,422 779,806 $4.75-$7.75

Surrey 23,148,804 0.81% 0.99% 24.18 75.82 243,696 431,818 $5.50-$7.00

Vancouver 21,677,256 1.84% 3.61% 16.16 83.84 220,421 339,675 $5.50-$8.00

Total 156,922,446 2.00% 2.70% 21.93 78.07 1,400,003 3,055,789 $6.15 Source: Delta Economic Profile. May 2004.

In conclusion, Delta has managed to maintain a reasonable industrial base because of strategic

competitive strengths. The locational difference between proximate sub-markets is not that




significant compared to site availability. Most distribution warehouses in the Vancouver region,

for example, can locate anywhere within the GVRD as long as they have good truck, port and

railway inter-modal yard access. This puts most GVRD communities on a relatively even

competitive footing. For Delta to capitalize, in a major way, on industrial opportunities

associated with the Deltaport Third Berth Project, available industrial land in close proximity to

both the container terminal at Roberts Bank and the area’s rail line is of primary importance.




4.0 SOCIO–COMMUNITY IMPACT ASSESSMENT

Section 3 provided general baseline information on a range of socio-community and economic

factors that could be influenced by the construction and operation of the Deltaport Third Berth

Project (the Project). The baseline data included a description of the project setting, population

and demographics, land use planning context, land use, transportation and traffic, health,

emergency and protective services, community facilities and services, employment, wages, tax

base, economic development, labour force statistics, local businesses, personal income

characteristics and housing. Where possible information was presented for both the Corporation

of Delta and the TFN.

The main potential linkages between the Project related activities and the socio-economic

indicators evaluated are illustrated in Figure 4.1 at the end of this chapter. In this section, these

indicators have been assessed and predictions are provided on the nature of the possible effects

that may result from the construction and long term operation of the Project.

The assessment of the Project is based on the Preliminary Project Description provided to the BC

EAO on June 8, 2004 which outlines the project rationale, and a description of the project

components (wharf to accommodate the third berth, container storage yard, buildings, tug

moorage and boat launch, ship channel, improvements to rail, road and the causeway, site

services, terminal equipment and security).

4.1 CONSTRUCTION IMPACTS

The socio-community impacts on the community which may result from the construction of

Deltaport Third Berth project are described below.

4.1.1 Population and Demographics

The Deltaport Third Berth project is expected to generate approximately 640 person years

associated with on-site construction during a projected August 2005 to April 2008 construction

period5. At any peak construction period it is expected that there will be a maximum of 100

5 Information source: AMEC, October 22, 2004




workers on-site at a time. The jobs and workers will vary over the 3 year period and not all

workers will work on the project over the 3 year period. Some of these workers are expected to

come locally from Delta and TFN but most will come primarily from the overall Greater

Vancouver Regional District (GVRD). Given that some of the jobs may last the extent of

construction some of the workers not presently living in the local area may choose to do so.

Delta already has a range of housing available and the community plans suggest that it expects

new housing development to allow its population to increase from 97,208 in 2001 to 106,381.

The majority of this new growth is expected to take place in North Delta which is within a

modest commute to the Project site.

TFN is presently negotiating a Final Treaty settlement based on an Agreement in Principle

signed on March 15, 2004. This Agreement includes the addition of 365 hectares of new land for

TFN. As part of the expressed TFN Community Vision, the community sees one of the uses of

this land to provide additional housing for both on-reserve and off-reserve members. Should the

Final Treaty settlement be reached prior to the commencement of construction, the TFN would

have an opportunity to provide new housing for all members and accommodate those who may

obtain construction jobs at the site.

The majority of construction workers will likely reside in other municipalities in the Greater

Vancouver Regional District. The project site is well within a reasonable commuting distance for

most of these communities. This would spread the impact of finding and accommodating a large

work force over a greater area minimizing any impacts on housing and community facilities and

services for their general needs.


The Project respects many of Delta’s Official Community Plan polices:

• Employment policies highlight a desire to increase the percentage of local jobs available to Delta residents and to provide for a wide range of employment opportunities.

• Industrial Area policies seek to encourage and enhance the development and servicing

of existing industrial areas (which includes Roberts Bank) noting that local industry provides tax revenue and an employment base that can ease commuting time, cost and traffic congestion for local workers.




• Transportation policies as they relate to Roberts Bank want to ensure water access along the Fraser River and the vicinity of Roberts Bank terminals for port related

developments. Within the TFN existing reserve construction is not expected to interfere with the land use plans

in place. The land use designations have not been identified for those lands identified as Treaty

lands in the Agreement in Principle. At this time it is difficult to estimate any impacts.

The Project construction has a neutral impact on three of the four main objectives of the Greater

Vancouver Regional District’s Liveable Region Strategic Plan (LRSP) and a positive impact on

the fourth:

• Protect the Green Zone (neutral); • Build Complete Communities (neutral); • Achieve a Compact Metropolitan Region (positive); and,

• Increase Transportation Choices (neutral).

4.1.3 Land Use

Within Delta, construction will have either neutral or minimal impact on the existing land use

designations or use of that land. Construction will take place on the causeway and on existing

road and rail rights of way. Impacts that will occur to the community will likely be related to the

transportation corridors and those residents and farm operators using the roads. Transportation

impacts are discussed under Section 4.1.5 of this report. Economic impacts on commercial

fishing during construction are discussed in Section 5.5. Some minor increase in office space

rental may occur if space is required for contracted companies involved during construction.

The TFN Reserve is relatively close to the construction activities of both the new berth and

transportation corridors. The construction will have no direct impact on Reserve land uses.

4.1.4 Noise Impacts on Land Use

An Environmental Noise Assessment (Assessment) was conducted by BKL Consultants Ltd. of

both the construction and operational phases of the Project on the noise impacts of nearby

residential communities. This Socio Community and Economic Impact Assessment refers to that

study. In addition to the review of the information from previous locations used to monitor the




noise from the operations at Roberts Bank, four new locations were monitored. These included

sites located at:

• 41B Street south of the rail line • the Tsawwassen First Nation’s North Subdivision

• Tsawwassen Beach and • Panorama Ridge

The Assessment predicts that daytime and night time construction noise levels would be below

existing ambient levels and inaudible under most atmospheric conditions. The predominant

source of construction noise will be diesel powered dredges, cranes, loaders and other

construction equipment.

To ensure that construction contractors do not use excessively noisy equipment the Assessment

recommends that the construction contract include a section on noise control requirements,

which specifies maximum allowable noise emission from various types of equipment,

communications with the public regarding any construction noise issues that may arise and

procedures for responding to noise complaints.

4.1.5 Visual Impacts on Land Uses

A Visual and Lighting Impact Assessment (Assessment) was conducted by Catherine Berris

Associates Inc. and Associated Engineering (B.C.) Ltd. of both the construction and operational

phases of the Third Berth Project on the visual and lighting impacts of nearby residential

communities, regional parks and the BC Ferry operations. This Socio Community and Economic

Impact Assessment refers to that study.

Four locations were monitored to assess the visual and lighting impacts and included:

• The North Dyke viewpoint to represent views from the north • The Tsawwassen First Nation (TFN) Band office view point to represent the TFN

community perspective • The BC Ferries causeway pull out to represent the closest viewpoint from which the

terminal is seen by the general public, and

• Fred Gingell Park view point to represent views of park users and residents in the southern English Bluff area.




The Assessment indicated that the visual impacts during construction are similar to the final

visual impact during operation of the berth. These visual impacts include three additional gantry

cranes as vertical features, one additional ship, additional container stacks and other terminal

equipment. Overall the visual impact of the expansion is measurable but low. The visual impact

from the North Dyke Viewpoint, the TFN Band Office and Fred Gingell Park are considered

low. From the BC Ferries causeway the visual impact is considered moderate however there is

not a significant level of viewer concern from this location.

Night time lighting impacts during construction will be related to the following activities for all

four viewpoints:

• Lighting associated with terminal construction activities. These are expected to have a

low impact since it will be low level floodlighting from portable lighting plants operating during limited working hours.

• Lighting associated with dredging in the berth, terminal and shipping channel areas.

During construction the visual impact grows until completion. No methods are available to

mitigate the visual impacts during construction. Two potential methods to mitigate the visual

impact of the existing facility and the completed expansion are discussed under Section 4.2. 4.

4.1.6 Air Quality on Land Uses

An Air Quality and Human Health Assessment was conducted by RWDI West Inc. The local

study area for this Assessment was defined as a 30 kilometre by 30 kilometre area that includes

the communities of Tsawwassen, Tsawwassen First Nation (TFN), Ladner, Boundary Bay/Maple

Beach, Beach Grove, Steveston and Point Roberts. This report refers to the Assessment.

The sources of emissions examined in the inventory included existing conditions at both

Deltaport and Westshore terminals, and new conditions created by the Third Berth Project during

construction and operations from terminal operating equipment, trucks for containers and

construction, trains and container vessels.

All maximum concentrations predicted during construction for plus 98th percentile ambient

values were less than ambient air quality criteria. The contribution of construction emissions to




the predicted exceedances to the Canadian Acceptable Objective for hourly NO2 and CO is

negligible.

Human health risk estimates were calculated by comparing the estimated ‘chemicals of potential

concern’ (COPC) to exposure limits or safe levels of exposure determined for each. Risks are

expressed as either Concentration Ratio (CR) or Exposure Ratio (ER) values depending on the

nature and duration of exposure. All CR and ER values were reference to 1.0 and values less

than 1.0 are signified an absence of health risks and those above 1.0 signified the possibility of

health risks.

