FINANCE AND ADMINISTRATIVE COMMITTEE

 

 

 

 

 

TO:

Mayor and Members of Council

 

 

 

 

FROM:

Stan Bertoia, General Manager, Construction & Utilities

Catherine M. Conrad, Town Solicitor

 

 

 

 

PREPARED BY:

Alan Laver, Manager, Contracts & Utilities

Brian Varner, Manager of Real Property

 

 

 

 

DATE OF MEETING:

June14, 2004

 

 

 

 

SUBJECT:

Markham District Energy Inc.

Municipal Access Agreement - Update on Approvals within Town Rights of Way and Approval for Conveyance of a Utility Easement to Markham District Energy Inc. over 101 Town Centre Boulevard

 

 

 


 

RECOMMENDATION:

THAT the report dated June14, 2004, entitled “Markham District Energy Inc. Municipal Access Agreement - Update on Approvals within Town Rights of Way and Approval for Conveyance of a Utility Easement to Markham District Energy Inc. over 101 Town Centre Boulevard” be received;

 

AND THAT the Commissioner of Community and Fire Services, CAO and Town Solicitor be authorized to negotiate a Municipal Access Agreement with Markham District Energy Inc., and that the Mayor and Clerk be authorized to execute the agreement;

 

AND THAT a by-law be enacted authorizing the Mayor and Clerk to execute a Transfer of Easement for the purpose of installing infrastructure (mainly consisting of transmission pipelines and manhole chambers) to Markham District Energy Inc. over Town owned lands legally described as Part of Block 9 Plan 65M-2503 and designated as Part 1 as shown on a Draft Reference Plan to be deposited, Appendix “C” attached to this report, in a form satisfactory to the Town Solicitor, for a nominal fee.

 

PURPOSE:

The purpose of this report is to update Council about ongoing projects by Markham District Energy Inc. (MDEI) that require Town approval, to obtain authority to enter into a Municipal Access Agreement (MAA) with MDEI to permit the installation and maintenance of MDEI infrastructure within Town rights of way and furthermore to obtain approval for conveyance of a 669.2 square metre (7,203.2 square foot) utility easement to Markham District Energy Inc. over the southwest corner of 101 Town Centre Boulevard.

EXECUTIVE SUMMARY:

MDEI has long term plans to expand their system to provide heating and air conditioning for development projects within the Markham Centre Secondary Plan area, including the Tridel Condominium project. In order to complete the extension of infrastructure from IBM to the Tridel Condominium project, MDEI requires approval of a MAA and the conveyance of an easement from the Town over the southwest corner of 101 Town Centre Boulevard.

 

BACKGROUND:

Markham District Energy Inc. (MDEI) is an energy company wholly owned by the Town of Markham created to provide a district energy system to provide heating and air conditioning for the Markham Centre planning district (see Attachment “A”-Company Background).

 

DISCUSSION:

MDEI has long term plans to expand their system to provide heating and air conditioning for development projects within the Markham Centre Secondary Plan area. Their infrastructure (mainly consisting of transmission pipelines and manhole chambers) will need to be constructed within Town rights of ways where other private property arrangements cannot be made (see Attachment “B”-Overview Plan) as well over the southwest corner of the Civic Centre lands at 101 Town Centre Boulevard. MDEI infrastructure must be reviewed to “fit” with other typical public and private infrastructure (Water/Sewers/Utilities etc.) with respect to Capital Construction, maintenance and operations, and ultimate replacements.

 

The infrastructure in most cases consists of four pipes, each similar in size to local water mains, running side by side, accommodated in an area in the rights of way with approximately two metres in width being required. To accommodate this requirement the infrastructure can only be constructed under the asphalt surface of existing and proposed roads and requires extensive negotiation with the Town, especially when proposed in existing rights of way not originally design to accommodate these facilities.

 

Through MDEI’s design process and discussions with the Construction and Utilities Department for approval of their project on Town Centre Boulevard, (to service the Tridel Condominium project and ultimately the Town offices) it was identified that a formal arrangement for future maintenance, locates for other utilities, and notification for emergencies among other items needs to be put in place. As with other utility providers a Municipal Access Agreement is required to formalize arrangements between MDEI and the Town.

 

MDEI has agreed to enter into a municipal access agreement with the Town. Town staff has drafted an agreement. Council authorization to execute the agreement is requested.

Furthermore, MDEI requires a utility easement over the southwest corner of 101 Town Centre Boulevard. The transmission pipelines will cross underneath Highway 7, from South Town Centre Boulevard. As a result of the approved infrastructure placement under the existing roads, the pipes will enter and be installed on the immediate southwest corner of the Civic Centre property before proceeding west, underneath Town Centre Boulevard and then to the Tridel Condominium project. As a result, MDEI requires a 669.2 square metre (7,203.2 square foot)   utility easement.

Approval of the easement at this location will enable connection to the Tridel property and a future connection point for servicing the Civic Centre Building.

 

In order to meet MDEI construction scheduling requirements and commitments, the extension from IBM to the Tridel Condominium project along Town Centre Boulevard has been allowed to proceed to construction, subject to formal arrangements being in place prior to their infrastructure being put into service (Fall 2004). MDEI is also looking for approval for their infrastructure to be installed within Enterprise Drive, which will part of the MAA authorized by this report and to be coordinated and approved by the Director of Engineering as part of the Town’s Capital Projects and other private development proposals.

 

FINANCIAL CONSIDERATIONS:

Any appropriate fees /securities required will be negotiated and finalized as part of the Municipal Access Agreement. The proposed easement over 101 Town Centre Boulevard will be for nominal consideration.

 

BUSINESS UNITS CONSULTED AND AFFECTED:

The Legal Services Department has been involved in preparing a draft Municipal Access Agreement and the consideration of a utility easement over the southwest corner of the Civic Centre property located at 101 Town Centre Boulevard. MDEI installations in new rights of way and easements related to this development are being reviewed for approval by the Town’s Engineering Department.

 

ATTACHMENTS:

Attachment “A”- MDEI-Background Information

Attachment “B”- Map Showing Overview of MDE projects in Markham Centre

Attachment “C” – Draft Reference Plan Showing Easement over 101 Town Centre Boulevard

 

 

 

 

______________________________________        ___________________________________

Stan Bertoia, P.Eng.                                                     Peter Loukes,   P.Eng.                         

General Manager, Construction & Utilities                     Director of Operations &Asset Management

 

 

 

 

_____________________________________          ___________________________________ 

Jim Sales,                                                                     Catherine M. Conrad

Commissioner of Community & Fire Services     Town Solicitor

 

O:\Commission Share\Operations and Asset Management\Reports\2004\C & U\Markham District Energy doc.doc