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Additions 2009/02/23 ADDITIONS TO COUNCIL MONDAY FEBRUARY 23 2009 Corporate Services 1. Additional Report F-2009-08 - 2008 General Purposes Operating Results 2. 2009 General Purposes Discussion 2. 2009 Operating Budget - Budget Reduction 3. Letter from the Niagara Falls Library Board - 2009 Proposed Operating Budget Council 1. Re: R-2009-06 - Plastic Water Bottle Update a) Resolution from US conference of Mayors b) Ontario Municipal Water Association position c) Position and presentation of Nestle Waters Canada d) More water related correspondence I February 23,2009 F-2009-OS ~1.~ C.1A.1DA Councillor Victor Pietrangelo, Chair and Members of the Corporate Services Committee City of Niagara Falls, Ontario Members: Re: F-2009-08 2008 General Purposes Operating Results RECOMMENDATION: 1. To receive the report for information purposes 2. To direct staff to utilize the appropriate reserves to reduce the operating deficiency for the year. BACKGROUND: During 2008, Council implemented a new process for regular financial reporting by the Finance staff on results. This change was intended to complement the existing reporting requirements which include the approval of the annual financial statements, the presentation of the MPMP, the numerous reports on tax receivable balances and disclosures regarding year end reserve balances, year end capital balances and investment portfolio performances. This new process requires Finance staff to report to Council with the quarterly operating results as well as to report bi-annually on capital projects. Staff identified that the year end results would be reported to Council February 23, 2009. As Council is aware, the final results will not be available until audited results are completed and that the numbers provided in this report are subject to amendments. Operating Fund Results Attached is a schedule which shows the comparison of actual results to budget for the General Purposes operating fund for 2008. As stated, since Finance staff continue to work through the year end processes, it is anticipated that minor changes will occur. The final numbers will not be available until the year end audit is completed, however the figures in the schedule do represent the results to date. As we can see from th he~ ule, the Finance staff has projected that t e it will incur Working Together to Serve Our Community Corporete Services Departmen Finance 9~Pi ~ra 1 0 •0 1 , 0 •1 February 23, 2009 - 2- F-2009-08 an operating deficit of approximately $607,000. The Municipal Act precludes the municipality from incurring operating deficits and as a result, Finance staff will be required to utilize available reserves to offset the overage. The schedule highlights the variances from budget and the following describes the major factors contributing to these variances. Revenues Overall revenues were 3.5% higher than budget or $3,290,398 for a total of $96.2 million versus a budget of $92.9 million. Taxation - General and Waste Management The total tax levy was 1.4% greater than budget and the increase was due to supplemental tax billings. As Council will recall, supplemental tax billings are additional taxation revenues generated from properties which are added to the tax roll after the original roll is established for the year. Taxation, from waste management is less that budgeted but reflects the actual cost charged by the Region for waste delivery services. At the time the budget was established, the Regional contract cost was not known, however the taxation rate was adjusted to levy oniy the amount required. Pavment in Lieu of Taxation The revenue generated from payments in lieu was 6.4% greater than budget this yeardue to a mid-year adjustment by MPAC relating to the values of Regional properties. In addition, an adjustment was also made in mid-yearfor a reconciliation ofthe compensatory payment related to Power Dam properties. Both of these adjustments were not known at the time the budget was developed and represent a one time increase in revenue. Grants The amounts received from grants was up significantly at 24.1 % or $790,348. The most significant factor in the increase was the receipt of $650,110 from the Province of Ontario for Ontario Transit Capital Renewal Grant. Other contributing grants received which were greater that expected include Self-Help Office and the Unpaved Surface Roads. Licences/Permits Both areas under performed as fees generated from Clerks was down by $54,589 which was offset in part by higher licence fees generated in Finance. Permit revenue was lower than projected by 4.4%. This was driven by lower building permit fees and was partly offset by higher parking permit fees. User Fees The user fees generated were 9.4% greater than budget during 2008. However, the user fees generated by different divisions impacted the final results differently. The largest contributorto the higher amount were fees generated from Section 37 of the Planning Act totaling charges of $766,000. This amount was not budgeted, and contributed to the positive outcome. Tax registration fees which are a full recovery of all external costs incurred by the City, was greater than budget in 2008. Other responsibility centers February 23,2009 -3- F-2009-OS generating better than expected fees includes Taxation Services, Engineering Administrative Services for subdivision development, Cemetery Burial fees and Coronation Centre. These positive areas were offset by areas that performed less than expected including arena ice rentals and transit fares which were under budget by 21% and 4% respectively. Likewise, planning fees were less than expected due to the length of time to review fees structure. Fines The amount generated from parking fines was 14% less than budget. Investment Income The amount generated from investments was lower than budgeted. The primary external factors impacted this was the decline in interest rates during 2008. In addition, internal factors such as the internal financing of capital projects, and the delay in debenturing completed capital projects contributed to the reduced results. Sales The revenue generated from sales was greater than expected by 14.9%. In this revenue category, the City records land sales, the goods and services sold by the transit garage operation as well as lot sales at the cemetery operation. In 2008, a large sale of land at the Montrose Business Park contributed to the positive result. Better than expected lot sales at the cemetery contributed positively to the result. These items were offset with lower sales from the transit garage due to the loss of a major customer. OtherRevenue The revenue generated from other revenue sources was 14.2% greater than budget in 2008. Major responsibility centres which positively contributed to this result included income generated from engineering fees, the revenues generated in Business Development for cost sharing from third parties for the two casino initiative, the Region's portion of the C.I.P. grants and the revenues generated from fire code violations. These positive revenue streams were partiallyoffset by the reduction in the annual compensation payments from OLGC identified in previous Council discussions. Expenditures The total expenditures for the year were up $3,897,611 or4.2% greater than budget. The areas of higher expenditures than planned include salaries/wages, materials, transfers to capital and to reserves. Salaries and Waqes Salaries and wages were only 1.9% higher than budgeted but resulted in an increase of approximately $675,000. The most significant factor driving this expense variance is the settlement of the new collective agreement with the Fire Association. The final settlement of the agreement, which included retention payment was greater than the amounts budgeted for. In addition, overtime costs for the division were not provided for in the development of the budget. Likewise, during 2008 the payments for staff retirements February 23, 2009 - 4- F-2009-08 during the year were greater than budgeted. On the other hand, savings were achieved in Clerk's, Finance and Information Systems wherein staff positions were budgeted but not filled. Materials Thematerialexpenditurecategorywas6.9%greaterthanplanned. Thetotaloverspending variance was $1,006,000. Some of the main factors driving this variance were the increased payments to WSIB for the presumptive legislation payments of approximately $350,000. Likewise, the downtown events totaled $168,000 for all events which contributed to the increased expenditures. Increased fuel costs in both Transit operations and in the City's own fleet accounted for approximately $700,000 of the increased spending. Increased facility repairs also contributed approximately $250,000 to the expenditure increases. Lastly, increased spending on reserves required for winter maintenance impacted this category by approximately $225,000 for the year. The areas of higher costs were offset by savings in the Clerk's division, wherein savings of approximately $28,000 were identified which offset the reduction in licence fees previously identified. Other responsibility centres providing reductions included Parking Control Services, Traffic Signals, Parks Maintenance and Park Beautification. Transfers to Capital As Council is aware, the operating fund raises resources through taxation and other revenue streams to provide for operating expenditures. In addition, the operating fund generates the resources to provide a portion of the funding for the City's capital works program. The mechanism used to perform this function is through the transfer to capital in the operating fund. The year end results illustrate that the transfers to capital is 15.8% higher than budget. This was caused by the sale of land at the Montrose Business Park, wherein the proceed of sales were transferred to capital as planned in the capital budget. In accounting for this transaction, both the sale and the transfer to capital, were not budgeted for in the operating budget due to the inability to identify the specifics at the time of budget preparation. Thus the variance in this area is attributable to the transaction above. Transfers to Reserves As Council is aware, similar to transfers to capital, the operating fund generates the resources to enhance reserves and reserve funds. During 2008, the City received additional grants from the Province of Ontario for transit funding as well as funding from Section 37 of the Planning Act. The full amounts received were transferred to the appropriate reserve accounts. These transfers were partially offset by a reduction in the transfer to reserves for waste management. SUMMARY This report has been provided to meet the reporting requirements requested by Council and represents the best information to date. Finance staff continue to work towards completion of the year end statements for audit review. As Council is aware, municipalities cannot incur operating deficits in a fiscal year, so Finance staff will utilize the appropriate reserves to offset the variances outlined in the report. The utilization of said reserves will be subject to a further report to Council, once the financial records are closed. february 23, 2009 - 5- F-2009-D8 Recommended b : CN Y Todd Harrison, Direc or of Financial