Federal Contaminated Sites Action Plan: 2020 to 2021 Annual Report

Cat. No.: En1-43E-PDF
ISSN: 1929-2333
EC22020

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Executive summary

Scattered across Canada are thousands of contaminated sites: dumps, mines, abandoned industrial and military operations, stored or spilled fuel or toxic chemicals, among others. Many of these occurred because individuals, businesses, and governments did not understand the long-term effects of their presence on the environment or on the health of future generations. Some are the legacy of accidents.

Federal contaminated sites are located on land or in aquatic areas owned or leased by the Government of Canada, or where the federal government has accepted responsibility for the contamination. The 2002 Commissioner for the Environment and Sustainable Development Report, outlining the federal government’s obligation to locate, assess and remediate these federal sites, led to the establishment of the Federal Contaminated Sites Action Plan (FCSAP).

Established in 2005, FCSAP provides funding to federal departments, agencies and consolidated Crown corporations (referred to as custodians) to manage the contaminated sites for which they are responsible. While FCSAP funds assessment and risk-reduction activities at many federal contaminated sites, it does not fund the cleanup of all federal contaminated sites. Only sites that meet FCSAP eligibility criteria can receive FCSAP funding (as outlined in Appendix C). Ineligible sites must find other sources of funds, whether through a dedicated project fund or through internal budget allocations.

Through FCSAP, the government is addressing federal contaminated sites affecting Indigenous Peoples, including sites on reserve lands and in the North. When the Government renewed the FCSAP in 2019, it expanded program parameters to accelerate the clean-up of federal contaminated sites located on Indigenous reserves and in the North.

The renewed program supports reconciliation by:

This report describes the progress made in 2020 to 2021, the first year of Phase IV of FCSAP.

Why have an action plan to address federal contaminated sites

The main objectives of FCSAP are to reduce environmental and human-health risks from known federal contaminated sites, along with their related financial liabilities. The program also helps Canadians, communities and businesses, as FCSAP funds projects that:

Key results of FCSAP in 2020 to 2021

Consult Appendix A for examples of case studies where assessment and remediation/risk- management activities were conducted in 2020 to 2021.

FCSAP and COVID-19

The emergence of the COVID-19 pandemic in 2020 to 2021 also had wide-ranging effects on FCSAP activities. In particular, lockdowns and restrictions on travel and gathering sizes postponed or hampered field activities. In response, whenever possible, field teams took flexible approaches to completing their work, while respecting the restrictions and the safety of all involved, including the communities where work was to take place. Workplans were adjusted and custodians were able to work on other sites to compensate partially for the sites where work could not be undertaken due to pandemic restrictions. Despite the many challenges, custodians spent 86% of FCSAP assessment funds and 83% of FCSAP remediation funds available to them in 2020 to 2021.

Contact

For questions or comments on this report, contact:

FCSAP Secretariat
Contaminated Sites Division
Environmental Protection Operations Directorate
Environment and Climate Change Canada
351 St. Joseph Boulevard, 17th Floor
Gatineau QC K1A 0H3
Email: FCSAP.PASCF@ec.gc.ca

Alternate formats

Abbreviations and acronyms

AAFC: Agriculture and Agri-Food Canada
ASCS: Aquatic Sites Classification System
CBSA: Canada Border Services Agency
CCME: Canadian Council of Ministers of the Environment
CIRNAC: Crown-Indigenous Relations and Northern Affairs Canada
CSC: Correctional Service of Canada
DFO: Fisheries and Oceans Canada
DND: Department of National Defence
ECCC: Environment and Climate Change Canada
FCSAP: Federal Contaminated Sites Action Plan
FCSI: Federal Contaminated Sites Inventory
HC: Health Canada
ISC: Indigenous Services Canada
ISED: Innovation, Science and Economic Development Canada
JCCBI: Jacques Cartier and Champlain Bridges Incorporated
NCC: National Capital Commission
NCSCS: National Classification System for Contaminated Sites
NRC: National Research Council of Canada
NRCan: Natural Resources Canada
PCA: Parks Canada Agency
PSPC: Public Services and Procurement Canada
TBS: Treasury Board of Canada Secretariat
TC: Transport Canada
VIA: VIA Rail Canada

Glossary

Agencies - A government agency is a permanent or semi-permanent organization in the machinery of government that is responsible for the oversight and administration of specific functions, such as Parks Canada. There are a notable variety of types of agencies. Although usage differs, a government agency is normally distinct both from a Department or Ministry, and other types of public body established by government. The functions of an agency are normally executive in character, since different types of organizations (such as commissions) are normally used for advisory functions. The autonomy, independence and accountability of government agencies also vary widely. For a listing of Separate Agencies refer to Schedule V of the Financial Administration Act.

Consolidated Crown corporations - Corporations that rely on Government funding as their principal source of revenue and are controlled by the Government. Each consolidated Crown corporation is accountable to Parliament through a responsible minister. The number of consolidated Crown corporations can vary from year to year, however a listing can be found in the Public Accounts of Canada. For example refer to Volume 1, Section 4 – Consolidated Accounts of the 2020-2021 Public Accounts of Canada.

Contaminated site: According to the Treasury Board Policy on Management of Real PropertyFootnote 1 , “a site at which substances occur at concentrations that: (1) are above background levels and pose, or are likely to pose, an immediate or long-term hazard to human health or the environment, or (2) exceed the levels specified in policies and regulations.”

Cost-share: The portion of funding for FCSAP-eligible site activities that custodians are responsible for. This amounts to 20% of assessment costs and 15% of remediation costs, unless the project’s value is $90 million or higher, in which case cost-share requirement for remediation is waived.

Custodians: Federal departments, agencies and consolidated Crown corporations responsible for assessment and risk-reduction activities at federal contaminated sites.

Department: The legal definition of a department can be found in the Financial Administration Act (FAA), and includes departments named in Schedule I and I.1 of the FAA, and departmental corporations named in Schedule II of the FAA.

Enterprise Crown corporation - A corporation that is not dependent on parliamentary appropriations and whose principal activity and source of revenues are the sale of goods and/or services to outside parties. Each enterprise Crown corporation is accountable to Parliament through the responsible minister.

Environmental liability: As per the Public Accounts of Canada 2021Footnote 2 , environmental liabilities represent the government’s best estimate of the amount required to remediate contaminated sites to current minimum environmental standards.

Federal approach to contaminated sites: A risk-based approach to contaminated sites management that incorporates several components including site identification and characterization, detailed site investigations and risk assessment, evaluation of different risk management strategies, implementation of a selected management strategy, assessment and monitoring. These components are realized through a 10-step process identified in the Federal Approach to Contaminated Sites, fully detailed in the Federal Contaminated Sites Decision-making Framework.These steps identify scientific tools and documents that are available for use in the management of federal contaminated sites.

Federal contaminated sites: contaminated sites that are located on land or in aquatic areas owned or leased by the federal government, or where the federal government has accepted responsibility for the contamination.

Federal Contaminated Sites Action Plan (FCSAP): a program established by the Government of Canada that provides funding to federal departments, agencies and consolidated Crown corporations to manage the contaminated sites they are responsible for. The main objectives are to reduce environmental and human-health risks from known federal contaminated sites, along with their related financial liabilities.

Federal Contaminated Sites Inventory (FCSI): a database of all known contaminated sites under federal custodianship, as well as those that are being or have been investigated. The FCSI also includes non-federal contaminated sites for which the Government of Canada has accepted some or all financial responsibility.

Long-term monitoring: periodic inspections of sites where risk-reduction activities (remediation and/or risk-management) have been completed. These inspections may include sampling and analyses, undertaken as part of a comprehensive site-specific strategy to ensure that its risk-management objectives are maintained.

“Polluter pays” principle: the principle that the party responsible for producing pollution should be responsible for paying for the resulting damage to the natural environment. Private companies are usually responsible for the costs to clean up (or remediate) the land they contaminate. The provinces, territories and federal government are generally responsible for the costs of dealing with contamination at the sites they own or lease.

Remediation: the improvement of a contaminated site to prevent, minimize or mitigate damage to human health or the environment. Remediation involves the development and application of a planned approach that reduces the exposure of receptors to contaminants of concern. Remediation typically involves removing, destroying or containing contaminants from a site through on-site treatment or off-site disposal. Remediation is one of the main strategies for reducing risk.