Human heath risk estimates represented by CR and ER values were all less than 1.0, signifying

an absence of potential acute or chronic health risks in the local study area during construction.

4.1.7 Transportation

Rail and road transportation studies have been prepared to examine the traffic impact of

Deltaport Third Berth on Delta, the TFN and the wider region. These studies have been used to

determine the socio-community impacts on Delta and TFN.

4.1.7.1 Roads

During construction there will be two aspects that will have temporary impacts on the

community. One will be impacts on local traffic movement from specific components that are to

be constructed outside of the terminal and causeway area and the second is the impact on both

local and area road networks by additional truck and worker traffic travelling to and from the

various construction sites.

There is one component of construction outside of the terminal and causeway area that will have

an impact on local traffic movement patterns:

1. The proposed closing of 57B Street grade crossing to accommodate the 5,000 foot

extension of two existing rail sidings from 57B Street to 64th Street.

Recommendation: That a traffic management and emergency response plan be prepared

regarding the proposed closure of the south leg of 57B Street grade crossing at Deltaport Way.




This plan should include the involvement of Delta and input from other stakeholders such as the

TFN, the Delta Farmers Institute and local residents who may potentially be impacted by the

closure.

Additional traffic will be generated during the construction of the terminal. This traffic will come

from construction vehicles and by construction workers travelling to the site. Traffic generated

by construction workers will likely peak at pre-determined times depending on the shift working

hours. The estimated maximum number of workers on-site at any one time is 100 which should

have negligible impact on local traffic. Truck and service vehicle traffic will likely take place

throughout the day and may have certain peak weeks depending on the type of work taking

place.

While local traffic travels through this area to reach schools, parks and other community

facilities and services, none of these facilities are physically in close proximity to the

construction sites and should not be directly affected.

Recommendation: That a traffic management plan be prepared prior to the commencement of

construction and discussed with both Delta, the TFN and Ministry of Transportation to minimize

the impacts of construction generated traffic. This traffic management plan would outline efforts

to ensure trucks adhere to the designated truck routes throughout Delta.

4.1.7.2 Rail

The construction of additional rail sidings involves the extension of the existing sidings from

57B Street eastward to 64th Street. This construction will take place in existing rail right of way

adjacent to Deltaport Way.

There will be various construction vehicle movement and some worker traffic in the area

accessing and exiting from the construction site. This is expected to take place over a four month

period from late 2007 to early 2008. This is temporary in nature and expected to have a very low

impact on local or container truck traffic in the area.




4.1.7.3 Marine

Both Deltaport and Westshore Terminals will remain open during construction of the Third

Berth. Marine safety measures will be put in place to ensure safe coming and going of ships

during the period of construction.

4.1.8 Hospital/Medical Services

For heavy construction projects of this scale, Worker Compensation Board (WCB) injury

estimates for 1999-2003 average a 12% injury rate per 100 person years. For this project on-site

construction labour has been estimated to be 190 persons working on the site per day over 21

months and 140 persons for 11 months during the 32 month construction period between August

2005 and April 2008. This averages out at 173 person years per year.

Using the average number of person years per year in conjunction with WCB’s injury estimates,

this represents 21 construction related claims per year. All of these injuries in this category

involve a time loss of work, however many are not directly related to an accident or an injury

that requires hospital care. For example, 44% of the injuries are related to back and other types

of strains. Twenty percent of accident claims are reported to be due to overexertion, which also

may not require hospitalization. We can infer from this that there will be low impact of 10-12

calls on the local hospital and medical services.

This is a temporary impact during the expected 32 month construction period. The contractor

will be required to have first aid services available on-site and this will help to further reduce the

use of the local community hospital and medical services.

4.1.9 Police

The Project is located within the coverage of the Delta RCMP station in Ladner. The new

security measures implemented by the Vancouver Port Authority at Roberts Bank as a result of

the Marine Transportation Security Regulations and the additional security personnel to enforce

these regulations are expected to handle all incidents that may arise during construction.




This is a temporary impact during the expected three year construction period and expected to

have a low impact on local services.

4.1.10 Security

The new security measures implemented by the Vancouver Port Authority at Roberts Bank as a

result of the Marine Transportation Security Regulations and the additional security personnel to

enforce these regulations will also provide security for the construction site at Deltaport. The

general contractor will provide security for any construction sites located outside of the Deltaport

terminal, for example the rail siding extensions. There will be no impact on community services.

4.1.11 Fire Protection

The Project is located within the jurisdiction of Fire Hall No 1, at 4645 Harvest Drive in Ladner.

Fire Hall No 2 (5416-12th Ave Tsawwassen) can provide further assistance if the emergency

warrants.

This is a temporary impact during the expected three year construction period and is expected to

have limited or no impact on fire protection services.

The contractor will be required to maintain a level of fire prevention measures on-site.

4.1.12 Community and Social Services and Facilities

The temporary construction workforce is not anticipated to utilize the community and social

services for either Delta or TFN during the construction period other than the fire, police and

hospital/medical services identified above.

Construction itself may have some minor impact on roads and intersections that provide access

to facilities like schools, recreation centers or parks. These have been discussed under section

4.1.7 Transportation and Roads and mitigation strategies have been recommended.

4.2 OPERATIONAL IMPACTS

The impacts on the community which may result from the construction of Deltaport Third Berth

are described below.




4.2.1 Population and Demographics

New workers for the Deltaport Third Berth project are expected to average 356 new full time

equivalents on-site during full operations (Table 5-7). It is estimated that 46 of these workers are

expected to live locally in Delta and in the TFN. The remainder will live in the overall Greater

Vancouver Regional District (GVRD). Given the long-term nature of the jobs some new workers

not presently living in the local area may choose to do so.

Delta already has an existing range of housing and the community plans suggest that it can

accommodate new housing development to allow its population to increase from 97,208 in 2001

to 106,381. The majority of this new growth is expected to take place in North Delta which is

within a modest commute to the Project site. Delta’s present and future housing base would be

able to accommodate any new workers choosing to live in the community.

TFN is presently negotiating a Final Treaty settlement based on an Agreement in Principle

signed on March 15, 2004. This Agreement includes the addition of 365 hectares of new land for

TFN. As part of the expressed TFN Community Vision, the community sees one of the uses of

this land to provide additional housing for both on-reserve and off-reserve members. Should the

Final Treaty settlement be reached prior to the operations of the new berth, the TFN would have

an opportunity to provide new housing for all members as well as accommodate those members

who may obtain jobs at Deltaport Third Berth.

The majority of workers will likely reside in other municipalities in the Greater Vancouver

Regional District as is the case with the present operations at Deltaport. The new berth is well

within a reasonable commuting distance for most of these communities. This would spread the

impact of finding and accommodating the terminal’s work force over a greater area and creating

negligle impacts on housing and community facilities and services for their general needs.


The Project respects many of Delta’s Official Community Plan polices:

• Employment policies highlight a desire to increase the percentage of local jobs available to Delta residents and to provide for a wide range of employment opportunities. New

workers would have the opportunity to live in Delta.




• Industrial Area policies seek to encourage and enhance the development and servicing of existing industrial areas (which includes Roberts Bank) noting that local industry

provides tax revenue and an employment base that can ease commuting time, cost and traffic congestion for local workers. The new Berth will increase local, provincial and federal taxes generated from operations. This is discussed in Section 5.2.2 of the report.

• Transportation policies as they relate to Roberts Bank want to ensure water access along the Fraser River and the vicinity of Roberts Bank terminals for port related developments. The operations will add to the port infrastructure in Roberts Bank

industrial area. Within the TFN existing Reserve the operations at the new Berth are not expected to interfere

with the land use plans in place. The land use designations have not been identified for those

lands identified as Treaty lands in the Agreement in Principle. At this time it is difficult to

estimate any impacts. The economic impacts Section 5.2.4 outlines some possible business

opportunities for land in close proximity to Deltaport to provide services for the terminal

operations.

The ongoing operations have a neutral impact on the four main objectives of the Greater

Vancouver Regional District’s Liveable Region Strategic Plan (LRSP) to:

• Protect the Green Zone

• Build Complete Communities • Achieve a Compact Metropolitan Region; and, • Increase Transportation Choices.

4.2.3 Land Use

Within Delta, the operations will have either neutral or minimal impact on the existing land use

designations or use of that land. Impacts that may occur to the community will likely be related

to the transportation corridors and those residents and farm operators using the roads.

Transportation impacts are discussed under 4.2.6.

Some minor increase in office space rental may occur if space is required for businesses serving

the expanded terminal and some service industrial businesses may find it convenient to be

located in close proximity to the terminal.

Economic impacts on commercial fishing during operations are discussed in Section 5.2.3.




4.2.4 Noise Impacts on Land Uses

An Environmental Noise Assessment (Assessment) was conducted by BKL Consultants Ltd. of

both the construction and operational phases of the Project on the noise impacts of nearby

residential communities. This Socio Community and Economic Impact Assessment refers to that

study. In addition to the review of the information from previous locations used to monitor the

noise from the operations at Roberts Bank, four new locations were monitored. These included

sites located at:

• 41B Street south of the rail line

• the Tsawwassen First Nation’s North Subdivision • Tsawwassen Beach and • Panorama Ridge.

The Assessment expects the noise levels in communities adjacent to Roberts Bank to increase in

proportion to the predicted increase of three trains per day serving the port. Noise for

communities located close to the port is predicted to come from rail car impacts, train whistles

and idling locomotives. Noise for communities farther from the port such as Panorama Ridge

will result from longer trains that take longer to pass by.