Services Approved by: i~~/Ou'~~ Ken Burden, Executive Director of Corporate Services CITY OF NIAGARA FALLS 2008 ACTUAL TO BUDGET SUMMARY OF REVENUE AND EXPENSE 2008 2008 $ Variance % Variance More or(Less)than ACTUALS BUDGET the 2008 Bud et REVENUES TAXATION CITY GENERAL & URBAN SERVICE 44,984,299 44,343,863 640,436 1.4 TAXATION WASTE MANAGEMENT 6,243,690 6,364,956 -121,266 -1.9 TAXATION OTHER CHARGES 35,408 57,000 -21,592 -37.9 PAYMENT IN LIEU OF TAXATION 10,711,893 10,068,947 642,946 6.4 GRANTS 4,071,848 3,281,500 790,348 24.1 OTHER MUNICIPAL GOVERNMENT 0 0 0 0.0 LICENCES 438,674 468,650 -29,976 -6.4 PERMITS 1,586,772 1,659,940 -73,168 -4.4 RENTS 132,560 129,703 2,857 2.2 SERVICECHARGES 21,285 20,000 1,285 6.4 USER FEES 6,437,241 5,883,976 553,265 9.4 CONCESSIONS 207,899 249,550 -41,651 -167 FINES 628,977 731,130 -102,153 -14.0 PENALTIES AND INTEREST 2,343,279 2,200,000 143,279 6.5 INVESTMENT INCOME 2,022,563 2,434,000 -411,137 -16.9 DONATIONS 41,952 20,500 21,452 104.6 SALES 3,119,048 2,713,500 405,548 14.9 OTHER REVENUE 3,612,471 3,164,510 447,961 14.2 INTERNAL TRANSFERS 3,418,332 3,206,035 212,297 6.6 TRANSFERS FROM RESERVES, RESERVE FUND 6,191,567 5,961,900 229,667 3.9 TOTAL REVENUES 96,250,058 92,959,660 3,290,398 3.5 EXPENSES SALARIES AND WAGES 35,768,511 35,093,544 674,967 1.9 EMPIOYEE BENEFITS 7,948,533 8,069,022 -120,489 -1.5 LONG TERM DEBT INTEREST CHARGES 1,557,107 1,616,007 -58,900 -3.6 LONG TERM DEBT PRINCIPAL PAYMENTS 2,629,441 2,629,439 2 0.0 MATERIALSANDSERVICES 15,584,224 74,578,D68 1,006,156 6.9 CONTRACT SERVICES 10,543,845 10,486,874 56,971 0.5 RENTS AND FINANCIAL 993,629 1,248,557 -254,928 -20.4 TRANSFERS TO BOARDS, AGENCIES, COMMISSI 6,931,258 6,929,435 1,823 0.0 TR,4NSFERS TO CAPITAL 9,417,896 8,135,405 1,282,491 15.8 TRANSFERS TO RESERVES, RESERVE FUNDS 2,466,274 1,407,958 1,058,316 75.2 INTERNAL TRANSFERS 3,016 553 2,765,351 251,202 9.1 TOTAL EXPENSES 96,857,271 92,959,660 3,897,611 42 REVENUES LESS EXPENSES -607,213 0 -607,213 0.0 , ~ • ~ ~~~~~~'~~t'~ Caty of Niagara~~~~~~ £Faflrls 3009 General€: . ~ `a ~Purposes Diseussron s"` ~ Februa 23;2U09 = u.> ~ % ~ , „ ~ j t~r ~ ~Recap~" ~ ~~r< ~ InitialaBud` et'Shortfall f 9, ~ ~ $8 8U0,000; a , ~ ~ ' a ~a~~,,. Reduct~onsmaileUecemberAS 2U08 $57d7,1b4~ Retluct~onama[le Februa -9; 2009 ~ - ~%""`i N. . $,1990;eD9~ ~c > Shortfall Remamin : 9 .r $1 562 027s= 'r~ ~Y _ i ~ y1i . ~ Y`:....~*:~. 3 ~ ^ "'~1i31'^ti`35 S.$7w .S'9€~r.. ~9~ tk Additional Suggested Costs .,s, ~ Anotfier package`sent for, consideraUon a. Guts`amounting`to $592 026 : l~ Xi~±` 1 P._roposed~2009 Builget,~C"~ut , Fleet'Replacemeni ~ E~22006" En'gineering-ANRMAOITCetlifcates;Watermaln ,10,650 Design Course ~ ~ ~ ~ - Engineenng ; Furniture ' 4 ~UO r .Engineenng Ma~gerofC'onstructmnpmre,[etl~ ~]600 ~ 3. - ~Engineefin8 tiTamp Posit~on Consh Servwes 45 90~ _ e Superrisor~* _ Facilitles Transfeitoftes¢rve' ' ~00000, q? Wanning ContractPosi6on 6705U'~;, ~ bthcrGavommQnh, 5000 AccounlingBR¢p,orting _ . 500 ?:'".,t FiieTraining,~ , _ ~ 1@000~ i . ~ik k . . . . . . . _ . . . . . . . . . . . . . . K+ i : .c,°t .~e "Y' `~r~ y. ~ t~ xy~~." P'roposed`2009'ButlgetCu#scon~ _ , ,Pa~kingLOts Enp nses a a 20000j.,~ ~ P.arkinBLOts TransfertoReserves 3100D1;~s. ~ t4-.M ~'S 6emetery fiees ~ ~ 2a oon. ` x a3:,. OfherReareationEStemalTransfeis 26680i'.'. -Peik9 & HecrcaOou Clerk ' ;r 37,200' •,~1 6the~Recreatloii FacilHles ~ 76,0OO~~fl NlagaraFallsTadiism~ 4000D2 ~3 - Conterenees 19 ooa~~ ' ~a " OfhetCUIWIaI3eNices Exlemal3rensfers 946t 3 4+ Total of Ptoposed Butlget Cuts $592 02fi~~ . ~ ~ ~ ~r _s,~ ,~.x a ~..a..~~. ~ ; ~~S a : ~ ~ ~Revised~R~cap ~ ,..u- $h'ortfallat.start of $1,56?,027, p~esentatiori Cess: Reductions . ;(592;026),~,! : Shortfall°Remain'ing $970,00~1~`, Y Z " A rz ' ~ a°";~ d'~~B"~~k;e m.~~~ ~-l„ ~ ' Nezt•Steps, ` OpYions Available to Council: 1 F~rthe~,Reductions in Expenses 2 Tax L`evy Increases ~ • ~ 's 3 Use of Reserves ~ _ ~ t ~ ~ ~~a~~ ; ~ ~ ~u z~~ OpEion 1- Reduetion to Ezpens"~s Qny Furthe~ Reductions~Will t:,'~: • Impact seivice Ieuels to residents :rx I{ ::y,a. • Will ~mpact mfrastructure,re"placement x' ; - „ - . ~=a,`:. ~ g ~ ' t ~ < t~ ye ~ ;.,~xn'~.~~ ~ . ~ ~ ~ ~~'S"j . . . ~ a „,~,Yiaµax~s, Option,2 - Taz'Rat~.lncrease~. ~ $465,D00 generated taz rate ~increaserof~l%~:= , ` 3 ~Other Municipal Tax Rate Incr ses wz ~ , s ~ n~,a ~1'n Munmipalitv . ~.Tax~Rate Increase„ is Port Erie (targe~~; " `6 90 / Kitchener ~ - 388/ "eiantlard ~ ' 340/ ~;~.y WateYloo ,~;~330/ ~ P,ott Colbome (tar`get) , ' : 3~OA/"~ ? London 2 60 5[.~COthannes(proposed) ~c 250/ - - ~ Grims6y (proposed)` ~ S 230/ ' Welland (terget)~'~. ~ ~r ~ " 2 00 / ',e, Cam6ridge~,=~~'' ? 190%`~y-~$ Markham Or00%~.~ s,'4,?~;. i;: °`u4`."'-h~r i,,r.: '~~.~s~'+~- 1- c 7 ` . Option 3 = Reserves T: • -1 time ase of res~erves j ~ , ~ } Y.~~i ~ 't. v~?5}} =i Coirncil"Discussion 4 ~~:ti ~kY~ 4 Proposed 2009 Budget Cuts Fleet Replacement $122,000 Engineering - AVWUA, OIT Certificates, Watermain Design Course $10,650 Engineering - Furniture $4,000 Engineering - Mgr of Construction pro rated $12,600 Engineering - Temp Position, Construction Services Supervisor $45,900 Facilities - Transfer to Reserve $100,000 Planning - Contract Position $67,050 Other Government 11-3-119030 $5,000 Accounting & Reporting 11-3-1333010 $5,000 Fire Training $15,000 Parking Lots - Expenses $20,000 Parking Lots- Transfer to Reserves $31,000 Cemetery Fees $24,000 Other Recreation External Transfers $25,680 Parks & Recreation - Clerk $37,200 Other Recreation Facilities $16,000 Niagara Falls Tourisim $40,000 Conferences $10,000 Other Cultural Services - External transfers $946 Total $592, 026 ~ ~ ~ ~ y r z m o 0 0 0 0 o °o ~ °o_ o°_ o ~ M N ~l1 ~ O I~ O a- O ~ fA N~ V> fA ~N ~N ~ O O O O(O O O O O O O O O O O ~ y ~ O O O~ O O O 1n O O O O O ln N (O O O N~ O ~ O f0 (O O O O O p Q O ~L1 'V CO I~ I~ ~fJ V O ~ O N O ~ N N ~ M 'cF O N ~ ~p C V ~ d O ~ ~ i=~ y E ~ ~ w ~ f+ ~ N ~ N ~ ~ ' _ ~ ~ ~ ~'j: : m ~ - Y.._ ~ ~,i ~ ~ t ~~T ~ ~ ~ ~ ~ ~ S' 0 ~ t.-'. _ _ ~ N ~ - ~ ~ k ~ R a3 m C) _ ~ 8 N 5. ~ ~ E ~ w E ~ F~- C -t c O~ N~ ~ x F y ~ ~ s-. 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Z S~CI~ ~ ~ N c y~".~~a~ ;C; p ~ ~~y~ ~ o ~ c~i ~~c'(~ o.r d Q w~O~A~~d~r N = "a~Q" C ~ 7 N ~ 3 O~d , C O N#~.~~ _ . N ~ N O ` ~p O N ~r ~Li;~ ~'C~' d' O lQ ~ ~ N u. -'G C O d F ~0=1~1 ~~~'Em N y 3 a+ G~ N 01 3 ~ ~ C1 C 3 m ~ °o 0 ~ O R c° a 0 v~~t ~ ~ a '+'r uEi or: ' :ek; ° v~ v ~ ~P = ~ ~ 'p 'o ' 3~~ a ~ ~ Gi d f- N ~ cp : , a' m ~ ~ m . a -o O V' C~ a ~ ~ y ~ . $ ~ ~ c o ~ d m o o= p~ c u c N m ~p N '2 ~o) Z C7 O ~ y.p ~ ~ ~ w m o t.. C, C hF C ~ ~ " N N 'c ~ a w o ~ ~ a ~ ~ ~ E ' Z eo ~ ? v~, ~ d ~ ~ m z a` ~ d z° a~i A ~ O y m LL - ' " niagara falls public library FTNANCE DEPT January 21, 2009 ~ ~ to~cy eight - Members of the Corporate Services Committee JAN ~2 2008 forty eight City of Niagara Palls ~ victoria ACTION avenue Ladies and Gentleinen: - niagara falls On Sept. 29, 2008, the Library Board sent }~ou our ontario L2E 4C5 breakdown of our proposed Operating Budget for 2009 which requested rei.: sosiaes-eoao a municipal operating grant of $3,791,550 - an increase over 2008 of $108,225 Fax:905/356-7004 or 2.94%. Since then, extraardinary economic circumstances aze now being faced by residenYs and by City Council. 2009 will be a challenging year as the Library continues.to serve all residents, especially the disadvantaged and tl~ose who will experience new economic hardships. During uncertain economic times, more people rely more often on the public library. This is outlined in the attached letter to the Ontario government from the Federation of Ontario Public Libxaries. In fact, 2008 set an all-time borrowine record at the Niagara Falls Public Library with 692,884 books, magazines, audio visual and eleetronic materials having been loaned to the public. Millions of library transactions result annually as we provide library service to more than 40,000 active library borrowers and to more than 10,000 people who enter our libraries in a typical week. There is high use of our electronic resources, reference questions answered, interlibrary loans, attendance at affordable library cluldren'§ programs and books and other resources used inside the library. The Library Board will continue to be a responsible municipal partner by cooperating with City Council by exercising fmancial restraint. _ The Board will reduce its 2009 Proposed Operating Budget from $3,791,SSQ to $3,719,825 which is a proposed increase over 2008 of only $36,500 or 0.99% (not a proposed increase of $108,225 or 2.94% as originally requested). Adjustments necessary to reach a 0.99% increase would include: * increasing the Transfer of Funds from Library Reserves; * increasing Library Receipts by increasing some user fees including rental of library meeting rooms and projectors; and anticipating ~ approval by the Region of our application for a tax rebate for charitable organizations based on reaity ta~ces paid as part of our Stamford Branch Rent; niagara falis public library * xeducing utilifies by anticipating that the significant fluctuations iu forty hydro use at Communiry Cen~e Brazich will be st~aUilized; eight welcoming the Dec. 18`" announcement that the ~nUridge Gas rorty Supply Charge will decrease Jan. 1, 2009; aud negotiating lower e~9nt rates from our Internet Service Provider; avenoe * reducing the replacenient of staff who are away on sick/vacation leave; niagara * reducing Hardware & Software as replacement scanners needed to be falls purchased in Nov. 2008 instead of waiting until 2009; postpone o~car~o wireless internet service at Community Centre Branch; less will be L2E 4C5 spenC on website improvemenis; etc. Tel.: 905/356-8080 * reducing Instu~ance by anticipating no claims with a deductible & a Fax:905/356-7004 claims adjustex. * reducing Facilities with no emergency costs budgeted. * reducing Contracted Services as we stopped leasing our photocopiers & will delay resumption of a new lease. * reducing part of Stamford Branch Rent as we were informed on Nov. 25`h that our landlord plans not to adjust the estimates for realty taYes and operating costs for 2009. * reducing Staff Development by attending fewer provincial traiiung workshops and other initiatives. * reducing Other Materials. City Cowicil has always treated the Library fairly and values the service provided to our residents. We anricipate Yhat this will continue. The Library Board will continue to be a responsible municipal partner during this challenging year. Respectfully submitted, , r f~~ . , (~'~...•~u. Cazman Dix, Chair Niagara Falls Public Library Board • ~ - r~~ I~ ~ I NIAGARA FALLS PUBLIC LIBRr1RY BOA12D 2009 PROPOSED OP~RATING SUDGET 2009 2009 PROPOS~D PROPOS~D Budget REVISIONS Approved by Approved by Library Board Librar,y Board Sept. 17/08 Jan. 21/09 REVENU~: City grant: operating 3,791,550 +$108,225 + 2,94% 3,719,825 +36,500 +0.99% City grant: debentures 121,589 121,589 Provincial grants 130,300 130;300 Federal grants 2,500 2,540 Library Receipts 121,700 129,775 Donations 12,000 12,000 Transfer from Reserves 46,250 56,400 Surplus from previous year 0 0 4,225,889 4,172,389 EXPENDTTUItES: Labour 2,439,800 2,434,300 Benefits 495,900 494,700 StaffDevelopment 10,800 9,600 Books & Other Resources 346,700 346,700 Information Software 61,000 60,500 Information Hardware 10,300 4,500 Facilities: Materials 125,500 120,500 Hydro, Gas, Water, Telecomm. 