Risk management: the selection and implementation of a risk-control strategy, followed by monitoring and evaluating the effectiveness of that strategy. Risk management includes strategies that reduce the probability, intensity, frequency or duration of the exposure to contamination. It typically involves managing contaminants in place, or using covers or administrative controls to block the exposure pathways identified as posing risks.

Site assessment: detailed scientific or engineering analysis to identify the nature and extent of contamination at a given site, to help determine the risks to human health and the environment. A full-scale assessment of the severity of contamination for a specific site is a lengthy and complex process (consult “Federal Approach to Contaminated Sites” above). By assessing contaminated sites, the federal government is able to develop a more accurate estimate of the environmental liability it faces.

Variance: in FCSAP, the difference between the funding available in a given year and the funding spent. Table B.1 in Appendix B and Table E.4 in Appendix E detail the variance in 2020 to 2021.

1. Introduction

Established by the Government of Canada in 2005, the Federal Contaminated Sites Action Plan (FCSAP) provides funding to federal departments, agencies and consolidated Crown corporations (referred to as custodians) to manage the contaminated sites for which they are responsible. The first 3 phases of FCSAP ran for 15 years, from 2005 to 2006 to 2019 to 2020, with total federal funding of $4.54 billion. In 2019, FCSAP was renewed for another 15 years (2020 to 2021 to 2034 to 2035), with $1.16 billion announced in Budget 2019 for Phase IV (2020 to 2021 to 2024 to 2025). This report describes the progress made in 2020 to 2021, the first year of FCSAP Phase IV.

Program objectives

The main objectives of FCSAP are to reduce environmental and human-health risks from known federal contaminated sites and their related financial liabilities. The program also provides socio-economic benefits by creating or maintaining jobs and training opportunities in the Canadian environmental remediation industry. These jobs and training opportunities often extend to Indigenous people and those living in rural areas.

What is a contaminated site

According to the Treasury Board Policy on Management of Real Property, a contaminated site is “a site at which substances occur at concentrations that: (1) are above background levels and pose, or are likely to pose, an immediate or long-term hazard to human health or the environment, or (2) exceed the levels specified in policies and regulations.”
Federal contaminated sites are located on land or in aquatic areas owned or leased by the federal government, or where the federal government has accepted responsibility for the contamination. The size and scope of federal contaminated sites vary greatly and include, for example, abandoned mines on Crown land in the North, airports, lighthouse stations, and military bases. Contamination is most often a result of past activities with environmental consequences that were not well understood at the time.

Cleaning up for now and the future

The Government of Canada has taken action through FCSAP and remains committed to properly managing the contaminated sites for which it is responsible. Canada now has policies and legislation to help prevent future contamination of sites. There is also a much better understanding of the effects of government, commercial, and industrial operations on the environment, and of the means to prevent and remediate contamination, as well as a better public appreciation of the need to respect the environment. Today, federal custodians are responsible for making their operations environmentally sustainable, to safeguard the health of future generations and the environment.
FCSAP also contributes to a global effort to better respect the environment. At the federal departmental level, Environment and Climate Change Canada’s Departmental Sustainable Development Strategy includes the cleanup of federal contaminated sites. This, in turn, supports Goal 3 of the Government of Canada’s Federal Sustainable Development Strategy focusing on good health and well-being. From a federal, whole-of-government perspective, Goal 3 is intended to allow all Canadians to live in clean, sustainable communities that contribute to their health and well-being. Expanding to the global stage, Goal 3 supports the United Nations Sustainable Development Goal 3 (Good Health and Well-Being) and Sustainable Development Goal 12 (Responsible Consumption and Production).

FCSAP also supports Canada's Arctic and Northern Policy Framework, specifically Goal 5: Canadian Arctic and northern ecosystems are healthy and resilient, and Objective 10: Decommission or remediate all contaminated sites.
In Canada, the federal government promotes the “polluter pays” principle: the party responsible for producing pollution should be responsible for paying for the resulting damage to the natural environment. Private companies are usually responsible for the costs to clean up (or remediate) the land they contaminate. The provinces, territories and federal government are generally responsible for the costs of dealing with contamination at the sites they own or lease.

2. FCSAP essential overview

To date, 6 phases of the Federal Contaminated Sites Action Plan (FCSAP) have been approved. Each phase builds on the progress achieved in previous phases.

Who pays for the program

The program is based on the “polluter pays” principle and follows a cost-shared approach where FCSAP provides a portion of the funding and custodians provide the remainder of the funding (known as cost-share).

FCSAP funds 3 types of activities:

Eligibility

FCSAP provides funding for assessment and risk-reduction activities at contaminated sites that federal custodians are responsible for. In previous phases, the program covered only Class 1 and ongoing Class 2 sites that were contaminated by historical activities: the contamination had to occur before April 1, 1998. However, Phase IV expanded its eligibility criteria for sites in the North or on First Nations reserves, as well as some lower priority sites. In particular, Class 1, 2 and 3 sites that were contaminated pre- or post-1998 are now eligible if they are on reserve lands, federal additions to reserve lands, or in the North (specifically the three territories). Elsewhere, FCSAP continues to focus on high-priority, legacy sites that were contaminated prior to 1998.

Custodians use the CCME National Classification System for Contaminated Sites (NCSCS) and the Aquatic Sites Classification System (ASCS) developed by FCSAP, depending on whether the sites are on land or water, to classify and prioritize their contaminated sites.

In Phase IV, FCSAP funds the remediation or risk-management of 4 categories of sites:

FCSAP funding is allocated based on federal custodians’ planned assessment and risk-reduction activities.

Federal custodians are accountable for the FCSAP funding they receive. They must ensure that their sites meet funding-eligibility requirements and are managed in accordance with the Treasury Board Policy on Management of Real Property.Footnote 3 Custodians must have grounds to suspect that a site is contaminated (normally because of past activities at the site) before an environmental site assessment can be funded. Custodians must prioritize which sites they will work on each year, as funds and resources might not be available to assess or remediate all of their known sites in that year. The FCSAP Secretariat has developed guidance to ensure that custodians spend their funding on eligible assessment and risk-reduction activities.

Key roles

Program partners include custodians, the FCSAP Secretariat, the Treasury Board of Canada Secretariat, and expert support departments:

Several governance committees and working groups have unique roles in the program:

A standard approach

To ensure that custodians take a standard approach to managing federal contaminated sites, FCSAP has embraced the 10-step process identified in the Federal Approach to Contaminated Sites, fully detailed in the Federal Contaminated Sites Decision-Making Framework:

Step 1: Identify suspect sites –Identify potentially contaminated sites on the basis of past or current activities on or near the site

Step 2: Historical review –Assemble and review all historical information pertaining to the site

Step 3: Initial testing program –Provide a preliminary characterization of contamination and site conditions

Step 4: Classify site (optional), using the Canadian Council of Ministers of the Environment (CCME) National Classification System or Aquatic Sites Classification System –Prioritize the site for future investigations and remediation or risk-management actions

Step 5: Detailed testing program –Focus on specific areas of concern identified in step 3 and provide further in-depth investigations and analysis

Step 6: Reclassify the site, using the CCME National Classification System or Aquatic Sites Classification System –Update the ranking in response to the results of the detailed investigations

Step 7: Develop remediation/risk-management strategy –Develop a site-specific plan to address contamination issues

Step 8: Implement remediation/risk-management strategy –Implement the site-specific plan to address contamination issues

Step 9: Confirmatory sampling and final reporting –Verify and document the success of the remediation and risk-management strategy

Step 10: Long-term monitoring –If required, conduct long-term monitoring to ensure that remediation and long-term risk-management goals are achieved

3. Program Results (2020 to 2021)

Fifteen custodiansFootnote 4  conducted assessment and risk-reduction activities in 2020 to 2021 and reported on the progress made at their contaminated sites throughout the year. Their individual and combined results are brought together in this report to present how the Federal Contaminated Sites Action Plan (FCSAP) as a whole performed during the year. Results from these activities are then compared against performance measurement targets established for FCSAP Phase IV.

Key results

In 2020 to 2021, FCSAP showed results in 6 program areas, which are further detailed in this section:

Effects of COVID-19 on FCSAP activities

The first year of FCSAP Phase IV began on April 1, 2020, only weeks after the first COVID-19 lockdowns were enacted throughout the country. The field season also began in the spring. At the time, it was unclear how long the lockdowns would last, what restrictions or rules individual provinces and territories would put in place, or whether subsequent lockdowns would be necessary. Custodians were nevertheless able to adapt.