The Assessment concludes that predicted noise level increases due to future operations of the

Third Berth are very small (1to 2 dBA) because the additional rail traffic represents a small

percentage increase relative to the existing traffic. The Operations Noise Management Plan

recommends that specific initiatives to be undertaken to resolve the problems from any

unexpected noise issues that become apparent once the Third Berth becomes operational.

Consistent procedures should be established for documenting any future noise complaints that

may be received by TSI, BC Rail or the Corporation of Delta.

4.2.5 Visual and Lighting Impacts on Land Uses

A Visual and Lighting Impact Assessment (Assessment) was conducted by Catherine Berris

Associates Inc. and Associated Engineering (B.C.) Ltd. of both the construction and operational

phases of the Third Berth Project on the visual and lighting impacts of nearby residential

communities, regional parks and the BC Ferry operations. This Socio Community and Economic

Impact Assessment refers to that study.




Four locations were monitored to assess the visual impact and included:

• The North Dyke viewpoint to represent views from the north • The Tsawwassen First Nation (TFN) Band office view point to represent the TFN

community perspective

• The BC Ferries causeway pull out to represent the closest viewpoint from which the terminal is seen by the general public, and

• Fred Gingell Park view point to represent views of park users and residents in the

southern English Bluff area. The Assessment indicated that the visual impacts during construction are similar to the final

visual impact during operation of the berth. These visual impacts include three additional gantry

cranes as vertical features, one additional ship, additional container stacks and other terminal

equipment. Overall the visual impact of the expansion is measurable but low. The visual impact

from the North Dyke Viewpoint, the TFN Band Office and Fred Gingell Park are considered

low. From the BC Ferries causeway the visual impact is considered moderate however there is

not a significant level of viewer concern from this location.

Night time lighting should not increase the overall lighting levels as viewed from off site,

however as the lighting will be extended over a larger area, there will be a perception that the

overall brightness of the facility is greater. The effect that facility lighting has on the local

residential areas in the selected viewpoints has more to do with light trespass, brightness and

nuisance glare than light contribution.

The implementation of the mitigation measures proposed by the Visual and Lighting Impact

Assessment should result in an overall low impact of the lighting systems for the Third Berth

expansion at all view point, except for the TFN which may be slightly higher.

4.2.6 Air Quality and Human Health

An Air Quality and Human Health Assessment was conducted by RWDI West Inc. The local

study area for this Assessment was defined as a 30 kilometre by 30 kilometre area that includes

the communities of Tsawwassen, Tsawwassen First Nation (TFN), Ladner, Boundary Bay/Maple

Beach, Beach Grove, Steveston and Point Roberts. This report refers to the Assessment.




The sources of emissions examined in the inventory included existing conditions at both the

Deltaport and Westshore terminals, and new conditions created by the Third Berth Project during

construction and operations from terminal operating equipment, trucks for containers and

construction, trains and container vessels.

When the Third Berth is in operation, the incremental impact of the new berth’s emissions was

assessed by adding the 98th percentile observed ambient values to maximum predicted

concentrations. All maximum predicted concentrations were well below ambient criteria. The

Air Quality and Human Health Assessment has suggested an Environmental Management Plan

to provide options for reducing emissions, which this report endorses.

Human health risk estimates were calculated by comparing the estimated ‘chemicals of potential

concern’ (COPC) to exposure limits or safe levels of exposure determined for each. Risks are

expressed as either Concentration Ratio (CR) or Exposure Ratio (ER) values depending on the

nature and duration of exposure. All CR and ER values were reference to 1.0 and values less

than 1.0 signified an absence of health risks and those above 1.0 signified the possibility of

health risks.

Human heath risk estimates represented by CR and ER values were all less than 1.0, signifying

an absence of potential acute or chronic health risks in the local study area during operations.

4.2.7 Transportation

4.2.7.1 Roads

Chapter 2.0 of the Application outlines the existing conditions of the existing road network,

traffic volumes and level of service (which includes operational and safety issues and access to

key local streets). It also outlines the future conditions of traffic volumes and levels of service

with the operation of the Deltaport Third Berth including mitigation recommendations.

Community impacts on the road network from the operational phase of the Deltaport Third Berth

Project will primarily be felt from:




• Increased truck traffic transporting containers and travelling on the major routes including Deltaport Way, Highway 17, Highway 99, River Road and the key

intersections along these routes; and • Increased traffic from workers and suppliers travelling to and from the expanded

terminal.

• The proposed closure of the intersection of 57B Street and Deltaport Way The SEIA Report refers to the Chapter 2.0 of the Application for impacts on the community and

supports the recommended mitigation measures outlined in that section. The SEIA Report adds

an additional recommendation.

Recommendation: That the Vancouver Port Authority, terminal operators and terminal road and

rail service providers continue to work with local communities and other affected stakeholders to

resolve road and rail related issues as they arise.

4.2.7.2 Rail

Rail operations to and from Roberts Bank and the Greater Vancouver area are segmented into

four areas: mainline operations in the Greater Vancouver area, mainline operations to Roberts

Bank, operations at Gulf, and Roberts Bank operations. These are detailed in Chapter 2.0 of the

Application. The SEIA Report refers to this report for the findings and recommended mitigation

strategies.

The increased rail traffic will impact the community in the following ways:

• Traffic movement and ‘wait times’ at level crossings with local roads • Increased noise from longer and more trains travelling through the communities.

4.2.7.3 Marine

A Navigational Impact Assessment Study was conducted by Batchelor Marine Consulting

Services Inc. Their study based its findings on the assumption that ship traffic would increase by

38 ships per year resulting in 76 movements per year which takes into consideration that the size

of individual container ships will increase. The study examined:

• The projected number and size of vessels expected to call

• Traffic flow and routing patterns of vessels calling at Roberts Bank




• Potential impacts due to other commercial, fishing and recreational traffic operations in the area

• The effects of tide and weather on ships approaching and departing the berths. • Waterway design and dredging to safely access docks • Trends in navigation equipment and communications

In all situations the report concludes that the navigational impact of this expansion is low.

4.2.8 Hospital/Medical Services

The present use of hospital and emergency ward for the Delta Hospital is in the range of 15-20

calls per year according to TSI, the operators of Deltaport. This usage includes both work related

and non-work related medical incidents. The usage is held low because all first aid attendants at

Deltaport are Level 3 attendants and are capable of delivering a high level of first aid services.

This service is provided 24 hours a day seven days a week. A first aid attendant is also

dispatched to each ship at the berth.

TSI will continue to provide a proportional increase of first aid service as the work force and

number of ship increase. The estimated average annual employment at Deltaport over the 10 year

period from 2008 to 2017 if the Third Berth is not constructed is 1032 FTEs. Employment with

the Third Berth is expected to have an average annual increase of 356 FTEs. This represents a

35% increase in employment. From the existing experience of hospital usage, we project that

increasing the worker FTEs at Deltaport by 35% will increase the use of hospital medical

services in Delta by 5-7 visits per year. This is considered a low incremental increase and within

the existing capacity of the local hospital or regional hospitals if level of injury necessitates a

trauma unit.

Ambulance services were utilized by Deltaport for work related injuries 10 times in 2003 and 8

times up to October 31, 2004. Workers are also transported to local hospitals or medical clinics

by taxi. From this experience we project that increasing the number of worker FTEs at Deltaport

by 35% will increase ambulance usage by 2-3 calls per year. This is a very low impact on the

existing services.




4.2.9 Police Services

The Project is located within the Delta RCMP station coverage in Ladner. TSI, the terminal

operator, indicates that police services have not been requested for any incidents at Deltaport.

Presently ZIM Shipping Lines has a private arrangement with the Delta police for services.

This record in combination with the increased security measures discussed under Section 3.6.3, it

is expected that there will none to minimal use of Delta police services during the operations of

the Third Berth.

4.2.10 Security Services

The new security measures implemented by the Vancouver Port Authority at Roberts Bank as a

result of the Marine Transportation Security Regulations and the additional security personnel to

enforce these regulations will also provide security for the operation phase of the Third Berth.

The security plan for Roberts Bank will be reviewed annually. The expansion will not require

any additional security measures.

4.2.11 Fire Protection

Deltaport is located within the Fire Hall No. 1 jurisdiction, at 4645 Harvest Drive in Ladner. Fire

Hall No. 2 (5416-12th Ave Tsawwassen) can provide further assistance.

The Delta Fire Department services were used 2 times in 2003 and 3 times by the end of October

2004. On all occasions they were called in response to a tank with a leaking valve outlet.

Given the present low usage of the Delta Fire Department it is likely that the expansion will have

a very low impact.

4.2.12 Community and Social Services and Facilities

The additional work force employed at the Third Berth is not expected to utilize the community

and social services for either Delta or TFN during or after work shifts. Those working at

Deltaport and living in either Delta or TFN will be within the planned service levels of each

community.

Ro

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Table 4-1: Summary of Socio-Community Economics Effects Assessment

Aer

ial

Ex

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Ma

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Du

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Fre

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Co

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Sig

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Construction




Transportation/Traffic Regional Negative Moderate Short term Continuous High Yes Insignificant

Hospital/Medical Services Local Negative Low Short term Sporadic High Yes Insignificant

Police/Security Services Local Neutral Low Short term Sporadic High Yes Insignificant


Community/Social

Facilities

Local Neutral Low Short term N/A High Yes Insignificant

Air Quality Local Negative Low Short term Continuous High Yes Insignificant

Noise Local Negative Low Short term Continuous High Yes Insignificant

Visual Local Negative Low Short term Continuous High Yes Insignificant

Lighting Local Negative Low Short term Continuous High Yes Insignificant

Operation


Land Use Planning Context Local Neutral Low Long term N/A High No Insignificant


Transportation/Traffic Regional Neutral Moderate Long term Continuous High No Insignificant

Hospital/Medical Services Local Negative Low Long term Continuous High No Insignificant



Community/Social

Facilities

Local Neutral Low Long term N/A High No Insignificant








5.0 ECONOMIC IMPACT ASSESSMENT

The assessment of economic impacts associated with the Deltaport Third Berth Project is described

in this chapter. The approach and methodology used to undertake this analysis is described in

Section 2.0. Several important features and underlying assumptions of the approach used and the

methodology applied are worthwhile to note, some repeated from the earlier chapter, as follows:

• Economic impacts are evaluated separately for both the construction phase and the operational phase of the project.