201,400 183,400 Rent 79,000 76,000 Contracted Services 70,90~ 67,100 Insurance 53,000 47,500 Other Materials I50,000 146,000 Transfer to Reserves 10,000 10,000 Transfer to Capital 50,000 50,000 Debt Charges 121,589 121,589 4,225,889 4,172,3 89 `a hed~r~#iqn a~ ~ ~ ~~.x'a ~'~`~~g'~~~pp~+~ :w~~~~.~ ~~~~zS~~+ - Li~`~~~~~~ Octaber 29, 20D~ ~ I~Ionourable.Ail~~n Carro{~~ I~linister oi`Cuiture and hrlinister Responsible fi~r ~enicirs ~ 900~33~y ~tceet, ~f~=Floor, ~t~oc~~at f316ck _ T~ronto°~0~! M7A-IL2~~ ~ ~ Hqnourab~e Dwigitt Dancan Minisier. bf I~inance : . 7 Q~eeti's ParT~ Gre,s, 7th T~i~•, ~rost B(dg Sc~u~li ~ ~ Taronto~=ON Nl7~ I i''7~ - Dear I~inisCers Cairoll and Ilanaarts - , W~ at the,Pedcratic~n of Ontaeio I'ubiic L,ibra~ies acknowledge dae Ltt~ceriaiii econnmie ~ tir~tes iri~.iwlfich a11=~Ont~rians~,~nd th~rias~lves.foday. ~Ve rcad~vwith in,terest fh~ pro~°incia~~ econoux~c statement la~t u=eekand recognize the need for res~aint vlili~n it conz~s fg ~n~eri~im~rxt ~p~~m~; fli~~in~ tl~i~tp~riod; t~ur tngzTtb~rs are.heartened by your.gouamrrien4;'s cbmhiitita~~t to uzntinue i~vestments,;: «p~~ritt~ prt~g~ar~is,af~d services whi~e i1 ~alces steps to prcrmote e~o~omii~ grpwtliarici : ,~ctb cxe~tion. Tr~today's.etrn(ext, tlie role fotpublic.libe~rc~s3r~s became mare,r~Jevant ikt~t~ ev~r ,[n this ~,e~er, we p~:s~ni~jush~~t~ora For sa#`e~uarding guv~mment fundin~ ta , Oxitai~Io's publie itlirari~s eu~n in a p~rlnd cif~ina~ei~i restr~~t: It is ~titi,cally tmpartanY ~;av~rnm~t k~e avy~aLe`th~t ~8 uti~z~tt~b~i of=gubt~c libira~~es est~t~te~ ia ~nc~rtax~q ~at~u[Nic tui~es ~"l~er~ is si~it~~~n# ~vi~l~nc~ ~~i 8~~ibi~sfr~te . th~"t ~5~~5~.~s X3bk~'i~s e~cperience ttn incf~ase a~' u~e Q~up°to.~Q9io ~tt~i?~ xi~ ~ongri~c dot~~t~rr~. T~~tiple ic~ow ti~t:rio s~ti~r wh~t rs l~appez~ing 1~ ttte e~tlriomy, th~y cair ~et ~~e ~t~vrxnatip~, senfioes antl ~s~i~tane~ t3sey s~~ei~~~mn t~ieir ~ir,~ii~.lSb~i~y. A.s the ~SUblxc's buy~in~; ~SOwer shruiks, mc~re~eo~ie s~e}c emp~~iyr~e~t> comp}~te t~eir. eduC~t~t~ri ar u~g"r`ar~e Yh~zr.skill`s° ~'h~s~ peop~e rafy,he~~ly~~n'~ea1`rpubltc Itbran~s ~or . " vi~l 'uif'ci'rr~iaticsn bn jab o~iporGUnatt~s, ea~eer,pla~n~n~ tyn~ trafii~n~, a~~i srn~ll ~~sfft~ss " mah~~ett~gnt, arid ~n sgr.>i~e~ like ji'tcr~y-pi~ca%gr~ais, c;ompiit~r s~a'1~s`develdpttie~t ~td, su~Qirt's;~~r na~vcoiners.€u}~I°~tudet~is.`:1n res~#ons~ to. [~~uer`t3ou~eti6ld inr,~me~; iNae~i-. st~}~et!`~'am~~ie~-and in~i~idu~l~ wil~ a~eess t1~e ptibiic ~ibraty'~:~~t~nsiv~ ool~l~~fidn of btsc~l~~a rl~t~bas€s; I7VD5s, r~ag~zines:aii~ ~~~,vs~s~ipere; iatl~r th~~ l~iiying ~nt1 tcnfttig t1~~~~ s~a~i~~ inet~riaf"s. , i - - Fede~ation~a~bnteriuE~ul3I~cl,il~~ar~s ~ .~ta:%lrvrl.YneLTn::~:~1 i ~hr~~~~~ t ct~~i~v.~...e CtvnnrY:.rnwtn "(1f.t Att7N~K~10~! T A1fi Z(i4-Cfi~A / G diF~.3Qi f13H2 7 F- fnitl~fffi€tl[a 1 WbVW fii5t~ rA Camputer vsage ie Che area ~uhese increasod dor~tand 1e mo~t dramatia $ecauss a ~ ~ ~ gigni~jcun£uumbes of (7nqxians do flot 5ave access to co~nput~CS ai ttom~, ~ottg waiting i lis~ for ~fl,hou;se cnmpu;ers a[ Ontacio publie libraries ue a daily occuirertce, rtrblic h'b,razies prtsvidaacoess to a TuII reizge of ]mensed eleetcon'sc tesouroes ancl faaiGtate the gpvernmenPs go~l ~f closing fbe persistenf digiYa'I divide amongst Onfariar~s. Diiven by layol'fs aad eroding tetinoment sa~v~ings, niauy individuals are returnix~gto~ Ihe - . ~ _ _ w,o[kf'orce and are caming, fo public li~bi~~ies foi eareer hQlp. ~ften t~ey need ]iel}) ~sith _ ' th~ix cotnputex, sleills because a lot ofjab seaichit~g Ebese days t~1~es plac~ onli~e. Risieg - -numbeesp~em}sloy~saze demandin~ onlmejob appl3eaYioias. Many pah•ons a[e tuming - To public Yibc~sry computens toprepate resmnes 2~d eover letters, find wark, appl~ for johs ariline and open email accounis. Ofl~ers enrolf in pubtic library ]iteracy progcams to htiri(d tkeir rCading, tvrSting aud nutneracy skills as a meatis to imgtoving~their emp~oy~aent - - pxas~ieeCS,. .Pubtic libraries provii3e M~h interest/low vocabuluty resources, manuals far htY4T5, atid spaCe f0r tutdruig. ~ Accordui~; to Q~eeent xaport by Statistus,Gr~aada, "Jmmiyt~nts aremQre scros#fi.ve tyi m . urn~ro aor~tions ~itan are ~atisdian-bot~,, anfi t~efr o~itcazaes dBter~trrdte disp'ro~areionateTy during recessians such as in the early 4Qs." Burjngthese perinds ~ i~tGxeasing nalnbers af nzwcqmeis turn~, to pu'btic t7`6raties fo gain peoficieney tn Ettglisli ~ tLrvugh ~SL trallectians andprob~rams. }'ublic libraries also ~arovide access to C'anae3ian~ ~ - . aceredi[afian iuf~rmalion a~'d aYher jpb-celared materi~ls, and proinote valunte~r .a,p.PaTtt}ngiies•f,a tselp newcomers gai~ Canadian ~pe~ience and hreaicdcswn bacriexs Yo empToymcat. . ' ; , ~ ~ l'ublic IFbrary nfrlization is a3so 6eing diiven by powving needs of anyaII tzusinesses acld ~enfrepcexieuYS. With #noeeasing freq,uee~cp, Fhes~ ~sers aze mUS~essing the pu4i11~ - - - Iil~ml~3''3 ~Xtqn~ee refersnc~?itaterials a~d:onltpe ciakabasesto ana,Pyze marl~eT h=~ds mrd. ~ ~ in~gStrn~nt opporlunilies. Thesevsers yee thg se~menc o~ the bt~siness eornn~iuiiiq Yhat witl lead O~rai'io's economic ieeovciY, sb prGSViding fTie necassary s.upPAets za Eisem is cr2tlcal. . i The p~il[c fi~xaey servea ss a cornets3ane to a v4ta1€amnumiLy. In tougb times citizen4 vflen ~ei isa}atc~; faee xadoal et~aug~s ia }if~styl~ an~: ~~ed ~e suP.port ofodi~s. flubtic lil3a~ri~s 1ep~€sent ce,mmon gathering ~laces ~aeE peapTa. ~~tn f~si eo~i~lly Eobziea~ed, Cmvc~smgm'a eo?itinued suppoM of pubfic li6e~uies is groof of its cosusnitm~t ta v~tal ~ ceat~m~afiCie3. : . - . . - . . . . ~ - . . . ~ . . - . . Assl~~xati~ngFzp~ets,afOnta~a'sp~bt"tc}ibrariesiieesarne#igla#er,a~rmemlers~re - v,el;! concemed atimrttheia aTri]ity to accoaimodate gra~~beis;of pahrons, .DW~ug 'the~e l~tc~rta~n~¢~nom3c t3tn~s; ~tis ~pnrtant to sixs4~%tt~4u~ie Y~rar~ serv~aes ~a thgt ~ Otiftiiiatts bave a giac~ to,go Ior th~ u~foT~atinn and suppmt t6ey necd. Repre5eu3atives af tha Federation wdcame ~he opporhrniRy to attend tke b~dg~tary a . ~~!~?I13atian sessian in London on Octezber 30, Ztl~8 zv pro~ide input on tiow . goi!eYnhYGat'~ sh'a[~g~ies for cestmint ¢an Ge Eat~etGd nRproPriately. And Minister Carrolt, tve louk fonvazd to our meehttg yvith you on Novem6er 3, 2008 whexe the contents tiEtl~is leftar rah be ~isoussed in mace dep~. Yotas uu}y, A~a~ia ApnTkoni Ckaair; $oazd gfDueCtots .4YYtf~it'fi1s 3'!ie ~1~1#datl of Ontazio public Lib~tries is a no4-larproft member otgani~ntiaa ibaC pcnt~des a singta, s~rk~tg vmce €9r puhlfo libt~ies i~ Qnt~no to enhance 11b;zrp po}3sYes an~ pra~tan~s'Eheough FouT s4~ategie pi`lllarrs: atlvocaay, marks~t~t~, r~saazch and eanssrda ~+~~asi+1S. 'i'he Fedet~iion's Boazd o-fDiteceots 3noS~dea boEh t~}ic Jcbrary trustees ~?d ~ ~?~efv~ecuCives. ' • ; i . I ' ; _ - _ '(2/20/2009j Dean lortida US conference of Mayors resolution FYI _ - _ - - - _ - _ Page1~ From: Denyse Morrissey To: Dean Iorfida Date: 2/z0/2009 10:55 AM Subject: US conference of Mayors resolution FYI CC: Ed Dujlovic The U.S. Conference of Mayors 76th Annual Meetin9 lune 20-29, 200H Miami 2008 ADOPTED RESOLUTIONS SUPPORTING MUNICIPpL WATER SYSTEMS WHEREAS, the United States' municipal water systems are among the fnest in the world; and WHEREAS, high quality, safe drinking water is already available at most public locations; and WHEREAS, mayors are responsible for delivering safe and affordable water to our citizens; and WHEREAS, bottled water is regulated by the FDA and municipal tap water is regulated by the EPA and has more stringent requirements for testing; and WHEREAS, local govemments invest approximately $82 billion a year to provide water and sewer services; and WHEREAS, bottled water often costs more than an equivalent volume of gasoline, equivalent to 1,000 to 10,000 times more than tap water; and WHEREAS, up to 40°/a of bottled water on the market comes from municipal water systems and the bottled water industry generated$15 billion in revenues in 2006 from U.S. consumers; and WHEREAS, bottled water often havels many miles from the source, resulting in the burning of massive amounts of fossil fuels, releasing C02 and other polWtion into the atmosphere; and WHEREAS, plastic water bottles are one of [he fastest growing sources of municipal waste; and • WHEREAS, in the U.S. the production of plastic bottles for bottled water currently requires the energy equivalent of more than 17 million barrels of oil per year - enough to generate fuel for over a million cars for a year - and generates more than 2.5 mil~ion tons of carbon dioxide; and - WHEREAS, the National City Water Taste Test, which recognizes all of the great work municipal water systems do for its residents on a daily basis, year after year; and WHEREAS, The US Conference of Mayors, per Resolution #90 adopted in June 2007, has compi~ed much information regarding the importance of municipal water and the impact of hottied water on municipal waste; and WHEREAS, the evidence suggestr that 6anning bottled water from government use highlights the importance of municipa~ water and decreases the impacf of bottled water on municipal waste; and WHEREAS, The Conference of Mayors recognizes the importance of bottled water in times of emergency and times when municipal water is unavailable, NOW, THEREFORE, BE IT RESOLVED, that The US Conference of Mayors encourages cities to phase out, where feasible, ~ government use of bottled water and promote the importance of municipal water. Return to 2008 Adopted Resolutions page. ( http://www usmayors org/Resolutions/76th conference/default as~ ) ((2/20/2009)'Dean lorfida Fwd OMWA position ~ ~ Page 1~- From: Denyse Morrissey To: Ed Dujlovic Date: 2/19/2009 3:39 PM Subject: Fwd:OMWA position CC: Dean Iorfida FYI Ontario Municipal Water Association salutes City of London's ban on sale of bottled waterNews as of Wednesday, 20 Aug 2008 09:13:120ntario's water providers salute City of London's ban on sale of bottled water Sudbury, Ontario, August 2Q 2008 - Today, Nick 0enkovich, President of the Ontario Municipal Water Association, mngratulated London City Council for its ban on the sale of bottled water. "The City of London's actions remind us once again- only municipal tap water delivers," said Nick Benkovich, "At about one thousand times the cost of municipal water, bott~ed water is simply not good value for money". Mr. Benkovich was responding to a London City Council resolution passed on Monday that effedively banned the sale of bottled water within municipal buiidings and facilities where munitipal water is readily available. In passing their resolution, London City Council cited the importance of promoting city tap water as safe and a bargain compared to bottled water. London joins a host of other Ontario municipalities that have either limited the use, or are considering limiting the use of bottled water on municipal premises or in schools, including Cambridge, Kitchener, Ottawa, Sault Ste Marle, St Catharines, Sudbury, Toronto, the Town of the 81ue Mountains, and Waterloo. Concern over the sale and use of bottled water is growing internationally given its cost, the poor recycling rate for single use plastic botties, and the greenhouse gas emissions assotiated with manufacturing the bottles and transporting them long distances. "The Ontario