Several projects in the North were postponed due to travel restrictions. Once these restrictions eased, custodians still experienced additional costs associated with mandatory quarantine periods for out-of-province workers. In response, the scope of work for some sites was adjusted to focus more on desktop reviews, closure reporting and activities that did not require fieldwork.

Some Indigenous communities limited access to outsiders during the pandemic, which required custodians to review their investment plans. Where possible, custodians changed the timing of work in affected communities or redirected work to other communities.

Some sampling programs that required consultants to enter residents’ homes were affected, due to safety concerns to both consultants and residents. In these instances, work was shifted to contingency sites where health and safety concerns were less prevalent, that is, where fewer people were involved, COVID screening could be performed, social distancing could be maintained or face masks could be provided. Custodians and project teams continued to adapt as COVID-19 variants emerged, presenting quickly changing challenges and opportunities.

Owing to their flexibility and adaptability, 86% of available FCSAP assessment funding was spent during 2020 to 2021, along with 83% of available FCSAP remediation funding.

For an example of the ingenuity and flexibility of custodians in undertaking or completing work during the pandemic, consult the first case study in Appendix A (BAF-5 Resolution Island).

3.1 Assessment

Custodians may suspect a site of being contaminated as a result of past activities, for example, in places where fuel-storage tanks may have leaked. In such cases, custodians would conduct an environmental site assessment to determine the nature and extent of contamination. Such an assessment also determines whether remediation or risk-management activities are needed.

An environmental site assessment may involve the collection and analysis of samples to determine levels of contamination. These levels are compared with environmental quality guidelines on the management of contaminants in soils, sediments, freshwater and marine water, as published by the Canadian Council of Ministers of the Environment (CCME). Federal contaminated sites are classified and prioritized in accordance with the CCME National Classification System for Contaminated Sites (NCSCS) and the Aquatic Sites Classification System (ASCS) developed by FCSAP, depending on whether they are on land or water.

In 2020 to 2021, FCSAP funded assessment activities at 128 sites, at a program cost of $8.1 million. An additional $2.7 million was spent as part of the custodian cost-share requirement.

The assessment results for 2020 to 2021 are shown in Figure 1. Assessing a site can take a few months or even a few years, depending on the type and extent of the contamination, scientific knowledge of the contaminants, the location of the site, and weather conditions.

Figure 1: Assessment results, 2020 to 2021

Long description

This figure shows the results of assessments in 2020 to 2021: 4 sites require no further action, 33 sites require remediation/risk management and 91 sites require further assessment.

Assessment results by custodian

The Department of National Defence (DND), Indigenous Services Canada (ISC) and the National Capital Commission conducted 63% (81 of 128) of all FCSAP-funded site assessments in 2020 to 2021. Three custodians accounted for 75% of the FCSAP assessment expenditures ($6.1 million of $8.1 million) reported in 2020 to 2021: DND spent $3.0 million, Public Services and Procurement Canada (PSPC) spent $2.0 million and Jacques-Cartier and Champlain Bridges Incorporated spent $1.1 million. Table E.1 in Appendix E provides a detailed breakdown of the number of sites with assessment activity, available assessment funding and assessment expenditures for each custodian.

Regional breakdown

Regionally, the largest FCSAP assessment expenditures were in British Columbia, Quebec and Alberta, together accounting for 71% of the total. The provinces with the largest numbers of sites with assessment activity were British Columbia, Ontario and Quebec, with 77% of the total. (Figure 2).

Figure 2: FCSAP assessment expenditures and sites, by province and territory, 2020 to 2021 (expenditures in $ millions)

Long description

This figure shows the distribution of FCSAP assessment expenditures and the number of sites, by province and territory, in 2020 to 2021.

  • Alberta: $1.5 million of FCSAP assessment expenditures for 7 sites
  • British Columbia: $2.5 million of FCSAP assessment expenditures for 34 sites
  • Manitoba: $0.3 million of FCSAP assessment expenditures for 6 sites
  • New Brunswick: $0.4 million of FCSAP assessment expenditures for 7 sites
  • Newfoundland and Labrador: $0.4 million of FCSAP assessment expenditures for 2 sites
  • Northwest Territories: $0.03 million of FCSAP assessment expenditures for 1 site
  • Nova Scotia: $0.2 million of FCSAP assessment expenditures for 4 sites
  • Nunavut: $0.02 million of FCSAP assessment expenditures for 2 sites
  • Ontario: $0.9 million of FCSAP assessment expenditures for 34 sites
  • Prince Edward Island: $0.07 million of FCSAP assessment expenditures for 1 site
  • Quebec: $1.8 million of FCSAP assessment expenditures for 30 sites
  • Saskatchewan: $0 of FCSAP assessment expenditures for 0 sites
  • Yukon: $0 of FCSAP assessment expenditures for 0 sites

3.2 Reduction of risks to human health and the environment

Site-assessment activities determine whether the risks to human health and the environment are within established limits for contaminants. If contaminants exceed these limits, custodians may then conduct risk-reduction activities (remediation and/or risk management) at these sites. The methods used to address the contamination at each site depend on their efficacy, their cost and the unique circumstances of the site.

In 2020 to 2021, FCSAP funded risk-reduction activities at 607 sites, at a program cost of $160.9 million. An additional $21.1 million was spent as part of the custodian cost-share requirement. The remediation/risk-management results for 2020 to 2021 are presented in Figure 3.

Figure 3: Remediation/risk-management results, 2020 to 2021

Long description

This figure shows the results of remediation and risk management in 2020 to 2021: 32 sites were closed, 102 sites are in long-term monitoring and 473 sites require further remediation or risk management.

Risk-reduction results by custodian

DND, Fisheries and Oceans Canada (DFO) and ISC conducted risk-reduction activities at 63% of the sites (383 of 607) in 2020 to 2021. Three custodians accounted for 64% of the FCSAP remediation expenditures ($103.2 million of $160.9 million) reported in 2020 to 2021: DND spent $44.4 million, ISC spent $37.6 million and Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC) spent $21.2 million. Table E.2 in Appendix E provides a detailed breakdown of the number of sites with remediation activity, remediation funding available and remediation expenditures for each custodian.

A list of sites with FCSAP remediation expenditures in 2020 to 2021 is available upon request. Please contact the FCSAP Secretariat at FCSAP.PASCF@ec.gc.ca.

Regional breakdown

The provinces with the largest FCSAP remediation expenditures were British Columbia, Ontario and Quebec, accounting for 66% of the total. These 3 provinces also had the largest numbers of sites with risk-reduction activity, accounting for 56% of the total (Figure 4).

Figure 4: FCSAP remediation expenditures and sites, by province and territory, 2020 to 2021 (expenditures in $ millions)

Long description

This figure shows the distribution of FCSAP remediation expenditures and the number of sites, by province and territory, in 2020 to 2021.

  • Alberta: $7.8 million of FCSAP remediation expenditures for 21 sites
  • British Columbia: $60.5 million of FCSAP remediation expenditures for 156 sites
  • Manitoba: $6.7 million of FCSAP remediation expenditures for 27 sites
  • New Brunswick: $0.9 million of FCSAP remediation expenditures for 18 sites
  • Newfoundland and Labrador: $3.6 million of FCSAP remediation expenditures for 63 sites
  • Northwest Territories: $14.2 million of FCSAP remediation expenditures for 29 sites
  • Nova Scotia: $1.8 million of FCSAP remediation expenditures for 34 sites
  • Nunavut: $3.4 million of FCSAP remediation expenditures for 28 sites
  • Ontario: $28.7 million of FCSAP remediation expenditures for 95 sites
  • Prince Edward Island: $0.6 million of FCSAP remediation expenditures for 7 sites
  • Quebec: $16.7 million of FCSAP remediation expenditures for 89 sites
  • Saskatchewan: $8.2 million of FCSAP remediation expenditures for 20 sites
  • Yukon: $7.8 million of FCSAP remediation expenditures for 20 sites

3.3 Program management

Program management funding pays for employee salaries and for activities such as program administration, procurement and contract management, and program planning and reporting. It also allows four expert support departments (Environment and Climate Change Canada, DFO, Health Canada, and PSPC) to provide expert advice and technical assistance to custodians in support of the program.

The FCSAP Secretariat’s work, supported by the Treasury Board of Canada Secretariat, in 2020 to 2021 included:

FCSAP expert support departments’ work in 2020 to 2021 included these highlights:

Appendix B further details program management activities conducted in 2020 to 2021.

