Table of Contents. Outreach and Communications Networking and Presentations The YESAB Website YESAB Online Registry

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1 AnnuAl RepoRt

2 Table of Contents Chair s Message The Year in Review What is Environmental and Socio-economic Assessment? Why Conduct Assessments? The Benefits of Assessment The Yukon Environmental and Socio-economic Assessment Act The Yukon Environmental and Socio-economic Assessment Board Members of the Board Nominations to the Board Who are the Board Members? Organizational Structure Staff Organizational Chart How Does Yukon s Assessment Process Work? Three Levels of Assessment The Responsibilities of YESAB Stages of the Designated Office Assessment Process Assessment Districts Outreach and Communications Networking and Presentations The YESAB Website YESAB Online Registry Project Statistics Executive Committee Screenings The Year Ahead Financials

3 Annual Report Chair s Message The Yukon Environmental and Socio-economic Assessment Board has proven to be a dynamic Made in Yukon organization that is totally unique among Canadian assessment institutions. In the few short years since our inception, YESAB is now recognized as one of Canada s leading assessment boards. The highly professional and qualified Designated Office staff and Executive Committee members have carried out over 235 assessments in a variety of sectors this year. Their enthusiasm and commitment to making the process better for all stakeholders is evident in their day to day operations and client service. The Executive Committee completed two screenings in the past fiscal year, the Carmacks Copper Mine and the Carmacks/Stewart Transmission Line. Both recommendations were well received by the Decision Bodies. Two additional project proposals were submitted to the Executive Committee as well. North American Tungsten Corporation submitted a project proposal for the Mactung Mine located on the North Canol Road and Yukon Energy Corporation submitted their proposal for the Mayo Hydro Enhancement Project (Mayo B). Our six Designated Offices have focused on keeping communities engaged and have helped hundreds of individuals and groups participate in local environmental and socio-economic assessments within Yukon. Public participation and involvement in assessments has helped us make sound, community focused and informed recommendations to Decision Bodies. As Chair of the Board, I appreciate the positive feedback on YESAB s process and our staff where ever I travel. I hear comments like, your staff is helpful and professional or the YESAA process is a vast improvement over previous regimes. These are well deserved compliments to our dedicated, hard working Board and staff and I always look forward to their challenging questions, expert opinions and reasoned arguments.

4 Annual Report The Year in Review The fiscal year included an array of diverse and complex project assessments from a variety of sectors. Some of the more significant Designated Office assessments conducted during the year included the Yukon Queen II project and a number of solid waste treatment facilities. The Dawson City Designated Office referred the Yukon Queen II project to an Executive Committee screening given that the significance of effects associated with the entrainment of salmon and the erosion of settlement land could not be determined. Additionally, close to 30 solid waste facilities throughout Yukon entered the assessment process late in the fiscal year. Among other terms and conditions, all of the assessments recommended that the open burning of garbage within Yukon should be stopped immediately. Since then the Government of Yukon has committed to phasing out the burning of garbage by The Designated Office Rules Review continued this year. Comments submitted by all participants during the review were fully considered and the drafting of the new rules is well underway. A review of the draft will be conducted in the next fiscal year. The Board continues to be active and engaged in implementing the Yukon Environmental and Socio-economic Assessment Act (YESAA). Executive Committee members have been kept busy with two screenings. Carl Sidney accepted his re-appointed to the Board this year and will carry out his second term as a Board member. Key staff positions were added on the administrative side of the organization, new office space was confirmed for the head office in Whitehorse, and the Board and staff participated in a successful planning workshop that will help guide the organization in the coming years. It was a productive year for YESAB and both Board and staff remain committed and motivated to continue building YESAB into an efficient and effective organization.

5 Annual Report What Is Environmental and Socio-economic Assessment? Environmental and socio-economic assessment is a process that identifies the environmental and socioeconomic effects of proposed activities before they are carried out. Once significant adverse effects are identified, assessors recommend measures to limit or eliminate those effects. Why Conduct Assessments? Assessments are conducted to ensure that projects are undertaken in a way that results in development that does not undermine the environment and social systems of individuals and communities. This is done by minimizing or avoiding adverse environmental and socio-economic effects before they occur. The Benefits of Assessment Environmental and socio-economic assessment offers a number of benefits to Yukoners. It provides opportunities for the public to become involved in the development of the territory, allows for increased protection of human health, and minimizes environmental risk. Yukon s assessment process ensures that assessments are done independently by an impartial body and increases the accountability of decision-makers by ensuring all information relating to an assessment is available to the public. The process also reduces uncertainty by having set timelines at every stage.