Municipal Water Association is proud of the safety of the product that our municipalities produce and deliver evety day to Ontarians," said Nick Benkovich, "MUniclpal drinking water has to meet a much higher safety standard than 6ottled water, and is delivered at a fraction of the cost." OMWA is the voice of Ontario's public water supply authorities. For more information on OMWA, please visit our website at www.omwa orq. -30- Media Contact: Doug Parker Executive Director, OMWA Cell: (613) 847-0590 Nick Benkovich ~ President, OMWA Cell: (705) 690-5227 This media release can be found at itr original location: csrwire.ca/read.php?ID=1268 _ - _ - - (2/20/2009) Dean lorfida Fwd RE Niagara Falls City Council - -a - Page ~ J From: Dean lorfida Subject: Fwd: RE: Niagara Falls City Council "Challinor,John,GUELPH,Corporate Affairs" <John.Challinor(cilwaters nestle com> 2/19/2009 12:36 PM Thanks, Dean. Dean, please accept this email as my request to appear before Niagara Falls Council on Monday February 23, 2009, to discuss the staff report on bottied water. It would also be appreciated if you would let me know how many minutes I am permitted to speak. Thanks! JC John B. Challinor II APR Director of Corporate Affairs >Nestl~ Waters Canada 101 Brock Road South Guelph, Ontario N1H 6H9 - (212p/2009) Dean lorfida - JCSALCILETTER230209 doc ' = - ° - Page 1~ - ~ I - ~ i\ , / NESTLE WATERS CANADA ` 101 Brock Roatl South, Guelph, Onlario NiH 6H9 TEL 519~]6J-9462 FA%5t9-'763-9756 February 23, 2009 Mr. Ted Salci, Maya & Members of Council The City of Niagara Falls 4310 Queen Sueet Post Off'ice Box 1023 Niagara Falls, Ontario L2F 6X5 Dear Mayor and Members of Council; The purpose of my writing is to conecY information that appears in the Community Services Departmeni Repar[ R-2009-06 Plastic Water Bottle Update of February 23, 2009, and may 6e repeated again this evening by staff as well as by various individuals and organizations who appear before you opposed to the sale of bottled water in vending machines at City of Niagara Falls facilities. I chose to write tliis IetYer to you rafher t11an address tliese matters during my fornial remarks this evening because my allocated presentation time will not affoid me fhe time required to adequately address this misinformation. My specific comments about ce~tain statements in the repoit are as follows: `Bottled water iu Canada is treated as food and is regulated under the Food and Drug Act and iYa regulations. As such, water bottling plants are inspected on average only once every three years." This is incorrect. Bottled water is held to the same scrutiny as tap water. By law, Flealth Canada regulations for bottled waYer must be as strong and protecfive of public healtl~ as Ontario Ministry of Environment regulations for tap water. Bottled water is regulated as a packaged food product by Health Canada through the Food and Drug Act. W ith respect to regulation, tl~e Regiona] ~ Municipality of Waterloo, for example, reported on September 9, 2008, that it did 10,000 tests on its water supply in 20D7. Nest18 Waters Canada performs more than 1,700 tests on its water supply daily at its Aberfoyle plant or more in one week than Waterloo Region does in one year. A copy of our testing activiYies is available upon request. Testing is also conducted via surprise inspections by the Ca~iadian Food Inspection Agency, Health Canada, the Canadian Bottled Water Association and NSF. Nestle Waters Canada takes a multi-barrier approach to water safety. The Company subjects its finished products and source water to microbiological analysis every day that exceeds the microbiological requirements outlined in the Safe Water Drinking Act, which governs both `(2120/200A) Dean lorfida _JCSALCILETTER230209 doc ~ - _ ~ - _ - ~ - - Page 2_~ municipal tap ~~ater and bottled ~vater. ~ r _2_ ~ Tl~e Compauy is required to test for 160 compounds in botl~ soiu~ce and f nished product for coliform, E-coli (daily), colifonn, E-coli (weekl}~), chemicals (quarterly) and metals, chemicals aud ~ ~minerals (annually). Water samples are also sent to a third part~~ independent lab for analysis every week. Basic chemical and physical analysis of boCtled water is completed daily. Annually, ~~~e conduct a full spectrum analysis on each water source for prunary inorganics, seconda~y inorganics, radiologicals, volatile organic compounds, organics, disinfection byproducu, pesticides, herbicides, physical coutaminants as well as several other potential cliemica] contaminants. In addition to [he tests identified above, there are many on-line quality checks perfomied by our operators on an hourly basis to eusure the chemical, microbiological and physical safety of the finished goods produced aS o~u plants. Our testing levels meeY or exceed all requiremeuts of Hea1Yh Canada and otl~er governing bodies. The annual monitoring reports are conditions of our permits and are submitted to the province and other public agencies. As such, tlzey Uecome public documents upon receipt. "According to recent Member Communication provided by AMO, Municipal councils across Canada, including 13 Ontario municipaliHes, have taken actiou in reeenf months to IimiY Hie use of bottled water in municipa~ities, where appropriate, and to support the use of municipal tap water by residents and visitors." This is incorrect. Thirty-two municipalities and school boards across Canada have fonnally rejected calls for bans on bottled water, whilejust 14 local governments, including eight from Ontario, have approved same, to date. Another 19 local jurisdictions are currenYly reviewing their opTions, including the City of Niagara Falls. But, rather than focus on bottled water, severa] thousand ]oca] governmenfs have quite rightly determined that repairing aging water and sewer infrastructure, improving on the delivery of basic municipal services and keeping property tares low are more important priorities and most Canadians agree. In a survey conducted last Fall by Leger MarkeYing, a majority of Canadian taxpayers said they are opposed to bans on bottled water. "Canada's Parliament is currently consideriug a ban on plastic water bottles at the Parliament Buildings." This is incorrect. "Currently, 41% of recycling collection and net processing costs are paid for by industry stewards; the remainder is paid by Niagara residents." This is incoirect. By law, according to the requirements of the Ontario Waste Diversion Act, industry stewards like Nestle Waters Canada and its industry partners are required to pay 50 percent of the cost of Ontario's blue box recycling program, which they do. "However, there are between 100 and 125 million bottled water consumed in Toronto, which results as many as 50% end up iu a landfill and not recycled." This is incorrect. According to Stewardship Ontazio, a 2005 waste audit of single-family homes in Toronto found an 87.8 percent recycling rate for PET beverage containers. i(2/20/2009) Dean lorfida JCSALCILETTER230209'.doc y _ _ - - _ _ . - Page 3! -3- `Buried plasfic watcr bottles can take up to ],000 years to degrade." This is incorrect urbau mythology commonly found on the Internet. "According to the Earth Policy Institute, manufacturiug fhe 29 million plastic boYtles used for tvater in the United States each year requires tlie equivalent of more Chan 17 million barrels of crude oiL Imagine filling a Hiird of the plastic bottle with oil and you'll get an idea of how much that is." This is incorrect infonnation. The Eartli Policy lnst~itute is a U.S.-based envuomnental activist organization tliat does not fund independent, third-party research into flie bottled water indusby. Tliis information has been repeated by nwnerous environntental activists on their web siCes, including the Council of Canadians, the Pacific ]nstitute, the Polaris Institute and tl~e Suzuki Fomida6on. The research to back up this statement does not exist. "According to Environment Cauada, 20% of municipalities have faced water shm•tages in recent years. The myth that Canada has an abundance of rv~ater to share is losi~~g its strength." Taken within the context of this report, tl~is comment implies that the bottle water industry is responsible for rece~~t water shortages faced by some municipalities. This is inco~rect. Commercial bottled water production in Ontario accounts for less than 0.0014 percent of all ~vater used by other ' pennitted users including commercial, agricultural, industrial and recreational iuterests. Put anotlter way, the bottled water industry uses as much water as ten golf courses in Onfario - a province where there ue more than 740 golf courses. The Canadian bottled water indushy uses just .02 percent of permitted water in Canada compared to thermal power generation (64 percent), manufacturing (]4 percent), municipali6es (12 pereent), agriculture (9 percent) and mining (1 percent). Tlie bottled water industp~ is a neY impoRer of water iuto the Great Lakes region. According to a 1999 International Joint Commission (IJC) report on bottled water, for every 1 litre of bottled water exported out of the region, there were 9 litres itnported into the Great Lakes region. An update from the Ontario Ministry of NaYUral Resources states thaY iu 2005, for every 1 litre expot~ted, 14 litres were imported. About 14 percent (54,928,172,480 ]itres) of the City of Torouto's supply of fresh water is lost annually because of leaky water and sewer infrastructure - or about 30 times what the entire bottled water industry in Canada uses in a year. "Plastic water bottle compauies water to producYion rattos are roughly 3 to 1; for every 3 litres of freshwater that the plastic water bottle industry takes from tLe earfh, only 1 litre of plastic water bottle is actually produeed." This is incorrect. According to Environment Canada, it takes 1.5 litres of water to produce one litre of bottled water. By comparison, it takes 3 litres of water to produce one litre of soft drinks; it takes 28 litres of water to produce one slice of brown bread; it takes 42 litres of water to produce one lihe of beer; it takes 53 litres of water to grow and market an orange; and it takes 183 litres of water to produce one 8-ource glass of milk. Water is a fundamental requirement for the processing, - - - _ - "(2120I2009) ~ean lortida JCSALCILE7TER230209 doc ~ - ~ - - _ Page4_~ manufacture and distribution of alI £ood cousumed b}~ human beings. -4- ~ "According to the United Nations, by 2025, over hvo-thirds of our H~orld's populaYion will not liave enough water to susEain the basics of life." This is incorrect information, in that it has taken tlze United Narions' statement out of conteat. `Becommendation: Indoor facilities and sport parks Review• access to public drinlcing ~vater including fountains. Budget and install new fountains." The installaYion of public drinking fowifains wil] require capital Punds for Cheir installation, additional capital funds to repair/replace them when tliey are vandalized and operating funds to monitor them and cleau tl~em daily in accordance with Public Healtl~ Unit requirements. Public ~ Healtl~ Units in Kingston, London and Toronto have rejected the notion of banning the sale ot bottled water in municipal facilifies and replacing t1~aT source of waYer with public drinking fountains because of its concerns about maintaining them in a