3.4 Environmental liability reduction

Environmental liabilities are the estimated future costs associated with cleaning up (remediating and/or risk managing) federal contaminated sites to ensure that the environment and human health are protected. Environmental liabilities are recorded annually in the Public Accounts of Canada.

Liabilities for a given site are usually first reported once an assessment determines that risk-reduction work will be needed. As custodians remediate contaminated sites, the liabilities generally decrease, as the remaining risks to people and the environment are reduced or eliminated. However, other factors can change the liability amounts; so, it is common for liability to fluctuate year over year until a site is closed.

Consult Appendix C for more information on the environmental liability of federal contaminated sites.

Liability for FCSAP custodians

There were 16 custodians responsible for the portion of environmental liability associated with federal contaminated sites that may have been eligible for FCSAP funding. A more accurate estimate of the impact of FCSAP on the Government of Canada’s total liability can be found in Tables C.2 and C.3 in Appendix C, which indicate that the liability associated with federal contaminated sites that may have been eligible for FCSAP funding, is estimated to be $2.453 billion at the end 2020 to 2021.

Of the 16 custodians responsible for the portion of liability associated with federal contaminated sites that may have been eligible for FCSAP, 9 custodians reported increases in liability in 2020 to 2021, totalling $90 million:

Figure 5: FCSAP custodians with liability increases, 2020 to 2021 ($ millions)

Long description

This figure shows the FCSAP custodians that reported an increase in liability in 2020 to 2021.

  • Department of National Defence: $40 million increase in liability
  • Indigenous Services Canada: $23 million increase in liability
  • Fisheries and Oceans Canada: $13 million increase in liability
  • Crown-Indigenous Relations and Northern Affairs Canada: $10 million increase in liability
  • Parks Canada Agency: $2 million increase in liability
  • VIA Rail Canada: $1 million increase in liability
  • Correctional Service Canada, National Capital Commission and Natural Resources Canada: $0.2 million increase in liability

In 2020 to 2021, 7 custodians reported decreases in their overall liabilities, totalling $46 million. The custodians with the largest decreases in liability were PSPC at $19 million, and Transport Canada at $17 million. These 2 custodians represent 78% of the total decrease in liability (Figure 6).

Figure 6: FCSAP custodians with liability decreases, 2020 to 2021 ($ millions)

Long description

This figure shows the FCSAP custodians that reported a decrease in liability in 2020 to 2021.

  • Public Services and Procurement Canada: $19 million decrease in liability
  • Transport Canada: $17 million decrease in liability
  • Environment and Climate Change Canada: $6 million decrease in liability
  • Jacques Cartier and Champlain Bridges Incorporated: $3 million decrease in liability
  • Agriculture and Agri-Food Canada, Canada Border Services Agency and National Research Council of Canada: $0.5 million decrease in liability

Indicators of liability reduction

For Phase IV, the FCSAP Secretariat tracks 2 indicators related to the reduction of liability:

For the first indicator, custodians estimated that liability would be reduced at these sites by $554 million by the end of Phase IV. After the first year of Phase IV, custodians had achieved 9% of the 5-year target for liability reduction.

Remediation and risk-management activities at these sites decreased the liability by $76 million. However, this reduction was offset by an increase in liability of $24 million, due to, for example, changes in project costs. This resulted in a net reduction in liability of $52 million (Figure 7).

Figure 7: Phase IV reduction in liability at FCSAP-funded sites

Long description

This figure shows the 5-year target and the result achieved after 2020 to 2021 for the reduction in liability of FCSAP-funded sites, by the end of Phase IV. The 5-year target was that liability at FCSAP-funded sites would be reduced by $554 million in Phase IV. The result after 2020 to 2021 was that liability at FCSAP-funded sites was reduced by $52 million, which represents 9% of the target.

The second indicator relates to the percentage of remediation expenditures at FCSAP-funded sites that reduce liability over the 5 years of Phase IV. After the first year of Phase IV, 86% of remediation expenditures at FCSAP-funded sites ($156 million of $182 million) had led to reductions in liability. This is below the target of 95%, established for Phase IV. Fifty-two sites, representing $12 million of remediation expenditures, did not report these expenditures as liability reducing expenditures since there was no liability recorded at the beginning of the fiscal year. Another $15 million of remediation expenditures was for activities that did not reduce liability.

3.5 Socio-economic benefits

FCSAP projects have socio-economic benefits, especially in Indigenous communities and in northern or rural areas. Work on contaminated sites offered opportunities for local residents and contractors to learn and develop skills, and to build careers and businesses. The partnerships forged among workers and businesses, especially at the local level, helped foster a sense of ownership of project results.

Through FCSAP, the government is addressing federal contaminated sites affecting Indigenous Peoples, including sites on reserve lands and in the North. When the Government renewed the FCSAP in 2019, it expanded program parameters to accelerate the clean-up of federal sites located on Indigenous reserves and in the North.

The renewed program supports reconciliation by:

As an example, the second case study in Appendix A describes collaboration between Environment and Climate Change Canada and the Dehcho First Nations.

In addition, as the North had some of the strictest travel requirements during the pandemic, the relationships and capacity-sharing with Indigenous partners pre-pandemic helped ensure there was some progress at contaminated sites in those regions in 2020 to 2021. Creative solutions were found to complete training initiatives and capacity-building, or sub-contracting local companies to do more of the on-site work, such as the BAF-5 Resolution Island case study included in Appendix A. Other projects were able to engage communities and Indigenous governments virtually and still make progress on remediation planning, while still respecting the limited capacity and community priorities in responding to the pandemic.

During the 2020 to 2021 fiscal year, FCSAP activities led to the creation or maintenance of approximately 1,000 jobs. These jobs provided income and fuelled economic activity. FCSAP activities helped workers develop skills, which could then be applied at other contaminated sites or in other types of construction and engineering projects. Examples of regularly employed jobs could include heavy machine operators and jobs that require project or financial management skills.

Through FCSAP, the Canadian remediation industry gains opportunities to advance new solutions when cleaning up federal contaminated sites. The program builds awareness of innovative and sustainable technologies by sharing success stories within the federal community and with the private sector. Case studies are profiled on the federal contaminated sites web portal, as well as in reports and at workshops for federal contaminated-site managers and industry representatives.

3.6 Site closure and long-term monitoring

After remediation and/or risk management, confirmatory sampling and long-term monitoring, if required, are the final steps of closing a site. The closure of a site indicates that no further action is required and that the federal environmental liability has been reduced to zero. For some sites, though, the most appropriate course of action is to risk-manage contamination. This is done by containing it on the site and reducing exposure to people, plants and animals. Long-term monitoring may be necessary to ensure that risks remain at acceptable levels.

Increases in the numbers of sites closed or undergoing long-term monitoring demonstrate progress toward the 2 key FCSAP objectives of risk and liability reduction.

The target number of sites to be closed or in long-term monitoring by the end of Phase IV is 1,159. After the first year of Phase IV, custodians closed 32 sites and 102 sites were in long-term monitoring (18 sites progressed into long-term monitoring in 2020 to 2021). (Figure 8).

Figure 8: Progress towards Phase IV site closure and long-term monitoring target, result after 2020 to 2021

Long description

This figure shows the 5-year target and the result achieved after 2020 to 2021 for the number of sites to be closed or in long-term monitoring in Phase IV. The 5-year target was that 1,159 sites would be closed or in long-term monitoring by the end of Phase IV. The result after 2020 to 2021 was that 134 sites were closed or in long-term monitoring, which represents 12% of the target.

4. FCSAP funding, expenditures and variances

Key results

Federal Contaminated Sites Action Plan (FCSAP) expenditures in the 2020 to 2021 fiscal year totalled $185.4 million. This represents 85% of the FCSAP funding available for the year. Custodians also spent $23.8 million from other sources of departmental funding to meet cost-share requirements.

In the 2020 to 2021 fiscal year, 87% of total FCSAP expenditures were for risk-reduction activities (remediation and/or risk-management), 4% was for assessment, and 9% was for program management (Figure 9). Table E.1 in Appendix E details the allocations for the 3 types of FCSAP funding.

Figure 9: Distribution of FCSAP expenditures (excluding cost-share), 2020 to 2021 ($ millions)

Long description

This figure shows the distribution of FCSAP expenditures in 2020 to 2021. Total FCSAP expenditures were $185.4 million. Expenditures for program management were $16.3 million, which represents 9% of total FCSAP expenditures. Expenditures for assessment were $8.1 million, which represents 4% of total FCSAP expenditures. Expenditures for remediation were $160.9 million, which represents 87% of total FCSAP expenditures.