• Only net, new (or incremental) economic impacts expected to be generated by the Deltaport Third Berth Project are included in the analysis (i.e. all economic impacts described are expected to be generated by the project alone and would not occur otherwise). Since all

economic impacts are positive (i.e. new employment, income and taxes generated), special care has been taken to ensure that only project related economic impacts are accounted for which, effectively, relate to the “residual” impacts identified after mitigation measures for the

other impact areas described in separate reports. • Construction phase economic impacts are based on construction cost estimates and phasing

supplied by the Port of Vancouver and their engineering consultants (AMEC). AMEC’s

separate report should be consulted for supporting detailed capital cost information as necessary.

• Operational phase economic impacts are based on operational models developed by the Port

of Vancouver for the Third Berth project. These models are, in turn, based on projected business (i.e. container handling) activity in the future at the new facility. Port of Vancouver business activity projections take into account existing and known

expansion of container terminal capacities and limitations in the Greater Vancouver area as well as world market trends and competing port capabilities elsewhere on North America’s west coast.

• The operational phase economic analysis covers a period of 20 years once the Third Berth Project is functional (i.e. 2008 through 2027) and 24 years from the time it was prepared. This period is considered to satisfactorily describe and measure ongoing economic benefits

associated with the project through the application of ‘net present value analysis’. • The economic impact analysis focused on four distinct geographical areas as follows:

- Canada;

- the Province of British Columbia; - Greater Vancouver Regional District (GVRD); and - the Corporation of Delta, as defined by the municipality’s geographic

boundaries. • The economic impacts estimated to accrue within each of these geographic areas are

described such that they are cumulative to determine the total economic impact (i.e. impacts

for each jurisdiction are net of the impacts for the other described geographic areas located therein and, therefore, the total impact for British Columbia, for example, is the net impact shown for the Province plus the impact shown for the GVRD plus the impact shown for

Delta).




• The results of the economic analysis describe the potential employment creation and general economic impacts that will result in the geographic areas if the Deltaport Third Berth Project

is constructed and becomes operational within the time frame stipulated. • All economic projections and calculations are prepared in 2004 Canadian dollars and all ‘net

present values’ have been calculated using a discount rate of 6% per annum.

• The assumptions used and basis for the economic impact analysis, as well as its results, are incorporated into a detailed ‘economic impact model’ which was developed for this study. The information and results presented in the balance of this chapter are used directly in or

extracted directly from that ‘economic impact model’. • The remainder of this chapter describes the results of the economic impact analysis under the

following three sections:

1. construction phase direct economic impact;

2. new terminal operations direct economic impact;

3. ex-terminal supply chain direct economic impact;

4. overall direct economic impact summary; and

5. secondary economic impacts.

5.1 CONSTRUCTION PHASE DIRECT ECONOMIC IMPACT

During the development and construction phase of the Deltaport Third Berth Project, capital will be

invested as the subject lands are created and developed for the planned container terminal operation.

In addition, the terminal operator, TSI, will invest further capital in the development of the land and

the construction of buildings, the container yard and other requirements as well as the purchase of

equipment. The capital expenditures made are expected to be very significant and will directly

benefit the local and regional economies.

5.1.1 Capital Expenditure Estimates and Timing

Estimates of the timing and magnitude of the capital expenditures for the Deltaport Third Berth

Project are summarized in Table 5-1.




Table 5-1: DELTAPORT THIRD BERTH PROJECT – CONSTRUCTION PHASE

Estimated Capitalized Expenditures and Timing (2004 $ x 1,000)

Land creation and container terminal development capital investment expenditures have been based

on Port of Vancouver and AMEC capital cost estimates for the Deltaport Third Berth Project.

5.1.2 Construction Phase Direct Economic Impacts

During the construction phase of Deltaport’s Third Berth Project, the new capital investment will

result directly in positive economic impacts within each of the geographic areas defined earlier. The

economic benefits will accrue because of the contracts concluded and purchases made during

construction for labour, goods and services as well as the associated taxes paid. This new investment

in Roberts Bank container capacity expansion, including related off-site road and rail infrastructure

development, is estimated at $272 million in total with a net present value in 2004 of $235 million.

Wages, Salaries and Employment

The construction phase expenditures described in Table 5.1 have a significant labour component

which has been estimated by AMEC, the engineering consultant for VPA on this project. Job

creation estimated during construction is included in Section 2.11 of the Application for all civil and

structural works. The employment expected to be created over the four-year construction period is




provided in Table 5-2, the current (net present) economic value of this job creation based on wages,

salaries and benefits paid.


Employment Creation and Economic Value (2004$ x 1,000) (1)

EMPLOYMENT CREATION – FTE’s

ECONOMIC

VALUE

TOTAL

2005 2006 2007 2008

Marine Works $15,993 296 0 281 15 0

Wharf $9,450 175 0 139 36 0

Terminal Infrastructure $9,180 170 5 3 102 60

Sub-Total - On-Site Works $34,623 641 5 423 153 60

Container Cranes & Other

E i me t

$15,173 281 40 59 123 59

TOTAL CAPITAL

INVESTMENT

$49,796 922

45 482 276 119

(1) Employment creation is shown in full-time equivalents (FTE’s). Net economic value is calculated using an average income (including

wages, salaries and benefits) of $54,000 per annum per full-time equivalent position (in 2004 $) and a discount rate of 6% per annum.

Engineering, project management and other soft costs which generate employment are included within each category described in the table.

Environmental mitigation is included in “Marine Works”.

Business Income (non-labour)

New expenditures made during the construction phase, which do not go directly to the payment of

wages, salaries and benefits, are directed to the purchase of goods and services required as well as

the payment of taxes. Taxes are addressed later in this chapter. Non-labour business income directly

benefits the local and regional economies.

The business income generated during construction, which is used to purchase goods and services,

will directly generate positive economic impacts across the geographic areas described earlier. The

gross construction phase expenditures estimated to generate direct business income, and the timing

of these expenditures, are summarized in Table 5-3. The expenditures shown represent the “present

value” of economic benefits in 2004.





Business Income - Goods and Services Purchased (2004$ x 1,000) (1)

BUSINESS INCOME – GOODS & SERVICES PURCHASED

TOTAL

2005 2006 2007 2008

Marine Works $38,883 0 $36,871 $2,012 0

Wharf $21,515 0 $17,114 $4,401 0

Terminal Infrastructure $34,338 $1,044 $522 $20,613 $12,159

Sub-Total – On-Site Works

$94,736 $1,044 $54,507 $27,026 $12,159

Container Cranes & Other

E i me t

$33,381 $4,702 $7,052 $14,575 $7,052

TOTAL $128,117

$5,746 $61,559 $41,601 $19,211

(1) All expenditure numbers are in 2004$ and “total” values are the Net Present Value of the values shown in 2004 using a discount rate of 6% per

annum.

Personal and Corporate Income Taxes

Personal income taxes will be generated from the direct employment created and the associated

wages and salaries earned during Deltaport’s Third Berth Project construction. Corporate taxes will

also be generated from the corporate income earned during the construction phase by all suppliers

and contractors.

The net present values of income tax revenue which will accrue directly to the British Columbia

Government and the Government of Canada are summarized in Table 5-4, along with the expected

timing of these taxes during the construction period.


Corporate and Personal Income Taxes (All Sectors) – (2004$ x 1,000) (1)

TOTAL

2005 2006 2007 2008

Personal Income Tax Paid

M mt

$12,449 $709 $5,984 $3,935 $1,821

Corporate Income Tax Paid $32,867 $1,872 $15,800 $10,388 $4,807

TOTAL – INCOME TAXES

PAID

$45,316 $2,581 $21,784 $14,323 $6,628

(1) All estimates reflect the net present value of taxes paid, using a discount rate of 6% per annum, and are shown in 2004$ x 1,000.




Property Taxes

Local and regional property taxes will be payable as the land is created and improved for the

Deltaport Third Berth Project. These taxes are incorporated into the “operational phase” economic

impacts described in the next section (Section 5.2) of this chapter.

Payroll Taxes

Throughout this economic impact analysis, it has been assumed that no new payroll taxes will be

generated as a result of the Deltaport Third Berth Project. This marginally under-estimates total

taxes paid and, therefore, economic benefits generated from taxation. However, it is a reasonable

assumption given that no payroll taxes are currently imposed federally or provincially in British

Columbia, and they vary from 0% to 4.3% in other Canadian provinces.

Capital Tax

Throughout this economic impact analysis, it has been assumed, for tax calculations, that there will

be no significant change in the level of capital employed by suppliers, contractors and operators

because of the Third Berth Project. Therefore, no significant change in capital tax paid is

incorporated. This is a conservative assumption since it excludes new capital tax paid which will

accrue as an economic benefit from new capital tax revenue received by British Columbia and

Canada. However, the inherent under-estimation of tax paid is not considered significant in the

overall context of economic benefits generated from the Third Berth Project.