sanitaiy fashion. According to a November 2005 research study by NSF International, an independent World Health Organization collaborating centre for food aod water safety and indoor environment, there are more germs found on a public drinking founYain spigot than a Yoilet seat. Our industry has no objection to the installation of pu6lic drinking fountains, as long as they are maintained in a sanitary manner. Mayor Salci and mem6ers of Council, our Company and our industry have nothing but the greatest respect for the democratic system and the right of individua(s to express their opinions in a public forum such as a Committee or Counci] meeting of the City of Niagara Falls. Howevet, the Council is a quasi judicial entiYy and, as such, all stateinents made by individuals and organizations appearing 6efore it should be based on fact. Our Company refuses to make statements that cannot be verified at source or through independenY, third-puty research. Statements made quoting research about our business fi•om such environmenYal lobbyists as the Council of Canadians, the Polaris Institute ar the Suzuki Foundation are False statements, as these organizations do not perform scientific-based, peer-reviewed studies of water, the bottled water industry or hydrogeology. The Suzuki Foundation, the Council of Canadians and Polaris Institute typically quote information found on the Internet or attributed to the Earth Policy Institute or the Pacific Institute, American environmental lobby groups that have no record of funding independent, third-party research on these matters. W e respectfully request that those opposed to bottled water no lon~er be given the intellectual free pass they have been afforded of late by some in the media and some in local government. As civic ]eaders, we ask that you demand the same level of intellectual rigour from them that you expect of us. Should you have any questions, comments or concerns, please do not hesitate to contact me at your earliest convenience. ,(2I20/2009) Dean lorfida JCSALCILETTER230209.doc ~ ` _ - _ - Page 51 Sincere(y, John B. Challinor II APR Director of Corporate Affaiis ~ {2/20/2009)~Dean lorfida NN%CMYTHSANfSFACTS - FINAL (Jan 27 2009).doc - -~Page 1 ~ I MYTHS AND FACTS ABOUT BOTTLED WATER DZyth Number One: Bottled Water is a recent markeHn~r phenomenou Facts: • The water bori~ling and distribution business is one of the oldest for~ns of commerce in the world. • The origins of bottled water can be traced back to ] 0,000 B.C., ~vhere early ma~~ was transporting aud supplying water fi om natural sources in primitive vessels and skins to their dwellings. • Canadians have been purchasing spring water in bott(es made of glass, plastic and other materials for more than 125 yea~~s (Moutclair). Myth Number Two: The bottled water industry doesn't care about recycling Facts: • PET plastic water bottles are 100 % recyclable. Bisphenol A is not an ingredient used in making P~T plastic. • Per household, Canadians discard about 500 pounds of newsprint per year, but only 20 pounds of plastic bottles.' • Studies show that recycling plastic bottles into new products saves 50% to 60% of the energy that would be required to make the same product from raw materials.~ • Plastic waSer bottles are the third most recycled product in Canada, behind newspapers and aluminum. They a~e also the third most valuable item iu a recycling program and, wlien recycled, can be used to make playground equipment, automobile parts, carpeting, fleece clothing, sleeping bags, shoes, luggage, other plasYic containers, etc.' • Plastic wafer bottles account for about 40 % of all plastic beverage containers used in Canada, behind soft driiilc containers.° • According to Stewardship Ontario, beverage containers account for 0.5% of the tota] waste streun in Ontario and empty waYer bottles for only 0.2%. If the industry disappeared tomorrow, there would be no appreciable diPference in the volume of refuse in the waste stream. • Almost all Canadians who drink bottled water say [hey recycle the bottles. In a 2008 report by Leger Marketing, 96% of Canadiav bottled water drinkers said they recycle their plastic water bottles. • 97% of Cauadians have access to a municipal recycling program and 90% of these programs offer plastics recycling.s All of these progran~s are partially funded by NestlB Waters Canada and its industry partners.b ' Tlie Scnefits of Plastic Bottles, Emironment and Plastics Industry Council. http://www.cpia.ca/files/files/files Be~efits_ofj~lestie_Bottles.pdf. ~ The Benefits of Plastic Bottles, Enviro~unent and Plastics Industry Cou~cil. http;//www,cpia.ca/files/fi~eslfiles Benefifs_of~lastic_Bottfes,pdf. ' Stewardship Ontario, 2007. ° A.C. Nielson, November 2005. ' Statistics Canada, Househofds and the Environment Survey, 2006. ) - !(2I20/2009 Dean lorfida - NWCMYTHSANDFACTS - FINAL (Jan 27 2009).doc - " page 2'~ • The recovery rate for plastic averages 60%, but va~ies beYween 55 avd 80°/o uationa(ly; depending on tl~e efficiency of a given municipal recycling program.' • Nesfle Waters Canada and its indushy partners recently entered into a$7.2 million, tl~ree-yeu~ agreement with the Government of Quebec and municipalides across that province fo coltect and recycle plastic beverage conCainers and other ~ recyclable maYerials in public spaces. The Compan}~ and the industry plan to roll out similar programs across Canada. ~ Myth Number Three: The bottled water industry doesn't care aboid Che ~ environment _ Facts: • By reducing the size of its packaging over the last ten years by 40%, Nestl~ Waters Canada has reduced the amount of energy it uses by 30% aud the amouut ofgreenhouse gas emissions it produces by 22%. • Nestle Waters Canada's 12.5-gram Gco-Shape PET-based bottle will save 65 million pounds of resin in 2008 across the Nestle world, reducing its current bottle's liCecycle C02 emissions by 8% over the previous bottle and by more than 30 % over a typical sofr drink bottle. The Company manufactures its own bottles at each of iYs bottling facilities, saving the energy required to ship truckloads of empty bottles into its plants. • Nestle Waters Canada has reduced conugate use by 88,000 tons over the last five years, which is equivalent to saving 528,000 trees. Another 15% reduction is planned for 2009. • On a global scale, Nestlc Waters S.A, uses just 0.03% of worldwide oiI production (or just tluee hours worth of extraction) to meeY its annual requirements for plastic bottle manufacturing. • Nestl~ Waters recently mapped its carbon footprint and determined that the bottle represents 55% of its greenhouse gas emissions. Nestle Waters Canada's total carbon footprint is equivalent to less than 10,000 homes. Myth Number Four: The bottled water industry doesn't care about the health of Canadians Facts: • Drinking water is a key and recommended component of a healthy lifestyle, according to I3ealth Canada, complemented by proper food consumption and regular exercise. According to the Dietitians of Canada, the htunan body needs 8- 12 cups of liquids a day Yo stay well hydrated.e • Bottled water plays a key role for health and wel(ness in today's on-the-go society, 6 Stewardship Ontario, http://wwwstewardshipontario.ca/bluebo~index.htrn. ' Encorp Pacifiq October 2008. e Dietitians of Canada, Beat the Heat with Lots of Fluids, August 11, 2006. ~ - ±(2/20/2009'Dean lorfida NWCMYTHSANDFACTS FINAL (Jan 27 2009) doc - - Page .3 p~rticularly in an environment where 30% of tliose born afrer the year 2000 are obese, susceptible to diabetes and at risk of beiug the fi~st generation not to outlive their parents. This situation has become a health crisis, in the recenfly- ~ stated view of Healtl~ Canada and the Ontario Ministq~ of Health and Long-Term Care. • Bott(ed water is a safe, portable and conveiiient bever~~ge and a healthy alTeruative to soft drinks and other sugar-based, higircalorie products also found in plastic containers. • More flian 60% of Canadinns dri~~k bottled water every day - and 75% of thero consume it because it is a poiiable, accessible a~~d healthy choice.' According to a May 2008 study by independent Cvl~dian research firm Probe Research Inc., about 70°/n of Canadians said if bottled water wasv't available, tliey'd consume Iess healtliy alternatives. Similar researcl~ conducted in July 2007 amongst US consumers by Penn, Schoen & Berland Associates pegged the number at 51 • On average, Canadians consume 5. ] glasses ol' water daily. • Cunenfly, 63% of Canadians say that they are trying to inerease their water consumption as part oFa healthy lifestyle.10 Myth Number Five: The bottled water industry is anti-tap Facts: • Bo[tled water cannot replace tap water. Bveryone deserves access to a safc, reliable and affordable supply of driuking water. We see our competition as other bottled beverages, not tap water. • Maintainiag Canada's municipal water and sewer infrashucture is vitally impartant for all consumers, including Nestl€ Waters Canada. As users of Canada's municipal water and sewer system (except to source its water), Nestle Waters Canada and its employees support increased investment in this vital infiastructure by all levels of government so that each aiid every Canadian citizen has access to a safe and secure supply of tap water. • Nestle Waters Canada is not interested in engaging in a bottled water-versus-tap- water argument In Nestle Waters Canada's view, drinking bottled water or tap water is not an either-or choice - and 70 % of Canadians agree. They drink both." • Canadians do not spend money on bottled water at the expense of tap water. In fact, research conducted in October 2006 amongst Canadian consumers by A.C. Nielsen indicated that 95% of the movement [o bottled water is due to a shifr from other beverages, mosf notably soft drinks, tea and milk. • About 64 % of Canadians drink bottled water out-of-home.'Z "Away-from-home" generation accounts for about 63% of all PET beverage containers.