What happens to unspent funds

Custodians did not spend all of the FCSAP funding available to them in 2020 to 2021. This is mostly because of contracting and project delays. For example, weather conditions might either have prevented access to sites or limited the types of work that could be carried out. In 2020 to 2021, lockdowns and travel restrictions related to the COVID-19 pandemic also delayed field work, as discussed in Section 3. The tendering of some projects was also delayed, which led to postponement of the remediation and risk-management work to the next fiscal year. In some cases, rescheduling of planned work into the next fiscal year can lower current-year project costs.

Unspent funds may be brought forward for FCSAP activities in future years through 3 methods:

These processes allow custodians flexibility in their response to unpredictable situations, such as weather. The FCSAP Secretariat also promotes and facilitates the transfer of funds among custodians, though no such transfers occurred in 2020 to 2021. Funding that is not brought forward or transferred among custodians is lapsed. This means that the funds will not be available for FCSAP activities in the future.

In 2020 to 2021, 66% of the FCSAP funding variance was re-profiled, 28% was carried forward, 2% was internally cash managed and 4% was lapsed (Figure 10). This means that $32.3 million (96%) of the $33.5 million of unspent funding in 2020 to 2021 will be available to custodians in future years. Table E.2 in Appendix E provides a breakdown by funding type of the unspent funding.

Figure 10: Distribution of FCSAP variance, 2020 to 2021 ($ millions)

Long description

This figure shows the distribution of FCSAP variance, which is the unspent funding. Total variance was $33.5 million. $22.3 million of funds were re-profiled, which represents 66% of total variance. $9.2 million of funds were carried forward, which represents 28% of total variance. $0.8 million of funds were cash managed, which represents 2% of total variance. $1.2 million of funds were lapsed, which represents 4% of total variance.

5. Conclusion

The first year of FCSAP Phase IV has been a challenging one. During this period of uncertainty due to the pandemic, FCSAP program partners worked diligently to adapt the FCSAP workplan, optimize the allocation of resources to achieve Phase IV objectives and meet the long-term goal of the program to have all FCSAP-eligible sites closed or in long-term monitoring by March 2035. Custodians adjusted their priorities as they navigated the uncertainty and challenges associated with the pandemic; this included contracting delays, limited access to communities, and adaptations to ensure that provincial or local restrictions were followed.

Appendix A – Case studies

BAF-5 Resolution Island
Location: Nunavut
Custodian: Crown-Indigenous Relations and Northern Affairs Canada (CIRNAC)

BAF-5 Resolution Island is a former radar site on the southeastern tip of Baffin Island, about 310 km southeast of Iqaluit and just outside Frobisher Bay.

Background

BAF-5 was built in 1954 as part of the Distant Early Warning (DEW) Line system, and has since operated as a communications post and a navigational aid for the Canadian Coast Guard. Two weather stations have also operated in the vicinity.

Over 200 people were stationed at the 3-km2 site when it operated. More than 20 buildings, eight dumpsites, numerous barrels, and large amounts of visible debris were left when the station closed. The land then reverted to CIRNAC.

Site remediation began in 1998 and was completed in 2006. A landfill containing polychlorinated biphenyls (PCBs) had monitoring equipment installed, as did another containing non-hazardous waste. The remaining dumps and regrade areas have been subject to visual monitoring only.

New challenges emerge

A contractor hired by CIRNAC identified potential deficiencies in 2012, including the need to replace PCB barriers on steep slopes. The department scheduled additional remediation for the summer of 2018. Inclement weather and delays in the sealift provider impeded mobilization to the site (sealift is the most economical way to transport bulk goods to the Arctic). CIRNAC reviewed the planned work, to compress it from two years to one. The contractor was able to complete the work in 2019, but an early winter delayed the removal of some equipment and waste, as well as the final site inspection, to 2020.

That spring, the COVID-19 pandemic further derailed the planned work, as the Government of Nunavut implemented a 14-day mandatory quarantine for visitors.

The pandemic also affected the ongoing Environmental Sampling and Analysis Training program. Funded by FCSAP, this program by Queen’s University’s Analytical Services Unit (ASU) offers a technical course on contaminants to the residents of Iqaluit. Since 2010, it has been delivered through the Iqaluit Analytical Services Unit (IASU) at the Nunavut Research Institute (NRI). The aim is to increase understanding and problem solving for environmental issues facing the Arctic. The knowledge gained about monitoring, analyzing and remediating contaminants also helps prepare trainees for employment. From 2010 to 2019, ASU personnel travelled to Iqaluit to deliver the training, which was mostly hands-on.

Overcoming logistical challenges

To complete the final demobilization and site inspection, CIRNAC planned to minimize the number of people required to quarantine, which was both expensive and unproductive. Delaying the project closure would also have added significant costs. However, a quarantine exemption for travellers coming from within the territories provided an opportunity: the contractor hired an Iqaluit-based company to help, avoiding any issues with travel restrictions. Although the company’s employees were not experts in demobilization, they were trained to manage the logistics. After the final demobilization, the departmental representative also commissioned a subcontractor in Iqaluit and a team lead from Yellowknife to conduct the final inspection. These innovations allowed the BAF-5 project to be completed in 2020 as planned, despite COVID-19.

A better interface

Moreover, the IASU instructors saw the pandemic as an opportunity to offer the course remotely for the first time. With funding from CIRNAC and the cooperation of NRI staff, they conducted the laboratory training remotely over Microsoft Teams.

Aided by a previous student of the course, who was hired as a laboratory demonstrator, instructors gave additional lectures over Microsoft Teams. They also created videos to ensure that the students were prepared for the laboratory components. Instead of analyzing student samples at IASU, they shipped them to Queen’s University, which allowed for a broader suite of analyses, while discussions and reporting continued online. Since the lectures, labs and videos were available online throughout the course, students could learn at their own pace, or attend from communities other than Iqaluit. The virtual course proved successful and could be re-used or built on in 2021 to 2022.

Completion of the project will meet the objectives of CIRNAC’s Northern Contaminated Sites Program to protect the health and safety of Nunavummiut, protect the environment, reduce liability associated with contaminated sites, and fulfill the department’s custodial obligations.

This project was funded through Canada’s Federal Contaminated Sites Action Plan (FCSAP). FCSAP provides funding to assess and remediate federal contaminated sites and to reduce environmental and human-health risks from known federal contaminated sites.

Edéhzhíe Dehcho protected area and proposed national wildlife area
Location: Northwest Territories
Custodian: Environment and Climate Change Canada (ECCC), co-managed with the Dehcho First Nation

The Edéhzhíe Dehcho Protected Area lies in the remote wilderness of the Dehcho Region in the Northwest Territories, about 200 km west of Yellowknife. Covering about 14,218 km2, this area has great ecological and cultural significance for the Dehcho and Tłįchǫ Dene people, and the nearby communities of Tthets’ék’edélı̨, Pehdzeh Ki, Łíídlı̨ı̨ Kų́ę́, Deh Gáh Got’ie Kų́ę́ (Jean Marie River, Wrigley, Fort Simpson and Fort Providence):

Edéhzhíe is co-managed by the Dehcho First Nations and the Government of Canada’s Canadian Wildlife Service and ECCC, to conserve biodiversity and wildlife habitat while respecting and preserving the Dene relationship with the Edéhzhíe land. Edéhzhíe was designated as a Dehcho Protected Area in 2018 and is expected to be established as a National Wildlife Area in 2022.

Identifying risk conditions and liabilities

In 2020, ECCC conducted a limited Phase I environmental site assessment desktop review for Edéhzhíe. This drew on site records, previous environmental reports and interviews; however, site visits were not completed due to COVID-19 travel restrictions. The objectives of the review were to:

The review also provided recommendations for follow-up activities, including a detailed work plan, along with cost estimates for future activities, to enhance the assessment of various parts of Edéhzhíe.

The review was completed with the assistance of local Indigenous community members and Edéhzhíe Guardians: under the 2018 Edéhzhíe Establishment Agreement, the Dehcho First Nations administer the Dehcho K’éhodi Stewardship and Guardian Program, which employs the Edéhzhíe Guardians. The Guardians are considered the eyes and ears of Edéhzhíe and carry out ecological monitoring, cultural protection, mentorship, training and education activities, and contribute to monitoring and management in Edéhzhíe. The Guardians provided a list of potential contaminated sites, which they had observed on the land, while information about the past and current use of Edéhzhíe was obtained through interviews with local Indigenous land users and traditional-knowledge holders. Notable activities included former mineral and oil exploration, fuel-drum handling and storage, a potential landfill, current and former structures such as cabins, and dynamite use. The review also identified possible former use of herbicides and pesticides such as DDT, a former plane crash with debris, and a sunken boat.