5.1.3 Construction Phase Direct Economic Impact Summary and Distribution

To determine “direct economic impacts” in the geographic areas described earlier, we have

estimated the “leakage” associated with these expenditures in each case, where “leakage” is the

amount of the capital expended which accrues to suppliers and/or contractors outside of the

geographic boundaries described for each jurisdiction. This has been accomplished by estimating

the distribution of each type of economic benefit, by expenditure category, amongst the geographic

areas described earlier. These estimates are based on previous studies, the capability and size of the




economic base within each area and the specific service and supply characteristics associated with

the capital expenditures of the project. The consulting team assessed the capabilities of labour and

contractors for each of the capital expenditure categories within each of the relevant jurisdictions.

The jurisdictional distribution used for the capital expenditures described above, and the resultant

distribution of direct economic impacts accruing from capital expenditures made during the

construction phase, are summarized in Table 5-5. The proportionate distribution numbers shown are

weighted averages of the estimates developed for each expenditure category for each jurisdiction.

There is subjectivity built into these estimates. However, other more detailed analysis results, as well

as an understanding of the economic and industrial base within the geographic areas, have been used

to provide reasonable and reliable estimates of the distribution of these expenditures.




(Net)

BC

(Net)

CANADA

(Net)

FOREIGN

(Net) TOTAL

New Employment (Person-Years) 60 599 43 43 177 922

Wages/Salaries/Benefits Earned $3,243 $32,368 $2,330 $2,296 $9,559 $49,796

Business Income

(Goods & Services)

$9,783 $85,523 $6,159 $5,623 $21,030 $128,118

Value Sub-Total

(Excluding Taxes)

$13,026 $117,891 $8,489 $7,919 $30,589 $177,914

Regional Proportion

(Excluding Taxes)

9.9% 90.1% --- --- ---- 100%

Corporate Income Taxes Received $0 $0 $10,846 $22,021 N/A $32,867

Personal Income Taxes Received $0 $0 $3,610 $8,839 N/A $12,449

Income Tax Sub-Total $0 $0 $14,456 $30,860 N/A $45,316


IMPACTS

$13,026 $117,891 $22,945 $38,779 $30,589 $223,230

(1) All dollar estimates reflect economic impacts over the construction period and are shown as the Net Present Value of these benefits in 2004$ x 1,000

using a discount rate of 6% per annum. Property taxes accruing during the construction period are included in the operational phase impacts (Section

5.2).

A summary of the direct economic impacts associated with the construction phase of the Deltaport

Third Berth Project is provided below:




• Employment – Estimated new job creation over the three to four-year construction period: 60 person-years in Delta, 599 person-years elsewhere in the GVRD, 43 person-years

elsewhere in British Columbia and 43 person-years elsewhere in Canada. • Wages and Salaries – The estimated present value of new wages, salaries and benefits

earned over the construction period: $3.2 million in Delta, $32.4 million elsewhere in the

GVRD, $2.3 million elsewhere in British Columbia and $2.3 million elsewhere in Canada. • Business Income – The estimated present value of new goods and services sold over the

three to four-year construction period: $9.8 million in Delta, $85.5 million elsewhere in the

GVRD, $6.2 million elsewhere in British Columbia and $5.6 million elsewhere in Canada. • Income Taxes – The estimated present value of new corporate and personal income taxes

realized by the provincial and federal governments over the construction period: $14.5

million by the Government of British Columbia and $30.9 million by the Government of Canada.

• Commercial Fishery – The estimated present value of income lost in the commercial

fishery over the construction period is negligible, or zero, based on the fisheries impact analysis carried out by Triton and taking into account the remediation measures planned for the Dungeness crab fishery.

• Total Direct Impact Economic Value – The estimated present value of new wages and salaries and business income earned as well as taxes paid over the three to four-year construction period: $13.0 million in Delta, $117.9 million elsewhere in the GVRD, $22.9 million elsewhere in British Columbia and $38.8 million elsewhere in Canada.

5.1.4 Local Issues and Opportunities associated with the Construction Phase

During the construction phase for the Deltaport Third Berth Project, employment and business

opportunities are expected to occur throughout the Lower Mainland and elsewhere in British

Columbia and Canada, more-or-less in the magnitudes and with the distribution described above.

There are two local subjects which have been addressed as part of this study and are summarized

below.

Delta and the Tsawwassen First Nation are well placed to take particular advantage of a number of

the construction phase opportunities because of the proximity of the local labour force and local

businesses. The vast majority of new job creation and new business income is expected to accrue to

people and businesses located within GVRD’s municipalities. Some important opportunities will

occur during the construction period which might be most effectively taken advantage by local

businesses with effective and strategic planning and preparation.




The local commercial fishery is expected to realize some negative impact on the Dungeness crab

population during the construction phase. However, according to the detailed evaluation prepared by

Triton (appended in a separate report to this Application): “…all effects of the proposed project on

adult Dungeness crabs are considered mitigable and non-significant.” Accordingly, it is concluded

that the economic impact on the fishery will be marginal at worst, and non-existent at best.

5.1.5 Construction Phase Economic Impact Interpretation

The results of the economic impact analysis above demonstrates that the Deltaport Third Berth

Project will generate significant economic benefits locally and regionally over the construction

period. The relative significance of economic benefits generated during the construction phase is

high. The economic impact assessment, even given any built-in margin of error in the analysis,

demonstrates clearly that the project will provide many opportunities locally and regionally, as well

as across the province and the country.

5.2 NEW TERMINAL OPERATIONS DIRECT ECONOMIC IMPACT

During the operational phase of the Deltaport Third Berth Project, the ongoing operation of the third

berth portion of the Roberts Bank container terminal will generate new employment and new

purchases of goods and services on an ongoing basis. Furthermore, the expanded container

throughput realized at Roberts Bank as a result of the expansion project will generate a significant

increase in container business operations in Greater Vancouver, elsewhere in British Columbia and

elsewhere in Canada as containers and cargoes move through the supply chain in greater volumes

than would otherwise be the case.

All of the new employment, new purchases and new business within the industry will combine to

generate substantial economic benefits to all geographic areas addressed in this report. The re-

spending and redistribution of income earned through the economies will supplement the direct

economic impacts and further enhance the economic value of the Deltaport Third Berth Project.

Direct economic impacts associated with new terminal operations, over 20 years, are summarized in

this section of the report. Direct impacts realized within the supply chain external to the terminal

operations, as well as secondary impacts, are described later in this chapter.




5.2.1 New Terminal Operational Expense Estimates and Timing

The ongoing business operations associated with the Deltaport Third Berth Project will generate

economic benefits in three primary areas as follows:

• employment creation and the resulting expenditures on wages, salaries and benefits;

• ongoing purchases of goods and services for corporate operations; and • the payment of property and income taxes during ongoing company operations.

Estimates of the timing and magnitude of the operational expenses associated with the Deltaport

Third Berth Project are summarized in Table 5.6.

Table 5-6: DELTAPORT THIRD BERTH PROJECT – NEW TERMINAL OPERATIONS

Estimated New Operational Expenses and Timing – (2004$ x 1,000) (1)

The operational expense estimates for the new Deltaport Third Berth Project, as described above,

have been based on VPA’s financial model forecasts for Third Berth operations

In summary, the Deltaport Third Berth Project is expected to represent a significant expansion of

operations for TSI, the present operator, which will, in turn, generate substantial new business

activity. This level of increased business will be directly attributable to such a major, new

infrastructure program which increases the area’s international container handling capabilities.

5.2.2 New Terminal Operations Direct Economic Impacts

During the operational phase of Deltaport’s Third Berth Project, new terminal operations will

generate a wide variety of employment and business opportunities. The large majority of these

opportunities will occur locally and regionally from suppliers and contractors who do business with

TSI, the present and ongoing operator.




The assessment of direct economic impacts attributed to new terminal operations was carried out

carefully. It was very important to determine the net, new direct benefits which will accrue because

of the new berth operations. Accordingly, the consulting team assessed the impacts to existing

operations as well as the impacts from new operations.

Deltaport is expected to expand its container import/export business substantially as a direct result of

the Third Berth Project. New economic benefits will accrue, as a result, within each of the

geographic areas defined earlier. The economic benefits will be generated because of new jobs

created, new goods and services purchased and new income and property taxes paid by the terminal,

its suppliers and the new staff employed.

Wages, Salaries and Employment

The new terminal expenses summarized in Table 5.6 have a significant labour component as

described. The net, new wages and salaries paid from Third Berth Project operations are expected to

generate substantial employment opportunities locally and regionally. These, in turn, will generate

considerable new economic benefits, especially within Delta and the GVRD.

A summary of the employment expected to be created during the operational phase of the Third

Berth Project is provided in Table 5.7, as is the current (net present) economic value of this job

creation based on wages, salaries and benefits paid.





Employment Creation (FTE’s) and Economic Value (2004$ x 1,000) (1)

EMPLOYMENT CREATION – FTE’s

VALUE

(NPV)

2008

2009 2010 2011 2012 +

TOTAL – NET NEW

EMPLOYMENT

$233,392 241

283 340 369 370

(1) Employment creation is shown in full-time equivalents (FTE’s). Employment levels have been calculated using an average income (including wages,

salaries and benefits) of $70,000 per annum per full-time equivalent ILWU position (in 2004$) and $60,000 per annum per full-time equivalent non-

ILWU position (in 2004$) and the forecasts from VPA’s financial model. The economic value shown is the Net Present Value of all new wages,

salaries and benefits paid over the 20-year forecast period discounted at an annual rate of 6%.