6 Annual Report The Yukon Environmental and Socio-economic Assessment Act Chapter 12 of the Umbrella Final Agreement and Yukon First Nation Final Agreements call for the establishment, through federal legislation, of an assessment process that would apply on all lands of Yukon: federal, territorial, First Nation and private. The Council of Yukon First Nations (CYFN) and the Yukon Government agreed to work with the Government of Canada to establish a unique development assessment process for Yukon. YESAA, the federal legislation establishing this process, has functionally replaced previous regimes. The purpose of YESAA is to: Provide a comprehensive, neutrally conducted assessment process applicable in Yukon. Require that, before projects are undertaken, their environmental and socio-economic effects are considered. Protect and maintain environmental quality and heritage resources. Protect and promote the well-being of Yukon Indian persons, their societies and Yukon residents generally, as well as the interests of other Canadians. Ensure that projects are undertaken in accordance with principles that foster beneficial socio-economic change without undermining the ecological and social systems on which communities, their residents, and societies in general, depend. Recognize and, to the extent practicable, enhance the traditional economy of Yukon Indian persons and their special relationship with the wilderness environment. Guarantee opportunities for the participation of Yukon Indian persons and make use of their knowledge and experience in the assessment process. Provide opportunities for public participation in the assessment process. Ensure that the assessment process is conducted in a timely, efficient and effective manner that avoids duplication. Provide certainty to the extent practicable with respect to assessment procedures, including information requirements, time limits and costs to participants. Key features of YESAA A single assessment process that applies throughout Yukon, to all projects, and to the federal, territorial and First Nation governments. A neutral process conducted at arms-length from governments. A high level of transparency recommendations include written reasons and are made available on the public registry. Consideration of socio-economic factors. Guaranteed provisions for public participation. Guaranteed opportunities for First Nation participation. Traditional and local knowledge are considered. Mandatory timelines for both assessment and decisionmaking stages.

7 Annual Report The Yukon Environmental and Socio-economic Assessment Board YESAB is an independent, arms-length entity, responsible for the implementation of the YESAA and associated regulations. Specifically, its role is to administer the YESAA assessment process. Members of the Board The Yukon Environmental and Socio-economic Assessment Board (YESAB) is comprised of a three-person Executive Committee, one of whom is the Chair of YESAB, and four other Board members. All Board members are appointed by the Minister of Indian Affairs and Northern Development Canada. Who are the Board members? Ken McKinnon Chair & Executive Committee Member Simon Mason-Wood Executive Committee Member Stephen Mills Executive Committee Member Tara Christie Board Member Dave Keenan Board Member Ross Leef Board Member Carl Sidney Board Member Nominations to the Board Appointments and nominations to the Board are set out in the legislation (YESAA). One member of the Executive Committee is nominated by the Council of Yukon First Nations (CYFN) and one member is appointed by the federal minister after consultation with the territorial minister. The third member of the Executive Committee, the Chair, is appointed after the federal minister consults with the other two Executive Committee members. Of the four remaining Board members, two are nominated by CYFN, one is nominated by the territorial minister, and one is a direct appointment by the federal minister. Photo:

8 Annual Report Organizational Structure YESAB is made up of a head office located in Whitehorse and six Designated Offices located in Dawson City, Haines Junction, Mayo, Teslin, Watson Lake and Whitehorse. The Designated Offices (DOs) carry out the majority of the project assessments under YESAB. Taking guidance from the YESAA, the associated regulations, and the DO Rules; the Designated Offices are independently responsible to carry out evaluations and make recommendations for a wide variety of projects. These community-based staff are the primary point of contact for many Yukoners and are available to provide information and assistance to those involved in the assessment process. The head office houses Executive Committee assessment personnel, the Executive Director, administrative and communications personnel and the Executive Committee members. Staff In March 2009, YESAB had 29 full-time and three parttime staff positions within seven offices throughout the territory. Below is the organizational chart which lists Board members and permanent employees and their position titles. Organizational Chart YESAB Board and Staff Tara Christie Board Member Stephen Mills Exec. Committee Dave Keenan Board Member Ken McKinnon Board Chair/Exec. Committee Simon Mason-Wood Exec. Committee Ross Leef Board Member Carl Sidney Board Member Whitehorse office Keith Maguire Proj. Assessment Officer Nikki Scotney Asst. Proj. Assmt. Officer Stephanie Routley Asst. Proj. Assmt. Officer Chantal Remillard Admin. Assistant haines Junction office Daniel Beaudoin Proj. Assessment Officer Monica Krieger Asst. Proj. Assmt. Officer Lorena Sydenham Admin. Assistant Rob Yeomans Communications/Info. Mgr. Vickey Aschacher Executive Assistant Kim Beacon Finance & Admin. Mgr. Wendy Randall Executive Director Steve Caram Proj. Assessment Officer Michael Muller Proj. Assessment Mgr. Mayo office Loralee Johnstone Proj. Assessment Officer Russell McDiarmid Asst. Proj. Assmt. Officer Kerri Bianic Admin. Assistant DaWson city office Felix Horne Proj. Assessment Officer Shelby Jordan Asst. Proj. Assmt. Officer Jim Taggart Asst. Proj. Assmt. Officer Gwen Franks Admin. Assistant IT Officer Jean Benoit Term-Admin. Asst. Andrew McCoy Sr. Assessment Officer Nathan Aasman Assessment Officer Ryan Parry Sr. Assessment Officer Vacant Assessment Officer teslin office Aliesha Narain Proj. Assessment Officer Monique Chatterton Asst. Proj. Assmt. Officer Watson lake office Steven Jakesta Proj. Assessment Officer Kathie Thibaudeau Asst. Proj. Assmt. Officer Vacant Term-Assessment Officer Chris Evans YOR Client Support Officer Tess Lamberton Admin. Assistant Susan Close Admin. Assistant

9 Annual Report How Does Yukon s Assessment Process Work? An assessment under the YESAA is required when a project activity is listed in the regulations and requires a permit or authorization, when there is a transfer of land, or if the project utilizes federal funding. The assessment process is initiated when an individual or organization submits a project proposal to YESAB. Once the proposal is received, YESAB assessors ensure that the proposal contains the information necessary to commence an assessment. Assessors look at the potential environmental and socioeconomic effects of proposed activities by gathering and analyzing relevant information from various sources (governments, First Nations, experts in the field, the public, and people or groups who may have an interest in the proposed activity) and by conducting extensive research to enable a complete and thorough assessment. Once the appropriate information has been collected and considered, the assessor recommends whether the project should proceed, proceed with terms and conditions, not proceed or is referred to the Executive Committee. When an assessment is complete, the recommendation with reasons is forwarded to the relevant Decision Body(s). Decision Bodies can be federal, territorial and/or First Nation Governments. The Decision Body(s) will then decide whether to accept, reject or vary the recommendation of YESAB and issue a Decision Document. Decision Documents are placed on the YESAB Online Registry and filed in paper format in the YESAB Document Registry. Three Levels of Assessment Depending on the type, size and complexity involved with a proposed project, an assessment can take place at three different levels. Designated Office: The majority of assessments are conducted in the six community-based Designated Offices located in Dawson City, Haines Junction, Mayo, Teslin, Watson Lake and Whitehorse. Executive Committee: The Executive Committee of the Board will assess larger projects that are submitted to it directly, or are referred by a Designated Office. Panel of the Board: A Panel of the Board may be established to assess projects which have potential significant adverse effects, are likely to cause significant public concern, or involves the use of controversial technology.