Looking ahead

The review recommended site visits to confirm the presence of potential environmental liabilities. As of the end of 2020 to 2021, ECCC is committed to this assessment process and to continuing its collaboration with the Dehcho First Nations and the Edéhzhíe Guardians.

This project was funded through Canada’s Federal Contaminated Sites Action Plan (FCSAP). FCSAP provides funding to assess and remediate federal contaminated sites and to reduce environmental and human-health risks from known federal contaminated sites.

ḰELSET (Reay Creek) remediation project
Location: Town of Sidney, North Saanich, Vancouver Island, British Columbia
Custodian: Transport Canada

The ḰELSET Remediation Project involved the removal of contaminated sediment from the upper portions of ḰELSET (formerly Reay Creek), which lie within the Victoria International Airport property, and a downstream pond in the Town of Sidney, located on Vancouver Island, British Columbia. The project is located in the traditional territories of the W̱SÁNEĆ First Nations: Tsawout, Tseycum, Tsartlip and Pauchauchin.

Background

The site was originally a military training airfield, starting in 1939. Transport Canada took over the ownership and administration of the airport in 1948, subsequently handing administration of the airport to the Victoria Airport Authority in 1997. In time, the area around the pond developed into a residential neighbourhood and a city park.

Runoff from maintenance and construction activities in the airport property, such as product storage, machining and electroplating, led to heavy-metal and hydrocarbon contamination. The Victoria Airport Authority upgraded the storm-sewer system to prevent runoff from industrial operations from entering the creek directly. In 2012, the Authority also built a bypass creek alongside ḰELSET to direct flow around its most contaminated portion. Just upstream of the airport boundary, the Authority built a weir and excavated a depression capable of holding 5,000 m3 of overflow during storms, to minimize sediment migration and promote sediment deposition inside the airport boundary.

Contamination remained, however, prompting nearby residents to press the Authority to control the runoff and for Transport Canada to remediate the creek and pond sediment. In 2013, the Town of Sidney began planning to upgrade the dam that held back the 200-m pond so that it would be more resistant to seismic activity. The sediment remediation in the pond and the dam upgrade were interconnected, as both projects would require the temporary draining of the pond.

Undertaking the dam upgrade and the pond remediation at the same time posed a significant logistical and contractual challenge for both Transport Canada and the Town of Sidney.

2019 excavation

First, a remediation contractor funded by Transport Canada removed approximately 615 m3 of metal-contaminated sediment from the airport property and disposed it at a permitted facility. The excavation work involved small excavators where space would allow, and vacuum trucks where there was less sediment. The work took place in the summer construction window authorized by Fisheries and Oceans Canada (DFO), between the spawning and rearing of cutthroat trout in the spring and the return of Coho salmon in the fall. Temporary small dams, pumps and pipes allowed the creek to flow around the construction zones.

2020 pond remediation and dam upgrade

The pond remediation was a larger project. Another remediation contractor removed 5,118 m3 of contaminated sediment from the pond and disposed it at a permitted facility. To make this possible, Transport Canada and the Town of Sidney negotiated a licence for Transport Canada to have temporary administration of the area. At the end of the sediment-excavation work, a construction contractor, retained by the Town, undertook the dam-upgrade work. Completing both projects simultaneously within the DFO window required close coordination by all parties, but it generated significant cost savings and reduced the environmental impact, because the pond was drained and its inhabitants were displaced only once.

In September, near the end of the excavation work, a large storm hit; the runoff was expected to overwhelm the bypass system and accumulate in the excavation. In preparation, the remediation contractor raised the height of the weir within the airport to hold back more water, and expedited and completed the removal of the sediment in the pond so that it would not be moved downstream. The pond excavation eventually flooded, but the dam-construction contractor made a temporary cut through the top of the dam to allow the water to pass through.  After the event, the pond was re-drained to allow for restoration of the creek bed and planting. The water flow was re-established in time for the fall salmon run.

First Nations involvement and recognition

From the onset of the 2019 work within the airport property, the collaboration between Transport Canada and the local Indigenous communities grew significantly.

Cultural monitors from the Tseycum First Nation were onsite full-time to oversee the 2019 and 2020 excavation work. In 2020, local Indigenous communities provided even more support.

Representatives from the W̱SÁNEĆ Leadership Council, which represents the Tsawout, Tseycum and Tsartlip First Nations, helped prepare specifications; conducted environmental, cultural and archaeological monitoring; and conducted the post-remediation planting.

The name of the ḰELSET Remediation Project was chosen as culturally appropriate, in honour of the Indigenous designation for the creek, though Reay Creek and Reay Creek Pond were the official names at the time. For the 2020 construction work, the First Nations held a brushing ceremony at the site every second week, to pay respect to their ancestors. At first, the ceremony was attended by First Nations band members alone but, eventually, all the workers at the site participated. In May 2021, the W̱SÁNEĆ Leadership Council submitted a request to the province to change the official name of the creek to ḰELSET.

This project was funded through Canada’s Federal Contaminated Sites Action Plan (FCSAP). FCSAP provides funding to assess and remediate federal contaminated sites and to reduce environmental and human-health risks from known federal contaminated sites.

Appendix B – Program administration

In the 2020 to 2021 fiscal year, $16.3 million was spent on program management activities by custodians, the Federal Contaminated Sites Action Plan (FCSAP) Secretariat, the Treasury Board of Canada Secretariat (TBS), and expert support departments. The breakdown of expenditures is shown in Table B.1.

Table B.1: Summary of FCSAP program management expenditures (2020 to 2021) ($ millions)
Department Available FCSAP funding ($) a FCSAP expenditures ($) Variance ($)*
Agriculture and Agri-Food Canada 0.07 0.07 0
Canada Border Services Agency 0 0 0
Correctional Service of Canada 0.1 0.1 0
Crown-Indigenous Relations and Northern Affairs Canada 0 0 0
Environment and Climate Change Canada - - -
Custodian 0.4 0.4 0
Expert support 3.0 3.0 0
Secretariat 2.3 2.3 0
Fisheries and Oceans Canada - - -
Custodian 0.9 0.9 0
Expert support 2.1 1.8 0.2
Health Canada (expert support) 2.5 2.5 0
Indigenous Services Canada 2.0 2.0 0
Innovation, Science and Economic Development Canada 0.06 0.06 0
Jacques Cartier and Champlain Bridges Incorporated 0 0 0
National Capital Commission 0.1 0.1 0
National Defence 1.0 1.0 0
National Research Council of Canada 0 0 0
Natural Resources Canada 0 0 0
Parks Canada Agency 0.4 0.3 0.1
Public Services and Procurement Canada - - -
Custodian 0.2 0.2 0
Expert Support 0.5 0.5 0
Transport Canada 0.6 0.6 0
Treasury Board of Canada Secretariat 0.6 0.6 0
VIA Rail Canada 0 0 0
Total expenditures 16.7 16.3 0.4

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

a Amounts only include FCSAP funding and do not include any other funding source over and above that amount. A few organizations incurred expenditures that exceeded the funding available, mainly because of salary increases and retroactive payments attributable to new collective agreements, and changes to the rate used for employee benefit plans. These additional amounts have been paid by organizations, not through FCSAP funding and are not included in this table.

* Variance = available FCSAP funding - FCSAP expenditures

Key activities

Custodians

Custodians generally devote the vast majority of their activity toward managing the federal contaminated sites for which they are responsible. However, they also conduct program-management activities. In 2020 to 2021, these included program planning, reporting and responding to information requests from the FCSAP Secretariat. Custodians also developed annual and long-term workplans in preparation for the second year of Phase IV.

FCSAP Secretariat

In its role as Secretariat of the FCSAP program, Environment and Climate Change Canada (ECCC), with support from TBS, continued to provide overall program oversight, support and administration in 2020 to 2021:

Treasury Board of Canada Secretariat (TBS)

In 2020 to 2021, TBS supported ECCC in the management of the FCSAP program through the provision of strategic advice and guidance. In this role, TBS:

Expert support departments

In 2020 to 2021, expert support departments continued to develop guidance documents and deliver training on the management of federal contaminated sites. They also provided advice, reviewed contaminated-site management documents and promoted innovative and sustainable remediation technologies. Highlights on each of the departments' activities are provided below.