° ' ludependent survey conducted in May 2008 by Probe Research Ine. ~0 ACNielsen PanelTrack Health & Weliness Survey 200G. " A Clearer Perspective, Probe Research Inc, June 2008. " Probe Research, June 2008. ° An Overview of Plastic 6ottle Recycling in Canada. htlp:/hv«nv.cpia. ca/files/files/files~lutic_bott(e_recovery.pdC. ~(2/20/2009) Dean lorfida_ NWCMYTHSANDFACTS - FINAL (Jan 27 2009) doc _ ' Page 4~ _ _ _ • Bottled water is simply not tap water in a bottle. Nestl~ Waters C2nada uses underground sources on private property. ]ts competitors who use municipal water sowces furtlier process that water - and fhe finislied product is completely different than the original. According to a November 2008 AC Nielsen repo~t, 90% of Canadian bott]ed water comes from spri~~g water sources ov private property. Myth Nnmber Six: The bottled wa[er industry is deplefing Canada's water suppl3~ Facts: • Tlie earth's hydrologic cycle naturally replaces whai Nestl~ Waters Canada bottles and uses to bottle its spring waters. • The bottled water industp~ is a net importer of water into the Great Lakes region. According to a 1999 Intemational Joint Commission (IJC) repoil on bottled water, for every 1 litre of bottled waYer expoited out of the region, there were 9 litres imported into the Great Lakes region. An update from tl~e Ontario Ministry of Natura] Resources states that in 2005, for every 1 lifre exported, 14 litres were imported. • According to the Ontario Sewer & Watermain Construction Association "The underground pipes carrying water to residents across Onta~ io are so old and leaky that 20 to 40% oF all tlie treated water goes into the ground before it gets to your taps. Por tl~e City of Toronto, even a conservative estimate of 25% repres¢nts a loss of more than 120 million cubic meters of water a year - enough to fill more than 50,000 Olympiasized swimming pools It is estimated that this massive leakage costs OnYazio ratepayers up to a billion dollars annually.i1° • The bottled water industry uses as much water as ten golf courses in Ontario - a province where there are more than 700 golF courses.15 • Commercial bottled water production in Ontario accounts for less than 0.0014% of all water used by other permitted users including commercial, agricultural, industria( and recreational.16 • The Canadian bottled water industry uses just .02 % of permitted water in Canada" compared to theimal power generation (64 manufacturing (14 municipalities (12 agriculture (9 and mining (1 %).1e • About 97 % of water drawn by bottled water companies is consumed.19 • It takes 1.3 litres of water to produce one litre of bottled water. According to " Onlario Sewer & Watemtain Construclion Associa[ioa "Lcaks in Water S}5lems Mfly be a Major Cause of W ater Shartages to Residents." OS WCA. 4 July 2007 . ahttp://74.I25.95.132/search?q°cache:H4tQqLBnMheJ:vn+ryv.oswca.orgfpubtidnews and informatioNmedia room(ne ws releases/%3Pirem%3D6+Onhario+Sewer+and+Wate`main+ConsVUCtion+Association+Toronta+25&hl=cn&crcln k&cd=2&gl=ca>. " Canadian Bottled Water Association, http://www.chwa.ca/en/faq.h[m#9. 's Ontario Ministry of the Environment, 2007. ° Environment Canada. 'a Plushing the Future? Examining Urban Water Use in Canada. http://www.waterdsm.org/pdf/report l_full.pdf. 1° Nestle N~aters North America, 2008. - - ~(2I20I2009) Dean lo~da NWCMYTHSANDFACTS - FINAL (Jan 27 2009).doc ~ - _ _ . _ Page 5_ r ~nvironment Canada'0: •[t takes 39 090 gallons (about 148 000 litres) of water to manuPacture a uew car, including new tires. • It takes 62 600 gallons of water to produce one ton of steel. That's about 215 000 lih~es of water to produce one met~•ic ton of steel. •[t fakes 93 gallons (about 35 litres) of water to process oue can of fruit or vegetables. • It takes nearly 14 gallons (about 53 litres) of waYer to grow a medium- sized orange (4.6 ounces/130 grams) and to prepare it, iu a packing plaait, for market. • It takes 483 gallons (about ] 83 litres) of water to produce one eigl~t-ouuce glass of milk. • It takes about 45% more water to make a slice of white bread (10.6 ~ gallons/40 litres) than a slice of brown bread (7.3 gallons/28 litres). • A Iitre of bottled water sells for about 38 cents. A litre of regular unleaded gasoline sells for 79 cents.~' Myth Number Seven: Tap water is better than bottled water FaMs: • Bottled water is held to the same scrutiny as tap water. According to Health Canada: "Consumers should be aware that bottled water is as safe Yo consume as tap water from a microbiological quality and chemica] safety standNoint.'n2 Bottled water is regulated as a packaged food product by Healtli Canada through the Food and Drug Act. • Nestl€ V?aters Canada customers have never suffered an illness due to the consumpYion of its products and its compeYitors' customers have never reported illnesses due to their bottled water consumption. • According to the Canadian Food Inspection Agency: "Quality standards for bottled and municipal waters are similar. Both bottled and municipal waters tltat meet or exceed their required health and safety standards are considered to be safe. No waterborne disease outUreaks have been associated with drinking bottled water in Canada." Z' 10 Environment Canada, How Do We Use It7 http://www.ecgaca/wa[er/en/info/facis/e use.htm A.C. Nielson, November 2008. - Health Canada, Food and Nutrition, Questions and Mswers on Bottled Water. http:/hvww,ho-sagc.ca/fii- an/securiUfacts-faits/faqs_bottle_water-eau embouteiflee-eng.php - " Canadian Food Inspection Ageucy, Faet Sheet, Food SafeTy Facts o~ Bottled Water. http://wvnv. inspection, gc. ca/englisti/fssa/concen/specifPoottwate. shtml ,(2/20/2009) Dean lorfida_- NWCMYTHSANDFACTS FINAL (Jan 27 2009) doc Pa e 6 J ~ _ - - _ - g~_ - _k • Nestle Waters Canada quality assurance staPf test its products at least ];700 times ~ each day at its Aberfoyle plant, exceeding alI requirements of Health Canada and otl~er governing bodies. • Testing is also conducted via surprise inspections by the Canadian Pood Inspection Agency, Health Canada, the Canadian Boltled Water Association and NSF. • Nestle WaTers Canada subjects its finished products and sow~ce water to microbiological analysis evety day that exceeds tl~e microbiological requirements oufliued in the Safe Water Drinking Act. Nestl€ Wafers Canada is required to test for 160 compounds in both source and finished product for • Daily - colifarm, E-coli • Weekly-coliform,&coli • Quarterly-chemicals • Annually- metals, chemicals and minerals • NesUe Waters Canada consistently meets or exceeds requirements for water quality, good manufacturing processes and clear, consistent labeling. - f(2I20/2009). Dean lorfida The Facts Abouf Bottled Water pdf ~ ~ ~ - . - - - - Pa e1~ g THE FACTS ABOUT BOTTLED WATER M~H:Eqttl~d+N;ItF,!C~t7lpaniES;;uuSC~ ~uldiranAg(elntoprotludionof3.6rNllionli(respa d01TGAGin~ cI1~iYGnf7~ili81 il'cl(~aC1"sOp Il7divii1u21 oP ~ a~~kihan24houradayor60~mi utesan watsrshads6yrelTl~vinglarg:?amouritsof hour.Nes~elsa,rrmt~yusngmoutsc°~oethe~p~ovm ;rwafer.7hehottlingqroceasdreinsfreghvdt7ter m~umeorpemi~tmwalatobe~ake,. - resovroes. F~rexamula,Nesti~+s ex.ira;tic~mf • NoneofNesiev~aast~,a~as~~sha~emdica~many 3.6i'nillionlitresperdayiscausin~areversalof ~~~~~~~tontneieaasofM~iiae~cpsw;mtepwata, groundv~ater flot~itnih~ MiIlQeek. the~h~shyaroioaccyGena~u~e~iyr~ia~s~newa~er Ne916 Watas(tnajaboflles THE FR~~~S: • Bottlmv?.3eo>mpanieshadeaveisiintaeitomai~ • B~ttl~wderisao~mparative'ysnala~d~fidmtu~of ~her~ringa~dwata~urwssi9anabiliry,rz~onAblyand wde and a Hfitimtlyin orde to ope3ewe'I intothefuWre vey Nficimit m~s of wde tli~ribution. • "TheC2nafla~bot~I~watelntluSrylsanAfidentus~-of ~ ~~eundagroundpip~caryingwatertore?denteaao~ itswale~urceTheindu9ryu~;only1.31i~rsofvrdato ~ta-ioares~oltlantllmkyth~20to40paca~lofalthe ma~ce one litre of bottletlvrda in mmpais~nto otha t~~~ ~g 9°~ ~nto thegoundbAoreit g#s to your beve~~indu9riawhichma/u~~vaa'litrao(wa[eto tzpsFortheOtyofTOronto,ereiaronsivalivee9imffieof make one litreof thal bcva Zs'~ repr~ts alo~ of rcprethan 120 million abicmete-s ~~a~ hjiakureandAgi-FOOd ofwalgay~-mou¢~tofillmoretha~50,WJOympic s~J stimming pools[..) It ise9imaf~ that ihisrr~ve • AcmrdingloFnNronrrerd(:anatl~: ~~'-~~sOnixiorat~a~asuptoabilliontlollas • Rtakes390~c,~'lons(about1480001itr~o(v?da ~~~~~y' ~~0~~&Waterr~ainConSructlon . tomamfacfureanavcar,indudingnavtires ~dation. • tt tak~; 62600 ~Ilonsof vr~da to protluceoneton of a~.marsabowm5aeonre~orw~atoproduce ~nH:Thebatkledwaterindustrycon~etes onemetrictonors~. wAi'i~ publict2pwater. Mostof th9~ot.tletl • tttakeas.s~ions~abo~tasinrc~ ofHZteto N~~terin Caned~ is bo{tted ta N~atec proa~ one rai of fruit or ve~ahla G ~ Ktakesn~ly74~lons(about531itre~ofwate-to gowamEdium-s~iora~~(46oun~130garr~ THE FACTS: aid to prepae it, in a pxkingpla~t, for maket. ~ tttalces483~'lons(about1831itre~oFw~ato ' ~tllaiwde-cannotreplxetpwate-. Eveyoned~ve; produceonea~bounceqa~ofmilkwhmyouadd ~~oas~fe,rdiablea~da(fordablesipplyoftlrinWng to~lhatheartaunisofvr~gneede]toproNde ~g~ ~~ourcompdition~othabo[He]beia~5 foodandwdertorthecou~[okcepthetlarybans nottapwater. tl~, and to pmce~ the milk. • R takes about45% rtqrewata to malee a9ice of '~~dingto aNOVanba 20C19 ACNid~ r~oR, 90%of white brmtl (10.6 pllonS40 litre~ thai agice of ~~~~bottl~ wata mrr~esfrom qiringv,de- ~urc~; on brownbrmd(73~'lons'281itre~be~~mpre Privatepropaty. flourisu~andbea~~ihztflourrequiresmore •.~tll~,~~~~~~~thavai9yofothacp~tl proce~ng ta rana~ the6rown mlour. bcve~ indudingcabonffie] s~fl drink5 milkjuic~ s~ya ~ NetIB Nkfes ('ana]acurrent pamll Isfor 2,5N litres pa be'g'~ ~g8i' drinlv5 a~d g~ort drinksa~tl to a le~- minute0pa~ingunderiheagumptionih~therpla~lisat ~~<<'^thhotdrinkss~diascoffce,t~antlhotchocolate, fulic~arity, 60 minuta of mch hour, 24 hours ada~, this ' ialwreaitl ?g Agi-Footl(~ajdThel'.malianBottled 'Qitaio$~&VJ3amanOmArucfionPs~ciAion."Imks Wate InduHry. Mip:/!mw?4.~7. ~.ca'AaFCAaLYdi~la~- in Wate ~5en, Ma~ bea Mryor 4u~ of Wffia 9iort~7es to aFfirha.tlo?id=11716445617~1an gsn9- fL'~deits" Q9i1R'q4J~1y2007 ditiP:/1741259 5.13?/~ch. x xheFNtQqI&iMhcdwx.va ' EnNronment (~naJa Fbw D.>N~ U~ 1~7 s~aorypu6lidnexs and_informatioNmeyia roorNn~vs re' ~ htipllHw~v.~.g c.ca'waler/mlin folfacts'e_us~.h tm ~%3f'iten%~D e+Ontario+~~ ~tl+VJatermain+0~ nSru aion~ti~ion+TOronto+254,h1=en&ctaank&a148,~~a~. (?72~0/2009) Dean lorfida The~Facts About gottled Water pdf ~ - - = Page2.~, aidlow a'cohol v,~nemoles and ada~ "/giakure and bottleJwda- in '(anala" (3natlian Food Inguction hJi~FOodGnada.' p~~`1' F~'ch conducte] in (kto6e-3706 a mong9 [~najiai • The(~nnaiiai Bot~l~ W3a P~Gation (www.cbwaca) •consirr~esbyACNid~indirdEdtha185%ofihe holdsalitsnxrrberstoveyhighprodud3andardsthal rcave~rieittobotUaiw~eristlueloa9iiftfromother ez~itho~ofthefeiaala~tlproNntiag~vanmaitsFOr be?a-~mo9notablys~ftdrink5tmandmilk ~amplGNeYIAWafersCanatlaquality~rance3~fte3 itsprotlucts~ Im5 1,700t irries~h da~al ilsAbafoyle M~H:r;Gr.surrrarsWillsnnplydrinktap P~~~,~~Inga'~re~uire„srtsorr~thca,alaandotha govaning bodiEs +rrator i( 6ottlFd ~n~a(er ie noY availahle_ • "TheGnadia~Fnodln~ECtionPga~cy(q~yre~la~ry TH E FAGTS : i~s~~esdome~IC botnmw~a roa,urazuras ana ~npies andana'yss bothtlome3ic a~d foreg~ protluc[sto a~vre • Forthemajorityofo~nsimasil'snotanetha/orchoice thalbotHeiwafas~IdinGnaiam~sthera~uirenartsof The~drink6othbotH~w~aaidtzpvrda.ingeia3 [7Nson12oftheFoodandL7ugf~l~ionsaitliss~efor mnsimption,Ihem~orityofCaiatlla~s(6O/o')drinka huma~mnsimption.~meproNndalandmunitlpa' am6in~ionofbottlejandtap. ~a~~~conductsirvalla~ceofbottl~w3ers In addition,rm~nufa~turas ih~ ae manbasof bottlejwafe • P~rtlingtoaMa~2~studybyindepe~dpit(~naiia-i ~tlationsmu3followaiditionaly>~ficreauiranaitsto re~ch firm Robe ~ch Inc., about 70°/ of Canadiais ~~~ethe qu~ityof thar producf;' HeaNh (~nada. a sd if 6ottlej wate w~'t a~ail2ble, the,yd consime lea n~mya~anm~~e; smiiarre~rm mnduaeyin,~iypm M1''~H: Unlike taN water, batRled water isnoi anong4 UScons~mas by Pznn, 3i~oen & Bela~tl A~da~~pe~tnenumbaasai produceU Ioaaliy. M1'TH: 6anning bottiedwaterinpublic ~H~ FAGTS: faciiitiesdoes not vbtate one's fteedom of • Tnehottiedwaza ~ndusryproudiye„pioysappro~mae~y 71,000 p~plein Qitaio whowork ~ loca' plaNg bottling choiae_ We shcuEd nat nave to purchase water ioca~vr~a. that does not go through the sarr~ testing as • Approbmaldy98°/, of thewale botHa7 al NeilA VJa[as Y^~~, Wd1Bf i;1 pUblfC plaCeS. ('anatlaPbefoylebolt~ingfacilityisdi3ributed ln Ontario a~dQud~ecaid 8a~s uithin theC7mt laka+3. Lavre~ce THE FACTS: ~eb~~. • timitingmns~rr~5~loasYe,h~'lhy6ezs~ Ate'native on-thego limits tharlr~om oi tl~oice. ~ "O~nsur~rs9iouldbeavaethat6ottletlw~ais~~eto ronsimeastap w3a from a miaobiologcal quality antl c~heniral s~fHy 9a~dpoint," H~Ith Qnetla° • "Quaity3andadsfotbotH~antlmuniapalwAasre 9mi~a. BothbottlEda~dmunidpdwatersth~rt~et or a~c~d ther rEquired h~lth aid ~~y 3andardS ere consdarJ to be~e AI the pre~t time, no v~ahorne di~ outbr~lcshave bcen as~date7 with tlrinlvng ° ialtureaitl Ag Pgi-FOOdCa~aiaThe(`znatlia76ottlai '('~naiia~FOOdIn~e~ionPg~cy,Fact9iEet,Footl~~y Nhrte- Indu3ry. htip:!lww.v4.