10 Annual Report The Responsibilities of YESAB YESAB has a broad range of responsibilities when conducting environmental and socio-economic assessments. The organization collects and considers public comments, conducts research related to project activities, ensures proponents submit appropriate information, and notifies interested parties and the public of current project assessments. In addition to this, YESAB remains impartial and independent while providing sound recommendations that eliminate or mitigate adverse effects. However, the mandate of the organization does have its limits. For example, all final decisions related to project approvals are made by decision makers; First Nation, Territorial or Federal Governments. YESAB provides those decision makers with recommendations. While an assessment is often required when a permit or authorization is needed, YESAB does not issue any permits, authorizations or any other type of approval. The regulatory bodies within governments are responsible for issuing all permits and approvals. And when permits are issued, the terms and conditions of those permits are not enforced by YESAB. Enforcement of the terms and conditions within a permit or authorization is the responsibility of governments. Stages of the Designated Office Assessment Process Stage 1 With the help of a regulator, the proponent or project developer determines if an assessment is required. Stage 2 Proponent fills out a Project Proposal Form and submits it to one of YESAB s Designated Offices. Stage 3 YESAB assessors review the proposal to ensure that enough information is included to commence an assessment. YESAB Stage 4 The YESAB assessor then begins the assessment and gathers and reviews relevant information from the public, governments, other experts and people and groups who may have an interest in the proposed activity. Stage 5 After considering all relevant information, the assessor determines the project s potential environmental and socio-economic effects. The YESAB assessor then makes a formal recommendation to the relevant Decision Body(s). (federal, territorial, and/or First Nation Governments) Stage 6 The Decision Body(s) reviews YESAB s recommendation and either accepts, rejects, or varies it and then issues a Decision Document.

11 0 Annual Report Assessment Districts The territory has six assessment districts. Each district contains a Designated Office that is responsible for all Designated Office Evaluations for that region.

12 Annual Report Outreach and Communications YESAB has worked towards identifying, informing, and educating various audiences about the YESAA process. We do this by: Writing and distributing a number of YESAA-related articles to local and national publications; Implementing local advertising campaigns; Monitoring local media and assisting reporters with YESAA-related stories; Offering interviews to radio, newspaper and television, and; Continually updating and maintaining our website and other external communication tools.

13 2 Annual Report Networking and Presentations Reaching out to those involved with the assessment process is an important part of what YESAB does. The legislation is still relatively new and therefore we continue to focus our outreach efforts on giving presentations and attending conferences, trade shows and symposiums locally and beyond, including: Yukon GeoScience Forum South East Yukon and Northern British Columbia Mining Forum Yukon Invasive Species Forum Yukon Environment Forum Dawson City International Gold Show Mineral Exploration Round Up 2008 Arctic Gas Symposium 4 th Annual Alaska Oil & Gas Symposium 2 nd Annual Environmental Law and Regulation North Of 60 Opportunities North Business and Investment Conference International Association of Impact Assessment Conference Securing Project Approvals North Of 60 We also meet with groups and individuals who play a vital role in Yukon s assessment process. These efforts have resulted in a better understanding of the priorities and issues of groups in the territory and a clearer understanding of the assessment process. Outreach efforts by Board members and staff help build strong relationships and ensure open communication among all those involved in YESAA. In the fiscal year we met with the following groups and organizations: Carcross/Tagish First Nation First Nation of Nacho Nyak Dun Selkirk First Nation Little Salmon Carmacks First Nation Kwanlin Dun First Nation Ta an Kwach an Council Teslin Tlingit Council Council of Yukon First Nations YESAA Caucus Yukon First Nations Heritage Group Ducks Unlimited Yukon Water Board Yukon Mineral Advisory Board Kluane National Park Management Board Parks Canada Yukon Placer Secretariat Mayo Renewable Resources Council Laberge Renewable Resources Council Yukon Chamber of Commerce City of Whitehorse Yukon Tourism Association Yukon Outfitters Association In addition to these outreach efforts, we participate in frequent meetings with regulators. These meetings provide a valuable forum in which participants learn about the needs and constraints of both the assessment and permitting sides of the process. We also meet regularly with potential proponents of both small and large scale projects. These meetings have been an effective way to ensure proponents know what will be required of them when they go through our assessment process. It also assists in providing us with early notice of what projects we can expect to be submitted to our offices.