Fisheries and Oceans Canada (DFO) provided scientific and technical advice to custodians on the management of their contaminated sites in relation to risks and impacts to fish and fish habitat. DFO conducted 178 site-classification reviews to confirm eligibility for FCSAP funding. It also conducted reviews of 47 technical documents in support of site assessment and remediation and risk management, to ensure that the potential impacts to fish and fish habitat were appropriately considered, and to promote compliance with relevant legislation and regulations. For site classification reviews, DFO met the service standard 96% of the time and for technical document reviews, 98% of the time.
To develop guidance material and provide expert advice and training on the management of FCSAP sites to custodians, DFO:

DFO also participated in FCSAP national and regional working groups and site-specific technical committees.

Environment and Climate Change Canada (ECCC) continued its role as a central point of contact for regional custodians seeking the services of expert support departments for the management of their contaminated sites. Activities included coordinating and co-chairing the meetings of the RIPBs, reviewing regional work plans, leading project support meetings, and supporting integrated work planning. ECCC reviewed site-classification scores and site-specific technical reports submitted by custodians, and provided them with technical advice on assessing and managing the environmental risks posed by their contaminated sites. ECCC also disseminated information on program tools and guidelines, shared lessons learned, provided training, and addressed other custodian needs for expert support.

Some specific achievements include the following:

Health Canada continued to provide scientific and technical advice to federal custodians. This involved close collaboration with the other expert support departments on addressing current and emerging chemical issues, such as perfluorooctane sulfonate and perfluorooctanoic acid, as they relate to federal contaminated sites.

More specifically, Health Canada’s activities included:

Public Services and Procurement Canada (PSPC) continued to provide project management and procurement advice to federal custodians, in addition to collecting and sharing innovative and sustainable approaches to industry,
More specifically, PSPC’s activities included:

Appendix C – Environmental liability for federal contaminated sites

What are environmental liabilities

Environmental liabilities are the estimated costs related to the risk reduction (remediation and/or risk management) of contaminated sites for which the Government of Canada is obligated, or will likely be obligated, to incur costs. FCSAP specifically aims to address environmental liability. Recording liability is a requirement of the Treasury Board Directive on Accounting Standards; liabilities are reported annually in the Public Accounts of Canada.
According to Treasury Board of Canada Secretariat guidance, a liability at contaminated sites is recognized when all of the following criteria are satisfied:

Environmental liability increases and decreases

Liabilities for a given site are usually first reported once an assessment determines that risk-reduction work will be needed. As custodians remediate contaminated sites, the liabilities usually decrease, as the remaining risks to people and the environment are reduced or eliminated. However, it is common for liability to fluctuate year over year until a site is closed, owing to several other factors:

Liability reduction is not linear. A decrease in liability in one year may be followed by an increase in the next year.

Total liability for federal contaminated sites versus FCSAP-funded sites

Custodians and other federal organizations also conduct work at contaminated sites that are not eligible for FCSAP funding. Regardless of the funding source, organizations are required to report all liabilities and remediation expenditures to the Public Accounts of Canada. Sites that are not eligible for FCSAP funding in Phase IV include:

Estimating liability for all federal contaminated sites

As of March 31, 2021, the government has identified 6,857 sites (down from 6,860 sites from the previous year) where contamination may exist and where assessment, remediation and/or risk management and monitoring may be required. Of these, the government has identified 2,555 sites (up from 2,444 sites), where action is required and for which a gross liability of $6.806 billion (down from $7.117 billion) has been recorded. This liability estimate is based on site assessments performed by environmental experts.

To estimate the liability for unassessed sites, the government uses a statistical model, based on a projection of the number of sites that will proceed to remediation and based on current and historical costs. This includes 3,438 unassessed sites as of March 31, 2021 (down from 3,562 sites from the previous year), of which 1,412 (down from 1,464 sites) are projected to proceed to remediation and for which an estimated liability of $245 million (down from $258 million) has been recorded.

Combined, these 2 estimates total $7.051 billion, which is management’s best estimate of the costs required to remediate sites to the current minimum environmental standard for its use prior to contamination. This estimate represents a decrease from $7.375 billion as of March 31, 2020.

For the remaining 864 sites (up from 854 sites from the previous year), no liability for remediation has been recognized. Some of these sites are at various stages of testing and evaluation and, if remediation is required, liabilities will be reported as soon as a reasonable estimate can be determined. For other sites, the government does not expect to give up any future economic benefits, as any significant environmental impact or human-health threats are unlikely. These sites will be re-examined and a liability for remediation will be recognized if future economic benefits will be given up.

Results for 2020 to 2021

From March 31, 2020 to March 31, 2021, the total environmental liability for the remediation and risk management of federal contaminated sites, as reported in the Public Accounts of Canada by 21 federal organizations, including FCSAP custodians, decreased by $324 million, from $7.375 billion to $7.051 billion. Sites that may be eligible for FCSAP funding accounted for $2.453 billion of the total 2020 to 2021 liability reported.

Figure C.1: Change in total environmental liability, 2020 to 2021

Long description

This figure shows that remediation expenditures reduced the liability by $502 million, of which $156 million was for FCSAP-funded sites. However, these reductions were offset by $138 million in changes to estimated remediation costs and $40 million in liability for sites not previously recorded. FCSAP-funded remediation sites accounted for $170 million of financial and project cost adjustments.

A $0.4 million adjustment in expected recoveries also occurred in 2020 to 2021. An expected recovery is reported when it is likely that a recovery will be received by the Crown and a reasonable estimate of the amount of the recovery can be made. As detailed in Table C.1, these were factors in the $324 million net decrease in liability.

Table C.1: Changes in liability for remediation at contaminated sites, 2020 to 2021 ($ millions)
Change in liability March 31, 2020 ($) March 31, 2021 ($) Difference ($)
Opening balance 6,478 7,375 897
Less: expenditures reducing opening liabilities 586 502 -84
Add: changes in estimated remediation costs 1,428 138 -1,290
Add: new liability for sites not previously recorded 54 40 -14
Closing balance (gross) 7,375 7,051 -324
Less: expected recoveries 25.6 25.2 -0.4
Closing balance (net) 7,349 7,026 -324

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

As shown in Tables C.2 and C.3, the total environmental liability for FCSAP-eligible sites increased in 2020 to 2021 by $44.3 million, from $2.41 billion to $2.45 billion.

Table C.2: Environmental liability for federal contaminated sites that may have been eligible for FCSAP, 2020 to 2021 ($ millions)
Environmental Liability March 31, 2020 ($) March 31, 2021 ($) Difference ($)
Total liability for remediation at contaminated sites a 7,375 7,051 -324
Less: b - - -
Atomic Energy of Canada Limited 877 790 -87
Canadian Broadcasting Corporation 0.2 0.1 -0.1
Global Affairs Canada 0.02 0.02 0
Royal Canadian Mounted Police 11.3 10.8 -0.5
Windsor-Detroit Bridge Authority 9.1 4.5 -4.6
Liability for sites in the Northern Abandoned Mine Reclamation Program 4,043 3,767 -276
Expected recoveries 25.6 25.2 -0.4
Liability for federal contaminated sites that may have been eligible for FCSAP 2,409 2,453 44
a Total liability for remediation of contaminated sites, as reported in the Public Accounts of Canada, 2021.
b Some organizations are not part of FCSAP, as they have their own funding sources or their sites do not meet the eligibility requirements of FCSAP.
Table C.3: Environmental liability for federal contaminated sites that may have been eligible for FCSAP, by participating custodian ($ millions)
Custodian March 31, 2020 ($) March 31, 2021 ($) Difference ($)
Agriculture and Agri-Food Canada 9.3 9.3 0
Canada Border Services Agency 1.8 1.4 -0.4
Correctional Service of Canada 2.6 2.6 0
Crown-Indigenous Relations and Northern Affairs Canada (excluding liability for sites in the Northern Abandoned Mine Reclamation Program) 318.5 328.7 10.2
Environment and Climate Change Canada 206.0 199.6 -6.4
Fisheries and Oceans Canada 268.0 281.0 13.0
Indigenous Services Canada 379.4 402.7 23.3
Jacques Cartier and Champlain Bridges Incorporated 34.4 31.2 -3.2
National Capital Commission 63.9 64.0 0.1
National Defence 541.3 581.3 40.0
National Research Council of Canada 2.4 2.2 -0.2
Natural Resources Canada 1.9 2.0 0.1
Parks Canada Agency 96.2 98.4 2.2
Public Services and Procurement Canada 253.5 234.2 -19.3
Transport Canada 250.2 233.5 -16.7
VIA Rail Canada Inc. 5.1 6.1 1.0
Less: expected recoveries 25.6 25.2 -0.4
Liability for federal contaminated sites that may have been eligible for FCSAP 2,409 2,453 44

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

Appendix D – Federal contaminated sites inventory

The Federal Contaminated Sites Inventory (FCSI), managed by the Treasury Board of Canada Secretariat, includes information on federal contaminated sites under the custodianship of departments, agencies and consolidated Crown corporations, and on non-federal contaminated sites for which the Government of Canada has accepted some or all financial responsibility.