While the new employment estimates in Table 5-7 are shown for the first five years of operations

only, the positions created will continue indefinitely and the economic model developed for this

analysis forecasts, and the impact calculations take into account, the employment generated over the

first 20 years of new berth operations (i.e. 2008 through 2027).

Business Income (non-labour)

Operational phase business incomes which do not go directly to the payment of wages, salaries and

benefits, are directed to the purchase of goods and services required and the payment of taxes by

contractors and suppliers of these goods and services. This non-labour business income directly

benefits the local and regional economies.

The business income generated during Deltaport’s Third Berth operations, which is used to purchase

goods and services, will directly generate positive economic impacts across the geographic areas

described earlier. The value of this business income during the operational phase is described in

Table 5-8. The impacts shown represent the “present value” of economic benefits in 2004.





Business Income - Goods and Services Purchased (2004$ x 1,000) (1)

BUSINESS INCOME – GOODS & SERVICES PURCHASED

VALUE (NPV)

2008

2009 2010 2011 2012 +

Total Non-Labour

Inc me

$74,197 $5,435 $6,544 $7,445 $8,090 $8,090

(1) All economic values shown are expressed in 2004$ and reflect the Net Present Value of 20 years of operations at an annual discount rate of 6%.

Corporate and Personal Income Taxes

Personal income taxes will be generated from the direct employment created and the associated

wages and salaries earned during the operation of Deltaport’s Third Berth. Corporate taxes will also

be generated, based net business income earned by suppliers and by the terminal operator itself. All

of these personal and corporate income taxes represent economic impacts (benefits) generated

directly from the Deltaport Third Berth Project.

Corporate income tax estimates have been prepared based on the net income projections of VPA’s

financial model for the Third Berth Project as well as the operational phase incomes estimated for

various business sectors which will realize new income directly from the project.

New personal income tax will be generated from the Third Berth project during both the

construction and the operational phases. Personal income taxes will accrue to the benefit of both the

British Columbia government and the Government of Canada. Estimates of these net, new taxation

levels have been prepared for the operational phase based on wages and salaries generated for the

Third Berth Project as forecasted in VPA’s financial model and as estimated for new employment

created by the project’s suppliers and contractors.

The net present values of income tax revenue which will accrue directly to the British Columbia

Government and the Government of Canada are summarized in Table 5-9, along with the estimated

level of these taxes during the first five years of operation.





Corporate and Personal Income Taxes (All Sectors) – (2004$ x 1,000) (1)

20-Year Value 2008 2009 2010 2011 2012 +

Personal & Corporate Taxes

P id

$110,509 $5,194 $7,391 $8,782 $13,031 $12,381

(1) All estimates reflect the net present value of taxes paid and are shown in 2004$ x 1,000.

Property and Other Taxes

Estimated assessed value for property taxation and local and other property taxes are described in

Table 5.10.


Property and Other Tax Base and Revenue Estimates – (2004$) (1)

Land 50 acres at $250,000 $12,500,000

Terminal Improvements (assessable by industry cost manual) $52,600,000

Total Assessed Value $65,100,000

Municipal Taxes $1,465,000

School Taxes $814,000

GVRD Taxes $38,000

GVTA Taxes $150,000

BCAA/MFA Taxes $23,000

Total Local and Other Property Taxes $2,490,000

(1) All estimates are shown in 2004$.

Under the provisions of the Port Property Taxation Act, the Deltaport Third Berth Project will

qualify for the Local Tax Rate of $22.50 per $1,000 assuming the work is completed before the year

2009. This local tax rate will be applicable for the first ten years of terminal operation. Assuming

the new berth is commissioned in the year 2008 this rate will apply until the year 2017.

Thereafter, unless the provisions under the Act are extended, the ‘Local Tax Rate’ will return to the

level set by the Municipality for that class of industry. At present, the Class 4 Rate in Delta is




$28.50 per $1,000. On this basis, at year 2004 cost levels, the total “Local and Other Property

Taxes” for the Third Berth Project would be $ 2,881,000..

Detailed analysis of all municipal, school, GVRD, GVTA, BCAA and MFA property-related taxes,

their variation over time and the jurisdiction to which they will be paid was carried out. The total

property tax revenue used in the economic impact model for this study was $1.025 million in 2008,

$2,490 million per year for the period from 2009 through 2016 and $2.881 million in 2017 and

annually thereafter.

It should be noted that, in the regulations under the Act, starting in 2004, the berth corridor is exempt

from property taxation. This exemption is reflected in the estimates described.

5.2.3 New Terminal Operations Direct Economic Impact Summary and Distribution

As was the case for the construction phase impacts (Section 5.1 above), the distribution associated

with terminal operations impacts was assessed to determine “direct economic impacts” in the

geographic areas described earlier. This was accomplished by estimating the capability of labour

within the geographic areas to fill the jobs created and the ability of suppliers in the same areas to

fulfil the requirements of the purchases required by the Third Berth Project.

These estimates are based on previous studies, the capability and size of the economic and labour

base within each area and the specific employment, service and supply characteristics associated

with the operational expenditures of the Third Berth. The consulting team assessed the capabilities

of labour and contractors for each of the expenditure categories within each of the relevant

jurisdictions.

The jurisdictional distribution used for the operational expenses described above, and the resultant

distribution of direct economic impacts accruing from new terminal operations, are summarized in

Table 5.11. The proportionate distribution numbers shown are weighted averages of the estimates

developed for each expense category for each jurisdiction.

There is subjectivity built into these estimates. However, other more detailed analysis results as well

as an understanding of the labour, economic and industrial base within the geographic areas have

been used to provide reasonable and reliable estimates of the distribution of these expenditures.






IMPACT CATEGORY DELTA GVRD (Net) BC (Net) CANADA (Net) TOTAL

New Employment (Avg FTE’s pr Year) 46 306 4 0 356

Wages/Salaries/Benefits Earned $30,341 $200,717 $2,334 $0 $233,392

Business Income (Goods & Services) $8,162 $60,841 $2,226 $2,968 $74,197

Value Sub-Total (Excluding Taxes)

$38,503 $261,558 $4,560 $2,968 $307,589

Regional Proportion (Excl Taxes) 12.8% 87.2% --- --- 100%

Personal/Corporate Income Taxes Received $0 $0 $26,403 $61,044 $87,447

Property and Other Taxes Received $13,566 $7,748 $1,749 $0 $23,063

Taxes Received Sub-Total $13,566 $7,748 $28,152 $61,044 $110,510

TOTAL DIRECT ECONOMIC IMPACTS $52,069 $269,306 $32,712 $64,012 $418,099

(1) All dollar estimates reflect economic impacts over 20 years of operation and are shown as the Net Present Value of these benefits in 2004$ x 1,000

using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time Equivalents (FTE’s) annually over the period.

It should be remembered that the jurisdictional impacts shown in Table 5.11 are cumulative (i.e. the

impacts shown for GVRD are net of those in Delta requiring the two to be combined to obtain total

GVRD impacts … similarly the total for BC includes the net BC benefits shown plus the net GVRD

benefits plus the Delta benefits).

A summary of the direct economic impacts associated with the new terminal operations for the

Deltaport Third Berth Project is provided below:

• Employment – Estimated new average, annual job creation over the 20-year study period: 46 person-years per annum in Delta, 306 person-years per annum elsewhere in the GVRD and 4

person-years per annum elsewhere in British Columbia. • Wages and Salaries – The estimated present value of new wages, salaries and benefits

earned over the 20-year study period: $30.3 million in Delta, $200.7 million elsewhere in the

GVRD and $2.3 million elsewhere in British Columbia. • Business Income – The estimated present value of new goods and services sold over the 20-

year study period: $8.2 million in Delta, $60.8 million elsewhere in the GVRD, $2.2 million

elsewhere in British Columbia and $3.0 million elsewhere in Canada. • Income Taxes – The estimated present value of new corporate and personal income taxes

realized by the provincial and federal governments over the 20-year study period: $26.4





• Property and Other Taxes – The estimated present value of new property and other local/regional taxes realized over the 20-year study period: $13.6 million in Delta; $7.7

million elsewhere in the GVRD and $1.7 million elsewhere in British Columbia. • Commercial Fishery – The estimated present value of income lost in the commercial

fishery during the 20-year operational period studied is negligible, or zero, based on the

fisheries impact analysis carried out by Triton and taking into account the initial remediation measures planned for the Dungeness crab fishery.

• Total Direct Impact Economic Value – The estimated present value of new wages and salaries and business income earned as well as taxes paid over the 20-year study period: $52.1 million in Delta, $269.3 million elsewhere in the GVRD, $32.7 million elsewhere in British Columbia and $64.0 million elsewhere in Canada.

5.2.4 New Terminal Operations Economic Impact Interpretation

The results of the economic impact analysis above demonstrates that the Deltaport Third Berth

Project will generate significant economic benefits locally and regionally for an indefinite time in the

future from expanded terminal operations. The relative significance of these economic impacts from

ongoing operations is very high.

5.3 DIRECT ECONOMIC IMPACT FROM BUSINESS ACTIVITIES OUTSIDE THE TERMINAL

As mentioned above, the Deltaport Third Berth Project, once operational, will directly generate new

economic activity within the container industry supply chain in British Columbia and Canada. This

will result, directly, in new economic benefits which can be attributed to the project. Because of its

very existence, Vancouver is expected to maintain, and potentially capture a larger share of, the west

coast container market which it would not otherwise be capable of accomplishing due to capacity

constraints. Net new economic activity will be generated away from the container terminal itself (i.e.