14 Annual Report The YESAB Website We developed with the objective of it becoming the first place you look for information about YESAB and the assessment process in Yukon. The website provides up-to-date information about our organization and our assessment process. Reference and guidance documents that describe how assessments are conducted are also available, as well as instructions and guidebooks about developing project proposals. Our website links to the YESAB Online Registry (YOR) which is the electronic registry and document management system used to track assessments. You will also find contact information for our six Designated Offices and our head office in Whitehorse. YESAB Online Registry The YESAB Online Registry (YOR) is a tool used by proponents, Decision Bodies, First Nations, and members of the public to participate in the assessment process. The two main functions of the YOR are to provide public access to assessment-related documents and to help people submit comments and information into the assessment process. It is also designed so that the public will become aware of new projects and can track them throughout the assessment process. Both the YESAB website and the YOR provide an interactive medium for proponents, stakeholders, Decision Bodies, First Nations, and the public who are involved or interested in assessments and gives unprecedented access to the assessment process.

15 4 Annual Report Project Statistics Below are the assessment statistics for the fiscal year (April 1, 08 - March 31, 09). Cancelled or withdrawn projects could slightly alter the data generated. Photo: Robert Postma Total projects assessed by YESAB from the November 2005 implementation of YESAA to March 31, 2009: 792 Total Projects Submitted during the Fiscal Year DO Level Projects Submitted 267 projects The Type of Projects Submitted Agriculture\Aquaculture 11 Camps 6 Executive Committee Level Projects 2 projects Energy - Petroleum 1 Energy - Power generation 6 Projects Submitted to Designated Offices Fiscal Year Designated Office Submitted Cancelled or Withdrawn Active or Assessed Dawson City Haines Junction Mayo Teslin Watson Lake Whitehorse Total Energy - Transmission (Gas, Electricity) 8 Forestry 7 Mining - Placer 44 Mining - Quartz 25 Other Industrial Activities 9 Recreation and Tourism 5 Residential, Commercial & Industrial 66 Land Development Scientific Research/Wildlife Management 6 Transportation - Rail, Marine, Air 1 Transportation - Roads, Access Roads 20 & Trails Utilities - Water & Wastewater 2 Waste Management - Contaminated 9 Sites Waste Management - Solid Waste 36 Waste Management - Special & 2 Hazardous Waste Other 3 Total Projects Submitted (2008/09 Fiscal Year) 267

16 Annual Report Executive Committee Screenings The Executive Committee received two project proposals for Screenings in the fiscal year. They include the following: Mactung Mine Project - North American Tungsten Corporation North American Tungsten Corporation (NATC) is the proponent for the proposed Mactung Mine development project (Mactung), which was submitted to the Executive Committee on December 24th, The Mactung property is located in eastern-central Yukon, approximately eight kilometers northwest of the Macmillan Pass. The Executive Committee concluded that: 1. the proponent s consultation requirements were fulfilled, and; 2. further information would be required prior to the proposal being deemed adequate. The Executive Committee is currently awaiting additional information from the proponent. The assessment will continue into the fiscal year. Based on the size of the deposit as well as the average grade, NATC has estimated that the development of an underground tungsten mine could produce tungsten concentrate over an 11-year mine life. The purpose of the proposed Mactung project is the construction, operation, decommissioning, and closure of a tungsten mine and concentrating plant. The principal activities include: Extracting tungsten-bearing ore from Mt. Allan by underground Long-Hole Blasting (LHB) and cut-and-fill mining; Concentrating the tungsten mineral at a milling rate of 2,000 tonnes-per-day (tpd), and; Transporting the tungsten concentrate to market by way of Edmonton, AB and Vancouver, BC. Accessory activities including: A new 35 km access road and upgrade of an existing 10 km service road on NATC s mineral claims. Assessment update The adequacy review of the proposed project is under way and the Executive Committee has recently requested additional information from the proponent. Focus was placed on identifying the extent to which the First Nation/ Community consultation requirement for Executive Committee proponents was complete, as well as on the adequacy of the project information submitted. Photo: Mayo Hydro Enhancement Project - Yukon Energy Corporation Yukon Energy Corporation (YEC) is the proponent for the proposed Mayo Hydro Enhancement Project (Mayo B). YEC proposes to further develop the existing facilities and power generation capabilities of the Mayo Hydroelectric Facility located on the Mayo River system, approximately 7 km north of the Village of Mayo. The proposal was submitted to the Executive Committee in February The principle activities include: The construction of a new powerhouse with a 10 to 12 MW generating capacity (existing powerhouse has a 5.4 MW capacity);