~7. gc.ca~A~FGAM1dig~la~- Fayson Bottlej Wder. afflche-.doTd=1771644581795&lan g2n9- http/hxxv.in~edion.gc.ca'ei~i9Vf~'mncen/spe~f/bottw AO~ePa-gie]ive, RobeR~ratilnc.,,Ime~08 ~e9itml e I-~Ith ~nada Fooda~dNUtritlon, Qu~ionsand Msaes on a F~Ith Caiafa Fooda~d Nutrition, GL~ionsandMSi.as Bottl~WBV.http://ww,v.hc-~.~.dfn-a~l~rit/facls- onBottlelWater.http:l/wnw.hc-x.gc.ca'fn-ailsxuril/fats- fat5la~sbottle_wdta-mu_emboutellce-engphp- fat5fa~sbottlewala-~erboutella:cngphp- THE FACTS ABOUT 80TTLE0 WATER - ;(2I2012009) Dean lorfida _ The Facts About~Bottled Water pdf ~ ~ - _ _ Page3,1 M~H:(3Ctfle:7~V2tsrb~nsacCaquiCkfy °Aa~namF~j~on~o5snglefamilyhousngw~eautlit contludafovafour3tmnsfountla75.1% ra,yGingr~e growirign~v~rnent.Canadian~nvayhave toraEieeoa~p~~tangs(easvo~waseausrsas access{o recycliny but they aon'i use iY ~~T~'eY~'~~'~a rejec?ing bokEl~Q v~at~r is tl~a only vaay fn truly ~fp~r"^""'~~~r esti~„rar~acai n~v?~„~y~ pq~ (s'arifstva4e a.cfi AFtm ) ~limir•a#e irnpacts on o.~r landfills. o Indu$rypartners are in dis~~on with a numbe-of '~'H E F~G'~'s . munitipallticsto implemmt publlcy~aces ra,yding progams, funtlei in pat bytheindu3ry. 9ich apilot • PEfbottlesae100%r~[,ydable proganinQu~~revllalin,ona?g~e,a~g~/ Pa'IIOP~IOfI f3~¢ 8'Ik1f199 OJl19JfY0'S dfltl bu911~ • Pcmrtlingto 3ewad9iip Onta~io, Be?a~7e mntaners axountfor05%oithetotalw~e9r~ninOntaioand 'PAP~o~m~dy48muniapalitiesa~d~hoolhoartlsaao~ anpty vrdta bottlafor ony O.Y/ . Cmaiaha~e or ae mnsdaing banson bottlei wda --20 haierqe,tel thenotion,l4ha~e ~provaithe id~in •Almo9allCana]imswhodrink6ottleiwias~the~ vaiousformsa~tll4aemnsdaingtharoptionsMog ra,yclethebotHalna~er~ort6yls,~rMa-k~ing.96% muniapa'itie;aridxhoolboatlsacro~(`anadahaverightly of (~aiia~bottl~ wata tlrinkes sid thcy rayGe iher dHamine7lhat thaea°e more importa-it mattes to pl~icwata6ottlaeottl~waledrinkvsintheRaria mnsder,likepropglymantaningtharwataaidsiva sidthe~recyGeithel~at67°/,In(kitaioa~dPlbe-ta infr~ructurea~tlmaltingam~in~ulandla5ingimpa~on ~ almoA all of bottlelwata tlnnke-ssid ihe~ recydei. lhe~fipsit a~do~n~vative us of walg. • "CYitxlo'eVLL~eQvasonPCtra~uiraa'Immpa-~iesth~ Introducepad~nqaiaptlntedm~eria lntoonta~as M~N: Challengit~g bottleU u~tervaill mns,ma~mr~pia~C'sarams~~~os,aeinpa~ngsmr improvetiiapu3>licsystemander,aurecl~ar, of thefundingof Ontario'smuniqpa ~ueBoxwffie divasonprogranq^sewara9iipQifario.s ~+Rnkingtrdaterst+rdardsfcrellccr~u7x.niti~; a~riss the counfly. • Mo9 4naiiai$ who ha,~e~ to recyding, u~ it. V~hile ~«.yaing~azesvarya,-o~czna~aimP~ovin9am~to THE ~AC7S: rEi,ydingfailities(eqie7ally inmulti-fvnilydwa'lin[~a~d publicyiax~w,Ilimproverccoveyr~aF~vsyr~~ae •p~nsirt~sdonotya~drtaneyonbottledvrdaafthe ~mallyhi~in9nyelamilydwtllin~ ~g~~oftapvrda Themajorityof(`a~aJians(6b/f0) o ATOronto2705sngefanilyhou9ngw~eaidit drinkammbinationofbotHafa~dtapw~er. conduc[ejovrrfours~nsloundan67,8%recytling • eottleivrtacaino~rq~laztapwala.6rayoned~~; ~ r~e for PEf2cva~ (Lntanas ATOronto 20Q7 multi- familyhou9ngw~eautlitconductedovafour~ns ~~oasde,rdiablea~daFforda6lesapplyoFtlrlnlting tounda37.1%recydingrffieforPEfBcva~eCbntanss ~g~~~ourcomp~ltionasothabottl~beea~g nottap wate. o AF9ton i~gon 2(p7 sn Je f2mily housngwffie autlit ronducteio~a tour ~n s~ound a 78%ta.yding rate forPt7Be,~e~e p~ntan~s o AI-h~rvlton Zx~e 9nJefamily houSngvraCeaudit mndudafover thr~ ~nstountla~ ffi.5°/, rayding rateforPEfBeeda~e Q~nlanas Afourihs~n (Fdl 2006~ vr~ untla-lalcei w,ih a tliffaeit s~rt mNhodolog~ ihat ~paa(esalroholicbeaa~e PEftromnonalmholic beia~7: PEf and ihisidentifisi a r~,yding r~e of eB.B°/ for nor~almholicb~va~ PEf. pa~ ncte fhaf irpn fdl 2l]i I awa'tl a'I 3cwa-c~Vp pqa-ro Murrd~ w a4e a.Ufsu sn' tfVS nav mdMCp'o~y. a 8avard3iip Q~taio. htip:!/w,v,v.geriartl5iiportaioca'blu~ox/indet.htm. tOAdea-a-Ftry~e~Ive,AObef~rchlnc,J,,ne20~ THE FACT5 ABOUTBOTTLED WATER - - (2I20/2009) Dean lortida - The Facts About~Bottled Water pdf ~ Pa e 4 J ~ ~ ~ ~ , - ~ ~ . ~ ~ - , . ~ ~ ~ ~ ~ ~ ~ - ~ ~ ~ ~ ~ ~ ~ ~ THEFACTS ABOUTBOTfLED WATER ~ / ~ ~ ~ ~ ~ i " ~ ~ ~ C _ ~ ~ - ~ o ~ U ° . ~ i Q` , ' ' ~ ~ . z~ . 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N 'a p ~ 0 ~ ~ C ~ ~ ~ ~ Q ~ ~ ~ C N C N C ~'V Q O Q Q~ O y.. ~ ~ ~ 'U _ ~ ` ~ ~ ~ ~ ~ ~ ~ Q O ~ ~ ~ ~ ~ Q.~ ~ Q) Q~ ~ ~ U ~ ~ ~ ~ ~ .C C ~ U ~ ~ ~ ~ ~ • ~ ~ _ ~ ~ 3 a ~ ~ ~ N C ~ N C v~3~3`~3 ~,~~c~ ~o ~ ~ ~ ~ ~ ~ ~ ~ ` L ,Q' ~ N ~ ~ O ~ ~ u N ~ ~ ~ N •U ~ ~ N ~ ~ ~ n aa C O O O O~ O W V ~ O O~~O N O~~ r am~m ~m o 3~~~~~~~ 3 . . . _ . . . . t F~ $`as'~ N ~e^. ~1 ~ ~L ~ ,N Q ~ 'i ~ ~C ~ O ~ ~ ~ p ~ ~ N ~ C ~ :v . 3 ~ c ~ ~ x~~ s~ ~ • ~ ~ N a" 'U "Q C O ~ Q~ ~ ~ O ~~,w,~~__~ ~ N O C p L O ~ p ~ " U m N U N N ~ ~ ~ ~ U ~ ~ ~ Q ~ 3 ~ ~ _ ° ~ o 3 ° > a~ ° ~ ~ ~ O ~ ~ ~ ~ ~ ~ N ~ ~ ~ ~ O ~ ~ c ~ 3 ~ ~ ~ o ° ° a~ ~ ~ ~ ~ L ~ ~ .Q Q ~ c ~ Q ~ ~ ~ ' ~ ~ ~ ~ ~ "4 c ~ ~ ~ ~ ~ Q _ Q ~ ~ ~ ~ ~ ~ o ~ U y ~ ~ ~ Q C _ ~ ~ ~ > :ti'~' , ~ ~n ~ 0 ~ ~ ~ ~ ~U ~ ~ y/~/~ .+~,..~Vj~., y-. /1 ~ O 1L R ~ ~ i! ~ O W v W W 3~ ~ N ~ ~ - ~ U - c Q N 'c ~ N ~ 3 ~ O O~ p ~ C ~ ~ ~ ~ > U O . . ~ O ~ ~ ~ = ~ ~ -Q C U ~ C nO~~ ~ N Q !p1 p~~ V~ O W,~ O N N ~ ].L L ~ ~ ~ ~ Q ~ N ~ ~ ~ Q ~ ~ Q s ~ O O ~ ~ ~ ~ O QO ~ ~ O a ~ ~ ~ ~ ~ a~ c,~ c.~ y o a~-~ c° a~ ~ Q~~~a~ 3~ a Q-•~ ~ a~~ a~•~ a~ a~ ~ a ~ ~a~i a~i~° 3~ 3 ~ o o ~ ~ > ~ ~ ~ ~ a ~ 3 ~ 3 ~ ~'~~.Q C o~ a~ a~ a~ a~ ~ < a ~~~~~;~~~~QN~ U O p ~ C O~ O N O~ N~:~_ Vf U ~ U ~ ~ ~ ~ ~ ~ ~ ~ ~ Q U ~ ~ ~ O L ~ N O ~ ~ ~ p ~ ~ rt,~. ~ C~ ~~~~~~o~N~~Q~ p aa~~i~~ ~~a~~~~3°~~~a 3 =?~3~ ~a~~ ~a~~ + ~ 3 ~ ~a~ ~ c c c .c ~ .c ,c ~ ~ c 4. y.~. 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Z • • • • = N N ~ ~ ~ w a ~ ~ , ~ y ~3~ c ~ag o _ N ~ ~ ~ 0 1 ~ ~ •O - - ~ ~(2/23I2009)~Dean lorfida Fw solid waste management hierarchy ~ ~ - Page 1_;~ From: "Janice Wing" <janice_wing@cogeco.ca> To: "Dean lorfida" <diortida@niagarafalis.ca> Date: 2/22/2009 1:48 PM Subject: Fw; solid waste management hierarchy Attachments: hierarchy.gif Hi Dean, Can you please include this in tomorrow's handouts as well? Thanks! janice Original Message From: Janice Wing To: council@niagarafalls.ca Sent: Saturday, February 21, 2009 9:56 PM Subject: solid waste management hierarchy More food for thought for Monday Reducing waste, reusing and recycling conserve landfill space The best approach to managing waste is called "source reduction" - not creating it in the first place. This means reducing the amount of trash you discard, and reusing containers and products instead of throwing them away. While the overall number of landfills across the nation is decreasing, the existing ones are getting bigger to accommodate the growing waste generated by Americans. According to the U.S. Environmental Protection Agency (EPA), the United States leads the industrialized worid in municipal solid waste generation: each persori currently generates an average of 4.62 pounds of waste per day. Canada and the Netherlands come in second and third, with 3.75 and 3 pounds per person per day, respectively. Germany and Sweden generate the least amount of waste per capita for industrialized nations, with just under 2 pounds per person per day. From http:l/www.denvergov.org:80/recres/ReduceReuseRecycle/tabid/425369/Default.aspx ~.G=~_ _ T - Cnne~ian Hattied µ~elerAxalatlan- February 23, 2009 Mayor Ted Salci Mayor's Office The City of Niagara Falls 4310 Queen Street, P.O. 1023 Niagara Falis, Ontario Canada L2E 6X5 Dear Mayor Salci; The reason for this letter is to clarify much of the confusion and misinformation that exists about bottled water and to offer the Canadian Bottled Water Association (CBWA) as a resource to provide you with factually based information. qll statements contained within this document can be verified by independent, arms length third parties. Recently, it has come to our attention that Niagara Falls is c onsidering a proposal to ban the sale of bottled water from all City buildings and facilities. One of the reasons cited is that municipal tap water, which is safe and clean, is available so the 6ottled water alternative is not necessary. This argument might have some merit if consumers were buying bottied water as an alternative to tap water. However, according to a study conducted in May of 2008 by Probe Research Inc., 70% of adults who purchase bottled water do so as an alternat ive to buying other packaged beverages, not as an al ternative to tap water. As well, CB WA members bottle spring (ground) water, which may be carbonated. Many municipalities use surtace water from rivers or lakes, adding chlorine and/or fluoride. So while one might say that water is water, these are in fact different products. Some policy makers contend that too many plastic (PET) bottles end up in landfill, and that too many empty water bottles end up in Iandfill. Policy makers should be reminded that water is not the only beverage product available in PET bottles; in fact, a variety of beverages are available i n this type of container. When one considers that bottied water accounts for about 9.1 % of the entire Canadian beverage industry (Beverage Marketing Corporation, 2006), the question that must be asked is, how much is the bottled water industry really contributing to landfill? 1 TiRiznk~Dcav<uC.teckROVeI ~ Sed42G3 ~(~.ahnrandifill a Chitaoia€AE302 livI.E4VCn.'ti~.~5.$~b.G4?.A' i FFx:~A05.FSF.F$31 ~ q9iury,lli:r.bivo.r.