“ex-terminal”) as this new container traffic moves to and through Roberts Bank, the regional

container handling network and the national supply chain. The cargoes in many new containers will

get manipulated through destuffing/stuffing and consolidation, the new containers themselves will be

transported and serviced and new import and export cargoes will make their way through the

Canadian supply chain and distribution system.




5.3.1 Ex-Terminal Direct Economic Impact Estimates and Timing

Table 5-12 summarizes the new, direct economic impacts expected to be generated within the

Canadian container industry supply chain, external to the Roberts Bank Third Berth terminal

operation, as a result of the increased container throughput in Vancouver from the project.

Table 5-12: DELTAPORT THIRD BERTH PROJECT – EX-TERMINAL BUSINESSES

Direct Economic Impacts – (2004$ x 1,000) (1)

20-Year

V lue

2008 2009 2010 2011 2012 +

Employment Creation

M mt

N/A 524 2,026 2,293 2,253 2,213

Wages, Salaries & Benefits Earned

$1,002,508 $28,284 $109,425 $123,843 $121,684 $119,526

Business Income (Excl Wages) $907,031 $25,590 $99,004 $112,048 $110,095 $108,042

Sub-Total – Wages & Corp Income $1,909,539 $53,874 $208,429 $235,891 $231,779 $227,668

Corporate Income Taxes Paid $143,215 $4,041 $15,632 $17,692 $17,383 $17,075

Personal Income Taxes Paid $250,627 $7,071 $27,356 $30,961 $30,421 $29,881

Sub-Total – Income Taxes $393,842 $11,112 $42,988 $48,653 $47,804 $46,956

TOTAL DIRECT ECONOMIC IMPACT $2,303,381 $64,986 $251,417 $284,544 $279,583 $274,624

(1) All estimates reflect the net present value of economic impacts in 2004 using a discount rate of 6% per annum.

The direct economic impacts which will result from new business activity external to the Deltaport

terminal itself are considerable. Indeed, they total in the order of five times the direct impacts from

new terminal operations alone. They have been estimated based on detailed analysis of economic

benefits generated by container imports and exports in Vancouver by InterVistas Consulting.6 The

company’s extensive analysis on this subject included research of economic activity (jobs and

business income) generated by existing and new container throughput at the Port of Vancouver. The

work by InterVistas was adjusted by the consulting team based on current data and forecasts

provided by the Port of Vancouver. The company’s report provides base information for the ex-

terminal business operations impacted throughout British Columbia and Canada including the

following:

6 InterVistas Consulting Inc. – Potential Economic Impact of Container Terminal Development at Port Vancouver –

March-2003.




• chandlering;

• harbour pilots;

• tugs;

• Canada Customs and OGA;

• customs brokers;

• freight forwarders;

• rail operations;

• shipping agents;

• Transport Canada inspection;

• trucking; and

• warehouses & container freight service operations.

5.3.2 Ex-Terminal Direct Economic Impact Summary and Distribution

The distribution associated with ex-terminal economic activity generated was assessed to determine

“direct economic impacts” in the geographic areas described earlier. The distribution estimates were

developed based on previous studies (notably the InterVistas Consulting Inc. report identified

earlier), the capability and size of the economic and labour base within each area and the specific

employment, service and supply characteristics associated with the business operations tied to, but

external to, the project’s new berth activity.

The jurisdictional distribution used for the operational expenses described above, and the resultant

distribution of direct economic impacts generated from ex-terminal business activity, are

summarized in Table 5.13.

There is subjectivity built into these estimates. However, other more detailed analysis results as well

as an understanding of the labour, economic and industrial base within the geographic areas have

been used to provide reasonable and reliable estimates of the distribution of these economic impacts.




Table 5-13: DELTAPORT THIRD BERTH PROJECT – EX-TERMINAL BUSINESSES


IMPACT CATEGORY DELTA GVRD (Net) BC

(Net)

CANADA

(Net)

TOTAL



Business Income

(E cl i Wa es & Salaries)

$9,977 $560,545 $72,562 $263,946 $907,031

Corporate & Personal Income Taxes $0 $0 $119,943 $273,899 $393,842

TOTAL DIRECT ECONOMIC IMPACTS $21,005 $1,180,095 $272,706 $829,575 $2,303,381

(1) All dollar estimates reflect economic impacts over 20 years of operation and are shown as the Net Present Value of these benefits in

2004$ x 1,000 using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time Equivalents

(FTE’s) annually over the period.

It should be remembered that the jurisdictional impacts shown in Table 5-13 are cumulative (i.e. the

impacts shown for GVRD are net of those in Delta requiring the two to be combined to obtain total

GVRD impacts … similarly the total for BC includes the net BC benefits shown plus the net GVRD

benefits plus the Delta benefits).

A summary of the direct economic impacts associated with new ex-terminal business activity arising

from the Deltaport Third Berth Project is provided below:

• Employment – Estimated new average, annual job creation over the 20-year study period: 21 person-years per annum in Delta, 1,200 person-years per annum elsewhere in the GVRD, 155

person-years per annum elsewhere in British Columbia and 565 person-years elsewhere in Canada.


earned over the 20-year study period: $11.0 million in Delta, $620.0 million elsewhere in the GVRD, $80.2 million elsewhere in British Columbia and $291.7 million elsewhere in Canada.

• Business Income – The estimated present value of new business income earned (excluding wages, salaries, benefits and taxes paid) over the 20-year study period: $10.0 million in Delta, $560.5 million elsewhere in the GVRD, $72.6 million elsewhere in British Columbia

and $263.9 million elsewhere in Canada. • Income Taxes – The estimated present value of new corporate and personal income taxes

realized by the provincial and federal governments over the 20-year study period: $119.9





• Total Direct Impact Economic Value – The estimated present value of new wages and salaries and business income earned as well as taxes paid over the 20-year study period: $21.0 million in Delta, $1,180.1 million elsewhere in the GVRD, $272.7 million elsewhere in British Columbia and $829.6 million elsewhere in Canada.

5.3.3 General Overview of Operational Phase Container Industry Business Opportunities

During the operational phase for the Deltaport Third Berth Project, employment and business

opportunities are expected to occur throughout the Lower Mainland and elsewhere in British

Columbia and Canada, more-or-less in the magnitudes and with the distribution described above.

Because of the expected growth in the container industry generated by new terminal capacity at

Roberts Bank, local and regional business opportunities will occur in the Greater Vancouver area.

Given the proximity of Delta, and the Tsawwassen First Nation, to Roberts Bank, it is expected that

numerous container business opportunities might be capitalized on locally with effective and

strategic planning, preparation and marketing. This report does not address business opportunities in

general. However, it is worthwhile to identify some of the areas where the new business income

described above, during the project’s operational phase, will be generated within the industry.

Several of these new business opportunity areas are summarized below:

• export consolidators;

• importer agents;

• freight forwarders;

• third party logistics providers;

• container distribution centres;

• general and specialized warehousing contractors;

• off-dock container servicing, repair, leasing and storage companies;

• inter-modal yard operators;

• cold storage centres; and

• trucking service centres.




5.4 OVERALL DIRECT ECONOMIC IMPACT SUMMARY

The overall direct economic benefits expected to occur from the Deltaport Third Berth Project are

summarized in Table 5-14.

Table 5-14: DELTAPORT THIRD BERTH PROJECT – ALL IMPACT SECTORS


IMPACT CATEGORY DELTA GVRD (Net) BC (Net) CANADA (Net) TOTAL

New Employment (Avg FTE’s pr Year) 127 2,105 202 608 3,042


Business Income (Excl Wages & Salaries) $27,922 $706,909 $80,947 $272,537 $1,088,315

Property and Income Taxes Received $13,566 $7,748 $162,551 $365,803 $549,668

TOTAL DIRECT ECONOMIC IMPACTS $86,100 $1,567,292 $328,363 $932,366 $2,914,121

(1) All dollar estimates reflect economic impacts over 20 years of operation, including construction, and are shown as the Net Present Value of

these benefits in 2004$ x 1,000 using a discount rate of 6% per annum. Employment estimates are provided in average Full-Time Equivalents

(FTE’s) annually over the period.

5.5 SECONDARY ECONOMIC IMPACTS

Secondary economic impacts will occur in each described geographic area as a result of new site and

container terminal development, ongoing operations of the Third Berth Project and the new business

activity created within the industry. As described earlier, “secondary impacts” are the changes in

economic activity from subsequent rounds of re-spending in the economy and are comprised of

“indirect effects” and “induced effects”. Indirect impacts are the changes in sales, income or

employment within the economy in backward-linked industries supplying goods and services during

both the construction phase and the operational phase. Induced impacts are the increased sales within

a geographic area from household spending of the income earned by employees in new or expanded

businesses.

Economic multipliers capture the size of the secondary effects in a given geographic area, generally

as a ratio of the total change in economic activity relative to the direct change. An evaluation of




appropriate multipliers was carried out using relevant detailed economic impact analyses for similar

projects, previous economic impact work for the VPA and the publication entitled “British Columbia

Provincial Government Economic Multipliers and How To Use Them” (April-2003). These

multipliers provide a measure of how the direct economic impacts of the project will be further

distributed through the economies of concern. They provide a reasonable estimate of the magnitude

of the induced and indirect economic benefits generated by the project during its construction phase.

We have incorporated economic multipliers into the economic model developed for this analysis.

These are detailed in Table 5-15.