17 6 Annual Report The development of a new penstock (approx m total length) and canal system (approximately 2,500m total length) that will convey water from the existing intake location on Wareham Lake to the new powerhouse 3.9 km downstream; A new distribution line to provide power and communications to the new powerhouse; A new transmission line to connect to the grid; A new all weather access road from existing roads to the new powerhouse (approximately 2.5 km), and; The development of temporary construction related facilities. Additionally, as part of their proposal, YEC is applying to increase their water storage and management regime for Mayo Lake. This would involve reducing their minimum drawdown elevation for Mayo Lake by 1 m, and implementing a water management regime that entitles YEC to have access to 3.59 m of operating range within Mayo Lake, two years out of three. YEC submitted their project proposal to the Executive Committee in February Assessment update The Executive Committee issued an adequacy review report and has requested supplementary information from the proponent. Information outstanding is primarily related to the proposed new water management regime for Mayo Lake that could have effects on fisheries and the wetlands associated with Mayo Lake. The Executive Committee has asked further questions with respect to the consultation by the proponent with the First Nation of the Nacho Nyak Dun. The assessment will continue into the fiscal year. The Year Ahead The economic conditions in have had little effect on the number of proposal submissions to YESAB when compared to previous years. The year ahead will likely continue to be busy for the organization both in terms of project proposal submissions and administrative process and policy development. The future will bring some changes and challenges for the organization. We will continue to contribute to the Five Year Review, and release a draft of the new Designated Office Rules. In addition to this, the Executive Committee anticipates the submission of new Executive Committee level projects in late 2009 and into Rules Review Our Designated Office Rules Review has progressed over the past fiscal year. Based on the public comments received to date, key issues were identified and will be incorporated into the new Rules. We expect to begin drafting the new Rules in the next fiscal year and a public review will take place in late The Five Year Review The three parties (Government of Canada, Yukon Government and the Council of Yukon First Nations) are in the process of the YESAA Five Year Review. SENES Consulting has been hired to conduct the review. The Information Gathering and Issues Scoping phase is almost complete and will be followed by phase two in the next fiscal year. Phase two involves the Issues Analysis Stage where the consultant will make observations on the information gathered and develop conclusions and recommendations to the three parties. YESAB will continue to fully participate and play a vital role in the review process. We re Moving The YESAB head office is moving locations within Whitehorse. Our new location will be Strickland Street, on the second floor of the Nuvo building in downtown Whitehorse. The move will take place in the fall of We expect our contact numbers to remain the same.

18 17 Annual Report Financials Following is the audited financial report for the period of April 1, March 31, 2009.

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30 YESAB Public Telephone Directory Toll-Free Number: Head Office (New Location) Physical Location: Strickland Street Mailing Address: P.O. Box Whitehorse, YT Y1A 6L2 Phone: (867) Fax: (867) Dawson City Designated Office Physical Location: 705 Church Street Mailing Address: P.O. Bag 6050 Dawson City, YT Y0B 1G0 Phone: (867) Fax: (867) Haines Junction Designated Office Physical Location: Haines Junction Airport, Sifton Air Building Mailing Address: P.O. Box 2126 Haines Junction, YT Y0B 1L0 Phone: (867) Fax: (867) Mayo Designated Office Physical Location: Front Street Mailing Address: P.O. Box 297 Mayo, YT Y0B 1M0 Phone: (867) Fax: (867) Teslin Designated Office Physical Location: McLeery Street Mailing Address: P.O. Box 137 Teslin, YT Y0A 1B0 Phone: (867) Fax: (867) Watson Lake Designated Office Physical Location: 820 Adela Trail Mailing Address: P.O. Box 294 Watson Lake, YT Y0A 1C0 Phone: (867) Fax: (867) Whitehorse Designated Office Physical Location: 7209B 7 th Avenue Mailing Address: 7209B 7 th Avenue Whitehorse, YT Y1A 1R8 Phone: (867) Fax: (867)

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