~ _ l = Canadlw lkftlcd We1crA~saielion This question is further supported upon examination of recyciing rates. According to provincial authorities such as Stewardship Ontario, recycling rates for PET plastic are 6etween 60°lo and 85%. In fact, PET pfastic trails only newspapers and aluminum in its value to recycling programs. The success of the Blue Box program is well documented. When one considers that in larger cities in Ontario, where more than half of residents live in a multi-unit or high-rise setting without ready access to a blue box ty pe of program, recycling in Canada must be considered a success. The bottled water industry is certainly doing its part. By law, half of the cost of the Blue Box program is paid by industry, including water bottlers. The trend am ong some members of our industry has been to develop and use bottles that are thinner and lighter, using less plastic. Some bottled water companies have been working with local governments to provide increased recycling programs in public spaces, in order to decrease landfill as well as litter. One must also question why bottled water is being singled out by municipalities, given the fact that water is the healthiest beverag e option available. If bottled water were the only beverage to be sold in P ET bottles, that choice would be obvious. However, at a time when health providers and policy makers are struggling with sharply increased rates of diabetes and obesity, to ban the sale of calorie-free, sugar-free, and fat-free water, while continuing to allow the sale of other beverages sold in plastic bottles that cannot make these statements, is odd public policy indeed. Some of the bottled water industry's critics allege that bottled water is not regulated. In fact, bottled water is regulated as a food by Health Canada. Water bottling companies are inspected by the Canadian Food Inspection Agency. Permits to take water must be applied for and obtained from provincial environment ministries. Bottling companies continuousiy test their product to ensure its quality, and CBWA members must adhere to the Association's stringent Model Code, which includes unannounced third party audits, as a condition of inembership. Others contend that ihe industry is privatizing water, or taking undue amounts of water resources, to the detriment of others. In fact, permit data from provincial environment ministries confirms that the bottled water industry in fact takes a fraction of 1% of total permitted takings. Put another way, in Ontario the entire bottled water industry takes as much water out of the ground in a year as ten golf courses. There are approximately 700 golf courses in the province. Finally, there is the issue of cost. Comparisons have been m ade between the costs of bottled water to the consumer versus the cost of tap water. Obviously, tap water is the cheaper of the two. Independent market research firm A.C. Neilson has identified bottle water as costing 38 cents per litre (2 007), or about 19 cents pe r 500 ml 6ottle, while municipalities correctly point out that tap water is available for a fraction of a penny per litre. Why, they ask, does anyone buy bottied water7 2 70~esFHeavrsCttckRmad ~ $~uW2L~3 ~ Riphmondl3ill ~ puWria.L~Ct.1l32 ir~,i;atao~;~905.£F6.d928 ? ra%r9R5.S86.9S31 ~ xvsasneebn~a.w - CauadJxu No111rA Waler Apo;lelioa As stated above, consumers do not view bottled water as an alternative to tap w ater but rather as an alternative to other packaged beverages. Bottled water could not compete, on the basis of cost, with tap water. Like other beverages, bottled water will always be cheaper when purchased by the case (i.e. 24 units) as opposed to purchasing one individual serving from a convenience store or vending m achine. While the decision to ban boftled water from city halls, community centres and skating rinks is largely symbolic, there are some concrete and positive steps that poli cy makers can take in order to make a real difference. First, increase the number of recycling receptacles and containers in public spaces. History has demonstrated that the public will participate in recycling programs when they are available. Secondly, conduct enhanced public education campaigns about litter, whether that litter consists of a plastic bottle or a paper cup, so that littering becomes socially unacceptable. Finally, the CBWA encourages municipalities to nof only maintain their current high standards for tap water, but also to instill greater public confidence in their water infrastructure. Canadians should feel confident about their public services . The CBWA would be interested in meeting with you in the near future to discuss in more detail the points briefly outlined in this letter, and other important matters regarding the bottled water industry. Please feel free to have your staff contact me direct through my office at (905) 886 6928 Yo arrange a convenient date f or us to meet. We look {orward to providing you with details on the bottled water industry and understanding the needs of the City of Niagara Falls. Sincerely, ~ Elizabeth Griswold Executive Director Teleph one: 905.886. 6928 Email: qriswoldna cbwa ca Website: www.cbwa.ca 3 7tlPnsE.Baa4wCuck72Qnd M Suita2G3.a' Rialsmopiliiill 3 Ch»rfoL'8Gi3J32 -'rLLElq~oAti_96$,k86.d9?A i Fax~~A~3.RS89iya ~ NEW1rymp6Na.ca ~ ~ PYICfLN InsliN~e February 23, 2009 Dear Mayor Salci and Members of Council, On behalf of the Polaris Institute I feel the need to respond to today's letter from Nestle Water Canadp concerning the Community Services Department Reporf R-2009-06. In the letter a number of inaccurate and misleading claims were made. Let me quickly respond tojust a few of the many misleading claims: 1. Bottled Water Reg~lation: ihe fact is that under provincial regulations the City of Niagara Falls is required to test water drinking daily. On the other hand, bottled water is regulated under the Canadian Food and Drugs Act as a low-risk product and is tested on average every one to three years. 2. Number of Bottled Water Restrictions: In Canada 25 municipalities from 6 provinces have implemented restrictions on bottled water, and the Association of Municipalities of Ontario (AMO) recently endorsed municipal action on bottled water. The facf is fhaf fhere is municipal momentum on bottled wafer municipal restrictions. Industry claims of smaller numbers are a resuit of their use of the term "ban," when the fact is that many municipalities have pqssed motions using terms such as "prohibit, phase-out, and restrict," thus making the number of municipal restrictions much higher. 3. Canada's Parliament Buiiding: There are currently several initiatives launched by Members of Pqrliament to make Canada's Parliament bottled water free. Across the country municipqlities are demonstrating confidence in municipal water systems by refusing to sell bottled water in their facilities, To us, and many other Ontario residents, the decision to promote public water in municipal facilities by phqsing-out the sale of bottled water is an important action. With regards, Joe Cressy t I~ POLARIS Institute Canadian Address: 180 Metcalfe Street, Suite 500, Ottawa ON K2P 1 P5 TeC (613) 237-1717 Fax: (613) 237- 3359 US Address: 735 Lakeshore Rd., P.O. BOX 106, Essex, NY 12936 e-mail: polaris@polarisinstitute.org www.polarisinstitute.org - _ ~ ~(2123/2009) Dean lofida - Banning Water BoCtles in Niagara _ Page 1~ From: Chris Clovis <chris.clovis@gmaiLcom> To: <tsalci@niagarafalls.ca> Date: 2/22/2009 8:13 AM Subject: Banning Water Bottles in Niagara Dear'Mayor Ted Salci", I strongly encourage you to commit to public water services by restricting bottled water and increasing access to tap water at the next City of Niagara Falls council meeting on February 23rd. The Niagara Falls Park in the City committee has recommended phasing out the sale of bottled water on city property and turning on the tap. In the same way that Coca-Cola doesn't sell Pepsi in its offices, why should Niagara Falls sell bottled water in its facilities. In Niagara Falls, municipal water systems are among the safest and strongest in the world. *The Ontario Ministry of the Environment gave the city's water treatment plant a 100% rating from April 1, 2006 to March 31, 2007.` Meanwhile bottled water costs more, is less regulated, consumes more energy and releases more harmful toxins into the environment than tap water. Not only does committing to tap water reduce costs and protect the environment, it demonstrates support for Canada's public water services. On February 23rd, 'Turn on the Tap' and vote for restrictions on bottled water in Niagara Falls. With regards, Dr. Chris Clovis Concerned Ontario Resident Februar}~ 23; 2009 5701 MacPherson Cres Niagara Falls, ON L2J 1 Z9 To DZayor Salci and Members of City Council, You have probably received a letter today from Nestle Watexs Canada claiming to refute infarmaCiov in the staff report R-2009-06 on bottled water. Although I~~~ill be speaking at the meeting this evening, I will not be speeifically addressing the Nestles letter at that time. However wheu the accuracy of a staff report is questionecl, it should not go unchallenged, so I fell it was important to respond lo this lettex. 1. `Bottled water is treated as food and is regulated under the Food and Drug Act and its regulations. As such, water bottling plants are inspected on average only once every three years." The letter from Nestle claims that this is incorrecY and points out that Nestle "suUjects its finished products and source water to microbiological analysis every day." Councilars should note that this is testing ~ the company, not by an independent government body. The quote refers to independent testing. 2. "According to recent Member Communication provided by AMO, Municipal councils across Canada, including 13 OuYario municipalities, have taken action in recettt months to limit the use of bottled water in municipalities..." The letter fxom Nestle states that 32 municipalities and school boards across Canada have rejected bans on bottled waYex, attempting to suggest perhaps that more municipalities are rejecting bans than the numbers that are implementing them. Nestle's statement is incorrect. Numbers for Canada can not be used to compare with numbers for Ontario. The number of municipalities that are implementing bans is increasing almost daily and has picked up momentum since the letter to councils from the Association of Municipalities of Ontario dated February 3, 2009. 3. The letter from Nestle questions specific percentages regarding recycling and landfill in Taronto and the United States. Specific nutnbers may differ based on dates and methods of ineasurement; what is important are the overall trends. The most importanl statistics for Niagara Falls councilors to consider are those for Niagara Region, which I will be presenting this evening and should be in your packages. The bottom line is that whether plastic water bottles are recycled or not, they are costing taxpayers large sums of money in fuel costs to transport a product that has a low weight per volume and which has a limited market. Therefore reducine the amount of plastic is a bettex option than recycling. 4..The letter from Nestle suggests that the bottled waYer industry is not responsible for recent water shortages in municipalities. Yet when Nestle recently requested an increase in its water-taking permit at its Aberfoyle facility, many loca] residents objected citing adverse effects on ground ~i~ater supplies. 5. The letter from Nestle states that PET plastic used in watex bottles is 100% recyclable. However this ignores Yhe fact that thexe is limited market Por the material and Niagara Rec}~cling does not recoup the cost of collecting the material from sales. This is part]}~ due to the fact that the water bottle industry does not use recycled PET. The Nestle comment also ignores the fact that our ultimate goal in a sustainable society is to reduce, and only when necessary recycle, due to the costs of recycling. The idea that those opposed to the sale of bottled water at municipal facilities are ill informed is insulting to say the least. The niembers of the Park in the City Committee and stafP who have examined this issue are intelligent and responsible membexs of our local community. Nestle is a large multinational corporation widi its own uorpoxate agenda that wants to insure that it does not lose profits if sales of bottled water decline. The only agenda of the members of Yhe PITC committee who support the initiative is to create a better community. It is in the best interests of our community, from the point of view of the environment as well as the costs far landfill and recycling, that we reduce the use of bottled water and encourage greater use of our public watex supply. Ending the sale of botfled water at municipal facilifies is an important step in that direction. Sincerely, Frank Folu• Member of the Park in the City Coirunittee