Estimating secondary benefits is a complex and imperfect procedure but, given our analysis and our

sources of information, we are confident that the assessment of the magnitude and distribution of

economic benefits contained, herein, is fair and provides a reasonable estimate of the relative

impacts of the Deltaport Third Berth Project provincially and nationally. The multipliers shown have

been used to estimate total economic impacts in British Columbia and Canada (i.e. direct plus

indirect plus induced impacts) from the direct economic impacts described in the preceding sections

of this chapter.

Table 5-15: DELTAPORT THIRD BERTH PROJECT

Secondary Economic Impact Multiplier Estimates (1)

PROVINCIAL (British Columbia) NATIONAL (Canada)

Employment 1.81 2.20

Wages and Salaries 1.81 2.20

Business Income and Taxes 1.75 2.13

(1) The economic multipliers used are based, primarily, on detailed analysis of multipliers prepared for the Vancouver Port Authority by InterVistas

Consulting Inc. and, particularly, as described in that company’s report entitled “Potential Economic Impact of Container Terminal Development at Port Vancouver” – March – 2003.

Economic multipliers are estimated to derive total impacts (i.e. direct + secondary impacts) from

direct impacts. A summary of total impacts provincially and nationally is provided in Table 5.16

based on the results provided earlier and the above multipliers.

Table 5-16: DELTAPORT THIRD BERTH PROJECT

Summary of Total (Direct + Secondary) Economic Impacts – (2004$ x 1,000) (1)

IMPACT CATEGORY BC (Gross) CANADA (Gross)




Total New Employment (Avg FTE’s per Year) 4,406 6,692

Total Wages/Salaries/Benefits Earned $177,762 $2,807,504

Total Business Income and Taxes $1,749,375 $3,488,904

(1) All dollar estimates reflect the net present value of economic impacts and are shown as the net present value of these benefits in 2004$ x 1,000




6.0 SUMMARY AND CONCLUSIONS

The preceding chapters of this report have outlined our approach and methodology, the socio-

economic baseline data which was integrated into the work, the results of the socio-community

impact analysis and the economic impact analysis for the Deltaport Third Berth Project and the

measures recommended to mitigate the negative impacts expected.

It is important to recognize that key socio-community impacts and mitigation recommendations are

incorporated into this report which have been the subject of detailed and critical analysis by others in

support of the BCEAA and CEAA process (e.g. noise, air quality, transportation and traffic, visual

and lighting). Similarly, key economic impacts, costs and mitigation measures which have been

studied in detail by others (e.g. construction costs, fisheries, traffic and transportation improvement

costs) are incorporated into the economic impact analysis. While this report highlights and makes

use of the most important findings, conclusions and inputs from these other studies, it is important to

recognize that the separate reports in these areas provide in-depth analysis and results which are

directly relevant and should be reviewed, as required, to provide the back-up detail and

understanding required.

This final chapter of the report includes the following for the Deltaport Third Berth Project:

• Summary of mitigation recommendations; and • Summary and significance and characteristics of net socio-community and economic

impacts.

6.1 SUMMARY OF MITIGATION RECOMMENDATIONS

Below is a list of the mitigation recommendations presented in this report. Many of the mitigation

strategies that respond to socio-community impacts are presently in effect as part of the existing

operations or have been identified in other reports and are supported by this report. Those reports

include: Visual and Lighting Impact Assessment of the Roberts Bank Container Expansion Deltaport

Third Berth Project; Roberts Bank Container Expansion Project: Environmental Noise Assessment;

Navigational Impact Assessment Study Roberts Bank Container Expansion; Roberts Bank Container

Expansion Program Air Quality and Human Health Assessment; and road and rail evaluations and

mitigation recommendations contained in Section 2.0 of this Application.




The additional SEIA recommendations include:

During the Construction Phase

• That a traffic management and emergency response plan be prepared regarding the proposed

closure of the south leg of 57B Street grade crossing at Deltaport Way. This plan should include the involvement of Delta and input from other stakeholders such as the TFN, the Delta Farmers Institute and local residents who may potentially be impacted by the closure.

• That a traffic management plan be prepared prior to the commencement of construction and discussed with both Delta, the TFN and Ministry of Transportation to minimize the impacts of construction generated traffic. This traffic management plan would outline efforts to

ensure trucks adhere to the designated truck routes throughout Delta. During the Operations Phase

• That the Vancouver Port Authority, terminal operators and terminal road and rail service

providers continue to work with local communities and other affected stakeholders to resolve road and rail related issues as they arise.

6.2 SIGNIFICANCE AND CHARACTERISTICS OF NET SOCIO-COMMUNITY AND ECONOMIC

IMPACTS

All of the socio-community and economic impacts of the Deltaport Berth Three Project have been

assessed, following the detailed analyses described earlier, as to the nature, extent and significance

of their residual (net) impacts geographically. A summary of this assessment is included in Table 6-1

and are based on standardized measures contained in Table 2-1. The following characteristics and

significance measures for each of the socio-economic impact categories are included:

• aerial extent; • direction;

• magnitude; • duration; • frequency;

• confidence; • reversibility; and • significance.




Table 6-1: Deltaport Third Berth Project – Significance of Net Socio-Community &

Economic Impacts

Aer

ial

Ex

ten

t

Dir

ecti

on

Ma

gn

itu

de

Du

rati

on

Fre

qu

ency

Co

nfi

den

ce

Rev

ers

ab

ilit

y

Sig

nif

ica

nce

Construction




Transportation / Traffic Regional Negative Mod. Short term Continuous High Yes Insignificant


Local Negative Low Short term Sporadic High Yes Insignificant

Police/Security Services

Local Neutral Low Short term Sporadic High Yes Insignificant


Community/Social Facilities Local Neutral Low Short term N/A High Yes Insignificant





Wages / Salaries (Direct) Local/Reg Positive High Short term Once High No Moderate

Employment (Direct) Local/Reg Positive High Short term Once High No Moderate

Business Income (Direct) Local/Reg Positive Mod. Short term Once High No Moderate

Tax Base Local/Reg Positive Mod. Long term Continuous High No Moderate

Operation


Land Use Planning Local Neutral Low Long term N/A High No Insignificant


Transportation / Traffic Regional Neutral Mod. Long term Continuous High No Insignificant


Local Negative Low Long term Continuous High No Insignificant



Community/Social Facilities Local Neutral Low Long term N/A High No Insignificant





Wages / Salaries (Direct) Local/Reg/Prov/Nat’l Positive High Long term Continuous High No Significant

Employment (Direct) Local/Reg/Prov/Nat’l Positive High Long term Continuous High No Significant

Business Income (Direct) Local/Reg/Prov/Nat’l Positive High Long term Continuous High No Significant

Tax Base Local/Reg/Prov/Nat’l Positive Mod. Long term Continuous High No Significant




7.0 REFERENCES

BC Stats. Statistical Profile: Local Health Area 37 (Delta). Victoria, BC.

BKL Consultants Ltd. October 2004. Roberts bank Container Expansion Project: Environmental

Noise Assessment. Prepared for Vancouver Port Authority. Vancouver, BC.

British Columbia Ambulance Service. 2004. Website: www.healthservices.gov.bc.ca Victoria, BC.

Catherine Berris Associates Inc. and Associated Engineering (B.C.) Ltd. October 2004. Visual and

Lighting Impact Assessment of the Roberts Bank Container Expansion Deltaport Third Berth

Project. Vancouver, BC.

Corporation of Delta. 1986. Official Community Plan - Schedule A. Delta, BC.

Corporation of Delta. October 2004. Population and Dwelling Unit Statistics Tables. Available at:

http://www.corp.delta.bc.ca

Daystar Marketing, Lions Gate Consulting, and AG Advisors Group. March, 2004. Delta Economic

Profile. Prepared for Delta Chamber of Commerce.

Delta Fire and Emergency Services. 2004. Website: www.deltafire.ca Delta, BC

Delta Hospital. 2004. Website: www.deltahospital.com Delta, BC.

Delta Local Business Opportunity Study – May – 2004 – UMA Engineering Ltd.

Delta Parks, Recreation and Culture. Spring 2004. Leisure Guide. Delta, BC.

Delta School District. 2004. Website: www.deltasd.bc.ca Delta, BC.

Economic Impact – A Study of Economic Multipliers and Their Application to the Economic Impact

of Port Vancouver – July – 2001 – InterVistas Consulting Inc.

Fraser Health Authority. 2004. Delta Hospital Strategic Directions. Surrey, BC.

International Marine Organisation. 2004. Website: www.imo.org/index.htm London, UK.




Marine Transportation Security Newsletter. December 2003, January 2004, February 2004, and

March 2004.

Port Vancouver – Economic Impact Study – August – 2001 – InterVistas Consulting Inc.

Potential Economic Impact of Container Terminal Development at Port Vancouver – March – 2003

– InterVistas Consulting Inc.

Property Tax Generated by the Port of Vancouver – May – 2004 – InterVistas Consulting Inc.

Richmond/Delta Collaborative. February, 2003. Report on Service Options.

Fraser Health Authority and Richmond Health Services.

RWDI West Inc. October 2004. Air Quality and Human Health Assessment: Roberts Bank

Container Expansion Program - Deltaport Third Berth Project. Prepared for Vancouver Port

Authority. Vancouver, BC.

United Way of the Lower Mainland. September 2002. Delta Community Snapshot. Delta

Communities in Action Steering Committee. Delta, BC.

Workers Compensation Board. 2003. WCB Statistics 2003. Data Tables for Sector 7220 (Heavy

Construction). Vancouver, BC.

Documents

ROBERTS BANK SOCIO-COMMUNITY AND …...Roberts Bank Container Expansion Project CitySpaces / Novacorp Deltaport Third Berth Socio-Community and Economic Impact Assessment November