Sites registered in the FCSI move from “suspected” to “active” status once the contamination has been confirmed.

Suspected sites may be closed if a desktop review or a Phase I environmental site assessment determines that historical activities would not likely have caused contamination. Sites undergoing assessment are usually closed if the assessment determines that contaminants are not present or do not pose an unacceptable risk to human health or the environment.

Sites can also be closed when risks have been reduced to acceptable levels through remediation and risk management, and when long-term monitoring has been completed.

Suspected sites: Further assessment work is required to confirm whether the site is considered a federal contaminated site
Active sites: Active sites are confirmed as contaminated sites where remedial action is or may be required
Closed sites: No further action is required

As of March 31, 2021, the FCSI listed 23,897 sites, of which 17,192 (72%) have been closed. There are 4,967 active sites (21%), where contamination has been confirmed and remedial action is or may be required. A total of 1,738 sites (7%) may be contaminated but have not yet been assessed.

Progress of sites through the FCSI

Before FCSAP was established in 2005 to 2006, the FCSI contained approximately 2,000 suspected and 4,200 active federal contaminated sites. Since then, custodians have added sites to the FCSI when they suspected contamination, and have conducted assessment and risk-reduction activities at these sites, if required and as funding was available.

In 2020 to 2021, about 35% of expenditures reported to the FCSI were attributable to FCSAP sites, which included both FCSAP funding and the custodian cost-share. The remaining 65% were expenditures on non-FCSAP sites and by federal organizations that are not part of FCSAP. This includes 16 sites that were previously funded by FCSAP but are now funded by the Northern Abandoned Mine Reclamation Program. Over the 2020 to 2021 fiscal year, these combined expenditures led to a decrease in suspected sites by 3% (from 1,795 to 1,738), an increase in active sites by 2% (from 4,860 to 4,967) and an increase in closed sites by 1% (from 17,059 to 17,192), as shown in Figure D.1.

Figure D.1: Status of sites in the FCSI from 2005 to 2021

Long description

This figure shows the status of sites in the Federal Contaminated Sites Inventory, from 2005 to 2021.

  • In 2005 to 2006, 4,609 sites were suspected, 5,352 sites were active and 1,129 sites were closed.
  • In 2006 to 2007, 11,841 sites were suspected, 6,476 sites were active and 1,630 sites were closed.
  • In 2007 to 2008, 11,510 sites were suspected, 6,601 sites were active and 2,505 sites were closed.
  • In 2008 to 2009, 10,809 sites were suspected, 5,710 sites were active and 3,825 sites were closed.
  • In 2009 to 2010, 7,434 sites were suspected, 6,949 sites were active and 5,215 sites were closed.
  • In 2010 to 2011, 6,958 sites were suspected, 7,399 sites were active and 7,660 sites were closed.
  • In 2011 to 2012, 4,929 sites were suspected, 6,845 sites were active and 10,480 sites were closed.
  • In 2012 to 2013, 4,014 sites were suspected, 6,568 sites were active and 11,800 sites were closed.
  • In 2013 to 2014, 3,020 sites were suspected, 6,144 sites were active and 13,427 sites were closed.
  • In 2014 to 2015, 2,606 sites were suspected, 5,785 sites were active and 14,429 sites were closed.
  • In 2015 to 2016, 2,353 sites were suspected, 5,340 sites were active and 15,381 sites were closed.
  • In 2016 to 2017, 2,060 sites were suspected, 5,239 sites were active and 15,980 sites were closed.
  • In 2017 to 2018, 1,987 sites were suspected, 5,067 sites were active and 16,436 sites were closed.
  • In 2018 to 2019, 1,842 sites were suspected, 4,980 sites were active and 16,845 sites were closed.
  • In 2019 to 2020, 1,795 sites were suspected, 4,860 sites were active and 17,059 sites were closed.
  • In 2020 to 2021, 1,738 sites were suspected, 4,967 sites were active and 17,192 sites were closed.

Appendix E – Data tables

Table E.1: Available assessment funding and expenditures, by custodian, 2020 to 2021 ($ millions)
Custodian Number of sites with activity Available FCSAP funding ($) FCSAP assessment expenditure ($) Custodian expenditures (cost share) ($) Total expenditures ($)
AAFC 0 0 0 0 0
CBSA 0 0 0 0 0
CIRNAC 0 0 0 0 0
CSC 1 0.2 0.05 0.01 0.06
DFO 15 0.5 0.4 0.1 0.5
DND 40 3.0 3.0 0.7 3.7
ECCC 4 0.2 0.1 0.03 0.2
ISC 23 0.6 0.6 0.8 1.4
ISED 2 0.1 0.1 0.04 0.2
JCCBI 9 1.3 1.1 0.3 1.4
NCC 18 0.5 0.3 0.08 0.4
NRC 0 0.2 0 0 0
NRCan 0 0 0 0 0
PCA 9 0.6 0.4 0.1 0.5
PSPC 7 2.2 2.0 0.5 2.5
TC 0 0 0 0 0
VIA Rail 0 0.1 0 0 0
Total 128 9.5 8.1 2.7 10.8

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

Table E.2: Available remediation funding and expenditures, by custodian, 2020 to 2021 ($ millions)
Custodian Number of sites with activity Available FCSAP funding ($) FCSAP remediation expenditures ($) Custodian expenditures (cost share) ($) Total expenditures ($)
AAFC 11 0.5 0.3 0.05 0.4
CBSA 2 0.4 0.3 0.05 0.3
CIRNAC 40 32.3 21.2 1.7 22.9
CSC 5 0.4 0.4 0.07 0.5
DFO 126 6.3 5.9 1.0 7.0
DND 161 55.6 44.4 4.6 48.9
ECCC 8 17.2 17.2 0.3 17.6
ISC 96 37.6 37.6 7.5 45.1
ISED 0 0 0 0 0
JCCBI 2 1.8 1.4 0.3 1.7
NCC 15 1.6 1.2 0.2 1.4
NRC 3 0.6 0.6 0.1 0.7
NRCan 0 0.3 0 0 0
PCA 43 5.5 2.1 0.6 2.7
PSPC 19 14.1 13.9 2.4 16.4
TC 76 16.3 14.3 2.1 16.4
VIA Rail 0 2.5 0 0 0
Total 607 192.8 160.9 21.1 182.0

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

Table E.3: Program-level summary of available FCSAP funding (2020 to 2021) ($ millions)
FCSAP funds Program management ($) Assessment ($) Remediation ($) Total ($)
FCSAP funding approved for 2020–2021 16.7 9.4 157.0 183.1
FCSAP funding brought forward from previous fiscal years 0.1 0.08 35.7 35.9
FCSAP funds received from another custodian (+) 0 0 0 0
FCSAP funds given to another custodian (-) 0 0 0 0
FCSAP funds internally transferred to another stream (assessment, remediation, program management) (±) -0.1 0 0.1 0
Total available FCSAP funding 16.7 9.5 192.8 219.0

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

Table E.4: Program-level summary of FCSAP expenditures and variance (2020 to 2021) ($ millions)
FCSAP funds Program management ($) Assessment ($) Remediation ($) Total ($)
Total available FCSAP funding 16.7 9.5 192.8 219.0
FCSAP expenditures 16.3 8.1 160.9 185.4
Total variance 0.4 1.4 31.9 33.5
Explanation of variance: - - - -
FCSAP funds reprofiled to a future year 0 0 22.3 22.3
FCSAP funds carried forward to a future year 0.1 0.8 8.4 9.2
Internal cash-management of FCSAP funds to a future year 0 0.2 0.6 0.8
Lapsed FCSAP funds 0.2 0.4 0.6 1.2

Amounts in the table have been rounded to $ millions; numbers may not add due to rounding

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